HomeMy WebLinkAboutContract 1874
.AIA Document 8727™ -1988
Standard Form of Agreement Between Owner and Architect
for Special Services
AGREEMENT made as of the Fourteenth day of September in the year of Two Thousand and Five
BETWEEN the Owner:
(Name and address)
City of Columbia Heights
540 - 40th Avenue NE
Columbia Heights, MN 55421
and the Architect:
(Name and address)
LHB, Inc.
250 Third A venue North
Suite 450
Minneapolis, MN 55401
For the following Project:
(Include detailed description of Project, location, address and scope.)
LHB Project No.: 050392.10
Block 3900 TIF Inspection Services
The Owner and the Architect agree as set forth below.
METHODOLOGY
A. Survey the..proposed TIF district to determine if it meets the "Coverage Test":
I. To meet the coverage test, parcels consisting of 70 percent of the area of the
district must be "occupied" by buildings, streets, utilities or paved or gravel
parking lots.
2. A parc;el is not considered "occupied" unless at least 15% of its total area
contains improvements.
Task perfonned by: LHB with City Staff assistance
B. Make the following attempts to inspect the interior of each building in the
District:
1. Obtain property owner's consent for inspection by assisting the City in writing a
letter of request (mailed by the City) to building owners, and as needed:
a. Make at least three telephone requests during varying times of the day and
week, and if letter and telephone requests are not successful;
b. Make at least two attempts to personally visit with the owner at times the
owner is likely to be present.
c. Document all attempts to contact the property owners.
2. Document all property conditions relative to Minnesota Statues Section 469.174,
Subdivision 10.
Task completed by: LHB
ADDITIONS AND DELETIONS:
The author of this document has
added information needed for its
completion. The author may also
have revised the text of the
original AlA standard form. An
Additions and Deletions Report
that notes added information as
well as revisions to the standard
form text is available from the
author and should be reviewed.
A vertical line in the left margin of
this document indicates where
the author has added necessary
information and where the author
has added to or deleted from the
original AlA text.
This document has important
legal consequences.
Consultation with an attorney
is encouraged with respect to
its completion or modification.
C. Determine replacement cost for each building:
1. Replacement cost is the cost of constructing a new structure of the same square
footage and type on the site.
2. A base cost will be calculated by establishing the building class, type and
AlA Document 8727™ -1988. Copyright @ 1972, 1979 and 1988 by The American Institute of Architects. All rights reserved. WARNING: This A1A<lll
Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA<lll Document, or any 1
portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document
was produced by AlA software at 15:41 :06 on 09/14/2005 under Order No.1 000183215_1 which expires on 6/23/2006, and is not for resale.
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construction quality.
3. Identify amenities, which increase the value of the building over the standard construction quality level.
4. Review building permits for each parcel.
5. The base cost and cost of amenities will be totaled to determine the replacement cost for the property.
Task performed by: LHB with City Staff assista1lce
D. Determine the existing condition of each huilding:
1. "Structurally substandard shall mean containing defects in structural elements or a combination of
deficiencies in essential utilities and facilities, light and ventilation, fire protection including adequate
egress, layout and condition of interior partitions, or similar factors, which defects or deficiencies are of
sufficient total significance to justify substantial renovation or clearance."
Task completed by: LHB
E. Determine code deficiencies in each building:
1. Determine technical conditions, which are not in compliance with current Building Code applicable to new
buildings.
2. Determine costs to COlTect identified deficiencies.
3. Compare cost of deficiency corrections to replaGement value of the building.
4. A building is not structurally substandard if it is in compliance with Building Code applicable to new
buildings or could be modified to satisfy the Building Code at a cost of less than 15 percent of replacement
cost.
Task completed by: LHB
F. Prepare a final report outlining findings:
1. Prepare a tabulated spreadsheet of the entire proposed District property conditions.
2. Prepare a written narrative analysis of the redevelopment District describing why the property within the
District does, or does not meet the criteria as "structurally substandard" as established in Minnesota Statues
Section 469.174, Subdivision 10.
3. Deliver fmal reports to City Staff.
Task completed by: LHB
ASSUMPTIONS
Preliminary boundmies of the prospective district(s) may include up to three parcels with one new building (3919
Central Avenue) to be inspected, and two buildings previously inspected by LHB (3939 and 3901 Central Avenue).
The City of Columbia Heights will provide the following:
A list of building permits issued for the parcel in the last three years.
A letter to the property owner authorizing and explaining the inspections.
Other documents as may be required to assess the condition of the buildings and determine coverage tests,
including maps and GIS information with specific parcel data available from the Developer.
A parcel map of the area to be inspected.
A list of all parcels including owner, current known business or resident name and address.
AlA Document 8727™ -1988. Copyright @ 1972, 1979 and 1988 by The American Institute of Architects. All rights reserved. WARNING: This AlA'"
Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIAOl> Document, or any 2
portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document
was produced by AlA software at 15:41 :06 on 09/14/2005 under Order NO.1 000183215_1 which expires on 6/23/2006, and is not for resale.
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ARTICLE 1 ARCHITECT'S SERVICES
(Here list those services to be provided by the Architect under the Terms and Conditions of this Agreement. Note
under each service listed the method and means of compensation to be used, if applicable, as provided in Article 8.)
Service to be provided
As outlined in the attached proposal letter dated
September 12, 2005.
Method and means of compensation
ARTICLE 2 OWNER'S RESPONSIBILITIES
~ 2.1 The Owner shall provide full information regarding requirements for the Project. The Owner shall furnish
required information as expeditiously as necessary for the orderly progress of the Work, and the Architect shall be
entitled to rely on the accuracy and completeness thereof.
~ 2.2 The Owner shall designate a representative authorized to act on the Owner's behalf with respect to the Project.
The Owner or such authorized representative shall render decisions in a timely manner pertaining to documents
submitted by the Architect in order to avoid unreasonable delay in the orderly and sequential progress of the
Architect's services.
ARTICLE 3 USE OF ARCHITECT'S DOCUMENTS
~ 3.1 The documents prepared by the Architect for this Project are instruments of the Architect's service for use
solely with respect to this Project and, unless otherwise provided, the Architect shall be deemed the author of these
documents and shall retain all common law, statutory and other reserved rights, including the copyright. The Owner
shall be permitted to retain copies, including reproducible copies, of the Architect's documents for the Owner's
information, reference and use in connection with the Project. The Architect's documents shall not be used by the
Owner or others on other projects, for additions to this Project or for completion of this Project by others, unless the
Architect is adjudged to be in default under this Agreement, except by agreement in writing and with appropriate
compensation to the Architect.
~ 3.2 To the extent the Instruments of the Architect's Service are modified, supplemented or otherwise altered by the
Owner, sllbseqUeIitDeSigIiProfessional, or any other party, the Owner agrees to indemnify, defend and hold the
Architect harmless for any claims, demands, damages or causes of action arising out of such modification,
supplementation or alteration.
~ 3.3 If it is subsequent determined that a required item has been omitted from the Architect's original Instruments of
Service, the Owner shall be responsible for the associated cost. The Architect is not responsible for any cost
incurred by the Owner that provides an upgrade to, or enhances the value of, the project.
ARTICLE 4 ARBITRATION MEDIATION
~ 4.1 Claims, disputes or other. matters in question between the parties to this ,^.greemeRt arising out of or relating to
this .^.greemeRt or breach thereof shall be subject to and decided by arbitration in accordance y..ith the Construction
Industry .'\rbitration Rules of the .^.merican j\rbit:ratioH Association currently in effect unless the parties mutually
agree othef'.vise.
~ 4.2 .^. demand for arbitration shall be made '.vi thin a reasonable time after the claim, displ:lte or other matter in
question has arisen. In FlO event shall the demand for arbitration be made after the date when institution of legal or
equitable proceedings based on such claim, dispute or other matter in question 'sould be batTed by the applicable
statutes of limitations.
~ 4.3 No arbitration arising out of or relating to this .^.greement shall incll:lde, by consolidation, joinder or in any
other manner, an additiOl'lal person or entity not a party to this Agreement, except by written consent containing a
specific refereFlce to this f.greement signed by the Owner, j\rchitect atld any other person or eFltity sought to be
joined. Consent to arbitration involving an additioRal person or entity shall Bot constitute COllseRt to arbitration of
any claim, dispute or other matter iR questioll not described in the writtell COBseRt or with a person or eFltity not
named or described therein. The f-oregoing agreement to arbitrate and other agreements to at'bitrate with an
AlA Document 8727™ -1988. Copyright @ 1972, 1979 and 1988 by The American Institute of Architects. All rights reserved. WARNING: This AIA@
Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA@ Document, or any 3
portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law, This document
was produced by AlA software at 15:41 :06 on 09/14/2005 under Order No.1 000183215_1 which expires on 6/23/2006, and is not for resale.
User Notes: (3339987276)
additional persoB. or entity duly cORsented to by the parties to this .^.greemeffi shall be specifically eRforceable in
accordance "'lith applicable la',v in any court having jurisdiction thereof.
~ 4.4 The award rendered by the arbitrator or arbitrators shall be final, aRd judgment may be eRtered upon it in
accordance "'lith applicable Imv in iffiY court having jurisdiction thereof.
~ 4.5 Unless the parties mutually agree otherwise, the parties shall endeavor to settle disputes by mediation in
accordance with the Construction Industry Mediation Rules of the American Arbitration Association currently in
effect at the time of the dispute. A demand for mediation shall be filed, in writing, within a reasonable period of
time after a claim, dispute or other matter in question has arisen. In no event shall demand for mediation be made
after the date when the institution of legal or equitable proceedings, based upon such a claim, dispute or other matter
in question, would have been barred by an applicable statue of limitation.
ARTICLE 5 TERMINATION OR SUSPENSION
~ 5.1 This Agreement may be terminated by either party upon not less than seven days' written notice should the
other palty fail substantially to perform in accordance with the terms of this Agreement through no fault of the party
initiating the termination.
~ 5.2 If the Owner fails to make payment when due the Architect for services and expenses, the Architect may, upon
seven days' written notice to the Owner, suspend pelformance of services under this Agreement. Unless payment in
full is received by the Architect within seven days of the date of the notice, the suspension shall take effect without
further notice. In the event of a suspension of services, the Architect shall have no liability to the Owner for delay
or damage caused the Owner because of such suspension of services.
~ 5.3 In the event of termination not the fault of the Architect, the Architect shall be compensated for services
performed prior to termination, together with Reimbursable Expenses then due.
ARTICLE 6 MISCELLANEOUS PROVISIONS
~ 6.1 Unless otherwise provided, this Agreement shall be governed by the law of the principal place of business of
the Architect.
~6.2 Callses ofllctiOl1betweeri the parties to this Agreement pertaining to acts or failures to act shall be deemed to
have accrued and the applicable statute of limitations shall commence to run not later than the date payment is due
the Architect pursuant to Section 8.4.
~ 6.3 The Owner and Architect, respectively, bind themselves, their partners, successors, assigns and legal
representatives to the other party to this Agreement and to the partners, successors, assigns and legal representatives
of such other party with respect to all covenants of this Agreement. Neither Owner nor Architect shall assign this
Agreement without the written consent of the other.
~ 6.4 This Agreement represents the entire and integrated agreement between the Owner and Architect and
supersedes all prior negotiations, representations or agreements, either written or oral. This Agreement may be
amended only by written instrument signed by both Owner and Architect.
~ 6.5 Nothing contained in this Agreement shall create a contractual relationship with or a cause of action in favor of
a third party against either the Owner or Architect.
~ 6.6 Unless otherwise provided inthis Agreement, the Architect and Architect's consultants shall have no
responsibility for the discovery, presence, handling, removal or disposal of or exposure of persons to hazardous
materials in any form at the Project site, including but not litnited to asbestos, asbestos products, polychlorinated
biphenyl (PCB) or other toxic substances.
~ 6.7 The Architect and the Owner waive consequential damages for claims, disputes or other matters in question
al'ising out of or relating to this Agreement. This mutual waiver is applicable, without limitation, to all
consequential damages due to either palty's termination in accordance with Atticle 5.
AlA Document B727™ -1988. Copyright @1972, 1979 and 1988 byThe American Institute of Architects. All rights reserved. WARNING: This AIAOlJ
Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AlA'" Document, or any 4
portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document
was produced by AlA software at 15:41 :06 on 09/14/2005 under Order No.1 000183215_1 which expires on 6/23/2006, and is not for resale. .
User Notes: (3339987276)
~ 6.8 To the maximum extent permitted by law, the Owner agrees to limit the Architect's liability for .the Owner's
damages to the sum of Ten Thousand Dollars ($10,000) or the amount of the Compensation for Architect's Services
whichever amount is greater. This limitation shall apply regardless of the cause of action or legal theory pled or
asserted.
ARTICLE 7 PAYMENTS TO THE ARCHITECT
~ 7.1 DIRECT PERSONNEL EXPENSE
~ 7.1.1 Direct Personnel Expense is defined as the direct salaries of the Architect's personnel engaged on the Project
and the portion of the cost of their mandatory and customary contributions and benefits related thereto, such as
employment taxes and other statutory employee benefits, insurance, sick leave, holidays, vacations, pensions, and
similar contributions and benefits.
~ 7.2 REIMBURSABLE EXPENSES
~ 7.2.1 Reimbursable Expenses are in addition to the Architect's compensation and include expenses incurred by the
Architect and Architect's employees and consultants in the interest of the Project for:
.1 expenses of transportation and living expenses in connection with out-of-town travel authorized by
the Owner;
.2 long-distance communications;
.3 fees paid for securing approval of authorities having jurisdiction over the Project;
.4 reproductions;
.5 postage and handling of documents;
.6 expense of overtime work requiring higher than regular rates, if authorized by the Owner;
.7 renderings and models requested by the Owner;
.8 expense of additional coverage or limits, including professional liability insurance, requested by the
Owner in excess of that normally carried by the Architect and the Architect's consultants; and
(Paragraph deleted)
~ 7.3 PAYMENTS ON ACCOUNT OF THE ARCHITECT'S SERVICES
~ 7.3.1 Payments on account of the Architect's services and for Reimbursable Expenses shall be made monthly upon
presentation of the Architect's statement of services rendered or as otherwise provided in this Agreement.
~ 7.3.2 An initial payment as set forth in Section 8.1 is the minimum payment under this Agreement.
~ 7.4 ARCHITECT'S ACCOUNTING RECORDS
~ 7.4.1 Records of Reimbursable Expenses and expenses pertaining to services petformed on the basis of a multiple
of Direct Personnel Expense shall be available to the Owner or the Owner's authorized representative at mutually
convenient times.
ARTICLE 8 BASIS OF COMPENSATION
The Owner shall compensate the Architect as follows:
~ 8.1 AN INITIAL PAYMENT OF Zero Dollars and Zero Cents ($ 0.00 ) shall be made upon execution of this
Agreement and credited to the Owner's account at final payment.
(Paragraph deleted)
~ 8.2 COMPENSATION FOR THE ARCHITECT'S SERVICES, as described in Article 1, Architect's Services,
shall be computed as follows: (Insert basis of compensation, including stipulated sums multiples or percentages, and
identify the services to which particular methods of compensation apply, if necessary.)We will work on an hourly
basis with a not-to-exceed fee budget of $3,800 plus reimbursable expenses.
~ 8.3 FOR REIMBURSABLE EXPENSES, as described in Article 7, and any other items included in Article 9 as
Reimbursable Expenses, a multiple of One and one-tenth ( 1.10 ) times the expenses incun'ed by the Architect, the
Architect's employees and consultants in the interest of the Project.
AlA Document B727™ -1988. Copyright @ 1972,1979 and 1988 by The American Institute of Architects. All rights reserved. WARNING: This AIA(fJJ
Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIAOl> Document, or any 5
portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document
was produced by AlA software at 15:41 :06 on 09/14/2005 under Order No.1 000183215_1 which expires on 6/23/2006, and is not for resale.
User Notes: (3339987276)
98.4 Payments are due and payable Thirty ( 30 ) days from the date of the Architect's invoice. Amounts unpaid
Sixty ( 60 ) days after the invoice date shall bear interest at the rate entered below, or in the absence thereof, at the
legal rate prevailing from time to time at the principal place of business of the Architect.
(Insert rate of interest agreed upon.)
8.00% per annum
(Usury laws and requirements under the Federal Truth in Lending Act, similar state and local consumer credit laws
and other regulations at the Owner's and Architect's principal places of business, the location of the Project and
elsewhere may affect the validity of this provision. Specific legal advice should be obtained with respect to deletions
or modifications, and also regarding other requirements such as written disclosures or waivers.)
9 8.5 IF THE SCOPE of the Project or of the Architect's services is changed materially, the additional services shall
be compensated on an hourly basis.
ARTICLE 9 OTHER CONDITIONS
% [OtherConditionsOrServices]
99.1 LHB and the City, acting through the City's legal representative, will, to the fullest reasonable extent,
cooperate and coordinate effOlts in prepating necessary responses to any third party challenges to the inspections.
The City agrees to pay LHB its regular hourly rates for time spent as a result of a third party legal challenge.
This Agreement entered into as of the day and yeat' first written above.
OWNEL5 lie
(Signa;",,) #~9'
A~
'M..J
(Signature)
Don Murzyn Jr., Pres; dent
(Printed name and title)
9-21-2005
Date:
Michael A. Fischer, AlA
Vice President
(Printed name and title) ~ tOt;.
Date:
AlA Document 8727"'" - 1988. Copyright @ 1972, 1979 and 1988 by The American Institute of Architects. All rights reserved. WARNING: This AIAOlJ
Document is protected by U.S. Copyright Law and International Treaties. Unauthorized reproduction or distribution of this AIA@ Document, or any 6
portion of it, may result in severe civil and criminal penalties, and will be prosecuted to the maximum extent possible under the law. This document
was produced by AlA software at 15:41 :06 on 09/14/2005 under Order No.1 000183215_1 which expires on 6/23/2006, and is not for resale.
User Notes: (3339987276)
250 Third Avenue North, Suite 450
Minneapolis, MN 55401
612338-2029
FAX: 612 338-2088
www.1hbcoro.com
STANDARD HOURLY
RATE SCHEDULE
POSITION DESCRIPTION
Proj ect Principal. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..
Project/Discipline Manager.............................................
Sf. Architect: Landscape Architect/Engineer/Land Surveyor. . . . . .
Senior Certified Interior Designer... . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Architect: Landscape Architect/Engineer/Land Surveyor/Certified
Interior Designer. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ... . . . . . . . ..
Designer: Architectural/Interior Design/Landscape/StructuraL....
Technicians: Architectural/Civil/StructuraL...... ............. .......
Interns: Architectural/Interior Design.. ... .. ........................ ...
Administrative......................... ....................................
AVG MAX
RATE RATE
$142 $175
$116 $136
$107 $128
$92 $115
$89 $107
$75
$90
$70
$81
$50
$60
$62
$69
Rates are subject to adjustment for periodic compensation review practices. These rates are
current as ofthe date shown below. The actual rates will be dependent upon the individuals
assigned.
Standard Hourly Rate Schedule
Page 1 of 1
Date Jssued 9/1412005