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HomeMy WebLinkAbout08-158 Resolution No. 08-158 RESOLUTION AUTHORIZING EXECUTION OF AN AGREEMENT WITH ECONOMICS RESEARCH ASSOCIATES (ERA) REGARDING PROPOSED EXPANSION OF THE HEMMENS CULTURAL CENTER BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,ILLINOIS,that pursuant to Elgin Municipal Code Section 5.02.020B(9) the City Council hereby finds that an exception to the requirements of the procurement ordinance is necessary and in the best interest of the city; and BE IT FURTHER RESOLVED that Olufemi Folarin, City Manager,and Diane Robertson, City Clerk,be and are hereby authorized and directed to execute an agreement on behalf of the City of Elgin with Economics Research Associates (ERA) regarding the proposed expansion of the Hemmens Cultural Center, a copy of which is attached hereto and made a part hereof by reference. s/Ed Schock Ed Schock, Mayor Presented: June 25, 2008 Adopted: June 25, 2008 Omnibus Vote: Yeas: 7 Nays: 0 Attest: s/Diane Robertson Diane Robertson, City Clerk AGREEMENT THIS AGREEMENT is made and entered into thisQday of June, 2008, by and between the CITY OF ELGIN, an Illinois municipal corporation (hereinafter referred to as "CITY") and ECONOMICS RESEARCH ASSOCIATES,a corporation organized and existing under the laws of the State of California,and authorized to do business in the State of Illinois,(hereinafter referred to as the"CONSULTANT"). WHEREAS,the CITY desires to engage the CONSULTANT to furnish certain professional services in conjunction with the Hemmens Auditorium Programming and Expansion Assessment(hereinafter referred to as the "PROJECT"); and WHEREAS, the CONSULTANT represents that it has the necessary expertise and experience to furnish such services upon the terms and conditions set forth herein below. NOW,THEREFORE,it is hereby agreed by and between the CITY and the CONSULTANT that the CITY does hereby retain the CONSULTANT for and in consideration of the mutual promises and covenants contained herein, the sufficiency of which is hereby acknowledged, to act for and represent it in the matters involved in the PROJECT as described in this Agreement, subject to the following terms and conditions and stipulations, to-wit: 1. SCOPE OF SERVICES A. All work hereunder shall be performed under the direction of the City's Assistant City Manager(hereinafter referred to as the"SUPERVISOR"). B. CONSULTANT shall provide the services for the PROJECT as outlined in the Economic Research Associates Scope of Services proposal entitled "Scope of Services Hemmens Auditorium Programming and Expansion Assessment", dated May 22, 2008, ERA proposal number 49303, consisting of five(5)pages, a copy of which is attached hereto and made a part hereof as Exhibit 1. In the event of any conflict between the terms of this Agreement and the terms contained within Exhibit 1, the terms of this Agreement shall control. 2. SCHEDULE The CONSULTANT shall provide the services for the PROJECT according to the schedule as set forth in Exhibit 1. 3. WORK PRODUCTS All work products prepared by the CONSULTANT pursuant hereto including, but not limited to,reports,designs,calculations,work drawings,plans,design documents,probable construction costs, floor plans, elevations and sections, renderings, studies, photographs, models and recommendations shall be the property of the CITY and shall be delivered to the CITY upon request of the SUPERVISOR provided,however,that the CONSULTANT may retain copies of such work products for its records. Such work products are not intended or represented to be suitable for reuse by the CITY on any extension to the PROJECT or on any other project, and such reuse shall be at the sole risk of the CITY without liability or legal exposure to the CONSULTANT. 4. PAYMENTS TO THE CONSULTANT A. For services provided by the CONSULTANT pursuant to this Agreement the CONSULTANT shall be reimbursed by the CITY at the direct hourly rate of their personnel and subconsultants employed on the PROJECT total fees not to exceed $275,000 regardless of the actual time expended or the actual costs incurred by the CONSULTANT,or its subconsultants,unless substantial modifications to the Scope of Work are authorized by way of written amendment to this Agreement approved by the City Council of the City. B. The City shall also reimburse the CONSULTANT for travel expenses and production costs associated with the PROJECT in the amount of the actual costs for same incurred by the CONSULTANT and its subconsultants with the total amount of such reimbursable costs not to exceed $16,800. C. The CITY shall make periodic payments to the CONSULTANT based upon actual progress within 30 days after receipt and approval of invoice. Full payment for each task shall not be made until the task is completed and accepted by the SUPERVISOR. 5. INVOICES A. The CONSULTANT shall submit invoices in a format approved by the CITY. B. The CONSULTANT shall maintain records showing actual time devoted and cost incurred. The CONSULTANT shall permit the authorized representative of the CITY to inspect and audit all data and records of the CONSULTANT and its subconsultants for work done under this Agreement. The CONSULTANT shall make these records available at reasonable times during the Agreement period, and for a year after termination of this Agreement. 6. TERMINATION OF AGREEMENT Notwithstanding any other provision hereof,the CITY may terminate this Agreement at any time upon fifteen(15)days prior written notice to the CONSULTANT. In the event that this Agreement is so terminated, the CONSULTANT shall be paid for services actually performed and reimbursable expenses actually incurred prior to termination, except that reimbursement shall not exceed the amounts set forth under Paragraph 4 above. 7. TERM This Agreement shall become effective as of the date the CONSULTANT are given a notice to proceed and, unless terminated for cause or pursuant to Paragraph 6, shall be deemed concluded on the date the CITY determines that all of the CONSULTANT'S work under this agreement is completed. A determination of completion shall not constitute a waiver of any rights or claims which the CITY may have or thereafter acquire with respect to any term or provision of the Agreement. 8. NOTICE OF CLAIM If the CONSULTANT wishes to make a claim for additional compensation as a result of action taken by the CITY,the CONSULTANT shall give written notice of his claim within 15 days after occurrence of such action. No claim for additional compensation shall be valid unless so made. Any changes in the CONSULTANT'S fee shall be valid only to the extent -2 - that such changes are included in writing signed by the CITY and the CONSULTANT. Regardless of the decision of the SUPERVISOR relative to a claim submitted by the CONSULTANT, all work required under this Agreement as determined by the SUPERVISOR shall proceed without interruption. 9. BREACH OF CONTRACT If either party violates or breaches any term of this Agreement,such violation or breach shall be deemed to constitute a default, and the other party has the right to seek such administrative, contractual or legal remedies as may be suitable to the violation or breach; and, in addition, if either party,by reason of any default, fails within fifteen(15) days after notice thereof by the other party to comply with the conditions of the Agreement,the other party may terminate this Agreement. 10. INDEMNIFICATION To the fullest extent permitted by law, CONSULTANT agrees to and shall indemnify, defend and hold harmless the CITY,its officers,employees,agents,boards and commissions from and against any and all claims,suits,judgments,costs,attorneys fees,damages or other relief,including but not limited to workers compensation claims,in any way resulting from or arising out of negligent actions or omissions of the CONSULTANT in connection herewith,including negligence or omissions of employees or agents of the CONSULTANT arising out of the performance of this Agreement. In the event of any action against the CITY,its officers,employees,agents,boards or commissions,covered by the foregoing duty to indemnify,defend and hold harmless such action shall be defended by legal counsel of the CITY'S choosing. The provisions of this paragraph shall survive any completion,expiration and/or termination of this agreement. 11. NO PERSONAL LIABILITY No official, SUPERVISOR, officer, agent or employee of the CITY shall be charged personally or held contractually liable under any term or provision of this Agreement or because of their execution, approval or attempted execution of this Agreement. 12. INSURANCE A. Comprehensive Liability. The CONSULTANT shall provide,pay for and maintain in effect, during the term of this Agreement, a policy of comprehensive general liability insurance with limits of at least$1,000,000 aggregate for bodily injury and $1,000,000 aggregate for property damage. The CONSULTANT shall deliver to the SUPERVISOR a Certification of Insurance naming the CITY as additional insured. The policy shall not be modified or terminated without thirty (30) days prior written notice to the SUPERVISOR. ERA's indemnity obligations herein shall not be limited by the amount or coverage of its Commercial General Liability insurance. This insurance shall apply as primary insurance with respect to any other insurance or self-insurance programs afforded to the CITY. There shall be no endorsement or modification of this insurance to make it excess over other available insurance, alternatively, if the insurance states that it is excess or prorated,it shall be endorsed to be primary with respect to the CITY. - 3 - i B. Comprehensive Automobile Liability. Comprehensive Automobile Liability Insurance covering all owned,non-owned and hired motor vehicles with limits ofnot less than $500,000 per occurrence for damage to property. C. Combined Single Limit Policy. The requirements for insurance coverage for the general liability and auto exposures may be met with a combined single limit of $1,000,000 per occurrence subject to a$1,000,000 aggregate. D. Professional Liability. The CONSULTANT shall carry Professional Liability Insurance Covering claims resulting from error, omissions or negligent acts with a combined single limit of not less than $1,000,000 per occurrence. A Certificate of Insurance shall be submitted to the SUPERVISOR as evidence of insurance protection. The policy shall not be modified or terminated without thirty(30)days prior written notice to the SUPERVISOR. 13. NONDISCRIMINATION In all hiring or employment made possible or resulting from this Agreement,there shall be no discrimination against any employee or applicant for employment because of sex, age, race, color, creed, national origin, marital status, of the presence of any sensory, mental or physical handicap, unless based upon a bona fide occupational qualification, and this requirement shall apply to, but not be limited to, the following: employment advertising, layoff or termination,rates of pay or other forms of compensation and selection for training, including apprenticeship. No person shall be denied or subjected to discrimination in receipt of the benefit of any services or activities made possible by or resulting from this Agreement on the grounds of sex,race, color, creed,national origin, age except minimum age and retirement provisions, marital status or the presence of any sensory,mental or physical handicap. Any violation of this provision shall be considered a violation of a material provision of this Agreement and shall be grounds for cancellation, termination or suspension, in whole or in part, of the Agreement by the CITY. 14. ASSIGNMENT AND SUCCESSORS This Agreement and each and every portion thereof shall be binding upon the successors and the assigns of the parties hereto; provided, however, that no assignment shall be made without the prior written consent of the CITY. 15. DELEGATIONS AND SUBCONTRACTORS Any assignment,delegation or subcontracting shall be subject to all the terms,conditions and other provisions of this Agreement and the CONSULTANT shall remain liable to the CITY with respect to each and every item,condition and other provision hereof to the same extent that the CONSULTANT would have been obligated if it had done the work itself and no assignment, delegation or subcontract had been made. Any proposed subcontractor shall require the CITY'S advanced written approval. 16. NO CO-PARTNERSHIP OR AGENCY This agreement shall not be construed so as to create a partnership, joint venture, employment or other agency relationship between the parties hereto. - 4 - 17. SEVERABILITY The parties intend and agreed that, if any paragraph, sub-paragraph,phrase, clause or other provision of this Agreement, or any portion thereof, shall be held to be void or otherwise unenforceable, all other portions of this Agreement shall remain in full force and effect. 18. HEADINGS The headings of the several paragraphs of this Agreement are inserted only as a matter of convenience and for reference and in no way are they intended to define,limit or describe the scope of intent of any provision of this Agreement, nor shall they be construed to affect in any manner the terms and provisions hereof or the interpretation or construction thereof. 19. MODIFICATION OR AMENDMENT This Agreement and its attachments constitutes the entire Agreement of the parties on the subject matter hereof and may not be changed,modified, discharged or extended except by written amendment duly executed by the parties. Each party agrees that no representations or warranties shall be binding upon the other party unless expressed in writing herein or in a duly executed amendment hereof, or change order as herein provided. 20. APPLICABLE LAW This Agreement shall be deemed to have been made in,and shall be construed in accordance with the laws of the State of Illinois. Venue for the resolution of any disputes or the enforcement of any rights pursuant to this agreement shall be in the Circuit Court of Kane County, Illinois. 21. NEWS RELEASES The CONSULTANT may not issue any news releases without prior approval from the SUPERVISOR, nor will the CONSULTANT make public proposals developed under this Agreement without prior written approval from the SUPERVISOR prior to said documentation becoming matters of public record. 22. COOPERATION WITH OTHER CONSULTANT The CONSULTANT shall cooperate with any other consultants in the CITY'S employ or any work associated with the PROJECT. 23. INTERFERENCE WITH PUBLIC CONTRACTING The CONSULTANT certifies hereby that it is not barred from bidding on this contract as a result of a violation of 720 ILCS 5/33E et seq.or any similar state or federal statute regarding bid rigging. 24. SEXUAL HARASSMENT As a condition of this contract, the CONSULTANT shall have written sexual harassment policies that include, at a minimum, the following information: A. the illegality of sexual harassment; B. the definition of sexual harassment under state law; - 5 - C. a description of sexual harassment, utilizing examples; D. the vendor's internal complaint process including penalties; E. the legal recourse,investigative and complaint process available through the Illinois Department of Human Rights, and the Illinois Human Rights Commission; F. directions on how to contact the department and commission; G. protection against retaliation as provided by Section 6-101 of the Human Rights Act. A copy of the policies must be provided to the Department of Human Rights upon request 775 ILCS 512-105. 25. WRITTEN COMMUNICATIONS All recommendations and other communications by the CONSULTANT to the SUPERVISOR and to other participants which may affect cost or time of completion, shall be made or confirmed in writing. The SUPERVISOR may also require other recommendations and communications by the CONSULTANT be made or confirmed in writing. 26. COMPLIANCE WITH LAWS Notwithstanding any other provision of this AGREEMENT it is expressly agreed and understood that in connection with the performance of this AGREEMENT that the CONSULTANT shall comply with all applicable Federal,State,City and other requirements of law,including,but not limited to,any applicable requirements regarding prevailing wages, minimum wage, workplace safety and legal status of employees. Without limiting the foregoing, CONSULTANT hereby certifies, represents and warrants to the CITY that all CONSULTANT'S employees and/or agents who will be providing products and/or services with respect to this AGREEMENT shall be legal residents of the United States. CONSULTANT shall also at its expense secure all permits and licenses,pay all charges and fees and give all notices necessary and incident to the due and lawful prosecution of the work, and/or the products and/or services to be provided for in this Agreement. The CITY shall have the right to audit any records in the possession or control of the CONSULTANT to determine CONSULTANT'S compliance with the provisions of this section. In the event the CITY proceeds with such an audit the CONSULTANT shall make available to the CITY the CONSULTANT'S relevant records at no cost to the CITY. 27. NOTICES All notices, reports and documents required under this Agreement shall be in writing and shall be mailed by First Class Mail, postage prepaid, addressed as follows: A. As to CITY: Sean R. Stegall, Assistant City manager City of Elgin 150 Dexter Court Elgin, Illinois 60120-5555 - 6 - • With a copy to: William A. Cogley, Corporation Counsel City of Elgin 150 Dexter Court Elgin, Illinois 60120-5555 B. As to CONSULTANT: Economic Research Associates 20 E. Jackson Boulevard, Suite 1200 Chicago, Illinois 60604 IN WITNESS WHEREOF,the undersigned have placed their hands and seals upon and executed this Agreement in triplicate as though each copy hereof was an original and that there are no other oral agreements that have not been reduced to writing in this statement. FOR THE CITY: FOR THE CONSULTANT: By: ECO •M R E C ASSOCIATES - " :nager By Attest: Its 0 City Clerk F:\Legal Dept\Agreement\ERA-EconomicsResearchAssoc-Feasibility Study-WAC-6-9-08.doc - 7 - r 4 4 May 22, 2008 ";} TO: Mayor and Members of the City Council FROM: Olufemi Folarin, City Manager Sean R. Stegall, Assistant City Manager Butch Wilhelmi, Cultural Center Manager SUBJECT: The Hemmens Cultural Center - Performing Arts Facility Programming Assessment PURPOSE The purpose of this memorandum is to provide information to the Mayor and members of City Council to award a contract to Economics Research Associates (ERA) to undertake a programming assessment and a formal evaluation of the Hemmens Cultural Center as it relates to the potential for expansion. RECOMMENDATION It is recommended that the City Council award a contract for professional services to Economics Research Associates in an amount not to exceed $291,800 concerning a programming assessment and a formal evaluation of the Hemmens Cultural Center as it relates to the potential for expansion. BACKGROUND An analysis by ERA concerning the feasibility of developing a second or new performing arts venue in Elgin was performed during 2006. During this initiative, the concept of constructing a second or new performing arts center was explored. Information was gathered on the financial impact on the community by assessing the change in additional tax income, development of the business economy, promotion of tourism, creation of jobs and other similar economic considerations associated with the presence of the new facility. As a part of this analysis, several major conclusions were arrived at as follows: • The Hemmens Cultural Center is the economic engine for the Center City and the single largest touch point for visitors; • The Elgin Community can support, based on those assumptions made in 2006, a new performing arts facility; and finally, 1 w The Hemmens Cultural Center-Performing Arts Facility Programming Assessment May 22, 2008 Page 2 • Due to the size, age and market position of the Hemmens, it is rapidly nearing "functional obsolesce" as a venue. In the event that a new performing arts venue is deemed economically feasible or viable, a final phase was anticipated that would provide a market analysis of a new venue, design and cost implications, and the financial and economic impact to the City of Elgin. In order to move forward with this final phase and before a recommendation can be made to the community on the construction of a new performing arts center or a "New Hemmens", it is critical that the estimates be provided on the cost of renovating the Hemmens for the next generation. With this information in hand, the community will be provided with this cost information by which they can compare and contrast with the cost of building a facility. Therefore, this study will provide an answer to the question, "Is it feasible to undertake a major renovation of the Hemmens, and if so, how much would it cost." It should also be noted that a high caliber team of sub-consultants has been incorporated under the direction of ERA, including Fisher Dachs & Associates, AECOM, Venue and Talaske. These firms encompass skills in engineering, design, cost estimating and acoustics. The engagement has been divided into four task areas. Task 1 —Project Kickoff, Data Collection, and Stakeholder Interviews The project will begin with a series of related work efforts: A team meeting to review past work efforts, expectations, timelines, and deliverables; collection of past reports, architectural drawings, and other project documentation; and a review of financial and event data for Hemmens, updating performance metrics that were first evaluated in the 2006 facility options assessment. Task 2—Facility Program Recommendations The programming assessment will identify facility program recommendations in areas such as: Stage and Auditorium Design, Seating Count/Layout, ADA Implications, Backstage and Public Space Function and Layout, Stage, Concert and House Lighting Control Systems, etc. Task 3—Baseline Infrastructure Assessment The Infrastructure scope of services will include a detailed evaluation of the existing mechanical, electrical, plumbing (MEP) systems in Hemmens Cultural Center. Work efforts will include items such as: analyzing the current condition of the building, accounting for deferred maintenance, and replacement/upgrades to maintain the building in its "as is" condition. This scenario is the baseline; it assumes that Hemmens stays open for another 25 years and represents the amount of investment that the building will require to remain open into the reasonable future and compliant , The Hemmens Cultural Center- Performing Arts Facility Programming Assessment May 22, 2008 Page 3 Task 4 -Hemmens Expansion Scenario Assuming that the infrastructure assessment does not identify any apparent physical/structural constraints that would rule out an expansion of Hemmens, the team would apply the required recommended program to Hemmens, developing one consensus expansion scenario for the existing building. The expansion program would be supported by Talaske, with the intent of supporting a level of programming and acoustical quality appropriate for a modern multi-purpose performing arts venue. The expansion scenario will consider recommended changes relating to seat count, which will impact floor area and hall volume, as well as improvements to the stagehouse, flyloft, and loading dock. In the event that a new performing arts venue is deemed economically feasible or viable, the third and final phase would provide a market analysis of a new venue, design and cost implications, and the financial and economic impact to the City of Elgin. ERA is an internationally recognized consulting firm specializing in all aspects of real estate and land use economics, urban planning and development, commercial recreation feasibility, strategic planning for communities and corporations, and management and marketing services. ERA has seven locations worldwide, including one located in downtown Chicago, which will provide a greater level of proximity and connection to the proposed project. In addition, ERA has a reputation for providing information to their clients that has resulted in projects not moving forward. This is important as it demonstrates their credibility and independence. Finally, due to the fact that ERA and the associated sub-contractors completed Phase I of the analysis, we felt it was important to continue our association with the same team and thus a request for proposals was not undertaken as it was with the original selection of ERA in 2006. COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED Elgin Symphony Orchestra, Elgin Children's Chorus, Children's Theatre of Elgin, Elgin Choral Union and Elgin Youth Symphony. FINANCIAL IMPACT The cost of this initiative is based upon a not-to-exceed amount of$291,800. There are sufficient funds budgeted ($628,000) and available ($600,000) in the Riverboat Fund, account number 275-0000-791.93-36 (Buildings/Structures), project number 349509 "Hemmens Lobby" to enter into the contact with ERA. 1 The Hemmens Cultural Center- Performing Arts Facility Programming Assessment May 22, 2008 Page 4 LEGAL IMPACT An exception to the procurement ordinance will be required and a professional services agreement will need to be prepared. ALTERNATIVES 1. The Council may choose to approve the contract with Economics Research Associates in an amount not to exceed $291,800. 2. The Council may choose to deny the contract with Economics Research Associates in an amount not to exceed $291,800 Respectfully submitted for Council consideration. SRS Attachment