HomeMy WebLinkAboutProfessional Services Agreement - Incremental Development Alliance - SB Zoning Ordinance Compliance Testing1316 COUNTY-Crry BUILDING
227 W. JEFFERSON BOULEVARD
Souni BEND. INDIANA 466O 1 - 1830
CITY OF Sou'ri-i BEND PETE BUTTIGIEG, MAYOR
BOARD OF PUBLIC WORKS
December 12,2017
Jim Kumon
Incremental Development Alliance
38,02 Nicollet Avenue, Suite 200
Minneapolis, IN 55409
RE: Professional Services Agreement
Dear Mr. Lumen:
PHONE 574/235-9251
FAX 574/ 235-9171
The Board of Public Works, at its meeting held on December 12, 2017, approved the
above referenced agreement for South Bend zoning ordinance compliance testing for new
development types in the amount of $41,675.
Enclosed please find a copy of the agreement for your records.
If you have any further questions regarding this matter, please call this office at (574) 235-
9251.
Sincerely,
I.inda M. Martin, Clerk
Enclosure
c: Tim Corcoran, Community Investment
GARY A. Git..o'r SLJZANNAM.Fiz1T7.BERG Ei,IZABETHA.MARADIK JAMES A. MUELLER THERESE, J. DORAU
AGREEMENT FOR PROFESSIONAL SERVICES
This Agreement For Professional Services(this "Agreement") is entered into on
December 12, 2017 (the "Effective Date"), by and between the City of South Bend, acting by
and through its Board of Public Works (the "City"), and Incremental Development Alliance, a
Minnesota non-profit corporation with its registered office address at 3802 Nicollet Avenue,
Suite 200, Minneapolis, Minnesota 55409 (the "Provider") (each a "Party" and collectively the
"Parties").
For and in consideration of the mutual covenants and promises contained herein, the
Parties agree as follows:
1. Services. The Provider will provide to the City the professional services (the
"Services") set forth in the Provider's proposal attached hereto as Exhibit A (the "Scope of
Work"). The Provider will undertake Task 4 (as defined in the Scope of Work) in consultation
with the City and consistent with the sample course overview attached hereto as Exhibit B. In the
event of any conflict between the terms of this Agreement and the terms of the Scope of Work,
the terms of this Agreement will prevail. The Provider will execute its obligations under this
Agreement in accordance with the prevailing professional standard of care for projects of similar
design and complexity.
2. Compensation. In exchange for the Provider's satisfactory performance of the
Services, and subject to the terms and conditions of this Agreement, the City will pay the
Provider a total sum not to exceed Forty -One Thousand Six Hundred Seventy -Five Dollars
($41,675.00) (the "Contract Amount") in accordance with the project budget stated in the Scope
of Work. The City will pay the Contract Amount in installments upon invoicing by the Provider
upon the completion of Task 1, Task 2, Task 3, and Task 4, respectively, as identified in the
project budget stated in the Scope of Work (each a "Contract Installment"). The City will not be
required to pay any Contract Installment if the City is not satisfied with the Provider's
performance under this Agreement or any default or breach of this Agreement by the Provider
exists, as the City may determine in its sole discretion. The sum of all Contract Installments will
not exceed the Contract Amount, and the Provider will not incur or seek reimbursement for any
expenses in excess of the Contract Amount.
3. Term; Termination. Unless earlier terminated in accordance with its terms, this
Agreement will commence on the Effective Date and end upon the Provider's satisfaction of all
its obligations hereunder and the City's final payment therefor. Notwithstanding the foregoing,
effective immediately upon delivery of a written termination notice to the Provider, the City may
terminate this Agreement, in whole or in part, for any reason, if the City determines that such
termination is in the best interest of the City. In addition, in accordance with Ind. Code 6-1.1-18,
payments are subject to appropriation by the City. If the City makes a written determination that
funds are not appropriated or are otherwise unavailable to support the continuation of this
Agreement, it shall be cancelled. A determination by the City that funds are not appropriated or
are otherwise unavailable to support the continuation of performance shall be final and
conclusive. The City will not be required to pay any Contract Installment or be otherwise liable
for any cost associated with the Provider's performance of any Services after the effective date
1
of termination.
4. Remedies for Breach of Contract. Failure to complete the Services in accordance
with this Agreement will be considered a material breach. In the event of such breach, the City
may suspend all payments to the Provider and may pursue any and all remedies available at law
or in equity. The Provider shall repay to the City any portion of the Contract Amount expended
for matters not within the scope of the Services.
5. Point of Contact. The City employee identified in Section 10 below will serve as
the City's principal point of contact for purposes of this Agreement.
6. Relationft. The Provider shall at all times be an independent contractor for the
performance of the Services rather than an employee of the City, and no act or omission to act by
the Provider shall in any way bind or obligate the City. This Agreement is strictly for the benefit
of the Parties and not for any third party or person. This Agreement was negotiated by the
Parties at arm's length and each of the parties hereto has reviewed the Agreement after the
opportunity to consult with independent legal counsel. Neither party shall maintain that the
language in the Agreement shall be construed against any signatory hereto. The City and the
Provider hereby renounce the existence of any form of agency relationship, joint venture, or
partnership between the Provider and the City and agree that nothing contained herein or in any
document executed in connection herewith shall be construed as creating any such relationship
between the City and the Provider.
7. Indemnification of City. The Provider hereby agrees to defend, indemnify, and
hold harmless the City, its officials, employees, and agents from any and all claims of any nature
which arise from the performance by the Provider under this Agreement and from all costs and
attorney fees in connection therewith, excepting for claims arising out of the negligence of the
City, its officials, directors, employees, and agents. The obligations of the Provider under this
section shall survive the termination of this Agreement.
8. Work Product; Ownership. (a) The Provider will submit its work product to the
City in accordance with the terms of the Scope of Work. Except as provided in Section 8(b)
below, any and all work product submitted by the Provider to the City as part of the Provider's
performance of the Services will become the exclusive property of the City, and the City will
have the right to use and reproduce copies of the Provider's work product as the City determines
in its sole discretion without compensation to the Provider except the compensation expressly
provided for in this Agreement.
(b) With respect to work product submitted by the Provider to the City in
connection with Task 4 alone, the City shall have an irrevocable license to use and duplicate all
such documents, reports, models, or other written materials of any kind without cost until
December 31, 2018, unless such period is extended by a written agreement signed by an
authorized representative of each Party, provided, however, that all intellectual property and
materials related to Task 4 will remain the exclusive property of the Provider during the period
of such license.
0)
9. Assignment. The Provider shall not assign or subcontract the whole or any part of
this Agreement or its obligations hereunder without the prior written consent of the City..
10. Notices. Any notice required or permitted to be delivered hereunder shall be
deemed to be delivered, whether or not actually received, when deposited in the United States.
Postal Service, postage prepaid, registered or certified mail, return receipt requested, addressed
to the City or the Provider, as the case may be, at the address set forth below.
Provider:
Incremental Development Alliance
PO Box 8847
Minneapolis, MN 55408
Attn: Jim Kumon
City:
City of South Bend
227 W. Jefferson Boulevard, Suite 1400 N.
South Bend, IN 46601
Attn: Tim Corcoran, City Planner
11. Equal Opportunity; Non -Discrimination; Compliance. The Provider shall comply
with all applicable laws and regulations in its hiring and employment practices and policies for
any activity covered by this Agreement. The Provider shall comply with all state, federal, and
municipal laws, regulations, and standards applicable to its activities pursuant to this Agreement
including, but not limited to, the requirements imposed by Ind. Code 22-9-1-10 (non-
discrimination), the provisions of Ind. Code 5-22-16.5 (disqualification for dealings with the
government of Iran), and the provisions of Ind. Code 22-5-1.7 (requiring E-Verify for new
employees and prohibiting employment of unauthorized aliens). Each of the foregoing
provisions is incorporated herein as if set forth in full, and the Provider certifies that it is in
compliance with each such provision and shall remain in compliance through the term of this
Agreement.
12. Contractor's Affidavit. The Provider agrees, as a condition precedent to the
effectiveness of this Agreement, that its authorized representative will execute and submit to the
City and any other appropriate bodies an affidavit in the form attached hereto as Exhibit C.
13. Drug -Free Workplace. The Provider hereby agrees to make a good faith effort to
provide and maintain a drug -flee workplace. The Provider will give written notice to the City
within ten (10) days after receiving actual notice that the Provider or an employee of the Provider
within the State of Indiana has been convicted of a criminal drug violation occurring in the
workplace.
14. Entire Agreement; Amendment; Applicable Law. This Agreement sets forth the
entire agreement and understanding between the parties as to the subject matter hereof, and
merges and supersedes all prior discussions, agreements, and understanding of any and every
nature between them. This Agreement may be amended only by separate writing, signed by
authorized representatives of both the Provider and the City. This Agreement will be construed
and interpreted according to the laws of the State of Indiana.
[Signature page follows.]
3
IN WITNESS WHEREOF, the Parties hereto have caused this Agreement For
Professional Services to be effective as of the Effective Date stated above.
Nume"110 I
BOARD OF PUBLIC WORKS
9
6ary Gilot,President
Therese Dorau,Acmber
Suzann, Fritzberg, Member
Eliza eth Maradik, Member
James Mueller, Member
A S -
'rTFi T.
Li da Martin, Clerk
INCREMENTAL DEVELOPMENT ALLIANCE,
a Minnesota non-profit corporation
By: - L kwtt-
Printed: _(Z Tim Kumon
Its: Executive Director
150M000001 46796454.004
4
EXHIBIT A
Scope of Work
[See attached.]
EXHIBIT B
Sample Course Overview for Task 4
[See attached.]
EXHIBIT C
Contractor's Affidavit
[See attached.]
Incremental Small Real Estate Development Stress Test
Development For the City of South Bend, Indiana
Alliance November 30, 2017
.Task 1: Initial Research + Site Visit
Investigators will understand current, regulatory environment and design stress test exercise.
• .Kickoff Conference Call
o Determine Agenda and parties to be involved for Onsite Visit
o Obtain existing codes, zoning maps and recent text amendments, discuss zones that
will likely be tested
o Set meeting schedule for project and discuss each task element
o Follow -Up Call with GIS Staff to prep sample drawings
o Review building types to be tested and fully preview process steps for Stress Test
exercise. Review of sample documents from previous tests to discuss how similar
documents will be created by South Bend GIS staff.
• Off -Site Review of Codes
o Cursory review of existing city wide codes: zoning, parking, landscape, stormwater
and parcel subdivision to understand any areas where different segments of the
codes may interact with each other
o Detailed review of existing or draft code proposed for target area
• Off Site Spot Testing - Understanding Parameters of Existing Conditions
o Conduct off -site scenario testing to detail potential project situations on key parcels.
The goal is to simulate small developers looking at planning goals and existing code
language to see what kinds of development projects make sense at a small scale.
Includes exploring examples for infill of vacant sites, carving sites out of large lots or
parking areas, sub -dividing parcels, and additions to sites that are under-utilized.
o Outputs: Spot Exercise sketches and notes, delivered by PDF binder.
• Stress Test Exercise Design
o Conference Call Meeting with City to share results of spot testing
o Create matrix of lot types, building types, incremental strategies and zones to be
tested
a Decide which types of lots and buildings will be ultimately tested (put in a priority
order to accomplish by teams during exercise) and make alterations to financial pro
forma spreadsheet to accommodate local variables.
o Phone call with a focus group of private sector real estate agents, developers and
builders to verify costs and revenue assumptions to be used by pro forma for
different sizes of buildings.
Task 2: Stress Test Exercise
Investigators will work with city staff to prepare, conduct and debrief Exercise
■ .Exercise Preparation
o Guide City personnel through the creation of final baseline maps, lot plans and
preparation of accompanying scenario information for use in exercise. City will
provide project manager as a point person for their staff in completing this work.
o Create scaled test buildings and electronic pro forma template for exercise use
o Outputs: Exercise Design Materials - Instructions and kit of scaled buildings
■ On -Site Exercise
o Lead 2 day testing and training exercise to test a range of commercial, residential
and mixed use building of 1-3 stories in size. Based on prioritized list of scenarios,
the Groups will work and complete as many scenarios as possible in the 8 hour day.
There will be four different context conditions pursued to see how buildings in
different areas/development patterns of the city respond to different factors. All
deliverables will be completed onsite.
o Day One:
• City will provide 6 city staff members to participate in the exercise and do
testing in small groups with supervision by Investigators. They will also
provide exercise consumable materials such as printouts, markers, pencils
and sketch paper (IncDev to provide supplies list).
■ Group work will interpret zoning codes for a specific parcel and identify code
barriers to completing projects through placing scaled buildings on lots and
o Day 2:
completing development financial pro formas. Will test 1.0-15 sites, in 3
zoning code classifications across 3 contexts (corridor (2x), neighborhood
(2x), downtown edge/transition. Pro formas will be run for all sites tested.
Report out by groups of main results and posting of materials for electronic
capture. City will provide a note -taker to write down detailed information for
capture in internal memo
Debrief meeting morning after Exercise to summarize detailed findings by
each group and identify specific scenarios that need zoning code fixes
suggested. City will provide a note -taker to write down detailed information
for capture in internal memo
After debrief meeting, team will work on own to develop sketches and ideas
for zoning code fixes to problems uncovered by exercise.
■ A small group will reconvene in afternoon to review problem solving ideas
generated by Investigators and comment. City will provide a note -taker to
write down detailed information for capture in internal memo
o Exercise Outputs:
■ Site Plans with standard buildings laid out on them, with an accompanying
pro forma spreadsheet and notes about all rules adjustments or
confirmations.
■ Debriefing Meeting Notes prepared by city, reviewed/commented on by
Investigation team
■ Sketches and notes for challenges identified during Exercise made on
afternoon of Day 2.
All outputs will be compiled in an electronic PDF and reviewed by
Investigation team after Exercise.
■ All printing and consumable materials will be provided by the City.
■ Exercise Follow -Up Conference Call
o Meeting 1-2 Weeks later to conclude any outstanding items
o Call with stormwater engineer to review the outcomes of the site plan exercise to
discuss prescriptive measures for small sites
.Task 3: Follow-up Technical Coachinl7
Engagement with Investigation Team on an as needed assistance after Exercise for follow-up
meetings, additional technical interpretation, and future implementation strategizing
■ .Set at an hourly rate for Executive Coaching
o Via Phone/Video Calls or Emails by Jim Kumon and/or Matthew Petty - $125 an hour
Task 4: Small Developer Boot Cam - Advanced Training Su ort & Testjn
In support of getting small developers acquainted with and to better utilize the zoning code, training
session will work with a small group of no more than 10 small developers to provide advanced
coaching and training in order to set the table for development in stress tested areas.
.Project Budget
Task 1 - Initial Research + Site Visit
Kickoff Call
$975
All travel costs are included in this task
Exercise Design Call/Prep
$1300
Review of Codes
$1300
Spot Testing
$3200
Stress Test Exercise Design
$2650
Project Management
$2100
Sub -Total
$11,525
Task 2 - Stress Test Exercise
Exercise Preparation
$2500
Al travel costs are included in this task
On Site Two Day Exercise
$8250
Follow Up Meetings
$1150
Sub -Total
$17,9b0
Course The two-day Small Developer Boot Camp applies the
foundational training from the one -day Workshops to real
Overview projects. With lots of one-on-one time, the Boot Camp gives
participants an opportunity to bring their actual development
projects (ideally at the planning stage) in front of seasoned
small developers.
Participants work through exercises like building and refining
their pro forma, creating an investor proposal package, and
drawing out the zoning parameters for their lot. Participants
can also practice pitching their project to the group and
instructors in order to get feedback in a supportive
environment.
The Boot Camp is all about hands-on and how-to. Participants
should come prepared with paper, pencils, a calculator and
computer to make the most of the practicum sessions over
these two days of learning.
Scholarships are available. To apply, please contact:
training@incrementaldevelopment.org
,' ! �y V f. v J� 1�1 'G 0f
Learning • Understand how to make strategic design decisions
• Estimate development income and expenses
Objectives • Interpret, analyze, build, and refine a pro forma
• Understand what makes a compelling proposal to investors
• Read and interpret zoning as it applies to your building lot
• Meet people who can help you
I'm DPW mill
Friday Saturday
8:00 AM -12:00 PM - SESSION 1: WHAT IS 8:00 AM -11:45 AM - SESSION 3:
YOUR PROJECT? WHO'S GOING TO INVEST IN YOUR
• Reading your zoning and drawing your PROJECT?
building lot. Assemble project financing
• Understanding the people behind your project: package and understand the
Renters vs Owners, Residential Target relationships that surround the
Audiences vs Commercial money.
Operators/Entrepreneurs Practicum: Create 3 financing and
• Practicum: Drawing and Zoning; Building deal structure scenarios; Complete
Program and Target Audiences your Financing Package Draft and
Practice Talking Points
12:00 PM -1:00 PM - LUNCH (PROVIDED)
1:00 PM - 4:30 PM - SESSION 2: DOES THE
PROJECT MAKE MONEY?
• Learn to build an in-depth project pro forma
for specific building type/use
• Q&A breakout deeper into incomes and
expenses
• Inside the residential marketplace - For Sale,
For Pent, 1-4 Unit, 5+ Units
• Inside commercial/mixed use - Types of
Commercial Users, Short vs Long Term Holds
• Practicum: Build and Refine Your Own Pro
forma in Excel
5:00 - 7:00 PM - NETWORKING DINNERS IN
SMALL GROUPS (MEAL ON YOUR OWN)
7:30 - 9:30 PM - OPTIONAL OFFICE HOURS
WITH FACULTY AT HOTEL
12:00 PM -1:00 PM - GRADUATION
LUNCH (PROVIDED)
1:30 PM - 5:00 PM - PROJECT
PRESENTATIONS
6:00 PM - DINNER
(MEAL ON YOUR OWN)
Date
Name
BOARD OF PUBLIC WORKS
AGENDA ITEM REVIEW REQUEST FORM
December 5 2017
Tim Corcoran
Department DCI
BPW Date December 12 2017 Phone Extension 7692
H Agreement
U Contract
U Proposal
U Addendum
® Professional Services
❑ Amendment
❑
Bid Opening
❑ Bid Award
❑ Req. to Advertise ❑ Title Sheet
❑
Quote Opening
❑ Quote Award
❑ Chg Order No.
❑
CIO & PCA No.
❑ PCA
❑ Ease./Encroach.
❑
Traffic Control
❑ Resolution
(� Other:
❑
Claim
Company or Vendor Name
New Vendor
Incremental Development Alliance
Yes LI If Yes, Approved by Purchasing
No
❑❑ WBE Completed E Verify Form Attached ❑❑ No
Zoning Stress Test
DCI Admin Budget
21110014603106
Amount $23,425
Terms of Contract Test the South Bend Zoning Ordinance to determine compliance
of new development types.
Purpose/Description
Amount of a Increase $
❑ Decrease $
Previous Amount $
Current Percent of Change: %
New Amount $