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HomeMy WebLinkAbout2018.02.13_Worksession AgendaThis meeting is a work session for Council /Trustee discussion only. There is no opportunity for public comments at work session. PUBLIC NOTICE OF THE MEETING OF THE OWASSO CITY COUNCIL, OPWA & OPGA Council Chambers, Old Central Building , . °0 0 109 N Birch, Owasso, OK 74055 Aw Regular Meeting gS, Tuesday, February 13, 2018 - 6:00 pm 1. Call to Order Mayor /Chair Lyndell Dunn 2. Discussion relating the bids and construction contracts for the Police Headquarters Building Renovation Project Scott Chambless Jason Woodruff 3. Discussion relating to Economic Development Strategic Plan Chelsea Feary 4. Discussion relating to Community Development items Bronce Stephenson A. Update to Owasso Zoning Code B. Annexation (OA 18 -01) - NW Corner of E 86 St N and N 161 E Ave 5. Discussion relating to the Surface Transportation Program Grant Application Dwayne Henderson 6. Discussion relating to the Water and Sewer Utility Rate Study Annual Report Linda Jones 7. Discussion relating to rates and fees Sherry Bishop A. Recycle Center B. Utility Billing C. Water Taps & Sewer Taps 8. Discussion relating to appointments for citizen committee vacancies Mayor Dunn 9. Discussion relating to City Manager items Warren Lehr • Budget amendment related to Alarm Registrations • Community Development Block Grant (CDBG) Public Hearing- February 20 • Monthly sales tax report • City Manager report Owasso City Council, OPWA & OPGA. February 13, 2018 Page 2 10. City Council/Trustee comments and inquiries 11. Adjournment Notice of Public Meeting filed in the office of the City Clerk and the Agenda posted at City Hall, 200 S Main St, at 6:00 pm on Friday, February 9, 2018. WI.I& M-01/i /,� /�� Sherry Bishod/City Clerk REAL People •REAL Chamcler• REAL Gommuniry TO: The Honorable Mayor and City Council City of Owasso FROM: Jason Woodruff Deputy Chief of Police SUBJECT: Police Headquarters Renovation - Bid Awards and Contracts Assignment Amended Construction Management Contract with Nabholz DATE: February 9, 2018 BACKGROUND: In 2001, the Owasso City Hall and Police Department Headquarters building was constructed at 111 N Main. In the years that followed, unprecedented growth in Owasso and the resulting increased demand for city services caused both City administration and the police department to quickly outgrow the shared facility. Options were explored for the construction of a new police headquarters, but the multimillion dollar expense of such a project, especially the costly construction of a new hardened jail facility, made this option cost prohibitive. Plans were explored to relocate City Hall from 111 N Main to the former First Bank building at 200 S Main. This proposed move would allow for a renovation and expansion project for the cramped Owasso Police Headquarters into the portion of the building vacated by City Hall. As part of that proposal, renovation plans were explored for both the existing City facility and the newly purchased First Bank building. In 2012, Wilson Estes Police Architects (WEPA) contracted with the City of Owasso for basic design services, creation of preliminary sketches of renovation options, and the creation of a general cost estimate for both the new City Hall and the police headquarters projects. The design services were provided by WEPA, who estimated $1.5 million for the proposed renovation of the police department headquarters and a similar cost estimate for the renovation of the former First Bank building, a much more cost effective solution than the estimated $10-15 million for construction of a new police headquarters and jail facility. In July 2016, the renovation of the new City Hall building was completed and staff vacated the former city hall to move into the new facility. Steps were then undertaken to proceed with the renovation of the recently vacated City Hall portion of the building at 111 N Main into an expanded police headquarters facility. In 2016, Wilson Estes Police Architects changed its name to Police Facility Development Group (PFDG) to better represent the services they provide. The staffing and leadership at the firm remained the same, including the retention of James Estes as the lead architect. In July 2016, Police Facility Development Group was again contracted for basic design services to revise and update the proposed renovation plans for the Owasso Police Headquarters, as well as the recalculation of the outdated project cost estimate that they had completed in 2012. It is important to note that, in the years since the initial broad estimate in 2012, many factors changed, which had a direct and profound impact on design requirements of the police headquarters, including the plan to build a festival park on the southern edge of the property, increased technology demands, increased emergency power needs, and aging infrastructure of the building. Redbud Park The planned festival park will be built on the south side of the Owasso Police Headquarters, occupying space that is currently an open drainage retention area and a 52 -space public parking lot. The park will be an outstanding asset to the community and the development has the support of the police department; however, the placement of a venue for large public gatherings in close proximity to an operational police facility did necessitate some alterations to the layout, design, and functionality of the new police headquarters. To improve customer flow and allow better access by the community, the public entrance and lobby were moved from the center of the building to the west side. Service areas that require routine public access, such as the records division, property room, and victim /witness interview rooms were subsequently relocated and redesigned to allow direct access from the new public lobby. The employee entrances were relocated to the north side to avoid issues with parking, create ease of access, and address security concerns related to the large crowds expected at the park grounds. Due to the close proximity to the jail entrance in open view of the festival park, the sally port/enclosed prisoner unloading area was expanded to provide visual separation, improve privacy for juvenile suspects, improve noise- dampening, and improve security protections for the officers getting in and out of their patrol vehicles. The expanded enclosed sally port with a one - way exit for police vehicles on the north side, coupled with closing the alleyway between police headquarters and the festival park on the south side, will greatly improve traffic and pedestrian safety, especially when considering the possibility of small children playing in the park near where patrol vehicles exit rapidly in response to emergency calls. The loss of the south parking lot necessitated plans for a new parking area on the north side to service the police department. A house is currently on the area proposed for the new parking lot and the property is privately owned, requiring property acquisition, demolition of the existing structure, base dirt work, asphalt, and fencing to create 32 new parking spaces to offset a portion of the 52 spaces lost to the festival park. Technology Most law enforcement and dispatch tools needed to operate a modern police department are computerized, including the emergency police /fire radios, 911 system, the internal telephone system, CAD system, report writing system, and internal /external security controls. Without servers to support those functions, providing even basic police services would become extremely difficult, if not impossible. The servers required to keep the department running are housed in a secure server room on the second floor. The racks full of computer equipment in the server room generate a great deal of heat, which must be constantly controlled with a redundant climate control system. If the cooling system fails, the servers will overheat and automatically shut down within as little as 20 minutes. A portable AC unit was purchased as a temporary back -up cooling system, but a true dual mini -split system would be required to provide a permanent and reliable solution for redundant cooling in the server room. Similarly, if the electrical supply is interrupted to the server room during an outage, either to the servers themselves or the cooling systems, the servers will shut down and interrupt service to the police personnel. Changes in the server room are also planned, such as rerouting plumbing in the ceiling to avoid damage to servers and ensure operations are not shut down due to leaks. Emergency Power An assessment of the current emergency generator system was conducted to ensure that the department could function in the case of a short- or long -term power outage. The existing generator was found to be severely underpowered to meet even the needs of the basic functions of the current police department, not including the increased demands of the server system's new redundant cooling system or the planned renovation areas vacated by City Hall. The option of adding a second supplemental generator was explored and quickly ruled out due to the high cost of re- wiring the existing structure, which would offset any potential cost savings of keeping the existing generator. In the end, replacing the existing generator with a much larger, more powerful system proved to be the best option to meet the needs of the new police headquarters and ensure that the Owasso Police Department could function in the event of a widespread loss of electrical power. Infrastructure The overall structure and condition of the building are excellent, as they were during the 2012 assessment. However, several large components of the building's infrastructure are now nearing the end of expected lifecycles and are therefore in need of modernization. Several large water leaks have damaged structures inside the building due to aging plumbing and a catastrophic failure was narrowly avoided in the sensitive computer server room when an overhead pipe leaked. An initial broad estimate of $840,000 was projected for repair and /or replacement of the inadequate infrastructure systems to improve the efficiency and function of the building, including a complete replacement of the HVAC system, boiler replacement, plumbing repair and /or replacement and retrofitting lighting throughout the building with more efficient LED fixtures. Police Headquarters Renovation On December 6, 2016, a contract was approved by City Council with Police Facility Design Group for the final stages of the design and engineering, including the schematic phase, design /development phase, construction document phase, bidding /negotiation phase, and final construction phase with compensation of 8% of the final project cost minus a $10,000 credit for previously conducted architectural work. In February 2017, the City of Owasso entered into a construction management agreement with Nabholz Construction Corporation in an amount of $5,000 for pre- construction services to include plan review and execution of the competitive bidding process to ensure that all facets of bidding comply with the Oklahoma Public Competitive Bidding Act of 1974 and with City of Owasso ordinances and Owasso City Charter. Throughout the remainder of 2017, City staff held extensive discussions with the architecture team from Police Facility Design Group and the pre- construction coordinators from Nabholz to develop a quality design for the building that would meet the needs of the community and the Owasso Police Department while still being responsible stewards of the taxpayers' funds. Particular attention was directed at cost reduction through a minimalist design of the interior spaces by keeping as much of the existing footprint as possible inside the existing structure. Above prioritizing the facility's aesthetics, emphasis was placed on the basic function of the building, specifically the mechanical infrastructure of the facility. In December 2017, a final design was completed, civil and mechanical engineering studies were finalized, and detailed bid specifications were created. Although the true cost of the project would not be known until the actual construction bids were calculated, a detailed analysis of the expected material and labor costs resulted in a pre -bid estimate of between $3.5 million and $3.9 million. On December 27, 2017, the bid advertisement and notification process was initiated. Eighty -five bids were received. On January 19, 2018, sealed bids were opened and read aloud in front of a standing room only crowd of prospective construction contractors. There were 24 separate bid categories with eight alternates included in the original bid documents. The alternates were "delete alternates," meaning they are items that could be removed as cost saving measures if needed. All 24 bid items received bids at the opening, with all but one item receiving multiple bids. Base Bid Cateeory Bids row Rid Hiah Rid Building Demolition 4 $65,333 $80,442 Concrete 4 $119,350 $220,950 Precast Concrete 2 $163,400 $227,700 Masonry 4 $54,919 $158,216 Steel Material Supply & Erecting 3 $79,872 $201,444 Millwork 2 $117,856 $148,204 Waterproofing 3 $12,682 $33,000 Roofing 5 $37,200 $94,160 Doors, Frames, Hardware 3 $93,550 $176,073 Wood Door Supply 3 $12,106 $18,790 Storefront Glass & Glazing 4 $79,466 $109,000 Overhead Doors 5 $13,442 $21,139 Drywall & Ceilings 5 $164,760 $211,732 Tile & Commercial Flooring 4 $144,570 $173,040 Painting & Wallcoverings 8 $86,575 $121,831 Building Specialties 2 $21,815 $25,337 Signage 2 $18,606 $29,006 Fire Suppression 4 $40,000 $49,900 Plumbing & HVAC 3 $582,740 $847,000 Electrical, Fire Alarm & Security 3 $998,776 $1,265,000 Asphalt Paving & Markings 3 $36,330 $45,165 Earthwork & Site Utilities 4 $110,000 $168,200 Fencing 4 $61,300 $100,000 Landscaping 1 $12,300 $12,300 Alternate Bid Delete Items Cost Second Floor Flooring - $18,470 Second Floor Painting - $12,830 Second Floor Lighting - $21,613 Jail Painting - $16,675 Sidewalks - $5,600 Outdoor Patio - $12,725 Fencing - $99,521 NE Parking Lot Delete - $153,924 BID AWARD & ASSIGNMENT OF BIDS: Due to the nature of the Professional Services Contract entered into with Nabholz for construction management services, and per the State Competitive Bidding Act of 1974, the City of Owasso is responsible for awarding successful bids. The following is a list of acceptable bids as prepared by Nabholz and City staff: Category Low Bid Responsive Bidder Building Demolition $65,333 Total Demolition Concrete $119,350 D -Kerns Construction Precast Concrete $163,400 Arrowhead Masonry $54,919 Procraft Steel Material Supply & Erecting $79,872 Figtree Millwork $117,856 Fadco Waterproofing $12,682 Oklahoma Roofing Roofing $37,200 Atwell Roofing Doors, Frames, Hardware $93,550 Builders Supply Wood Door Supply $12,106 WindorSupply Storefront Glass & Glazing $79,466 Couter & Company Overhead Doors $15,485 Johnson Equipment Drywall & Ceilings $164,760 Ml-Jones Tile & Commercial Flooring $144,570 PT Enterprises Painting & Wallcoverings $86,575 Vale Painting Building Specialties $25,337 Nabholz Signage $18,606 A -Max Signs Fire Suppression $40,000 Frazier Fire Plumbing & HVAC $582,740 McIntosh Services Electrical, Fire Alarm & Security $998,776 Colburn Asphalt Paving & Markings $36,330 Dunhams Earthwork & Site Utilities $110,000 D -Kerns Construction Fencing $61,300 Ranchers Pipe & Steele Landscaping $12,300 Horizon Total $3,132,513 Most notably, low bidders in the electrical and plumbing categories alone exceeded $1.5M, albeit those areas did include many major anticipated infrastructure expenses related to the new emergency power system, plumbing replacement, security /video, HVAC, and boilers. There was also a considerable difference in cost between the low and high bids in these categories. Due to this wide variance, City staff and Nabholz have reviewed the low bids in electrical and plumbing to confirm that they meet the minimum bid specifications and have consulted with the bidders themselves to ensure that they will honor the low bids. As a precaution, Nabholz staff recommended increasing the general contingency from 5% to 7% to account for any potential unforeseen cost overruns in these major categories. Also of note, in the Overhead Door category, the lowest bidder (Oklahoma Automatic Door $13,442) withdrew their bid during the evaluation process. The next lowest bidder was Johnson Equipment with a bid of $15,485. In the Building Specialties category, the lowest bid was submitted by S.A. Anderson for $21,815; however, the bid submittal packet included several exclusions that failed to meet the minimum bid specifications, resulting in Nabholz Construction having the lowest acceptable bid at $25,337. Aside from the bid process, additional project allowances were allocated for services that will likely be encountered during construction: Service Allowance Furniture Moving $15,000 Hardware Repairs /Replacement $7,500 3rd Party Material Testing $10,000 Overhead Power Line Protection $5,000 Total $37,500 CONSTRUCTION MANAGEMENT CONTRACT AMENDMENT: The amended contract will encompass the original agreement covering pre- construction services and the total amount of awarded bid items, estimated costs for yet -to -be awarded contracts, general conditions, fees, bonding requirements, and contingencies affiliated with standard construction contracts. This amended contract with Nabholz establishes a "not to exceed dollar amount" or guaranteed maximum price of $3,933,934.37. Only a change or addition to the scope of work at the direction of the City of Owasso would result in additional expenditures above the final contract amount. The proposed contract includes a 7% contingency amount of $257,033.09, which is intended for use only if unknown conditions arise that would change the scope of work. This contingency may only be utilized by authorization from the City of Owasso after any and all alternatives are considered between the owner, architect, and construction management firm. Any change order or subsequent bid award and additional work outside of the original scope of work shall be authorized by the City of Owasso per the Owasso City Charter and Ordinances. If approved, general compensation to Nabholz for construction management will be $174,852.44 or 5% of the total construction cost. Additionally, there are specified site costs and expenses for which Nabholz Construction will be reimbursed by the City as part of the agreement. These expenses include equipment rental, vehicle leases, dumpsters rental /service, site clean -up, portable toilets, on -site supervisory and engineering staff, as well as temporary fencing, barricades and safety equipment. Below is a summary of the management fees and the expected reimbursements to Nabholz in accordance with the proposed contract: Item Cost General Conditions $184,065.84 _ General Requirements $81,770.00 General Liability $34,000.00 Builders Risk $4,800.00 Performance Payment Bond $22,400.00 Construction Management Fee (5 %) $174,852.44 Total $501,888.28 As stated above, Nabholz Construction Management establishes the guaranteed maximum price of $3,933,934.37; however, it should be noted that this figure does not encompass every expense associated with the project and should not be viewed as the "total project cost ". Additional expenses include Architecture and Engineering fees ($310,000), which were previously addressed in a separate council action in 2017, as well as Furniture, Fixture and Equipment (FF &E) expenses (approximately $250,000), which will be addressed with future council actions. Although City staff plans to re -use as much of the existing furniture as possible, there will be needs within the new facility upon the completion of construction, especially in the newly constructed /heavily altered work areas. Anticipated FF &E needs include dispatch consoles /equipment, computers, telephones, as well as basic furniture for offices, conference rooms, training rooms, interview rooms, and the public lobby. The total project cost is estimated at $4,493,934, including the construction guaranteed maximum price and all of the outside expenses outlined above. PENDING RECOMMENDATIONS: Staff is tentatively scheduled to present this item at the City Council Meeting on February 20, 2018. Pending any recommended adjustments from council or City administration prior to that date, City staff intends to recommend the award of the bids in all twenty -four categories referenced above for the Police Headquarters Renovation Project in the amount of $3,132,513. After those awards and assignments are made, staff will ask the Council, via a separate action item, to approve an amended contract with Nabholz Construction Corporation for construction management services and oversight of the Police Headquarters Renovation Project with a guaranteed maximum price of $3,933,934.37. ATTACHMENTS: Bid Tabulation Agreement with Nabholz Construction Corporation, dated February 1, 2017 Amended Agreement with Nabholz Construction Corporation (including Exhibit A) Owasso Police Station Bid Tabs - January 19th, 2018 NAOl2 Building Demolition American Demo Total Demo Ark Wrecking DT Specialized " Base Bid $80,442.00 $65,333.00 $71,650.00 $78,000.00 Alt 1 - $3,100.00 41,500.00 Alt - $6,150.00 45,000.00 Concrete Base Bid Timeerwolf Conlech Corners D-kerns $187,200.00 $220,950.00 $204,160.00 $119,350.00 Alt 5 42,80D.00 - $7,300.00 - $10,960.00 - $5,600.00 Alt 6 $2,500.00 45,700.00 - $3,960.00 - $3,750.00 Aft $13,100.00 $10,000.00 $6,530.00 Alta 418,700.00 $12,000.00 - $5,000.00 Precast Concrete Arrowhead Advanced Masonry Base Bid $163,400.00 $227.700.00 Masonry Advanced Wilke Brazeal Procraft Base Bid $80,960.00 $158,216.00 $77,200.00 $54,919.00 Alt 6 - $9,800.00 - $5,967.00 Alt 7 421,500.00 - $34,700.00 - $38,221.00 Steel (Material Supply & Emotion) Fig Tree Metal Building Intl. Green Country Base Bid $79,872.00 $101,987.00 $201,444.50 Alt 6 - $3,591.00 46,750.00 Millwork Base Bid Fadco Wood Systems $117,856.00 $148,204.00 Waterproofing, Damproofing, Sealants Base Bid OK Building Solutions klahoma Waterproofin Oklahoma Roofing $33,000.00 $18,445.00 $12,682.00 M �� Roofing Base Bid Atwell Roofing DP Byers �� Turner Roofing ��L Oklahoma Roofing Allwine Roofing �� �� �� $37,200.00 $77,026.00 $58,539.00 $69,100.00 $94,160.00 Allerante Doors, Frames, Hardware Base Bid Felix Thompson Munay Womble Builders Supply $115,205.00 $176,073.00 $93,550.00 Wood Doors (Supply) Base BItl Windor Supply Precision Door Felix Thompson $12,106.00 $18,790.00 $12,713.00 Storefront Glass & Glazing Base Bid Advantage Glass Robinson Glass Apax Glass Coulter & Co. $109,000.00 $106,598.00 $83,397.00 $79,466.00 Overhead Coiling Doors Base Bid Johnson Equip. Oklahoma Automatic Door Murray Womble Tulsa Overhead Door Overhead Door Co. $15,485.00 $13,442.00 $21,139.00 $17,906.00 $19,540.00 "Requested to withdraw bid Drywall and Ceilings Arrow Construction Southwest Drywall M L Jones Green Country Sennet/Cahill Base Bid $192,600.00 $197,977.00 $164,760.00 $1811 $211,732.00 Alt - $1,800.00 - $3,008.00 - $3,485.00 Tile and Commercial Flooring Base Bid FlorWght Carols Commercial Interior Concepts P T Enterprises $173,D4D.00 $156,662.00 $164,200.00 $144,570.00 Alt 1 - $19,671.00 - $13,500.00 - $20,600.00 •$18,470.00 Painting & Wallcoverings Base Bid Vale Painting JC Painting M L Jones Brothers United WIJo Interiors PT Enterprises Riverpaint Reiss Painting $86,575.00 $86,770.00 $97,300.00 $105,000.00 $103,600.00 $87,044.00 $121,831.00 $98,900.00 All - $12,830.00 - $9,760.00 - $14,100.00 - $28,000.00 - $6,825.00 - $10,660.00 - $13,419.00 - $6,300.00 Alto •$16,675.00 - $11,750.00 •$10,500.00 - $4.820.00 - $7,365.00 - $7,959.00 - $13,745.00 - $13,440.00 Alt 6 - $1,300.00 - $520.00 41,746.00 Building Specialties Base Bid Nabholz S A Installation $25,337.00 $21,815.00 "bid not complete Signage A -max Signs Felix Thompson Base Bid $181606.00 $29,006.00 Alterante Fire Suppression Base Bid American Fife Protection All American fire Frazier Fire Mac Systems $49,900.00 $46,730.00 $40,000.00 $42,340.00 Alterante Plumbing & HVAC Complete Base Bid McIntosh Services Action Inc. Devco Mechanical $582,740.00 $825,828.00 $847,000.00 Electrical, Fire Alarm, Security Base Bid Alliance Colbum Third Generation $1,183,500.00 $998,776.00 $1,265,000.00 Alt 421.613.00 - $31,100.00 Alt 8 $10,253.00 - $9,3BB.00 Asphalt Paving & Markings Ellsworth Paving Dunhems Ellsworth Cons. Base Bid $45,165.00 $36,330.00 $41,000.00 Alta $19,800.00 Earthwork & Site Utilities Base Bid Contech D -Kerns Cons. Timberwolf Ellsworth Cons. $150,250.00 $110,000.00 $168,200.00 $133,750.00 Ak8 - $32,000.00 - $16,000.00 - $41,000.00 - $19,475.00 Fencing Base Bid Ranchers Pipe & Steel Owasso Fence Empire Fence Cooks Fence $61,300.00 $88,800.00 $100,000.00 $75,891.00 Alt - $4,800.00 - $1,000.00 - $3,000.00 All? 1 - $61.300.00 - $75,000.00 - $60,000.00 - $57,186.00 Landscaping Base Bid Horizon $12,300.00 Alternates 1. Second Floor Flooring 2. Second Floor Painting 3, Second Floor Lighting 4. Detention Area Painting 5. New Perimeter Sidewalks 6. Outdoor Patio 7. Secured Parking Fencing 8. Demo House, Parking Lot P cu enfi 1TN Standard Form of Agreement Between Owner and Construction Manager as Constructor where the basis of payment is the Cost of the Work Plus a Fee with a Guaranteed Maximum Price Owasso Police Department Renovation ADDITIONS AND DELETIONS: AGREEMENT made as of the 1 st day of February in the year 2017 The author of this document has (In words, indicate dory, month and year) added information needed for its completion. The author may also BETWEEN the Owner: have revised the text of the original (Nacre, legal states and nddlesr) AIA standard form. An Additions and Wilson Estes Police Architects Deletions Report that notes added City of Owasso information as well as revisions to 102 West 2 "d Avenue the standard form text is available Owasso, OK 74055 from the author and should be reviewed. A vertical line in the left margin of this document indicates and the Construction Manager: where the author has added (Name, legal status and address) necessary information and where Nabllolz Construction Services the author has added to or deleted 10319 East 54" Street from the original AIA text. Tulsa, OK 74146 This document has important legal for the following Project: consequences. Consultation with an (Name and address w• location] attorney is encouraged with respect to its completion or modification. Owasso Police Department Renovation AIA Document A201- -2007• I I 1 N. Main General Conditions of the Contract Owasso, OK 74055 for Construction, is adopted in this document by reference. Do not use The Architect: with other general conditions unless (Name, legal status and add)ess) this document is modified. Wilson Estes Police Architects 523 Walnut St. Kansas City, MO 64106 The Owner's Designated Representative: (Name, address and other information) Warren Lehr City Manager City of Owasso 102 West 2 " Avenue Owasso, OK 74055 918 -376 -1500 The Construction Manager's Designated Representative: (Name, address and other information) Curt Hellen Nabholz Construction Corporation 10319 East 54" Street IniL AIA Document A133TM- 2009 (formerly A121 i °CMe- 2003). Copyright ®1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA- Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction ordistribution of this AIA- Document, or any portion of it, may result in severe civil and criminal penalties, and will no prosecuted to the maximum extent possible under the lava. t This document was produced by AIA software at 14:58:48 an 02/01/2017 under Order No.8621137397 i which expires on 05114/2017, and is act for resale. User Notes: — (1483616875) Tulsa, OK 74146 918 -632 -7200 The Architect's Designated Representative: (Nance, address and other information) Mr. James Estes Wilson Estes Police Architects 523 Walnut St. Kansas City, MO 64106 816 -298 -6700 The Owner and Construction Manager agree as follows AIA Document A133-- 2009 (formerly A121 `'Clyc — 2003). Copyright ®1991, 2003 and 20D9 by The American Institute of Architects. All rights reserved. Init. WARNING: This AIA,,' Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA" 2 Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 14:58:48 on 02/01/2017 under Order No.8621137397_1 which expires on 05/14/2017, and is not for resale. User Notes: (1483616875) TABLE OF ARTICLES 1 GENERAL PROVISIONS 2 CONSTRUCTION MANAGER'S RESPONSIBILITIES 3 OWNER'S RESPONSIBILITIES 4 COMPENSATION AND PAYMENTS FOR PRECONSTRUCTION PHASE SERVICES 5 COMPENSATION FOR CONSTRUCTION PHASE SERVICES 6 COST OF THE WORK FOR CONSTRUCTION PHASE 7 PAYMENTS FOR CONSTRUCTION PHASE SERVICES 8 INSURANCE AND BONDS 9 DISPUTE RESOLUTION 10 TERMINATION OR SUSPENSION 11 MISCELLANEOUS PROVISIONS 12 SCOPE OF THE AGREEMENT ARTICLE 1 GENERAL PROVISIONS § 1.1 The Contract Documents The Contract Documents consist of this Agreement, Conditions of the Contract (General, Supplementary and other Conditions), Drawings, Specifications, Addenda issued prior to the execution of this Agreement, other documents listed in this Agreement, and Modifications issued after execution of this Agreement, all of which form the Contract and are as fully a part of the Contract as if attached to this Agreement or repeated herein. Upon the Owner's acceptance of the Construction Manager's Guaranteed Maximum Price proposal, the Contract Documents will also include the documents described in Section 2.2.3 and identified in the Guaranteed Maximum Price Amendment and revisions prepared by the Architect and furnished by the Owner as described in Section 2.2.8. The Contract represents the entire and integrated agreement between the parties hereto and supersedes prior negotiations, representations or agreements, either written or oral. If anything in the other Contract Documents, other than a Modification, is inconsistent with this Agreement, this Agreement shall govern. § 1.1.1 Construction Manager shall exercise the degree of care, skill and diligence in the performance of the Construction Manager's Work, to assure its Work is performed in a good and workmanlike manner, consistent with construction industry standards for similar projects and circumstances in the same geographic area (hereinafter the "Construction Manager's Standard of Care "). The Construction Manager shall be responsible for and have control over all construction means, methods, techniques, sequences and procedures and for coordinating all portions of the Construction Manager's Work under this Agreement, including all coordination of the duties of all trades, and shall furnish efficient business administration and supervision of the Work. Construction Manager's Standard of Care specifically excludes any design or design - related responsibilities, and any action taken by Construction Manager under this Agreement does not and shall not be construed to approve, represent or warrant the adequacy and suitability of the plans and specifications for the purpose for which they are provided. § 1.1.2 To the extent the Owner requests that the Construction Manager provide services within standard of care, such as value analysis and /or constructability suggestions or comments with respect to the Drawings and Specifications, Owner acknowledges that such services are advisory only and not professional design services. The Owner shall refer all suggestions and comments to the Architect or other design professionals for review and evaluation prior to Owner's acceptance thereof. The Owner further acknowledges that the Construction Manager is loth AIA Document A1331•— 2009 (formerly A121 -CMe- 2003). Copyright ® 1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This Alt.'% Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA' Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. / This document was produced by AIA software at 14:58:48 on 02/0111017 under Order No.8621137397_I which expires on 05/14/2017, and is not for resale. User Notes: (1483616875) not responsible for adequacy of the drawings and specifications or for confirming the absence of errors or omissions that may exist therein. The Owner shall cause the Architect to revise the Drawings and Specifications to reflect all value analysis and constructability, suggestions and comments accepted by the Owner without delay or disruption to the timely and orderly progress of the work. The contract sum and contract time may be adjusted Upon the Contractor's review and pricing of the revised Drawings and Specifications. § 1.2 Relationship of the Parties The Construction Manager accepts the relationship of trust and confidence established by this Agreement and covenants with the Owner to cooperate with the Architect and exercise the Construction Manager's skill and judgment in furthering the interests of the Owner; to furnish efficient construction administration, management services and supervision; to fumish at all times an adequate supply of workers and materials; and to perform the Work in an expeditious and economical manner consistent with the Owner's interests. The Owner agrees to fumish or approve, in a timely manner, information required by the Construction Manager and to make payments to the Construction Manager in accordance with the requirements of the Contract Documents. § 1.3 General Conditions For the Preconstruction Phase, AIA Document A201TF1 -2007 (as amended), General Conditions of the Contract for Construction, shall apply only as specifically provided in this Agreement. For the Construction Phase, the general conditions of the contract shall be as set forth in A201 -2007 (as amended), which document is incorporated herein by reference. The term "Contractor" as used in A201 -2007 (as amended) shall mean the Construction Manager. ARTICLE 2 CONSTRUCTION MANAGER'S RESPONSIBILITIES The Construction Manager's Preconstruction Phase responsibilities are set forth in Sections 2.1 and 2.2. The Construction Manager's Construction Phase responsibilities are set forth in Section 2.3. The Owner and Construction Manager may agree for the Construction Phase to commence prior to completion of the Preconstruction Phase, in which case, both phases will proceed concurrently. The Construction Manager shall identify a representative authorized to act on behalf of the Construction Manager with respect to the Project. § 2.1 Preconstruction Phase § 2.1.1 The Construction Manager shall provide a preliminary evaluation of the Owner's program, schedule and construction budget requirements, each in terms of the other. § 2.1,2 Consultation The Construction Manager shall schedule and conduct meetings with the Architect and Owner to discuss such matters as procedures, progress, coordination, and scheduling of the Work. The Construction Manager shall advise the Owner and the Architect on proposed site use and improvements, selection of materials, and building systems and equipment. The Construction Manager shall also provide recommendations consistent with the Project requirements to the Owner and Architect on constructability; availability of materials and labor; time requirements for procurement, installation and construction; and factors related to construction cost including, but not limited to, costs of alternative designs or materials, preliminary budgets, and possible cost reductions. § 2.1.3 When Project requirements in Section 3. 1.1 have been sufficiently identified, the Construction Manager shall prepare and periodically update a Project schedule for the Owner's acceptance. The Construction Manager shall obtain the Architect's approval for the portion of the Project schedule relating to the performance of the Architect's services. The Project schedule shall coordinate and integrate the Construction Manager's services, the Architect's services, other Owner consultants' services, and the Owner's responsibilities and identify items that could affect the Project's timely completion. The updated Project schedule shall include the following: completion of various elements of the Architect's work, submission of the Guaranteed Maximum Price proposal; components of the Work; times of commencement and completion required of each Subcontractor (or appropriate breakdown of the Work); ordering and delivery of products, including those that must be ordered in advance of construction (if such products are known by or communicated to the Construction Manager) and the occupancy requirements of the Owner. § 2.1.4 Phased Construction The Construction Manager shall provide recommendations with regard to accelerated or fast -track scheduling, procurement, or phased construction. The Construction Manager shall take into consideration cost reductions, cost information, constructability, provisions for temporary facilities and procurement and construction scheduling issues. AIA Document A133- — 2009 (formerly A121 -CMe — 2003). Copydght 01991, 2003 and 2009 by The Amencen Insumre of mcnnecrs. wi nsvu Inft. WARNING: This AIA`' Document is protected by U.S. Copyright Law and international Treaties. Unauthorized reproduction or distribution of this AIA ' 4 Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible underthe law. ( This document was produced by AIA software at 14 :58:48 on 02/01/2017 under Order No.8621137397 1 which expires on 05/142017, and is not for resale. User Notes: § 2.1.5 Preliminary Cost Estimates § 2.1.5.1 Based on the preliminary design and other design criteria prepared by the Architect, the Construction Manager shall prepare preliminary estimates of the Cost of the Work or the cost of program requirements using area, volume or similar conceptual estimating techniques for the Architect's review and Owner's approval. If the Architect or Construction Manager suggest alternative materials and systems, the Construction Manager shall provide cost evaluations of those alternative materials and systems. § 2.1.5.2 As the Architect progresses with the preparation of the Schematic Design, Design Development and Construction Documents, the Construction Manager shall prepare and update, at appropriate intervals agreed to by the Owner and Construction Manager, estimates of the Cost of the Work of increasing detail and refinement until such time as the Owner and Construction Manager agree on a Guaranteed Maximum Price for the Work. Such estimates shall be provided for the Architect's review and the Owner's approval. The Construction Manager shall inform the Owner and Architect when estimates of the Cost of the Work exceed the latest approved Project budget and make recommendations for corrective action. § 2.1.6 Subcontractors and Suppliers The Construction Manager shall develop bidders' interest in the Project. § 2.1.7 Extent of Responsibility The Construction Manager shall exercise reasonable care in preparing schedules and estimates. The Construction Manager, however, does not warrant or guarantee estimates and schedules except as may be included as part of the Guaranteed Maximum Price. The Construction Manager is not required to ascertain that the Drawings and Specifications are in accordance with applicable laws, statutes, ordinances, codes, rules and regulations, or lawftd orders of public authorities, but the Construction Manager shall promptly report to the Architect and Owner any nonconformity discovered by or made known to the Construction Manager as a request for information in such form as the Architect may require. § 2.1.8 Notices and Compliance with Laws The Construction Manager shall comply with applicable laws, statutes, ordinances, codes, rules and regulations, and lawful orders of public authorities applicable to its performance under this Contract, and with equal employment opportunity programs, and other programs as may be required by governmental and quasi governmental authorities for inclusion in the Contract Documents. (Paragraphs deleted) § 2.2 Guaranteed Maximum Price Proposal and Contract Time § 2.2.1 When the Drawings and Specifications have been completed, the Construction Manager will solicit trade contractors for competitive bids in relevant trade categories. Upon completion of the bidding cycle, the Construction Manager shall propose a Guaranteed Maximum Price ( "GMP "), which shall be the sum of the estimated cost of work, including contingencies described in Section 2.2.4 and the Construction Manager's Fee. § 2.2.2 The Owner and Construction Manager acknowledge that the Construction Manager will/has developed the Guaranteed Maximum Price based upon completed Contract Documents "CDs ". In the event that the Owner and Construction Manager agree that the Construction Manager will develop a Guaranteed Maximum Price before the completion of the Contract Documents (CDs), in that such Drawings and Specifications do not contain all details and requirements of the Work, the Guaranteed Maximum Price will be based on certain assumptions by the Construction Manager. To the extent that the Drawings and Specifications are anticipated to require further development by the Architect, the Construction Manager will include an allowance to be identified in the GMP Amendment for such further development consistent with the Contract Documents and reasonably inferable therefrom. Such further development does not include such things as changes in scope, systems, kinds and quality of materials, finishes or equipment, or any condition which was not reasonably anticipated by the Construction Manager's assumptions regarding the completion ofthe design, all of which, if required shall be incorporated by Change Order for additional cost and/or time as required. If the Contract Documents (CDs) or final Drawings and Specifications require performance of the Work in any manner different from such assumptions, or contain changes in the scope of the Work to be performed by the Construction Manager, the Construction Manager shall as soon as practicable notify the Owner thereof and of the Construction Manager's Intl. AIA Document A133T °— 2009 (formerly A121 -CMc — 2003). Copyright ®1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIR" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA` S Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the lave. / This document was produced by AIA software at 14:58:48 on 02101/2017 under Order 14o.8621137397 1 which expires on 05114/2017, and is not for resale. User Notes: (1483616875) estimate of the resulting increase or decrease in the Guaranteed Maximum Price. At such time as the Owner and the Construction Manager have agreed upon the effect of such difference and /or changes in the scope of the Work, a Change Order shall be issued substituting the finished Contract Documents (CDs) for those described in this Agreement and the Guaranteed Maximum Price and Contract Time shall be adjusted as agreed by the parties. § 2.2.3 The Construction Manager shall include with the Guaranteed Maximum Price proposal a written statement of its basis, which shall include the following: .1 A list of the Drawings and Specifications, including all Addenda thereto, and the Conditions of the Contract; .2 A list of the clarifications and assumptions made by the Construction Manager in the preparation of the Guaranteed Maximum Price proposal, including assumptions under Section 2.2.2, to supplement the information provided by the Owner and contained in the Drawings and Specifications; .3 A statement of the proposed Guaranteed Maximum Price, including a statement of the estimated Cost of the Work organized by trade categories or systems, allowances, contingency, and the Construction Manager's Fee; .4 The anticipated date of Substantial Completion upon which the proposed Guaranteed Maximum Price is based; .5 A date by which the Owner must accept the Guaranteed Maximum Price; and .6 The Date of Commencement of the Work shall be within ten (10) days of receipt of 1) Owner's Notice to Proceed, 2) the issuance of all applicable permits, and 3) Proof of adequate financing for the Work by the Owner and/or Owner's lender (in a form suitable to the Construction Manager), whichever is later. § 2.2.4 The GMP shall contain a mutually agreeable and separately identified contingency (the "Construction Contingency ") for the sole use by the Construction Manager. The Construction Contingency is not allocated to any particular item of the cost of the Work and is established for the Cost of the Work incurred by the Construction Manager, including mitigation of weather impact, losses, expenses or damages not covered by insurance or bonds, low estimates or deviations from the estimated cost and overly aggressive scheduling or shortage of properly skilled workforce. It is understood by the Parties that this contingency is not to be allocated to costs due to errors and omissions in the Contract Documents (CDs) or to remedy, correct or resolve any inconsistencies, ambiguities, errors or omissions contained within the Architect's work product on which the Construction Manager's Guaranteed Maximum Price was based. § 2.2.5 The Construction Manager shall meet with the Owner to review the Guaranteed Maximum Price proposal. In the event that the Owner and Architect discover any inconsistencies or inaccuracies in the information presented, they shall promptly notify the Construction Manager, who shall make appropriate adjustments to the Guaranteed Maximum Price proposal, its basis, or both. § 2.2.6 If the Owner notifies the Construction Manager that the Owner has accepted the Guaranteed Maximum Price proposal in writing before the date specified in the Guaranteed Maximum Price proposal, the Guaranteed Maximum Price proposal shall be deemed effective without further acceptance from the Construction Manager. Following acceptance of a Guaranteed Maximum Price, the Owner and Construction Manager shall execute the Guaranteed Maximum Price Amendment amending this Agreement, a copy of which the Owner shall provide to the Architect. The Guaranteed Maximum Price Amendment shall set forth the agreed upon Guaranteed Maximum Price with the information and assumptions upon which it is based. § 2.2.7 Prior to the Owner's acceptance of the Construction Manager's Guaranteed Maximum Price proposal and issuance of a Notice to Proceed, with the exception of reimbursable costs associated with Preconstruction Services, the Construction Manager shall not incur any cost to be reimbursed as part of the Cost of the Work, except as the Owner may specifically authorize in writing. § 2.2.8 The Owner shall authorize the Architect to provide the revisions to the Drawings and Specifications to incorporate the agreed -upon assumptions and clarifications contained in the Guaranteed Maximum Price Amendment. The Owner shall promptly furnish those revised Drawings and Specifications to the Construction Manager as they are revised. The Construction Manager shall notify the Owner of any inconsistencies between the AIA Document A1331- -2009 (formerly A121r"CMc — 2003). Copyright ®1991, 2003 and 2009 by The American Institute of Architects. Alt rights reserved. Init. WARNING: This AIAx Document is protected by U.S. Copyright Law and International Treaties. Unauthorised reproduction or distribution of this AIA" 6 Document, or any portion of It, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. f This document was produced by AIA software at 14:58:48 an 02/01/2017 under Order No.8621137397 1 which expires on 0511412017, and is not for resale. User Notes: (1483616875) Guaranteed Maximum Price Amendment and the revised Drawings and Specifications, provided the Architect clouds all changes to the Drawings and Specifications on which the Guaranteed Maximum Price was based. § 2.2.9 The Construction Manager shall include in the Guaranteed Maximum Price all sales, consumer, use and similar taxes for the Work provided by the Construction Manager that are legally enacted at the time the Guaranteed Maximum Price Amendment is executed. § 2.3 Construction Phase § 2.3.1 General § 2.3.1.1 For purposes of Section 8.13 of A201 -2007 (as amended), the date of commencement of the Work shall mean the date of commencement of the Construction Phase. § 2.3.1.2 The Construction Phase shall commence upon the Owner's acceptance of the Construction Manager's Guaranteed Maximum Price proposal or the Owner's issuance of a Notice to Proceed, whichever occurs earlier. § 2.3.2 Administration § 2.3.2.1 Those portions of the Work that the Construction Manager does not customarily perform with the Construction Manager's own personnel shall be performed under subcontracts or by other appropriate agreements with the Construction Manager. The Owner may designate specific persons from whom, or entities from which, the Construction Manager shall obtain bids. However, ifthe Guaranteed Maximum Price has been established, the Owner may not prohibit the Construction Manager from obtaining bids from other bidders. The Construction Manager shall obtain bids from Subcontractors and from suppliers of materials or equipment fabricated especially for the Work and shall deliver such bids to the Owner. The Owner shall then determine, in consultation with the Construction Manager and the Architect, which bids will be accepted. The Construction Manager shall not be required to contract with anyone to whom the Construction Manager has reasonable objection. § 2.3.2.2 If the Guaranteed Maximum Price has been established and when a specific bidder (1) is recommended to the Owner by the Construction Manager, (2) is qualified to perform that portion of the Work, and (3) has submitted a bid that conforms to the requirements of the Contract Documents without reservations or exceptions, but the Owner requires that another bid be accepted, then the Construction Manager may require that a Change Order be issued to adjust the Contract Time and the Guaranteed Maximum Price by the difference between the bid of the person or entity recommended to the Owner by the Construction Manager and the amount and time requirement of the subcontract or other agreement actually signed with the person or entity designated by the Owner. § 2.3.2.3 Subcontracts or other agreements shall conform to the applicable payment provisions of this Agreement, and shall not be awarded on the basis of cost plus a fee without the prior consent of the Owner. If the subcontract is awarded on a costplus a fee basis, the Construction Manager shall provide in the subcontract for the Owner to receive the same audit rights with regard to the Subcontractor as the Owner receives with regard to the Construction Manager in Section 6.10 below. § 2.3.2.4 If the Construction Manager recommends a specific bidder that is a parent, subsidiary, affiliate, or other entity having common ownership or management with the Construction Manager, then the Construction Manager shall promptly notify the Owner in writing of such relationship and notify the Owner of the specific nature of the contemplated transaction. § 2.3.2.5 The Construction Manager shall schedule and conduct meetings to discuss such matters as procedures, progress, coordination, scheduling, and status of the Work. The Construction Manager shall prepare and promptly distribute minutes to the Owner and Architect. § 2.3.2.6 Upon the execution of the Guaranteed Maximum Price Amendment, the Construction Manager shall prepare and submit to the Owner and Architect a construction schedule for the Work and submittal schedule in accordance with Section 3.10 of A201 -2007 (as amended). § 2.3.2.7 The Construction Manager shall record the progress of the Project. On a monthly basis, or otherwise as agreed to by the Owner, the Construction Manager shall submit written progress reports to the Owner and Architect, showing percentages of completion and other information required by the Owner. The Construction Manager shall also keep, and make available to the Owner and Architect, a daily log containing a record for each day of weather, [nit. AIA Document A133° —2009 (formerly A121emCfdc- 2003). Copyright ®1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this Alk' Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. 7 1 This document was produced by AIA software at 14:58:48 on 02/012017 under Order No.8621137397_1 which expires on 05/1412017, and is not for resale. User Notes: (1483616875) portions of the Work in progress, number of workers on site, identification of equipment on site, problems that might affect progress of the work, accidents, injuries, and other information required by the Owner. § 2.3.2.8 The Construction Manager shall develop a system of cost control for the Work, including regular monitoring of actual costs for activities in progress and estimates for uncompleted tasks and proposed changes. § 2.4 Professional Services Section 3.12. 10 of A201 -2007 (as amended) shall apply to both the Preconstruction and Construction Phases. § 2.5 Hazardous Materials Section 10.3 of A201 -2007 (as amended) shall apply to both the Preconstruction and Construction Phases. ARTICLE 3 OWNER'S RESPONSIBILITIES § 3.1 Information and Services Required of the Owner § 3.1.1 The Owner shall provide information with reasonable promptness, regarding requirements for and limitations on the Project, including a written program which shall set forth the Owner's objectives, constraints, and criteria, including schedule, space requirements and relationships, flexibility and expandability, special equipment, systems sustainability and site requirements. § 3.1.2 Prior to the execution of the Guaranteed Maximum Price Amendment, the Construction Manager may request in writing that the Owner provide reasonable evidence that the Owner has made financial arrangements to fulfill the Owner's obligations under the Contract. Thereafter, the Construction Manager may only request such evidence if (1) the Owner fails to make payments to the Construction Manager as the Contract Documents require, (2) a change in the Work materially changes the Contract Sum, or (3) the Construction Manager identifies in ttTiting a reasonable concern regarding the Owner's ability to make payment when due. The Owner shall furnish such evidence as a condition precedent to commencement or continuation of the Work or the portion of the Work affected by a material change. After the Owner furnishes the evidence, the Owner shall not materially vary such financial arrangements without prior notice to the Construction Manager and Architect. § 3.1.3 The Owner shall establish and periodically update the Owner's budget for the Project, including (1) the budget for the Cost of the Work as defined in Section 6.1.1, (2) the Owner's other costs, and (3) reasonable contingencies related to all of these costs. If the Owner significantly increases or decreases the Owner's budget for the Cost of the Work, the Owner shall notify the Construction Manager and Architect. The Owner and the Architect, in consultation with the Construction Manager, shall thereafter agree to a corresponding change in the Project's scope and quality. § 3.1.4 Structural and Environmental Tests, Surveys and Reports. During the Preconstruction Phase, the Owner shall furnish the following information or services with reasonable promptness. The Owner shall also furnish any other information or services tinder the Owner's control and relevant to the Construction Manager's performance of the Work with reasonable promptness after receiving the Construction Manager's written request for such information or services. The Construction Manager shall be entitled to rely on the accuracy of information and services furnished by the Owner but shall exercise proper precautions relating to the safe performance of the Work. § 3.1.4.1 The Owner shall furnish tests, inspections and reports required by law and as otherwise agreed to by the parties, such as structural, mechanical, and chemical tests, tests for air and water pollution, and tests for hazardous materials. § 3.1.4.2 The Owner shall furnish surveys describing physical characteristics, legal limitations and utility locations for the site of the Project, and a legal description of the site. The surveys and legal information shall include, as applicable, grades and lines of streets, alleys, pavements and adjoining property and structures; designated wetlands; adjacent drainage; rights -of -way, restrictions, easements, encroachments, zoning, deed restrictions, boundaries and contours of the site; locations, dimensions and necessary data with respect to existing buildings, other improvements and trees; and information concerning available utility services and lines, both public and private, above and below grade, including inverts and depths. All the information on the survey shall be referenced to a Project benchmark. § 3.1.4.3 The Owner, when such services are requested, shall himish services of geotechnical engineers, which may include but are not limited to test borings, test pits, determinations of soil bearing values, percolation tests, AIA Document A133-- 2009 (formerly A121 i °CMc — 2003). Copyright ®1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. [nit. WARNING: This AIA "' Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA 8 Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. i This document was produced by AIA software at 14:58:48 on 02/0112017 under Order No.8621137397 1 which expires on 05114/2017. and is not for resale. User Notes: (1483616875) evaluations of hazardous materials, seismic evaluation, ground corrosion tests and resistivity tests, including necessary operations for anticipating subsoil conditions, with written reports and appropriate recommendations. § 3.1.4.4 During the Construction Phase, the Owner shall furnish information or services required of the Owner by the Contract Documents with reasonable promptness. The Owner shall also furnish any other information or services under the Owner's control and relevant to the Construction Manager's performance of the Work with reasonable promptness after receiving the Construction Manager's written request for such information or services. § 3.2 Owner's Designated Representative The Owner shall designate in writing a representative who shall have express authority to bind the Owner with respect to all matters requiring the Owners approval or authorization. The Owner's representative shall render decisions promptly and furnish information expeditiously, so as to avoid unreasonable delay in the services or Work of the Construction Manager. Except as otherwise provided in Section 4.2.1 of A201 -2007 (as amended), the Architect does not have such authority. The term "Owner" means the Owner or the Owner's authorized representative. § 3.2.1 Legal Requirements. The Owner shall ftmtish all legal, insurance and accounting services, including auditing services, that may be reasonably necessary at any time for the Project to meet the Owner's needs and interests. § 3.3 Architect The Owner shall retain an Architect to provide services, duties and responsibilities as described in AIA Document B103TA1 -2007, Standard Form of Agreement Between Owner and Architect, including any additional services requested by the Construction Manager that are necessary for the Preconstruction and Construction Phase services under this Agreement. The Owner shall provide the Construction Manager a copy of the executed agreement between the Owner and the Architect, and any further modifications to the agreement, ARTICLE 4 COMPENSATION AND PAYMENTS FOR PRECONSTRUCTION PHASE SERVICES § 4.1 Compensation § 4.1.1 For the Construction Managers Preconstruction Phase services, the Owner shall compensate the Construction Manager as follows: The fee for preconstruction services shall be a lump sum of Five Thousand Dollars ($5000.00). Any miscellaneous costs associated with the delivery of preconstruction services (printing, advertising, travel, etc.) shall be invoiced at direct cost of the item without mark -up or profit for the Construction Manager. Preconstruction Services will be invoiced on a pro-rata monthly basis for the term of the preconstruction services as identified in Article 4.1.2. § 4.1.2 (Paragraphs deleted) Compensation for Preconstruction Phase Services shall be equitably adjusted if such services extend beyond ( ) days from the date of this Agreement or if the originally contemplated scope of services is significantly modified. If preconstruction services extend past the time frame identified, the following rates shall apply and will be billed on a timecard basis for those individuals working on this project: Preconstruction Manager $95.00/hr Chief Estimator $75.00/hr Senior Project Manager $95.00/hr Constructability /Value Analysis Professional $90.00/hr Project Manager $75.00/hr General Superintendent $80.00/hr Project Coordinator $50.00/hr Clerical $35.00/hr Model Integrator $55.00lhr Owner acknowledges that the Chil ine Rates noted in this 4.1.2 are confidential and competitive to Construction Manager, and shall not be disclosed to any third -party without advance written authorization of Construction Manager's Operations President. Should the date ofcommencement, as defined in the initial solicitation, be delayed through no fault of the Construction Manager, the Construction Manager reserves the right to substitute [nit. AIA Document A133 -- 2009 (formerly A121 -CMe- 2003). Copyright 1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING This A]A" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction ordistrlbution of this AW, g Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. / This document was produced by AIA software at 14:58:48 on 02101/2017 under Order No.8621137397_I which expires on 05/1412017, and is not for resale. User Notes: (1483616875) project team members from those originally proposed or be entitled to compensation for those team members per the rate schedule list above. § 4.1.3 Compensation based oil Direct Personnel Expense includes the direct salaries of the Construction Manager's personnel providing Preconstruction Phase services on the Project and the Construction Manager's costs for the mandatory and customary contributions and benefits related thereto, such as employment taxes and other statutory employee benefits, insurance, sick leave, holidays, vacations, employee retirement plans and similar contributions. (Paragraph deleted) § 4.2 Payments § 4.2.1 Unless otherwise agreed, payments for services will be in accordance with 4.1.1. § 4.2.2 Payments are due and payable upon presentation of the Construction Manager's invoice. Amounts unpaid ( ) days after the invoice date shall bear interest at the rate entered below, or in the absence thereof at the legal rate prevailing from time to time at the principal place of business of the Construction Manager. (Insert rate of monthly or annual interest agreed upon.) ARTICLE 5 COMPENSATION FOR CONSTRUCTION PHASE SERVICES § 5.1 For the Construction Manager's performance of the Work as described in Section 2.3, the Owner shall pay the Construction Manager the Contract Sum in current finds for the Construction Manager's performance of the Contract. The Contract Sum is the Cost of the Work as defined in Section 6. 1.1 plus the Construction Manager's Fee. § 5.1.1 The Construction Manager's Fee: (State a hung surn, percentage of Cost of the Work or other provision far determining the Constriction Manager's Fee.) A lump sum equal to Five Percent (5 %) of the Cost of the Work. The Construction Manager's Fee shall be adjusted for changes in the Work by zero percent (0 %) for deductive changes and Five Percent (5 %) for additive changes. § 5.1.2 Rental rates for Construction Manager-owned equipment shall not exceed One Hundred percent ( 100% ) of the standard rate paid at the place of the Project. § 5.1.3 Unit prices, if any: (Identify and state the unit price; state the quantity limitations, ifary, to which the unit price will be applicable) Item Units and Limitations Price per Unit ($0.00) (Table deleted) (Paragraphs deleted) § 5.2 Guaranteed Maximum Price § 5.2.1 The Construction Manager guarantees that the Contract Sum shall not exceed the Guaranteed Maximum Price set forth in the Guaranteed Maximum Price Amendment, as it is amended from time to time. To the extent the Cost of the Work exceeds the Guaranteed Maximum Price, the Construction Manager shall bear such costs in excess of the Guaranteed Maximum Price without reimbursement or additional compensation from the Owner. (Insert specific provisions if the Construction Manager is to participate in any savings.) § 5.2.1.2 Owner acknowledges that the Guaranteed Maximum Price applies in the aggregate to all categories and line items of the Cost of Work as defined in Article 6 of this Agreement and in no event shall be considered a line item guarantee of the cost of any individual portion of the Work. § 5.2.2 The Guaranteed Maximum Price is subject to additions and deductions by Change Order as provided in the Contract Documents and the Date of Substantial Completion shall be subject to adjustment as provided in the Contract Documents. AIA Document A133i.— 2009 (formerly A121 -CMc — 2003). Copyright ®1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. Init. WARNING: This AIA' Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA- 10 Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 14:58:48 on 02/0112017 under Order No.8621137397 1 which expires on 05114!2017, and is not for resale. User Notes: (1483616875) 113 Changes in the Work § 5.3.1 The Owner may, without invalidating the Contract, order changes in the Work within the general scope of the Contract consisting of additions, deletions or other revisions. The Owner shall issue such changes in writing. The Architect may make minor changes in the Work as provided in Section 7.4 of AIA Document A201 -2007 (as amended), General Conditions of the Contract for Construction. The Construction Manager shall be entitled to an equitable adjustment in the Contract Time as a result of changes in the Work. § 5.3.2 Adjustments to the Guaranteed Maximum Price on account of changes in the Work subsequent to the execution of the Guaranteed Maximum Price Amendment may be determined by any of the methods listed in Section 7.3.3 of AIA Document A201 -2007 (as amended), General Conditions of the Contract for Construction. § 5.3.3 In calculating adjustments to subcontracts (except those awarded with the Owner's prior consent on the basis of cost plus a fee), the terms "cost" and "fee" as used in Section 73.33 of AIA Document A201 -2007 (as amended) and the term "costs" as used in Section 7.3.7 of AIA Document A201 -2007 (as amended) shall have the meanings assigned to them in AIA Document A201 -2007 (as amended) and shall not be modified by Sections 5.1 and 5.2, Sections 6.1 through 6.7, and Section 6.8 of this Agreement. Adjustments to subcontracts awarded with the Owner's prior consent on the basis of cost plus a fee shall be calculated in accordance with the terms of those subcontracts. § 5.3.4 In calculating adjustments to the Guaranteed Maximum Price, the terms "cost" and "costs" as used in the above - referenced provisions of AIA Document A201 -2007 (as amended) shall mean the Cost of the Work as defined in Sections 6.1 to 6.7 of this Agreement and the term "fee" shall mean the Construction Manager's Fee as defined in Section 5.1 of this Agreement. § 5.3.5 If no specific provision is made in Section 5.1.2 for adjustment of the Construction Manager's Fee in the case of changes in the Work, or if the extent of such changes is such, in the aggregate, that application of the adjustment provisions of Section 5.1.2 will cause substantial inequity to the Owner or Construction Manager, the Construction Manager's Fee shall be equitably adjusted on the same basis that was used to establish the Fee for the original Work, and the Guaranteed Maximum Price shall be adjusted accordingly. ARTICLE 6 COST OF THE WORK FOR CONSTRUCTION PHASE § 6.1 Costs to Be Reimbursed § 6.1.1 The term Cost of the Work shall mean costs necessarily incurred by the Construction Manager in the proper performance ofthe Work. The Cost ofthe Work shall include only the items set forth in Sections 6.1 through 6.7. § 6.1.1.1 The sum for General Conditions will be billed as a lump sum and paid in monthly installments commencing with the next calendar month following the date of commencement of construction of the Project and concluding on the date of completion of the Work. Payments will be prorated for part of a calendar month at the commencement of construction and the calendar month in which Final Completion occurs. § 6.1.2 Where any cost is subject to the Owner's prior approval, the Construction Manager shall obtain this approval prior to incurring the cost. The parties shall endeavor to identify any such costs prior to executing Guaranteed Maximum Price Amendment. § 6.2 Labor Costs § 6.2.1 Wages of construction workers directly employed by the Construction Manager to perform the construction of the Work at the site or at off -site locations or workshops. § 6.2.2 Salaries and burden of the Construction Manager's supervisory, projectloperations management, executive, safety and administrative personnel, when engaged in execution of the Work, whether at the site, at the Construction Manager's principal office or offices other than the site office. These persons costs will be charged on an hourly basis and will be included in an agreed upon General Conditions costs. Classification Name [nit � ---- olI. I m - -euue trormeny A121—CMe- 2003). Copyright ®1991.2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA°- Document is protected by U.B. Copyright Law and International Treaties. Unauthorized reproduction ordistrilmu,, of this AIA, Document, or any portion of it, may result in severe civil slid criminal penalties, and w111 be prosccutetl to the maximum extent possible under the law. 11 / This document was produced by AIA software at 14:58:48 on 02101/2017 under Order No.8621137397 1 which expires on 05/14/2017, and is not for resale. User Notes: — (1483616875) (If it is intended that the wvages or salaries ofcerfain personnel stationed at the Construction Manager's principal office or offices other than the site office shall be included in the Cost ofthe Work, such personnel shall be identified below.) § 6.2.3 Costs paid or incurred by the Construction Manager for taxes, insurance, contributions, assessments and benefits required by law or collective bargaining agreements, and, for personnel not covered by such agreements, customary benefits such as sick leave, medical and health benefits, holidays, vacations and pensions, collectively referred to as "Labor Burden ", shall be charged at a flat rate of 49% of base wage, provided that such costs are based on wages and salaries included in the Cost of the Work as described herein. Owner acknowledges that the Labor Burden rate set in this 6.2.3 is confidential and competitive to Construction Manager, and shall not be disclosed to any third -party without advance written authorization of Construction Manager's Operations President. § 6.2.4 The Contract Sum is based upon the Project not being subject to State and Federal Prevailing Wage Law. In the event that this Project becomes subject to State or Federal Prevailing Wage Law the Contract Sum will be adjusted accordingly. § 6.2.5 Bonuses, profit sharing, incentive compensation and any other discretionary payments paid to anyone hired by the Construction Manager or paid to any Subcontractor or vendor, with the Owner's prior approval. § 6.3 Subcontract Costs Payments made by the Construction Manager to Subcontractors in accordance with the requirements of the subcontracts. § 6.4 Costs of Materials and Equipment Incorporated in the Completed Construction § 6.4.1 Costs, including transportation and storage, of materials and equipment incorporated or to be incorporated in the completed construction. § 6.4.2 Costs of materials described in the preceding Section 6.4.1 in excess of those actually installed to allow for reasonable waste and spoilage. Unused excess materials, if any, shall become the Owner's property at the completion of the Work or, at the Owner's option, shall be sold by the Construction Manager. Any amounts realized from such sales shall be credited to the Owner as a deduction from the Cost of the Work. § 6.5 Costs of Other Materials and Equipment, Temporary Facilities and Related Items § 6.5.1 Costs of transportation, storage, installation, maintenance, dismantling and removal of materials, supplies, temporary facilities, machinery, equipment and hand tools not customarily owned by construction workers that are provided by the Construction Manager at the site and fully consumed in the performance of the Work. Costs of materials, supplies, temporary facilities, machinery, equipment and tools that are not fully consumed shall be based on the cost or value of the item at the time it is first used on the Project site less the value of the item when it is no longer used at the Project site. Costs for items not fully consumed by the Construction Manager shall mean fair market value. § 6.5.2 Rental charges for temporary facilities, machinery, equipment and hand tools not owned by the construction workers, which are provided by the Construction Manager at the site, whether rented from the Construction Manager or others, and costs of transportation, installation, minor repairs and replacements, dismantling and removal thereof. Equipment owned by the Construction manager shall be rented at a rate not to exceed the standard rental rate in the geographical area in which the project is located. § 6.5.3 Costs of removal of debris and /or costs associated with diverting waste to a waste recycling center from the site ofthe Work and its proper and legal disposal. § 6.5.4 Costs of document reproductions, facsimile transmissions and long-distance telephone calls, data lines, postage and parcel delivery charges, telephone service at the site and reasonable petty cash expenses of the site office. § 6.5.5 That portion of the reasonable expenses of the Construction Manager's supervisory or administrative personnel incurred while traveling in discharge of duties connected with the Work. AIA Document A133--2009 (formerly A121TMCMe- 2003). Copyright 1991, 2003 and 2009 by The American mstnute of wcnnecss. wi nears ruservuu. Init. WARNING: This AIA-' Document is protected by U.S. Copyright Law and international Treaties. Unauthorized reproduction or distribution of this AIA= 12 Document, or any portion of it, may result In severe civil and criminal penalties, and will he prosecuted to the maximum extent possible under the law. t This documentwas produced by AIA software at 14:58:48 on 02/01/2017 under Order No.8621137397 1 which expires on 05/1412017, and is not for resale. User Notes: (1483616875) § 6.5.6 Costs of materials and equipment suitably stored off the site at a mutually acceptable location, subject to the Owner's prior approval § 6.6 Miscellaneous Costs § 6.6.1 Premiums for that portion of insurance, bonds and other surety programs required by the Contract Documents and the Construction Manager that can be directly attributed to this Contract. Self - insurance for either full or partial amounts of the coverages required by the Contract Documents, with the Owner's prior approval. § 6.6.2 Sales, use or similar taxes imposed by a governmental authority that are related to the Work and for which the Construction Manager is liable. § 6.6.3 Fees and assessments for the building permit and for other permits, licenses and inspections for which the Construction Manager is required by the Contract Documents to pay. § 6.6.4 Fees of laboratories for tests required by the Contract Documents, except those related to defective or nonconforming Work for which reimbursement is excluded by Section 13.5.3 of AIA Document A201 -2007 (as amended) or by other provisions of the Contract Documents, and which do not fall within the scope of Section 6.7.3. § 6.6.5 Royalties and license fees paid for the use of a particular design, process or product required by the Contract Documents; the cost of defending suits or claims for infringement of patent rights arising from such requirement of the Contract Documents; and payments made in accordance with legal judgments against the Construction Manager resulting from such suits or claims and payments of settlements made with the Owner's consent. However, such costs of legal defenses, judgments and settlements shall not be included in the calculation of the Construction Manager's Fee or subject to the Guaranteed Maximum Price. If such royalties, fees and costs are excluded by the last sentence of Section 3.17 of AIA Document A201 -2007 (as amended) or other provisions of the Contract Documents, then they shall not be included in the Cost of the Work. § 6.6.6 Costs for electronic equipment and software, directly related to the Work. § 6.6.7 Deposits lost for causes other than the Construction Manager's negligence or failure to fulfill a specific responsibility in the Contract Documents. § 6.6.8 Legal, mediation and arbitration costs, including attorneys' fees, other than those arising from disputes between the Owner and Construction Manager, reasonably incurred by the Construction Manager after the execution of this Agreement in the performance of the Work and with the Owner's prior approval, wfiich shall not be unreasonably withheld. § 6.6.9 Expenses incurred in accordance with the Construction Manager's standard written personnel policy for relocation and temporary living allowances of the Construction Manager's personnel required for the Work. § 6.7 Other Costs and Emergencies § 6.7.1 Other costs incurred in the performance of the Work if, and to the extent, approved in advance in writing by the Owner. § 6.7.2 Costs incurred in taking action to prevent threatened damage, injury or loss in case of an emergency affecting the safety of persons and property, as provided in Section 10.4 of AIA Document A201 -2007 (as amended). § 6.7.3 Costs of repairing or correcting damaged or nonconforming Work executed by the Construction Manager, Subcontractors or suppliers, provided that such damaged or nonconforming Work was not caused by negligence or failure to fulfill a specific responsibility of the Construction Manager and only to the extent that the cost of repair or correction is not recovered by the Construction Manager from insurance, sureties, Subcontractors, suppliers, or others. AIA Document A133TM— 2009 (formerly A1211 °CMc- 2003). Copyright ® 1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. Init. WARNING: This AIA'' Document is protected by U.S. Copyright Law and International Trestles. Unauthorized reproduction ordistribution of this AIA,- 13 Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. / This document was produced by AIA software at 14:58:48 on 02/01/2017 under Order No.8621137397_1 which expires on 0511412017, and is not for resale. User Notes: (1483616875) § 6.7.4 The costs described in Sections 6.1 through 6.7 shall be included in the Cost of the Work, notwithstanding any provision of AIA Document A201 -2007 (as amended) or other Conditions of the Contract which may require the Construction Manager to pay such costs, unless such costs are excluded by the provisions of Section 6.8. § 6.8 Costs Not To Be Reimbursed § 6.8.1 The Cost of the Work shall not include the items listed below: .1 Salaries and other compensation of the Construction Manager's personnel stationed at the Construction Manager's principal office or offices other than the site office, except as specifically provided in Section 6.2, or as may be provided in Article 11; .2 Expenses of the Construction Manager's principal office and offices other than the site office; .3 Overhead and general expenses, except as may be expressly included in Sections 6.1 to 6.7; .4 The Construction Manager's capital expenses, including interest on the Construction Manager's capital employed for the Work; .5 Except as provided in Section 6.7.3 of this Agreement, costs due to the negligence or failure of the Construction Manager, Subcontractors and suppliers or anyone directly or indirectly employed by any of them or for whose acts any of them may be liable to fulfill a specific responsibility of the Contract; .6 Any cost not specifically and expressly described in Sections 6.1 to 6.7; and .7 Costs, other than costs included in Change Orders approved by the Owner, that would cause the Guaranteed Maximum Price to be exceeded. § 6.9 Discounts, Rebates and Refunds § 6.9.1 Cash discounts obtained on payments made by the Construction Manager shall accrue to the Owner if (1) before making the payment, the Construction Manager included them in an Application for Payment and received payment from the Owner, or (2) the Owner has deposited funds with the Construction Manager with which to make payments; otherwise, cash discounts shall accrue to the Construction Manager. Trade discounts, rebates, refunds and amounts received from sales of surplus materials and equipment shall accrue to the Owner, and the Construction Manager shall make provisions so that they can be obtained. § 6.9.2 Amounts that accrue to the Owner in accordance with the provisions of Section 6.9.1 shall be credited to the Owner as a deduction from the Cost of the Work. § 6.10 Accounting Records The Construction Manager shall keep full and detailed records and accounts related to the cost of the Work and exercise such controls as may be necessary for proper financial management under this Contract and to substantiate all costs incurred. The Owner and the Owner's auditors shall, during regular business hours and upon reasonable notice, be afforded access to, and shall be permitted to audit and copy, the Construction Manager's records and accounts, including complete documentation supporting accounting entries, books, correspondence, instructions, drawings, receipts, subcontracts, Subcontractor's proposals, purchase orders, vouchers, memoranda and other data relating to this Contract. The Construction Manager shall preserve these records for a period of three years after final payment, or for such longer period as may be required by law. (Paragraphs deleted) § 6.11 The Contractor shall not be obligated to provide any services, information or documentation relating to its Work to auditors working on a contingency fee basis (auditor's fees calculated as a percentage of the client's net recovery), nor shall any reimbursement obligation otherwise required by the Contract Documents be applicable to Contractor when an auditor is hired by Owner on a contingency fee basis. ARTICLE 7 PAYMENTS FOR CONSTRUCTION PHASE SERVICES § 7.1 Progress Payments § 7.1.1 Based upon Applications for Payment submitted to the Architect by the Construction Manager and Certificates for Payment issued by the Architect, the Owner shall make progress payments on account of the Contract Sum to the Construction Manager as provided below and elsewhere in the Contract Documents. § 7.1.2 The period covered by each Application for Payment shall be one calendar month ending on the last day of the month, or as follows: ]nit A] A Document A13F° — 2009 (formerly A12170CMc — 2003). Copyright ®1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA' Document is protected by U.S. Copyright Law and International Treaties. Unarrthorized reproduction or distribution of this AiA0 14 Document, or any portion of it, may result in severe civil and criminal penalties, and will he prosecuted to the maximum extent possible under the law. / This documentwas produced by AIA software at 14:58:48 on 02/01/2017 under Order No.8621137397 1 which expires on 05114/2017, and is not for resale. User Notes: (1483616875) § 7.1.3 Provided an Application for Payment is received by the architect not later than the 1 � day of the month, the Owner shall make payment to the Construction Manager not later than the 20" day of the same month. If an Application for Payment is received by the Architect after the application date fixed above, payment shall be made by the Owner not later than 30 days after the Architect received the Application for Payment. Owner and Construction Manager agree to the terms outlined in 4.2.2 shall apply to this article 7.1.3. An Application for Payment shall be deemed certified 14 days after submittal Unless the Owner or Architect objects to all or part of the Application for Payment within 14 days of submittal. § 7.1.4 if required by the Owner, with each Application for Payment, the Construction Manager shall submit a detailed cost transaction report generated from the Construction Manager's accounting system, and upon request by the Owner or Architect, shall provide any other evidence reasonably required by the Owner or Architect to demonstrate that cash disbursements already made by the Construction Manager on account of the Cost of the Work equal or exceed (I ) progress payments already received by the Construction Manager, less (2) that portion of those payments attributable to the Construction Manager's Fee, plus (3) payrolls for the period covered by the present Application for Payment. § 7.1.5 Each Application for Payment shall be based on the most recent schedule of values submitted by the Construction Manager in accordance with the Contract Documents. The schedule of values shall allocate the entire Guaranteed Maximum Price among the various portions of the Work, except that the Construction Manager's Fee shall be shown as a single separate item. The schedule of values shall be prepared in such form and supported by such data to substantiate its accuracy as the Architect may require. This schedule, unless objected to by the Architect, shall be used as a basis for reviewing the Construction Manager's Applications for Payment. § 7.1.6 Applications for Payment shall show the percentage of completion of each portion of the Work as of the end of the period covered by the Application for Payment. The percentage of completion shall be the lesser of (1) the percentage of that portion of the Work which has actually been completed, or (2) the percentage obtained by dividing (a) the expense that has actually been incurred by the Construction Manager on account of that portion of the Work for which the Construction Manager has made or intends to make actual payment prior to the next Application for Payment by (b) the share of the Guaranteed Maximum Price allocated to that portion of the Work in the schedule of values. § 7.1.7 Subject to other provisions of the Contract Documents, the amount of each progress payment shall be computed as follows: .1 Take that portion of the Guaranteed Maximum Price properly allocable to completed Work as determined by multiplying the percentage of completion of each portion of the Work by the share of the Guaranteed Maximum Price allocated to that portion of the Work in the schedule of values. Pending final determination of cost to the Owner of changes in the Work, amounts not in dispute shall be included as provided in Section 7.3.9 of AIA Document A201 -2007 (as amended); .2 Add that portion of the Guaranteed Maximum Price properly allocable to materials and equipment delivered and suitably stored at the site for subsequent incorporation in the Work, or if approved in advance by the Owner, suitably stored off the site at a location agreed upon in writing; .3 Add the Construction Manager's Fee, less retainage of Zero ( 0% ). The Construction Manager's Fee shall be computed upon the Cost of the Work at the rate stated in Section 5. 1.1 or, if the Construction Manager's Fee is stated as a fixed sum in that Section, shall be an amount that bears the same ratio to that fixed -sum fee as the Cost of the Work bears to a reasonable estimate of the probable Cost of the Work upon its completion; .4 Subtract retainage of Zero ( 0% ) from that portion of the Work that the Construction Manager self - performs; .5 Subtract the aggregate of previous payments made by the Owner; .6 Subtract the shortfall, if any, indicated by the Construction Manager in the documentation required by Section 7.1.4 to substantiate prior Applications for Payment, or resulting from errors subsequently discovered by the Owner's auditors in such documentation; and .7 Subtract amounts, if any, for which the Architect has withheld or nullified a Certificate for Payment as provided in Section 9.5 of AIA Document A201 -2007 (as amended). lost AIA Document A133TM -2009 (formerly A121mCMC — 2003). Copyright ®1991, 2003 and 2009 by The Ameliaan In.btute of Architects. All rights reserved. 'WARNING: This AIA'= Document is protected by U.S. Copyright law and International Treaties. Unauthorized reproduction or distdbutlon of this AIA' Document, or any portion of it, may result in severe civil and criminal penalties, and will bu prosecuted to the maximum extent possible under the law. 15 This document was produced by AIA software at 14:58:48 on 02101/2017 under Order No.8621137397 1 which expires on 05/14/2017, and is not for resale. User Notes: — (1483616875) § 7.1.8 Except with the Owner's prior approval, payments to Subcontractors shall be subject to retention of not less than Five percent ( 5% ). Upon recommendation of the Construction Manager, a Subcontractor's retainage may be reduced by a percentage established and agreed upon by the Construction Manager. The full ten percent (10 %) retainage may be reinstated with respect to remaining payments for identified Subcontractors whose manner of completion of the work and its progress do not remain satisfactory to the Construction Manager and/or the Owner, or if any surety withholds its consent, or for other good and sufficient reasons. § 7.1.91f the manner of completion of the work, and its progress are and remain satisfactory for the Owner, and the Work is shown at fifty percent (50 %) or more complete in the Application for Payment, without reduction of previous retainage, no further retainage will be withheld. § 7.1.10 In taking action on the Construction Manager's Applications for Payment, the Architect shall be entitled to rely on the accuracy and completeness of the information furnished by the Construction Manager and shall not be deemed to represent that the Architect has made a detailed examination, audit or arithmetic verification of the documentation submitted in accordance with Section 7.1.4 or other supporting data; that the Architect has made exhaustive or continuous on -site inspections; or that the Architect has made examinations to ascertain how or for what purposes the Construction Manager has used amounts previously paid on account of the Contract. Such examinations, audits and verifications, if required by the Owner, will be performed by the Owner's auditors acting in the sole interest of the Owner. § 7.1.11 Except with the Owner's prior approval, the Construction Manager shall not make advance payments to suppliers for materials or equipment which have not been delivered and stored at the site. §7.1.12 The receipt by Construction Manager of a partial payment of any amount due to Construction Manager endorsed as payment in full will be deemed to be a part payment only, and any endorsements or statements on a check or other form of commercial paper, or any other document accompanying the payment, shall not be deemed an accord and/or satisfaction, notwithstanding such endorsements. § 7.2 Final Payment § 7.2.1 Final payment, constituting the entire unpaid balance of the Contract Sum, shall be made by the Owner to the Construction Manager when .1 the Construction Manager has fully performed the Contract except for the Construction Manager's responsibility to correct Work as provided in Section 12.2 .2 of AIA Document A201 -2007 (as amended). .2 the Construction Manager has submitted a final accounting for the Cost of the Work and a final Application for Payment; and .3 a final Certificate for Payment has been issued by the Architect. The Owner's final payment to the Construction Manager shall be made no later than 30 days after the issuance of the Architect's final Certificate for Payment, or as follows: § 7.2.2 The Owner's auditors will review and report in writing on the Construction Manager's final accounting within 30 days after delivery of the final accounting to the Architect by the Construction Manager. Based upon such Cost of the Work as the Owner's auditors report to be substantiated by the Construction Manager's final accounting, and provided the other conditions of Section 7.2.1 have been met, the Architect will, within seven days after receipt of the written report of the Owner's auditors, either issue to the Owner a final Certificate for Payment with a copy to the Construction Manager, or notify the Construction Manager and Owner in writing of the Architect's reasons for withholding a certificate as provided in Section 9.5.1 of the AIA Document A201 -2007 (as amended). The time periods stated in this Section supersede those stated in Section 9.4.1 of the AIA Document A201 -2007 (as amended). The Architect is not responsible for verifying the accuracy of the Construction Manager's final accounting. § 7.2.31f the Owner's auditors report the Cost of the Work as substantiated by the Construction Manager's final accounting to be less than claimed by the Construction Manager, the Construction Manager shall be entitled to request mediation of the disputed amount without seeking an initial decision pursuant to Section 15 .2 of A201 -2007 AI Init. A Document A13V — 2009 (formerly A121 -CMc- 2003). Copyright ® 1991, 2003 and 2009 by The Amencan Insi tune of umuecm. wI ngnu: rasarvea. WARNING: This AIA Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA" 16 Document, or any portion of it, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AJA software at 14:58:48 on 02/01/2017 under Order No.8621137397 1 which expires on 05/1411017, and is not for resale. User Notes: (1483616875) (as amended). A request for mediation shall be made by the Construction Manager within 30 days after the Construction Manager's receipt of copy of the Architect's final Certificate for Payment. Failure to request mediation within this 30 -day period shall result in the substantiated amount reported by the Owner's auditors becoming binding on the Construction Manager. Pending a final resolution of the disputed amount, the Owner shall pay the Construction Manager the amount certified in the Architect's final Certificate for Payment. § 7.2.4 If subsequent to final payment and at the Owner's request, the Construction Manager incurs costs described in Section 6. 1.1 and not excluded by Section 6.8 to correct defective or nonconforming Work, the Owner shall reimburse the Construction Manager such costs and the Construction Manager's Fee applicable thereto on the same basis as if such costs had been incurred prior to final payment, but not in excess of the Guaranteed Maximum Price. If the Construction Manager has participated in savings as provided in Section 5.2.1, the amount of such savings shall be recalculated and appropriate credit given to the Owner in determining the net amount to be paid by the Owner to the Construction Manager. ARTICLE 8 INSURANCE AND BONDS § 8.1 For all phases of the Project, the Construction Manager and the Owner shall purchase and maintain insurance, and the Construction Manager shall provide bonds as set forth in Article I t of AIA Document A201 -2007 (as amended). (State bonding mquirenients, ifaiy, and limits ofliabilitp for insurance required in Article 11 ofA14 Document A201 -2007 (as amended).) § 8.1.1 Workers' Compensation and Employers' Liability meeting statutory limits mandated by state and federal laws. If (1) limits in excess of those required by statute are to be provided, or (2) the employer is not statutorily bound to obtain such insurance coverage or (3) additional coverages are required, additional coverages and limits for such insurance shall be as follows: § 8.1.2 Commercial General Liability including coverage for Premises- Operations, Independent Contractors' Protective, Products - Completed Operations, Contractual Liability, Personal Injury and Broad Form Property Damage (including coverage for Explosion, Collapse and Underground hazards): $ 2,000,000 Each Occurrence $ 4,000,000 General Aggregate $ 2,000,000 Personal and Advertising Injury $ 4,000,000 Products - Completed Operations Aggregate .1 The policy shall be endorsed to have the General Aggregate apply to this Project only. .2 Products and Completed Operations insurance shall be maintained for a minimum period of at least ( 1 ) year(s) after either 90 days following Substantial Completion or final payment, whichever is earlier. .3 The Contractual Liability insurance shall include coverage sufficient to meet the obligations in Section 3.18 of A201 T`1-2007 (as amended). § 8.1.3 Automobile Liability (owned, non -owned and hired vehicles) for bodily injury and property damage: $1,000,000 Each Accident § 8.1.4 Other coverage: $ 25,000,000 — Umbrella Coverage That portion of insurance including deductibles and bond premiums that can be directly attributed to this Contract and expenses for Subcontractor Surety shall be reimbursed at the following rate: 1) Construction Manager's Subcontractor Default Insurance (SDI) at one - point - two-five percent (1.25%) of the subcontract value; or 2) Construction Manager's actual premium cost of the above. Application of SDI or surety bond shall be at thesole discretion of the Construction Manager. Init. AIA Document A133 -- 2009 (formerly A121L `CMc — 2003). Copyright ® 1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction ordistribution of this AIA" 17 Document, or any portion of it, may result in savere civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 14:58:48 an 02/0112017 under Order No.8621137397 1 which expires on 05/14/2017, and is not for resale. User Notes: (1483616676) The cost of the Construction Manager's insurance program shall be reimbursed at the rate of $8.50 per thousand dollars of Contract Sum. Rates shall be subject to adjustment on the first day of each calendar year if required by the Construction Manager. The Construction Manager will maintain Builders Risk Insurance at the rate of $0.15 per thousand of Contract Sum per month to insure the components of the Project while under construction and shall also maintain General Liability coverage as identified above to insure against losses to the adjacent structures from damage which may be caused by construction activity. Owner acknowledges that the information provided in this 8.1.4 is trade secret, proprietary, or otherwise confidential and competitive to Construction Manager, and shall not be disclosed to any third -party without advance written authorization of Construction Manager's Operations President. (If Umbrella Excess Liability coverage is required over the primary insurance or retention, insert the coverage limits. Commercial General Liability and Automobile Liability limits may be attained by individual policies or by a combination ofprinnary policies and Umbrella and/or Excess Liability policies. If Project Management Protective Liability Insurance is to be provided, state the limits here.) (fable deleted) § 8.1.5 If required, the Construction Manager shall furnish bonds covering faithful performance of the Contract and payment of obligations arising thereunder. Bonds may be obtained through the Construction Manager's usual source, and the cost thereof shall be included in the Cost of the Work. The amount of each bond shall be equal to one hundred percent (100%) of the Contract Sum. ARTICLE 9 DISPUTE RESOLUTION § 9.1 Any Claim between the Owner and Construction Manager shall be resolved in accordance with the provisions set forth in this Article 9 and Article 15 of A201 -2007 (as amended). However, for Claims arising from or relating to the Construction Manager's Preconstruction Phase services, no decision by the Initial Decision Maker shall be required as a condition precedent to mediation or binding dispute resolution. § 9.2 For any Claim subject to, but not resolved by mediation pursuant to Section 15.3 of AIA Document A201 -2007 (as amended), the method of binding dispute resolution shall be as follows: (Check the appropriate box. if the 0lvner and Construction Manager do not select a method of binding dispute resolution below, or do not subsequently agree in writing to a binding dispute resolution method other than litigation, Claims hill be resolved by litigation in a court ofcontpeterri jurisdiction.) [ X ] Arbitration pursuant to Section 15.4 of AIA Document A201 -2007 (as amended) ] Litigation in a court of competent jurisdiction ] Other: (Specify) (Paragraphs deleted) ARTICLE 10 TERMINATION OR SUSPENSION § 10.1 Termination Prior to Establishment of the Guaranteed Maximum Price § 10.1.1 Prior to the execution of the Guaranteed Maximum Price Amendment, the Owner may terminate this Agreement upon not less than seven days' written notice to the Construction Manager for the Owner's convenience and without cause, and the Construction Manager may terminate this Agreement, upon not less than seven days' written notice to the Owner, for the reasons set forth in Section 14. 1.1 of A201 -2007 (as amended). § 10.1.2 In the event of termination of this Agreement pursuant to Section 10.1.1, the Construction Manager shall be equitably compensated for Preconstruction Phase services performed prior to receipt of a notice of termination. In no event shall the Construction Manager's compensation under this Section exceed the compensation set forth in Section 4.1. § 10.1.3 If the Owner terminates the Contract pursuant to Section 10.1.1 after the commencement of the Construction Phase but prior to the execution of the Guaranteed Maximum Price Amendment, the Owner shall pay Init. AIA Document A13F -- 20091formerly A121TMWc- 2003). Copyright ® 1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA'% Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA" 18 Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible underthe law. t This document was produced by AIA software at 14:58:48 on 02/01/2017 under Order No.8 6211 37 397_1 which expires on 051142017, and is not for resale. User Notes: (1483616875) to the Construction Manager an amount calculated as follows, which amount shall be in addition to any compensation paid to the Construction Manager under Section 10.11: .1 Take the Cost of the Work incurred by the Construction Manager to the date of termination; .2 Add the Construction Manager's Fee computed upon the Cost of the Work to the date of termination at the rate stated in Section 5.1 or, if the Construction Manager's Fee is stated as a fixed sum in that Section, an amount that bears the same ratio to that fixed -sum Fee as the Cost of the Work at the time of termination bears to a reasonable estimate of the probable Cost of the Work upon its completion; and .3 Subtract the aggregate of previous payments made by the Owner for Construction Phase services. The Owner shall also pay the Construction Manager fair compensation, either by purchase or rental at the election of the Owner, for any equipment owned by the Construction Manager which the Owner elects to retain and which is not otherwise included in the Cost of the Work. To the extent that the Owner elects to take legal assignment of subcontracts and purchase orders (including rental agreements), the Construction Manager shall, as a condition of receiving the payments referred to in this Article 10, execute and deliver all such papers and take all such steps, including the legal assignment of such subcontracts and other contractual rights of the Construction Manager, as the Owner may require for the purpose of fully vesting in the Owner the rights and benefits of the Construction Manager under such subcontracts or purchase orders. All subcontracts, purchase orders and rental agreements entered into by the Construction Manager will contain provisions allowing for assignment to the Owner as described above. If the Owner accepts assignment of subcontracts, purchase orders or rental agreements as described above, the Owner will reimburse or indemnify the Construction Manager for all costs arising under the subcontract, purchase order or rental agreement, if those costs would have been reimbursable as Cost of the Work if the contract had not been terminated. If the Owner chooses not to accept assignment of any subcontract, purchase order or rental agreement that would have constituted a Cost of the Work had this agreement not been terminated, die Construction Manager will terminate the subcontract, purchase order or rental agreement and the Owner will pay the Construction Manager the costs necessarily incurred by the Construction Manager because of such termination. § 10.2 Termination Subsequent to Establishing Guaranteed Maximum Price Following execution of the Guaranteed Maximum Price Amendment and subject to the provisions of Section 10.2.1 and 10.2.2 below, the Contract may be terminated as provided in Article 14 of AIA Document A201 -2007 (as amended). § 10.2.1 If the Owner terminates the Contract after execution of the Guaranteed Price Amendment, the amount payable to the Construction Manager pursuant to Sections 14.2 and 14.4 of A201 -2007 (as amended) shall not exceed the amount the Construction Manager would otherwise have received pursuant to Sections 10. 1.2 and 10.1.3 of this Agreement. § 10.2.2 If the Construction Manager terminates the Contract after execution of the Guaranteed Maximum Price Amendment, the amount payable to the Construction Manager under Section 14.1.3 of A201 -2007 (as amended) shall not exceed the amount the Construction Manager would otherwise have received under Sections 10. 1.2 and 10.1.3 above, except that the Construction Manager's Fee shall be calculated as if the Work had been filly completed by the Construction Manager, utilizing as necessary a reasonable estimate of the Cost of the Work for Work not actually completed. § 10.3 Suspension The Work may be suspended by the Owner as provided in Article 14 of AIA Document A201 -2007 (as amended). In such case, the Guaranteed Maximum Price and Contract Time shall be increased as provided in Section 14.3.2 of AIA Document A201 -2007 (as amended), except that the term "profit" shall be understood to mean the Construction Manager's Fee as described in Sections 5.1 and 5.3.5 of this Agreement. ARTICLE 11 MISCELLANEOUS PROVISIONS § 11.1 Terms in this Agreement shall have the same meaning as those in A201 -2007 (as amended). § 11.2 Ownership and Use of Documents Section 1.5 of A201 -2007 (as amended) shall apply to both the Preconstruction and Construction Phases. Init. AIA Document A133^ — 2009 (formerly A121 TMCMe- 2003). Copyright 01991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIAS 19 Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 14:58:48 on 0210112017 under Order No.8621137397 1 which expires on 05114/2017, and is not for resale. User Notes: — (1483616875) § 11.3 Governing Law Section 13.1 of A201 -2007 (as amended) shall apply to both the Preconstruction and Construction Phases. § 11.4 Assignment The Owner and Construction Manager, respectively, bind themselves, their agents, successors, assigns and legal representatives to this Agreement. Neither the Owner nor the Construction Manager shall assign this Agreement without the written consent of the other, except that the Owner may assign this Agreement to a lender providing financing for the Project if the lender agrees to assume the Owner's rights and obligations under this Agreement. Except as provided in Section 13.2.2 of A201 -2007 (as amended), neither parry to the Contract shall assign the Contract as a whole without written consent of the other. If either party attempts to make such an assignment without such consent, that party shall nevertheless remain legally responsible for all obligations under the Contract. § 11.5 Other provisions: § 11.5.1 Owner acknowledges that certain information provided to it by Construction Manager contains information deemed trade secret, proprietary, competitive or otherwise confidential to Construction Manager, regardless of whether specifically identified as such in this Agreement. Such information includes but is not limited to Construction Manager's research, development, methods, processes, techniques, operations, computer programs, pricing/price modeling, and financial data of Construction Manager, it's subsidiaries, operating service groups and affiliated companies, including data provided in support of Applications for Payment, Change Orders, or commercial information, including value engineering and constructability studies; current and prospective clients, subcontractors, and/or competitors; and proposals. Owner acknowledges the value of such information to the Construction Manager, and agrees to use reasonable diligence in protecting this information from unauthorized disclosures to third parties (excluding any governmental regulatory bodies entitled to access such information by law, or Owner's parent, subsidiary of affiliated companies, or Owner's auditors or lenders to the extent such disclosure is necessary). § 11.5.2 If Drawings are revised after the Drawings referenced in the Contract, the Owner shall have the Architect re -date all revised sheets and clearly identify all changes by bubble and delta number or other means acceptable to the Construction Manager and Owner. The Owner and Construction Manager acknowledge that it is difficult to determine and implement changes that are not so identified. Regardless if the Contract is amended to incorporate revised Drawings, the Guaranteed Maximum Price and Contract Time are subject to additional equitable adjustments for the cost and time impacts if implementing any changes not so identified. ARTICLE 12 SCOPE OF THE AGREEMENT § 12.1 This Agreement represents the entire and integrated agreement between the Owner and the Construction Manager and supersedes all prior negotiations, representations or agreements, either written or oral. This Agreement may be amended only by written instrument signed by both Owner and Construction Manager. § 12.2 The following documents comprise the Agreement: .1 AIA Document A133 -2009, Standard Form of Agreement Between Owner and Construction Manager as Constructor where the basis of payment is the Cost of the Mork Plus a Fee with a Guaranteed Maximum Price .2 AIA Document A201 -2007 (as amended), General Conditions of the Contract for Construction .3 AIA Document E201Txt -2007, Digital Data Protocol Exhibit, if completed, or the following: .4 AIA Document E202"l -2003, Building Information Modeling Protocol Exhibit, if completed, or the following: .5 Other documents: (List other documents, if airy, fornr/dg part of tle Agreement.) AIA Document A133 -- 2009 (formerly A121 -CMC- 2003). Copyright ® 1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. Init. WARNING: This AW3 Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA" 20 Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. t This documentwas produced by AIA software at 14:5848 on 02/01/2017 under Order No.8621137397 1 which expires on 0511412017, and is not for resale. User Notes: (1483616875) Thts A,1• ment Is latered'mto as and year first wr OWN'EAR ( Signature) (S �f �a `� -(-erl t-e�T �t{Y iYIG�a�el (Printed narne and title) liten above. /� A GER (Signature) 1. V VV i tvJ p — 0PER -G ( t '--�nrS (Printed name and title) I AIA Document A133- -2009 (formerly A121 —CMe- 2003). Copyright® 1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. [nit. WARNING: This AIA11 Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIAs 21 Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the nlaziumm extent possible under the law. This document was produced by AIA software at 14:58:48 on 02/01/2017 under Order No.8621137397_1 which expires on 05/1412017, and is not for resale. User Notes: (1483616875) Additions and Deletions Report for AIA® Document A 133"' — 2009 This Additions and Deletions Report, as defined on page 1 of the associated document, reproduces below all text the author has added to the standard form AIA document in order to complete it, as well as any text the author may have added to or deleted from the original AIA text. Added text is shown underlined. Deleted text is indicated with a horizontal line through the original AIA text. Note: This Additions and Deletions Report is provided for information purposes only and is not incorporated into or constitute any part of the associated AIA document. This Additions and Deletions Report and its associated document were generated simultaneously by AIA software at 14:58:48 on 02/0112017. PAGE AGREEMENT made as of the 1st day of February in the year 2017 City of Owasso 102 West 2 "d Avenue Owasso, OK 74055 Nabholz Construction Services 10319 East 54" Street Tulsa, OK 74146 Owasso Police Department Renovation III N. Main Owasso. OK 74055 Wilson Estes Police Architects 523 Walnut St. Kansas City. MO 64106 Warren Lehr City Manaeer City of Owasso 102 West 2nd Avenue Owasso. OK 74055 918 -376 -1500 Curt Hellen Nabholz Construction Corporation 10319 East 54' Street Tulsa, OK 74146 918- 632 -7200 Additions and Deletions Report for AIA Document A13Y- -2009 (fomarly A121TMCMc — 2003). Copydght ® 1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA, Document is protected by U.S. copyright Law and International Treaties. Unauthorized 1 reproduction or distribution of this AIA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 14:58:48 on 02/0112017 under Order No.8621137397_1 which expires on 05114/2017, and is not for resale. User Notes: (14B3616875) PAGE Mr. James Estes Wilson Estes Police Architects 523 Walnut St. Kansas Citv. MO 64106 316 -293 -6700 PAGE Additions and Deletions Report for AIA Document A13V- -2009 (formerly A121 -CMe— 2003). Copyright® 1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIAI Document is protected by U.S. Copyright Lava and international Treaties. Unauthorized reproduction or distribution of this AIA Document, or any portion of It, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 14:58:48 on 02/01/2017 under Order No.8621137397 1 which expires on 0511412017, and is not for resale. — User Notes: (1483616875) TABLE OF ARTrrr ESTABLEOFARTICLES 12 SCOPE OF THE AGREEMENT Construction Manager's Standard of Care specifically excludes anv design or desian- related responsibilities. and any action taken by Construction Manager under this Aareement does not and shall not be construed to approve. represent or warrant the adequacv and suitability of the plans and specifications for the purpose for which they are provided. 4 1.1.2 To the extent the Owner requests that the Construction Manager provide services within standard of care. PAGE 4 For the Preconstruction Phase, AIA Document A201T "'= e07rA20ITS -2007 (as amended). General Conditions of the Contract for Construction, shall apply only as specifically provided in this Agreement. For the Construction Phase, the general conditions of the contract shall be as set forth in A201 200 " "' A201 -2007 (as amended), which document is incorporated herein by reference. The term "Contractor" as used in A201 -2007 (as amended) shall mean the Construction Manager. The Construction Manager's Preconstruction Phase responsibilities are set forth in Sections 2.1 and 2.2. The Construction Manager's Construction Phase responsibilities are set forth in Section 2.3. The Owner and Construction Manager may agFee, in eensultatien with the agree for the Construction Phase to commence prior to completion of the Preconstruction Phase, in which case, both phases will proceed concurrently. The Construction Manager shall identify a representative authorized to act on behalf of the Construction Manager with respect to the Project. The Construction Manager shall schedule and conduct meetings with the Architect and Owner to discuss such matters as procedures, progress, coordination, and scheduling of the Work. The Construction Manager shall advise the Owner and the Architect on proposed site use and improvements, selection of materials, and building systems Additions and Deletions Report for AIA Document A133' —2009 (formerly A121 i ®CMe— 2003). Copyright 1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA °J Document is protected by U.S. Copyright Law and international Treaties. Unauthorized 3 reproduction or distribution of this AIA- Document, or any portion of it, may result In severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 14:58:48 on 02/01/2017 under Order No.8621137397_1 which expires on 05114/2017, and is not for resale. User Notes: (1463616875) and equipment. The Construction Manager shall also provide recommendations consistent with the Project requirements to the Owner and Architect on constructability; availability of materials and labor; time requirements for procurement, installation and construction; and factors related to construction cost including, but not limited to, costs of alternative designs or materials, preliminary budgets, life -eye e-data, and possible cost reductions. § 2.1.3 When Project requirements in Section 3. 1.1 have been sufficiently identified, the Construction Manager shall prepare and periodically update a Project schedule for the ,.ehit en's F_.:_.. and a- ^wner's acceptance. The Construction Manager shall obtain the Architect's approval for the portion of the Project schedule relating to the performance of the Architect's services. The Project schedule shall coordinate and integrate the Construction Manager's services, the Architect's services, other Owner consultants' services, and the Owner's responsibilities and identify items that could affect the Project's timely completion. The updated Project schedule shall include the following: completion of various elements of the Architect's work. submission of the Guaranteed Maximum Price proposal; components of the Work; times of commencement and completion required of each SubeeetFxeter; Subcontractor (or appropriate breakdown of the Work): ordering and delivery of products, including those that must be orderedwell in advarese efeeris ; in advance of constnlction (if such products are known by or communicated to the Construction Manager) and the occupancy requirements of the Owner. PAGE § 2.1.5.1 Based on the preliminary design and other design criteria prepared by the Architect, the Construction Manager shall prepare preliminary estimates of the Cost of the Work or the cost of program requirements using area, volume or similar conceptual estimating techniques for the Architect's review and Owner's approval. If the Architect or Construction Manager stw_gests-suegest alternative materials and systems, the Construction Manager shall provide cost evaluations of those alternative materials and systems. § 2.1.5.2 As the Architect progresses with the preparation of the Schematic Design, Design Development and Construction Documents, the Construction Manager shall prepare and update, at appropriate intervals agreed to by the gff alld.Uehiteet, Owner and Construction Manager, estimates of the Cost of the Work of increasing detail and refinement and allewing until such time as the Owner and Construction Manager agree on a Guaranteed Maximum Price for the Work. Such estimates shall be provided for the Architect's review and the Owner's approval. The Construction Manager shall inform the Owner and Architect when estimates of the Cost of the Work exceed the latest approved Project budget and make recommendations for corrective action. § 2.1.7 b flreenFeta b and delivevy of materials that finust be ardetzed well 1" advaree of eenstruetion. if the Owner agrees 'a preeffe any item"Hier to the establishment of the Genstruetion All PAnt-flPts for these items to the GenstruellifiH Manager-. Manager as the Architect may require. § 2.1.8 Citient- ef- Respenri The Construction Manager c..eeifielitians ape in ,,.,,,,,_.,.,..ee-_comply with applicable laws, statutes, ordinances, codes, rules and regulations, eF Additions and Deletions Report for AIA Document A133TM — 2009 (formerly A121 -CMc- 2003(. Copyright® 1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIAr Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction of distribution ofthis AIA Document, orally portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 14:58:48 on 02/01/2017 under Order No.8621137397_1 which expires on 05114/2017, and is not for resale. User Notes: (1483676875) }q J aAj- H6Hf8t}..' dEb��j13�59}iAe%6HS Manager f ._ as the Felik,, ...., ... Feq iFe.and lawfid orders of public authorities applicable to its performance under this Contract, and with equal employment opportunity programs, and other programs as may be required by governmental and quasi governmental authorities for inclusion in the Contract Documents. The MartagelF laws, lavifial eFders of publie Shall authefaities eBfflpij' with applieable applieable to its statutes, eFififianees, peffermaRee under this Ganwaret, eedes, tales and slid with equal S empleyTnefit J 4F inelusion in the C-eatFaet Documents. pre.-Fains as geNerfunental and quasi J § 2.2.1 the Afehiteet, the Gensitfuetien p Price ( "GMP" ), which shall be the sum of the r r 1 -i cost of work, including contingencies described in Section 227324,-2 .2.4 and the Construction Manager's Fee. § 2.2.2 The Owner and Construction Manager acknowledge that the Construction Manager will/has developed the Guaranteed Maximum Price based upon completed Contract Documents "CDs ". based on certain assumptions by the Construction Manager. To the extent that the Drawings and Specifications are anticipated to require further development by the Architect, the Construction Manager shall e-in th Guinanteed will include an allowance to be identified in the GMP Amendment for such further development consistent with the Contract Documents and reasonably inferable therefrom. Such further development does not include such things as changes in scope, systems, kinds and quality of materials, finishes or equipment, at} have agreed upon the effect of such difference and/or changes in the scope of the Work, a Change Order shall be issued substituting the finished Contract Documents (CDs) for those described in this Agreement and the Guaranteed Maximum Price and Contract Time shall be adiusted as agreed by the parties. PAGE .4 The anticipated date of Substantial Completion upon which the proposed Guaranteed Maximum Price is based; and .5 A date by which the Owner must accept the Guaranteed Maximum PFiee- Price: and the Work by the Owner and/or Owner's lender (in a form suitable to the Construction Manager). whichever is later. § 2.2.4 . The GMP shall contain a mutually agreeable and separately identified contingency (the "Construction Contingencv") for the sole use by the Additions and Deletions Report for AIA Document A133" —2009 (formerly A121 TMClAc— 2003). Copyright ®1991, 2003 and 2009 by'rhe American Institute of Architects. All rights reserved. WARNING: This AIAa Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 5 reproduction or distribution of this AIA'; Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 14:58:48 on 02/01/2017 under Order No.8621137397_l which expires on 05114)2017, and is not for resale. User Notes: (1483616875) § 2.2.5 The Construction Manager shall meet with the Owner turd- Afeliateet -to review the Guaranteed Maximum Price proposal. In the event that the Owner and Architect discover any inconsistencies or inaccuracies in the information presented, they shall promptly notify the Construction Manager, who shall make appropriate adjustments to the Guaranteed Maximum Price proposal, its basis, or both. § 2.2.7 T4ie -Prior to the Owner's acceptance of the Construction Manager's Guaranteed Maximum Price proposal and issuance of a Notice to Proceed, with the exception of reimbursable costs associated with Preconstruction Services, the Construction Manager shall not incur any cost to be reimbursed as part of the Cost of the Weak- prier -te Bests: Work except as the Ovnter may snecificnlly authorize in writing § 2.2.8 The Owner shall authorize the Architect to provide the revisions to the Drawings and Specifications to incorporate the agreed upewragreed -upon assumptions and clarifications contained in the Guaranteed Maximum Price Amendment. The Owner shall promptly famish those revised Drawings and Specifications to the Constriction Manager as they are revised. The Construction Manager shall notify the Owner and-Arehiteet -of any inconsistencies between the Guaranteed Maximum Price Amendment and the revised .Drawings and Specifications. provided the Architect clouds all changes to the Drawings and Specifications on which the Guaranteed Maximum Price was based. § 2.2.9 The Construction Manager shall include in the Guaranteed Maximum Price all sales, consumer, use and similar taxes for the Work provided by the Construction Manager that are legally enaeted, whether- er-rtet -yet .enacted at the time the Guaranteed Maximum Price Amendment is executed. PAGE 7 § 2.3.1.1 For purposes of Section S. 1.2 of A201 2007. A201 -2007 (as amended), the date of commencement of the Work shall mean the date of commencement of the Construction Phase. § 2.3.2.1 Those portions of the Work that the Construction Manager does not customarily perform with the Construction Manager's own personnel shall be performed under subcontracts or by other appropriate agreements with the Construction Manager. The Owner may designate specific persons from whom, or entities from which, the Construction Manager shall obtain bids. However, if the Guaranteed Maximum Price has been established the Owner may not prohibit the Construction Manager from obtaining bids from other bidders. The Construction Manager shall obtain bids from Subcontractors and from suppliers of materials or equipment fabricated especially for the Work and shall deliver such bids to the "-�. Owner. The Owner shall then determine, with the adviee e in consultation with the Construction Manager and the Architect, which bids will be accepted. The Construction Manager shall not be required to contract with anyone to whom the Construction Manager has reasonable objection. § 2.3.2.3 Subcon"ets or other agreements shall conform to the applicable payment provisions of this Agreement, and shall not be awarded on the basis of cost plus a fee without the prior consent of the Owner. If the S11146etttt11et subcontract is awarded on a eest- plus- costplus a fee basis, the Construction Manager shall provide in the °�txet subcontract for the Owner to receive the same audit rights with regard to the Subcontractor as the Owner receives with regard to the Construction Manager in Section 6- 1-1 -G. 10 below. Additions and Deletions Report for AIA Document A133r"— 2009 (formerly A121- CMe- 2003). Copydght® 1991, 2003 and 2009 by The American Ins &lute of Architects. All rights reserved. WARNING: This AIA" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA' Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 14:58:48 on 02/0112017 under Order No.8621137397_1 which expires on 05114/2017, and is not for resale. User Notes: (1483616875) § 2.3.2.4 If the Construction Manager recommends a specific bidder that may be eenside- ^a a elgdte °° "' iteeeFiling to c^^''^^ L '" is a parent. subsidiary, affiliate, or other entitv having common ownership or management with the Construction Manager. then the Construction Manager shall promptly notify the Owner in writing of such relationship and notify the Owner of the specific nature of the contemplated 6.10.2 transaction. § 2.3.2.6 Upon the execution of the Guaranteed Maximum Price Amendment, the Construction Manager shall prepare and submit to the Owner and Architect a construction schedule for the Work and submittal schedule in accordance with Section 3.10 of "^_"o; = 007. A201 -2007 (as amended). PAGE § 2.3.2.8 The Construction Manager shall develop a system of cost control for the Work, including regular monitoring of actual costs for activities in progress and estimates for uncompleted tasks and proposed changes. The Pulwer ARd A-Feliiteet and shall pFevide this infeffnatieft in its ffienthly reports !E) the Owner and s in aeeeFdaHee with Seetieff 2.3.2.7 above Section 3.12.10 of A201 -2007 (as amended) shall apply to both the Preconstruction and Construction Phases Section 10.3 of A201 -2007 (as amended) shall apply to both the Preconstruction and Construction Phases. § 3.1.1 The Owner shall provide information with reasonable promptness, regarding requirements for and limitations on the Project, including a written program which shall set forth the Owner's objectives, constraints, and criteria, including schedule, space requirements and relationships, flexibility and expandability, special equipment, systents, systems sustainability and site requirements. PAGE The Owner shall ideatify a FeliFesentative atitheFized te get en bellflif Af the QVITIPF Vith Fespeet to the P120jeet: designate in writing a representative who shall have express authoritv to bind the Owner with respect to all matters requiring the Owners aoproval or authorization. The Owner's representative shall render decisions promptly and furnish information expeditiously, so as to avoid unreasonable delay in the services or Work ofthe Construction Manager. Except as otherwise provided in Section 4.2.1 of _'" -c-o 1 200 rA201 -2007 (as amended), the Architect does not have such authority. The temt "Owner" means the Owner or the Owner's authorized representative. The Owner shall retain an Architect to provide services, duties, - duties and responsibilities as described in AIA Document Bi33T"'— 204-4,11107"L-2007, Standard Form of Agreement Between Owner and Architect, Genstf itetiefi necessary for the Preconstruction and Construction Phase services under this Agreement. The Owner shall provide the Construction Manager a copy of the executed agreement between the Owner and the Architect, and any further modifications to the agreement. Additions and Deletions Report for AIA Document A133TM— 2009 (formerly A121-CMc — 2003). Copyright 1991, 2003 and 2009 by The American Insfitule of Architects. All rights reserved. WARNING; This AIA" Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 7 reproduction or distribution of this AIAI Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 14:58:48 on 02/01/2017 under Order No.8621137397 1 which expires on 0511412017, and is not for resale. User Notes: (1483616875) invoiced on a pro -rata monthly basis for the term of the oreconstruction services as identified in Article 4.1.2. § 4.1.2 -, _,_, Clerical $35.00/hr Model Integrator $55 00/hr § 4.1.3 k €41aeRre2enstfuetion- phasc�er;2 s - • r Manager, ompensation based on Direct § 4.2.1 Unless otherwise agreed, payments for services shall be Riade mant-r• ' c a r r r will be in accordance with 4.1.1. PAGE 10 § 5.1 For the Construction Manager's performance of the Work as described in Section 2.3, the Owner shall pay the Construction Manager the Contract Sum in current f'aecls. funds for the Construction Manager's performance of the Contract. The Contract Sum is the Cost of the Work as defined in Section 6. 1.1 plus the Construction Manager's Fee. Additions and Deletions Report for AIA Document A133--2009 (formerly A121 {OCMc— 2003). Copyright ® 1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA" Document is protected by U.S. Copyright Lave and International Treaties. Unauthorized reproductian or distribution of this AIA- Document, orany portion of it, may result in severe civil and criminal penalties, and wilt be prosecuted to the maximum extent possible under the lave This document was produced by AIA software at 14:58:48 on 02/01/2017 under Order No.8621137397_1 which expires on 0511412017. and is not for resale. User Notes: (1483616875) A lump sum equal to Five Percent (5 %) of the Cost of the Work The Construction Manager's Fee shall be adjusted for changes in the Work by zero percent (0 %) for deductive changes and Five Percent (5%) for additive changes. § 5.1.2 in Rental rates for Construction Manager -owned equipment shall not exceed One Hundred percent ( 100% ) of the standard rate paid at the place of the Proiect. § 5.1.3 Lifflitatiens, MVer #: Unit prices, if anv: ft nti(v and state the unit price: state the quantity limitations ifalw, to which the unit price will be applicable.) Item Units and Limitations Price per Unit ($0.00) 1 § 5.2.1.2 Owner acknowledees that the Guaranteed Maximum Price applies in the aggregate to all categories and line items of the Cost of Work as defined in Article 6 of this Agreement and in no event shall be considered a line item guarantee of the cost of any individual portion of the Work. PAGE 11 § 5.3.1 The Owner may, without invalidating the Contract, order changes in the Work within the general scope of the Contract consisting of additions, deletions or other revisions. The Owner shall issue such changes in writing. The Architect may make minor changes in the Work as provided in Section 7.4 of AIA Document A201 -2009; A201 -2007 (as amended). General Conditions of the Contract for Construction. The Construction Manager shall be entitled to an equitable adjustment in the Contract Time as a result of changes in the Work. § 5.3.2 Adjustments to the Guaranteed Maximum Price on account of changes in the Work subsequent to the execution of the Guaranteed Maximum Price Amendment may be determined by any of the methods listed in Section 7.3.3 of AIA Document A- 201 ?807, A201 2007 as amended), General Conditions of the Contract for Construction. § 5.3.3 In calculating adjustments to subcontracts (except those awarded with the Owner's prior consent on the basis of cost plus a fee), the terms "cost" and "fee" as used in Section 7.3.33 of AIA Document A201 -2007 (as amended) and the term "costs" as used in Section 7.3.7 of AIA Document A201 -2007 (as amended) shall have the meanings assigned to them in AIA Document A201 -2007 (as amended) and shall not be modified by Sections 5.1 and 5.2, Sections 6.1 through 6.7, and Section 6.8 of this Agreement. Adjustments to subcontracts awarded with the Owner's prior consent on the basis of cost plus a fee shall be calculated in accordance with the terms of those subcontracts. Additions and Deletions Report for AIA Document A133iO— 2009 (formerly Al 21 TMCMC- 2003). Copyright 1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA' Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA'% Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This documenlwas produced by AIA software at 14:58:48 on 02/01/2017 under Order No.8621137397 1 which expires on 0511412017, and is not for resale. User Notes: (1483616875) § 5.3.4 In calculating adjustments to the Guaranteed Maximum Price, the terms "cost" and "costs" as used in the above- referenced provisions of AI.A Document A201 -2007 (as amended) shall mean the Cost of the Work as defined in Sections 6.1 to 6.7 of this Agreement and the term "fee" shall mean the Construction Manager's Fee as defined in Section 5.1 of this Agreement. § 6,1.1 The term Cost of the Work shall mean costs necessarily incurred by the Construction Manager in the proper performance of the Work. exeept ""h "i"` eense ' efthe Owflef. The Cost of the Work shall include only the items set forth in Sections 6.1 through 6.7. § 6.2.1 Wages of construction workers directly employed by the Construction Manager to perform the construction of the Work at the site pfeval at off site or at off -site locations or workshops. Classification Name (If it is intended that the usages or salaries of certain personnel stationed of the Constntction Manager's principal err ether epees once a ocer ether thnn the site office sha11 be included in the Cost ofthe Work, ideni6, identified below) 6.2.3 § 6.2.4 the event that this Protect becomes subject to State or Federal Prevailing Wage Law the Contract Sum will be adjusted accordingly. PAGE 12 Additions and Deletions Report for AIA Document Al 33 -- 2009 (formerly A121 -CMe — 2003). Copyright 1991. 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIAv Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 1 p reproduction or distribution ofthis AIA' Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AlA software at 14:58:48 on 02/01/2017 under Order No.8621137397 1 which expires on 05114/2017, and is not for resale. — User Notes: (1483616875) § 6.5.2 Rental charges for temporary facilities, machinery, equipment and hand tools not easientapily owned by the construction workers. which are provided by the Construction Manager at the site -site. whether rented from the Construction Manager or others, and costs of transportation, installation, minor repaid paFeltase pFiee ef an), eempafable item. Rates ofGanstizuetien Manager 0 1 . l I . intifles a equipment shall be suL�jeet to the GAneF'S ffiff repairs and replacements. dismantling and removal thereof EEc uioment owned by the Construction manager shall be rented at a rate not to exceed the standard rental rate in the geoeraphical area in which the project is located. § 6.5.3 Costs of removal of debris and/or costs associated with diverting waste to a waste recvcling center from the site of the Work and its proper and legal disposal. § 6.5.4 Costs of document reproductions, facsimile transmissions and long- distance telephone calls, data lines, postage and parcel delivery charges, telephone service at the site and reasonable petty cash expenses of the site office. PAGE 13 § 6.6.1 Premiums for that portion of iRstwaace and bonds insurance, bonds and other suretv programs required by the Contract Documents and the Construction Manager that can be directly attributed to this Contract. Self- insurance for either full or partial amounts of the coverages required by the Contract Documents, with the Owner's prior approval. § 6.6.4 Fees of laboratories for tests required by the Contract Documents, except those related to defective or nonconforming Work for which reimbursement is excluded by Section 13.5.3 of AIA Document A201 -2007 amended or by other provisions of the Contract Documents, and which do not fall within the scope of Section 6.73 § 6.6.5 Royalties and license fees paid for the use of a particular design, process or product required by the Contract Documents; the cost of defending suits or claims for infringement of patent rights arising from such requirement of the Contract Documents; and payments made in accordance with legal judgments against the Construction Manager resulting from such suits or claims and payments of settlements made with the Owner's consent. However, such costs of legal defenses, judgments and settlements shall not be included in the calculation of the Construction Manager's Fee or subject to the Guaranteed Maximum Price. If such royalties, fees and costs are excluded by the last sentence of Section 3.17 of AIA Document A201 -2007 (as amended) or other provisions of the Contract Documents, then they shall not be included in the Cost of the Work. § 6.6.6 Costs for electronic equipment and software, directly related to the .Work. § 6.6.9 Expenses incurred in accordance with the Construction Manager's standard written personnel policy for relocation and temporary living allowances of the Construction Manager's personnel required for the Work. § 6.7.2 Costs incurred in taking action to prevent threatened damage, injury or loss in case of an emergency affecting the safety of persons and property, as provided in Section 10.4 of AIA Document A20 -1 2007.A201 -2007 (as amended). PAGE 14 Additions and Deletions Report for AIA Document A133^ - 2009 (fomeriy A121i ®CMc - 2003). Copyrght ® 1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA'' Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 11 reproduction or distribution of this AIA' Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maxinunn extent possible under the law. This document was produced by AIA software at 14:58:48 on 07/01/2017 under Order No.8621137397 1 which expires on 05/1412017, and is not for resale. User Notes: (1483616875) § 6.7.4 The costs described in Sections 6.1 through 6.7 shall be included in the Cost of the Work, notwithstanding any provision of AIA Document A201 -2007 (as anlendedl or other Conditions of the Contract which may require the Construction Manager to pay such costs, unless such costs are excluded by the provisions of Section 6.8. .6 Any cost not specifically and expressly described in Sections 6.1 to 6.7; and .7 Costs, other than costs included in Change Orders approved by the Owner, that would cause the Guaranteed Maximum Price to be °x-° nd 8 PRqtq F"` " d riufiiig the A-eeenstruetioi:i Phose.exceeded. R 6-40-2 2 iF.... . F . o PAGE 15 mumnonz ana ueeuons Report for AIA Document A133TM -2009 (formerly A121 TMCMc- 2003). Copyrights 1991, 2003 and 2009 by The American InsLtute of Architects. All rights reserved. WARNING: This AIA' Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction ordistribution ofthis AIA' Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to 12 the maximum extent possible under the law. This document was produced by AIA software at 14:58:48 on 02/01/2017 under Order No.8621137397 1 which expires on 0,5114/2017, and is not for resale. — User Notes: (1483616875) a SeeE enS 7 I 7 7 1 ] F I ! falls ='. ev arsa... the nal ,y PAGE 15 mumnonz ana ueeuons Report for AIA Document A133TM -2009 (formerly A121 TMCMc- 2003). Copyrights 1991, 2003 and 2009 by The American InsLtute of Architects. All rights reserved. WARNING: This AIA' Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction ordistribution ofthis AIA' Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to 12 the maximum extent possible under the law. This document was produced by AIA software at 14:58:48 on 02/01/2017 under Order No.8621137397 1 which expires on 0,5114/2017, and is not for resale. — User Notes: (1483616875) § 7.1.3 Provided fhREan Application for Payment is received by the A, ekiteet architect not later than the I'' day of the month, the Owner shall make payment f the e°-�t-to the Construction Manager not later than the 20 " day of the same month. If an Application for Payment is received by the Architect after the application date fixed above, payment shall be made by the Owner not later than r ` df F aftep the ^_Felliteet Feeeives 1he § 7.1.4 AVk4 if required by the Owner, with each Application for Payment, the Construction Manager shall submit the Owner or Architect, shall provide anv other evidence reasonably required by the Owner or Architect to demonstrate that cash disbursements already made by the Construction Manager on account of the Cost of the Work equal or exceed f -progress payments already received by the Construction Manager, less f athat portion of those payments attributable to the Construction Manager's Fee, plus f3payrolls for the period covered by the present Application for Payment. Take that portion of the Guaranteed Maximum Price properly allocable to completed Work as determined by multiplying the percentage of completion of each portion of the Work by the share of the Guaranteed Maximum Price allocated to that portion of the Work in the schedule of values. Pending final determination of cost to the Owner of changes in the Work, amounts not in dispute shall be included as provided in Section 7.3.9 of AIA Document "''^� 01 2007 A201 -2007 (as amended): .3 Add the Construction Manager's Fee, less retainage of pefeeRt ( -9A). Zero (0% 1. The Construction Manager's Fee shall be computed upon the Cost of the Work at the rate stated in Section 5-1 -5.1.1 or, if the Construction Manager's Fee is stated as a fixed sum in that Section, shall be an amount that bears the same ratio to that fixed -sum fee as the Cost of the Work bears to a reasonable estimate of the probable Cost of the Work upon its completion; .4 Subtract retainage ofpefeeRf{ *Zero (0 %1 from that portion of the Work that the Construction Manager self - performs; .7 Subtract amounts, if any, for which the Architect has withheld or nullified a Certificate for Payment as provided in Section 9.5 of AIA Document A201 2007:A201 -2007 (as amended). § 7.1.8 consent or for other good and sufficient reasons. § 7.1.9 Additions and Deletions Report for AIA Document A133TM - 2009 (formerly A121 i °CMe - 2003). Copyright® 1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA"' Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 13 reproduction or distribution of this AIA` Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 14:58A8 on 02/0112017 under Order No.8621137397 1 which e Aires on 05/14/2017, and is not for resale. User Notes: (1483616875) percent (50 %) or more complete in the Application for Payment without reduction of previous retainage no further retainaee will be withheld. PAGE 16 § 7.1.11 Except with the Owner's prior approval, the Construction Manager shall not make advance oayments to suppliers for materials or equipment which have not been delivered and stored at the site the Construction Manager has filly performed the Contract except for the Construction Manager's responsibility to correct Work as provided in Section 12.2.2 of AIA Document °201 '_^�Q� 0007, and to A201 -2007 as amended). § 7.2.2 The Owner's auditors will review and report in writing on the Construction Manager's final accounting within 30 days after delivery of the final accounting to the Architect by the Construction Manager. Based upon such Cost of the Work as the Owner's auditors report to be substantiated by the Construction Manager's final accounting, and provided the other conditions of Section 7.2.1 have been met, the Architect will, within seven days after receipt of the written report of the Owner's auditors, either issue to the Owner a final Certificate for Payment with a copy to the Construction Manager, or notify the Construction Manager and Owner in writing of the Architect's reasons for withholding a certificate as provided in Section 9.5.1 of the AIA Document A201- 2007. A201 -2007 (as amended). The time periods stated in this Section supersede those stated in Section 9.4.1 of the AIA Document A-201 2007.. A201 -2007 (as amended). The Architect is not responsible for verifying the accuracy of the Construction Manager's final accounting. § 7.2.31f the Owner's auditors report the Cost of the Work as substantiated by the Construction Manager's final accounting to be less than claimed by the Construction Manager, the Construction Manager shall be entitled to request mediation of the disputed amount without seeking an initial decision pursuant to Section 15.2 of A201 2007. A201 -2007 (as amended). A request for mediation shall be made by the Construction Manager within 30 days after the Construction Manager's receipt of a copy of the Architect's final Certificate for Payment. Failure 'to request mediation within this 30 -day period shall result in the substantiated amount reported by the Owner's auditors becoming binding on the Construction Manager. Pending a final resolution of the disputed amount, the Owner shall pay the Construction Manager the amount certified in the Architect's final Certificate for Payment. PAGE 17 (State bonding requirements, if any, and limits ofliabdityfor insurance required in Article 11 of AIA 196eioncwt .1281- ?097.4Document A201 -2007 (as amended).) Additions and Deletions Report for AIA Document A13Y-- 2009 (formerly A121 ° CtAc- 2003). Copyright ® 1991. 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIM Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 14 reproduction or distribution of this AIAT Document, or any portion of It, rnzy result in severe civil and criminal penalties, and will be prosecuted to the maximum aslant possible under the law. This document was produced by AIA software at 14:58:48 on 02/01/2017 under Order No.8621137397_1 which expires on 05114/2017. and is not for resale. User Notes: (1483616875) § 8.1.2 Commercial General Liability including coverage for Premises - Operations. Independent Contractors' $ 4.000.000 General Aggregate $ 2.000.000 Personal and Advertising lainry $ 4.000.000 Products- Completed Operations Aggregate earlier. .3 The Contracmal Liabilitv insurance shall include coverage sufficient to meet the obligations in Section 3.18 of A201 T`1-2007 (as amended). § 8.1.3 Automobile Liabilitv (owned, non -owned and hired vehicles) for bodily iniury and vroverty damage: $1.000.000 Each Accident § 8.1.4 Other coverage: S 25.000,000 - Umbrella Coverage The cost of the Construction Manager's insurance program shall be reimbursed at the rate of $8.50 Per thousand dollars of Contract Sum. Rates shall be subiect to adiustment on the first day of each calendar vear if required by the Construction Manager. TI1e Construction Manager will maintain Builders Risk insurance at the rate of $0.15 per thousand of Contract Sum per month to insure the components of the Proiect while under construction and shall also maintain General Liability coverage as identified above to insure against losses to the adiacent structures from damage which may be caused by construction activity. Owner acknowledees that the information provided in this 8.1 A is trade secret. proprietary• or otherwise confidential and competitive to Construction Manager, and shall not be disclosed to anv third -party without advance written authorization of Construction Manager's Operations President. (If Umbrella Excess Liability coverage is required over the primarn insurance or retention, inser[ the coverage limits. Commercial General Liabilitt, and Automobile Liabdih litnits tnav be attained by individual policies or by a combination ofprinury Policies and Umbrella andlor Excess Liability policies. if Proiect Manaeement Proteeth Liability Insurance is to be Provided, state the limits here.) § 8.1.51f required, the Construction Manager shall furnish bonds covering faithful performance of the Contract and payment of obligations arising thereunder. Bonds may be obtained through the Construction Manager's usual source• and the cost thereof shall be included in the Cost of the Work. The amount of each bond shall be equal to one hundred percent (1000/0) of the Contract Sum. PAGE 18 § 9.1 Any Claim between the Owner and Construction Manager shall be resolved in accordance with the provisions set forth in this Article 9 and Article 15 of ^'- ^-x-01 2007. A201 -2007 (as amended). However, for Claims arising from Additions and Deletions Report for AIA Document A133 - -2009 (formerly A121 {°CMc— 2003). copyright 1991. 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA � Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 15 reproduction or distribution of this AIA" Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 14:58:48 on 02/01/2017 under Order No.8621137397_1 which expires on 0511412017, and is not for resale. User Notes: (1483616875) or relating to the Construction Managers Preconstruction Phase services, no decision by the Initial Decision Maker shall be required as a condition precedent to mediation or binding dispute resolution, and his gFeernerit shall not °-p" .resolution. § 9.2 For any Claim subject to, but not resolved by mediation pursuant to Section 15.3 of AIA Document A201 2007; A-2-0-1--2-0-0-7-(as amended). the method of binding dispute resolution shall be as follows: [ X ] Arbitration pursuant to Section 15.4 of AIA Document A201 -2007 (as amended) § 10.1.1 Prior to the execution of the Guaranteed Maximum Price Amendment, the Owner may terminate this Agreement upon not less than seven days' written notice to the Construction Manager for the Owner's convenience and without cause, and the Construction Manager may terminate this Agreement, upon not less than seven days' written notice to the Owner, for the reasons set forth in Section 14.1.1 of A 2 ^z 01 - 2007-.A201 -2007 (as amended). PAGE 19 The Owner shall also pay the Construction Manager fair compensation, either by purchase or rental at the election of the Owner, for any equipment owned by the Construction Manager which the Owner elects to retain and which is not otherwise included in the Cost of the 1119_1. nd f Section 10. 1.3. Work. To the extent that the Owner elects to take legal assignment of subcontracts and purchase orders (including rental agreements), the Construction Manager shall, as a condition of receiving the payments referred to in this Article 10, execute and deliver all such papers and take all such steps, including the legal assignment of such subcontracts and other contractual rights of the Construction Manager, as the Owner may require for the purpose of fully vesting in the Owner the rights and benefits of the Construction Manager under such subcontracts or purchase orders. All Sabeentreets, subcontracts purchase orders and rental agreements entered into by the Construction Manager will contain provisions allowing for assignment to the Owner as described above. Following execution of the Guaranteed Maximum Price Amendment and subject to the provisions of Section 10 2.1 and 10.2.2 below, the Contract may be terminated as provided in Article 14 of AIA Document A2^rc l0 2007..A201- 2007 (as amended). § 10.21 If the Owner terminates the Contract after execution of the Guaranteed ", '° - �i,n>:.- °i Price Amendment, the amount payable to the Construction Manager pursuant to Sections 14.2 and 14.4 of A201 -2007 (as amended) shall not exceed the amount the Construction Manager would otherwise have received pursuant to Sections 10.11 and 10. 1.3 of this Agreement. Additions and Deletions Report for AIA Document A133 -- 2009 (formerly A121TMCMc — 2003). Copyright ®1991. 2003 and 2009 by The American Institute of Archilects. All rights reserved. WARNING: This AIAT Document is protected by U.S. Copyright Law and International Treaties. Unauthorized 16 reproduction or distribution of this AJA' Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maxinwm extent possible under the law.. This document was produced by AIA software at 14:58:48 on 02101/2017 under Order No.e621137397 1 which expires on 05114/2017, and is not for resale. — User Notes: (1483676875) _, 0 § 10.2.2 If the Construction Manager terminates the Contract after execution of the Guaranteed Maximum Price Amendment, the amount payable to the Construction Manager under Section 14.1.3 of A201 -2007 (as amended) shall not exceed the amount the Construction Manager would otherwise have received under Sections 10. 1.2 and 10. 1.3 above, except that the Construction Manager's Fee shall be calculated as if the Work had been filly completed by the Construction Manager, utilizing as necessary a reasonable estimate of the Cost of the Work for Work not actually completed. The Work may be suspended by the Owner as provided in Article 14 of AIA Document "2 ^T lil -20W A201 -2007 (as amended). In such case, the Guaranteed Maximum Price and Contract Time shall be increased as provided in Section 14.3.2 of AIA Document 201 200?�-A201 -2007 (as amended), except that the term "profit" shall be understood to mean the Construction Manager's Fee as described in Sections 5.1 and 5.3.5 of this Agreement. § 11.1 Terms in this Agreement shall have the same meaning as those in "'_'r ^'m 2007.A201-2007 (as amended). Section 1.5 of A201 -2007 (as amended) shall apply to both the Preconstruction and Construction Phases. PAGE 20 Section 13.1 of A201-2007 (as amended) shall apply to both the Preconstruction and Construction Phases. The Owner and Construction Manager, respectively, bind themselves, their agents, successors, assigns and legal representatives to this Agreement. Neither the Owner nor the Construction Manager shall assign this Agreement without the written consent of the other, except that the Owner may assign this Agreement to a lender providing financing for the Project if the lender agrees to assume the Owner's rights and obligations under this Agreement. Except as provided in Section 13.2.2 of A201 200 r, A201 -2007 (as amended), neither party to the Contract shall assign the Contract as a whole without written consent of the other. If either party attempts to make such an assignment without such consent, that party shall nevertheless remain legally responsible for all obligations under the Contract. 11.5.1 Owner acknowledges that certain information provided to it by Construction Manager contains information deemed trade secret, proprietary, competitive or otherwise confidential to Construction Manager, regardless of whether specifically identified as such in this Agreement. Such information includes but is not limited to commercial information, including value engineering and constructability studies: current and prospective clients, subcontractors. and/or competitors: and proposals. Owner acknowledges the value of such information to the Construction Manager, and agrees to use reasonable diligence in protecting this information from unauthorized disclosures to third parties (excluding any governmental regulatory bodies entitled to access such information by law, or Owner's parent, subsidiary of affiliated companies, or Owner's auditors or lenders to the extent such disclosure is necessarv). determine and implement changes that are not so identified. Regardless if the Contract is amended to incorporate Additions and Deletions Report for AIA Document A133T" —2009 (formerly A121 -CMc— 2003). Copyright® 1991. 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA occurrent is protected by U.S. Copyright Law and International Treaties, Unauthorized 17 reproduction or distribution of this AIA' Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 14:58:48 on 02/0112017 under Order No.8621137397_1 which expires on 0511412017, and is not for resale. User Notes: (1483616875) .2 AIA Document ^ ^_- .- ^rr;= o0-' -, A201- 2007 (as amendedl General Conditions of the Contract for Construction Additions and Deletions Report for AIA Document A133--2009 (formerly A121 -CMc — 2003). Copyright O 1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA',' Document is protected by U.S. Copyright Law and International Treaties. Unauthorized .($ reproduction ordistribution ofthis AIA "' Document, orany portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 14:58:48 on 0210112017 under Order No.8621137397 1 which expires on 05/14/2017, and is not for resale. — User Notes: (1483616875) Certification of Document's Authenticity AIA® Document D401 TM - 2003 1, , hereby certify, to the best of my knowledge, information and belief, that I created the attached final document simultaneously with its associated Additions and Deletions Report and this certification at 14:58:48 on 02/01/2017 under Order No. 8621137397_1 from AIA Contract Documents software and that in preparing the attached final document I made no changes to the original text of AIA' Document A137M — 2009, Standard Form of Agreement Between Owner and Construction Manager as Constructor where the basis of payment is the Cost of the Work Plus a Fee with a Guaranteed Maximum Price, as published by the AIA in its software, other than those additions and deletions shown in the associated Additions and Deletions Report. E V9 - oPEZD i ta�S (Title) 2�at (Dated) AIA Document D401}° -2003. Copyright ®1992 and 2003 by The American institute of Architects. All rights reserved. WARNING: This AIAa Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA" Document, or any portion of it, may result in severe civil and criminal penaitles, and will be prosecuted to the maximum extent possible under the law. This documentwas produced by AIA software at 14:58:48 on 02/0112017 under Order No.8621137397_1 which expires on 05/14/2017, and is not for resale. User Notes: (1483616875) AIA Document A133" - 2009 Exhibit A Guaranteed Maximum Price Amendment for the following PROJECT: (Name and address or location) Owasso Police Department Renovation I I I N. Main Owasso, OK 74055 THE OWNER: (Name, legal status and address) City of Owasso 200 S. Main Street Owasso, OK 74055 THE CONSTRUCTION MANAGER: (Name, legal status and address) Nabholz Construction Services 10319 E. 541h Street Tulsa, OK 74146 ARTICLE A.1 § A.1.1 Guaranteed Maximum Price Pursuant to Section 2.2.6 of the Agreement, the Owner and Construction Manager hereby amend the Agreement to establish a Guaranteed Maximum Price. As agreed by the Owner and Construction Manager, the Guaranteed Maximum Price is an amount that the Contract Sum shall not exceed. The Contract Sum consists of the Construction Manager's Fee plus the Cost of the Work, as that term is defired in Article 6 of this Agreement. § A.1.1.1 The Contract Sum is guaranteed by the Construction Manager not to exceed Thee Million Nine Hundred Thirty Three Thousand Nine Hundred Thirty Four Dollars and 37/00 ($ 3,933,934.37 ), subject to additions and deductions by Change Order as provided in the Contract Documents. § A.1.1.2 Itemized Statement of the Guaranteed Maximum Price. Provided below is an itemized statement of the Guaranteed Maximum Price organized by trade categories, allowances, contingencies, alternates, the Construction Manager's Fee, and other items that comprise the Guaranteed Maximum Price. (Provide below or reference an attachment.) See Exhibit A § A.1.1.3 The Guaranteed Maximum Price is based on the following alternates, if any, which are described in the Contract Documents and are hereby accepted by the Owner: (State the numbers or other identification ofaccepted alternates. Ifthe Contract Documents permit the Owner to accept other alternates subsequent to the execution of this Amendment, attach a schedule ofsuch other alternates showing the amount for each and the date when the amount expires) ADDITIONS AND DELETIONS: The author of this document has added information needed for its completion. The author may also have revised the text of the original AIA standard form. An Additions and Deletions Report that notes added information as well as revisions to the standard form text is available from the author and should be reviewed. A vertical line in the left margin of this document indicates where the author has added necessary information and where the author has added to or deleted from the original AIA text. This document has important legal consequences. Consultation with an attorney is encouraged with respect to its completion or modification. AIA Document A201T^ 2007, General Conditions of the Contract for Construction, is adopted in this document by reference. Do not use with other general conditions unless this document is modified. Init. AIA Document A133- -2009 Exhibit A. Copyright ©1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA® Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA® Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was I produced by AIA software at 15:56:56 on 0210212018 under Order No.9486486490 which expires on 06/23/2018, and is not for resale. User Notes: (929648449) § A.1.1.4 Allowances included in the Guaranteed Maximum Price, if any: (Identify allowance and state exclusions, if any, from the allowance price.) Item Price ($0.00) Furniture Moving & Storage $15,000 Misc. Hardware Repairs & Replacement $7,500 31d Party Testing $10,000 Overhead Power Line Protection $5,000 § A.1.1.5 Assumptions, if any, on which the Guaranteed Maximum Price is based: § A.1.1.6 The Guaranteed Maximum Price is based upon the following Supplementary and other Conditions of the Contract: Document Title Date § A.1.1.7 The Guaranteed Maximum Price is based upon the following Specifications: (Either list the Specifications here, or refer to an exhibit attached to this Agreement.) Specifications dated December 2711, 2017 by Police Facility Design Group Section Title Date § A.1.1.8 The Guaranteed Maximum Price is based upon the following Drawings: (Either list the Drawings here, or refer to an exhibit attached to this Agreement.) Reference Exhibit B, Plans dated December 271, by Police Facility Design Group Number Title Date Pages Pages § A.1.1.9 The Guaranteed Maximum Price is based upon the following other documents and information: (List any other documents or information here, or refer to an exhibit attached to this Agreement.) Addendum 1, dated 1/9/2018 Addendum 2, dated 1/15/2018 Addendum 3, dated 1/16/2018 Addendum 4, dated 1/17/2018 ARTICLE A.2 § A.2.1 The anticipated date of Substantial Completion established by this Amendment: December 11t, 2018 OWNER (Signature) Warren Lehr City Manager (Printed name and title) CONSTRUCTION MANAGER (Signature) Doyle Phillips EVP (Printed name and title) [nit. AIA Document A133TM —2009 Exhibit A. Copyright ®1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA® Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA® Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was t produced by AIA software at 15:56:56 on 02102/2018 under Order No.9486486490 which expires on 0612312018, and is not for resale. User Notes: (929648449) Additions and Deletions Report for AIA® Document A133"m - 2009 Exhibit A This Additions and Deletions Report, as defined on page 1 of the associated document, reproduces below all text the author has added to the standard form AIA document in order to complete it, as well as any text the author may have added to or deleted from the original AIA text. Added text is shown underlined. Deleted text is indicated with a horizontal line through the original AIA text. Note: This Additions and Deletions Report is provided for information purposes only and is not incorporated into or constitute any part of the associated AIA document. This Additions and Deletions Report and its associated document were generated simultaneously by AIA software at 15:56:56 on 02/02/2018. PAGE 1 Owasso Police Department Renovation 111 N. Main Owasso, OK 74055 City of Owasso 200 S. Main Street Owasso, OK 74055 Nabholz Construction Services 10319 E. 54th Street Tulsa, OK 74146 § A.1.1.1 The Contract Sum is guaranteed by the Construction Manager not to exceed Three Million Nine Hundred Thirty Three Thousand Nine Hundred Thirty Four Dollars and 37/00 ($ 1933.934.37 1, subject to additions and deductions by Change Order as provided in the Contract Documents. See Exhibit A PAGE 2 Furniture Moving & Storage $15,000 Misc. Hardware Repairs & Replacement $7,500 3rd Party Testing $10.000 Overhead Power Line Protection $y Snecifications dated December 27th. 2017 by Police Facility Design Group Reference Exhibit B. Plans dated December 271h by Police Facility Design Group Additions and Deletions Report for AIA Document A133TM — 2009 Exhibit A. Copyright ®1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA® Document Is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA® Document, or any portion of It, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 15:56:56 on 02/0212018 under Order No.9486486490 which expires on 06/2312018, and is not for resale. User Notes: (929648449) Addendum 1. dated 1/9/2018 Addendum 2. dated 1/15/2018 Addendum 3. dated 1/16/2018 Addendum 4. dated 1/17/2018 December 151. 2018 Warren Lehr City Manager Dc le Phillim EVP Additions and Deletions Report for AIA Document A1133TM — 2009 Exhibit A. Copyright ®1991, 2003 and 2009 by The American Institute of Architects. All rights reserved. WARNING: This AIA® Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA® Document, or any portion of It may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible underthe law. This documentwas produced by AIA software at 15:56:56 on 0210212018 under Order No.9486486490 which expires on 06/23/2018, and is not for resale. User Notes: (929648449) Certification of Document's Authenticity AIA® Document D401 TM — 2003 I, , hereby certify, to the best of my knowledge, information and belief, that I created the attached final document simultaneously with its associated Additions and Deletions Report and this certification at 15:56:56 on 02/02/2018 under Order No. 9486486490 from AIA Contract Documents software and that in preparing the attached final document I made no changes to the original text of AIA® Document A 1337"' — 2009 Exhibit A, Guaranteed Maximum Price Amendment, as published by the AIA in its software, other than those additions and deletions shown in the associated Additions and Deletions Report. (Signed) (Title) AIA Document D401TM —2003. Copyright ®1992 and 2003 by The American Institute of Architects. All rights reserved. WARNING: This AIA® Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA® Document, or any portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document was produced by AIA software at 15:56:56 on 02102/2018 under Order No.9486486490 which expires on 0612312018, and is not for resale. User Notes: (929648449) EXHIBIT A Huo`z CONSTRUCTION SERVICES January 19, 2018 Bid Package Description 'iActual Bid : Responsive Bidder, 009.03.01 Concrete $ 119,350.00 D -Kerns Construction 009.02.01 Demolition $ 65,33100 Total Demolition 009.04.01 Masonry $ 54,919.00 ProCraft Masonry 009.05.01 Structural & Misc. Steel $ 79,872.00 Fig Tree 009.03.04 Structural Precast Concrete $ 163,400.00 Arrowhead Precast 009.06.03 Millwork $ 117,856.00 Fadco 009.07.04 Roofing $ 37,200.00 Atwell Roofing 009.07.01 Sealants and Waterproofing $ 12,682.00 Oklahoma Roofing & Sheet Metal 009.08.02 Overhead Coiling Doors $ 15,485.00 Johnson Equipment 009.08.01 Wood Doors $ 12,106.00 Windor 009.08.03 Glass & Glazing $ 79,466.00 Coulter& Company 009.09.01 Drywall & Ceilings $ 164,760.00 M.L. Jones 009.09.03 ITHe and Commercial Flooring $ 144,570.00 PT Enterprises 009.09.05 JPaintlng $ 86,575.00 Vale Painting 009.10.03 Si na e $ 18,606.00 A -Max Sign 009.10.01 Building Specialties $ 25,337.00 Nabholz Construction 009.10.02 Doors, Frames, Hardware $ 93,550.00 Builders Supply 009.21.01 Fire Suppression $ 40,000.00 Frazier Fire 009.23.01 Plumbing & HVAC $ 582,740.00 McIntosh Service 009.26.01 Electrical Systems $ 998,776.00 Colburn Electric 009.32.01 Asphalt Paving & Markings $ 36,330.00 Dunhams Asphalt Services 009.31.01 Earthwork $ 110,000.00 D- Kerns Construction 009.32.05 Fencing $ 61,300.00 Ranchers Pipe & Steel 009.32.07 Landscaping $ 12,300.00 Horizon Lawn & Landscape Allowances Furniture Moving & Stora e $ 15,000.00 Hardware Repairs / Replacement $ 7,500.00 3rd Party Material Testing $ 10,000.00 Overhead Power Line Protection $ 5,000.00 ..,..,,.`:V; 5.00% 7.00% General Conditions General Requirements General Liability Subcontractor surety Builders Risk Performance Payment Band Construction Manager Fee Contingency Preconstruction Fee $ 184,065.84 $ 81,770.00 $ 34,000.00 $ 4,800.00 $ 22,400.00 $ 174,852.44 $ 257,033.09 $ 5,000.00 mot, y :? .,.+,�,r r, a .: ;,7 lip or.BaseBd s. ?, 4,.>:;.,c. ,^ M, Sd OWASSO OREO�P.Mpl.-RFALChmd.,-REAL Gammunity ECONOMIC DEVELOPMENT STRATEGY nary 2018 P e ared for: City of OwaSSO, Oklahoma ECONOMIC DEVELOPMENT STRATEGIC PLANNING Owasso Economic Development Strategy TABLE OF CONTENTS PlanPurpose .............................................................................................................................................. ............................... 1 Planning Process StrategicInitiatives ................................................................................................................................... ............................... A. Strengthening Owasso's Value Proposition 2 A.I. Workforce Owasso 2 A.2. Incentive Guidelines & Policy 3 A.3. Industrial /Office Parks 4 A.4. Advocacy 5 B. Growing & Recruiting Business to Owasso 6 B.I. Medical Cluster Expansion 6 B.2. Expand & Attract Businesses 7 B.3. Entrepreneurship & Incubation 9 C. Marketing Owasso 10 C.1. Owasso Identity 10 C.2. Owasso's Online Presence 11 PlanComponents ...................................................................................................................................... .............................12 AccountableImplementation .................................................................................................................. .............................12 A. Minimum Specifications for Successful Implementation 12 B. Organizing and Reporting 13 C. Communications 13 Acknowledgements................................................................................................................................... .............................14 February 2016 City of Owasso — Economic Development Strategic Planning TOC Owasso Economic Development Strategy PLAN PURPOSE Owasso is one of the most desirable communities for residents in the Tulsa region. Quality housing and robust retail growth have been a focus for community leaders. To sustain growth of retail and lifestyle amenities, it is important to intentionally work on a more developed community to accommodate opportunities for not only living and playing in Owasso, but also quality employment opportunities. Employment in basic industries - those industries that bring new wealth in a community by selling a product or service outside the region - pay higher wages for skilled workers. Basic industries located in Owasso increases daytime population so that more money is spent locally for retail, restaurants and local services. The purpose of this plan for Owasso economic development efforts is to strategically invest resources so that we sustain and perpetuate opportunities for Owasso citizens. By diversifying job opportunities Owasso will suffer less negative impact from cyclical economic challenges. We also value how the community can be involved and informed in these efforts. Our vision is for all pieces to really work together - to communicate and collaborate. This plan is not a city government plan; it involves teams of committed partners making a positive impact for growing Owasso's economy collectively. PLANNING PROCESS The development of this strategic plan covered three phases: first, an in -depth analysis of the current situation; second, robust engagement to define strategic priorities; and third, initiative - focused work sessions to define specific tactics and teams for each strategic initiative. 65 people were involved in the planning process, encompassing elected officials at the local, county and state levels; members of the Owasso Economic Development Authority and Owasso Chamber of Commerce; staff from the city, Owasso Chamber, Tulsa Regional Chamber; real estate developers and brokers; healthcare; educational institutions, workforce development and many other economic development resources partners. STRATEGIC INITIATIVES The Owasso Economic Development Strategy encompasses nine strategic initiatives, organized into three related categories: February 2018 City of Owasso - Economic Development Strategic Planning Page 1 Owasso Economic A. STRENGTHENING OWASSO'S VALUE PROPOSITION During the planning process, the Competitiveness Assessment and subsequent focus groups with local employers revealed gaps and liabilities in Owasso's asset offerings that are critical to Owasso's success in growing and attracting businesses in Owasso. If these issues are not addressed, the work of the other two strategic initiative categories will encounter more obstacles and waste resources. A.1. Workforce Owasso GOAL Network of employers, resources and service providers for recruiting and retaining a workforce of excellence in Owasso, Oklahoma. WHY IMPORTANT? Local employers provided resounding input on the critical factor of attracting and retaining skill and unskilled candidates to work at their Owasso operations. By convening "Workforce Owasso" it demonstrates not only proactive efforts for listening to employer needs, it shows that Owasso is interested in acting on solutions that support employer needs. Nationally, talent is the leading driver for business growth and competitiveness through innovation. Communities that are focused on helping local employers access talent, as well as partner on upgrading skills, are growing through talent capacity. These communities are also gaining attention outside of the marketplace as potential areas for new locations because they are addressing employer talent needs. TACTICS — WORKFORCE OWASSO ■ Engage employers • Catalogue human resource contacts. • Assemble team. • Invite to participate. • Champion for "Workforce Owasso" by industry sector. • Frame value proposition for "Workforce Owasso ". • Establish "Workforce Owasso ". • Regular meetings with Workforce Owasso meetings Employer- driven topics and dialogue of substance. • Define meeting frequency, time of day, and length. • Research workforce resources and service providers • Assemble and document. • Research other workforce programs. • Open doors for school -to -work efforts. • Workforce data mining • Understand local, regional, state and national trends, • What data do local employers want. • Establish regular update schedule of data. • Identify needs and issues for local employers • Survey or other input mechanism. February 2018 City of Owasso — Economic Development Strategic Planning Page 2 Owasso Economic ■ Online access to information for local employers • Owasso Economic Development website with information and links to workforce resources and data. • Additional other engagement tools for "Workforce Owasso" members: Sharepoint, private Linkedln Group, database. A.2. Incentive Guidelines & Policy GOAL Establish incentive guidelines and policy. WHY IMPORTANT? Incentives can be a highly controversial topic for communities, while incentives only serve to "tip the scale" for a business location decision when all factors are equal among competing communities. Strategic communities utilize incentives as tools to close a deal - if it helps the community to achieve what economic growth they are trying to influence AND only if needed. The importance of this initiative is to thoughtfully consider how incentives will help Owasso advance efforts towards what the community needs to achieve - for the short and long -term. Because we have limited resources we want to make smarter investments, utilizing these limited resources for maximum return on investment. TACTICS - INCENTIVE GUIDELINES & POLICY ■ Research • Document current and past incentives awarded by Owasso. Assess successes and failures. • Research what other cities and economic development organizations have done /are doing with incentives. Understand best practices. • Conduct retail market analysis to document gap analysis. ■ Document incentive "tool box" (eligibility, application process, contacts, etc.) for Owasso projects, including but not limited to: • Federal incentive programs. • State incentive programs. • Workforce development /hiring. • Tribes. • Prepare summary document of all research to inform preparation of draft goals • Define draft goals for incentive projects What trying to achieve with incentives. • Where are biggest gaps in available incentives (avoid duplication). • Eligible areas to incent. ■ Consult private - sector on draft goals ■ Develop incentive criteria • i.e. "but for this incentive the project will not occur" language • Economic impact to measure return on investment ■ Identify funding sources February 2018 City of Owasso - Economic Development Strategic Planning Page 3 Owasso Economic Development Strategy • Develop guidelines for eligibility • Earned incentives versus claw- backs. • Incentive level based on criteria. • Pre - application worksheet. • Project incentive application. • Corresponding project evaluation relative to criteria. • Approval of Incentive Guidelines /Policy • Submit to Owasso Economic Development Authority for recommendation to City Council. • Submit to City Council for approval. • Marketing • Eligibility presented on Owasso Economic Development website. • Package with federal, state and other incentives in client proposals. A.3. Industrial /Office Parks GOAL Competitive sites ready for development and available buildings, all with complete information, to meet target prospect needs for industrial and office operations. WHY IMPORTANT? Businesses need a place to locate. They will locate expansions and new operations where they can meet their project timelines. This requires us to not only have complete information on available sites and building documented, we also need to have sites and buildings ready to meet their needs. By working on industrial and office parks proactively we will be better positioned to provide speedy client response and compete more effectively for investment and employment projects. TACTICS — INDUSTRIAL /OFFICE PARKS ■ Identify real estate partners and their respective roles • Land owners. • Developers. • Brokers. • Economic development partners. • Inventory land • Determine priority development areas based on alignment to City Land Use Plan, access to infrastructure, etc. • Determine target industry needs • Review Target Industry Analysis report for Industry Intelligence of Owasso target industries. • Research market trends. • Assess priority sites for infrastructure needs • Document available infrastructure. • Document infrastructure needs corresponding to target industry needs. • Develop infrastructure improvement plans • Plan for extensions /build out. • Budgets. • Timelines. February 2018 City of Owasso — Economic Development Strategic Planning Page 4 Owasso Economic • Funding sources • Identify funding sources for infrastructure improvement plans. • Cost analysis for improvements. • Land acquisition — TBD if private- sector does not choose to develop sites • Speculative building development • Who's currently building spec in regional market. • Document missed opportunities because of limited existing building stock in Owasso. • Define alternative approaches to getting a spec building built. • Develop spec building pro forma aligned to target industry needs. • Market to regional developers; if no interest, expand marketing to external developers. • Understand gaps for moving forward. • Structure deal. • Site certification • Determine priority sites in partnership with landowners /developers. • Define roles on application process. • Complete and submit application. • Online Property Database • Prepare complete profiles of sites and buildings. • Confirm information with brokers, developers, landowners. A.4. Advocacy GOAL Influence municipal revenue diversification in Oklahoma. WHY IMPORTANT? Oklahoma cities survive or die on sales tax as the sole revenue stream for operations. Oklahoma is the only state in the nation where sites and towns must rely on sales tax as their primary revenue source. This state policy causes short -sided focus towards sales tax generating businesses. As more Oklahoma cities recruit sales tax generating businesses, it becomes a zero- sum -game versus a focus on wealth - generating industry growth for local and state economies. Leadership across the community is concerned about the implications of this policy for the long -term economic health of Owasso and all Oklahoma cities. Current challenges with the state budget already draw attention to fiscal policy issues necessitating an update. Including this initiative in the Owasso Economic Development Strategy is a sign of true leadership to advance Owasso's future, so that we may be able to provide quality services for residents and businesses as we grow. TACTICS — ADVOCACY ■ Review research related on subject • What is status for effort. • Who's involved. • Future projections with current revenue model. • History of Oklahoma model. • Other state's funding models. ■ Gather intel • Identify influencers. • Identify adversaries. February 2018 City of Owasso — Economic Development Strategic Planning Page 5 Owasso Economic • Create a policy document • Partner with advocacy groups and get buy -in • Hire consultant • Public input • Convert policy document into communication piece /messaging • Educate constituency on current tax model (and implications) • Create plan and strategy • Decide State Question or Joint Resolution. • Communications and outreach plan. • Create Owasso Political Action Committee with clear purpose to diversify municipal revenue model • Establish structure. • Fundraising. • Invest in candidates that support revenue diversification. • Drive legislative turnover. B. GROWING & RECRUITING BUSINESS TO OWASSO The initiatives in this category focus on three different avenues to expand basic industry employment and investment in Owasso by basic industries specifically. B.I. Medical Cluster Expansion GOAL Establish Owasso as a destination for medical treatments and R &D to grow high - paying, sustainable jobs in Owasso. Position Owasso as notionally- recognized medical cluster and increase specialized services. WHY IMPORTANT? Owasso already has a strong and growing medical cluster anchored by two major hospitals. The medical field will always be in demand and rely on skilled positions with higher- earning opportunities. Local schools have programs in place (and developing more programs) to train workers for medical - related positions. May communities, not just in the Tulsa region and throughout Oklahoma, but throughout the USA are targeting medical expansions as well. This initiative is important to allocate thoughtful and dedicated efforts to make Owasso stand out as a location for exceptional medical business growth. Owasso benefits beyond economic growth with this initiative as residents will also have access to the expanding services and programs. TACTICS — MEDICAL CLUSTER EXPANSION • Inventory medical service lines in Owasso • Document what is offered by Owasso medical institutions. • Who is doing R &D. • Define gap analysis. • Define market opportunities. • Leverage opportunities with partner hospitals (local and external). • Inventory strengths and national awards • Research best practices /examples • Investigate Tulsa assets. • RML consolidation from Ascension. • Rule out duplication. February 2018 City of Owasso — Economic Development Strategic Planning Page 6 Owasso Economic ■ Stakeholder engagement • Hospital plans. • Site owner plans. • Universities. ■ Medical Cluster development area • Define area. • Inventory sites. • Assess sites for development readiness. • Infrastructure needs assessment. • Funding for infrastructure. • Targets • Shared definition of terms, especially regarding what is meant by R &D. • Pool of customers /market definition. • Needs of desired businesses. • Asset mapping • Workforce. • Access. • Other assets to build case for Owasso. • Benchmark to competitors • Team learning • Understand what we are selling. • Work together for common messaging. • Marketing • Incentives • Link to Strategic Initiative A.2. Incentives Guidelines. B.2. Expand & Attract Businesses GOAL Retain existing businesses and recruit diverse, high - growth companies of targeted' basic industries (metal manufacturing, aircraft parts, office /headquarters, information technology, and medical) in order to grow wealth and increase daytime employment in Owasso. WHY IMPORTANT? Taking care of existing businesses is like a business taking care of existing customers. Not only does this ensure that recruitment of new businesses to Owasso builds on the current economic base, satisfied local businesses can be important advocates and proof to prospective businesses considering an Owasso location. The importance of proactively recruiting targeted businesses is essential to transforming and evolving the growth of Owasso's economy. If a community only answers the phone and waits for companies to locate, they may not be the types of companies or industries that positively contribute to the economy in the way Owasso desires — especially as it relates to diversification and growth of better paying jobs. Being intentional in positioning Owasso's assets for, and in front of, targeted industries is a better use of marketing and economic development resources than a shotgun approach for recruiting any business that may choose to locate in Owasso. Owasso Target Industry Analysis, December 2017 February 2018 City of Owasso — Economic Development Strategic Planning Page 7 Owasso Economic TACTICS — EXPAND & ATTRACT BUSINESSES ■ Contacts database (CRM) • Evaluate alternative tools. • Training. • Set up. • Inventory existing basic industry businesses and top sales tax generators in Owasso • Research key contacts — local and external. • Online research for data available on companies. • Input into contacts database. • Segment by industry sector. • Survey existing businesses • Develop questions to gather useful information. • Design survey. • Survey tool. • Distribution. • Analysis. ■ Existing business outreach • Local business outreach. • External HQ outreach. • Record interactions in contacts database. • Organize partner team (i.e. Team Owasso) of business resources for expanding and recruiting businesses in Owasso • Who: real estate, workforce agencies (public and private), training and education, permitting, regulatory, utilities, OEDA, Mayor, etc. • Define roles and responsibilities. • Confidentiality and ethics policy for economic development • Utilize IEDC Ethics training and manual for drafting policy. • Adopt by OEDA and City Council. • Have all Team Owasso members sign. • Real estate data • Gather and verify real estate data on available sites and buildings. Market to local developers and brokers benefit of sharing data for marketing of properties. • Maintain in online real estate database. • Verify and update on regular schedule. • Proposal and marketing data • Organize key data for proposal and marketing (i.e. website and target materials). • Record update schedule for new data publication. • Leverage partner resources. ■ Supply chain research Identify suppliers to existing businesses /cluster opportunities to relocate to Owasso. ■ Develop target marketing materials • Industry business cases for each target industry. • Supply chain documentation. February 2018 City of Owasso — Economic Development Strategic Planning Page 8 Owasso Economic Development Strategy • Market to Tulsa Regional Chamber and State /ODOC • Share marketing materials so that they are informed on Owasso's targets and corresponding assets to sell Owasso's value proposition. • Invite to Owasso for tour of assets. Show what is happening in Owasso. • Target geographies for marketing missions • Reference Target Industry Analysis for industry intelligence. • Leverage state and regional marketing trips for potential target geographies. • Engage lead generation firm for one -on -one appointments in target geographies. • Familiarization (a.k.a. FAM) tours • Research and develop target list of site selectors, national brokers and other key influencers to invite for tour of Owasso. • Leverage Tulsa Regional Chamber. • Invitation. • Consider smaller, tailored, one -on -one tours versus large groups. • Host. • Follow -up. • Client proposals • Customized cover letters and order of information based of priority location factors for the project. • Investigate online proposal system. • Site visits • Team training. • Orientation and planning for each visit. • Debrief process after each site visit. • Client follow -up • Regular follow -up to advance sales process. • Record interactions in contacts database. • Announcements of wins • Menu of services to provide company. • News release. • Media announcements. • Groundbreaking. • Ribbon cutting. 6.3. Entrepreneurship & Incubation GOAL Develop and implement a structured program of entrepreneurship resources, including an incubator in the Redbud District, to foster start -up and fast - growing businesses in Owasso to stay here as they grow. WHY IMPORTANT? Entrepreneurs start businesses where they want to live. There are many reasons why people want to live in Owasso and this resident - attraction strength is an opportunity to leverage for business development through entrepreneurship. Often, where a company starts is where they continue to have a presence for the long run ... if they get the resources and assistance they need to expand and grow. February 2018 City of Owasso — Economic Development Strategic Planning Page 9 Owasso Economic The Competitiveness Assessment uncovered many entrepreneurship resources throughout the Tulsa region, but none of these resources are located in Owasso. There is a connection link that is needed to maximize the value of these resources for local businesses and entrepreneurs. TACTICS — ENTREPRENEURSHIP & INCUBATION • Monitor Redbud District revenue to better understand timeline for funding incubator. • Explore options of entrepreneurship program focus • Identify potential entrepreneur clients. • Identify their needs and challenges. • Develop and assemble portfolio of entrepreneurship resources • Test resources • i.e. "pop -up" space for co- working, training, workshops. • Identify partners and resources to define entrepreneurship landscape in Owasso and region • Develop guidelines and directives for incubator • Develop business plan for incubator • Program and. service offerings. • Space requirements. • Staffing requirements. • Pro forma. • Identify sustainable funding models • Vet funding sources. • Document viability of financial model. • Hire initial staff • Space development for incubator • Marketing & communications strategy to attract participants • Incubator operations • Individual entrepreneur needs assessment. • Agreements for participating entrepreneurs. • Graduation requirements and accountability. • Continue to build -out support network. C. MARKETING OWASSO In the era of robust information and immense competition in economic development, Owasso must tell its story to get attention. And the story must be authentic and clear so that it is understood, believable and memorable to stand out in the chatter of overwhelming media. C.1. Owasso Identity GOAL Define consistent identity for Owasso supported with relevant message and facts. WHY IMPORTANT? As a suburban community, it is valuable to leverage the known community of the region — Tulsa. Yet, there are many suburbs clamoring for attention and Owasso needs to define compelling, authentic and unique attributes to frame a cohesive and memorable identity for who Owasso is now and in the future. February 2018 City of Owasso — Economic Development Strategic Planning Page 10 Owasso Economic TACTICS — OWASSO IDENTITY ■ Define target audiences • Define messaging and Owasso's value proposition • Convene partners for input. • Agree on "who we are ". • Graphic imagery • Hire graphic designer to assist with development of identity that matches messaging. • Inventory all current images. • Framework comparison to other community's identities. • Document design guidelines. • Buy -in with partners, schools • Reveal new Owasso identity and messaging platform C.2. Owasso's Online Presence GOAL Establish effective online presence for Owasso with information available "24 X 7" to save staff time. WHY IMPORTANT? Owasso has no economic development- specific website and limited social media accounts and messaging. The leading marketing tool for economic development marketing is a website that presents relevant data, case studies of local businesses, maps and other points of interest that influence business location decision - making. Not only is this the first place a business or site selector seeks information, it may be the only place information is gathered before a desktop screen of the community is made. No information available online may result in elimination of consideration. A website also serves as a place to house the most current information for staff to present to businesses and the community at- large. In turn, a website provides the information around the clock and saves time — for businesses, site selectors and staff. Regarding social media, increasingly businesses and site selectors are gathering news from these outlets. In addition, as a means to share information, relationships develop based on the value of that information and dialoguing. When a community is not participating in social media, there is a void that competitors can fill with news about their communities. TACTICS — OWASSO'S ONLINE PRESENCE ■ Research economic development websites • Navigation. • Layout. • Look. ■ Select web designer /web platform ■ Domain name • Select options. • Register domain name. February 2018 City of Owasso — Economic Development Strategic Planning Page 1 1 Owasso Economic Development Strategy • Site map • Searchable real estate database. • Site selection factors. • Economic development programs, services and business resources. • Integrate social media. • Organize and upload content • Data subscriptions to leverage or purchase (i.e. StateBook) • Schedule regular updates of website content • Social media policy and updates PLAN COMPONENTS The complete Owasso Economic Development Strategy is composed of several documents to support effective implementation and communications, including: ACCOUNTABLE IMPLEMENTATION For each of the nine strategic initiatives, teams are assembled, and Team Leads are committed to lead the initiative. The Team Leads met to define and agree to practices for successful implementation that will keep all efforts on track and leverage accomplishments among teams. A. MINIMUM SPECIFICATIONS FOR SUCCESSFUL IMPLEMENTATION Team Leads devised the following fundamental practices to guide not only their specific team, but collectively among teams: • Gather teams • Delegate • Research • Establish and adhere to meeting scheduled • Keep on time and on budget • Communicate regularly and effectively • Report regularly and on time • Collaborate, understanding that each team and corresponding Team Lead are not "an island" February 2018 City of Owasso — Economic Development Strategic Planning Page 12 Owasso Economic B. ORGANIZING AND REPORTING Team Leads agreed upon consistent team engagement and reporting to advance the work detailed and developed by the teams for each strategic initiative: • Since all Team Leads work at the City of Owasso, store all strategy documents, including the Implementation Timeline on shared drive. • Bring team members together to define roles based on skills and interests where they would like to contribute. • Identify additional team members to be invited to participate in strategic initiative. • Identify and invite Assistant Team Leads. • Monthly reporting by Team Leads to track progress. C. COMMUNICATIONS There are a variety of audiences interested in the progress of economic development strategy implementation in Owasso. On a regular basis, the Team Leads will communicate to corresponding audiences as to accomplishments and progress forward with implementation. This practice enables celebration and education along the way, as major wins in economic development occur infrequently, yet these milestones contribute to the opportunities for major successes to be more viable. AUDIENCE COMMUNICATION MEDIUM Businesses & Residents Website Social media Annual Economic Summit City Council Reports (staff memos) Owasso Economic Development Authority Presentations such as Owasso Chamber of Commerce, Ad hoc presentations Hospital Boards, etc. Development and Real Estate Presentations February 2018 City of Owasso — Economic Development Strategic Planning Page 13 Owasso Economic ACKNOWLEDGEMENTS The Owasso Economic Development Strategy is more than a simple document. It is a living and active plan developed by an expansive list of engaged and committed leaders in our community. It is because of this tremendous leadership that we are able to take on bold and critically important initiatives laid out in this plan. OWASSO CITY COUNCIL Lyndell Dunn, Mayor Bill Bush, Councilor Dr. Chris Kelley, Vice Mayor Jeri Moberly, Councilor OWASSO ECONOMIC DEVELOPMENT AUTHORITY Dr. Bryan Spriggs, Chair Jeri Moberly, Trustee Doug Bonebrake, Councilor Gary Akin, Trustee David Charney, Trustee Skip Mefford, Trustee Dee Sokolosky, Trustee Dr. Dirk Thomas, Trustee ECONOMIC DEVELOPMENT STRATEGIC PLANNING STEERING COMMITTEE Lyndell Dunn, Mayor Chelsea Levo Feary, City of Owasso Roger Stevens, City of Owasso *Michael Gordon, Public Service Company of OK *Chris Phillips, Oklahoma Natural Gas Company Dr. Clark Ogilvie, Owasso Public Schools Brian Bigbie, INCOG Renee Mowery, BROGRAN, LLC Dr. Bryan Spriggs, OEDA Warren Lehr, City of Owasso Bronce Stephenson, City of Owasso Julie Stevens, City of Owasso Dr. Paul Loving, Owasso Planning Commission *Janet Smith, Public Service Company of Oklahoma Dr. Leslie Clark, Tulsa Tech Brien Thorstenberg, Tulsa Regional Chamber Keith Mason, Bailey Medical Center Andy McMillan, Cherokee Nation Business John Smaligo, Tulsa County Commissioner *Martie Oyler, Oklahoma Natural Gas Company Dr. Paula Willyard, Tulsa Community College Gary Akin, Owasso Chamber of Commerce Brian Beam, Owasso Land Trust ADDITIONAL COMMUNITY LEADERS INVOLVED IN STRATEGIC PLANNING Sherry Bishop, City of Owasso Shelley Cadamy, Workforce Tulsa Dustin Curzon, 36 Degrees North Brian Emery, Mingo Aerospace Pat Green, Tulsa Community College Linda Jones, City of Owasso Julie Brugger, National Steak and Poultry Cornell Cross, OCAST Michele Dempster, City of Owasso Amy Fichtner, Owasso Public Schools Tandy Groves, Bailey Medical Center Julie Lombardi, City of Owasso Ryan Byrd, Infinity Investigations Cathy Curtis, Owasso Public Schools Sen. JJ Dossett, Oklahoma State Senator Blake Gossett, RECO Enterprises Brandon Irby Nick Lombardi, Frisbie Lombardi Candice Longnecker, Tulsa Tech Dean Lowe Geoff Lowe February 2018 City of Owasso — Economic Development Strategic Planning Page 14 Jennifer Newman, City of Owasso Morgan Pemberton, City of Owasso Meg Ryan, Tulsa Regional Chamber Jennifer Smith, Tulsa Regional Chamber Sheila Stringer, Keller Williams Bill Willson, Infinity Investigations Rep. Monroe Nichols, Oklahoma State Representative David Phillips, St. John's Hospital Scott Shortess, Advanced Plastics Nick Sokolosky, First Bank of Owasso Cheryl West, Bailey Medical Center Teresa Willson, City of Owasso Owasso Economic Bob Parker, Owasso Land Trust Andrew Ralston, Tulsa Regional Chamber Janet Smith, Public Service Company of Oklahoma Zach Stoycoff, Tulsa Regional Chamber Keith Whitfield, Aartvark Graphic Design Mike Wilson, National Steak and Poultry February 2018 City of Owasso - Economic Development Strategic Planning Page 15 SPONSORS This important project for Owasso was made possible, in part, by the generous sponsorship of Oklahoma Natural Gas, a division of ONE Gas, Inc. and the Public Service Company of Oklahoma, an American Electric Power Company. CrAOT Oklahoma Natural Gas, A Division of ONE Gas ABOUT THE CONSULTING FIRM PUBLIC SERVICE COMPANY OF OKLAHOMA An AEP Company BOUNDLESS ENERGY "' The Economic Development Strategic Planning project for the City of Owasso, Oklahoma was developed with technical assistance and stakeholder engagement of TadZo. TadZo is an economic development and site selection consulting firm. Businesses and communities want essentially the same things: economic vitality, wealth creation, quality place and environment. TadZo works with communities to achieve these outcomes. TadZo also assist companies to identify communities with these attributes that support business strategy and competitive advantage. Allison Larsen, CEcD Principal TadZo www.TadZoConsulting.com (623) 233 -5333 allison@TadzoConsulting.com Sandy Pratt, CEcD FM Senior Consultant TadZo www.TadZoConsulting.com (405) 735 -5456 sandy@TadzoConsulting.com The Intersection of Site Selection & Economic Development OREAIN.,W-1EAL11.ml.,-REAL CommuMry TO: Honorable Mayor and City Council City of Owasso FROM: Bronce L. Stephenson, MPA Director of Community Development SUBJECT: Update to Owasso Zoning Code DATE: February 9, 2018 BACKGROUND: The Zoning Code is the document that guides the development process, and it sets standards that must be met when developing property in Owasso. The Zoning Code also establishes zoning districts, bulk standards, and design requirements. It is a responsible practice to continuously update the Zoning Code as often as possible to keep up with changing standards, technology, economically- driven changes in the development world, and changes in the community. In 2014, the Council adopted the GrOwasso 2030 Land Use Master Plan. Staff began the process of updating the Zoning Code about 18 months ago. Many cities utilize outside firms to write a new Code, but as with the Land Use Master Plan update, the new Zoning Code is being prepared in -house by Community Development Staff. The creation of the new Zoning Code, when completed, will be the result of long process that involved well over 1,000 hours of Staff time and input from the Planning Commission, Board of Adjustment, City Council and the development community. ANALYSIS: The new Zoning Code will utilize a large part of the existing Zoning Code as a framework, but every section of the Code is being rewritten. A great deal of attention has been paid to the changing development trends that Owasso is seeing. The major changes proposed to the Zoning Code are • The addition of the Residential Mixed Use (RNX) Zoning District, which was passed by Council in 2016 with Ordinance 1087. • Permitted and prohibited uses for all Zoning Districts have been simplified into tables and re- categorized under definitions of uses in the North American Industry Classification System (NAICS) guide. • The addition of a chapter specifically for Overlay Districts. • No new zonings of Commercial Heavy (CH) would be allowed in Owasso. • A new category of CD (Commercial Downtown) would be created to accommodate the downtown development. • The height requirements for Accessory Structures would be changed. • The Code would establish the Official Zoning Map of Owasso. • The addition of Temporary Use Permits and requirements for them. The City would regulate sno -cone stands and flower tents among other uses. They would be approved with Administrative Review rather than going to the Board of Adjustment. • Mechanical equipment would no longer be allowed to encroach into the side yard setback. • The addition of the PF (Public Facilities) zoning district, which is intended to set a standard zoning district for public /institutional /quasi - public uses that are distributed throughout Owasso. This includes uses like public parks, City /Municipal buildings or yards, public safety facilities, public schools, cultural areas, and utilities. • A new chapter for site design standards, which includes site plan requirements, required screening, site access requirements, and architectural design requirements. • For carports, language has been added to assist with determining a recommendation and decision when brought before the Board of Adjustment, whereas none currently exists. • Several definitions have been added to the chapter on Definitions. PLANNING COMMISSION: The Planning Commission has been working on the update to the Zoning Code for the last few years and has had work sessions and input throughout the process of drafting a new Code. The final draft of the document will be reviewed by the Planning Commission at their February 12, 2018, meeting and the Planning Commission will vote on the Zoning Code update at their meeting on June 11, 2018. TIMELINE: Staff introduced the rough draft of the Zoning Code update at the August 8, 2017, City Council work session meeting, and Council provided input at the September 12, 2017, work session. Staff is now bringing a draft to the February 13, 2018, City Council work session for discussion. From February 12 through March 12, the I draft of the Zoning Code update will be available on the City of Owasso website for public comment. Additionally, a public input meeting will be held on March 29, 2018, from 6:00- 8:OOpm in the Community Room in City Hall. Public hearings on the Zoning Code update will be held at the Planning Commission meeting on April 9 and the City Council meeting on April 17, 2018. The Zoning Code is expected to be presented to the City Council for final consideration and appropriate action at the June 19, 2018 meeting. REAL People •REAL Lhamcter • REAL Communlly TO: Honorable Mayor and City Council City of Owasso FROM: Bronce L. Stephenson, MPA Director of Community Development SUBJECT: Annexation (OA 18 -01) - NW Corner of E 86th St N and N 161 :r E Ave DATE: February 9, 2018 BACKGROUND: The Community Development Department received a request for annexation of property located on the northwest corner of E 86th St N and N 16151 E Ave. The subject property is approximately 40.10 acres in size and is currently zoned AR (Agriculture Residential) in Rogers County. Upon annexation, the property would be brought into Owasso City Limits as AG (Agriculture). SURROUNDING LAND USE: Direction Zoning Use Land Use Plan Jurisdiction North OPUD -15 / RS-3 (Residential Undeveloped Parks /Recreation City of Owasso Within Overlay District? Single - Family High Density) Water Provider Rogers County Rural Water District #3 Applicable Paybacks South RS -40 (Residential Single- Power Station & Public /Institutional Rogers County Family Low Medium Density) Undeveloped & Transitional East RS -40 (Residential Single- Residential Commercial & Rogers County Family Low Medium Density) I Residential West OPUD -15 / RS -3 (Residential Park & Parks /Recreation City of Owasso Single - Family High Density) Residential & Residential SUBJECT PROPERTY /PROJECT DATA: Property Size 40.10 +/- acres Current Zoning AR (Agriculture Residential) Proposed Zoning Upon Annexation AG (Agriculture) Land Use Plan Commercial/Transitional /Residential Within PUD? No Within Overlay District? No Water Provider Rogers County Rural Water District #3 Applicable Paybacks Storm Siren Fee ($50.00 per acre) Elm Creek Sanitary Sewer Relief Area ($1,338.58 per acre) ANALYSIS: The property is currently zoned AR (Agriculture Residential) in Rogers County, and the applicant requests that the property be brought into Owasso City Limits with an AG (Agriculture) zoning designation. The subject property is predominantly undeveloped but has a few existing agricultural and residential structures. The GrOwasso 2030 Land Use Master Plan calls out for three types of land uses on the property. The hard NW corner of E 86th St N and N 161st E Ave is called out for commercial uses. A section of the property directly north of the hard corner is called out for transitional land uses. The remaining area of the property is called out for residential uses. The City of Owasso will provide sanitary sewer, Fire, Police, and EMS to the property upon annexation. Water service will be provided to the property by Rogers County Rural Water District #3. Any future development that occurs on the subject property must adhere to all Owasso subdivision, zoning, and engineering requirements. PLANNING COMMISSION The Planning Commission will consider this item at their regular scheduled meeting on February 12, 2018. ATTACHMENTS: Aerial Map Zoning Map GrOwasso 2030 Land Use Master Plan Map Annexation Exhibit Zoning Map OA 18 -01 I RS -25 2 Subject Property i RS -40 � m _ ,.. _ ......., E 86th St N - - - -- 1 ) GrOwasso 2030 Land Use Master Plan OA 18 -01 LEGEND Land Use Categories - Commerral - IndusbiaVRegional Employment Neighborhood Mixed Use (Light Once, "(. Commercial Shopping, Attached Housing, "- -' - - SF Housing, Apartments above retail) Parks/Recreation S PubliNlnstitWonal /OUasi Public Residential (Single family detached housing) Transitional (Attached housing, duplexes, offices) ® USA69 Overlay District ® - Glenn -Mur Addition Special District "Downtown Development Dnunct Subject Property li M' 100yr Flocdplain Planted TWVOnStreet Sikeroute/ Complete Street Existing trail L Fire Station Existing Public School Future Public School Civilian Airstrip Future Pads and Ride/Transit Stop © Hospital Q Public Park Golf Course ttt Cemetery J Q1 J M eDD e E 86th St N Annexation Exhibit The Park at Preston Lakes i Unplatted i N69 u9Y7E- 669.56' Location Map R-14 -E umwrnerassriroam T a N Z g 9 stsrssrnsmssrwonm Sedbn 22 Rogers county Unplatted 40AOAnes Total Area - t40.10 Acres W 200 100 0 200 $ $ SCALE: 11-200' �y 4 Park Place at Preston Lakes N89°55J5E- 66!.55' East 86th Street North The Park At Preston Lakes Date of Preparagon: January 5, 2018 -rar sd PP�' -FEA L C accer -PEAL Community TO: The Honorable Mayor and Council City Of Owasso From: H. Dwayne Henderson, P.E. City Engineer Subject: Application for STP Funds 96th Street North /145th East Avenue Intersection Widening Date: February 8, 2018 BACKGROUND: The intersection at East 96th Street North and Northl45th East Avenue is owned and maintained by two separate entities. Tulsa County owns and maintains the north, south and west legs and Rogers County is responsible for the east leg of the intersection. It is currently one of the most heavily traveled unimproved intersections in the Owasso area. Actual traffic counts in this area are tabulated below along with the projected counts for 2038. Location Daily Traffic Daily Traffic Daily Traffic Daily Traffic Volume Volume Volume Volume (Projected (Vehicles per (Vehicles per (Vehicles per 2038 ADT) day 2018 ADT) day 2012 ADT) day 2006 ADT) 145th East Avenue, south 10,750 5,952 5,543 3,400 of 96th Street North 145th East Avenue, north 8,559 4,739 4,058 2,400 of 96th Street North 96th Street North, east of 9,963 5,516 4,891 4,500 145th East Avenue 96th Street North, west of 14,848 8,221 7,530 5,800 145th East Avenue 2018 data shows a 7.3% to 16.2% increase in traffic for the four legs of the intersection from 2012 to 2018. A 3% per annual increase was used to project the 2038 traffic flows in the table above. The 2006 Traffic Analysis stated that the intersection capacity would need to increase within three years. The improvements should be planned to handle the determined future 10 -year traffic growth of the area so as not to require another project for additional improvements within a few short years. The north -south legs of the intersection have already exceeded the 10 -year growth projections while the east -west legs on East 96th Street North have not met the projected rate. In 2018, Tulsa County, Rogers County and the City of Owasso agreed to share costs for the engineering design for the project, right -of -way and utility relocation. Staff has prepared a conceptual plan and preliminary design report that will be submitted to INCOG for FY 2021 Surface Transportation Program (STP) funds. These funds are made available on an annual basis by the Federal Highway Administration (FHWA), through the Oklahoma Department of Transportation (ODOT), for the implementation of eligible transportation improvements in the Tulsa Urbanized Area. INCOG administers the grant funding and has established a selection process for the distribution of STP funds. Priority funding is given to projects that meet federal regulations and help advance the Regional Transportation Plan through safety improvements and to projects that reduce traffic congestion. Proposed projects are evaluated for eligibility and priority based on a 100 - point rating system. On December 22, 2017, INCOG solicited for STP funding applications with a submittal deadline of February 23, 2018. This application is the second time the project has been submitted for funding. In 2015 the project was submitted and scored too low for funding. Since that application, staff has applied and awarded federal funds for improvements to East 106th Street North and North 129 +h East Avenue Intersection. Now that the traffic counts have increased, staff is proposing to resubmit this project for federal funding. PROPOSED RESOLUTION FOR CONSTRUCTION PHASE: Similar to the process utilized to obtain federal funding assistance for the East 106th Street North and North 1291h East Avenue Intersection Improvements, a resolution is necessary in order to complete the application process. The 2018 application will request federal funding assistance for the construction of the roadway improvements. If this project is selected in spring 2018, the funding for construction will be targeted in FY 2021 -22 or sooner, depending on funding availability. CONCEPTUAL DESIGN SUMMARY: Both East 961h Street North and North 1451h East Avenue are considered secondary arterials in Owasso. The intersection is a heavily used roadway that conveys residential, commercial and school traffic in the area, as well as commuter traffic to and from Owasso. The intersection is within two miles of a public school to the north and a public school to the south. It is also just a mile east of Owasso's heaviest commercial shopping activity, one of the busiest in suburban Tulsa. The proposed lane configuration is a 6 -lane roadway section including 2 -lanes in each direction with left and right turn lanes to expedite turning movements. Also included are sidewalks on each side of the intersection. Based on the conceptual design, the anticipated cost for construction of the proposed roadway improvements is $2,789,000. Construction administration (testing, inspection and administration of pay applications) is equal to 20% of the construction fee, which is $557,800 for a total cost of $3,346,800, excluding engineering, right of way and utility relocation costs. Tulsa and Rogers Counties, as well as the City of Owasso, agreed that paying for Phase I (engineering design, (ght -of -way and utility relocations) locally and requesting ODOT funding to contribute to Phase II (construction) allows us the best chance of obtaining funding. ODOT funding for this project would be through the Surface Transportation Program, which would fund 80% of eligible construction costs, while the local government funds 20 %. However, staff believes that in order to have a competitive application, the federal percentage should be reduced and local percentage increased to 60 %140 %. Staff has not determined the final distribution of percentage on the local funds at the time of the agenda deadline. Staff anticipates having a distribution agreed to by all parties by the Work Session meeting. Based upon this information, the following is a project estimate: PROPOSED ACTION: Staff intends to present this item for discussion at the February 13, 2018, Council Work Session with intent to have an item on the February 20, 2018, City Council agenda to approve a resolution requesting ODOT to consider the construction phase of the East 96th Street North and North I451h East Avenue Intersection Widening Project as a candidate for federal funding assistance through the Surface Transportation Program. ATTACHMENTS: Resolution - Draft Location Map City of Owasso /Rogers Estimate ODOT Portion County/Tulsa County Project Segment ($ x7 000) ($x1000) Shared Portion $ x1000 Construction $2.789 To be determined To be determined Administration $0.557 To be determined To be determined Utility Relocation $0.649 To be determined To be determined Right -of -way $0.498 To be determined To be determined Engineering $0.225 To be determined To be determined Total Project Cost $4.718 To be determined To be determined PROPOSED ACTION: Staff intends to present this item for discussion at the February 13, 2018, Council Work Session with intent to have an item on the February 20, 2018, City Council agenda to approve a resolution requesting ODOT to consider the construction phase of the East 96th Street North and North I451h East Avenue Intersection Widening Project as a candidate for federal funding assistance through the Surface Transportation Program. ATTACHMENTS: Resolution - Draft Location Map CITY OF OWASSO, OKLAHOMA RESOLUTION NO. 2018- A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF OWASSO, OKLAHOMA, AUTHORIZING THE SUBMITTAL OF AN APPLICATION FOR FUNDING BETWEEN THE CITY OF OWASSO AND THE OKLAHOMA DEPARTMENT OF TRANSPORTATION FOR THE EAST 96TH STREET NORTH AND NORTH 145TH EAST AVENUE INTERSECTION WIDENING PROJECT WHEREAS, Surface Transportation Program Urbanized Area funds have been made available for transportation improvements within the Tulsa Transportation Management Area; and WHEREAS, The City of Owasso has selected a project described as follows: WHEREAS, the selected project is consistent with the local comprehensive plan, including applicable Major Street and Highway Plan Element, and the Regional Transportation Plan; and WHEREAS, the engineer's preliminary estimate of cost is $ to be determined and Federal participation under the terms of the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA -LU) relating to Surface Transportation Program Urbanized Area funds are hereby requested for funding of % to be determined percent of the project cost; and WHEREAS, the City of Owasso proposes to match Owasso CIP funds for the $ to be determined balance of the project costs; and WHEREAS, the City of Owasso will arrange a qualified En igineer licensed in the state of Oklahoma to furnish professional services in the preparation of detailed plans, specifications and estimates; and WHEREAS, the City of Owasso agrees to provide for satisfactory maintenance after completion, and to furnish the necessary right -of -way clear and unobstructed; and WHEREAS, the City of Owasso has required matching funds available and further agrees to deposit with the Oklahoma Department of Transportation said matching funds within thirty (30) days after approval by the Federal Highway Administration. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OWASSO, OKLAHOMA, that, to -wit: The Indian Nations Council of Governments is hereby requested to program this project into the Transportation Improvement Program for the Tulsa Transportation Management Area; and that upon inclusion in the Transportation Improvement Program, the Oklahoma Transportation Commission is hereby requested to concur in the programming and selection of this project and to submit the same to the Federal Highway Administration for its approval. PASSED AND APPROVED this _ day of , 2018 by the City Council of the City of Owasso, Oklahoma. Lyndell Dunn, Mayor Attest: Sherry Bishop, City Clerk Approved As To Form: Julie Lombardi, City Attorney Page 2 of 2 Resolution 2018 CITY OF OWASso P.O. 180 E 96th STREET N Owasso, OK 74055 918.272.4959 & N 145TH E AVE www.cityofowasso.com INTERSECTION LOCATION MAP 0/3,/=5 ®RIAP.PIePRE4LC 5.d.REAL Community TO: The Honorable Mayor and City Council City of Owasso FROM: Linda Jones Finance Director SUBJECT: Owasso Utility Rate Study DATE: February 9, 2018 The City provides water, sewer, refuse, recycling, and stormwater management services to residents. Operational deficits for the Stormwater and the Owasso Public Works Authority (OPWA) funds over the past four years necessitated implementing a utility service five -year rate plan in 2016 to address the following: • Depletion of the OPWA and Stormwater fund balances over recent years • Rising operational costs • Funding for necessary capital infrastructure including an upgrade of the wastewater treatment plant • Oklahoma Water Resources Board (OWRB) debt requirements In conjunction with approval of the five -year rate plan, Council requested City staff perform an annual review of the five -year rate plan to evaluate progress in achieving a balanced budget to comply with City Ordinance and OWRB debt requirements. Attached are the results of the comprehensive review of utility operations. ATTACHMENT: Water and Sewer Utility Rate Study sd REAL People • REAL Character • REAL Community Owasso Public Works Authority Utility Rate Annual Report December 31, 2017 Table of Contents Introduction......................................................................................................... ..............................1 Major Considerations in Making Utility Recommendations ............................................ ..............................2 Statement of Revenues, Expenses, and Changes in Net Position — OPWA .................. ..............................3 CurrentOPWA Indebtedness ................................................................................ ..............................4 WaterSystem ...................................................................................................... ..............................5 Average Water Customers per Year ....................................................................... ..............................5 WaterUse by Customer Class ............................................................................... ..............................6 WaterConsumption per Year ............................................................................... ..............................6 WaterBilling Rates ................................................................................................ ..............................7 Water Revenue by Customer Type ........................................................................ ..............................8 SewerSystem ...................................................................................................... ..............................9 SewerRates ........................................................................................................ ..............................9 HistoricalUtility Rates ........................................................................................... .............................10 Comparative Residential Utility Rates ................................................................... ..............................1 1 Five -Year Utility Rates ........................................................................................... .............................12 Introduction The City provides water, sewer, refuse, recycling, and stormwater management services to residents. Operational deficits for the Stormwater and the Owasso Public Works Authority (OPWA) funds since 2014 necessitated implementation of a utility service five -year rate plan in 2016 to address the following: • Depletion of the OPWA and Stormwater fund balances over recent years • Rising operational costs • Funding for necessary capital infrastructure including an upgrade of the wastewater treatment plant. The proposed revenue increases in the five -year plan were computed based on both assumptions regarding annual increased costs of labor and materials and also 3% annual increased costs of water purchased from the City of Tulsa. The five -year rate structure was designed to enable the City to develop a long -term capital plan and enable commercial and residential customers to budget for the upcoming changes. Since actual cost increases will differ from projections, the City will review and report each year to Council the progress towards elimination o f f he budget deficit and restoration of a fund balance between 10% and 15% of annual revenues. This is the second of the annual reports. 1 Major Considerations in Making Utility Rate Recommendations There are several factors that will affect future utility rate requirements. Some of the more important factors are listed below: Water purchase costs from the Tulsa Metropolitan Utility Authority (TMUA). • Based on news reports and official information from the TMUA, it is expected that annual water rate increases will continue in the future. Prior to 2016, the rate charged to Owasso by TMUA increased by 58% over the past 9 years. For our analysis, we assumed 3% annual growth in operating costs. • Actual annual increases in the price per thousand gallons that Owasso pays to TMUA for treated water since implementation of the five -year plan, have been 2 %. 2. Housing growth in Owasso. • With new housing growth in Owasso, additional water usage is almost certain. • Most new residential construction will be served by a rural water districts. 3. Increases in operational costs other than water purchase costs. • Operational costs rose 85% from Fiscal Year 2007 through Fiscal Year 2016. Cost increases contributed to a Net Operating Loss for OPWA. 4. Regulatory actions. 5. OPWA indebtedness. 6. The sewage treatment facility is approximately 30 years old and is in need of an upgrade to expand capacity. Design for the plant expansion began in the 2016 -17 fiscal year. 7. Other major improvements planned include the following: • Upgrade of Coffee Creek sewer lift station • Upgrade Smith Farm and South Main gravity sewer lines • Elm Creek Sewer Interceptor replacement • Upgrade Ranch Creek sewer interceptor, 96th to 116th 2 Statement of Revenues, Expenses, and Changes in Net Position - OPWA From fiscal year 2006 -07 through fiscal year 2015 -16, revenues increased 60% while operating expenses increased 85 %. As a result, operations began operating at a loss beginning with 2013 -14, and unrestricted reserves were substantially depleted. While the unrestricted net position of the OPWA fund remained positive as of June 30, 2017, continuation of the operating losses experienced over the past four years (since the construction of the Ranch Creek Interceptor), would put the long- term sustainability of the OPWA in jeopardy. Due to the implementation of the five year plan, and delayed capital purchases, the annual operating deficit has been reduced from $1.8 million to $0.6 million. 3 FY 2008 FY 2009 FY 2010 FY2011 FY 2012 FY 2013 FY 2014 FY 2015 FY 2016 FY 2017 Operating Revenues Charges for Services: Water $ 3.729,503 $ 3.935.576 $ 4,047,684 $ 4.395,745 $ 4,927.414 $ 5,062,458 $ 5,090,121 $ 4,948,736 $ 5.515.781 $ 5,979,647 Wastewater 2,732,624 3,120,726 3,276,727 3,304,230 3,165.977 3,467,556 3,720,529 3.750,236 3.982.260 4,282,203 Sanitation 1,282,122 1,516.755 1,610,701 1.648,877 1,713,184 1.752,120 1,789,217 1,822,413 1.854,603 1,983,724 Penalties /Late Charges 197,196 174,070 195,723 224,409 247,745 249.493 259,212 249,998 243,203 230,063 Recycle 60,962 44.963 52.410 60.954 55.298 33.180 34,549 28.579 23,149 32.684 Other 9.805 62,848 1 136,045 81,621 141.114 28,173 34,540 23.264 21,392 18,218 Total Operating Revenues $ 8,012,212 $ 8,854,938 $ 9.319,290 $ 9,715,836 $ 10.250,732 $ 10,592,980 $ 10,928,168 $ 10,823,226 $ 11,640.388 $ 12,526.539 Operating Expenses Utility Billing 324,759 317,899 330,273 327,010 338.615 354,443 362,886 382,856 409,439 474,626 Administration 534,709 800.165 667,969 673,241 749,577 712122 692,263 743,133 805,018 812,400 Water 2,651,550 2,649.598 2,861,912 3,109,266 4,021,682 3,577.685 3,647.762 3,455,067 4,468,841 4,193.770 Wastewater Treatment Plant 784,369 845,609 894.410 885,606 945,913 980,835 990,943 1,119,929 1,244,245 1,303,520 W ostewater Collection 401,900 436,646 486,058 470.584 538.519 1 555.980 473,569 552,805 631,484 615,691 Refuse Collections 800.811 1,170,532 799,456 777,430 846,983 840.971 956,311 928,749 1,001,042 1,005,535 Recycle Center 169.307 171,879 222,379 190,892 247,599 254,416 151,370 112,070 79,524 134.971 Depreciation 1.078,431 1,122,486 1,216,745 1,240,765 1,392,564 1,468,247 3,264,814 2,936,322 3,038,858 2.972,387 Other 435.325 616,241 594,214 792,990 862,436 955,390 1,862,775 1,952.829 1,795.592 1,628,813 Total Operating Expenses $ 7,181.161 $ 8,131.055 $ 8,073.416 $ 8,467,784 $ 9,943,888 $ 9.700.089 $ 12,402,693 $ 12.183,760 $ 13,474,043 $ 13.141,713 OPWA Operating Income (LOSS) $ 831,051 $ 723,883 $ 1,245.874 $ 1,248,052 $ 306,844 $ 892,891 $ (1,474,525( $ (1,360,534( $ (1,833,655( $ (615.174) From fiscal year 2006 -07 through fiscal year 2015 -16, revenues increased 60% while operating expenses increased 85 %. As a result, operations began operating at a loss beginning with 2013 -14, and unrestricted reserves were substantially depleted. While the unrestricted net position of the OPWA fund remained positive as of June 30, 2017, continuation of the operating losses experienced over the past four years (since the construction of the Ranch Creek Interceptor), would put the long- term sustainability of the OPWA in jeopardy. Due to the implementation of the five year plan, and delayed capital purchases, the annual operating deficit has been reduced from $1.8 million to $0.6 million. 3 „ $n 0 $3 $3 $2 $2 $1 $1 $0 �� ♦9 ry� ry1 ,ryry ryry ,rya 'Ly ryb ;Y� 1L1 '14% ,y9 ry 'ti° 'ti° ry ry ry ry ry ry ry 'ti° ry ry ry ry ry Current OPWA Indebtedness OPWA PRINCIPAL & INT DUE BY YEAR ■ OPWA PRINCIPAL & INT DUE BY YEAR Annual debt payments for the operation of OPWA and funded by utility revenues (reflected above) total $3.4 million for FY 2018. Overall principal and interest payments for the City totaled $5.9 million for 2017 -18. However, some debt payments are reimbursed by sales taxes or fees. The bulk of the reimbursable debt (for Fire Station #4 and other city capital projects) is funded by the third penny capital improvement funds. Reimbursable debt is excluded from the graph above. El Water System OPWA currently purchases all of its treated water on a wholesale basis from the Tulsa Metropolitan Utility Authority (TMUA). The water is taken in through four meters (20 ", 10 ", 6 ", and 3" meters). OPWA is billed monthly by TMUA under a "sole source" contract. TMUA annually reviews and adjusts the price of water to all customers, including OPWA. The most recent adjustment was a 2% increase effective October 2017, bringing the rate charged by TMUA to OPWA to $3.50 per thousand gallons on a uniform rate structure. Currently, Owasso has no other alternate source of water, such as its own back -up water treatment system, or a connection to another neighboring water system. There are currently no ODEQ Consent Orders or Notices of Violation with regard to the water system. The Owasso Public Works Authority currently serves water to approximately 9,500 customers. The City of Owasso has experienced a steady growth in the number of water customers since 2007 increasing 10% over the ten -year period. 5 Average Water Customers per Year 9,600 9,516 X45$ 9,390 9,400 9,220 9,200 9,000 8,930 8,826 8,833 8,800 8,600 8,400 8,200 2006 -2007 2008 -2009 2010 -2011 2012.2013 2014 -2015 2016 -2017 The City of Owasso has experienced a steady growth in the number of water customers since 2007 increasing 10% over the ten -year period. 5 Water Use by Customer Class The City of Owasso has essentially two water customer classifications, residential and commercial. The table below presents a breakdown of the water rate classifications for the year ending June 30, 2017. Customer Class Water Billed Water Consumed (gallons) Residential $ 3,727,114 560,535,000 Commercial 1,938,004 236,937,000 Other 314,529 63,845,000 City - No Cost - 47,811,000 Totals $ 5,979,647 909,128,000 960,000 940,000 920,000 900,000 880,000 860,000 840,000 820,000 800,000 Water Consumption Per Year (In Thousands) 7vi,iiv x'945,552 909,128 900 278 6,248 R C 7 863,420 840,986 780,000 9 ,ti0,y ,106 Water Billing Rates The City of Owasso uses usage tier rates for the water rate. Customer billings are calculated by adding the tier usage per thousand gallons to the monthly base rate. Current rates were effective October 2017. Rates for customers outside City limits have been established by OPWA Resolution to be 20% greater than rates for customers inside City limits. Water Meter Inside City Limits joutside City Limits First 1,000 Gallons Included in Base Rate 2,000 Gallons $ 6.34 $ 7 61 Water Usage Inside City Limits Outside City Limits 3,000 - 5,000 Gallons 6.39 7,67 3,000 Gallons 24.89 $29.87 6,000 - 10,000 Gallons 6.44 7.73 5,000 Gallons $37.67 $45.20 11,000 - 20,000 Gallons 6.48 7.78 7,000 Gallons $50.55 $60.66 21,000 Gallons and Above 6.53 7.84 10,000 Gallons $69.87 $83.84 $100.00 $80.00 $60.00 $40.00 $20.00 $0.00 Water Charges per Usage 3,000 Gallons 5,000 Gallons 7,000 Gallons 10,000 Gallons I.1 +Inside City Limits —l— Outside City Limits Water Revenue by Customer Type $4,000,000 $3,500,000 $3,000,000 $2,500,000 ■ Residential $2,000,000 ■ Commercial $1,500,000 © Other $1,000,000 $500,000 — 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Residential $2,701,118 $2,850,367 $2,940,841 $3,148,744 $3,524,593 $3,521,324 $3,534,658 $3,377,415 $3,706,866 $ 3,727,114 Commercial 858,127 905,542 919,248 1,013,882 1,117,426 1,193,619 1,270,976 1,323,475 1,472,681 1,938,004 Other 170,259 179,666 187,594 233,119 285,396 347,516 284,487 247,846 336,234 314,529 Total $3,729,504 $3,935,575 $4,047,683 $4,395,745 $4,927,415 $5,062,459 $5,090,121 $4,948,736 $5,515,781 $ 5,979,647 $4,000,000 $3,500,000 $3,000,000 $2,500,000 ■ Residential $2,000,000 ■ Commercial $1,500,000 © Other $1,000,000 $500,000 — 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 Sewer System The Authority's sanitary sewer system serves most, but not all, of Owasso's incorporated area. The system consists of a collection system, along with eleven (11) lift stations, and a wastewater treatment plant at 600 S. Main. The City is permitted for a maximum discharge of 5.4 MGD. Average daily discharge is 2.8 MGD. Sewage is treated using a mechanical plan operation and discharged into the Owasso no name creek which flows into Bird Creek. The sanitary sewer system is not under any Consent Orders. However, the Authority has received a Notice of Violation from ODEQ regarding exceeding permit limits. Customers are charged a monthly sewer charge that is based on their average monthly water usage during December, January, and February. Winter months are used to eliminate possible irrigational water usage from the sewer estimate. This average is then multiplied by the per gallon charge and added to the monthly base charge. Customer Class Sewer Usage (gallons) Residential 427,125 Commercial 216,982 Total 644,107 $60.00 $50.00 $40.00 $30.00 $20.00 $10.00 Sewer Rates Sewer Charges per Gallon Average 3,000 Gallons 5,000 Gallons 7,000 Gallons 10,000 Gallons P, — Inside City Limits — Outside City Limits Inside City Limits Outside City Limits Monthly Base Charge $ 8.24 $ 9.04 Each Additional 1,000 Gallons 3.581 3.93 Sewer Charges per Gallon Average 3,000 Gallons 5,000 Gallons 7,000 Gallons 10,000 Gallons P, — Inside City Limits — Outside City Limits Inside City Limits Outside City Limits 3,000 Gallons $ 18.98 $ 20.83 5,000 Gallons $ 26.14 $ 28.69 7,000 Gallons $ 33.30 $ 36.55 10,000 Gallons $ 44.04 $ 48.34 Sewer Charges per Gallon Average 3,000 Gallons 5,000 Gallons 7,000 Gallons 10,000 Gallons P, — Inside City Limits — Outside City Limits Owasso Historical Utility Rate Increases 7.00% 6.46% 6.30% 6.19% 6.00% 5.00% 4.00% 3.00% 2.00% � 2.04% 1.86% 1.00% 5.62% 5.37% _ 5.16% 4.98% 0.007 0.00% �.��__�lllllll_� 111111 111111 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 10 Comparative Residential Utility Rates - For Customers Inside City Limits December 31, 2017 Utility Rates by City - Inside City Limits Owasso Bixby Sand Springs Tulsa Broken Arrow Claremore Collinsville Jenks Total 7,000 gallons WATER - Inside City $ 50.55 $ 58.34 $ 45.94 $ 38.52 $ 39.06 $ 43.50 $ 42.05 $ 46.52 Total 5,000 gallons SEWER - Inside City 26.14 25.85 35.24 36.50 23.60 15.25 23.95 15.03 Stormwater Rates 4.00 4.00 5.46 6.45 5.77 2.50 5.00 2.00 Refuse Rates 1 15.451 15.801 19.39 1 15.421 15.501 14.001 16.041 13.56 Total Utility Bill by City - Inside City Limits 1 $ 96.14 $ 103.99 $ 106.03 $ 96.89 $ 83.93 $ 75.25 $ 87.04 $ 77.11 $120.00 $100.00 $80.00 $60.00 $40.00 $20.00 Total Monthly Utility Cost Owasso Bixby Sand Springs Tulsa Broken Claremore Collinsville Jenks Arrow 11 Owasso Five -Year Residential Rates 12 Effective Oct -01 -2016 Effective Oct -01 -2017 Effective Oct -01 -2018 Effective Oct -01 -2019 Effective Oct -01 -2020 Water Rates -- Inside City Base for 3/4" Meter 11.94 12.16 12.38 12.60 12.82 0 -1,000 gallons - 1,001 -2,000 5.90 6.34 6.78 1 7.22 7.66 2,001 -3,000 5.95 6.39 6.83 7.27 7.71 3,001 -4,000 5.95 6.39 6.83 7.27 7.71 4,001 -5,000 5.95 6.39 6.83 7.27 7.71 5,001 -6,000 6.00 6.44 6.88 7.32 7.76 6,001 -7,000 6.00 6.44 6.88 7.32 7.76 Total monthly water cost for average residential at 7,000 gallons 47.69 50.55 53.41 56.27 59.13 5.9% 6.0% 5.7% 5.4% 5.1% Sewer Rates Base 7.84 8.23 8.64 9.08 9.53 Per 1,000 gallons 3.41 3.58 3.76 3.95 4.14 Total sewer for average residential at 5,000 gallons 24.89 26.13 27.44 28.81 30.25 4.9% 5.0% 5.0%1 5.0% 5.0% Stormwater Rates Residential (per month 3.50 4.00 4.50 5.00 5.50 Commercial (per month Per ESU 3.25 4.00 4.75 5.50 6.25 Industrial (per month Per ESU 3.25 4.00 4.75 5.50 6.25 Refuse Rates Residential (per cart 14.95 15.45 1 15.95 16.45 16.95 Multi-family hoer cart 14.95 15.45 15.95 16.45 16.95 Commercial (per cart 16.95 17.45 17.95 18.45 18.95 Inside City Residential total 91.03 96.13 101.30 106.53 111.83 Increase 12ercent 6.2% 5.6% 5.4% 5.2% 5.0% Increase per month 5.31 5.10 5.17 5.23 5.30 12 sd N pm- RFALCgnmuniry TO: The Honorable Mayor and City Council City of Owasso FROM: Sherry Bishop Assistant City Manager SUBJECT: Review of Rates and Fees- Proposed Fee Changes Public Works & Utility Billing DATE: February 9, 2018 BACKGROUND: As part of an ongoing review of all rates and fees, Council has reviewed and approved several rate changes over the past several months. Additional changes are proposed for consideration and discussion. Recommended fee changes fall into three categories: Fee increase or change - E)dsting fees that are recommended to be increased or changed; New related fees - Fees that are related or similar to existing fees, but would change or restructure those charges or would be a new charge for services; and Completely new fees - New fees for services that have previously been free or unregulated. PUBLIC WORKS: Fee increases are recommended for the water and sewer utility connection fees and for the fees charged at the Recycle Center & Disposal Station. UTILITY BILLING: Most customer services charges related to utility billing are recommended to remain at the current rates. New fees are proposed for tampering with a water meter and for requests after 3:00 pm for immediate service. HYDRANT METERS: Several fee changes are proposed for services related to the use of a metered fire hydrant. Customers are allowed to use a city -owned hydrant meter for various purposes. Typical uses are to fill a water tank or for temporary service at a construction site. New fee changes are proposed to address the problem of customers not reporting their water usage and customers not returning the hydrant meter. PROPOSED ACTION: Based on council discussion, proposed fee changes will be recommended for approval at a future meeting. ATTACHMENT: Schedule of Rates & Fees - Proposed Changes City of Owasso -- Rates & Fees Public Works Recycle Center & Disposal Station (guidance for operator) Current Bulk Items / White Goods: Amount Proposed Notes Furniture: Recliner $10.00 $15.00 Increase Love Seat $13.00 $20.00 Increase Couch $18.00 $25.00 Increase Sectional $35.00 New Kitchen Chair /Stool $7.00 New Living Room Chair $8.00 $10.00 Increase Dresser - Small $10.00 New Dresser - Large $20.00 New Desk - Small $10.00 New Desk - Large $20.00 New Ottoman $7.00 $7.00 No Change Bookcase $15.00 New Cabinet $15.00 New Table - Small $10.00 New Table - Large $20.00 New Beds, Mattresses or Box Springs: Twin Size $5.00 $8.00 Increase Full Size $7.00 $10.00 Increase Queen Size $8.00 $13.00 Increase King Size $10.00 $15.00 Increase Bed Frame $10.00 New Headboard or Footboard $10.00 New Appliances: Hot Water Tank $4.00 $15.00 Increase Washer $5.00 $15.00 Increase Dryer $5.00 $15.00 Increase Stove $6.00 $15.00 Increase Microwave $3.00 $7.00 Increase Dishwasher $4.00 $10.00 Increase Refrigerator - No Refrigerant $20.00 New Refrigerant Removal Service $15.00 New Toilet $3.00 $7.00 Increase Sink $3.00 $7.00 Increase Vacuum $7.00 New Lawnmower - Push $5.00 $10.00 Increase Lawnmower - Rider $25.00 New Miscellaneous: Latex Paint - 1 Gallon or Less $1.00 $3.00 Increase Latex Paint - 5 Gallons or More $3.00 $15.00 Increase Carpet Roll $25.00 New City of Owasso -- Rates & Fees Utility Billing UB Customer Service: Utility Deposit Utility Deposit Service initiation fee Reconnect fee /Default fee Tampering fee Meter lock /pull fee After Hours Service Meter Re -read Request - Initial Re -read Initial Re -read Owner occupied single family Rental or Commercial $50 Total Fee- - Non- refundable portion = $25 Additional refundable deposit = $25 Per occurrance Request for immediate service after 3pm Per Customer service request Deemed to be accurate Deemed to be inaccurate - No charge Late payment fee % of current month billing Non - sufficient funds check fee Per item Collections fee Hydrant Meter- - Hydrant Meter Deposit Hydrant Meter Pre -pay Minimum Meter Charge Usage Tier Rates Failure to report readings Service initiation fee Accounts referred for collections Maximum 6 months Require ACH, credit card or pre - payment per month some as City Water Usage Rates Meter usage due 1 Oth of month Failure to report - 1 st occurance Failure to report - 2nd occurance Failure to report - 3rd occurance Current 10% Amount Proposed 35% 35% 50.00 75.00 100.00 125.00 10.00 10.00 50.00 50.00 11 i 25.00 0.00 100.00 15.00 15.00 0.00 0.00 10% 10% 25.00 30.00 35% 35% 750.00 1,000.00 1,000.00 75.00 75.00 25.00 50.00 100.00 150.00 10.00 10.00 Notes Increase Increase No change No change New Replace with Tampering fee New No change No change No change Increase Amount not to exceed Cost of meter is $1,100 New No change Problem - usage not reported New New No change Last Change 1987 2010 2010 2010 2010 2010 2010 pre 1986 2010 2010 2016 2016 2016 2016 2016 City of Owasso -- Rates & Fees Public Works Yardwaste Bags Utility Services: Water Connection Fee Sewer Connection Fee Engineering Plan Review Recycle Center & Disposal Station: Common Trash: Bag Can Car Trunk Polycart Barrel Pickup Truck- Flatbed Truck- Trailer- Bulk Items / White Goods Current Amount Proposed Notes Last Chanae Roll of 10 Bags $8.00 $9.00 2007 Connection Size 5/8 " -3/4" Meter $700.00 $800.00 Increase 2010 1" Meter $900.00 $1,000.00 Increase 2010 1 1/2' Meter $1,750.00 $2,100.00 Increase 2010 2' Meter $2,500.00 $2,600.00 Increase 2010 3" Meter $1,810.00 $2,800.00 Increase 2010 Per connection $400.00 $600.00 Increase 1998 Per Sheet $100.00 $100.00 No change 2007 $1.00 $4.00 Increase 2002 $2.00 $6.00 Increase 2002 $3.00 $8.00 Increase 2002 $3.00 $8.00 Increase 2002 $3.00 $8.00 Increase 2002 Less Than Full Size Truck $7.00 $20.00 Increase 2002 Level Full Size Truck less than 1 -Ton $10.00 $25.00 Increase 2002 Stacked Full Size Truck less than 1 -Ton $25.00 $40.00 Increase 2002 Level 1 -Ton Truck $14.00 $30.00 Increase 2002 Stacked I Jon Truck $40.00 $55.00 Increase 2002 Small Flatbed Truck $25.00 $40.00 Increase 2002 1 -Ton Flatbed Truck $140.00 $150.00 Increase 2002 Small Trailer Level $14.00 $30.00 Increase 2002 Small Trailer Stacked $25.00 $40.00 Increase 2002 Large Trailer Level $115.00 $125.00 Increase 2002 Large Trailer Stacked $170.00 $180.00 Increase 2002 Based on Size $5 -$18 $7 -$35 Increase 2002 Monthly 3% Sales Tax Comparisons $2.500,000 $2,000,000 -- "- ''^..— �• .......1- $1,500,000 - - - -- - - - - - $1,000,000 - -- - - -- $500,000- Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun t FY 2018 - -o - -• 3% Budget —4— Last Year Year -to -Date 3% Sales Tax Totals $30,000,000 $25,000,000 - - -- - - - - $20,000,000 - - - - -- - - - -- � " -- $10,000,000 -- - - - -- -- $5.000,000 -. ..__- ____... S- Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun •--� -- Actual - --o -- •Budget — Lesl Year City of Owasso Monthly 3% Sales Tax Revenues Last Five Fiscal Years 2017 -2018 2016 -2017 2015 -2016 2014 -2015 2013 -2014 Jul $ 2,117,865 $ 2,108,777 $ 2,073,553 $ 1,865,194 $ 1,704,985 Aug 2,100,696 2,014,531 1,973,796 1,820,788 1,678,483 Sep 1,988,923 1,963,590 1,978,203 1,832,861 1,617,952 Oct 1,977,596 1,965,220 2,011,595 1,896,451 1,677,145 Nov 2,045,597 1,968,688 1,851,194 1,808,171 1,612,339 Dec 2,029,790 1,922,362 2,166,025 1,862,936 1,748,989 Jan 2,322,114 2,277,666 2,228,743 2,125,525 2,073,564 Feb 2,289,915 2,141,203 2,246,904 2,004,466 1,990,104 Mar - 1,806,429 1,762,488 1,780,454 1,544,058 Apr - 1,898,005 2,044,284 1,781,713 1,696,815 May - 2,090,858 2,041,458 1,950,586 1,813,883 Jun - 2,010,575 1,936,362 1,998,314 1,864,533 $ 16,872,497 $ 24,167,905 _$ 24,314,606 $ 22,727,460 $ 21,022,850 Nate: Estimated current month collections. Actual breakdown by fund not yet available City of Owasso 3% Sales Tax Report Budget to Actual Comparison February 8, 2018 Note: Estimated current month collections. Actual breakdown by fund not yet available 2017 -18 2017 -18 Actual Collections Budget Projections Over (Under) Projection Amount Percent Amount Percent Amount Percent Jul $ 2,117,865 8.7% $ 2,104,822 8.6% $ 13,043 0.6% Aug 2,100,696 8.6% 2,007,187 8.2% 93,509 4.7% Sep 1,988,923 8.2% 1,983,768 8.1% 5,155 0.3% Oct 1,977,596 8.1% 2,001,392 8.2% (23,796) -1.2% Nov 2,045,597 8.4% 1,922,385 7.9% 123,212 6.4% Dec 2,029,790 8,3% 2,057,571 8.4% (27,781) -1.4% Jan 2,322,114 9.5% 2,288,469 9.4% 33,645 1.5% Feb 2,289,915 9.4% 2,219,170 9.1% 70,745 3.2% Mar Apr May Jun Totals $ 16,872,497 69.1% $ 16,584,764 68.0% _$ 287,733 1.7% Note: Estimated current month collections. Actual breakdown by fund not yet available City of Owasso 3% Sales Tax Report Two Year Comparison February 8, 2018 Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun 2017 -18* 2016 -17 Increase or (Decrease) Percent Percent Amount of Budget Amount of Actual Amount Percent $ 2,117,865 8.7% $ 2,108,777 8.7% $ 9,088 0.4% 2,100,696 8.6% 2,014,531 8.3% 86,165 4.3% 1,988,923 8.2% 1,963,590 8.1% 25,334 1.3% 1,977,596 8.1% 1,965,220 8.1% 12,377 0.6% 2,045,597 8.4% 1,968,688 8.1% 76,909 3.9% 2,029,790 8.3% 1,922,362 8.0% 107,428 5.6% 2,322,114 9.5% 2,277,666 9.4% 44,447 2.0% 2,289,915 9.4% 2,141,203 8.9% 148,712 6.9% Totals $16,872,497 69.1% $16,362,038 67.7% $ 510,459 *Estimated current month collections. Actual breakdown by fund not yet available. Note: Fiscal Year 2018 Sales Tax Budget is $24.400 million; FY'17 actual was $24.168 million. 3.1% City of Owasso Half -Penny Sales Tax Report Budget to Actual Comparison February 8, 2018 Mar Apr May Jun Totals $ 2,812,192 69.2% $ 2,764,176 68.0% $ 48,016 1.7% Note: Estimated current month collections. Actual breakdown by fund not yet available 2017 -18 2017 -18 Actual Collections Budget Projections Over (Under) Projection Amount Percent Amount Percent Amount Percent Jul $ 352,452 8.7% $ 350,810 8.6% $ 1,642 0.5% Aug 350,189 8.6% 334,537 8.2% 15,652 4.7% Sep 331,767 8.2% 330,634 8.1% 1,133 0.3% Oct $29,216 8.1% 333,571 8.2% (4,355) -1.3% Nov 341,346 8.4% 320,403 7.9% 20,943 6.5% Dec 338,505 8.3% 342,935 8.4% (4,430) -1.3% Jan 387,063 9.5% 381,418 9.4% 5,645 1.5% Feb 381,653 9.4a/a 369,868 9.1% 11,785 3.2% Mar Apr May Jun Totals $ 2,812,192 69.2% $ 2,764,176 68.0% $ 48,016 1.7% Note: Estimated current month collections. Actual breakdown by fund not yet available City of Owasso Vision Sales Tax Report Budget to Actual Comparison February 8, 2018 Mar Apr May Jun Totals $ 3,089,912 69.1% $ 3,040,595 68.0% $ 49,317 1.6% Note: Estimated current month collections. Actual breakdown by fund not yet available 2017 -18 2017 -18 Actual Collections Budget Projections Over (Under) Projection Amount Percent Amount Percent Amount Percent Jul $ 387,166 8.7% $ 385,891 8.6% $ 1,275 0.3% Aug 382,890 8.6 % 367,991 8.2% 14,899 4.0% Sep 364,712 8.2% 363,697 8.1% 1,015 0.3% Oct 361,971 8.1% 366,929 8.2% (4,958) -1.4% Nov 375,805 8.4% 352,444 7.9% 23,361 6.6% Dec 371,707 8.3% 377,228 8.4% (5,521) -1.5% Jan 425,843 9.5% 419,560 9.4 % 6,283 1.5% Feb 419,818 9.4% 406,855 9.1% 12,963 3.2% Mar Apr May Jun Totals $ 3,089,912 69.1% $ 3,040,595 68.0% $ 49,317 1.6% Note: Estimated current month collections. Actual breakdown by fund not yet available City of Owasso Monthly Use Tax Revenues Last Five Fiscal Years 2017 -2018 2016 -2017 2015 -2016 2014 -2015 2013 -2014 Jul $ 131,532 $ 82,565 $ 72,360 $ 50,298 $ 78,705 Aug 115,912 86,552 96,428 56,646 105,903 Sep 126,135 87,371 122,962 61,204 69,079 Oct 146,402 86,713 106,846 86,146 103,683 Nov 139,772 80,855 91,876 89,434 64,434 Dec 128,876 84,107 113,941 89,482 86,424 Jan 205,110 127,549 86,358 65,206 57,183 Feb 166,541 106,593 102,681 110,645 75,454 Mar* 99,853 61,748 87,044 50,121 Apr 101,930 78,834 56,776 55,507 may 92,867 75,895 63,674 Jun * ** 114,846 96,434 98,093 42,884 $1,160,280 $1,182,051 $ 1,123,335 $ 926,869 $ 853,050 *Increase in sales tax rate from 3.5% to 4.05% March 2017 * *Increase in sales tax revenue from taxation of internet sales beginning May 2017 ** *Increase in sales tax rate from 3% to 3.5% June 2015