HomeMy WebLinkAbout06. Approve Amend No. 1 On-Call PSA w-Clifton Larson Allen LLP for Financial & Forensic Accting Svcsaenn r4o.
APPROVED BY
TO: MAYOR ASHTON AND MEMBERS OF THE CITY COUNCIL CITY MANAGER
FROM: OFFICE OF THE CITY MANAGER
BY: ANIL GANDHY, DIRECTOR OF FINANCE AND INFORMATION
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DATE: SEPTEMBER 11, 2018
SUBJECT: AMENDMENT NO. 1 TO ON-CALL PROFESSIONAL SERVICES AGREEMENT
WITH CLIFTON LARSON ALLEN LLP FOR FINANCIAL AND FORENSIC
ACCOUNTING SERVICES
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Approve Amendment No. 1 to the On -Call Professional Services Agreement with Clifton Larson
Allen LLP for financial and forensic accounting services, and authorize the Mayor to execute the
Agreement.
On April 24, 2018 the City Council approved an on-call professional services agreement for
financial and forensic accounting services with Clifton Larson Allen LLP. Additional Services in
the amount of $30,000 will be required under the Agreement. An amendment to the Agreement
is proposed for City Council approval to allow the consultant to provide these services to the
City.
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FISCAL IMPACT
The Agreement will require an additional expenditure of $30,000. Additional costs incurred for
services will be charged to Account No. 76-4-1510-0471.
ATTACHMENTS
Attachment A: April 24, 2018 Professional Services Agreement and Amendment No. 1
ATTACHMENT A
AMENDMENT •
•N -CALL PROFESSIO
CLIFTONWITH •
THIS AMENDMENT No. 1 ("Amendment") is entered into this day of
September, 2018, by and between the City of Downey, a California municipal corporation and
charter city ("City") with its principal place of business at 11111 Brookshire Avenue, Downey,
CA 90241 and Clifton Larson Allen, LLP, a Limited Liability Partnership ("Consultant") with its
principal place of business at 2210 E. Route 66, Glendora, CA 91740. City and Consultant are
sometimes individually referred to as the "Party" and collectively as the "Parties".
WHEREAS, City and Consultant entered into an On -Call Professional Services
Agreement ("Agreement") on April 24, 2018 for professional financial and forensic accounting
services as more specifically described in the Agreement;
WHEREAS, the Agreement provided for a maximum compensation of $75,000 for
services; however additional services are requested by the City which require an amendment to
the Agreement; and
WHEREAS, the Parties intend to be bound by the terms and provisions of the
Agreement as it is amended herein.
NOW, THEREFORE, for and in of the mutual covenants and conditions
herein contained, the Parties agree as follows:
Section 1. AMENDMENT.
A. City and Consultant hereby amend Section 3.3.1 of theAgreementto read as
follows:`
"3.3.1 Compensation. Consultant shall receive compensation, including authorized
cost and expense reimbursements, for all Services rendered under this Agreement at the rates
set forth in Exhibit "B" attached hereto and incorporated herein by reference not to exceed One
Hundred and Five Thousand Dollars and 00/100 cents ($105,000.00). Compensation for each
project or task shall be based on the specific Scope of Services, negotiated between the City
and Consultant and approved by the City Manager. Extra Work, as defined below, may be
authorized as described below, and if authorized, shall be compensated at the rates and
manner set forth in this Agreement."
Section 2. The rights, obligations and fees of the Parties under the Agreement shall
not otherwise be amended, altered or revised except as expressly provided for herein andall
other terms of the Agreement shall remain in full force and effect.
Section 3. This Amendment may be executed in counterparts, each of which shall
be deemed an original, but all of which, together, shall constitute one and the same instrument.
ATTACHMENT A
TO EFFECTUATE THIS AMENDMENT, the Parties have caused their duly authorized
representatives to execute this Amendment to the Agreement on the dates set forth below.
NS71SB13&=
By
Sean Ashton, Mayor
Date:
By
City Clerk
By:
Jenny Dominguez, CPA/CFF, Director
Date:
ATTACHMENT A
• .141 ;11 Lai VAI A kol FAI 040 . •
1. PARTIES AND DATE.
This Agreement is made and entered into this 24 th day of April, 2018 by and between
the City of Downey, a California municipal corporation and charter city with its principal
place of - Brookshire Avenue, Downey 90Clifton
LimitedLarson Allen, LLP, a Liability Partnership, with its place of business at 2211
Route •. Glendora,. 91740 • and Consultant are sometimes
individually referred to as "Party" and collectively as "Parties."
2. RECITALS.
Consultant desires to perform and assume responsibility for the provision of
professional financial and forensic accounting services required by City on the terms and
conditions set forth in this Agreement. Consultant represents that it has demonstrated
competence and experience in providing financial and forensic accounting services to public
clients, and is licensed in the State of California to perform such services as required by law.
City desires to engage Consultant to render such financial and forensic accounting
services on anon -call basis as set forth in this Agreement.
3. TERMS.
3.1 Scope of Services and Tern]
3.1.1 General Scope of Services. Consultant promises and agrees to furnish
to City all labor, materials, tools, equipment, services, and incidental and customary work
necessary to fully and adequately supply the financial and forensic accounting services
("Services"). The Services are more particularly described in Exhibit "A" attached hereto and
incorporated herein by reference. All Services shall be subject to, and performed in
accordance with, this Agreement, the exhibits attached hereto and incorporated herein by
reference, and all applicable local, state and federal laws, rules and regulations.
3.1.2 Term. The term of this Agreement shall be from March 21, 2018 to
March 21, 2019, unless earlier terminated as provided herein. Consultant shall complete the
Services within the term of this Agreement, and shall meet any other established schedules
and deadlines. The term of this Agreement may extended by written amendment to this
Agreement signed by the City Manager and the Consultant.
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3.2.1 Control and Pa mens of Subordinates` Inde endent Contractor. The
Services shall be performed by Consultant or under its supervision. Consultant will
determine the means, methods and details of performing the Services subject to the
requirements of this Agreement. City retains Consultant on an independent contractor basis
and not as an employee. Consultant retains the right to perform similar or different services
for others during the term of this Agreement. Any additional personnel performing the
Services under this Agreement on behalf of Consultant shall also not be employees of City
and shall at all times be under Consultant's exclusive direction and control Consultant shall
pay all wages, salaries, and other amounts due such personnel in connection with their
performance of Services under this Agreement and as required by law. Consultant shall be
responsible for all reports and obligations respecting such additional personnel, including, but
not limited to: social security taxes, income tax withholding, unemployment insurance,
disability insurance, and workers' compensation insurance.
In the event that Consultant or any employee, agent, or subcontractor of Consultant
providing services under this Agreement claims or is determined by a court of competent
jurisdiction or the California Public Employees Retirement System (CalPERS) to be eligible
for enrollment in CalPERS as an employee of City, Consultant shall indemnify, defend, and
hold harmless CITY for the payment of any employee and/or employer contributions for
CalPERS benefits on behalf of Consultant or its employees, agents, or subcontractors, as
well as for the payment of any penalties and interest on such contributions, which would
otherwise be the responsibility of City.
3.2.2 Schedule of Services. For each project or task, a specific Schedule of
Services will be developed by the parties. City and Consultant will agree on the tasks, task
durations and overall project schedule. Consultant shall perform the Services expeditiously,
within the term of this Agreement, and in accordance with the agreed-upon project -specific
Schedule of Services. Consultant represents and warrants that it has the professional and
technical knowledge and personnel required to perform the Services in conformance with the
Schedule. In order to facilitate Consultant's conformance with the Schedule, City shall
respond to Consultant's submittals in a timely manner. Upon request of City, Consultant shall
provide a more detailed schedule of anticipated performance timelines to meet the Schedule.
3.2.3 Conformance to Ao,plicable Reouirements. All work prepared by
Consultant and all associated cost for said work shall be subject to the approval of City
Manager.
3.2.4 Substitution of ley personnel. Consultant has represented to City that
certain key personnel will perform and coordinate the Services under this Agreement. Should
one or more of such personnel become unavailable, Consultant may substitute other
personnel of at least equal competence upon written approval of City. In the event that City
and Consultant cannot agree as to the substitution of key personnel, City shall be entitled to
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3.2.9 Laws and Reaulations. Consultant shall keep itself fully informed of and
in compliance with all applicable local, state and federal laws, rules and regulations in force at
the time the Services are performed by Consultant and in any manner affecting the
performance of the Project or the Services, including all applicable Cal/OSHA requirements,
and shall give all notices required by law. Consultant shall be liable for all violations of such
laws and regulations in connection with Services. If the Consultant performs any work
knowing it to be contrary to such laws, rules and regulations and without giving written notice
to the City, Consultant shall be solely responsible for all costs arising therefrom. Consultant
shall defend, indemnify and hold City, its officials, directors, officers, employees and agents
free and harmless, pursuant to the applicable indemnification provisions of this Agreement,
from any claim or liability arising out of any failure or alleged failure to comply with such laws,
rules or regulations. Consultant's violation of such laws, rules and regulations shall also
constitute a material breach of this Agreement.
3.2.10 Insurance.
3.2.10.1 Time for Compliance. Consultant shall not commence the
Services or the Project under this Agreement until it has provided evidence satisfactory to the
City that it has secured all insurance required under this section. 1n addition, Consultant shall'
not allow any subcontractor to commence work on any subcontract until it has provided
evidence satisfactory to the City that the subcontractor has secured all insurance required
under this section. The City reserves the right to modify these requirements, including limits,
based on the nature of the risk, prior experience with insurer, coverage or other special
circumstances.
3.2.10.2 Minimum Requirements. Consultant shall, at its expense,_
procure and maintain for the duration of the Agreement insurance against claims for injuries
to persons or damages to property which may arise from or in connection with the
performance of the Agreement, the Services or the Project by the Consultant, its agents,
representatives, employees or subcontractors. Consultant shall also require all of its
subcontractors to procure and maintain the same insurance for the duration of the
Agreement. Such insurance shall meet at least the following minimum levels of coverage:
(A) Minimum Scope of Insurance. (1) Commercial General
Liability (CGL): Insurance Services Office Form CG 00 01 covering CGL on an "occurrence
basis including products and completed operations, property damage, bodily injury and
personal and advertising injury; (2) Automobile Liability: Insurance Services Office Form -
Number CA 0001 covering Code 1 (any auto) or if Consultant owns no autos, Code 8 (hired)
and 9 (non -owned); and (3) Workers' Compensation: Workers' Compensation insurance as
required by the State of California with Statutory Limits; and (4) Employer's Liability
Insurance.
(B) Minimum Limits of Insurance. Consultant shall maintain
limits no less than: (1) Commercial General Liability (CGL): No less than $2,000,000 per
occurrence for products and completed operations, bodily injury, property damage and
personal and advertising injury. If Commercial General Liability Insurance or other form with
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general aggregate limit applies, either the general aggregate limit shall apply separately to
this Agreement/location (ISO CG 25 03 or 25 04) or the general aggregate limit shall be
twice the required occurrence limit; (2) Automobile Liability: No less than $2,000,000 per
accident for bodily injury and property damage; and (3) Workers' Compensation: Workers'
Compensation limits as required by the Labor Code of the State of California with Statutory
Limits; (4) Employer's Liability: Employer's Liability limits of no less than $2,000,000 per
accident for bodily injury or disease. _Employer's Liability coverage may be waived by the City
if City receives written verification that Consultant has no employees.
If the Consultant maintains broader coverage and/or higher limits than the minimum shown in
this subdivision 3.2.10.2, the City requires and shall be entitled to the broader coverage
and/or the higher limits maintained by the Consultant. Any available insurance proceeds in
excess of the specified minimum limits of insurance and coverage shall be available to the
City.
3.2.10.3 Professional Liabil t Errors & Omissions), Consultant
shall procure and maintain, and require its sub -consultants to procure and maintain, for a
period of five (5) years following completion of the Services or the Project, errors and
omissions liability insurance appropriate to its profession. Such insurance shall be in an
amount not less than $2,000,000 per occurrence or claim and $2,000,000 in the aggregate,
and shall be endorsed to include contractual liability. If the Consultant maintains broader
coverage and/or higher limits than the minimum shown in this subdivision 3.2.10.3, the City
requires and shall be entitled to the broader coverage and/or higher limits maintained by the
Consultant. Any available insurance proceeds in excess of the specified minimum limits of
insurance and coverage shall be available to the City.
3.2.10.4 Insurance Endorsements. The insurance policies shall
contain the following provisions, or Consultant shall provide endorsements on forms
approved by the City to add the following provisions to the insurance policies:
(A) Additional Insured Status. The Commercial General
Liability policy shall be endorsed to state that: (1) the City, its directors, officials, officers,
employees, agents and volunteers shall be covered as additional insureds with respect to
liability arising from the work, Services, Projector operations performed by or on behalf of the
Consultant, including materials, parts or equipment furnished in connection with such work,
Services. Project or operations; and (2) the insurance coverage shall be primary insurance as
respects the City, its directors, officials, officers, employees, agents and volunteers, or if
excess, shall stand in an unbroken chain of coverage excess of the Consultant's scheduled
underlying coverage. Commercial General Liability insurance coverage may be provided in
the form of an endorsement to the Consultant's insurance (at lease as broad as ISO Form
CG 20 10 11 85 or both CG 20 10, CG 20 26, CG 20 33 or CG 20 38; and CG 20 37 forms if
later revisions are used).
(B) Waiver,,gf Subrogation, Consultant hereby grants to City a
waiver of any right to subrogation which any insurer of said Consultant may acquire against
the City by virtue of the payment of any loss under said insurance policies set forth herein.
Consultant agrees to obtain any endorsement that may be necessary to affect this waiver of
subrogation, but this provision applies regardless of whether or not the City has received a
waiver of subrogation endorsement from the insurer.
(C) All Coverages. Each insurance policy required by this
Agreement shall be endorsed to state that: (A) coverage shall not be suspended, voided,
reduced or canceled except with written notice by certified mail, return receipt requested to
the City; and (B) any failure to comply with reporting or other provisions of the policies,
including breaches of warranties, shall not affect coverage provided to the City, its directors,
officials, officers, employees, agents and volunteers.
3.2.10.5 Primary Coverage. For any claims related to this
Agreement, the Consultant's insurance coverage shall be primary insurance and primary
coverage at least as broad as ISO CG 20 01 04 13 with respect to the City, its directors,
officials, officers, employees, agents and volunteers. Any insurance or self-insurance
maintained by the City, its directors, officials, officers, employees, agents and volunteers shall
be excess of the Consultant's insurance and shall not be called upon to contribute with it in
3.2.10.6 Se aration of insureds,£ No S ecial limit tions: All
insurance required by this Section shall contain standard separation of insureds provisions.
In addition, such insurance shall not contain any special limitations on the scope of protection
afforded to the City, its directors officials, officers, employees, agents and volunteers.
3.2.10.7 Deductibles and Self Insurance Retentions. Any
deductibles or self-insured retentions must be declared to and approved by the City. City may
require Consultant to provide proof of ability to pay losses and related investigations, claim
administration and defense expenses and costs within the retention. The policy language
shall provide or be endorsed to provide that the self-insured retention may be satisfied by
either the named insured or City.
3.2.10.8 Acceptability of Insurers. Insurance is to be placed with
insurers with a current A.M. Best's rating no less than A:VII, authorized to do business in
California, and satisfactory to the City.
3.2.10.9 Verification of Coverage. Consultant shall furnish City with
original certificates of insurance, including all required amendatory endorsements (or copies
of the applicable policy language effective coverage required by this provision) and a copy of
the Declarations and Endorsement Page of the Commercial General Liability policy listing all
policy endorsements to the City before the commencement of work under this Agreement.
However, failure to obtain the required documents prior to the commencement of work under
this Agreement shall not waive the Consultant's obligation to provide them to the City. The
City reserves the right to require complete, certified copies of all required insurance policies,
including endorsements, at any time.
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3.2.10.10 -Claims-Madee Policies. If any of the policies provide
coverage on a claims -made basis:
(A) The retroactive date must be shown and must be before the date of this
Agreement or the date work commences under this Agreement, whichever is earliest;
(B) Insurance must be maintained and evidence of insurance must be
provided for at least five (5) years after completion of the Services provided under this
Agreement;
(C) If coverage is canceled, non -renewed, and not replaced with another
claims -made policy form with a retroactive date prior to the effective date of this Agreement
or the date work commences under this Agreement, whichever is earliest, the Consultant
must purchase extended reporting coverage for a minimum of five (5) years after completion
of the Services under this Agreement.
3.2.11 Safety. Consultant shall execute and maintain its work so as to avoid
injury or damage to any person or property. In carrying out its Services, the Consultant shall
at all times be incompliance with all applicable local, state and federal laws, rules and
regulations, and shall exercise all necessary precautions for the safety of employees
appropriate to the nature of the work and the conditions under which the work is to be
performed. Safety precautions as applicable shall include, but shall not be limited to: (A)
adequate life protection and life-saving equipment and procedures; (B) instructions in
accident prevention for all employees and subcontractors, such as safe walkways, scaffolds,
fall protection ladders, bridges, gang planks, confined space procedures, trenching and
shoring, equipment and other safety devices, equipment and wearing apparel as are
necessary or lawfully required to prevent accidents or injuries; and (C) adequate facilities for
the proper inspection and maintenance of all safety measures.
3.3.1 Compensation. Consultant shall receive compensation, including
authorized cost and expense reimbursements, for all Services rendered under this
Agreement at the rates set forth in Exhibit "B" attached hereto and incorporated herein by
reference not to exceed Seventy -Five Thousand Dollars and 00/100 cents ($75,000.00).
Compensation for each project or task shall be based on the specific Scope of Services,
negotiated between the City and Consultant and approved by the City Manager. Extra Work,
as defined below, may be authorized as described below, and if authorized, shall be
compensated at the rates and manner set forth in this Agreement.
3.3.2 Payment of Com ensation'. Consultant shall submit to City a monthly
itemized statement which indicates work completed and hours of Services rendered by
Consultant. The statement shall describe the amount of Services and supplies provided
since the initial commencement date, or since the start of the subsequent billing periods, as
appropriate, through the date of the statement. City shall, within thirty (30) days of receiving
such statement, review the statement and pay all approved charges thereon.
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33.3 Reimbursement for ExnensesConsultant shall not be reim urse r
any expenses, except for mileage to CITY'S location, unless authorized in writing by City.
3.3.4 Ejjtj�N�. At any time during the term of this Agreement, City may
request that Consultant perform Extra Work. As used herein, "Extra Work" means any work
which is determined by City to be necessary for the proper completion of the Project, but
which the parties did not reasonably anticipate would be necessary at the execution of this
Agreement. Consultant shall not perform, nor be compensated for, Extra Work without
written authorization • the City Manager.
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3.4.1 MAi�kqqqWand lnsgo�ctldn, Consultant shall maintain comp ete and
accurate records with respect to all costs and expenses incurred under this Agreement. All
such records shall • clearly identifiable, • shall allow a representative •i City
during normal business hours to examine, audit, and make transcripts or copies of such
records and any other documents created pursuant to this Agreement , Consultant shall allow
inspection of all work, data, documents, proceedings, and activities related to the Agreement
for a period of three (3) years from the date of final payment under this Agreement.
3.5.1.1 'Grounds for City may, by written notice to
A
•• termination, Consultant shall be compensated • for those services Which
have been adequately rendered to City, and Consultant shall be entitled to no further
compensation. The City shall within fifteen (15) calendar • following termination •. the
Consultant for all services adequately rendered and all reimbursable costs -• by
Consultant up to the date of termination, in accordance with the payment provisions of this
Agreement.
The following reasons shall constitute "cause" for which either party may terminate this
Agreement as provided herein:
0 Substantial failure by the other party to perform in accordance with the terms
this Agreement and through no fault of the terminating party;
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• Assignment of this Agreement or transfer of the Project by either party to any
other entity without the prior written consent of the other party;
Suspension of the Project or the Consultant's Services by the City for more than
ninety (90) calendar days, consecutive or in the aggregate, without good cause;
Material changes in the conditions under which this Agreement was entered
into, the Scope of Services or the nature of the Project, and the failure of the
parties to reach agreement on the compensation and schedule adjustments
necessitated by such changes.
3.5.1.2 Effect of TerMinatfoh. If this Agreement s erminated as
provided herein, City may require Consultant to provide all finished or unfinished Documents
and Data and other information of any kind prepared by Consultant in connection with the
performance of Services under this Agreement. Consultant shall be required to provide such
Documents and Data and other information within fifteen (15) days of the City's request.
3.5.1.3 Additional Services. In the event this Agreement is
terminated in whole or in part as provided herein, City may procure, upon such terms and in
such manner as it may determine appropriate, services similar to those terminated.
3.5.2 Deiiv6ry Of 146tiqq8. All notices permitted or required under this
Agreement shall be given to the respective parties at the following address, or at such other
address as the respective parties may provide in writing for this purpose:
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Clifton Larson Allen LLP
2210 E. Route 66
Glendora, CA 91740
Phone: 626-857-7300
Fax: (626) 857-7302
Aftn: Jenny Dominguez, CPA/CFF, CFE, Director
City of Downey
11111 Brookshire Avenue
Downey, California 90241
Phone: (562) 904-7286
Fax: (562) 923-6388
Aftn: City Manager
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Such notice shall be deemed made when personally delivered or when mailed, forty-
eight (48) hours after deposit in the U.S. Mail, first class postage prepaid and addressed to
the party at its applicable address. Actual notice shall be deemed adequate notice on the
date actual notice occurred, regardless of the method of service.
•RI411ITim F M M
15.3.1 Documents & DgLa� LitbO�Jnti of Intellectual Etqpg_t(. This
Agreement creates a non-exclusive and perpetual license for City to copy, use, modify,
reuse, or sublicense any and all copyrights, designs, and other intellectual property embodied
in plans, specifications, studies, drawings, estimates, and other documents or works of
authorship fixed in any tangible medium of expression, including but not limited to, physical
drawings or data magnetically or otherwise recorded on computer diskettes, which are
prepared or caused to be prepared by Consultant under this Agreement ("Documents &
Data"). Consultant shall require all subcontractors to agree in writing that City is granted a
non-exclusive and perpetual license for any Documents & Data the subcontractor prepares
under this Agreement. Consultant represents and warrants that Consultant has the legal
right to license any and all Documents & Data. Consultant makes no such representation
and warranty in regard to Documents & Data which were prepared by design professionals
other than Consultant or provided to Consultant by the City. City shall not be limited in any
way in its use of the Documents and Data at any time, provided that any such use not within
the purposes intended by this Agreement shall be at City's sole risk.
3.5.3.2 ConfidentialL. All ideas, memoranda, specificationsi
plans, procedures, drawings, descriptions, computer program data, input record data, written
information, and other Documents and Data either created by or provided to Consultant in
connection with the performance of this Agreement shall be held confidential by Consultant.
Such materials shall not, without the prior written consent of City, be used by Consultant for
any purposes other than the performance of the Services. Nor shall such materials be
disclosed to any person or entity not connected with the performance of the Services or the
Project. Nothing furnished to Consultant which is otherwise known to Consultant or is
generally known, or has become known, to the related industry shall be deemed con i ent a.
Consultant shall not use City's name or insignia, photographs of the Project, or any publicity
pertaining to the Services or the Project in any magazine, trade paper, newspaper, television
or radio production or other similar medium without the prior written consent of City.
3.5.4 C000eration,Further A��. The Parties shall fully cooperate with one
another, and shall take any additional acts or sign any additional documents as may be
necessary, appropriate or convenient to attain the purposes of this Agreement.
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3,5.5 Aftwng�� F46sin the event of any litigation, whether in a court of law,
administrative hearing, arbitration, or otherwise, arising from or related to this Agreement of
the services provided under this Agreement, the prevailing party shall be entitled to recover
from the non -prevailing party all reasonable costs incurred, including staff time, court costsi
attorneys'fees, and all other related expenses in such litigation.
3.5.6 Indemnification.
3.5.61 General Indemnification � Except as provided in subdivision
3.5.6.2 below which is applicable to "design professionals" only, Consultant shall defend (with
counsel acceptable to City), indemnify and hold the City, its officials, o icers, emp oyees,
volunteers and agents free and harmless from any and all claims, demands, causes of action,
costs, expenses, liability, loss, damage or injury, in law or equity, to property or persons,
including wrongful death, in any manner arising out of or incident to any alleged negligent
acts, errors, omissions or willful misconduct of Consultant, its officials, officers, employees,
agents, consultants and contractors arising out of or in connection with the performance of
the Services, the Project or this Agreement, including without limitation the payment of all
consequential damages and attorneys'fees and other related costs and expenses.
Consultant shall defend, at Consultant's own cost, expense and risk, any and all such
aforesaid suits, actions or other legal proceedings of every kind that may be brought or
instituted against City, its directors, officials, officers, employees, agents or volunteers.
Consultant shall pay and satisfy any judgment, award or decree that may be rendered
against City or its directors, officials, officers, employees, agents or volunteers, in any such
suit, action or other legal proceeding, Consultant shall reimburse City and its directors,
officials, officers, employees, agents and/or volunteers, for any and all legal expenses and
costs incurred by each of them in connection therewith or in enforcing the indemnity herein
provided. Consultant's obligation to indemnify shall not be restricted to insurance proceedsi if
any, received by the City, its directors, officials officers, employees, and agents or volunteers.
Consultant shall not be obligated to defend, indemnify or hold the City harmless in any
manner whatsoever for any claims or liability arising solely out of the City's own negi gent
acts, errors or omissions or willful misconduct.
3.5.6.2 Desion PtA�gionalt. The provisions of this subdivision
3.5.6,2 shall apply only in the event that Consultant is a "design professional" within the
meaning of California Civil Code section 2782.8(c). If Consultant is a "design professional"
within the meaning of Section 2782.8(c), then, notwithstanding subdivision 3.5;6.1 above, to
the fullest extent permitted by law (including, without limitation, Civil Code sections 2782 and
278 2.6), Consultant shall defend (with legal counsel reasonably acceptable to City),
indemnify and hold harmless City and City's officers officials, employees, volunteers and
agents from and against any Claim that arises out oi, pertains to, or relates to, directly or
indirectly, in whole or in part, the negligence, recklessness, or willful misconduct of
Consultant, any subconsultant, subcontractor or any other person directly or indirectly
employed by them, or any person that any of them control, arising out of Consultant's
performance of any task or service for or on behalf of City under this Agreement. Such
obligations to defend, hold harmless and indemnify City or any City officers, officials,
3.5.14 Amendment: Modification. No supplement, modification, or amendment
of this Agreement shall be binding unless executed in writing and signed by both Parties.
3.5.15 Waiver. No waiver of any default shall constitute a waiver of any other
default or breach, whether of the same or other covenant or condition. No waiver, benefit,
privilege, or service voluntarily given or performed by a Party shall give the other Party any
contractual rights by custom, estoppel, or otherwise.
3.5.16 No Third Pariv Beneficiaries'. There are no intended third party
beneficiaries of any right or obligation assumed by the Parties.
3.5.17 InyaliditSeverability If any portion of this Agreement is declared
invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining
provisions shall continue in full force and effect.
3.5.18 Prohibited Interests. Consultant maintains and warrants that it has not
employed nor retained any company or person, other than a bona fide employee working
solely for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it
has not paid nor has it agreed to pay any company or person, other than a bona fide
employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift
or other consideration contingent upon or resulting from the award or making of this
Agreement. For breach or violation of this warranty, City shall have the right to rescind this
Agreement without liability. For the term of this Agreement, no member, officer or employee
of City, during the term of his or her service with City, shall have any direct interest in this
Agreement, or obtain any present or anticipated material benefit arising therefrom.
3.5.19 Eual Qpportunity Em loyment. Consultant represents that it is an
equal opportunity employer and it shall not discriminate against any subcontractor, employee
or applicant for employment because of race, religion, color, national origin, handicap,
ancestry, sex or age. Such non-discrimination shall include, but not be limited to, all activities
related to initial employment, upgrading, demotion, transfer, recruitment or recruitment
advertising, layoff or termination. Consultant shall also comply with all relevant provisions of
any City Minority Business Enterprise program, Affirmative Action Plan or other related
programs or guidelines currently in effect or hereinafter enacted.
3.5.20 Labor Certification. By its signature hereunder, Consultant certifies that
it is aware of the provisions of Section 3700 of the California Labor Code which require every
employer to be insured against liability for Worker's Compensation or to undertake self-
insurance in accordance with the provisions of that Code, and agrees to comply with such
provisions before commencing the performance of the Services.
3.5.21 Authority to Enter A reeMent. Consultant has all requisite power and
authority to conduct its business and to execute, deliver, and perform the Agreement. Each
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itarty warrants that the individuals who have signed this Agreement have the lega power,
Jght, and authority to make this Agreement and bind each respective Party.
3.5.22 Counterparts. This Agreement may be executed in counterparts, each
of Nyh!cW shall constitute one and the same instrument.
i I I•LOMI
in the event of any conflict, inconsistency, or incongruity between any prov sion of this
Agreement, any of its exhibits, attachments, purchase order, or notice to proceed, the
provisions of this Agreement will govern and control.
wil Whow-.101 • [oil mi WIN I
CITY OF DOWNEY,
a California municipal corporation
and charter city
BY.
By:
Seen Ashton, Mayor
Its:
§1RT —it %T, I R- R1 , I I I I MA: F -Ta ff i
14
ExHiBiT "A"
On a per project basis, CONSULTANT will provide CITY with financial and forensic
accounting services as approved by the City Manager, which will include but is not limited to.
the examination of internal accounting transactions and records, management and
purchasing controls, the review •i CITY financial records, and review • documentation
jo LM =TJ r
transactions. The services will include meetings with CITY staff and other individuals as
directed by the CITY, review of CITY processes, review of CITY transactions and recordsi
data analytics and related testing, project oversight and supervision, and meetings with the
CITY management, as necessary. CONSULTANT shall report to the City Manager and
Finance Director regarding its findings and conclusions,
15
CONSULTANT shall be compensated for the Scope of Services set forth in Exhibit "A" at the
hourly rates speced below.
14MI111,6116rM a QW11W -6- 0 -0 - 6 a --& 0 * - of 0 0 - 0.
MEE�W 01RIPIRGAII'Ll"I 11 111•1 1-•-11i - A- ---- - -0 — -::• a a N- .0 - - SVA- - 0
Principal/Director
$3
Computer Forensics
$2
Manager
$2
Senior Associate
$1
Associate
$1
Administrative
1
$11