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HomeMy WebLinkAbout1999-12-20 City CouncilTO: City of Palo Alto City Manager’s Report HONORABLE CITY COUNCIL 2 FROM:CITY MANAGER DEPARTMENT: UTILITIES AGENDA DATE: DECEMBER 20, 1999 CMR: 432:99 SUBJECT:AWARD OF CONTRACT TO ADDISON OLIAN, INC. IN THE AMOUNT OF $140,000 FOR AD~RTISING, MARKETING AND PUBLIC RELATIONS TO UTILITY MARKETING SERVICES AND COMMUNITY RELATIONS RECOMMENDATION Staff recommends that Council: Approve and authorize the Mayor to execute the attached contract with Addison Olian, Inc., in the amount of $140,000 to provide specialized advertising, marketing communications and public relations services for the Utilities Department. Authorize the City Manager or her designee to negotiate and execute one or more change orders to the contract with Addison Olian, Inc., for related, additional but unforeseen.work that may develop during the project, the total value of which shall not exceed five percent or $7,000. Authorize the City Manager or her designee to exercise the option to renew the contract for up to three years provided the contractor is responsive to the City’s needs and the quality of the contractor’s work/product is acceptable during the first year of the contract (and!or other conditions which will determine the City’s willingness to renew the contract). DISCUSSION: Project Description The Utilities Department disseminates information to customers about current programs, technical resources and industry trends through a variety of media, including advertisements, brochures, case studies, newsletters, bill inserts, news releases, public event displays, fact sheets and program packets. Because the energy industry is now a competitive environment and there are impending increases in water supply costs, the urgency to inform customers of the changes, prepare for the each phase of Palo Alto’s CMR:432:99 Page 1 of 3 deregulation program, produce new promotional materials and sVategize for competition has heightened the need for additional communications expertise. This undertaking will enable the Utilities Department to upgrade its image in the community and create awareness of City of Palo Alto Utilities’ values. The work to be performed will be managed by the Utility Marketing Services and Public Relations staff who serve as primary points of communications outreach and contact between the Utilities Department and customers. Bid Process Staff sent a request for proposals (RFP) to 16 advertising firms on July 23, 1999. The proposal period was 16 days: A total of five firms submitted proposals. Firms that did not submit proposals provided the following reasons: too busy, too many rules & regula.tions to be competitive, and the City of Palo Alto Utilities is too small (financially) to be a client. A selection team consisting of staff from the Utilities Department and the Administrative Services Department’s Purchasing Division reviewed the proposals. All five firms were invited to participate in interviews the week of August 30, 1999 through September 3, 1999. The selection team carefully evaluated each firm’s qualifications and submittals in response to the RFP using the following criteria: samples submitted; description of how samples represent the client and client’s goals; suitability of style with the Utilities Department; quality of work; ability to communicate; experience; and cost. Each criterion was ranked on a scale of 1 to 10 (1 being poor, 10 being excellent). All of the criteria rankings were then added together to reach a rating for each firm. The firm with the highest score, Addison Olian, Inc., was chosen as lead advertising agency for the Utilities Department. Addison Olian, Inc. was selected for its extensive advertising, marketing communications and public relations experience. Its experience with integrating strategic planning, goals and creative concepts was also an important factor in staff selection. Staff worked with Addison Olian, Inc., for a two-year period, ending June 30, 1999, and was satisfied with previous work performed. ¯RESOURCE IMPACT Funds for the project are included in the FY 1999-2000 Utilities Operating Budget. This project was presented as a consultant contract to the Finance Committee and the Policy and Services Committee. It was not selected as a project for further review. POLICY IMPLICATIONS: This recommendation does not represent any change to existing City policies. CMR:432:99 Page 2 of 3 ENVIRONMENTAL REVIEW These services do not constitute a project for the purposes of the California Environmental Quality Act. ATTACHMENTS Attachment 1: Attachment 2: Attachment 3: Original Request for Proposal (RFP #115905/06) Selection Criteria Rating Contract PREPARED BY:Linda Clerkson, Public Relations Manager Sherilyri Hill, Marketing Representative DEPARTMENT HEAD REVIEW: ULRICH irector of Utilities CITY MANAGER APPROVAL: HARRISON Assistant City Manager CMR:432:99 Page 3 of 3 ATTACHMENT i UTILITIES DEPARTMENT PROJECT TITLE: ADVERTISING/COMMUNICATIONS AGENCY REQUEST FOR PROPOSAL (RFP) #115905/06 RFP CLOSES: 3:00 P.M., August 10, 1999 ISSUED: July 23, 1999 PART ! REQUEST FOR PROPOSAL (RFP) "[’he City of Palo Alto, Contract Administration, requests a proposal.on behalf of the Utilities Department for services in accordance with the requirements set herein. PROJECT TITLE: ADVERTISING/COMMUNICATIONS AGENCY DESCRIPTION of PROJECT:Utilities Department is seeking to retain the services of an advertising/communications agency to provide advertising/marketing communication . services, including graphics, to the City of Palo Alto Utilities Marketing Services and Public Relations groups. Minimum requirements are described in the scope of Services (Part II). Purchasing contact: Marina Lutze (650) 329-2500 _PROPOSAL OPENING: 3:00 p.m. -Tuesday, August 10, 1999 A PRE-PROPOSAL CONFERENCE IS NOT SCHEDULED for this project. PROPOSAL DOCUMENTS ARE AVAILABLE AT: City of Palo Alto Purchasing Division, 1st Floor 250 Hamilton Avenue Palo Alto, CA 94301 RFP NO. 115905/06 PART I Page 1 of 3 PART I PROPOSAL REQUIREMENTS: The Proposer shall respond to all requirements in accordance with the terms & conditions, detailed information regarding the scope of project requirements, description and all schedules of PARTS I, II, & III herein. The Proposer shall be required to: (a) (b) (c) (d) (e) (0 (g) (h) agree with terms and conditions of the Agreement; provide reports, plans, and costs in accordance withthe Proposal documents; be licensed with the State of California as required by this Project; ¯ give experience and financial qualifications; sign Proposal; be knowledgeable of applicable California and federal laws and regulations and local ordinances; be able to meet insurance requirements; and meet any other requirements as specified. OTHER REQUIREMENTS: Proposers responding to this RFP are required to submit with their RFP all of the requirements included in the Scope of Work or Services and those of Part III, Instructions, and Special Conditions herein. Facsimile (fax) proposals will not be accepted. The Proposal and any accompanying documents shall be submitted in a sealed envelope marked as follows: "PROPOSAL PROJECT TITLE:ADVERTISING/COMMUNICATIONS AGENCY, RFP #115906106 NAME AND ADDRESS OF COMPANY (PROPOSER)" PROPOSALS. SHALL BE DELIVERED TO: City of Palo Alto Purchasing & Contract Administration 1st Floor, Civic Center 250 Hamilton Avenue Palo Alto, CA.94301 OR P.O. Box 10250 Palo Alto, CA 94303 RFP NO. 115905/06 PART I Page 2 of 3 PART I ISSUED BY AND CONTACT FOR PROCEDURAL INFORMATION: Marina Lutze, Buyer Purchasing and Contract Administration 4th Floor, Civic Center 250 Hamilton Avenue Palo Alto, CA 94301 Phone: (650) 329-2500 Award and execution of the Contract shall be as describedin the Request for Proposal documents. THE SELECTION CRITERIA as determined by the Project Manager and as specified under the Scope of Services (Part II) and the Bid Instructions and Forms (Part III). TERM OF AGREEMENT The term of this Agreement shall be for 12 months. The agreement may be extended for up to two (2) 12-month periods for a maximum of 36 consecutive months, subject to: ¯monetary appropriations by the City Council; the Contractor’s compliance with the terms and conditions as established by this document (RFP); and, a mutual agreement to continue the Agreement with: (a)negotiations beginning 60 days prior to the Agreement expiration date; (b)satisfactory compliance and extensions by the Contractor with the established certificates of insurance, licensing, permits, City’s Agreement or other requirements, if any, of the Terms & Conditions; (C) firm pricing for subsequent Agreement term as set forth in herein; and, (d)no damages resulting if the contract terminates on account of a lack of monetary appropriations. Proposer’s signature in Section 305 (Part III) herein constitutes an agreement to the terms and conditions as described in this Request for Proposal: RFP NO. 115905/06 PART I Page 3 of 3 PART II SCOPE OF SERVICES ADVERTISING/COMMUNICATIONS AGENCY INTRODUCTION This is a request for proposal (RFP) to provide advertising and marketing communication services to the City of Palo Alto Utilities (CPAU) Marketing Services and Public Relations groups. Estimated budget for the projects is $161,000 for three (3) years. BACKGROUND The City of Palo-Alto Utilities has been in operation for over 100 years. We are a municipal utility system, one that is owned and operated by the City (and therefore the City Residents). The customer segments we service include: residential, commercial, corporate, institutional and industrial classes. The main commodities we provide are water, electricity and gas to utility customers. The benefits we provide are low rates, fast responses, local political control,, reliable delivery and a positive environmental focus. Utility Marketing Services and Public Relations are two of the main points of contact between the City of Palo Alto Utilities and customers. Through various media we convey current programs, educational and technical information, and industry trends and .updates to our customers. Mediums for presenting this information include but are not limited to advertisements, case studies, newsletters, bill inserts, brochures and program packets. C.SERVICES TO BE PROVIDED As utility industries are changing and being restructured, the urgency to distinguish ourselves from other utilities or energy retailers, remain visible and maintain our image has been heightened. To accomplish this, CPAU is seeking partner(s) to provide the following: Section I -Produce new, high-end materials to convey CPAU’s message(s) and work with the City to update existing marketing and communication plans. Primary responsibilities include (but are not limited to): - developing an image campaign for CPAU including strategies, brochures, advertisements, customer bill inserts, direct mail and other materials as necessary -drafting news releases and crisis communications RFP NO. 115905/06 PART II Page 1 of 7 PART II SCOPE OF SERVICES - developing materials within the parameters set by CPAU. The majority of materials to be developed will focus on the deregulation of the California energy (electricity and natural gas) utility industry, CPAU’s image and brand, and CPAU’s contributions toand role in the local commtmity. - preparing web-ready graphics and/or converting printed outreach materials to be web-ready. Section II -Provide design assistance with Short-term and/or quick turnaround projects. Primary responsibilities include (but are not limited to): -designing program packets, newsletters, brochures, advertisements, customer bill inserts, factsheets and display materials. - developing materials within the parameters set by CPAU. The majority of materials to be developed will focus on efficient use of water and energy, and CPAU programs and services. City reserves the right to select more than one agency depending upon bidding agencies’ experience and expertise to meet CPAU’s requirements. PROPOSAL GUIDELINES A suggested format for the contractor’s response to this Request for Proposal is indicated below. These guidelines are intended to facilitate the review of the responses. Bidders are requested to follow these guidelines. The responses should refer to the section number and title - e.g., "1. Project Statement" Project statement Prepare a brief general statement indicating the contractor’s overall understanding of the nature of services to be provided. o Staffing Contractor is to include information about those professionals on staff who will be assigned to City’s account, specifying individuals’ responsibilities and related experience. Tables I and II and questionnaires IH and IV - located at end of Part II Fill in responses on City forms for Tables I (Rates), II (Cost and estimated amount of time to complete specific projects) and the Questionnaires RFP NO. 115905/06 PART II Page 2 of 7 PART II SCOPE OF SERVICES 4.References Provide at least three (3) references related to the scope of the project 5.Samples Provide at least five (5) sampies of your design relevant to this project. indicate if you would like these returned. Please EVALUATION OF PROPOSALS All proposals will be reviewed by staff. The most qualified will be invited to an oral interview to tim.her discuss the proposal. The criteria for evaluation include, but not limited to (not in order of priority): 1.Response to this Request for Proposal 2.Qualifications and experience of contractor’s proposed manager and key staff 3.Demonstrated recent experience reflecting type and quality of work required 4.Completeness of the proposal submitted 5.Effective communication and working relations with client 6.Samples as required 7.Suitability of style with CPAU 8.Cost 9.References If you have any questions, please contact Marina Lutze, Buyer, at 650-329-2500. PROPOSAL RESPONSES RFP NO. 115905/06 PART II Page 3 of 7 PART II SCOPE OF SERVICES Name of Company.Bid on one section or both Section I Developing I. RATES image - High end materials 1.Design Per hour $$ 2.Client consultation "$$ 3.Client consultation on web page design "$$ 4.Copywriting "$$ 5.Editing "$$ 6.Lay-out "$$ 7.Blue-line proofing "$$ 8.Press check "$$ 9.Travel/mileage $$ 10.Film separation $$ 11.Other $$ Section II Short-term/quick turnaround design assistance II - Estimate of the amount of time and cost to complete the following projects from design to providing final ¯output on disk (printing excluded). ’ Assume you are given an outline of information and appropriate consultation with client. the RFP correspond to the estimates requested. All are 2- color. Samples included with Item No.Description Time "Cost 1.Double-sided brochure (8-1/2" x 11", folded) 2.Newsletter (11" x 17", two-sided, folded) 3.Bill insert (7" x 11", one-sided) 4.Advertisement (approx. 10-1/4" x 14-1/2", size of our local full-page newspaper ads) 5.News release, 1.5 page 8-1/2 x 11, standard news release format 6.Program packet - 1 flyer, program application form, folder design PROPOSAL RESPONSES RFP NO. 115905106 PART II Page 4 of 7 ¯ PART II SCOPE OF SERVICES Name of Company .... IH - Please indicate your familiarity or experience with the following: 1. Number of years company has been in business: Familiarity with government regulated industries: Not familiar Somewhat familiar Familiar Please explain: Very familiar Familiarity with the electric power industry: Not familiar Somewhat familiar Please explain: Familiar Very familiar Familiarity with the natural gas industry: Not familiar Somewhat familiar Please explain: Familiar Very familiar. o Familiarity with the water industry: Not familiar Somewhat familiar Please explain: Familiar Very familiar Familiarity with commodity marketing and sales: Not familiar Somewhat familiar Familiar Please explain: Very familiar Familiarity with business-to-business marketing and sales: Not familiar Somewhat familiar Familiar Please explain: Very familiar PROPOSAL RESPONSES RFP NO. 115905/06 PART II Page 5 of 7 PART II SCOPE OF SERVICES Name of Company. Familiarity with consumer marketing and sales: Not familiar Somewhat familiar Please explain: Familiar Very familiar Experience with branding and image carnpaigns: Not familiar Somewhat familiar Familiar Please explain: Very familiar 10. Experience with public relations materials: Not familiar Somewhat familiar Please explain: Familiar Very familiar 11.Experience with crisis communications: Not familiar Somewhat familiar Please explain: Familiar Very familiar IV - Agency’s services, specialties and experience: 1. Provi~le a brief description of your agency’s services and specialties: 2.Do you write public relations materials - e.g., news releases, feature articles, op-ed pieces, etc.? o Do you design displays? Trade show? Point of purchase? 4. Have you written information for the Intemet or a Web page? RFP NO. 115905/06 PART II Page 6 of 7 PART II SCOPE OF SERVICES PROPOSAL RESPONSES Name of Company, 5.Do you provide consultation on Web page design? Are you able to provide representative URLs of pages your organization has designed and implemented? 6.Can you provide electronic conversion of printed materials into Web-based formatting such as JPEG, GIF and HTML? 7. Check all methods of transferring information that you have access to: fax __deliver disk/final product in person __send disk!fmal product in mail e -mail Interact 8. Are you MAC or PC based? RFP NO. 115905/06 PART II Page 7 of 7 PART III RFP INSTRUCTIONS AND FORM REQUIREMENTS A.INSTRUCTIONS TO PROPOSERS: proposal Format: Proposals shall be submitted in accordance withthe following Instructions to Proposers .and ~e Scope of Services - Specifications and Requirements (PART II, herein) to receive consideration: 1.0 2.0 Unless otherwise called for, FOUR (4) copies of the Proposal, typewritten, shall be submitted. Proposals shall not contain any modification of the work or services to be done-under the scope of the project. Alternative proposals are acceptable when called for. Exceptions to requirements must be clearly identified in writing with full explanations. 2.1 When requested, the Contractor shall furnish a statement of financial responsibility and experience in the Proposal, 2.2 Before submitting a Proposal, the Contractor shall examine and read the enclosed documents, visit the site of the services to be provided if applicable, and be informed as to all existing conditions and limitations. 3.0 This RFP shall not commit the City to award a contract, to pay any costs incurred in the preparation of proposal made in response to this RFP, or to procure or contract for services. InterPretation: If any person contemplating the submittal of a proposal for the Project is in doubt as to the proposal procedures, such proposer should contact the City’s Buyer. If any person is in doubt as to the true meaning of any part of the requirements, work, or other proposed agreement documents, he or she-should request that the City Project Manager provide a written interPretation or correction thereof. The proposer submitting the request will be responsible for its prompt delivery. Any interPretation or correction of this RFP will be made only by addendum sent to those who have received an RFP. City will not be responsible for any other explanations or interPretations of the RFP. .Withdrawal of Proposal: Any proposer may withdraw a proposal, either personally or by telegraphic or written request, at any time prior to the scheduled closing time for receipt of the proposals in response to this RFP. No proposer may withdraw a proposal for a period of sixty (60) days after the time and date set for opening thereof. ..Addendum: Any addendum issued during this RFP process shall be indicated in the RFP response (PART II. "Acknowledgrne.nt") and shall be made a part of the agreement between the City and the selected contractor. Proposal List: Unless receipt of this RFP is acknowledged, in the form of a letter or a "no response," the Contractor’s name may be removed from the applicable mailing list. Mailing lists are maintained solely as an accommodation to proposers. A "No Response" response may be submitted on company letterhead or via FAX. Purchasing’s FAX: (650) 329-2468. RFP NO. 115905/06 PART III Page 1 of 11 PART III RFP INSTRUCTIONS AND FORM REQUIREMENTS Opening of Proposals: All proposals, regardless of any irregularities or informalities, will be opened and only the name of the contractor publicly read aloud at the time and place set forth herein. Late (delivered) proposals (after the specified date and time of the proposal bid opening) shall be rejected. 1.0 In cases where only one proposal is received, such proposal will be publicly opened and the name of the contractor read aloud. Proposers, or their representatives and other interested persons, may be present at the opening of the responses to the RFP. Disputes: In case of discrepancy between words and figures when evaluating the proposals, the words shall prevail; provided, however, that the City reserves the right to construe any proposal according to its tree intent where it contains a patent mistake. Decision to.Reject: The City reserves the unfettered right to reject all proposals for any reason or for no reason, to re-advertise a proposal, or to cancel a proposal listing and elect to perform the Project and Work itselL The City reserves the right to reject as non-kesponsive any proposal which is incomplete, modified, unsigned, or illegible or which is not otherwise submitted in accordance with the~ requirements of this Request For Proposal. Scope of Work or Services: Proposer shall be deemed an independent contractor and not an agent, subcontractor or employee of the City. Proposer shall not enter into any subcontract agreement. The Services and Work required are attached hereto as PART II and incorporated herein by this reference. Reference to Cost or Costs: Any reference to "cost" or "costs" throughout this document is done so purely on the basis of discovering the relationship of the overall estimated costs to budget available. The City shall select these services on the basis of demonstrated competence and on the professional qualifications necessary for the satisfactory performance of the services and work required. .Invoicing and Verification of Costs: 1.0 Contractor shall submit invoices arid revenue receipts, monthly, in triplicate for the cost of services provided during periods or as may be required in the RFP. Such costs and revenue shall be identified as defined in the Proposal project tasks and requirements from this RFP, with sufficient detail to provide verification of the invoiced and revenue amount. Invoices and revenue receipts shall include all applicable supporting documentation and shall group charges by fee (where applicable), payroll COSTS billed and other expenses. 1.1 Invoices with proper documentation, and references, as outlined herein shall be submitted to the: " CITY of PALO ALTO P.O. Box 10250 Palo Alto, CA 94303 Attention: Linda Clerkson, Project Manager RFP NO. 115905/06 PART III Page 2 of 11 PART III RFP INSTRUCTIONS AND FORM REQUIREMENTS Bo 2.0 Contractor shall maintain books and records supporting all reimbursable costs for services provided under the agreement. City shall have access (within normal business hours) to such books and to all other records of the contractor as required .to verify any and all reimbursable costs invoiced. PRE-PROPOSAL CONFERENCE INFORMATION A PRE-PROPOSAL CONFERENCE IS NOT SCHEDULED for this project. SUBMITTAL REQUIREMENTS Interested proposers shall provide a response in accordance with the Statement of Qualifications contained in the Scope Of Services (PART ID of this RFP, and the following: 3. 4. 5. 6. 7. A brief statement of the proposer’s overall understanding of the nature of the project and the services to be provided under this RFP. A brief description of the background and capabilities of the proposer, and a statement of direct relevant experience with similar projects. Completeness of the Proposal submitted. Names of specific individuals, of both proposer and any subcontractor firms proposed for this project, including their role and relevant experience with similar projects. Cost:. A detailed cost breakdown as discussed in the Scope of Services (Part II of RFP). Three references including contact name, address and phone number. Forms (completed): 305; 310; 410; and 420. D.CONTRACTOR SELECTION PROCESS As a minimum, the evaluation of the proposals and selection of the contractor will be based on the following as well as the criteria listed in PART II: 1.Qualifications and experience of proposed project manager and key staff; 2.Similar experience and expertise in the type of work/service required; 3.Demonstrated experience and methodology used in performing the work/service; 4.The response to this RFP, including the contractor’s approach and methodology proposed; and, 5.The proposed fee relative to the services to be provided. The City may conduct interviews with the candidates prior to selection. If an interview is required, candidates will be contacted to schedule a date, time and place. RFP NO. 115905/06 PART III Page 3 of 11 PART III RFP INSTRUCTIONS AND FORM REQUIREMENTS ~I. SPECIAL CONDITIONS Conflict of Interest: The selected Contractor/consultant and any subcontractor may be required to comply with City’s conflict of interest code by filing a f’mancial disclosure form entitled "Statement of Economic Interest, Form 700." This will depend on whether the Contractor/consultant or subcontractor is a Contractor/consultant so def’med under the California Political Reform Act and whether the range of duties and the services to be provided under the agreement entails the making or participation in the making of decisions by the Contractor/consultant or subcontractor which may foreseeably have a material effect on any financial interest of the Contractor/consultant or subcontractor with respect to the agreement and the nature of the services to be rendered will not be limited in scope nor pr~arily ministerial in nature. Force Majeure. Performance of the agreement by each party shall be pursued with due diligence in all requirements hereof; however, neither-p~rty shall be liable for any for delay or nonperformance due to causes not reasonably within its control. In the event of any delay resulting from such causes the time for performance and payment hereunder shall be extended for a period of time reasonably necessary to overcome the effect of such delays. In the event of any delay or nofiperformance caused by such uncontrollable forces, the party affected shall promptly notify the other in writing of the nature, cause, date of commencement thereof and the anticipated extent of such delay, and shall indicate whether it is anticipated that the completion dates would be affected thereby. Insurance: The selected Contractor/consultant must provide a certificate of insurance in a form acceptable to City’s Risk Management prior to entering into the agreement. The certificate shall evidence the Contractor/consultant’s insurance coverage in the forms and amounts set forth in Form 650 to this RFP. The Contractor/consultant shall maintain such insurance as will cover and include the entire obligation assumed in the agreement as well as such insurance as will protect the Contractor/consultant from claims and liability under Worker’s Compensation Acts, personal liability, property damage, and all other claims for damages, including personal injury, and death, which may arise from operations under the agreement. For additional information contact Purchasing, (650) 329- 2500. O.wnership: All drawings, plans, reports, specifications, calculations, and other documents prepared by the Contractor/consultant under the agreement shall become the property of City. Licensing All design and construction drawings, specifications, reports and related design or construction documents or any other documents under the Project shall be. certified by the appropriate registered professional engineer licensed to practice within the State of California RFP NO. 115905/06 PART III Page 4 of 11 PART III RFP INSTRUCTIONS AND FORM REQUIREMENTS Records and Audits: Contractor/consultant shall maintain accurate and complete records specifically relating to the Services provided under the agreement. Contractor/consultant shall also keep records and books of account showing all charges, disbursements, or expenses made or incurred by Contractor/consultant in the performance of the service herein. Records shall be created which are relevant in determining whether Contractor/consultant is complying with its obligations hereunder. City shall have the right to inspect and audit the books, records, and other items relating to this Agreement. Contractor/consultant shall provide security and retain such records and items for a period of three years from date of final payment under this agreement. .Securi .ty of Data: The Contractor/consultant agrees that any data provided by the City shall: 1.0 Be kept in confidence and not disclosed to third parties without the prior written approval of City; and 2.0 Not be used in the production, or design of any article or material, report or press release, without City’s prior written consent. These obligations shall survive the termination of the agreement. The Contractor/consultant shall return and deliver all data to City upon City’s request, and in any event upon the completion or termination of all work hereunder, whichever first occurs, and the Contractor/consultant shall be fully responsible for the care and protection of data until such delivery. Taxes." Except where specifically provided, the proposal fee(s) shall include all federal, state, and local sales, use, excise, transportation, privilege, occupational, and other taxes applicable to service, materials or equipment fiLrnished under the agreement or by the Contractor/consultant’s payroll. The Contractor/consultant agrees to indemnify and save City harmless from and against any liability for any such taxes, or payroll premiums and contributions. Changes: The agreement shall not be assigned or transferred without the written consent of City. No changes or variations of any kind are authorized without a written and signed amendment to the agreement. The proposed work or services shall be diligently prosecuted in a.ccordance with the Project schedule negotiated by the Contractor/consultant and Project Manager. The schedule may be subject to extensions or reductions as may occur from time to time during the course of the Work which shall be effectuated by change orders duly executed by the Project Manager and Contract Administration. _Scheduling: Contractor/consultant shall develop and maintain a detailed schedule for the work required. under the Contract. Contractor/consultant shall submit progress data as required by the Project Manager which shall include the percentage complete and actual start date and actual finish date for all activities worked on by the Contractor/consultant under the Project as required by the Project Manager. RFP NO. 115905/06 PART III Page 5 of 11 PART III RFP INSTRUCTIONS AND FORM REQUIREMENTS Standard of Perforr0ance: 1.0 The selected Contractor/consultant shall be required to unconditionally warrant that it shall use sound and professional principles and practices in accordance with the highest degree of skill and care as those observed by national firms of established good reputation as well as the current normally accepted industry standards, in the performance of services required herein. The performance of the Contractor/consultant’s personnel shall also reflect.their best professional knowledge, skill and judgement. 2.0 If any failure to meet the foregoing warranty appears during the term of the agreement the City .may terminate the ag.reement and require reimbursement of all expenses necessary to replace or restore such services. Indemnity.: The selected Contractor/consultant he.reb.y agrees to protect, indemnify, defend and hold harmless City, its officers, agents, and employees from any and all demands, claims or liability of any nature, including wrongful death, caused by or arising out of the Contractor/consultant’s, its officers’, agents’ or employees’, negligent acts, errors, or omissions, or willful misconduct, or conduct for which the law may impose strict liability on the Proposer in the performance or nonperformance of the agreement. Non-Discrimination Requirement: The Contractor/consultant shall be required to Comply with all laws concerning non-discrimination in employment, and shall be subject to all penalties, including penalties set forth in the Palo Alto Municipal Code, in the event of a violation of this provision. ADA Information: Persons with disabilities who require auxiliary aids or services in using City facilities, services or programs; or who require this document be provided in other accessible formats; or who would like information on the City of Palo Alto’s compliance with the Americans with Disabilities Act (ADA) of 1990 should contact the ADA Director for the City of Palo Alto at (415) 329-2550. Interest of Proposer; At all times the Contractor/consultant shall be deemed to be an independent Contractor/consultant and the proposer shall not be authorized to bind City to any contract or other obligation. Under the. agreement, the Contractor/consultant shall certify.that no one who has or will have any financial interest under the agreement is an officer or employee of City. Entire. Agreement: The agreement between City and the selected Contractor/consultant will constitute the entire agreement of the parties hereto, and will supersede any previous agreement or understandings. The agreement may not be modified except in writing and executed by both parties. Governing Law: The laws of the State of California shallgovern this RFP process and the agreement. All services provided to City shall comply with all policies, rules and regulations which may be in effect during the term of the agreement, as well as all federal, California and local statutes, ordinances, and regulations. RFP NO. 115905/06 PART III Page 6 of 11 PART III RFP INSTRUCTIONS AND FORM REQUIREMENTS FORM 305 PROJECT TITLE: ADVERTISING/COMMUNICATIONS AGENCY Bidder is a: [] [] [] **California Corporation **California Limited Liability Company **Corporation organized under the laws of the State of with head offices located at and offices in California at **California Corporations Code section 313 requires two corporate officers to execute contracts. Q Sole Proprietorship; Fictitious Business Names (i.e. °d.b.a."): Proprietor Partnership tZI Limited Liability Partnership (!ist names of partners; state which partner or partners are managing partner(s); attach addendum.) Other (Attach addendum with explanatory details). The undersigned hereby agrees to and accepts the terms and con.ditions of this RFP. COMPANY NAME AND ADDRESS:"SIGNATURE OF FIRST OFFICEPJOWNER ORS NUMBER) (CONTRACTOR LICENSE NUMBER/TYPE (FAX) (TELEPHONE) (MUST BE THE SAME SIGNATURE AS VVILL APPEAR ON CONTRACT) (PRINTED NAME OF SIGNATORY) (TITLE)(DATE) **SIGNATURE OF SECOND OFFICER (MUST BE THE SAME SIGNATURE AS WILL APPEAR QN CONTRACT) (PRINTED NAME OF SIGNATORY) ,fTITI F)(F~ATF") Name of Contact:Title: Phone:Fax: ** Signature of First Officer/Owner must be one of the following: Chairman of Board, President or Vice President ** Signature of Second Officer must be one of the following: Secretary, Assistant Secretary, Chief Financial Officer or Assistant Treasurer RFP NO. 115905/06 PART III Page 7 of 11 PART II!FORM 310 PROJECT TITLE: ADVERTISING/COMMUNICATIONS AGENCY CONTRACTOR’S SPECIAL LICENSE REQUIREMENTS When applicable, and subject to verification of good standing, the Contractor/consultant shall submit a copy of its current professional license as issued by the State of California under Chapter 9 of Division lII of the California Business and Professions Code (Sections 7000 et seq). The copy of the license shall be attached to the Signature Page herein. ACKNOWLEDGMENT OF ADDENDUM(S) During the RFP process there may be changes to the documents which would require an issuance of an Addendum or Addenda. To assure that all Contractor/consultants receive the update or change Addendum, the following acknowledgment and sign-off is required. NOTE: Failure to execute the following may be considered as an irregularity in the request for proposal process. Receipt of the following Addendum is acknowledged. The Contractor/consultant aclcnowledges that the information contained in the addendum has been considered in the preparation of this RFP. Addendum No. (None...__), (1~), (2..._3, (3___), (4_____), (5~) (Check appropriate space/number above) Signature of Contractor Company RFP NO. 115905/06 PART III Page 8 of 11 PART III FORM 410 PROJECT TITLE: ADVERTISING/COMMUNICATIONS AGENCY Certification of Nondiscrimination: As suppliers of goods or services to the City of Palo Alto, the firm and individuals listed below certify that they do not discriminate in employment with regards to age, race, color, religion, sex, national origin, ancestry, disability, or sexual preference; that they are in compliance with all Federal, State and local directives and executive orders regarding nondiscrimination in employment. Firm:DATE: Title of Officer Signing: Signature RFP NO. 115905/06 PART III Page 9 of 11 PART II!SECTION 420 EXPERIENCE AND FINANCIAL QUALIFlCATIONS The following information concerning the experience and financial-qualifications of the Contractor or Consultant are a required part of the Proposal. This information may be included in the Proposer’s proposal format; this format is provided for information required only. The information may be used in the Proposal’s evaluation and is certified correct by your signature herein. PROJECT NAME: Name of Company: Name of Insurance Carrier: Phone Number: 1. ADVERTISING/COMMUNICATIONS AGENCY Policy Number: How many years have you (or your f’n-m) done business under the name listed above? How many years experience have you (or your fn’m) had which is similar in nature to the work covered in the Proposal? o Please provide (in your proposal) relevant references to contracts satisfactorily completed in the last three (3) years. The information should include: Year; Type of services; Company/Agency name and location; and Contract amount. 3.1 Have you (or your firm) previously worked for the City of Palo Alto? __ Yes __ No If .yes, please include the information in your proposal. Please provide (in your proposal) a list of the Project’s management staff of the proposer who will manage the proposed work as may be required by the Scope of Work or Services listed herein. The information should include: Name; Years of Experience; Field of Expertise/ Capabilities. State location (in your proposal) of information requested under items 1 - 4 above: 1.2.3.4. Comractor/Consultant (Company Name) (Name/Title)(D ate) RFP NO. 115905/06 PART III Page 10 of 11 C. D. E. PART III .FORM 650 CONTRACTOR: PROJECT ~ukNAGER: CONTRACT NANIE: Insurance Requirements for Contractor/Consultant Linda Clerkson ........... Mm-i~ Lu~zeiBu~,er Advgrtisin@/Cornmunications Services GENERAL TER_MS AND INSTRUCTIONS .........~ ~U~’F~N S~ SHO~ BE ~ TO yOUR ~I[~CE AG~N~/~RO~., ..... THE CONSULTANT/CONTRACTOR RETAL~D, AT THE~ SOLE EXPENSE, SHALL OBTAEN AND NtA!NTA~ iNSURANCE FOR THE TERM OF THE CONTRACT. CONTRACTORS ~9~LL BE REQU~ED TO PROV~E A CERT~qCATE EVIDENCING THE iNSURANCE AND NA~G THE CTFY AS AN ADDFTIONAL iNSURED. ALL iNSURANCE COVERAGE REQUIRED SHALL BE PROV~)ED THROUGH CARPdERS V~TH A BEST RA~ING OF A:X OR I~GI-I]~R THAT ARE ADMITrED TO DO BUSINESS IN THE STATE OF CALII~ORNIA. THE CERTIFICATE OF iNSURANCE MUST BE COMPLETED AND EXECUTED BY AN AUTHORIZED REPRESENTATIVE OF THE COMPANY PROVIDING INSURANCE, FILED WITH THE CITY, AND APPROVED BY THE CITY BEFORE CONTRACT WILL BE CONSII)ERED COMPLETE AS RESPECTS INSURANCE. RETURN THE COMPLETED CER]TFICA~ TO THE CITY OF PALO ALTO, PURCHASING & CONTRACT ADMINISTRATION, 250 HAMILTON A VENUE, PALO ALTO 94301. THE INSURANCE REQUIREMENTS CHECKED BELOW ARE REQUIRED. TYPE OF COV~GE REQUIRE~ [] Worker’s Compensation [] Automobile Liability ..... []Comprehensive General INCLUDING :¯PERSONAL INJURY ¯BROAD FOP~M PROPERTY D~/V~AGE¯BLANKET CONTBACTUAL ¯FIRE LEGAL LIABILITY [] Comprehensive Automobile Liability : INCLUDING : ¯OW~NED ¯HIRED ¯NON-OWNED Professional Liability: INCLUDING :¯¯ERRORS A~D OMISSIONS ¯MALPBACTICE (If Applicable) ¯NEGLIGENT PERFOR~CE Liability : Statutory BODILY INOX!RY PROPERTY DA~GE BODILY INJURY &PROPERTY D~iMAGE COP£BiNED BODILY INJURY IEach Person) BODILY INJURY !Each Occurrence) .... .pROPERTY DAMAGE BODILY INJURY &PROPERTY D~!MAG E COMBINED $1,000,000$1,000,000 $1,000,000 $i,000,000,$I,000,000 ,~I,090,000 $1,000,000 $I,000,000 $I, 000, 000 $i,000,000 $I, 000,000 []THE CITY OF PALO ALTO IS TO BE NAMED AS AN ADDITIONAL INSURED The City of Palo Aim, its officers, agents and employees are named as additional into.red, but only as to work performed under contract. Said coverage as to the City of Palo Alto, etc., shall be primary coverage, without offset against City’s existing insurance and any other insurance carried by the City being excess insurance only. Where the work involves excavating, collapse coverage is provided in the amounts above. The policy includes a "Severability of Interest" provision. Deductibles over $5,000 must be indicated and are subject to approval. If such policies are canceled or changed during the period of coverage as stated herein, in such a manner as to affect the Certificate, thirty (30) days written notice will be mailed to the City of Palo Alto, Contract Administration, P.O. Box 10250, 94303 The liability insurance policy includes a contmctua! liability endorsement providing insurance coverage for Contractor’s agreement to indemnify the City. The coverage afforded under the policies is subject to all terms of the policies designated herein and meets all of the provisions called for herein. e, Buyer (650) 329-2500 RFP NO. 115905/06 PART III Page 11 of 11 ATTACHMENT 2 ATTACHMENT 3 CONTRACT NO. BETWEEN THE CITY OF PALO ALTO AND ADDISON OLIAN INCORPORATED FOR SERVICES This Contract No. is entered into , by and between the CITY OF PALO ALTO, a chartered city and a .municipal corporation of the State of California ("CITY"), and ADDISON OLIAN INCORPORATED, a California corporation, located at 2024 Broadway, Redwood City, CA 94063 ("CONTRACTOR"). RECITALS: WHEREAS, CITY desires certain advertising, marketing and public relations services ("Services"), as more fully described in Exhibit ’~A"; and WHEREAS, CITY desires to engage CONTRACTOR, including its employees, if any, in providing the Services by reason of its qualifications and experience in-performing such Services, and CONTRACTOR has offered to provide the Services. on the terms and in the manner set forth herein; NOW, THEREFORE, in consideration of the covenants, terms, conditions, and provisions of this Contract, the parties agree: SECTION i -TERM i.i This Contract will commence on the date of its execution by CITY. The obligation of CONTRACTOR is to perform each agreed upon scope of service, co~t estimate and time schedule per assigned task. In the event that the Services are not completed within the specified scope, cost estimate and time schedule on account of CONTRACTOR’s default, CITY’s city manager will have the option of extending the time schedule for any period of time. This provision will not preclude the recovery of damages for delay caused by CONTRACTOR. SECTION 2 - QUALIFICATIONS, CONTRACTOR STATUS,AND DUTIES OF 2.1 CONTRACTOR represents and warrants that it has the expertise and professiona! qualifications to furnish or cause to be furnished the Services. CONTRACTOR further represents and warrants that the project director and every individua! charged with the performance of the Services under this Contract are duly licensed or certified by the State of California, to the extent such licensing or certification is required by law to perform the Services. 9912~0 syn 0071769 2.2 In reliance on the representation and warranty set~ forth in Section 2.1, CITY hires CONTRACTOR to perform, and CONTRACTOR covenants and agrees that it will furnish or cause to be furnished, the Services. 2.3 CONTRACTOR will assign Addison Olian, President,~as the project director to have supervisory responsibility for the performance, progress, and execution of the Services. If circumstances or conditions subsequent to the execution of this Contract cause the substitution of the project director for any reason, the appointment of a substitute project director wil! be subject to the prior written approval of the project manager. 2.4 CONTRACTOR represents and warrants that it will: 2.4.1 Procure all permits and licenses, pay all charges and fees, and give all notices which may be necessary and incident to the due and lawfu! prosecution of the Services; 2.4.2 Keep itself fully informed of all existing and future Federal, State of Californi&, and local laws, ordinances, regulations, orders, and decrees which may affect those engaged or emp!oyed under this Contract, any materials used in CONTRACTOR’s performance under this Contract, Or the performance of the Services; 2.4.3 At all times observe and comply with, and cause its emp!oyees and contractors (and consultants), if any, who are assigned to the performance of this Contract to observe and comply with, the laws, ordinances, regulations, orders and decrees mentioned above; and 2.4.4 Will report immediately to the project manager, in writing, any discrepancy or inconsistency it discovers in the laws, ordinances, regulations, orders, and decrees mentioned above in relation to any plans, drawings, specifications or provisions of this Contract. 2.5 Any reports, marketing or public relations materials, artwork, information, data or other material given to, or prepared or assembled by, CONTRACTOR or its contractors, if any, under this Contract will become the property of CITY upon payment in full to CONTRACTOR and will not be made available to any individual or organization by CONTRACTOR or its contractors, if any, without the prior written approval of the city manager. 2.6 If CITY requests additional copies of reports, drawings, artwork, specifications, or any other material which CONTRACTOR is required to furnish in limited quantities in the performance of the Services, CONTRACTOR will provide such additional copies and CITY wil! compensate CONTRACTOR for its production and duplication costs. 991210 .syn 0071769 2 2.7 CONTRACTOR will be responsible for employing or emgaging all persons necessary to perform the Services. All contractors of CONTRACTOR wil! be deemed to be directly controlled and supervised by CONTRACTOR, which will be responsible for their performance. If any employee or contractor of CONTRACTOR fails or refuses to carry out the provisions of this ~Contract or appears to be incompetent or to act in a disorderly or improper manner, the employee or contractor will be discharged immediately from further performance under this Contract on demand of the project manager. SECTION 3 -DUTIES OF CITY 3.1 CITY will furnish or cause to be furnished the specified services set forth in Exhibit ’~A" and such other information regarding its requirements as may be reasonably requested by CONTRACTOR. 3.2 The city manager will represent CITY for all purposes under this Contract. Linda Clerkson is designatedas the project manager for the city manager. The project manager will supervise the performance, progress, and execution of the Services, and will be assisted by Sherilyn Hill, the project manager’s assistant. 3.3 If CITY observes or otherwise becomes aware of any default in the performance of CONTRACTOR, CITY wil! use reasonable efforts to give written notice thereof to CONTRACTOR in a timely manner. SECTION 4 - COMPENSATION 4.1 In consideration of the full performance of the Services by CONTRACTOR, CITY will pay CONTRACTOR a total sum not to exceed one hundred forty thousand dollars ($140,000) plus a five percent (5%) contingency payable within thirty (30) days of submission by CONTRACTOR of its itemized billings, in accordance with the following fee schedule set forth in Exhibit ’~B". CITY agrees to pay CONTRACTOR a re-billing fee of one and one-half percent (1.5%) per month on all amounts not paid within thirty (30) days of the date of invoice and further agrees that while CONTRACTOR’s damages for late payments under contracts entered into on behalf of CITY are uncertain and difficult to ascertain, the re- billing fee is a reasonable estimate of CONTRACTOR’s damage for such late payments. CONTRACTOR may, in addition, suspend performance and cance! work in process after furnishing thirty (30) days prior written notice to CITY, if the timely payment of any undisputed amount is not received. SECTION 5 -AUDITS 5.1 CONTRACTOR will permit CITY to audit, during the term of this Contract and for three (3) years thereafter, 991210 s.~ 0071769 CONTRACTOR’s records pertaining to matters covered CQntract. CONTRACTOR further agrees to maintain and retain such records for at least, three (3) years after the expiration or earlier termination of this Contract. CITY shall reimburse CONTRACTOR for all reasonable mutually agreed upon costs and charges for time expended (per current, billable rates) facilitate a CITY-authorized audit, including CONTRACTOR’s internal and external costs directly associated with the research, preparation and review of documents. by this~ SECTION 6 -INDEMNITY 6.1 Each Party shall protect, indemnify, defend and hold harmless the other Party, its Counci! members, officers, employees and agents from and against any and all demands, claims, losses, costs, damages, expenses (including reasonable attorneys’ fees), or liability of any nature, including death or injury to any person, property damage or any other !oss, caused by, arising out of or resulting from that Party’s negligence or willful misconduct, or conduct for which applicable law may impose strict liability on that Party in the performance of or failure to perform its obligations under this Contract. SECTION 7 -WAIVERS 7.1 The waiver by either party of any breach or violation of any covenant, term, condition or provision of this Contract, or of the provisions of any ordinance or law, will not be deemed to be a waiver of any other term, covenant, condition, provisions, ordinance or law, or of any subsequent breach or violation of the same or of any other term, covenant, condition, provision, ordinance or law. The subsequent acceptance by either party of any fee or other money which may become due hereunder wil! not be deemed to be a waiver of any preceding breach or violation by the other party of any term, covenant, condition or provision of this Contract or of any applicable law or ordinance. 7.2 No payment, partial payment, acceptance, or partial acceptance by CITY will operate as a waiver on the part of CITY of any of its rights under this Contract. SECTION 8 -INSURANCE 8.1 CONTRACTOR, at its sole cost and expense, will obtain and maintain, in full force and effect during the term of this Contract, the insurance coverage described in Exhibit "C", insuring not only CONTRACTOR and its contractors, if any, but also, with the exception of workers’ compensation, emp!oyer’s liability, and professional liability insurance, naming CITY as an additional insured concerning CONTRACTOR’s performance under this Contract. 991210 syn 0071769 4 8.2 All insurance coverage required hereunder will be provided through carriers with Best’s Key Rating Guide ratings of A:VII or higher which are admitted to transact insurance business in the State of California. Any and all contractors of CONTRACTOR retained to perform Services under this Contract will obtain and maintain, in full force and effect during the term of this Contract, identical insurance coverage, naming CITY as an additional insured under such policies as required above. 8.3 Certificates of such insurance, preferably on the forms provided by CITY, will be filed with CITY concurrently with the execution of this Contract. The certificates will be subject to the approval of CITY’s risk manager and will contain an endorsement stating that the insurance is primary coverage and will not be canceled or altered by the insurer except after filing with CITY’s city clerk thirty (30) days’ prior written notice of such cancellat±on or alteration, and that the City of Palo Alto is named as an additional insured except in policies of workers’ compensation, employer’s liability, and professional liability insurance. Current certificates of such insurance will be kept on file at all times during the term of this Contract with the city clerk. 8.4 The procuring of such required policy or policies of insurance will not be construed to limit CONTRACTOR’s liability -hereunder nor to fulfill the indemnification provisions of this Contract. Notwithstanding the policy or policies of insurance, CONTRACTOR will be obligated for the full and total amount of any damage, injury, or loss caused by or directly arising as a result of the Services performed under this Contract, including such damage, injury, or loss arising after the Contract is terminated or the term has expired. SECTION 9 -WORKERS’ COMPENSATION 9.1 CONTRACTOR, by executing this Contract, certifies that it is aware of the provisions of the Labor Code of the State of California which require every employer to be insured against liability for workers’ compensation or to undertake self-insurance in accordance with the provisions of that Code, and certifies that it will comply with such provisions, as applicable, before commencing the performance of the Services. SECTION i0 - SERVICES TERMINATION OR SUSPENSION OF CONTRACT OR i0.I The city manager may suspend the performance of the Services, in whole or in part, or terminate this Contract, with or without cause, by giving thirty (30) days’ prior written notice thereof to CONTRACTOR. Upon receipt of such notice, CONTRACTOR wil! immediately discontinue its performance of the Services. 991210 syn 0071769 5 10.2 CONTRACTOR may terminate this Contract or suspend~ its performance of the Services by giving thirty (30) days’ prior written notice thereof to CITY, but only in the event of a substantial failure of performance by CITY or in the event CITY indefinitely withholds or withdraws its request for the initiation or continuation of the Services to be performed. 10.3 Upon such suspension or termination by CITY, CONTRACTOR will be paid for the Services actually rendered to CITY on or before the effective date of suspension or termination; provided, however, if this Contract is suspended or terminated on account of a default by CONTRACTOR, CITY will be obligated to compensate CONTRACTOR only for that portion of the Services which are of direct and immediate benefit to CITY, as such determination may be made by the city. manager acting in the reasonable exercise of her discretioh. CITY agrees to assume CONTRACTOR’s liability under all outstanding contracts made by CONTRACTOR on behalf of CITY that are expressly authorized, in writing, by CITY. CITY shall reimburse CONTRACTOR for all reasonable costs incurred by CONTRACTOR on behalf of CITY, including the cost of service, materials, mailing, packaging, shipping charges, taxes, duties, telephone, trave! and any unavoidable or non-cancelable costs incurred upon the termination of this Agreement. 10.4 Upon such suspension or termination, CONTRACTOR will deliver to the city manager within thirty (30) days any and all copies of studies, sketches, drawings, computations, and other data, whether or not completed, prepared by CONTRACTOR or its contractors, if any, or given to CONTRACTOR or its contractors, if any, in connection with this Contract. The work product of the services to be performed by CONTRACTOR after acceptance, approval and payment in full by CITY shall become the property of CITY. Work product that is not accepted, approved, or paid in full by CITY shall remain the property of CONTRACTOR. 10.5 The failure of CITY to agree with CONTRACTOR’s independent findings, conclusions, or recommendations, if the same are called for under this Contract, on the basis of differences in matters of judgment, will not be construed as a failure on the part of CONTRACTOR to fulfill its obligations under this Contract. SECTION ii -ASSIGNMENT II.i This Contract is for the personal services of CONTRACTOR, therefore, CONTRACTOR will not assign, transfer, convey, or otherwise dispose of this Contract or any right, title or interest in or to the same or any part thereof without the prior written consent of CITY. A consent to one assignment will not be deemed to be a consent to any subsequent assignment. Any assignment made without the approval of the city manager will be void and, at the option of the city manager, this Contract may be 991210 syn 0071769 terminated. law. This Contract will not be assignable by operation of SECTION 12 -NOTICES 12.1 All notices hereunder will be given in writing and mailed, postage prepaid, by certified mail,~addressed as follows: To CITY:Office of the City Clerk City of Palo Alto Post Office Box 10250 Palo Alto, CA 94303 To CONTRACTOR: Attention of the project director at the address of CONTRACTOR recited above SECTION 13 -CONFLICT OF INTEREST 13.1 In accepting this Contract, CONTRACTOR covenants that it presently has no interest, and will not acquire any interest, direct or indirect, financial or otherwise, which would conflict in any manner or degree with the performance of the Services. 13.2 CONTRACTOR further covenants that, in the performance of this Contract, it will not employ any contractor or person having such an interest. CONTRACTOR certifies that no person who has or will have any financial interest under this Contract is an officer or employee of CITY; this provision will be interpreted in accordance with the applicable provisions of the Pa!o Alto Municipal Code and the Government Code of the State of California. SECTION 14 -NONDISCRIMINATION 14.1 As set forth in the Palo Alto Municipal Code, no discrimioation will be made in the employment of any person under this Contract because of the age, race, color, national origin, ancestry, religion, disability, sexual preference or gender of that person. If the value of this Contract is, or may be, five thousand dollars ($5,000) or more, CONTRACTOR agrees to meet ali requirements of the Palo Alto Municipal Code pertaining to nondiscrimination in emp!oyment, including completing the requisite form furnished by CITY and set forth in Exhibit "D". 14.2 CONTRACTOR agrees that each contract for services with an independent provider will contain a provision substantially as follows: "[Name of Provider] will provide CONTRACTOR with a certificate stating that [Name of Provider] is currently in compliance with all 991210 syn 0071769 Federal and State of California laws covering nondiscrimination in employment; and that [Name of Provider] wili not discriminate in .the employment of any person under this contract because of the age, race,, color, national origin, ancestry, religion, disability, sexua! preference or gender of such person." 14.3 If CONTRACTOR is found in violation of the nondiscrimination provisions of the State of California Fair Employment Practices Act or similar provisions of Federal law or. executive order in the performance of this Contract, it will be in default of this Contract. Thereupon, CITY will have the power to cance! or suspend this Contract, in whole or in part, or to deduct the sum of twen[y-five dollars ($25) for each person for each calendar .day during which such person was subjected to acts of discrimination, as damages for breach of contract, or both. Only a finding of the State of California Fair Employment Practices Commission or the equivalent federa! agency or officer will constitute evidence of a breach of this Contract. SECTION 15 -MISCELLANEOUS.PROVISIONS 15.1 CONTRACTOR represents and warrants that it has knowledge of the requirements of the Americans with Disabilities Act of 1990, and the Government Code and the Health and Safety Code of the State of California, relating to access to public buildings and accommodations for disabled persons, and relating to facilities for disabled persons. CONTRACTOR will comply with or ensure by its advice that compliance with such provisions wil! be effected in the performance of this Contract. 15.2 This Contract will be governed by the laws of the State of California, excluding its conflicts of law. 15.3 In the event that an action is brought, the parties agree that trial of such action will be vested exclusively in the state courts of California or in the United States District Court for the Northern District of California i~ the County of Santa Clara, State of California. 15.4 The prevailing party in any action brought to enforce the provisions of this Contract may recover its reasonable costs and attorneys’ fees expended in connection with that action. 15.5 This document represents the entire and integrated agreement between the parties and supersedes all prior negotia- tions, representations, and contracts, either written or oral. This document may be amended only by a written instrument, which is signed by the part±es. 991210 syn 0071769 8 15.6 All provisions of this Contract, whether covenants or conditions, will be deemed to be both covenants and conditions. 15.7 The covenants, terms, conditions and provisions of th ~ Contract will apply to, and will bind, the heirs, successors, executors, administrators, assignees, and contractors, as the case may be, of the parties. 15.8 If a court of competent jurisdiction finds or rules that any provision of this Contract or any amendment thereto is void or unenforceable, the unaffected provisions of this Contract and any amendments thereto wil! remain in full force and effect. 15.9 All exhibits referred to in this Contract and any addenda, appendices, attachments, and schedules which, from time to time, may be referred to in any duly executed amendment hereto are by such reference incorporated in this Contract and will be deemed to be a part of this Contract. 15.10 This Contract may be executed in any number of counterparts, each 9f which will be an original, but all of which together will constitute one and the same instrument. 15.11 This Contract is subject to the fiscal provisions of the Charter of the City of Pa!o Alto and the Palo Alto Municipal Code. This Contract wil! terminate without any penalty (a) at the end of any fisca! year in the event that funds are not appropriated for the following fiscal year, or (b) at any time within a fiscal year in the event that funds are only appropriated for a portion of the fisca! year and funds for this Contract are no longer available. This Section 15.11 shall take precedence in the event of a conflict with any other covenant, term, condition, or provision of this Contract. 15.12 In accordance with the requirements of California State Board of Equalization Regulation 1540, CONTRACTOR is authorized to act as CITY’s agent in the procurement of tangible persona! property from outside sources. Should any governmental agency assess any taxes whatsoever regarding the sale or transfer of tangible personal property by CONTRACTOR on behalf of CITY, CITY agrees to reimburse CONTRACTOR, to the extent such additional tax is paid by CONTRACTOR and CITY is required by law to pay the additiona! tax, upon demand. / / / / / / / / 991210 syn 0071769 9 IN WITNESS WHEREOF, the parties hereto have by their duly authorized representativeN.executed this Contract on the date first above written. ATTEST:CITY OF PALOALTO City Clerk APPROVED AS TO FORM: Senior Asst.. City Attorney APPROVED: Assistant City Manager Director of Administrative Services Risk Manager Mayor ADDISON OLIAN INCORPI By: Name : A Title: By:. Name: Title: Taxpayer Identification No. (Compliance with Corp. Code § 313 is required if the entity on whose behalf this contract is signed is a corporation. In the alternative, a certified corporate resolution attesting to the signatory authority of the individuals signing in their respective capacities is acceptable) Attachments : EXHIBIT "A" : EXHIBIT "B": EXHIBIT "C": EXHIBIT "D" : SCOPE OF~PROJECT &TIME SCHEDULE RATE SCHEDULE INSURANCE NONDISCRIMINATION COMPLIANCE FORM 991210 svn 0071769 10 STATE OF COUNTY OF CERTIFICATE OF ACKNOWLEDGMENT (Civil Code § 1189) T ~\ Comm. # 1158813 ) b \~..~/san,a Clar, Cou,ty--. ) On ~.~_/~/~ ,1999, before me, ~/~ ~ , a Notary PubiLc-£n for said County and -s~a{e, personally appeared /~. ~I, ~. , personally known to me or proved to me on the basis of satisfactory evidence.to be the person(s) whose name(s) is/are subscribed to the within instrument and acknowledged to .me that he/she/they executed the same in his/her/their authorized capacity.(ies), and that by his/her/their signature(s) on the .~nstrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and of~.icial seal. Signature~ of Notary Public CERTIFICATE OF ACKNOWLEDGMENT ¯ (Civil Code ~ 1189) STATE OF {2~~)Comm. # 1158813 ) S S.Santa Clara County COUN~ OF ......) On ~[~)~h~ ,1999, before me, ~ O~ , a Notary Public and for said County and State, personally appeared ~ ~, O~, personally known to me or proved to me on the basis of satisfactory evidence to be the person(s) whose name(s) is/are subscribed to the within instrument ¯ and acknowledged to me that he/she/they executed the same in his/her/their authorized capacity(ies), and that by his/her/their signature(s) on. the instrument the person(s), or the entity upon behalf of which the person(s) acted, executed the instrument. WITNESS my hand and official seal. Signature of Nozary Public 991210 syn 0071769 11 Ad Agency Scope of Services Addison Olian, Inc. EXHIBIT Provide advertising and marketing communication services. The areas requiring assistance may include, but are not limited to: Continue work with City of Palo Alto Utilities (CPAU) to keep shaping and refining its image and identity Assist with strategic planning including (but not limited to) developing key messages, positioning, image development and customer outreach - ¯Assist with maximizing advertising and marketing resources ¯Work with CPAU to develop a written Promotional and PR plan as it relates to current utility issues. ¯Develop visual layouts and creative direction that will convey the key messages and CPAU positioning to the general public. Messages and materials may also be developed for commercial customer segrnents ¯ ~ Provide guidance to ensure that materials and messages contain the appropriate look, feel, and tone to fit CPAU image ¯Produce key message statements to be used in regards to positioning CPAU ¯Provide media training for principals as related to recommended public relations pro~am ¯Implement additional agreed-upon work according to budgets separately submitted and approved by CPAU ¯Work With other CPAU contracted agencies to provide specifications to retain the CPAU image that is developed ¯May be used to produce educational and instructional videos ¯May be used to contract for voice-over professionals Will submit estimated charges for each project in advance for CPAU approval with Agency invoices to be based on signed estimates, plus sales tax and additions as agreed. Printing, production and media expenses are separately budgeted. ¯Will provide standard Agency/Client Agency of Record form covering issues such as sales tax and intellectual property for approval and signature. CPAU will final approval and acceptance of all work provided by the agency. EXHIBIT B PART Ii SCOPE OF SERVICES Name of Company L RATES 1.Design 2.. ’Client consultation 3.Client consultation on web page design 4.Copywriting 5 .Editing 6. 7. 9. 10.Film separation Lay-out Blue-line proofing Press check Travel/mileage Bid on one section or both Section I . Developing image - High end materials Per hour $ | "$ Section H Short-term/quick turnaround design assistance ¯ $ $ $ $ $ $ $ $ 11. Other H - Estimate of the amount of time and cost to complete the following projects from design to providing final output on disk (printing exclude.d). Assume you are given an outline of information and appropriate consultation with client.Samples included with the RFP correspond to the estimates requested. All are 2- color. Item No.Description Time Cost 1.’Double-sided brochure (8-1/2". x I I ", folded)~l:::n:::~, ~ 2~Newsletter (11" x 17", two-sided, folded) 3.Bill insert .(7" x 11", one-sided).~ I ~1~ -~ 7.~::~-~ 4.Advertisement (approx. 10-I/4" x 14-1/2", size of our local full-page newspaper ads)’I~II~;’C~ "l!2"~ 5.News release, 1.5 page 8-1/2 x 11, standard news ~ I UOO ~ ~ 2.OO.~ release format " 6.Proo~am packet - 1 flyer, program application form,~ ~5i::~ " ~ "/~lS~folder design PROPOSAL RESPONSES RFP NO. 115905/06 PART Ii Page 4 of 7 PART III EXHIBIT C TYPE OF COVERAGE [] Worker’s Compensation [] Automobile Liabilit~ .... Comprehensive General Liability: INCLUDING: ¯PEKSONAL INJURY¯BROAD FORM PROPERTY DAMAGE ¯BLANKET "CONTRACIUAL¯FI~E LEGAL L~ABILITY Comprehensive A~tomobile Liability: INCLUDING: ¯HIP~D¯NON-OWMED []Professional Liability: INCLUDING:¯ERRORS AND OMISSIONS ¯MALPRACTICE (If Applicable} ¯NEGLIGENT- Statutory BODILY INJURY PROPERTY DAMAGE BODZLY INJURY t PROPERTYDAMAGECOMBINED BODILY INJURY (Each ~erson) IONG FORM O~fb~’,~m Limits)’, $1,000,000 $1,000,000 $1,000,000 $I,000,000 $I,000,000 $~,000,000 ALL DAMAGES THE CITY OF PALO ALTO IS TO BE NAMED AS AN ADDmONAL INSURED $I,000,000Sl,000,00O Sl,000,000 $I,000,000 A., The City of PaiD Aim, its officers, agents and employees are named as additiom[ insured, but only as to work performed under contract. SaY coverage as to the City of Paid Alto, etc., shal! be prknary coverage, without offset agains~ City’s existing insurance and any other insurance carded by the City being excess insurance only. B.Where the work involves excavating, collapse coverage is provided in the amounts above. C.The policy includes a "Severability of Inu:rest" provision. D.Deductibles over $5,000 must be indicat~l and are subject to approval. E.If such policies are canceled or changed d~ring the period of coverage as s~at~d herein, in such a manner as to affect the Ce~ficate, thirty (30) days written notice will be mailed to the City of Palo Alto, Coa~-act Adrrdaistradon, P.O. Box 10250, 94303 F.The liability insurance policy includes a contractual liability eadorsemem providing insurance coverage for Contractor’s agreement to indemnify the City. G.The coverage afforded under the policies is subject to all terms of the policies designated herein and meets all of the provisions called. M~na Lutze, ~uyer {650) 329-2500 RFP NO. 115905/06 PART Ill Page 11 of 11 EXHIBIT D PART III FORM 410 PROJECT TITLE: ADVERTISING/COMMUNICATIONS AGENCY Certification, of Nondiscriminati.on: As suppliers of goods or services ~’o the City of Palo Alto, the firm and individuals listed below certify that they do not discriminate in employment with regards to age, race, color, religion, sex, .national origin, ancestry, disability, or sexual preference; that they are in compliance with all Federal, State and local directives and executive orders regarding nondiscrimination in employment. Title of Officer Signing..- ~ll;;~lq-W/~X/~ 1~1 ’1~ RFP NO. 115905106 PART Iii Page 9 of 11