HomeMy WebLinkAboutItem 06.v
Date: Item No.
Professional Services Agreement for Strategic Plan for Economic Development
Proposed Action
Staff recommends adoption of the following motion: Move to approve a Professional Services
Agreement with Craig Rapp, LLC to assist in the preparation of the 2020-2022 Strategic Plan for
Economic Development.
Overview
Since the mid-1990s, the City of Lakeville has prepared Strategic Plans for Economic Development
every 2-3 years. The current plan covers the three-year period from 2017-2019. The Strategic Plan
establishes the top 3-4 Economic Development Strategic Priorities for the next three years and
provides the basis for staff to prepare annual work programs.
Staff requested proposals from three firms that had previous strategic planning experience. Upon
review of the proposals, staff determined that the firm of Craig Rapp, LLC was the most qualified.
Mr. Rapp assisted the City with the original Envision Lakeville project over five years ago and the
Update that was recently completed. Mr. Rapp also assisted the City in the preparation of the
2017-2019 and 2014-2016 Strategic Plans for Economic Development.
Preparation of the 2020-2022 Strategic Plan for Economic Development is proposed to be funded
with a $7,500 allocation of Community Development Block Grant (CDBG) funds. Mr. Rapp
proposes a fee including expenses of $7,400. Staff recommends approval of the attached
Professional Services Agreement with Craig Rapp, LLC.
Primary Issues to Consider
• Is the recommended firm the most qualified firm to complete this strategic planning
project? Based on the proposals that were received and past experience, Craig Rapp LLC
is the most qualified firm.
Supporting Information
• Signed Professional Services Agreement with Craig Rapp LLC.
Financial Impact: $7,400 Budgeted: Y☒ N☐ Source: Community Development Block
Grant Funds
Related Documents:
Envision Lakeville Community Values: Diversified Economic Development
Report Completed by: David L. Olson, Community & Economic Development Director
October 7, 2019
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PROFESSIONAL SERVICES AGREEMENT
AGREEMENT made this _______ day of ___________________, 2019, by and between the CITY
OF LAKEVILLE, a Minnesota municipal corporation ("City") and CRAIG RAPP, LLC d/b/a RAPP
CONSULTING GROUP ("Consultant").
IN CONSIDERATION OF THEIR MUTUAL COVENANTS, THE PARTIES AGREE AS
FOLLOWS:
1. CONTRACT DOCUMENTS. The Contract consists of the following documents. In the
event of conflict among the documents, the conflict shall be resolved by the order in which they are listed, with
the document listed first having the first priority and the document listed last having the last priority:
A. This Professional Services Agreement;
B. City of Lakeville Request for Proposals: 2020-2022 Economic Development Strategic
Plan for the City of Lakeville; and
C. Consultant’s Proposal: Strategic Planning Services City of Lakeville Economic
Development Commission (“Proposal”).
2. SCOPE OF SERVICES. The City retains Consultant to provide the professional services
described in the Proposal. Consultant agrees to complete the services under this Agreement substantially within
the time frames identified in the Proposal with a final completion date of January 31, 2020.
3. COMPENSATION. Consultant shall be paid Seventy-four Hundred and no/100 Dollars
($7,400.00) by the City, which fee is inclusive of reimbursables, expenses, taxes and other charges. The fee
shall not be adjusted if the estimated hours to perform a task, the number of estimated required meetings or
any other estimate or assumption are exceeded. Consultant shall be paid upon full completion of the work
required herein. The City will normally pay an invoice within 35 days of receipt.
4. CHANGE ORDERS. All change orders, regardless of amount, must be approved in
advance and in writing by the City. No payment will be due or made for work done in advance of such
approval.
5. DOCUMENTS. All reports, plans, models, software, diagrams, analyses, and information
generated in connection with performance of this Agreement shall be the property of the City. The City
may use the information for its purposes. The City shall be the copyright owner. The vesting of the City’s
ownership of the copyright in materials created by the Consultant shall be contingent upon the City’s
fulfillment of its payment obligations hereunder. The Consultant shall be allowed to use a description of
the services provided hereunder, including the name of the City, and photographs or renderings of any
projects which develop from the planning or other services provided by the Consultant, in the normal course
of its marketing activities.
6. COMPLIANCE WITH LAWS AND REGULATIONS. In providing services hereunder,
Consultant shall abide by all statutes, ordinances, rules and regulations pertaining to the provisions of services
to be provided.
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7. STANDARD OF CARE. Consultant shall exercise the same degrees of care, skill, and
diligence in the performance of the services as is ordinarily possessed and exercised by a professional
consultant under similar circumstances. No other warranty, expressed or implied, is included in this
Agreement. City shall not be responsible for discovering deficiencies in the accuracy of Consultant’s
services.
8. COMPLIANCE WITH COMMUNITY DEVELOPMENT BLOCK GRANT FUNDING
REQUIREMENTS. In providing services hereunder, Consultant shall comply with the Community
Development Block Grant funding requirements of the Consultant/Contractor as set forth in Exhibit A attached
hereto, which are a condition of the funding for the services to be provided by Consultant.
9. INDEMNIFICATION. Consultant shall indemnify and hold harmless the City, its officers,
agents, and employees, of and from any and all claims, demands, actions, causes of action, including costs and
attorney's fees, arising out of or by reason of the execution or performance of the work or services provided for
herein and further agrees to defend at its sole cost and expense any action or proceeding commenced for the
purpose of asserting any claim of whatsoever character arising hereunder.
10. INSURANCE. Consultant shall secure and maintain such insurance as will protect Consultant
from claims under the Worker's Compensation Acts, automobile liability, and from claims for bodily injury,
death, or property damage which may arise from the performance of services under this Agreement. Such
insurance shall be written for amounts not less than:
Commercial General Liability $1,000,000 each occurrence/aggregate
Automobile Liability $1,000,000 combined single limit
Excess/Umbrella Liability $1,000,000 each occurrence/aggregate*
The required minimum of umbrella coverage shall be $2,000,000, or the policy limits, whichever is greater.
The City shall be named as an additional insured on the general liability and umbrella policies on a primary
and noncontributory basis.
The Consultant shall secure and maintain a professional liability insurance policy. Said policy shall
insure payment of damages for legal liability arising out of the performance of professional services for the
City, in the insured's capacity as Consultant, if such legal liability is caused by a negligent act, error or omission
of the insured or any person or organization for which the insured is legally liable. The policy shall provide
minimum limits of One Million Dollars ($1,000,000.00) per occurrence and Three Million Dollars
($3,000,000) aggregate with a deductible maximum of One Hundred Thousand Dollars ($100,000.00).
Before commencing work, the Consultant shall provide the City a certificate of insurance evidencing
the required insurance coverage in a form acceptable to City.
11. INDEPENDENT CONTRACTOR. The City hereby retains Consultant as an independent
contractor upon the terms and conditions set forth in this Agreement. Consultant is not an employee of the
City and is free to contract with other entities as provided herein. Consultant shall be responsible for selecting
the means and methods of performing the work. Consultant shall furnish any and all supplies, equipment, and
incidentals necessary for Consultant's performance under this Agreement. City and Consultant agree that
Consultant shall not at any time or in any manner represent that Consultant or any of Consultant's agents or
employees are in any manner agents or employees of the City. Consultant shall be exclusively responsible
under this Agreement for Consultant's own FICA payments, workers compensation payments, unemployment
compensation payments, withholding amounts, and/or self-employment taxes if any such payments, amounts,
or taxes are required to be paid by law or regulation.
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12. SUBCONTRACTORS. With the exception of the individuals identified in the Proposal,
Consultant shall not enter into subcontracts for services provided under this Agreement without the express
written consent of the City. Consultant shall comply with Minnesota Statutes §471.425. Consultant must
pay subcontractors for all undisputed services provided by subcontractors within ten (10) days of
Consultant’s receipt of payment from City. Consultant must pay interest of one and five-tenths (1.5%)
percent per month or any part of a month to subcontractors on any undisputed amount not paid on time to
subcontractors. The minimum monthly interest penalty payment for an unpaid balance of One Hundred
Dollars ($100.00) or more is Ten Dollars ($10.00).
13. ASSIGNMENT. Neither party shall assign this Agreement, nor any interest arising herein,
without the written consent of the other party.
14. WAIVER. Any waiver by either party of a breach of any provisions of this Agreement shall
not affect, in any respect, the validity of the remainder of this Agreement.
15. ENTIRE AGREEMENT. The entire agreement of the parties is contained herein. This
Agreement supersedes all oral agreements and negotiations between the parties relating to the subject matter
hereof as well as any previous agreements presently in effect between the parties relating to the subject matter
hereof. Any alterations, amendments, deletions, or waivers of the provisions of this Agreement shall be valid
only when expressed in writing and duly signed by the parties, unless otherwise provided herein.
16. CONTROLLING LAW/VENUE. This Agreement shall be governed by and construed in
accordance with the laws of the State of Minnesota. In the event of litigation, the exclusive venue shall be in
the District Court of the State of Minnesota for Dakota County.
17. COPYRIGHT. Consultant shall defend actions or claims charging infringement of any
copyright or patent by reason of the use or adoption of any designs, drawings or specifications supplied by
it, and it shall hold harmless the City from loss or damage resulting there from.
18. PATENTED DEVICES, MATERIALS AND PROCESES. If the contract requires, or
Consultant desires, the use of any design, devise, material or process covered by letters, patent or copyright,
trademark or trade name, Consultant shall provide for such use by suitable legal agreement with the patentee
or owner and a copy of said agreement shall be filed with the City. If no such agreement is made or filed
as noted, Consultant shall indemnify and hold harmless the City from any and all claims for infringement
by reason of the use of any such patented designed, device, material or process, or any trademark or trade
name or copyright in connection with the services agreed to be performed under the contract, and shall
indemnify and defend the City for any costs, liability, expenses and attorney's fees that result from any such
infringement.
19. RECORDS. Consultant shall maintain complete and accurate records of time and expense
involved in the performance of services.
20. AUDIT DISCLOSURE AND DATA PRACTICES. Any reports, information, data, etc.
given to, or prepared or assembled by the Consultant under this Agreement which the City requests to be kept
confidential, shall not be made available to any individual or organization without the City’s prior written
approval. The books, records, documents and accounting procedures and practices of the Consultant or other
parties relevant to this Agreement are subject to examination by the City and either the Legislative Auditor or
the State Auditor for a period of six (6) years after the effective date of this Agreement. This Agreement is
subject to the Minnesota Government Data Practice Act, Minnesota Statutes Chapter 13 (Data Practices Act).
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All government data, as defined in the Data Practices Act Section 13.02, Subd. 7, which is created, collected,
received, stored, used, maintained, or disseminated by Consultant in performing any of the functions of the
City during performance of this Agreement is subject to the requirements of the Data Practice Act and
Consultant shall comply with those requirements as if it were a government entity. All subcontracts entered
into by Consultant in relation to this Agreement shall contain similar Data Practices Act compliance language.
21. NON-DISCRIMINATION. The Consultant agrees during the life of this Agreement not to
discriminate against any employee, application for employment, or other individual because of race, color, sex,
age, creed, national origin, sexual preference, or any other basis prohibited by federal, state, or local law. The
Consultant will include a similar provision in all subcontracts entered into for performance of this Agreement.
22. TERMINATION OF THE AGREEMENT. The City may terminate this Agreement or
any part thereof at any time, upon written notice to Consultant, effective upon delivery including delivery
by facsimile or email. In such event, Consultant will be entitled to compensation for work performed up to
the date of termination based upon a pro rata basis.
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Dated: __________________, 2019. CITY OF LAKEVILLE
BY: _______________________________________
Douglas P. Anderson, Mayor
AND
Charlene Friedges, City Clerk
Dated: September 26, 2019. CRAIG RAPP, LLC D/B/A RAPP
CONSULTING GROUP
BY:
Craig R. Rapp, President
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EXHIBIT A
CBDG FUNDING REQUIREMENTS
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STANDARD ASSURANCES 1. NON-DISCRIMINATION. During the performance of this Contract, the Consultant shall not unlawfully discriminate against any employee or applicant for employment because of race, color, creed, religion, sex, national origin, disability, sexual orientation, age, marital status or public assistance status. The Consultant will take affirmative action to ensure that applicants are employed and that employees are treated during employment without unlawful discrimination because of their race, color, creed, religion, sex, national origin, disability, sexual orientation, age, marital status or public assistance status. Such action shall include, but not be limited to the following: employment, upgrading, demotion, or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The Consultant agrees to post in conspicuous places, available to employees and applicants for employment, notices which set forth the provisions of this nondiscrimination clause. The Consultant will, in all solicitations or advertisements for employees placed by or on behalf of Consultant, state that all qualified applicants will receive consideration for employment without regard to race, creed, color, religion, sex, national origin, disability, sexual orientation, age, marital status, or public assistance status. No funds received under this Contract shall be used to provide religious or sectarian training or services. The Consultant shall comply with any applicable federal or state law regarding non-discrimination. The following list includes, but is not meant to limit, laws which may be applicable: A. The Equal Employment Opportunity Act of 1972, as amended, 42 U.S.C. § 2000e et seq. which prohibits discrimination in employment because of race, color, religion, sex or national origin. B. Executive Order 11246, as amended, which is incorporated herein by reference, and prohibits discrimination by U.S. Government Consultants and subcontractors because of race, color, religion, sex or national origin. C. The Rehabilitation Act of 1973, as amended, 29 U.S.C. § 701 et seq. and 45 C.F.R. 84.3 (J) and (K) implementing Sec. 504 of the Act which prohibits discrimination against qualified handicapped persons in the access to or participation in federally-funded services or employment. D. The Age Discrimination in Employment Act of 1967, 29 U.S.C. § 621 et seq. as amended, and Minn. Stat. § 181.81, which generally prohibit discrimination because of age. E. The Equal Pay Act of 1963, as amended, § 29 U.S.C. § 206, which provides that an employer may not discriminate on the basis of sex by paying employees of different sexes differently for the same work. F. Minn. Stat. Ch. 363, as amended, which generally prohibits discrimination because of race, color, creed, religion, national origin, sex, marital status, status with regard to public assistance, disability, sexual orientation or age. G. Minn. Stat. § 181.59 which prohibits discrimination against any person by reason of race, creed, or color in any state or political subdivision contract for materials, supplies or construction. Violation of this section is a misdemeanor and any second or subsequent violation of these terms may be cause for forfeiture of all sums due under the Contract. H. Americans with Disabilities Act of 1990, 42 U.S.C. §§ 12101 through 12213, 47 U.S.C. §§ 225, 611, with regulations at 29 C.F.R. § 1630, which prohibits discrimination against qualified individuals on the basis of a disability in term, condition or privilege of employment. 2. DATA PRIVACY. For purposes of this Contract all data created, collected, received,
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stored, used, maintained, or disseminated by Consultant in the performance of this Contract is subject to the requirements of the Minnesota Government Data Practices Act, Minn. Stat. Chapter 13 and the Minnesota Rules implementing the Act now in force or hereafter adopted as well as the Federal laws on data privacy, and Consultant must comply with those requirements as if it were a governmental entity. The remedies in section 13.08 apply to the Consultant. Consultant does not have a duty to provide access to public data to the public if the public data are available from the governmental agency (CDA), except as required by the terms of this Contract. All subcontracts shall contain the same or similar data practices compliance requirements. 3. RECORDS DISCLOSURE/RETENTION. Consultant's bonds, records, documents, papers, accounting procedures and practices, and other evidences relevant to this Contract are subject to the examination, duplication, transcription and audit by the CDA and either the Legislative or State Auditor, pursuant to Minn. Stat. § 16C.05, subd. 5. Such evidences are also subject to review by the Comptroller General of the United States, or a duly authorized representative, if federal funds are used for any work under this Contract. The Consultant agrees to maintain such evidences for a period of six (6) years from the date services or payment were last provided or made or longer if any audit in progress requires a longer retention period. 4. WORKER HEALTH, SAFETY AND TRAINING. Consultant shall be solely responsible for the health and safety of its employees in connection with the work performed under this Contract. Consultant shall make arrangements to ensure the health and safety of all subcontractors and other persons who may perform work in connection with this Contract. Consultant shall ensure all personnel of Consultant and subcontractors are properly trained and supervised and, when applicable, duly licensed or certified appropriate to the tasks engaged in under this Contract. Each Consultant shall comply with federal, state and local occupational safety and health standards, regulations and rules promulgated pursuant to the Occupational Health and Safety Act which are applicable to the work to be performed by Consultant.
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PROVISIONS FOR FEDERALLY FUNDED CONTRACTS
I. SPECIAL EQUAL OPPORTUNITY PROVISIONS
Activities and Contracts Not Subject to Executive Order 11246, as Amended
II. (Applicable to Federally assisted construction contracts and related subcontracts of
$10,000 and under.)
During the performance of this contract, the contractor agrees as follows:
(1) The Contractor shall not discriminate against any employee or applicant for
employment because of race, color, religion, sex, or national origin. The
Contractor shall take affirmative action to ensure that applicants for
employment are employed, and that employees are treated during employment,
without regard to their race, color, religion, sex, or national origin. Such action
shall include, but not be limited to, the following: employment, upgrading,
demotion, or transfer; recruitment or recruitment advertising; layoff or
termination; rates of pay or other forms of compensation; and selection for
training, including apprenticeship.
(2) The Contractor shall post in conspicuous places, available to employees and
applicants for employment, notices setting forth the provisions of this non-
discrimination clause. The Contractor shall state that all qualified applicants
will receive consideration for employment without regard to race, color,
religion, sex, or national origin.
(3) Contractors shall incorporate the foregoing requirements in all subcontracts.
Executive Order 11245
(Applicable to Federally assisted contracts and related subcontracts of $10,000 and
over.)
1. Section 202 Equal Opportunity Clause
During the performance of this contract, the contractor agrees as follows:
(A) The contractor will not discriminate against any employee or applicant for
employment because of race, color, religion, sex, or national origin. The
contractor will take affirmative action to ensure that applicants are employed,
and that employees are treated during employment, without regard to their race,
color, religion, sex, or national origin. Such action shall include, but not be
limited to the following: employment, upgrading, demotion, or transfer;
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recruitment, or recruitment advertising; layoff or termination, rates of pay or
other forms of compensation; and selection for training, including
apprenticeship. The contractor agrees to post in conspicuous places, available
to employees and applicants for employment, notices to be provided setting
forth the provisions of this non-discrimination clause.
(B) The contractor will, in all solicitations or advertisements for employees placed
by or on behalf of the contractor, state that all qualified applicants will receive
consideration without regard to race, color, religion, sex, or national origin.
(C) The contractor will send to each labor union or representative of workers with
which he has a collective bargaining agreement or other contract or
understanding, a notice advising the said labor union or workers’
representatives of the contractor’s commitment under this section, and shall
post copies of the notice in conspicuous places available to employees and
applicants for employment.
(D) The contractor will comply with all provisions of Executive Order 11246 of
September 24, 1965, and of the rules, regulations, and relevant orders of the
Secretary of Labor.
(E) The contractor will furnish all information and reports required by Executive
Order 11246 of September 24, 1965, and by rules, regulations, and orders of
the Secretary of Labor, or pursuant thereto, and will permit access to his books,
records, and accounts by the Department and the Secretary of Labor for
purposes of investigation to ascertain compliance with such rules, regulations,
and others.
(F) In the event of the contractor’s non-compliance with the non-discrimination
clauses of this contract or with any of the said rules, regulations, or orders, this
contract may be cancelled, terminated, or suspended in whole or in part and the
contractor may be declared ineligible in part and the contractor may be declared
ineligible for further Government contracts in accordance with procedures
authorized in Executive Order 11246 of September 24, 1965, or by rule,
regulation, or order of the Secretary of Labor, or as otherwise provided by law.
(G) The contractor will include the provisions of the sentence immediately
preceding paragraph (A) and the provisions of paragraphs (A) through (G) in
every subcontract or purchase order unless exempted by rules, regulations, or
orders of the Secretary of Labor issued pursuant to section 204 of Executive
Order 11246 of September 24, 1965, so that such provisions will be binding
upon each subcontractor or vendor. The contractor will take such action with
respect to any subcontract or purchase order as the Department may direct as a
means of enforcing such provisions, including sanctions for non-compliance.
Provided, however, that in the event a contractor becomes involved in, or is
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threatened with, litigation with a subcontractor or vendor as a result of such
direction by the Department, the contractor may request the United States to
enter into such litigation to protect the interest of the United States.
2. Notice of Requirement for Affirmative Action to Ensure Equal Employment
Opportunity (Executive Order 11246).
(A) The Offer’s or Bidder’s attention is called to the “Equal Opportunity Clause”
and the “Standard Federal Equal Employment Opportunity Construction
Contract Specifications” set forth herein.
(B) The goals and timetables for minority and female participation, expressed in
percentage terms for the Contractor’s aggregate workforce in each trade on all
construction work in the covered area, are as follows:
Goals for Women / Minority Participation 5% Overall
Timetables: N/A
______________________________________________________________________________
____________
These goals are applicable to all the Contractor’s construction work (whether
or not it is Federal or federally assisted) performed in the covered area.
The Contractor’s compliance with the Executive Order and the regulations in
41 CFR Part 60-4 shall be based on its implementation of the Equal Opportunity
Clause, specific affirmative action obligations required by the specifications set
forth in 41- CFR 60-4.3 (a), and its efforts to meet the goals established for the
geographical area where the contract resulting from this solicitation is to be
performed. The hours of minority and female employment and training must
be substantially uniform throughout the length of the contract, and in each trade,
and the contractor shall make a good faith effort to employ minorities and
women evenly on each of its projects. The transfer of minority or female
employees or trainees from Contractor to Contractor or from project to project
for the sole purpose of meeting the Contractor’s goals shall be a violation of the
contract, the Executive Order and the regulations in 41 CFR Part 60-4.
Compliance with the goals will be measured against the total work hours
performed.
(C) The Contractor shall provide written notification to the Director of the Office
of Federal Contract Compliance Programs within 10 working days of the award
of any construction subcontract in excess of $ 10,000 at any tier for construction
work under the contract resulting from this solicitation. The notification shall
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list the name, address and telephone number of the subcontractor; employer
identification number; estimated dollar amount of the identification number;
estimated dollar amount of the subcontract; estimated starting and completion
dates of the subcontract; and the geographical area in which the contract is to
be performed.
(D) As used in this Notice, and in the contract resulting from this solicitation, the
“Covered Area” is Dakota County, Minnesota.
3. Standard Federal Equal Employment Opportunity Construction Contract
Specifications (Executive Order 11246)
(A) As used in these specifications:
(1) “Covered area” means the geographical area described in the solicitation
from which this contract resulted;
(2) “Director” means Director, Office of Federal Contract Compliance
Programs, United States Department of Labor, or any person to whom the
Director delegates authority;
(3) “Employer identification number” means the Federal Social Security
number used on the Employer’s Quarterly Federal Tax Return, U.S.
Treasury Department Form 941.
(4) “Minority” includes:
(a) Black (all persons having origins in any of the Black African racial
groups not of Hispanic origin);
(b) Hispanic (all persons of Mexican, Puerto Rican, Cuban, Central or
South American or other Spanish Culture or origin, regardless of race);
(c) Asian and Pacific Islander (all persons having origins in any of the
original peoples of the Far East, Southeast Asia, the Indian
Subcontinent, or the Pacific Islands): and
(d) American Indian or Alaskan Native (all persons having origins in any
of the original peoples of North American and maintaining identifiable
tribal affiliations through membership and participation or community
identification).
(B) Whenever the Contractor, or any subcontractor at any tier, subcontracts a
portion of the work involving any construction trade, it shall physically include
in each subcontract in excess of $10,000 the provisions of these specifications
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and the Notice which contains the applicable goals for minority and female
participation and which is set forth in the solicitations from which this contract
resulted.
(C) If the Contractor is participating (pursuant to 41 CFR 60-4.5) in a Hometown
Plan approved by the U.S. Department of Labor in the covered area either
individually or through an association, its affirmative action obligations on all
work in the Plan area (including goals and timetables) shall be in accordance
with that for those trades which have unions participating in the Plan.
Contractors must be able to demonstrate their participation in and compliance
with the provisions of any such Hometown Plan. Each Contractor or
subcontractor participating in an approved Plan is individually required to
comply with its obligations under the EEO clause, and to make good faith effort
to achieve each goal under the Plan in each trade in which it has employees.
The overall good faith performance by other Contractors or Subcontractors
toward a goal in an approved Plan does not excuse any covered Contractor’s or
Subcontractor’s failure to take good faith efforts to achieve the Plan goals and
timetables.
(D) The Contractor shall implement the specific affirmative action standards
provided in paragraphs (G)(1) through (16) of these specifications. The goals
set forth in the solicitation from which this contract resulted are expressed as
percentages of the total hours of employment and training of minority and
female employees the Contractor should reasonably be able to achieve in each
construction trade in which it has employees in the covered area. The
Contractor is expected to make substantially uniform progress toward its goals
in each craft during the period specified.
(E) Neither the provisions of any collective bargaining agreement, nor the failure
by a union with whom the Contractor has a collective bargaining agreement, to
refer either minorities or women shall excuse the Contractor’s obligations under
these specifications, Executive Order 11246, or the regulations promulgated
pursuant thereto.
(F) In order for the non-working training hours of apprentices and trainees to be
counted in meeting the goals, such apprentices and trainees must be counted in
meeting the goals, such apprentices and trainees must be employed by the
Contractor during the training period, and the Contractor must have made a
commitment to employ the apprentices and trainees at the completion of their
training, subject to the availability of employment opportunities. Trainees must
be trained pursuant to training programs approved by the U.S. Department of
Labor.
(G) The Contractor shall take specific affirmative actions to ensure equal
employment opportunity. The evaluation of the Contractor’s compliance with
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these specifications shall be based upon its efforts to achieve maximum results
from its actions. The Contractor shall document these efforts fully, and shall
implement affirmative action steps at least as extensive as the following;
(1) Ensure and maintain a working environment free of harassment,
intimidation, and coercion at all sites, and in all facilities at which the
Contractor’s employees are assigned to work. The Contractor shall
specifically ensure that all foremen, superintendents, and other on-site
supervisory personnel are aware of and carry out the Contractor’s
obligation to maintain such a working environment, with specific
attention to minority or female individuals working at such sites or in such
facilities.
(2) Establish and maintain a current list of minority and female recruitment
sources, provide written notification to minority and female recruitment
sources and to community organizations when the Contractor or its unions
have employment opportunities available, and maintain a record of the
organizations’ responses.
(3) Maintain a current file of the names, addresses and telephone numbers of
each minority and female off-the-street applicant and minority or female
referral from a union, a recruitment source or community organization and
of what action was taken with respect to each such individual. If such
individual was sent to the union hiring hall for referral and was not
referred back to the Contractor by the union or, if referred, not employed
by the Contractor, this shall be documented in the file with the reason
therefor, along with whatever additional actions the Contractor may have
taken.
(4) Provide immediate notification to the Director when the union or unions
with which the Contractor has a collective bargaining agreement has not
referred to the Contractor a minority person or woman sent by the
Contractor, or when the Contractor has other information that the union
referral process has impeded the Contractor’s efforts to meet its
obligations.
(5) Develop on-the-job training opportunities and/or participate in training
programs for the area which expressly include minorities and women,
including upgrading programs and apprenticeship needs, especially those
programs funded or approved by the Department of Labor. The
Contractor shall provide notice of these programs to the sources compiled
under (G)(2) above.
(6) Disseminate the Contractor’s EEO policy by providing notice of the
policy to unions and training programs and requesting their cooperation
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in assisting the Contractor in meeting its EEO obligations; by including it
in any policy manual and collective bargaining agreement; by publicizing
it in the company newspaper, annual report, etc.; by specific review of the
policy with all management personnel and with all minority and female
employees at least once a year; and by posting the company EEO policy
on bulletin boards accessible to all employees at each location where
construction work is performed.
(7) Review, at least annually, the company’s EEO policy and affirmative
action obligations under these specifications with all employees having
any responsibility for hiring, assignment, layoff, termination or other
employment decisions including specific review of these items with onsite
supervisory personnel such as Superintendents, General Foremen, etc.,
prior to the initiation of construction work at any job site. A written record
shall be made and maintained identifying the time and place of these
meetings, persons attending, subject matter discussed, and disposition of
the subject matter.
(8) Disseminate the contractor’s EEO policy externally be including it any
advertising in the news media, specifically including minority and female
news media, and providing written notification to and discussing the
Contractor’s EEO policy with other Contractors and Subcontractors with
whom the Contractor does or anticipates doing business.
(9) Direct its recruitment efforts, both oral and written, to minority, female
and community organizations, to schools with minority and female
students and to minority and female recruitment and training
organizations serving the Contractor’s recruitment area and employment
needs. Not later than one month prior to the date for the acceptance of
applications for apprenticeship or other training by any recruitment
source, the Contractor shall send written notification to organizations such
as the above, describing the openings, screening procedures, and tests to
be used in the selection process.
(10) Encourage present minority and female employees to recruit other
minority persons and women and, where reasonable, provide after school,
summer and vacation employment to minority and female youths both on
the site and in other areas of a Contractor’s work force.
(11) Validate all tests and other selection requirements where there is an
obligation to do so under 41 CFR part 60-3.
(12) Conduct, at least annually, an inventory and evaluation at least of all
minority and female personnel for promotional opportunities and
encourage these employees to seek or to prepare for, through appropriate
204964v2 16
training, etc., such opportunities.
(13) Ensure that seniority practices, job classifications, work assignments and
other personnel practices, do not have a discriminatory effect by
continually monitoring all personnel and employment related activities to
ensure that the EEO policy and the Contractor’s obligations under these
specifications are being carried out.
(14) Ensure that all facilities and company activities are non-segregated except
that separate or single-user toilet and necessary changing facilities shall
be provided to assure privacy between the sexes.
(15) Document and maintain a record of all solicitations of offers for
subcontracts from minority and female construction contractors and
suppliers, including circulation of solicitations to minority and female
contractor associations and other business associations.
(16) Conduct a review, at least annually, of all supervisors’ adherence to and
performance under the Contractor’s EEO policies and affirmative action
obligations.
(H) Contractors are encouraged to participate in voluntary associations which assist
in fulfilling one or more of their affirmative action obligations [(G)(1) through
(16)]. The efforts of a contractor association, joint contractor-union, contractor-
community, or other similar groups of which the contractor is a member and
participant, may be asserted as fulfilling any one or more of its obligations as
enumerated above provided that the Contractor actively participates in the
group, makes every effort to assure that the group has a positive impact on the
employment of minorities and women in the industry, ensures that the concrete
benefits of the program are reflected in the Contractor’s minority and female
workforce participation, makes a good faith effort to meet its individual goals
and timetables, and can provide access to documentation which demonstrates
the effectiveness of actions taken on behalf of the Contractor.
(I) A single goal for minorities and a separate single goal for women have been
established. The Contractor, however, is required to provide equal employment
opportunity and to take affirmative action for all minority groups, both male
and female, and all women, both minority and non-minority. Consequently, the
Contractor may be in violation of the Executive Order if a particular group is
employed in a substantially disparate manner (for example, even though the
Contractor has achieved its goals for women generally, the Contractor may be
in violation of the Executive Order if a specific minority group of women is
underutilized).
204964v2 17
(J) The Contractor shall not use the goals and timetables or affirmative action
standards to discriminate against any person because of race, color, religion,
sex, or national origin.
(K) The Contractor shall not enter into any subcontract with any person or firm
debarred from Government contracts pursuant to Executive Order 11246.
(L) The Contractor shall carry out such sanctions and penalties for violation of these
specifications and of the Equal Opportunity Clause, including suspension,
termination and cancellation of existing subcontracts as may be imposed or
ordered pursuant to Executive Order 11246, as amended, and its implementing
regulations, by the Office of Federal Contract Compliance Programs. Any
Contractor who fails to carry out such sanctions and penalties shall be in
violation of these specifications and Executive Order 11246, as amended.
(M) The Contractor, in fulfilling its obligations under these specifications, shall
implement specific affirmative action steps, at least as extensive as those
standards prescribed in paragraph (G) of these specifications, so as to achieve
maximum results from its efforts to ensure equal employment opportunity. If
the Contractor fails to comply with the requirements of the Executive Order,
the implementing regulations, or these specifications, the Director shall proceed
in accordance with 41 CFR 60-4.8.
(N) The Contractor shall designate a responsible official to monitor all employment
related activity to ensure that the company EEO policy is being carried out, to
submit reports relating to the provisions hereof as may be required by the
Government and to keep records. Records shall at least include for each
employee the name, address, telephone numbers, construction trade, union
affiliation if any, employee identification number assigned, social security
number, race, sex, status (e.g., mechanic, apprentice trainee, helper, or laborer),
dates of changes in status, hours worked per week in the indicated trade, rate of
pay, and locations at which the work was performed. Records shall be
maintained in an easily understandable and retrievable form; however, to the
degree that existing records satisfy this requirement, contractors shall not be
required to maintain separate records.
(O) Nothing herein provided shall be constructed as a limitation upon the
application of other laws which establish different standards of compliance or
upon the application of requirements for the hiring of local or other area
residents (e.g., those under the Public Works Employment Act of 1977 and the
Community Development Block Grant Program).
4. Segregated Facilities
The Contractor or Subcontractor will not maintain any facility which is provided
204964v2 18
for their employees in a segregated manner or permit their employees to perform
their services at any location under their control where segregated facilities are
maintained except that separate or single user toilet and necessary changing
facilities shall be provided to assure privacy between the sexes.
Section 503 Handicapped
(Applicable to Federally assisted contracts and related subcontracts if $2,500 or over.)
1. Affirmative Action for Handicapped Workers
(A) The Contractor will not discriminate against any employee or applicant for
employment because of physical or mental handicap in regard to any position for
which the employee or applicant for employment is qualified. The Contractor
agrees to take affirmative action to employ, advance in employment and otherwise
treat qualified handicapped individuals without discrimination based upon their
physical or mental handicap in all employment practices such as the following:
employment, upgrading, demotion or transfer, recruitment, advertising, layoff or
termination, rates of pay or other forms of compensation, and selection for training,
including apprenticeship.
(B) The Contractor agrees to comply with the rules, regulations, and relevant orders of
the Secretary of Labor issued pursuant to the Act.
(C) In the event of the Contractor’s noncompliance with the requirements of this clause,
actions for noncompliance may be taken in accordance with the rules, regulations,
and relevant orders of the Secretary of Labor issued pursuant to the Act.
(D) The Contractor agrees to post in conspicuous places, available to employees and
applicants for employment, notices in a form to be prescribed by the Director,
provided by or through the contracting officer. Such notices shall state the
Contractor’s obligation under the law to take affirmative action to employ and
advance in employment qualified handicapped employees and applicants for
employment, and the rights of applicants and employees.
(E) The Contractor shall notify each labor union or representative of workers with
which it has a collective bargaining agreement or other contract understanding, that
the Contractor is bound by the terms of Section 503 of the Rehabilitation Act of
1973, and is committed to take affirmative action to employ and advance in
employment physically and mentally handicapped individuals.
(F) The Contractor will include the provisions of this clause in every subcontract or
purchase order of $2,500 or more unless exempted by rules, regulations, or orders
of the Secretary issued pursuant to Section 503 of the Act, so that such provisions
will be binding upon each subcontractor or vendor. The Contractor will take such
204964v2 19
action with respect to any subcontract or purchase order as the Director of the Office
of Federal Contract Compliance Programs may direct to enforce such provisions,
including action for non-compliance.
Section 402 Veterans of the Vietnam Era
(Applicable to Federally assisted contracts and related subcontracts of $10,000 or over.)
1. Affirmative Action for Disabled for Disabled Veterans and Veterans of the Vietnam
Era
(A) The Contractor will not discriminate against any employee or applicant for
employment because he or she is a disabled veteran or veteran of the Vietnam Era
in regard to any position for which the employee or applicant for employment is
qualified. The Contractor agrees to take affirmative action to employ, advance in
employment and otherwise treat qualified disabled veterans and veterans of the
Vietnam Era without discrimination based upon their disability or veteran status in
all employment practices such as the following: employment upgrading, demotion
or transfer, recruitment, advertising, layoff or termination, rates of pay or other
forms of compensation, and selection for training, including apprenticeship.
(B) The Contractor agrees that all suitable employment openings of the Contractor
which exist at the time of the execution of this contract and those which occur
during the performance of this contract, including those not generated by this
contract and including those occurring at an establishment of the Contractor other
than the one wherein the contract is being performed but excluding those of
independently operated corporate affiliates, shall be listed at an appropriate local
office of the State employment service system wherein the opening occurs. The
Contractor further agrees to provide such reports to such local office regarding
employment openings and hires as may be required.
State and local government agencies holding Federal contracts of $10,000 or more
shall also list all their suitable openings with the appropriate office of the State
employment service, but are not required to provide those reports set forth in
paragraphs (D) and (E).
(C) Listing of employment openings with the employment service system pursuant to
this clause shall be made at least concurrently with the use of any other recruitment
source or effort and shall involve the normal obligations which attach to the placing
of a bona fide job order, including the acceptance of referrals for veterans and non-
veterans. This listing of employment openings does not require the hiring of any
particular job applicant or from any particular group of job applicants, and nothing
herein is intended to relieve the Contractor from any requirements in Executive
Orders or regulations regarding non-discrimination in employment.
204964v2 20
(D) The reports required by paragraph (B) of this clause shall include, but not be limited
to, periodic reports which shall be filed at lease quarterly with the appropriate local
office or, where the Contractor has more than on hiring location in a State, with the
central office of the State employment service. Such reports shall indicate for each
hiring location (1) the number of individuals hired during the reporting period, (2)
the number of non-disabled veterans of the Vietnam era hired, (3) the number of
disabled veterans of the Vietnam era hired, and (4) the total number of disabled
veterans hired. The reports should include covered veterans hired for on-the-job
training under 38 U.S.C. 1787. The Contractor shall submit a report within 30 days
after the end of each reporting period wherein any performance is made on this
contract identifying data for each hiring location. The Contractor shall maintain at
each hiring location copies of the reports submitted until the expiration of one year
after final payment under the contract, during which these reports and related
documentation shall be made available, upon request, for examination by any
authorized representatives of the contracting officer or of the Secretary of Labor.
Documentation would include personnel records respecting job openings,
recruitment and placement.
(E) Whenever the Contractor becomes contractually bound to the listing provisions of
this clause, it shall advise the employment service system in each State where it has
establishments of the name and location of each hiring location in the State. As
long as the Contractor is contractually bound to these provisions and has so advised
the State system, there is no need to advise the State system when it is no longer
bound by this contract clause.
(F) This clause does not apply to the listing of employment openings which occur and
are filled outside the 50 states, the District of Columbia, Puerto Rico, Guam and
the Virgin Islands.
(G) The provision of paragraphs (B), (C), (D), and (E) of this clause do not apply to
openings which the Contractor proposes to fill from within his own organization or
to fill pursuant to a customary and traditional employer-union hiring arrangement.
This exclusion does not apply to a particular opening once an employer decides to
consider applicants outside of his own organization or employer-union arrangement
for that opening.
(H) As used in this clause:
(1) “All suitable employment openings” includes, but is not limited to openings
which occur in the following job categories: Production and non-production;
plan and office; laborers and mechanics; supervisory and non-supervisory;
technical; and executive administrative, and professional openings that are
compensated on a salary basis of less than $25,000 per year. This term includes
full time employment, temporary employment of more than 3-days duration,
204964v2 21
and part-time employment. It does not include openings which the contractor
proposes to fill from within his own organization or to fill pursuant to a
customary and traditional employer-union hiring arrangement nor openings in
educational institutions which are restricted to students of that institution.
Under the most compelling circumstances an employment opening may not be
suitable for listing, including such situations where the needs of the
Government cannot reasonably be otherwise supplied, where listing would be
contrary to national security, or where the requirement of listing would
otherwise not be in the best interest of the Government.
(2) “Appropriate office of the State employment service system” means the local
office of the Federal-State national system of public employment offices with
assigned responsibility for serving the areas where the employment opening is
to be filled, including the District of Columbia, Guam, Puerto Rico, and the
Virgin Islands.
(3) “Openings which the Contractor proposes to fill from within his own
organization” means employment openings for which no consideration will be
given to persons outside the Contractor’s organization (including any affiliates,
subsidiaries, and the parent companies) and includes any openings which the
Contractor proposes to fill from regularly established “recall” lists.
(4) “Openings which the Contractor proposes to fill pursuant to a customary and
traditional employer-union hiring arrangement” means employment openings
which the Contractor proposes to fill from union halls, which is part of the
customary and traditional hiring relationship which exists between the
Contractor and representatives of his employees.
(I) The Contractor agrees to comply with the rules, regulations, and relevant orders of
the Secretary of Labor issued pursuant to the act.
(J) In the event of the Contractor’s non-compliance with the requirements of this
clause, actions for non-compliance may be taken in accordance with the rules,
regulations, and relevant orders of the Secretary of Labor issued pursuant to the act.
(K) The Contractor agrees to post in conspicuous places, available to employees and
applicants for employment, notices in a form to be prescribed by the Director,
provided by or through the contracting officer. Such notice shall state the
Contractor's obligation under the law to take affirmative action to employ and
advance in employment qualified disabled veterans and veterans of the Vietnam
era, and the rights of applicants and employees.
(L) The Contractor will notify each labor union or representative of workers with which
it has a collective bargaining agreement or other contract understanding, that the
contractor is bound by the terms of the Vietnam Era Veterans Readjustment
204964v2 22
Assistance Act, and is committed to take affirmative action to employ and advance
in employment qualified disabled veterans and veterans of the Vietnam Era.
(M) The Contractor will include the provisions of this clause in every
subcontract or purchase order of $10,000 or more unless exempted by rules,
regulation, or orders of the Secretary issued pursuant to the Act, so that such
provisions will be binding upon each subcontractor or vendor. The Contractor will
take such action with respect to any subcontract or purchase order as the Director
of the Office of Federal Contract Compliance Programs may direct to enforce such
provisions, including action for noncompliance.
Section 109 of the Housing and Community Development Act of 1974.
1. No person in the United States shall on the grounds of race, color, national origin, or
sex be excluded from participation in, be denied the benefits of, or be subjected to
discrimination under any program or activity funded in whole or in part with funds
made available under this title.
“Section 3” Compliance in the Provision of Training, Employment and Business
Opportunities
1. The work to be performed under this contract is on a project assisted under a program
providing direct Federal financial assistance from the Department of Housing and
Urban Development and is subject to the requirements of Section 3 of the Housing and
Urban Development Act of 1968, as amended, 12 U.S.C. 1701u. Section 3 requires
that to the greatest extent feasible opportunities for training and employment be given
lower income residents of the project area and contracts for work in connection with
the project be awarded to business concerns which are located in, or owned in
substantial part by persons residing in the area of the project.
2. The parties to this contract will comply with the provisions of said Section 3 and the
regulations issued pursuant thereto by the Secretary of Housing and Urban
Development set forth in 24 CFR, Part 135 and all applicable rules and orders of the
Department issued thereunder prior to the execution of this contract. The parties to this
contract certify and agree that they are under no contractual or other disability which
would prevent them from complying with these requirements.
3. The Contractor will send to each labor organization or representative of workers with
which he has a collective bargaining agreement or other contract or understanding, if
any, a notice advising the said labor organization of workers’ representative of his
commitments under this Section 3 clause and shall post copies of the notice in
conspicuous places available to employees and applicants for employment or training.
4. The Contractor will include this Section 3 clause in every subcontract for work in
connection with the project and will, at the direction of the applicant for or recipient of
204964v2 23
Federal financial assistance, take appropriate action pursuant to the subcontract upon a
finding that the subcontractor is in a violation of regulations issued by the Secretary of
Housing and Urban Development, 24 CFR Part 135. The Contractor will not
subcontract with any subcontractor where it has notice or knowledge that the latter has
been found in violation of regulations under 24 CFR Part 135 and will not let any
subcontract unless the subcontractor has first provided it with a preliminary statement
of ability to comply with the requirements of these regulations.
5. Compliance with the provisions of Section 3, the regulations set forth in 24 CFR Part
135, and all applicable rules and orders of the Department issued hereunder prior to the
execution of the contract, shall be a condition of the Federal financial assistance
provided to the project, binding upon the applicant or recipient for such assistance, its
successors and assigns. Failure to fulfill these requirements shall subject the applicant
or recipient, its contractors and subcontractors, its successors and assigns to those
sanctions specified by the grant or loan agreement or contract through which Federal
assistance is provided, and to such sanctions as are specified by 24 CFR Part 135.
III. CERTIFICATION OF COMPLIANCE WITH AIR AND WATER ACTS
(Applicable to Federally assisted construction contracts and related subcontracts exceeding
$100,000)
A. Compliance with Air and Water Acts
During the performance of this contract, the Contractor and all subcontractors shall comply
with the requirements of the Clean Air Act, as amended, 42 USC 1251 et seq., and the
regulations of the Environmental Protection Agency with respect thereto, at 40 CFR Part
15, as amended.
In addition to the foregoing requirements, all non-exempt contractors and subcontractors
shall furnish to the owner, the following:
(1) A stipulation by the Contractor or subcontractors, that any facility to be utilized in the
performance of any non-exempt contract or subcontract, is not listed on the list of
Violating Facilities issued by the Environmental Protection Agency (EPA) pursuant to
40 CFR 15.20.
(2) Agreement by the Contractor to comply with all the requirements of Section 114 of the
Clean Air Act, as amended (42 USC 1857c-8) and Section 308 of the Federal Water
Pollution Control Act, as amended, (33 USC 1318) relating to inspection, monitoring,
entry, reports and information, as well as all other requirements specified in said
Section 114 and Section 308, and all regulations and guidelines issued thereunder.
(3) A stipulation that as a condition for the award of the contract, prompt notice will be
given of any notification received from the Director, Office of Federal Activities, EPA,
204964v2 24
indicating that a facility utilized, or to be utilized for the contract, is under
consideration to be listed on the EPA List of Violating Facilities.
(4) Agreement by the Contractor that he will include, or cause to be included, the criteria
and requirements in paragraph (1) through (4) of this section in every non-exempt
subcontract and requiring that the Contractor will take such action as the Government
may direct as a means of enforcing such provisions.
III. CERTIFICATION FOR CONTRACTS, GRANTS, LOANS, AND COOPERATIVE
AGREEMENTS
The undersigned certifies to the best of his or her knowledge and belief, that:
A. No Federally appropriated funds have been paid or will be paid, by or on behalf of the
undersigned, to any person for influencing or attempting to influence an officer or
employee of any agency, a Member of Congress, an officer or employee of Congress
in connection with the awarding of any Federal Contract, the making of any Federal
grant, the making of any Federal loan, the entering into of any cooperative agreement,
and the extension, continuation, renewal, amendment, or modification of any Federal
contract, grant, loan, or cooperative agreement.
B. If any funds other than Federally appropriated funds have been paid or will be paid or
will be paid to any person for influencing or attempting to influence an officer or
employee of any agency, a Member of Congress, an officer or employee of Congress,
or an employee of a Member of Congress in connection with this Federal contract,
grant, loan, or cooperative agreement, the undersigned shall complete and submit
Standard Form –LLL, “Disclosure Form to Report Lobbying,” in accordance with its
instructions.
C. The undersigned shall require that the language of this certification be included in the
award documents for all sub-awards at all tiers (including subcontract, sub-grant, and
contracts under grants, loans, and cooperative agreements) and that all sub-recipients
shall certify and disclose accordingly.
This certification is a material representation of fact upon which reliance was placed when
this transaction was made or entered into. Submission of this certification is a pre-requisite
for making or entering into this transaction imposed by Section 1332, Title 31, U.S. Code.
Any person who fails to file the required certification shall be subject to a civil penalty of
not less than $10,000 and not more than $100,000 for each such failure.