FY2022-09 Leachate Treatment Plant (LTP) Upgrades Project With Jacobs Engineering For Design, Bidding Support, And Services During ConstructionCONTRACT TRANSMITTAL FORM
RETENTION SCHEDULE: CL -09 CONTRACTS
Records related to obligations under contracts, leases, and other agreements between the borough and
outside parties, successful bids, and proposals. Each department maintains the file while the contract is active.
once inactive, retain procurements for another 4 years and retain contracts, leases, or agreements involving
real property for another 11 years.
DEPARTMENT: Engineering and Facilities
CONTRACT NO.: FY2022-09 CO#3
CONTRACT TITLE:
CONTACT PERSON: Patricia Valerlo
LTP Pretreatment Facility Change Order #3 - Updated Programing
VENDOR OR SERVICE PROVIDER: CH2M Hill Engineers
Administrative contracts are contracts approved by the manager within the spending authority allowed by
code. Assembly approved contracts are beyond the manager's spending authority and require approval by
the Assembly during a meeting.
APPROVED BY: MANAGERO ASSEMBLY O
TYPE OF CONTRACT: Procurement
EXTENSION OPTIONS: N/A
EXPIRATION DATE:
DATE OF APPROVAL: 5/16/24
PURGE DATE FOR PROCUREMENT (Exp. + 4 yrs): 5/16/2028
OR
PURGE DATE FOR INVOLVING REAL PROPERTY (Exp. +11 yrs):
If there's no expiration date, give the process on how or when this record should be purged or flagged
for review. This is an upgrade to programming, once upgrade is complete, contract is complete
FILL OUT BELOW IF THE RECORD AMENDS, EXTENDS, OR IS A CHANGE ORDER TO A CONTRACT
CATEGORY: Select Category
APPROVED BY: MANAGER O ASSEMBLY O DATE OF APPROVAL:
TYPE OF CONTRACT: Procurement
EXTENSION OPTIONS:
EXPIRATION DATE:
PURGE DATE FOR PROCUREMENT (Exp. + 4 yrs):
OR
PURGE DATE FOR INVOLVING REAL PROPERTY (Exp. +11 yrs):
If there's no expiration date, give the process on how or when this record should be purged or
flagged for review.
\\dove\borough\CL\U - RECORDS\FORMS\contract transmittal form NJ.docx Rev. 12/23
KODIAK ISLAND CONTRACT CHANGE ORDER
BOROUGH
710 MILL BAY ROAD Project Name: Project Number:
KODIAK, ALASKA 99615 Leachate Treatment Plant Pretreatment Facility 490-712 452.140 19012.4
Contractor: CH2M Hill Engineers, Inc.
Cost
Contract No.: FY2022-09
Change Order No.: 03
Original Project Budget:
$
0.00
Original Contract:
$
190,500.00
Previous Budget Changes:
$
2,850,000.00
Previous Changes:
$
181,000.00
Adjusted Project Budget:
$
2,888,000.00
This Change:
$
29,839.00
To -Date Project Expenses:
$
2,913,008.71
% of Original Contract
Data Logging Capability - Jacobs will add trends to existing data logger on two individual
15.66%
To -Date Project Encumbrances:
$
265,730.70
Total Adjusted Contract:
$
426,339.00
Current Remaining Budget:
$
22,050.17
Description of Change
Cost
During the leachate pretreatment startup it was recommended by the contracted programmer that the
$29,839
KIB look into updating critical systems along with certain components, which are either already
outdated or quickly approaching end -of -life.
HMI — Rockwell HMI FactoryTalk View SE software was upgraded to v13 during pretreatment
startup. Version 14 was released soon after. Jacobs will upgrade to this version following the
transition to Windows 11 on two individual machines.
Rockwell Processor Firmware - Jacobs will upgrade the processor to v33 then ship it back to Kodiak
for installation. The Jacobs programmer will assist KIB with installation of the updated software
(Studio 5000 Logix Designer V33) on two individual machines then test the upgrade remotely after it
is installed.
Smart Sights Win9l l — Jacobs will upgrade the Win9l l notification system and update and install
new software enabling specific alarm messaging with notifications.
Data Logging Capability - Jacobs will add trends to existing data logger on two individual
FactoryTalkView SE local stations.
The time provided for completion of the contract is (® unchanged) (❑increased) (❑decreased) by 0 calendar days. This document
shall become an amendment to the contract and all provisions of the contract will apply thereto.
Per Borough Code 3.30.100, a change order that does not exceed five percent of the original contract amount or $50,000,
whichever is lower, requires approval by the mayor and deputy presiding officer, the mayor and one assembly member in the
absence of the deputy presiding office, or the deputy presiding officer and one assembly member in the absence of the mayor.
Change orders greater than five percent of approved contract amount or $50,000, whichever is lower, require assembly approval.
5/21/2024
5L21 l a -y
Engineering/Facilities D:
DAVID CON
Revised 09119 Page 1 of 2
Approved By: wy�f
Borough Manager
Date:Z Attest:
Borough Clerk
Date:
Mayor and Deputy Presiding Officer Approval (does not exceed five percent of the original contract amount or $50, 000, whichever is lower)
Approved By:
Borough Mayor
Date:
Deputy Presiding Officer
Borough Assembly Approval (greater than five percent of approved contract amount or $50,000, whichever is lower)
Approved By:
Borough Manager
Date: Attest:
Borough Clerk
Date:
Date:
Revised 09119 Page 2 of 2
Jacobs
Jena Hassinger
Environmental Scientist
Engineering and Facilities Department
Kodiak Island Borough
710 Mill Bay Road
Kodiak, AK 99615
April 12, 2024
Subject: Proposal for UP Programming
Dear Jena,
949 E. 30' Ave., Suite 500
Anchorage, Alaska 99517
United States
T +1.907.762.1500
F +1.907.762.1600
www.jacobs.com
cOA+ick ��0'7_2_-09
chance 4r��'#3
Per your request, CH2M HILL Engineers, Inc. (Jacobs) is submitting this letter proposal for programming
support at the Leachate Treatment Plant (LTP).
Overview:
During the leachate pretreatment startup, it was recommended by the contracted programmer that the
KIB look into updating critical systems along with certain components, which are either already outdated
or quickly approaching end -of -life. Recommended upgrades include: migrating the human machine
interface (HMI) to an inexpensive touch screen that can be more easily maintained; upgrading the
firmware in the Rockwell processor to allow transition to Windows 11; upgrade of the Smart Sights
Win911 alarm system to current; and the addition of a data logging feature to assist operator
troubleshooting and analysis.
The proposed scope of work is as follows:
Task 1: Upgrade the HMI
The panel HMI that is currently at the landfill is on windows 10 (end of life 2025) and needs to be
replaced. KIB IT will upgrade the new system to Windows 11. The device has operated as a hybrid unit
costing close to $3000. It is proposed that KIB purchase a Hope Industrial Systems, Inc edge -to -edge
multi -touch PCAP touch screen (or equal), estimated at $1,290. KIB IT will provide a personal computer,
which will be more easily and inexpensively backed -up, upgraded, and maintained into the future.
Rockwell HMI FactoryTalk View SE software was upgraded to v13 during pretreatment startup. Version
14 was released soon after. Jacobs will upgrade to this version following the transition to Windows 11 on
two individual machines. There is no cost for the software upgrade due to the KIB purchased support
license.
Estimated Jacobs labor cost: 24 hours x $204/hour = $4,896
Assumptions: KIB will purchase the touch screen and provide an existing personal computer. KIB will
install the new screen and PC. No travel required.
Jena Hassinger
April 2 2024 . sacobs.
Page 2 of 3
Task 2: Upgrade the Rockwell processor
KIB's Rockwell processor is running on outdated firmware (v20) and needs to be upgraded to v33 to
enable the transition to Windows 11. This update is essential, but comes with the risk of corrupting the
current processor. It is unlikely to do so, but in the event the processor is corrupted, the plant would be
inoperable for an unacceptable amount of time (>2 -weeks) without a ready replacement. As a
precautionary measure it is the best practice to have a processor on hand in the event there are issues
when upgrading and it needs to be replaced.
Jacobs will load the operating program on a backup processor and send the backup to Kodiak. KIB will
swap out the processors and send the existing processor to the Jacobs Bellevue office for upgrade.
Jacobs will upgrade the processor to v33 then ship it back to Kodiak for installation. This plan saves the
$15,000 cost of the backup processor. Our Jacobs programmer will assist KIB with installation of the
updated software (Studio 5000 Logix Designer V33) on two individual machines then test the upgrade
remotely after it is installed.
Estimated labor cost: 24 hours x $204/hour = $4,896
Assumptions: KIB will swap out the processor and send to the Jacobs Bellevue office, then send the
Jacobs temporary processor back when the upgrade is done. No travel required.
Task 3: Upgrade the Smart Sights Win911 alarm system
KIB's Smart Sights Win911 alarm system is currently V7 which is end -of -life. Jacobs recommends the
Win -911 2024 Basic license. The cost of a 3 -year license is $4,800. To allow operators to receive more
detailed alarms on their cell phones and additional license will need to be purchased as an add on. This
Win911 FT add on costs $350. Jacobs will upgrade the Win911 notification system and update and
install new software enabling specific alarm messaging with notifications.
Estimated cost: 60 hours x $204/hour = $12,240
Assumptions: KIB will pay for the cost of the 3 -year Win911 license and the Win911 FT add-on for alarm
messaging notifications. No travel required.
Task 4: Add trend analysis capability to data logger
Instant access to data trends allows operators to make decisions and analyze data regularly rather than
in segments. Jacobs will add trends to existing data logger on two individual FactoryTalkView SE local
stations. This will include building and updating current graphics, generating parameter files, and modify
the data logger to recreate plant operating data.
Estimated cost: 24 hours x $204/hour = $4,896
Assumptions: Jacobs will make the required updates remotely. No travel required. KIB will provide
access for our Jacobs programmer.
Jena Hassinger
April 12, 2024
Page 3 of 3
Jacobs
COSI
Estimated costs for Jacobs programming and management are shown in the table below.
Task
Description
Estimated Cost
1
HMI upgrades
$4,896
2
Rockwell processor upgrades
$4,896
3
Win911 alarm system upgrades
$12,240
4
Data logging update
$4,896
5
Project management
$2,911
Total
$29,839
As a result of the nature of the work being performed, there is potential for changes to occur to the scope
and the cost of services. As part of ongoing project management, Jacobs will monitor progress of this
project, especially as it relates to the original scope of work and schedule. Changes to the project
assumptions or scope of work may increase the budget. If additional work or changes outside of the
provided scope are deemed necessary, Jacobs will submit a revised scope and budget for approval by
the Client prior to performing work outside of this proposed scope of work. Jacobs will only charge for the
hours needed for this project so if the entire estimate is not used, Jacobs will only charge for labor and
expenses actually used.
We propose to complete this work as a change order to our existing Contract FY2022-09 for Leachate
Treatment Plant (LTP) Pretreatment Services During Construction under Purchase Order 2024-
00000033. Jacobs will begin work upon receipt of a signed change order. If you have any questions about
this, please contact me via email at cory.hinds(@Oacobs.com or via phone at (907) 229-6809.
Sincerely,
CH2M HILL Engineers, Inc.
C74-��
Cory Hinds, P.E.
Project Manager
Josh Lawson
Manager of Projects
Kodiak Island Borough
Assembly Newsletter
Vol. FY2024, No. 24 May 17, 2024
At Its Regular Meeting Of May 16, 2024, The Kodiak Island Borough Assembly Took The Following
Actions. The Next Regular Meeting Of The Borough Assembly Is Scheduled On June 6, 2024, At 6:30
P.M. In The Borough Assembly Chambers.
PROCLAIMED June 2024 As Pride Month In Kodiak Recognizing PRIDE In The LGBTQIA+ Community
Of Kodiak
ADOPTED Ordinance No. FY2024-17 An Ordinance Of The Assembly Of The Kodiak Island Borough
Amending Title 2 Administration And Personnel, Section 2.30 Rules Of The Assembly, Sections 2.30.060
Order Of Business And Agenda, And Section 2.30.070 Ordinances, Resolutions, And Motions To Update
Processes For Agenda Setting And Submission Of Items
AUTHORIZED The Borough Manager To Approve Contract No. FY2022-09, Change Order No. 3,
Approval For Programming Work Needed For The Leachate Pretreatment Facility Project With CH2M
Hill Engineering/Jacobs In The Amount Of $29,839
AUTHORIZED The Borough Manager To Approve Contract No. FY2024-33 Facility Heating Fuel Oil And
Highway Fuel For Kodiak Island Borough Facilities And Vehicles With Petro Star, Inc. Dba North Pacific
Fuel
ADVANCED Ordinance No. FY2025-01 Receiving The 2024 Certified Real And Personal Property Tax
Roll, Levying Ad Valorem Property Taxes For Tax Year 2024 Consisting Of An Areawide Tax, Women's
Bay Fire Area Tax, A Women's Bay Road Service Area Tax, A Bay View Road Service Area Tax, A Tax
In Fire Protection Service Area No. 1, A Monashka Bay Road Service Area Tax, A Tax In Service Area
No. 1 Roads, A Woodland Acres Street Light Service Area, A Tax In The Service Area No. 2, A Tax In
The KIB Airport Fire Service Area, A Tax In The Trinity Islands Street Light Service Area, And A Tax In
The Mission Lake Tide Gate Service Area; Levying Commercial Aircraft Tax Providing For The Collection
Of Taxes Due In 2024; And Setting The Date When Taxes Become Delinquent To Public Hearing At The
Next Regular Meeting Of The Assembly
ADVANCED Ordinance No. FY2025-02 Adopting The Budget For Fiscal Year 2025 And Appropriating
From All Borough Funds To Public Hearing At The Next Regular Meeting Of The Assembly
CONVENED INTO EXECUTIVE SESSION Under The Authority Of KIBC 2.30.030 (F)(1)(C) To Discuss
The Borough Manager's Performance Evaluation, A Subject That Qualifies For Executive Session As A
Matter That May Tend To Prejudice A Character Or Reputation Of Any Person. INVITED The Assembly,
And Borough Manager Into Executive Session. ANNOUNCED That The Borough Manager's
Performance Exceeded Expectation And Her Salary Should Be Increased As Stated In Her Contract.
CONVENED INTO EXECUTIVE SESSION Under The Authority Of KIBC. 2.30.030 (F)(1)(C) To Discuss
The Borough Clerk Performance Evaluation, A Matter Which Might Include A Discussion That Could
Potentially Prejudice Her Reputation And Character. INVITED The Assembly And Borough Clerk Into
Executive Session. ANNOUNCED That The Borough Clerk's Performance Exceeded Expectation And
Her Salary Should Be Increased As Stated In Her Contract.
View our website: Visit our Facebook page: � Follow us on
www.kodiakak.us www.facebook.com/KodiakislandBorough Twitter:
@KodiakBorough
KODIAK ISLAND BOROUGH CONTRACT CHANGE ORDER
710 MILL BAY ROAD Project Name: Project Number:
KODIAK, ALASKA 99615 Leachate Treatment Plant Pretreatment Facility 490-712 452.140 19012.4
Contractor: CH2M Hill Engineers, Inc.
Cost
Contract No.: FY2022-09
Change Order No.: 02
Original Project Budget:
$
0.00
Original Contract:
$
190,500.00
Previous Budget Changes:
$
2,850,000.00
Previous Changes:
$
Adjusted Project Budget:
$
2,888,000.00
This Change:
$
181,000.00
To -Date Project Expenses:
$
1,226,071.32
% of Original Contract
95.01%
To -Date Project Encumbrances:
$
1,639,119.79
Total Adjusted Contract:
$
396,500.00
Current Remaining Budget:
$
22,808.89
Description of Change
Cost
The average burn rate in 2022 for providing services during construction was approximately
$ 181,000.00
$15,000/month. Work during this time included the redesign the building foundation and floor drains,
and re -position the housekeeping pads for the contractor's selected process equipment, special
inspections, review of submittals, along with other support. This current change order should support
the next 1 I months of work till project completion. Work includes submittal reviews, RFI responses,
field orders, review of QC testing, site visits, inspection reports, meetings, control system, electronic
records and other tasks. This is time and material, and the rate was based off previous work.
The time provided for completion of the contract is (® unchanged) (❑increased) (❑decreased) by 0 calendar days. This document
shall become an amendment to the contract and all provisions of the contract will apply thereto.
Per Borough Code 3.30.100, a change order that does not exceed five percent of the original contract amount or $50,000,
whichever is lower, requires approval by the mayor and deputy presiding officer, the mayor and one assembly member in the
absence of the deputy presiding office, or the deputy presiding officer and one assembly member in the absence of the mayor.
Change orders greater than five percent of approved contract amount or $50,000, whichever is lower, require assembly approval.
Accepted By:
Date: 02/21/2023
Date: 2/ 21 Z0Z 3 Date:
Recommended: Date:
E ineerin ac' tti Direct Finance Director
Approved By: Date: Z Z1 Z?�ttest: Date:
Borough Manager DAVID ONRAD Borough Clerk
Mayor and Deputy Presiding Officer Approval (does not exceed five percent of the original contract amount or $50, 000, whichever is lower)
Approved By: Date: Date:
Borough Mayor Deputy Presiding Officer
Borough Assembly Approval (greater than five percent of approved contract amount or $50,000, whichever is lower)
Approved By: Date: Attest: Date:
Borough Manager Borough Clerk
Revised 09119 Page 1 of 1
Jacobs
Challenging today.
Reinventing tomorrow.
January 17, 2023
Attn: Jena Hassinger
Environmental Specialist
Kodiak Island Borough
710 Mill Bay Road
Kodiak, AK 99615-6398
Subject: LTP Pretreatment Facility Services During Construction 2023
Dear Jena,
949 E. 36th Avenue
Suite 500
Anchorage, AK 99508
United States
T +1.907.762.1500
F +1.907.762.1600
www.jacobs.com
This letter proposal is a request for amendment to PO 2022-39 for engineering services during construction of the
building, process equipment, and electrical and control systems for the Kodiak Landfill Leachate Treatment Plant
(LTP) Pretreatment Facility in 2023. The duration of these services will be approximately 11 months (January
2023 - November 2023). It is expected that the scope of work will include the following:
• Submittal reviews
• Responding to Requests for Information (RFI)
• Field orders with additional technical direction
• Site visit (1) from Corvallis for process mechanical
startup
• Inspection reports with recommendations
• Review of contractor quality control testing • Participation at weekly construction meetings
• Site visits (2) from Anchorage for structural special • Control system integration
inspections • Preparation of electronic record drawings
• Assistance with paperwork for ACWF loan program
Our average burn rate in 2022 providing services during construction was approximately $15,000/month. We
propose an amendment total to support the full 11 -months at this burn rate. We also suggest $16,000 (80 hrs at
-$200/hr) for control system integration by Jacobs' Don Watson. Requested total amendment is $181,000.
We propose to deliver this work on a time and materials basis under the terms and conditions of Jacobs
Agreement for Professional Services, Attachment 1. Jacobs will only bill for services required and requested. The
cost for these services was prepared using the rate schedule in Attachment 2. Jacobs appreciates the opportunity
to continue supporting the Kodiak Island Borough with landfill engineering services. If you have any questions
regarding this proposal, please contact Cory Hinds at cory.hinds@jacobs.com or (907) 229-6809.
Sincerely,
Jacobs Engineering Group Inc.
Cory Hinds
Project Manager
Attachment 1 - Agreement for Professional Services
Attachment 2 - Rate Schedule
Jacobs Engineering Group Inc.
Josh Lawson
Manager of Projects
Jacobs
PROFESSIONAL SERVICES
AGREEMENT
PROJECT LTP Pretreatment Facility Services During PROJECT
NAME: Construction 2023 NUMBER: D3434201
CLIENT: Kodiak Island Borough
ADDRESS: 710 Mill Bay Road
Kodiak, AK 99615-6398
Client hereby requests and authorizes CH2M HILL Engineers, Inc. ("Jacobs") to perform the following
Services:
SCOPE OF Please see attached Proposal Dated January 17, 2023 Re "LTP Pretreatment Facility Services
SERVICES: During Construction 2023".
COMPENSATION to be on a basis of:
Per Jacobs' proposal titled "LTP Pretreatment Facility Services During Construction 2023", dated January 17,
2023 — Attachment 2 Schedule of Rates.
Accepted for
Kodiak Island Borough
By:
Name:
Title:
Date:
Accepted for
CH2M HILL Engineers, Inc.
By:
Name:
Title:
Date:
The parties agree to the "Provisions" provided on page 2 of this authorization.
Professional Services Agreement — JEG Page 1 of 3 Revised 04/06/2021 - MEH
PROVISIONS
1. AUTHORIZATION TO PROCEED. Signing this Agreement shall
be construed as authorization by CLIENT for JACOBS to proceed
with the Services, unless otherwise provided for in this Agreement.
2. LABOR COSTS. JACOBS shall be compensated for Labor
Costs as stated in JACOBS' proposal. For time and materials
compensation projects, Labor Costs are calculated by multiplying the
Hourly Labor Rate for each JACOBS' employee working on the
CLIENT's Project by the number of hours actually worked by each of
JACOBS' employees on CLIENT's Project. In the event JACOBS'
compensation is calculated by reference to a Labor Cost Multiplier,
the Hourly Labor Rate for each JACOBS' employee working on the
CLIENT's Project shall be determined by multiplying the Labor Cost
Multiplier by each employee's non -overtime, burdened compensation
on an hourly basis.
3. OUTSIDE SERVICES, SUBCONTRACTS, AND DIRECT
EXPENSES. When services are performed on a cost
reimbursement basis, a markup of ten (10) percent will be applied to
Outside Services, Subcontracts, and Direct Expenses. For the
purpose of this Agreement, Direct Expenses are defined to include
those necessary costs and charges incurred for the Project including,
but not limited to: (1) the direct costs of transportation, meals, lodging,
shipping, equipment, materials, and supplies; (2) JACOBSs' current
standard rate charges for direct use of JACOBS' vehicles, laboratory
test and analysis, and field equipment; and (3) JACOBS' standard
project charges for computing systems, and health and safety
requirements of OSHA.
4. COST ESTIMATES. Any cost estimates provided by JACOBS
will be on a basis of experience and judgment. Since JACOBS has
no control over market conditions or bidding procedures, JACOBS
does not warrant that bids or ultimate construction costs will not vary
from these cost estimates.
5. PROFESSIONAL STANDARDS. JACOBS shall be responsible,
to the level of competency presently maintained by other practicing
professionals in the same type of work in CLIENT's community, for
the professional and technical soundness, accuracy, and adequacy
of all design, drawings, specifications, and other work and materials
furnished under this Agreement. If after completion of the Services
the CLIENT can demonstrate that the Services hereunder fail to
conform to such standards, JACOBS will reperform the deficient
Services at no cost to the CLIENT, and JACOBS shall have no liability
for repair or replacement, construction rework or other costs.
JACOBS makes no warranty, expressed or implied.
6. ADDITIONAL SERVICES. Services in addition to those
specified in Scope of Services will be provided by JACOBS if
authorized in writing or otherwise confirmed by CLIENT. Additional
services will be paid for by CLIENT as indicated in any Letter of
Proposal, Task Authorization, or such other document as deemed
appropriate by CLIENT and JACOBS. In the absence of an express
agreement about compensation, JACOBS shall be entitled to an
equitable adjustment to its compensation for performing such
additional services.
7. SALES TAX. In addition to any other sums or amounts required
to be paid by CLIENT to JACOBS pursuant to this Agreement,
CLIENT must also pay to JACOBS the amount of any applicable
sales, use, excise or other tax with respect thereto (other than any
general income tax payable by JACOBS with respect thereto) as the
same may be levied, imposed or assessed by any federal, state,
county or municipal government entity or agency.
8. LIMITATION OF LIABILITY. The total aggregate liability of
JACOBS arising out of the performance or breach of this Agreement
shall not exceed the compensation paid to JACOBS under this
Agreement. Notwithstanding any other provision of this Agreement,
JACOBS shall have no liability to the CLIENT for contingent,
consequential, or other indirect damages including, without limitation,
damages for loss of use, revenue or profit; operating costs and facility
downtime, however the same may be caused. The limitations and
exclusions of liability set forth in this Article shall apply regardless of
the fault, breach of contract, tort (including negligence), strict liability
or otherwise of JACOBS, its employees, or subconsultants.
9. DISPUTE RESOLUTION. All disputes arising out of this
Agreement shall be mediated by the parties within a reasonable time
after the first request for mediation, prior to either party filing a suit in
a court of law, provided, however, that neither party shall be obligated
to mediate prior to requesting injunctive relief.
10. ASSIGNMENT TO RELATED ENTITY. Notwithstanding anything
in this Agreement to the contrary, in the event JACOBS is not qualified
and licensed in the relevant jurisdiction to provide any Services required
hereunder, JACOBS may, without the consent of any other party, assign
all or any part of its obligation to provide such Services to an entity
related to JACOBS which is qualified and licensed to provide such
Services in the jurisdiction involved and which is contractually bound to
JACOBS to provide such Services.
11. PAYMENT TO JACOBS / INTEREST ON PAST -DUE AMOUNTS.
Monthly invoices will be issued by JACOBS for all Services performed
under the terms of this Agreement. Invoices are due and payable net
15 days. CLIENT agrees to pay interest at the rate of 1%% per month
on all past -due amounts, unless not permitted by law. Any interest
charged or collected in excess of the highest legal rate will be applied
to the principal amount owing to JACOBS, and if such interest exceeds
the principal balance of CLIENT's indebtedness to JACOBS, will be
returned to CLIENT.
12. TERMINATION FOR NON-PAYMENT OF FEES. Without limiting
any other remedy that may be available, JACOBS may stop work or
terminate this Agreement if CLIENT has not cured a payment default
within 7 days after receipt of written notice from JACOBS. Any failure
to make a payment within the time required in Article 12 above shall
constitute a payment default. Notice by e-mail or fax, followed by
overnight courier, shall meet this notice requirement. JACOBS' right to
stop work or terminate this Agreement shall not be waived by JACOBS'
continued performance during any period of investigation by JACOBS
to determine the reasons for CLIENT's nonpayment.
13. LEGAL EXPENSES. In the event legal action is brought by
JACOBS to enforce any of the obligations hereunder or arising out of
any dispute concerning the terms and conditions hereby created,
CLIENT shall pay JACOBS reasonable amounts for fees, costs and
expenses as may be set by the court.
14. CONSTRUCTION PHASE SERVICES. If this Agreement includes
the furnishing of any Services during the construction phase of the
project, the following terms will apply: (a) If JACOBS is called upon to
observe the work of CLIENT's construction contractor(s) for the
detection of defects or deficiencies in such work, JACOBS will not bear
any responsibility or liability for such defects or deficiencies or for the
failure to so detect. JACOBS shall not make inspections or reviews of
the safety programs or procedures of the construction contractor(s), and
shall not review their work for the purpose of ensuring their compliance
with safety standards. (b) If JACOBS is called upon to review
submittals from construction contractors, JACOBS shall review and
approve or take other appropriate action upon construction
contractor(s)' submittals such as shop drawings, product data and
samples, but only for the limited purpose of checking for conformance
with information given and the design concept expressed in the contract
documents. JACOBS' action shall be taken with such reasonable
promptness as to cause no delay in the work while allowing sufficient
time in JACOBS' professional judgment to permit adequate review.
Review of such submittals will not be conducted for the purpose of
determining the accuracy and completeness of other details such as
dimensions and quantities. (c) JACOBS shall not assume any
responsibility or liability for performance of the construction services, or
for the safety of persons and property during construction, or for
compliance with federal, state and local statutes, rules, regulations and
codes applicable to the conduct of the construction services. JACOBS
shall have no influence over the construction means, methods,
techniques, sequences or procedures. Construction safety shall remain
the sole responsibility of the construction contractor(s). (d) All contracts
between CLIENT and its construction contractor(s) shall contain broad
form indemnity and insurance clauses in favor of CLIENT and JACOBS,
in a form satisfactory to JACOBS.
15. SEVERABILITY. In case any one or more of the provisions
contained in this Agreement shall be held illegal, the enforceability of
the remaining provisions contained herein shall not be impaired
thereby.
16. FORCE MAJEURE. Any delays in or failure of performance by
JACOBS shall not constitute breach hereunder if and to the extent such
delays or failures of performance are caused by occurrences beyond
the reasonable control of JACOBS. In the event that any event of force
majeure as herein defined occurs, JACOBS shall be entitled to a
reasonable extension of time for performance of its Services under this
File: PSA Provisions - JEG Page 2 of 3 Revised 04/06/21 - MEH
Agreement.
17. ELECTRONIC MEDIA. (a) As a component of the services
provided under this Agreement, JACOBS may deliver electronic
copies of certain documents or data (the "Electronic Files") in addition
to printed copies (the "Hard Copies") for the convenience of CLIENT.
CLIENT and its consultants, contractors and subcontractors may only
rely on the Hard Copies furnished by JACOBS to CLIENT. If there is
any discrepancy between any Electronic File and the corresponding
Hard Copy, the Hard Copy controls. (b) CLIENT acknowledges that
Electronic Files can be altered or modified without JACOBS'
authorization, can become corrupted and that errors can occur in the
transmission of such Electronic Files.
18. THIRD PARTY BENEFICIARIES.. The parties entered into this
Agreement for the sole benefit of the parties. Nothing expressed or
implied in this Agreement gives or shall be construed to give rights or
benefits to any person other than CLIENT and JACOBS. This
Agreement has no third -party beneficiaries.
File: PSA Provisions - JEG Page 3 of 3 Revised 04/06/21 - MEH
Attachment 2 —Jacobs Rate Schedule 2023
2023 Hourly
Rate
Labor Category/Description
204
Principal Engineer/Scientist/Specialist
200
Senior Engineer/Scientist/Specialist
177
Associate Engineer/Scientist/Specialist
138
Staff Engineer/Scientist/Specialist
110
Technician III
105
Technician II
100
Technician 1
83
Office/Administration/Accounting
Note: rates are subject to an annual escalation.
f--
Kodiak Island Borough
Assembly Newsletter
Vol. FY2023, No. 27 February 17, 2023
At Its Regular Meeting Of February 16, 2023, The Kodiak Island Borough Assembly Took The Following
Actions. The Next Regular Meeting Of The Borough Assembly Is Scheduled On March 16, 2023, At 6:30
P.M. In The Borough Assembly Chambers.
DIRECTED The Borough Clerk To Issue A Letter Of Non -Protest With Conditions To The State Of Alaska
Alcohol And Marijuana Control Office For Marijuana Onsite Consumption Endorsement Application
(Retail Only) From Three Sisters, LLC (Dba: Wildflower), License No. 21069 Provided That The Licensed
Facility Complies With Applicable Building And Fire Codes, Premises Address: 158 Alimaq Drive, Kodiak
ADOPTED Ordinance No. FY2023-14 Amending Kodiak Island Borough Code Title 3 Revenue And
Finance, Chapter 35 Real Property Tax, Section 3.35.050 Board Of Equalization To Correct Phrasing
Pertaining To Docket Numbers
AUTHORIZED The Borough Manager To Execute Change Order No. 2 For Contract No. FY2022-09
With CH2M Hill Engineering/Jacobs For Additional Services During Construction For The Leachate
Pretreatment Facility Project
AUTHORIZED The Borough Manager To Execute Contract No. FY2023-37 Kodiak High School Roof
Repairs With Rain Proof Roofing Of Anchorage In The Amount Of $235,000
AUTHORIZED The Borough Manager Execute Contract No. FY2023-38 To Award The Bid
To Anchorage Chrysler Center And Proceed With Purchasing Four (4) 2022 Jeep Compass Latitudes
For Borough Use In The Amount Of $152,846.92
AUTHORIZED The Borough Manager To Execute Contract No. FY2023-40 With Premier Mechanical
For The Replacement Of The PKIMC LTC Day Tank In The Amount Of $28,388.11
ADOPTED Resolution No. FY2023-23 Rescinding Resolution No. FY2019-07 Forming A Consolidation
Committee
CONVENED INTO EXECUTIVE SESSION To Discuss Attorney Advice Regarding Borough Manager
Process. INVITED The Mayor, Assembly Members, And Clerk's Office Staff Into Executive Session.
ANNOUNCED That No Action Was Taken As A Result Of The Executive Session
View our website: Visit our Facebook page: Follow us on
www.kodiakak.us 91 0 www.facebook.com/KodiakislandBorough Twitter:
@KodiakBorough
KODIAK ISLAND BOROUGH CONTRACT CHANGE ORDER
710 MILL BAY ROAD Project Name: Project Number:
KODIAK, ALASKA 99615 Leachate Treatment Plant Pretreatment Facility 490-712 452.140 19012.4
Contractor: C112M Hill Engineers, Inc.
Contract No.: FY2022-09
Change Order No.: 01
Original Project Budget:
$ 38,000.00
Original Contract:
$ 190,500.00
Previous Budget Changes:
$ 2,850,000.00
Previous Changes:
$
Adjusted Project Budget:
$ 2,888,000.00
This Change:
$ 25,000.00
To -Date Project Expenses:
$ 419,696.67
% of Original Contract
13.12%
To -Date Project Encumbrances:
$ 2,364,856.12
Adjusted Contract:
$ 215,500.00
Current Remaining Budget:
$ 71,054.52
4
Description of Change
Cost
The original budget for services during construction were used for the redesign of the building
$ 25,000.00
foundation and items associated with that. This increase will allow for the services during construction
to continue for the following: special inspections of foundation rebar, review of submittals,
participation at work planning meetings, additional support for foundation redesign housekeeping
pad/floor drain, process skid geometry modifications, coordination for utilities and drain connection,
ongoing submittal reviews, and other support as requested by the Kodiak Island Borough.
The time provided for completion of the contract is (N unchanged) (❑increased) (❑decreased) by 0 calendar days. This document
shall become an amendment to the contract and all provisions of the contract will apply thereto.
Per Borough Code 3.30.100, a change order that does not exceed five percent of the original contract amount or $50,000,
whichever is lower, requires approval by the mayor and deputy presiding officer, the mayor and one assembly member in the
absence of the deputy presiding office, or the deputy presiding officer and one assembly member in the absence of the mayor.
Change orders greater,tltan cve percent of approved contract amount or $50,000, whichever is lower, require assembly approval.
Accepted By:
Date:
Recommended: Date: 10 3 zL Do
W-:-,VI""� ' 1 I � �
E gineering ilities Director Finance Director Q�
Approved By: JA Date: /uS L Z Attest: /
B ough Manager +01—BoroughCl k R
Mayor and Deputy Presiding Officer Approval (does not exceed f ve percent of the original contract a `,�w�ver s lower)
Approved By: Date:
Borough Mayor Deputy Presiding Officer
Borough Assembly Approval (greater than five percent of approved contract amount or $50,000, whichever is lower)
Approved By: Date: Attest: Date:
Borough Manager Borough Clerk
Revised 09119 Page 1 of 1
I BS
Jena Hassinger
Environmental Scientist
Engineering and Facilities Department
Kodiak Island Borough
710 Mill Bay Road
Kodiak, AK 99615
August 8, 2022
949 E. 36th Ave., Suite 500
Anchorage, Alaska 99517
United States
T +1.907.762.1500
F +1.907.762.1600
www.jacobs.com
Subject: Proposal for KIB Leachate Treatment Plant Pretreatment Facility Additional Services During
Construction
Dear Jena,
The purpose of this letter is to provide scope and fee for additional services during construction (SDC) for
the Kodiak Landfill Leachate Treatment Plant (LTP) Pretreatment Facility. Existing SDC budget has been
used to redesign the building foundation and floor drains, and re -position the housekeeping pads for the
contractor's selected process equipment. Additional construction support will include special inspections
of the foundation rebar, review of submittals, participation at work planning meetings, and other support
as requested by the Kodiak Island Borough. Staffing will include Cory Hinds, Mike Wolski, Mark Parent
and other Jacobs engineering discipline leads as needed.
We propose to complete this work on a time and materials basis using our current rates and existing
agreement for professional services Contract FY 2022-09. This proposal is for a non -to -exceed amount
of $25,000. If you have any questions about this, please contact me via email at cory.hinds(aD-iacobs.com
or via phone at (907) 229-6809. Jacobs will conduct this work as CH2M HILL Engineers, Inc (Jacobs).
Sincerely,
CH2M HILL Engineers, Inc.
Cory Hinds, P.E. Josh Lawson
Project Manager Manager of Projects
Note: In response to the Coronavirus (COVID-19) outbreak, Jacobs has taken appropriate steps to ensure the health
and well-being of our people as well as the continuity of our business operations around the globe. Jacobs has
adopted mitigation strategies and protocols based on recognized world standards and guidelines, applying
appropriate travel restrictions, and abiding by state and municipal proclamations/declarations regarding shelter in
place and/or business closures. Based on the foregoing, this proposal, including the schedule of activities, is
contingent on being able to appropriately and safely staff and perform (including travel), considering the Coronavirus
outbreak.
Kodiak Island Borough
Assembly Newsletter
Vol. FY2023, No. 09 September 15, 2022
At Its Regular Meeting Of September 15, 2022, The Kodiak Island Borough Assembly Took The Following
Actions. The Next Regular Meeting Of The Borough Assembly Is Scheduled On October 6, 2022, At 6:30
p.m. In The Borough Assembly Chambers.
PROCLAIMED September 25 Through October 1, 2022, As Childhood Cancer Awareness Week.
VOICED NON -PROTEST To State of Alaska Alcohol and Marijuana Control Office Liquor License
Transfer of Ownership From Bernie's To Bernie's Bar, LLC DBA Bernie's Bar LLC #4346.
APPROVED Contract No. FY2023-18 With Matson Navigation Company Of Alaska Inc., Metals
Processing And Hauling For A One -Year Term.
ADOPTED Resolution No. FY2023-12 Of The Assembly Of The Kodiak Island Borough Approving
Funding Of The Kodiak Economic Development Corporation (KEDC).
ADVANCED Ordinance No. FY 2023-06 Rezoning Allman Addition Tract A, Commonly Known As 1240
Mill Bay Road From B -Business District to PL - Public Use Lands District To Public Hearing At The Next
Regular Meeting Of The Assembly.
ADVANCED Ordinance No. FY 2023-07 Rezoning Allman Addition Block 2, Lot 1. Commonly Known As
1234 Mill Bay Road From R-1 Single -Family Residential District To B -Business District To Public Hearing
At The Next Regular Meeting Of The Assembly.
ADVANCED Ordinance No. FY 2023-08 Rezoning Cliffpoint Estates Oceanfront Addition 4, Lot 7,
Commonly Known As 5917 Pinnacles Court, from RR2, Rural Residential Two District, to NU, Natural
Use District To Public Hearing At The Next Regular Meeting Of The Assembly.
CONFIRMED The Mayoral Appointment To The Solid Waste Advisory Board Of Mr. Lawrence Van Daele
Fo A Term To Expire December 2022.
APPOINTED The Election Officials For The Upcoming October 4, 2022, Municipal Election.
AUTHORIZED The Manager To Approve Change Order No. 01 For Contract No. FY2022-09 With CH2M
Hill Engineering/Jacobs For Additional Services During Construction For The Leachate Pretreatment
Facility Project.
View our website: Visit our Facebook page: Follow us on
www.kodiakak.us www.facebook.com/KodiakisiandBorough Twitter:
0 0 @KodiakBorough
.;acobs
September 17, 2021
Jena Hassinger
Environmental Scientist
Kodiak Island Borough
710 Mill Bay Road
Kodiak, AK 99615
CONTRACT
FY2022-09
949 E. 36th Avenue, Suite 500
Anchorage, Alaska 99508
United States
T +1.907.762.1500
F +1.907.762.1600
www.jacobs.com
Subject: Fee Proposal for LTP Pretreatment Facility Additional Design, Bid Phase Support
and Services During Construction
Dear Jena,
CH2M HILL Engineers, Inc. (Jacobs) is pleased to provide this fee proposal for additional
design work, bid phase support and services during construction of the Kodiak Landfill
Leachate Treatment Plant (LTP) Pretreatment Facility. We propose the following scope of
work:
Additional Design
• Additional effort to meet ADEC compliance order deadline
• Complete the 100% design (see Attachment 1 for explanation)
Bid Phase Support
• Organize and attend pre-bid meeting in Kodiak
• Prepare responses to bidder's questions
• Prepare bid addendums
• Prepare engineer's recommendation for award
Services During Construction
• Engineering submittal reviews and responses
• Request for Information (RFI) reviews and responses
• Instrumentation and Control (I&C) programming
• Periodic construction inspection
• Preparation of record drawings
Assumptions:
• Bid phase and services during construction scope assumptions per Attachment 2
CH2M HILL, Inc.
.;acobs
September 17, 2021
Subject: Fee Proposal for LTP Pretreatment Facility Additional Design, Bid Phase Support and Services During Construction
Fee Proposal. Estimated price for these tasks, using our 2021 and 2022 labor rates
(Attachment 3), is shown in the table below.
Task
Price
1 -Additional Final Design
$24,000
2 -Bid Phase Support
$12,500
3 -Services During Construction
$154,000
Total
$190,500
Contract Terms. We propose to conduct this work on a time and materials basis using the
enclosed Agreement for Professional Services included as Attachment 4. We will be
conducting this work using our legal entity CH2M HILL Engineers, Inc., a Jacobs company.
Change Management. Jacobs will monitor progress of the proposed scope of work and
schedule. Changes to the project assumptions or scope of work, delays in the schedule,
additional reporting requirements, or other project issues may increase or decrease the
budget. If additional work or changes outside of the provided scope are deemed necessary
and increase the budget, Jacobs will submit a revised scope and budget for approval prior
to performing work outside of this proposed scope of work.
COVID-19. Our proposal includes travel for bid phase and construction phase services.
This travel and schedule for this travel is contingent on being able to appropriately and
safely staff and perform, considering the Coronavirus outbreak.
Sincerely
Cory Hinds, P.E.
Jacobs Project Manager
Josh Lawson
Manager of Projects
Attachment 1
Additional Design Explanation
Schedule compression. Our original proposed design schedule was 5 months.
To meet the ADEC Compliance Order by Consent (COBC) deadline, the 80%
design was executed in 5 weeks. This required staff to be selected based on
availability rather than proposed billing grade, and it required unscheduled
overtime. Schedule compression also required various disciplines to work in
parallel, which will require additional coordination and revision at the 100%
design level.
2. The final design addresses comments from the KIB Assembly and Architectural
Review Board to make the building larger. Several plan and elevation options
were proposed, which increased the architectural and structural effort.
3. Structural design was more complicated that anticipated due to floor drain and
grade beam interfaces. We had to fully design the building footers so the floor
drain could pass through the grade beam, rather than going deep in bedrock.
Typically, the pre-engineered building manufacturer would design the footers.
4. Electrical design was more complicated than anticipated due to changes and
resizing of equipment by vendors. Several rounds of information requests back
and forth were required to dial in the correct equipment and loads.
5. The Jacobs original internal estimate was over $300,000 for this design. To bring
costs down, we shifted to a different design team and more streamlined
approach to bring the design costs closer to the established metric of 10% of
estimated construction cost. At the 30% design, the estimated construction cost
was $1,200,000. At the 80% design level, with the larger building, the estimated
construction cost increased to approximately $2,000,000, indicating that design
costs in the ballpark of $200,000 are reasonable.
Attachment 2
Bid Phase and SDC Scope Assumptions
Bid Phase Assumptions
1. The project will be bid as a single lump sum.
2. The OWNER will distribute the bid documents via website.
3. The OWNER will receive and respond to all questions from plan holders.
JACOBS will assist the OWNER in developing responses to these questions
when requested.
4. JACOBS will conduct and document one pre-bid meeting at the project site or
OWNER's office.
5. Two substantive addenda will be issued.
6. The project will be bid only once.
Services During Construction Assumptions
1. The construction period will last 6 months (May - October 2022).
2. JACOBS will provide an engineer to provide periodic construction inspections to
provide and maintain competent and adequate engineering supervision at the
construction site to ensure that the complete work conforms with the approved
plans and specifications and will furnish progress reports and such other
information as may be required by the assistance awarding agency or State.
3. JACOBS will attend construction meetings when on site or when requested by
OWNER and will respond to contractor requests per OWNER direction. We
have assumed the following allocations for SDC which we believe will be
sufficient. Actual required effort may be higher or lower than these allocations:
• 148 hours for engineering submittal reviews
• 176 hours to respond to RFI and design clarification requests
• 360 hours, roughly 1 week/month, for onsite inspections (including
process mechanical and structural steel)
• 40 hours for preparing record drawings
4. These allocations are roughly based on the following:
4.1 Up to 30 original submittals and 15 resubmittals will be reviewed. This
includes shop drawings, O&M submittals and samples. It is assumed that
the OWNER will review routine submittals, with JACOBS technical
support as needed.
4.2 OWNER will handle review and approval of contractor construction
schedules
4.3 Up to 50 Requests for Interpretation/ Clarification will be reviewed and
responded to.
4.4 OWNER will review and approve any contractor requests for change
order.
4.5 One specialty inspection trip of 2 days on site plus travel will be made by
structural engineer to inspect structural steel.
4.6 OWNER will review and approve or generate contract change orders.
4.7 JACOBS will prepare record drawings based on mark-ups from the
CONTRACTOR.
ATT2
Attachment 3 - Labor Rates
Labor Category/Description
2021 Hourly Rate
Principal Engineer/Scientist/Specialist
$
190
Senior Engineer/Scientist/Specialist
$
186
Associate Engineer/Scientist/Specialist
$
165
Staff Engineer/Scientist/Specialist
$
129
Technician III
$
103
Technician II
$
98
Technician 1
$
93
Office/Administration/Accounting
$
78
Rates will be escalated 3% in 2022, included in estimated totals shown in letter proposal.
Attachment 4
AGREEMENT FOR PROFESSIONAL SERVICES
BETWEEN
C112M HILL ENGINEERS, INC.
AND
KODIAK ISLAND BOROUGH
AGREEMENT FOR PROFESSIONAL SERVICES
TABLE OF CONTENTS
ARTICLE 1
General Obligations of Engineer
ARTICLE 2
General Obligations of Client
ARTICLE 3
Compensation
ARTICLE 4
Payments
ARTICLE 5
Period of Service
ARTICLE 6
Changes in Scope of Services
ARTICLE 7
Warranty
ARTICLE 8
Indemnification
ARTICLE 9
Limitation of Liability
ARTICLE 10
Insurance
ARTICLE 11
Relationship of Engineer to Client
ARTICLE 12
Personnel
ARTICLE 13
Ownership of Instruments of Service and Data
ARTICLE 14
Permits and Licenses
ARTICLE 15
Adherence to Laws
ARTICLE 16
Nondisclosure of Proprietary and
Confidential Materials
ARTICLE 17
Certification or Sealing of Instruments of Services
by Professional Engineer
ARTICLE 18
Force Majeure
ARTICLE 19
Project Delay
ARTICLE 20
Construction Phase Services
ARTICLE 21
Governing Law
ARTICLE 22
Alternate Dispute Resolution
ARTICLE 23
Notices and/or Communications
ARTICLE 24
Miscellaneous
File: APS — JEG (4-6-09)
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1
1
1
2
2
2
3
3
4
4
4
5
5
5
5
6
6
7
7
8
8
9
9
AGREEMENT FOR
PROFESSIONAL SERVICES
THIS AGREEMENT, made and executed as of the 8th day of October , 2021 by and
between C112M HILL ENGINEERS, INC., with a place of business at 949 East 30h Avenue,
Anchorage (hereinafter called "Engineer") and the Kodiak Island Borough, an unincorporated
borough, with a place of business at 710 Mill Bay Road, Kodiak (hereinafter called "Client"),
collectively referred to herein as "Parties", provides as follows:
ARTICLE 1
GENERAL OBLIGATIONS OF ENGINEER
The description of the Client's project (the "Project") and scope of services (hereinafter
"Services") to be provided to Client is stated in a formal Proposal from Engineer dated
Sept 17, 2021 (the "Proposal"). The Proposal is made a part of this Agreement by
reference.
ARTICLE 2
GENERAL OBLIGATIONS OF CLIENT
Client shall provide Engineer full information regarding Client's requirements for the Project and
shall provide information regarding existing facilities, such as drawings, as -built drawings, legal
description, easements, rights of way, agreements with any utilities, or any other information in
Client's possession which is necessary or useful in connection with the Project.
Client shall appoint a representative that will have the authority to make decisions on behalf of
Client regarding the Project. Client shall make decisions regarding the Project in a timely
f 1IYTITIL43if
ARTICLE 3
COMPENSATION
Engineer will be compensated for Services as set forth in the Proposal.
ARTICLE 4
PAYMENTS
Engineer will submit bi-weekly invoices for compensation and expenses by electronic
transmission. Payments will be due within 30 days after receipt of invoices and shall be made by
electronic funds transfer to the bank and account designated in the invoice. Past due amounts
will accrue interest at one and one-half percent (1 %2%) per month, without limiting other
remedies.
File: APS — JEG (4-6-09)
Page 1 of 10
In the event Client does not make payments as required herein, in addition to any other remedy
available to Engineer, including but not limited to termination, Engineer shall have the right to
suspend its performance on the Project and await receipt of all payments and interest then due
before resuming performance. Engineer shall be entitled an extension of time for the period of
suspension. During any suspension, Engineer shall have the right to terminate the Agreement for
non-payment.
ARTICLE 5
PERIOD OF SERVICE
Engineer shall make its best efforts to complete its Services for the Project within the time period
set forth in the Proposal.
ARTICLE 6
CHANGES IN SCOPE OF SERVICES
Client may, at any time, make changes in the scope of Services for the Project or in the definition
of Services to be performed. In the event Client notifies Engineer of its desire to make a change
in the scope of Services that may change the cost of performance, Engineer shall, within ten (10)
working days after receiving such notice, give Client notification of any potential change in price
for the Services. Equitable adjustments to price and time of performance resulting from scope of
Services changes will be negotiated and upon mutual agreement by Client and Engineer, this
Agreement will be modified by a written instrument, signed by both parties, to reflect the
changes in scope of Services, price and schedule.
ARTICLE 7
WARRANTY
A. Engineer warrants that its engineering, design and consulting Services will be performed in
accordance with generally accepted standards in the industry. Following completion of its
Services and for a period of twelve (12) months thereafter, if the Services provided
hereunder do not conform to the warranty above stated and the same is reported to Engineer
by Client in writing promptly after recognition thereof, Engineer shall, at no cost to Client,
furnish all remedial engineering, design or consulting Services required in connection
therewith as soon as reasonably possible after receipt of such report from Client; and
Engineer shall have no liability for costs related to the repair, replacement, addition or
deletion of materials, equipment or facilities as a result of such failure to conform to the
above -referenced warranties, which costs shall be deemed costs of the project, whether
incurred during performance of the Services or after completion of the Services.
B. Engineer's warranties shall not apply to any defect which results from: ordinary wear and
tear, misoperation, corrosion or erosion, noise levels, operating conditions more severe than
those contemplated in the original design, or a defect in a process or mechanical design or
equipment furnished or specified by Client or others.
C. All representations, warranties and guarantees made by Engineer in connection with its
Services are limited to those set forth in this Article 6. IMPLIED WARRANTIES OF
File: APS — JEG (4-6-09)
Page 2 of 10
MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE ARE
SPECIFICALLY EXCLUDED. For any deficiencies in the Services, Client shall be
restricted to the remedies expressly set forth in this Article 6; such remedies are Client's sole
and exclusive remedies for deficiencies in the Services and Client hereby waives any and all
other remedies, whether at law or in equity, and regardless of whether the claim is asserted
under contract, tort (including the concurrent or sole and exclusive negligence of Engineer),
strict liability or otherwise.
ARTICLE 8
INDEMNIFICATION
A. Engineer will defend, indemnify and hold the Client harmless from all claims, liabilities,
demands, costs, expenses (including attorneys' fees) and causes of action arising out of
third parry claims for bodily injury (including death) and damage to tangible property to the
extent caused by a negligent act or omission of Engineer, its employee or subconsultant.
B. The Client hereby agrees to release, waive all rights of subrogation against, defend,
indemnify and hold Engineer harmless from all claims, liabilities, demands, costs, expenses
(including attorneys' fees) and causes of action arising out of bodily injury (including
death) to any person or damage or loss to any property ("Harms"), irrespective of
Engineer's fault (including, without limitation, breach of contract, tort including concurrent
or sole and exclusive negligence, strict liability or otherwise of Engineer), when the Harms
result from (i) the discharge, dispersal, release or escape of smoke, vapors, soot, fumes,
acids, alkalis, toxic chemicals, liquids or gases, waste materials or other irritants,
contaminants or pollutants into or upon land, the atmosphere or any water course or body
of water; (ii) errors or omissions in Engineer's Services due to Engineer being required,
directly or indirectly, by Client to take certain actions contrary to the recommendations of
Engineer; (iii) errors or omissions in Engineer's Services while assisting in the
commissioning, start-up or operation of Client's facilities; and (iv) the acts, errors,
omissions or negligence of Client, its employee or other contractor.
ARTICLE 9
LIMITATION OF LIABILITY
The total aggregate liability of Engineer arising out of the performance or breach of this
Agreement shall not exceed twenty-five percent (25%) of the compensation paid to Engineer
under this Agreement. Notwithstanding any other provision of this Agreement, Engineer shall
have no liability to the Client for contingent, consequential or other indirect damages including,
without limitation, damages for loss of use, revenue or profit (direct or indirect); operating costs
and facility downtime; or other similar business interruption losses, however the same may be
caused. The limitations and exclusions of liability set forth in this Article shall apply regardless
of the fault, breach of contract, tort (including negligence), strict liability or otherwise of
Engineer, its employees or subconsultants. The Parties agree that the limitations of liability and
waiver of damages as set forth herein shall not be interpreted as a form of indemnification.
File: APS — JEG (4-6-09)
Page 3 of 10
ARTICLE 10
INSURANCE
A. During the term of this Agreement, Engineer shall, at its sole expense, secure and maintain
in force policies of insurance of the following types:
1. Workers' compensation coverage in accordance with the statutory requirements of the
jurisdiction in which services are to be performed.
2. Employer's liability insurance with a minimum of $250,000.
3. Comprehensive General Liability Insurance, subject to a limit for bodily injury and
property damage combined of at least $1,000,000 aggregate.
4. Automobile liability insurance subject to a limit for bodily injury and property
damage combined, of at least $1,000,000 per occurrence.
B. Engineer shall furnish Client certificates of insurance evidencing the insurance coverages
required in this Article 9. The certificates shall stipulate that should any of the above
insurance policies be cancelled before the termination of this Agreement, the issuing
company will endeavor to mail thirty (30) days' written notice to Client.
C. As between Engineer and Client, Client agrees to insure (or at its election to self -insure) its
existing property and the facilities which are the subject of the Engineer's services, from
risks insurable under Fire and Extended Coverage, All Risk Builder's Risk, and Business
Interruption Insurance policies. Client hereby waives any rights which it or its insurers
may have against Engineer for any damages, losses or expenses resulting from the risks to
be insured (or self-insured) by Client or its contractors on the facilities which are the
subject of Engineer's Services, and Client agrees to include Engineer as an additional
insured in all such policies and in any waiver of rights obtained by Client from its
contractor with respect to property damage insurance carried by such contractor.
ARTICLE 11
RELATIONSHIP OF ENGINEER TO CLIENT
The Engineer shall be and shall operate as an independent contractor with respect to the Services
performed under this Agreement and shall not be nor operate as an agent or employee of Client.
This Agreement is not intended to be one of hiring under the provisions of a Workers'
Compensation statute or other law and shall not be so construed.
ARTICLE 12
PERSONNEL
Engineer agrees that during Engineer's performance of Services hereunder, adequate provision
shall be made to staff and retain the services of such competent personnel as may be appropriate
or necessary for the performance of such Services. Client shall have the right to review the
personnel assigned by Engineer, and Engineer shall remove any personnel not acceptable to
Client. Engineer may remove personnel assigned to the Project without Client's prior approval,
provided the progress of the Services shall not be unreasonably impaired.
File: APS — JEG (4-6-09)
Page 4 of 10
ARTICLE 13
OWNERSHIP OF INSTRUMENTS OF SERVICE AND DATA
A. Client agrees to defend, indemnify and hold harmless Engineer and its employees from and
against claims resulting from re -use of the design data, drawings, estimates, calculations
and specifications prepared by Engineer ("instruments of service") on extensions of the
project or at a location other than that contemplated by this Agreement. Client is advised
that should Client re -use the instruments of service at another location, the instruments of
service should be reviewed and sealed by Client or an engineer licensed in the jurisdiction
where the instruments of service are sought to be re -used.
B. All materials and information that are the property of Client and all copies or duplications
thereof shall be delivered to Client by Engineer, if requested by Client, upon completion of
Services. Engineer may retain one complete set of reproducible copies of all of its
instruments of service.
ARTICLE 14
PERMITS AND LICENSES
Engineer represents to Client that it has and will maintain during the performance of the Services
under this Agreement any permits or licenses which, under the regulations of federal, state, or
local governmental authority, it may be required to maintain in order to perform the Services.
ARTICLE 15
ADHERENCE TO LAWS
Engineer shall adhere to federal, state, and local laws, rules, regulations, and ordinances
applicable to performance of the Services hereunder including, without limitation, all applicable
provisions of federal and state law relating to equal employment opportunity and non-
discrimination.
ARTICLE 16
NONDISCLOSURE OF PROPRIETARY AND
CONFIDENTIAL MATERIALS
Client and Engineer agree that any disclosure will be made on the following basis:
A. Confidential Client Information ("Primary Data") disclosed to Engineer which is identified
in writing by Client as proprietary to Client shall be: (1) safeguarded, (2) maintained in
confidence, and (3) made available by Engineer only to those of its employees or others
who have a need -to -know and agree to equivalent conditions pertaining to nondisclosure as
contained herein.
B. Upon completion of the Project or sooner if Client so requests, the Engineer shall return to
Client's representative all Primary Data furnished to the Engineer under this Agreement
and shall, if requested, deliver to the Client's representative all drawings, schedules,
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calculations, and other documents generated by Engineer for use in connection with the
Project ("Secondary Data").
C. Engineer shall not use for itself or to disclose to third parties any Primary Data or
Secondary Data without the prior written consent of Client.
D. The nondisclosure obligations pertaining to Primary and Secondary Data shall terminate
three (3) years from date Engineer's association with this Project terminates. The
nondisclosure obligations shall not apply to any data which:
1. Was known to the Engineer (and previously unrestricted) before disclosure of
Primary Data to Engineer under this Agreement or before generation of Secondary
Data;
2. Is subsequently acquired by the Engineer from a third party who is not in default of
any obligation restricting the disclosure of such information; or
3. Is subsequently available or becomes generally available to the public.
E. Notwithstanding this nondisclosure obligation, Engineer may nevertheless draw upon its
experience in its future association with other clients.
ARTICLE 17
CERTIFICATION OR SEALING OF INSTRUMENTS OF SERVICE BY
PROFESSIONAL ENGINEER
All specifications, drawings, and other engineering documents that are prepared by Engineer
shall be certified or sealed by a registered professional engineer. Such certifications or seals
shall be valid for the state in which the specifications, drawings, or other engineering documents
are to be used or applied.
ARTICLE 18
FORCE MAJEURE
Any delays in or failure of performance by Engineer or Client, other than the payment of money,
shall not constitute default hereunder if and to the extent such delays or failures of performance
are caused by occurrences beyond the reasonable control of Client or Engineer, as the case may
be, including but not limited to, acts of God or the public enemy; compliance with any order or
request of any governmental authority; fires, floods, explosion, accidents; riots, strikes or other
concerted acts of workmen, whether direct or indirect; or any causes, whether or not of the same
class or kind as those specifically named above, which are not within the reasonable control of
Client or Engineer respectively. In the event that any event of force majeure as herein defined
occurs, Engineer shall be entitled to a reasonable extension of time for performance of its
Services under this Agreement.
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ARTICLE 19
PROJECT DELAY
If the Engineer's proposal calls for provision of its Services under a guaranteed maximum price,
fixed fee, or stipulated lump sum basis and the Engineer's work on any phase of the Services is
extended by one or more force majeure events or other delays not attributable in whole or in part
to the fault of Engineer, then the guaranteed maximum price, fixed fee, or stipulated lump sum,
as the case may be, shall be equitably adjusted.
ARTICLE 20
CONSTRUCTION PHASE SERVICES
If this Agreement includes the furnishing of any Services during the construction phase of the
Project, the following terms will apply:
A. If Engineer is called upon to observe the work of Client's construction contractor(s) for the
detection of defects or deficiencies in such work, Engineer will not bear any responsibility
or liability for such defects or deficiencies or for the failure to so detect. Engineer shall not
make inspections or reviews of the safety programs or procedures of the construction
contractor(s), and shall not review their work for the purpose of ensuring their compliance
with safety standards.
B. If Engineer is called upon to review submittals from construction contractors, Engineer shall
review and approve or take other appropriate action upon construction contractor(s)'
submittals such as shop drawings, product data and samples, but only for the limited
purpose of checking for conformance with information given and the design concept
expressed in the contract documents. The Engineer's action shall be taken with such
reasonable promptness as to cause no delay in the work while allowing sufficient time in the
Engineer's professional judgment to permit adequate review. Review of such submittals
will not be conducted for the purpose of determining the accuracy and completeness of other
details such as dimensions and quantities or for substantiating instructions for installation or
performance of equipment or systems designed by the construction contractor, all of which
remain the responsibility of the construction contractor. The Engineer's review shall not
constitute approval of safety precautions or of construction means, methods, techniques,
sequences or procedures. The Engineer's approval of a specific item shall not indicate
approval of an assembly of which the item is a component.
C. Engineer shall not assume any responsibility or liability for performance of the construction
services, or for the safety of persons and property during construction, or for compliance
with federal, state and local statutes, rules, regulations and codes applicable to the conduct
of the construction services.
D. All services performed by others, including construction contractors and their
subcontractors, shall be warranted only by such others and not by the Engineer.
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E. All contracts between Client and its construction contractor(s) shall contain broad form
indemnity and insurance clauses in favor of Client and Engineer, in a form satisfactory to
Engineer.
ARTICLE 21
GOVERNING LAW
This Agreement shall be governed by and construed in accordance with the laws of the State of
Alaska
ARTICLE 22
ALTERNATE DISPUTE RESOLUTION
A. Client and Engineer understand and appreciate that their long term mutual interests will be
best served by affecting a rapid and fair resolution of any claims or disputes which may
arise out of this Agreement. Therefore, both Parties agree to use their best efforts to resolve
all such disputes as rapidly as possible on a fair and equitable basis. Toward this end both
Parties agree to develop and follow a process for presenting, rapidly assessing, and settling
claims on a fair and equitable basis.
B. If any dispute or claim arising under this Agreement cannot be resolved by the project
managers for the Parties within thirty (30) days after they identified the problem, the Parties
agree that either of them may refer the matter to a panel consisting of one (1) executive from
each party not directly involved in the claim or dispute for review and resolution. A copy of
the Agreement, agreed upon facts (and areas of disagreement), and concise summary of the
basis for each side's contentions will be provided to both executives who shall review the
same, confer, and attempt to reach a mutual resolution of the issue.
C. If the dispute cannot be resolved under the process set forth in Section B, the Parties may
elect to resolve the dispute through non-binding mediation. If mediation is to be utilized,
the Parties shall select a single unrelated but qualified Mediator who shall hold a hearing
(not to exceed half a day) during which each Party shall present its version of the facts
(supported, if desired, by sworn, written testimony, and other relevant documents), its
assessment of damages, and its argument. The Parties shall provide the Mediator with
copies of all documents provided to their senior executives under Section B at least ten (10)
days prior to the scheduled date of the mediation hearing. The Parties may also provide the
Mediator with copies of any laws or regulations that they feel are relevant to the dispute. A
copy of the Agreement and any disputed Purchase Orders will be provided to the Mediator.
Formal written arguments, legal memorandum, and live testimony are discouraged but may
be permitted at the discretion of the Mediator. Both Parties agree to make any involved
employees or documents available to the other Party for its review and use in preparing its
position under this clause without the need for subpoena or other court order.
D. Following the mediation, the Mediator will meet with both Parties and provide each of
them, on a confidential basis, with his/her views of the strengths and weaknesses of their
respective positions. The Parties will then reconvene and, with the assistance of the
Mediator, attempt to resolve the matter. If the Parties cannot achieve resolution on the day
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of the mediation hearing or within forty-eight (48) hours thereafter, the Mediator will,
within fifteen (15) additional days, issue a written, non-binding decision on the issue.
E. If the matter has not been resolved utilizing the processes set forth above and the Parties are
unwilling to accept the non-binding decision of the Mediator, either or both Parties may
elect to pursue resolution through litigation. In the event of any litigation between the
Parties, it is agreed and stipulated that the case shall be heard and decided by the court,
without a jury.
F. The costs of the Mediator shall be borne equally by the Parties. Each Party will bear its own
costs of mediation.
ARTICLE 23
NOTICES AND/OR COMMUNICATIONS
All notices and/or communications to be given under this Agreement shall be in writing and shall
be addressed as follows:
To Engineer
Original to: Cory Hinds, P.E.
Position: Project Manager
Address: CH2M HILL ENGINEERS, INC
949 E. 36th Avenue, Suite 500
Anchorage, AK 99508
Copy to:
Position:
Address:
To Client
Original to: David Conrad dconrad@kodiakak.us
Position: Interim Manager
Address: Kodiak Island Borough
710 Mill Bay Road
Kodiak, AK 99615
Copy to: Patricia Valerio, Secretary
Position: pvalerio@kodiakak.us
Address:
Jena Hassinger, Solid Waste Manager
jhassinger@kodiakak.us
Either party may, by written notice to the other, change the representative or the address to which
such notices, certificates, or communications are to be sent.
Any notice or communication required in writing hereunder shall be given by registered,
certified, or first class mail (postage required), TWX, telex, or telecopy addressed to the party at
its address set forth above. Communications by TWX, telex, or telecopy shall be confirmed by
depositing a copy on the same day with the U.S. Post Office for transmission by registered,
certified, or first class mail in an envelope properly addressed. The postmark date of notices sent
by mail (except for confirmatory notices) shall be the date of notice.
ARTICLE 24
MISCELLANEOUS
A. Waiver. Waiver by either party of any breach or failure to enforce any of the terms and
conditions of this Agreement at any time shall not in any way effect, limit, or waive such
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party's rights thereafter to enforce and compel strict compliance with all the terms and
conditions of this Agreement.
B. Severability. Any provision of this Agreement prohibited by law shall be ineffective to the
extent of such prohibition without invalidating the remaining provisions of this Agreement.
C. Rights and Remedies. The specific remedies set forth in this Agreement, including but not
limited to those remedies with respect to the quality of the Services performed by Engineer
hereunder, are the exclusive remedies of the Parties.
D. Transfer of Ownership. Client represents that either it is the sole owner of the facilities
which are the object of the Services or that it is authorized to bind and does bind all owners
of such facilities to the releases and limitations of liability set forth in this Agreement.
Client further agrees that any future recipient of any interest in the facilities and the Services
will be bound by such releases and limitations of liability such that the total aggregate
liability of Engineer to Client and such recipients shall not exceed the limits of liability set
forth in this Agreement.
E. Time of Accrual. For services performed by Engineer before substantial completion, all
causes of action against Engineer shall accrue and the statute of limitations shall commence
to run no later than the date of substantial completion of the Project. For services performed
by Engineer after the date of substantial completion but before final completion of the
Project, all causes of action against Engineer shall accrue and the statute of limitations shall
commence to run no later than the date of final completion. The Parties expressly agree that
the discovery rule for purposes of accrual shall not apply.
F. Publicity. Neither of the Parties shall make any press release, news disclosure or other
advertising related to the Project that includes the name of the other party without first
obtaining the written approval of the other party.
G. Entirety of Agreement. This Agreement constitutes the entire Agreement between the
parties with respect to the subject matter hereof and supersedes all prior negotiations and
discussions concerning the subject matter hereof.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement to be effective as
of the date first above written.
ENGINEER:
CH2M HILLYJXQJqEERS, INC.
By:
Title: Manager of Projects
File: APS —JEG (4-6-09)
Lo
Title: David Conrad,
Interim Borough Manager
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