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CITY COUNCIL AGENDA REPORT
MEETING DATE: MARCH 25, 2013
AGENDA #: 5H
PREPARED BY: KELLY MEYER, ASST. CITY MANAGER
PRESENTED BY: KELLY MEYER
AGENDA ITEM: CONSIDER APPROVAL OF A RESOLUTION APPROVING A PROFESSIONAL
SERVICES AGREEMENT WITH INSPECTRON INC. FOR INSPECTION SER-
VICES AND AUTHORIZING THE MAYOR AND CITY MANAGER TO EXECUTE
THE AGREEMENT ON THE CITY'S BEHALF
DISCUSSION: Introduction
The purpose of this agenda is to consider a professional services contract for tem-
porary building inspection services in the Engineering and Inspections Depart-
ment.
Histo
In the early 2000s when the City was experiencing its highest level of residential
building permit activity, the Inspections division (excluding the Dept. Head) con-
sisted of a total of 5.5 positions, including a full-time Building Official, 2 full-time
building inspectors, 1 full-time building inspector/code enforcement officer, a full-
time administrative assistant, and a part-time administrative assistant. For the pe-
riod of 2000 — 2005, the City was averaging 368 residential (single family, multi-
family, townhome) permits per year. Beginning in 2006, the City started to see a
fairly significant downturn in residential permit activity. That downturn continued
into 2007, 2008, and 2009 when the City reached is lowest number of residential
building starts in the last decade at 62 permits.
In reaction to the decline in residential building permit activity, the City reduced its
building permit staff in 2008 by 2.5 positions, laying off two building inspectors,
and transferring a part-time position to another division. The staffing level in the
building inspections division has remained at 3 FTEs (4.5 if you include half of the
Dept. Head position, and the code enforcement officer) since 2008.
Current Circumstances
Fortunately, since 2010, the City has seen the residential building activity in Prior
Lake slowly recover. 2010 saw a 51.6% increase over 2009 in new residential
building starts, and 2011 and 2012 have seen 12.8% and 62.4% increases respec-
tively. In 2012, we saw the highest number of residential building permits (174)
since 2005.
In order to keep up with the demand for inspections services, the staffing re-
sources need to keep pace with the increase in permit activity. Currently, building
inspections can take up to five days from the time a contractor calls to schedule.
The past standard has been 24 hours.
The City typically considers five alternatives when addressing if and how to add
staff resources:
1. Do not hire additional resources and compensate by either paying for addition-
al hours from existing staff (i.e. overtime pay), or change the service standard.
(In this case, to something greater than 24 hours' notice for scheduling a per-
mit.)
2. Hire regular (year-round) part-time or full-time staff (The intent with this type of
position is that the position is needed on a long-term and on-going basis. The
position is typically budgeted for in advance of the budget year. Position is eli-
gible for partial or full benefits).
3. Hire temporary seasonal staff (This type of position can work full-time hours,
but is limited to working no more than 140 days in a calendar year. The posi-
tion is re-recruited annually and is not eligible forbenefits.)
4. Enter into a partnership or collaboration with another governmental entity.
5. Contract for Services (This type of employment is done through a contract for
professional services with a consultant and is usually project driven and tem-
porary in nature.)
Although the City has seen steady growth in residential building permit activity
over the past two years, we generally take a conservative approach to hiring. We
have hired a seasonal administrative staff person to help manage permit paper-
work and scanning, and we have initiated a contract for building inspection ser-
vices with consultant Inspectron, Inc. for an additional building inspector.
Inspectron, Inc. is a company based in Rosemount that has provided similar ser-
vices for many Minnesota communities. The owner, Ron Wasmund, is a former
Minnesota Building Official himself, and started the company realizing that every
community has challenges in providing qualified staff during peak periods of de-
velopment.
Conclusion
Staff believes that the additional building inspector will be needed initially through
August to meet the service demand for building inspections, and we would re-
evaluate our needs and course of action at that point. The projected rate for the
work during this period exceeds $20,000 so the contract is presented to the Coun-
cil for authorization.
ISSUES: Below is a table showing the consideration given each of the options for providing
additional staff resources.
O tion Considerations
Do not hire additional staff • Changing the service standard from 24 hours to up
and change either the service to 5 days would have a detrimental impact to build-
standard or increase over- ers. For builders time is money and to suspend con-
time for existing staff. struction for up to five days (in an already short con-
struction season) to schedule an inspection seems
unreasonable.
• Existing staff has been working overtime and is still
unable to meet the existin service standard.
Hire regular FT or PT staff • This would be a commitment to regular long-term
staff that has not been authorized during the budget
process by the Council. In fact, the Council speci-
fied no additional FTE count durin the 2013 bud et
�
process.
• Making this commitment seems premature given
the number of available lots and unpredictability of
the market, even though our annual residential
ermits continue to increase.
Hire seasonal temporary • This is a viable alternative that would probably cost
building inspector the City less hourly.
• Takes longer to recruit.
• Generally don't get experienced staff, and have to
do training in-house.
• There is always the chance you will lose the person
to another (full-time) position, and have to start over
for recruitment and training.
• Upon layoff, the City is responsible for up to 18 '��
months of unem lo ment com ensation.
Collaboration with another . This option is a way to obtain experienced staff.
City • Dependent upon another City having staff resources
available.
• Often limited hours.
• Staff did contact Shakopee, Savage and Lakeville to �
explore this option but none of the cities had availa-
ble staff for the hours er week that we need.
Contract for Services • Rate tends to be hirer than seasonal employment.
• Get experienced inspector trained by consultant.
Limited training time needed.
• Flexibility to add or delete services or hours as
needed.
• Consultant provides vehicle and phone.
• Potential to evaluate assigned inspector and hire if
the City determines a future need for a regular em-
lo ee without additional commission.
FINANCIAL The current Building Inspections budget anticipated a need for some additional
IMPACT: staff and incorporated $55,970 for seasonal administrative support and a tempo-
rary building inspector. This contract proposes a rate of $50/hour at 30
hours/week for a period of 24 weeks, for a total of $36,000.
Between the seasonal administrative staff and this contract, it is anticipated that
we will exceed the $55,970 budgeted for temporary employees, but that anticipat-
ed additional building permit revenues will fund the additional expenses required to
provide the service.
ALTERNATIVES: 1. Motion and Second as part of the Consent Agenda to Approve a Resolution
Authorize the Mayor and City Manager to Enter into the City's Standard Pro-
fessional Services Agreement with INSPECTRON, INC. for Building Inspection
Services.
2. Remove this item from the Consent Agenda for discussion and provide staff
with additional direction.
RECOMMENDED Alternative 1.
MOTION:
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4646 Dakota Street SE
`�INIYES�� Prior Lake, MN 55372
RESOLUTION 13-xx�c
A RESOLUTION AUTHORIZING THE MAYOR AND CITY MANAGER
TO ENTER INTO THE CITY'S STANDARD PROFESSIONAL SERVICES AGREEMENT
WITH INSPECTRON, INC. FOR TEMPORARY BUILDING INSPECTION SERVICES
Motion By: Second By:
WHEREAS, The City strives to deliver services to its residents in a courteous, efficient and effective
manner; and
WHEREAS, In 2012, the City realized the highest number of residential building permits (174) since 2005;
and
WHEREAS, The existing staff complement of three full-time employees is not sufficient to meet the existing
service standard that provides building inspections within 24 hours; and
WHEREAS, It is necessary to add additional staff resources in order to meet increased demand for building
inspection services in an effective and efficient manner, and
WHEREAS, Utilizing consultant services to supplement the building inspections division provides the most
flexible and prompt means of adding an experienced and trained inspector; and
WHEREAS, The proposed contract exceeds the maximum purchasing authority of the City Manager.
NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE,
MINNESOTA as follows:
1. The recitals set forth above are incorporated herein.
2. The Mayor and City Manager are hereby authorized to enter into the City's Standard Professional
Services Contract with INSPECTRON, INC. for building inspection services.
3. Funding for this expenditure shall be drawn from General Operating Budget 101-42400.
PASSED AND ADOPTED THIS 25� DAY OF MARCH, 2013.
YES NO
Hedber Hedber
Keene Keene
McGuire McGuire
Morton Morton
Souku Souku
Frank Boyles, City Manager
O {� PRIp�
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Prior Lake. MN 55372
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STANDARD AGREEMENT FOR PROFESSIONAL SERVICES
THIS AGREEMENT is made on ,__ day of March, 2013, between the City of Prlor Lake, Minnesota
(hereinafter "City"�, whose business address is 4646 Dalcota St. SE, Prior Lalce, MN 55372, and
INSPECTRON, iNC., a Minnesofa corporation (hereinafter "Consultant") whose business address is
15120 Chippendale Avenue, Rosemount, Minnesota 55068.
PRELIMINARY S7ATEMENT
The City has adopted a policy regarding the selecfion and hiring of consultants to provide a variety of
professional services for City projects. 7ha# policy requires that persons, firms or corporations providing
such services enter into written agreements with the City. 7he purpose of this agreement is to set forth
the terms and conditions for professional services Consultant will provide in connectian with the
residential and commercial building inspection and plan review services {hereinafter referred to as the
"Work").
The City and Consultant agree as follows:
1. Scope of Work. The Consultanf agrees to provide the professional services described in Exhibit
"A" hereinafter "the Work"
2. Time for Performance of Services. The Consultant shalf perform the services described in
Exhibit A accvrding to a schedule attached and identified as Exhibit B.
3. Compensafion for Servlces. City agrees to pay the Cansultant at a rate of $36,000 ($50.00 per
hour at 30 hours per week for a period of 24 weeks) for the services as described in Paragraph 1
(and Exhibit A).
A. Any changes in the scope of the Work which may result in the compensation due the
Consultant shall require prior written approva! by an authorized representative of the City
or by the City Council. The City will not pay additional compensation for services that do
not have prior written authorization.
B. Specia� Consultants may be utilized by the Consultant when required by the complex or .
specialized nature of the Project and with prior authorization in writing by the City.
C. City agrees to pay Consultant for e�ra services by the Consultant or Special Consultants
with prior authorization in writing by the City.
4. The City agrees to provide the Consultant with the complefe information concerning the Scope of
the Work.
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5. Mefhod of Paymenf. The Consultant shall submit invoices to the City, on a monthly basis,
itemized bills for professional services perFormed under Section 4 of this Agreement. 8iils
submitted shall be paid in the same manner as other claims made to the City.
6. Profect Manager and Staffing. The Consultant has designated Rick Jarson to serve on the
Project. They shall be assisted by other staff members as necessary to facilitate the complation
of the Project in accordance with the terms established herein. Consultant may not remove or
replace Rick Jarson from the Project without the approvaE of the City.
7. Sfandard of Care. Consultant shall exercise the same degree of care, skill and diligence in the
performance of its services as is ordinari[y exercised by members of the profession under similar
circumstances in Scott County, Minnesota. Consultant shall be liable to the fullest extent
permitted under appiicab{e law, without limitation, for any injuries, loss, ar damages proximately
caused by Consultant's breach of this standard of care. Consultant shall put forth reasonable
efforts to complete its duties in a time�y rrianner. Consuitant shall not be responsible for delays
caused by factors beyond its controf or that could not be reasonably foreseen af the time of
execution vf this Agreement. Consultant shal! be responsible for costs, delays or damages arising
from unreasonable delays in the perFormance of its duties.
8. Audif Dlsclosure. The Consultant shall allow the City or its duly authorized agents reasonable
access to such of the Consultant's books and records as are pertinent to afl services provided
under fhis Agreement, Any reports, information, data, etc. given to, or prepared or assembled by,
the Consultant under this P�qreement 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. All
finished or unfinished documents, data, studies, surveys, drawings, maps, models, photographs,
and repo�ts prepared by the Consultant shal! become the property of the City upon termination of
this Agreement, but Consultant may retain copies of such documents as records of the services
providad.
9. Term. The term of this Agreement shall be from March 15 2013 through Auaust 30. 2013, the
date of signature by the parties notwithstanding. This Agreement may be extended upon the
written mutual consent of the parties for such additional period as they deem appropriate, and
upon the terms and conditions as herein stated. If however, the City terminates the Agreement
because the Consultant has failed to perForm in accordance with this Agreement, no further
payment shall be made to the Consultant, and the City may retain another consultant to undertake
or complete the work identified in Paragraph 1.
10. Termination. This Agreement may be terminated by either pa�ty by seven (7) days' writ#en notice
delivered to the other party at the address written above. Upon termination under this provision if
there is no fault of the Consultant, the Consultant shall be paid for services rendered and
reimbursabfe expenses until the effective date of termination.
11. ►ndependent Consultanf. At ail times and for all purposes herein, fhe Consultant is an
independent contrac#or and not an employee of the City. No statement herein shafl be construed
so as #o find the Consuftant an employee of the City.
12. Non-Discriminafton. During the pertormance of this Agreerrzent, the Consultant shall not
discriminate against any employse or applicants for employment because of race, cofor, creeti,
religion, national origin, sex, marital status, status with regard to public assistance, disability, or
age. The Consu{tant shall post in places available to employees and applicants for empioyment,
notices setting forth the provision of this non-discrimination clause and stating that al( qualified
applicants will receive consideration for employment. The Consuftant shalf incorporafe the
foregoing requirements of this paragraph in all of its subcontracts for program work, and will
H:IHR1PersonneilH1RE11NSPECTRON - Prof Services Agt. 2013.doc 2
require all of ifs subcontractors for such work to incorporate such requirements in ali subcontracts
for program work.
13. Asslgnment. Neither party shall assign this Agreement, nor any interest arising herein, without
the prior written consent of the other party.
14. Servfces Not Provlded For. No claim for services furnished by the Consultant not specificaily
provided for in Exhibit A shall be honored by the City.
15. Severabillty. The provisions of this Agreemenf are severable. ff any portion hereof is, for any
reason, held by a court of competent jurisdic#ion to be contrary to law, such decision shalE not
affec# the remaining provisions of this Agreement.
16. Entire Agreemenf. The entire agreement of tne parties is contained herein. This Agreement
supersedes alf oral agreements and negotiations between the parties relating to the subject
matter hereof as well as any previous agreements presenf[y in effect between the parties relafing
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 f�erein.
17. Compliance 4vifh Laws and Regulations. In providing services hereunder, the Consultant shall
abide by afl statutes, ordinances, rules and reguiations pertaining to the provisions of services to
be pravided. The Consultant and City, toge#her with their respective agents and employees, agree
to abide by fhe provisions of the Minnesota Data Practices Act, Minnesota Statutes Section 93, as
amended, and Minnesota Rules promulgated pursuant to Chapter 13. Any violation o# statutes,
ordinances, rules and regulations pertaining to the services to be provided shall consfitute a
material breach of this Agreement and entitle the Cify to immediately terminate this Agreement.
18. Waiver. Any waiver by either party of a breach of any provisions of this Agreement shall not
affect, in any respect, the vafidity of the remainder of this Agreement.
19. lndemniiica�ion. Consultant agrees to defend, indemnify and hold the City, its officers, and
employees harmless from any liability, claims, damages, costs, judgments, or expenses, including
reasonable attorney's fess, resulting directly or indirectly from a negligent act or omission
(including without limitation professional errors or omissions) ofi the Consuitant, its agents,
employees, or subcontractors in the performance of the services provided by this Agreement and
against ali losses by reason of the failure of said Consuftant fully to perform, in any respect, all
obligations under this Agreement.
20. lnsurance.
A. General Liability. Prior to starting the Work, Consultant shall procure, maintain and pay
for such insurance as will protect against claims for badily in}ury or death, or for damage
fo property, including loss of use, which may arise out of operations by Consuftant or by
any subcontrac#or or by anyone employed by any of them or by anyone for whose acts
any of them may be liabfe. Such insurance shall include, but not be limited to, minimum
coverages and Iimits of liabi{ity specified in this Paragraph, or required by 1aw. The
policy(ies) shall name the City as an additional insured for the services provided under
this Agreerr�ent and shall provide that the Consultant's coverage shall be primary and
noncontributory in the event of a loss.
B. Consuttanf shall procure and maintain the foflowing minimum insurance coverages and
limits of liability on this Project:
Worker's Compensation Statutory Limits
H:1HR1PersonnallHIREUNSPEC�fRON - Prof Services Agt. 2093.doc 3
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Employer's Liabilify $500,000 each accident !
$500,000 disease policy limit ;
$500,000 disease each empfoyee �
Comprehensive Generaf ;
Liability $1,500,000 prope�ty damage and bodily injury per .
occurrence
$2,OOO,a00 general aggregate
$2,000,000 Products — Compieted Operations
Aggregate
$100,000 fire legal liability each occurrence
$5,000 medical expense
Cornprehensive Automobile
Liability $1,000,000 combined single limit each accident (sha11
include coverage for all owned, hired and non-owed
vehicles.
Umbrella or Excess Liability $9,000,000
C, The Comprehensive GeneraE/Commercial General Liabili#y policy(ies) shal! be
equivalent in coverage to ISO form CG 0001, and shal{ include fhe following:
a. Premises and Operations coverage with no explosions, callapse, or underground
damage exclusion (XCU).
b. Products and Completed Operations coverage. Consultant agrees to maintain
this coverage for a minimum of two (2) years following completion of its work.
Said coverage shall apply to bodily injury and property darnage arising out of the
products-comp[eted operations hazard.
c. Personal injury with Employment Exclusion (if any) c4eleted.
d. Broad Form CG0009 0196 Contractual l.iability coverage, or its equivalent.
e. Broad Form Property Damage coverage, including completed operations, or its
equivalent.
f. Additional Insured Endorsement(s), naming the "City of Prior Lake" as an
Additional Insured, on lS0 form CG 20 10 47 04 or such other endorsement
form as is approved by the City.
g. If the Work to be perFormed is on an attached community, there shall be no
exclusion for attached or condominium projects.
h. "Stop gap" coverage for work in those states where Workers' Compensation
9nsurance is provided fhrough a state fund if Employer's liabiiity covarage is not
available.
i. Severability of ]nsureds provision.
D. Professional Liability Insurance. The Consultant agrees to provide to the City a
certificate evidencing that they have in effect, with an insurance company in good
standing and authorized to do business in Minnesota, a professional fiabilify insurance
policy. Said policy sha11 insure payment of damage for legaf tiability arising out of the
performance of professional services for the City. Said policy shall provide an
aggregate limit of $2,000,000. Said policy sha11 not name the City as an insured.
N:1HR1PersonneRHIREIINSPECTRON - Prof Services Agt. 2013.doc 4
E. Consultant shall maintain in effect all insurance coverages �equired under this
Paragraph at ConsultanYs sole expense and with insurance companies licensed #o do
business in the state in Minnesota and having a current A.M. Best rating of no less than
A-, unless specifically accepted by City in writing. 1n addition to the requirements stated
above, the following applies to the insurance po[icies required under this f'aragraph:
a. All policies, except the Professional Liability Insurance policy, shall be writfen on
an "occurrence° iorm ("claims made" and "modified occurrence" forms are not
acceptable);
b. All policies, except the Professional Liability Insurance policy, shall be apply on a
"per project" basis;
c. A[I policies, except the Professional Liability Insurance and Worker's
Compensation Policies, shal( contain a waiver of subrogation naming "the City of
f'rior Lake";
d. AI! policies, except the Professional Liability lnsurance and Worker's
Compensation Poficies, shall name "the City of Prior Lake" as an additional
insured;
e. All policies, except the Professional Liabilify Insurance and Worker`s
Compensation Policies, shall insure the defense and indemnity obligations
assumed by Consultant under this Agreement; and
f. All polices sha11 contain a provision tha� coverages afforded there under shall not
be canceied or non-renewed, nor shall coverage limits be reduced by
endorsement, without thirty (30) days prior written notice to the City.
A copy of the Consultant's Certificate of lnsurance which evidences the
compliance with fhis Paragraph 20, must be filed with City prior #o the start af
Consuitant's Wark. Upon request a copy of the Consultant's insurance deelaration
page, Rider andlor Endorsement, as applicable shall be provided. Such documents
evidencing Insurance shal! be in a form acceptable to City and shall provide satisfactory
evidence that Consuftant has complied with afl insurance requirements. Renewal
certificates shall be provided to City prior to the sxpiration date of any of the required
policies. City will not be ab{igated, hawever, to review such Certificate of Insurance,
declaration page, R�der, Endorsement or certificates ar other evidence of insurance, or
to advise Consultant of any deficiencies in such documents and receipt thereof shall not
relieve Consuitant from, nor be deemed a waiver of, City's right to enforce the terms of
Consultant's obligatians hereunder. City reserves the right to examine any policy
provided for under this paragraph.
F. Effect of Consuitant's Failure to Provide lnsurance. If Consultant fails fo provide the
specified insurance, then Consultant will defend, indemnify and hold harmless the City, the
City's officials, agents and employees from any loss, claim, liability and expense (including
reasonable aftorney's fees and expenses of litigation) to the extent necessary to afford the
same protection as would have been provided by the specified insurance. Except to the
extent prohibited by law, this indemnity appfies regardless of any strict liability or
negligence attributable to the City (including sole negligence) and regardless of the extent
to wMich the underlying occurrence (i_e., the event giving rise to a claim which would have
been covered by the specified insurance) is attributabie to the negligent or otherwise
wrongful act or omission (incfuding breach of contract) of Consultant, its subcontractors,
agents, empEoyees or delegates. Consultant agrees that this indemnity shall be construed
and applied in favor of indemnificafion. Consultant also agrees fhat if app{icable law limits
or precludes any aspect af this indemnity, then the indemnity will be considered limited
H:1HR1PersonneflHIRE1INSPECTRON - Prof Services Agt. 2013.doc 5
oniy to the extent necessary to comp}y with that applicable law. The stated indamnity
continues until al] applicable stafutes of limifation have run.
If a claim arises within the scope of the stated indemnity, the City may require Consultant
to:
a. Furnish and pay for a surety bond, satisfac#ory to the City, guaranteeing
performance of the indemnity obiigation; or
b. Furnish a written acceptance of tender of defense and indemnify from Cansultant's
insurance company.
Consultant will talce the action required by the City within fifteen (15} days of receiving
notice from the City.
21. Records Access. The Consuitant shall provide the City access to any books, documents,
papers, and records which are directly pertinent to the specific contract, for the purpose of making
audit, examination, excerpts, and transcriptions, for three years after final payments and all other
pending matfers related to this contract are closed.
22. Ownership of Documents. All plans, diagrams, analyses, reports and information generated in
connection w+th the performance of the Agreement ("Information") shall become the proper�y of
the City. The City may use the Information for its purposes and the Contractor also may use the
Information for its purposes. Reuse of the Inforrnation for the purposes of the projec#
contemplated by this Agreement ("Project") does not refieve any liability on the part of the
Contractor, but any reuse of the fnformation by the City or the Contractor beyond the scope of the
Project is without fiability to the other, and the party reusing the Information agrees to defend and
indemnify the other from any claims or liability resulting therefrom.
23. Subcontractor. The Consultant shall not enter into subcontracfs for services provideti under
this Agreement except as noted in the Scope of Work, without the express written consent of
the City. The Consultant shall pay any subcontractor involved in the performance of this
Agreement within fhe ten (10) days of the Consultant's receipt of payment by the City for
undisputed services provided by th� subcantractor. lf the Consultant fails within tha# time to
pay the subcontractor any undisputed amount for which the Consultant has received payment
by the City, the Consultant shall pay interest to the subcontractor on the unpaid amount at the
rate of 1.5 percent per month or any parf of a month. The minimum monthly interest penalty
payment for an unpaid balance of $100 or more is $10. For an unpaid balance of less than
$100, the Consuftant sha11 pay the actual interest penalty due to the subcontractor. A
subcontractor who prevails in a civil action to collect interest penalties from the Consulfant shall
be awarded its costs and disbursements, including aftorney's fees, incurred in bringing the
actian.
24. Dispute Resolution/Mediation. Each dispute, claim or controversy arising #rom or related to this
Service Agreement or the relationships which result from this Agreement shall be subject to
mediation as a condition precedent to initiating arbitration or legai ar equitable actions by either
party. Unless the parties agree otherwise, the mediation shalf be in accordance with the
Commercial Mediation Procedures of the American Arbitration Association then currently in effect.
A request for mediation shall be filed in writing with the American Arbitration Association and the
other party. No arbitration or legal or equitabfe action may be instituted for a period of 90 days
from the f'sling of the request for mediation uniess a longer period ofi time is provided by agreement
of the parties. Cost of inediation shall be sharecf egually between fhe parties. Mediation shafl be
held in the City of Prior Lake unless another location is mutually agreed upon by the parties. The
parties shall memorialize any agreement resulting from the mediation in a Mediated Settiement
Agreement, which Agreement shall be enforceable as a settlement in any cour# having jurisdiction
thereof.
H:1HR1PersannetlHlRE1lNSPECTRON - Prof Senrices Agt. 2013.doc 6
25. Conflicts. No salarieci officer or employee of the City and no member of the City Council of the
City sha[I have a financial interest, direct or indirect, in this Contract. The violation of this
provision renders the Contract void. Any federal regulatians and applicable state statutes shaA
not be violated.
26. Counterparts. This Agreement may be executed in multiple counterparts, each of which sha11
be considered an original.
27. Entire Agreement. This Agreement constitutes the entire agreement of the pa�ties and
supersedes alf prior communications, understandings and agreements relating to the subject
matter hereof, whether oral or written.
28. Governing Law� This Agreement shall be controlled by the laws of the State af Minnesota.
Executed as of the day and year first written above.
City ofPrior l,ake
Mayor .
City Manager
INSPECTR�N, fNC.
B:
Ron Wasmund
Its: President
H:1HR1PersonnellHIRE1INSPECTRON - Prof Services Agt. 2013.doc 7
EXHIBIT A
SCOPE OF WORK
Buildin� Enspections
Buiiding inspection services is infended to incfude inspection propertiss and enforcing the Minnesota
State BuiIding Code under the direction of the City Building Official for bofh residentiaE and commercial
praper#ies. Includes enforcement and administration of the Minnesota State Plumbing and Mechanical
Codes and plan review services. Specifically, duties include responsibility for plan review, scheduling,
and inspection af residential and commercial bui(dings and other structures in regard to conformity with
code requirements and technical standards, any administrative work in support of those duties assigned.
Work also involved determining building permit valuations for inspected construction projects and
providing the C9ty with Code revisions that are eifher des9rable or required. These duties also include
complair�t investigations, hazardous building inspections and assistance with the prosecution of building
code and hazardous building violations as directed by Suilding Official.
H:1HR1PersonnetlHIREUNSPECTRON - Prof Services Agt. 2013.doc a
- ^ 1 DATE�MhYOplYYYY)
�� CERTIFICATE OF LIABILITY INSURANCE 03/13/2093
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFER3 NO RI(3HTS UPON THE CERTIFtCATE HOLbER. TFiIS
CERTI�tCA7E DOES NOT AFFIRMATIVEIY OR NEGATlVELY AMENp, EX7END OR ALTER TiiE COVERAOE AFFORD�O BY THE POLICIES
BELOW. THIS CERTIFICATE OF INSUiiANCE DOES NOT CONSTITUTE A COTlTRACT BETWEEN THE 133UING INSURER(S), AUTHOF2IZED
REi'RESEN7A71VE OR PRODUCER, AND THE CERTIFICATE HOLDER.
IMPORTANT: if the cerUficate holder Is an ADDITIONAL INSUREO, the policy(ies} must be endorsed. If SUBROGATION IS WAiVED, suBject to
the terms and cond(tions of the policy, certaln policles may requtre an endorsement. A statement on this certificate does not confer rights to fhe
certlflcate hotder In IEeu of such endorsement s).
PROD[10ER � ncr Dave Wollak
PHONE 862)927-4600 ��,µ
Hatzung Insurance Agency � �
4021 Vernon Ave So aoo�ss: dwollak�hatzunginsurance.com
Safnt Louls Park, MP155416 _. iNSUtteas aFFOROi�eovertnce Naca
INSURERA r n� ...
INSUREO � INSURERB: PPO ert & Cas 3 8
INSPECTRON INC � rrsuaERC: Underwrite at Lfoyds __
16120 Chippendale Ave iNSUR�RO:
..
Rosemount, MN 55468 INSURERE:
INSUKER F •
COVERAGES CERTlF[CATE NUMBER: 00001026-276869 REVISION NUMBER: 19
THIS IS TO C�RTIFY 7HAT THE POLICIES OF INSURANCE LIS7ED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERiOD
INDICATEP. NOTWITHSTANDING ANY REQUIREMENT, TE#tM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESYECT TO V4FlICH THIS
CERTIFICA7E MAY BE ISSUEO OR MAY PERTAIN, 7HE INSURANCE AFFOFtDED BY THE POLICIES DESCRIBED HEREfN IS SUBJEC770 AlL T1iE TERMS,
EXCLUSIONS AND CQNDITIONS OF SUCH POLICIES. LIMITS SHOVYN MAY HAV BEEN REDUCED BY PAID CLAINIS.
�LgR AD POLIC EF P L�G` EXP llMITS
TYpEOFINSURANCE POUCYNUMBER iA D
q aEHEw+�uaBi�TY N N 41SBAPV9697 02l01l2013 ouou2oia FACHOCCURRENCE s 1 000 000
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cvaMS-�naoe �X occuR Meo exr �n,� one son, s '10 000
PERSONAI.&ADVINJURY s 1 000 080
(iENERALAGGftEGATE S Z,OOO.00O
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GENtAGGREGA7EL3MITAPPLiESPER: PRODUCTS-CO!AP/OPAGG 5 2 OOO OOO
X POI.tCY �� LOC S
AIiTOMO&LE LWBILITY C' INGLE LIh11T
ANY AUTO BQD3LY INJURY (Per person) S
ALLOYINEO SCHEDULED BODILYINJURY(Peraxidenl) S
AU70.S A NO 1d1M1NE� PROPERIY DAMAGE S ;
HIREDAUTOS AUTOS �°�
5
UMBRELLALTAB ��R EACHOCCUftRENCE 5 �
EXCESS LIAB ��,1��,�qpE AGGREGATE S �
DED RETEPfT10�`15 S I
g WORKERSCpMPEN5A7I0N YrN N 41WEC1R1654 12l1812012 12I18l2043 X�CSTATU- OTH- ;
AND EMPLOYERS' LIASlt3TY I
ANYPROPR3ETORIPARTNERlEXECUTiYE Q N�a E.I.EACHACCIOENf _ S 'IOO �
OFRCERlfAEMeEREXCLUDEO? E.L.DISEAS£-EAE6IPLOYE S ��a���fl
(Mandatory In NH)
ir °"a�� E.L. DISEAS£ - AOLICY UMIi s 608 000 �
DESL�R1PTfON OF OPERATIONS burnv
C Professfonal N N ANE1262677.13 01/12/2013 o1►�u2o�a Each Clalm 1,000,000 I
C N N ANE1252677 fl1l12/20i3 011f212074 Aggregafe 2,OOO,Q00
DESCRIPiION OP OPERAiIONS! LOCAiIOkS / VEHICLE6 (AHach ACORD 101, Addlllonal Remarks Schaduie, if more space is required)
CERTtFICATE HOLDER CANCEILATION
SfiiOULOANYOF THEABOVE DESCRIBEO POLICfES BE CANCEClE06EFORE
7HE EXPIRATION DATE THEREOF, NOTICE WILL BE OELIVERED IN
C(ty of Prior Lake ACCORDANCE WITH TH8 POI.ICY PROVIS{ONS.
464fi Dakota St. S.E.
Prfor Lake, MN 6b372 AUTHOWZEDRE? NTAt1VE ��
�
DB
� 1888-2010 AC4RD CORPORATION. All rights reserved.
ACORD 2b (2010f05} The ACORq name and logo are regtstered marks of ACORD
Printed by DBW on March 13, 2013 at 09:49AM
INSPECTR�N INC.
Proposal for Building Inspection and Related Services
for
City of Prior Lake
Attention:
Kelly Meyer
4646 Dakota Street S.E.
Prio�• Lake, MN 55372-1714
February 19, 2013 ,
i
i
Proposal �o City of Prior Lake MN �
�
Scope of Services !
Inspectron, Inc. proposes to provide part time Uuilding inspection and related services to �
the City of Frior Lake. This service is intended to include ins�ecting properties and
enforcing the Minnesota St��te Building Code under the direction of the City Building �
' Officiat. This service will Ue provided for both residential and co�nmercial projects. '
Builclin� Inspection ,
Inspectron Inc. will inspect properties and enforce tlie Minnesota State Building Code
under the direction of the City Building Official.
Pluinbin�/Mecl�anical Code
Inspectron Inc. will p�•ovide enforcement and adminisfration of the Minnesota State
Plumbing and Mechatiical Codes and plan review ser��ices.
Adciitional Duties:
Work regarding the above refere�iced codes atid ordinances involves responsibility for
plan review, scheduling, and 'uispection of residential and commercial buildings and other
shuctures in regard to confortnity with code requirements and technical standards, any
adn�inistrative work in support of those duties assigned herein and enforcement. Work
also involves determining building permit valuations for inspected construction projects
and providing the City with Code revisions that are either desirable or required. These
duties also include complaint investigatio�is, hazardous building inspections and
assistance with tlie prosecution of building code and l�azardous building violations.
Other Services
Inspectron Inc. is also willing and able ta provide the fallowing services at the request of
the City:
On-site Sewase Disposal Svste�ns
Inspecti•on Inc. will �rovide On-site Sewage Disposal System review and inspections
with its staff of MPCA certified inspectors. Tliis would inchide review of new system
designs, ii�spection of new and replacement installations aud compliance inspections as
necessary. All system installations will be documented with a record as built form.
Zonine Enforcement Scone of Services
At ttie x•equest of the City, Inspectron Inc. wi[l also enforce junk and other public
nuisanee complaiuts through tliorough investigation, notification and assistance to tl�e
Cify Attoz•�iey with prosecution as necessary. Inspectron will provide fair and consistent
nuisance enforcement that will include ��itten inspection reports and necessary
correspondence to the violator. Violation citations will be issued for alI non-i�esponsive,
uncooperative violators.
2
i
Ontional Sei�vices
Full Time Building Inspection, Building Department Administration including all
services normally associated witl� the daily operatio��s and coordination of a Code �
Enforcernent Department inchiding permit intake, plan review, valuation calcuiation, '
perinit issuance, building inspections, complaint resohition and zoning coordination. This '
would include appointtnent of a fiill time person responsible for Building Official
responsibilities. Additio��al inspection staffing would ve�y based upon permit activity be
charged at a reasonable hourly rate in addition to the based Service Fee.
Department Inspection Audik. This service would be provided by perfox•ming follow up,
ghost shadowed inspections for a predetennined number and type of inspections regularly
perforined by the City's existing inspection staff with w�itten report to the management
following. The x•eport will address the accuracy of tlie inspections measured by
acceptable industiy standards. We �viil also inte�•view contractors when available to
inquue about service deliver opinions..
Terms
Inspect��on will liave personnel available as needed 30-40 hours per week to cover the
inspection services outlined in the Scope of Services. This schedule can be adjusted as
necessary to meet the needs of the City.
Inspectron, Inc. wilt provide effective, efficient and expedient service by utilizing its
team of inspectors and plan review s#aff for inspectians and plan reviews. A designated
inspector will be assigned bc�t tlie fii11 staff of Inspect;•on Inc. will be available. Ron
Wasmund will serve as the Project Manager.
Inspectcon, Inc. will provide the services Iisted in the Scope of Services at the hourly rate
of $55.40/per hour for a 3-6 month contcact; $5Q.00/per hour for a 6--12 montli contract
Services will be billed to the City on a monthly basis. (This is separate of the Additional
Services)
Tnspectron, Inc. will provide the services Iisted in the Onsite Sewage Disposal Systems
Scope of Work at the hourly rate of $55.00/per hour, Services will be billed to the City
on a monthly basis.
Inspec#ron, Inc. will provide the services listed in the Zoning Enforcement Scope of
Services at the hourly rate of $60.00/per hour a�id will be added to the monthly invoice.
All transportation, communication, tools and inst�cance costs will be the direct
responsibility of Inspectron, I�ic. A Cei�tificate of Insurance indicating all required
insurance will be provided t�pon execution of a service agreei�iant.
3
Inspections reqtiested above 40 hours, will be billed $75.00 per l�our. A 1-hour
minimum will apply.
Opfional Services
Full Time Department Administration with an appvinted Buildi��g Official will be bill on
a monthly flat rate of $'1500 for the initial Building Official.. This includes
representation of Inspectron at one City Council �neeting monthiy and preparation of
monthly status reports. Additional inspection staff necessary for the respective permit
activity would be billed at $45.OQ per hour per inspector.
Inspection Audit
Inspections, interviews aud written report, ii� conjunction with a signed coait�'act for
se�•vice will be delivered for a flat rate of $1000. Tl�is includes the developn�ent of a
suivey card to be completed by contractors #hat wisli to remaui a�ionymous..
Respectfillly Submitted,
,�tut ?�l/a�ut�sd
Ran Wasmund
President
Inspectron Inc.
4
Current Clients of Insqectron Inc.
City of Albertville-Inspection Assistance, Code ii�te�•pi�etation Assistance
Contact Adatn, City Engineer 763-497-5106
City of Big Lake -- Full Time Building Inspection, Building Department Adminishafion,
Rental Housing Inspections.
Contact Todd Bodem — City Administrator 763-263-2107
City of Coon Ra�ids - Building Inspection Assistance
Contact Doug Whitney — Building O�cial 7G3-'1G7-6476
City of Eagan -- Building Inspection Assistance
Contact — Dale Schoeppner Building Officia1651-675-5699
City of Mendota Heights — ISTS review and inspections, Building Inspection Assistance
Contact Pam Deed b51-452-I850
City of Miesville - Fi�ll Time Building �nspection, Building Depai�tment Administration,
Contact Eugene Stoffel — Mayor- b51-437-3867
City of New Trier -- Full Time Building Inspection, Building Department
� Ad��iinistration,
Contact Melanie Peters — Mayor
City of Northfleld — Special projects, and inspection assistance
Contact Jim Kessler, Building Official 507-645-3008
City of Paynesville --- Full Time Buildiiig Inspection, Building Departinent
Administration,
Contact Jeff Bei City Council Member 320-243-3186
City of Ramsey - Full Time Building Inspection, Buiiding Department Administcation,
Rental Housing Inspections, SSTS Inspections
Contact Tim Gladhill Developi�lent Services Director 763-576-4308
City of Riclunond - Full Ti�ne Building Lispection, Building Depai�tn�ent Aduiinistration,
Contact Mai�tin Bocle, City Admiuistrator 320-597-2075
Ci#y af Rockville - Full Time Building Inspectian, Building Depat�tment Administration,
Rental Housing Inspections
Contact Rena Weber, City Administrator 320-251-5836
City of St. Joseph — Full Time Building Inspection, Building Departinent Adntinistration,
Zoning Administration, Rental Hausing Inspections, and Plar►�1ing reviews.
Contact J'udy Weyrens, City Adininistrator 320-363-7201
i
City af St. Augusta — Commei�cial Plau Review aud Comnnercial Inspections
5
, Contact Steve Hag�nan, Building Official 320-252-6556
City of Sunfish Lake - ISTS review and inspection
Contact Cathy Iago City Clerk
City of Vermillion - rull Time Biulding Inspection, Plan Review and Administcation
Contact Patti Ward, City Clerk 651-437-28G5
Goodhue County -- Building Official Mentoring, Coriunercial Plan Revie�v
Coiitact Doug Morem, Building Officia1651-385-3110
Empire Township -- Full titne Building Inspecf[on, Plat� review and Administration
Coj�tact Katliy I�ippner Town Clerk 651-463-4494
Lynden Township- Ftill titne Building Inspection, Plan Review, and Admi�iistration
Contact 3erry Finch, Board Supervisor 320-558-6634
Marshan Township -- Full time Bttilding Inspection, Plan Review, ai�d Administration
Contact 3eiry Bai�er, Board Supeivisor b51-437-5664
Nininger Township - Full time Building Inspection, Plan Review, and Administration
Contact Bob Rotty, Board Supervisor 651-437-5690
Ravemla Township - Full tiine Building Inspection, Plan Review, and Administration
Contact Caroline Spt�rgeon Town Clerk 651-480-1902
Treasure Island Casino- Special P�•ojects, Code Const�ltation
Contact Dennis Jensen Project Deszgn Manager b51-388-2493
University of Minnasota - Plan review, Inspection Assistance, ISTS reviews and
inspection
Contact Merwyn Larson, Buiiding Officia1612-625-6845 �
6
BUILDING INSP�CTION AND ItELATED S�RVICES
CON3ULTANT INFORMATION SHE�T
1.. Trade Nan�e of Business:
Inspectron L�c
2, Legal Nante of Business (if the Tracle Name is An Assumetl Natne):
Iusnectron Inc
3. Business Acldress:
15120 Cliinnendale Ave Rosemount Mlv 55068
Street City State Zip
4. Business Tete��lto�ie: (Please list all applieable phone nu�nbers in �vhich you
can be reaclied regax•cling this application):
651-322-6626 Ce11612-719-3370
5. Na�ne(s} of Person{s) Aiithorizecl to Represent the Business:
Ran Wasmund Presiclent
Name Title
Name Tifle
Name TitIe
7 �