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HomeMy WebLinkAboutRes2018-042Sponsored by: Hunt CITY OF SEWARD, ALASKA RESOLUTION 2018-042 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, CONTRACTING WITH SEWARD CITY TOURS FOR OPERATION OF THE SEASONAL SEWARD SHUTTLE BUS SERVICE, IN AN AMOUNT NOT TO EXCEED $362,411, AND APPROPRIATING FUNDS WHEREAS, in 2010 Seward began providing a shuttle bus service between the cruise ship terminal, the harbor and historical downtown Seward; and, WHEREAS, the service has proved beneficial to the economic well-being of our community and is valued by the cruise ship industry; and, WHEREAS, Seward intends to provide the same level of service in 2018 and 2019; and WHEREAS, in accordance with Seward City Code 6.10.310 the City of Seward released a request for proposals on March 28, 2018 to include all the cost associated with providing the services; and WHEREAS, Seward City Tours was the successful proposer; and WHEREAS, the shuttle bus has been funded from Commercial Passenger Vessel Excise Tax receipts ("Cruise Ship Tax") and this is an appropriate use of the funds; and WHEREAS, these services will facilitate the flow of visitors around the City of Seward during summer months to maximize the Seward experience and provide a means to assist cruise passengers transport their luggage between the Dale Lindsey Cruise Ship Terminal and the Alaska Railroad Depot. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA that: Section 1. The City Manager is hereby authorized to enter into a contract between Seward City Tours and the City of Seward in substantial form as attached hereto, with 2018 and 2019 operations not to exceed $362,411. Section 2. The Seward City Council hereby appropriates the amount of $362,411 from the commercial passenger vessel proceeds account no. 11113-0000-3071-30051 to the Bus Transportation contracted services account no. 30051-0000-7009. Section 3. This resolution shall take effect immediately upon adoption. CITY OF SEWARD, ALASKA RESOLUTION 2018-042 PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 23`d day of April, 2018. THE CITY OF SEWARD, ALASKA David Squires, Mayor AYES: Casagranda, Keil, McClure, Slater, Horn, Towsley, Squires NOES: None ABSENT: None ABSTAIN: None ATTEST: Brenda J. Ballou, MMC City Clerk (City Seal���i&%one#a#j� ) OF gE�•.� ���y0••POit4'• o SEAL • OFA�NIOA I 1 I Council Agenda Statement Meeting Date: April 23, 2018 Through: Jim Hunt, City Manager From: Ran Long, Assistant City Manager Agenda Item: Shuttle bus service contract with Seward City Tours BACKGROUND & JUSTIFICATION: The City of Seward has contracted out for the operation of a shuttle bus service since 2010. The service benefits pedestrians in Seward including ship passengers and crew and is funded utilizing Commercial Passenger Vessel Excise Tax receipts ("Cruise Ship Tax"). In accordance with Seward City Code and as reported to council, a Request for Proposals was prepared to issue the contract for the summers of 2018 and 2019. The request solicited qualified firms to provide transportation services to cruise ship passengers and other visitors, between the Seward Cruise Ship Port, the Alaska Railroad Seward Depot, the downtown business district, and the Seward Boat Harbor from May 17, 2018 through September 26, 2018, and then approximately equivalent dates in 2019. The RFP required no addenda. There were a total of five plan holders for the RFP. Two proposals were submitted by the deadline and two were judged to be responsive and reviewed by the selection team using the criteria reported to Council. Seward City Tours obtained the highest points and is the selection team's recommendation as the transportation services firm. A draft contract is attached. Services for the shuttle are scheduled to begin May 17, 2018. INTENT: Approve a contract for shuttle bus services with Seward City Tours. CONSISTENCY CHECKLIST: Yes No N/A Comprehensive Plan (document source here): Economic Development 1 and Transportation: Improve public transportation between downtown X and the harbor Strategic Plan (document source Mere): Foster a community with diverse 2 transportation facilities including road, rail, air, pedestrian and water X routes that meet the needs of residents, businesses and visitors. 3 Other (list): X FISCAL NOTE: The total of funding required for the shuttle program, $362,411 will be appropriated from the Commercial Passenger Vessel funds to the Bus Transportation Fund. Approved by Finance Department: , &af ATTORNEY REVIEW: Yes }_ No _ The City Attorney reviewed and provided comments for the draft contract that is attached. RECOMMENDATION: City Council approve Resolution 2018- OL4uthorizing, the City Manager to enter into a contract with Seward City Tours and appropriate $36,411 of cruise ship head tax funds for the 2018-2019 shuttle bus service contract. IN WITNESS WHEREOF, the parties have executed this Agreement. City of Seward Seward City To By: Jim Hunt By: a /,,�onahS' Yderski Title: City Manager Owner Date : Dbte- ATTEST: Brenda Ballou, MMC City C9erk (&ty Sea ) Pat, ge 9 of 9 0 Main Office (907) 224-4050 CITY OF SEW,RD ["0, BOX 167 SEWARD, AI.A,�,,-,KA 99664-011 ffz�• Seward City Tours PO Box 2031 Seward, AK 99664-2031 RE: Seasonal Transportation Services and Related Services NOTICE OF INTENT TO AWARD Dear Mr. Swiderski, 0 Police (907) 2243338 0 Harbor (907) 224-3138 0 Fire (907) 224-3445 0 CRy CWk (907) 224-4046 0 Engineering (907) 224-4049 0 Utflities (907) 224-4050 0 Fax (907) 224-4038 The City of Seward intends to award the Seasonal Transportation Services and related services Contract for shuttle services to your company Seward City Tours as the lowest qualified responsive and responsible proposer for this project. I have included the City's proposed contract with this letter for your convenience. The award of the contract is contingent upon City Council approval which is scheduled to take place on April 23, 2018. We will be contacting you soon to begin discussing the proposed contract and further details. If you have questions, please don't hesitate to contact Jackie Wilde at 907-224-4048 or through email to �,,Jk Sincerely, Ron Long, Assistant City 11,!lanager 2(1),3� I%Iaska 99664 5773 � sc ve/ a,i ini a' i n yw u III "j fl, ('o n�a IM Seward Cit r ours, LL,C. would like to than the City of Seward for the opportunity to bid the 2018-2019 Seasonal Transportation SexicesContract. After reviewing the bid documents, Seward0ty'ours has a firm understanding of the scope of work involved with providing same., efficient, and enjoyable shuttle transportation services for the 2018 and 2019 tourist and cruise ship seasons. The owner is a resident of Seward since he was a child and has seen first hand how important this service is to our visitors and to our loc,al businesses who rely on the increased foot traffic created by the shuttle service in both the harbor and down town business centers. As a resident and the owner of SewardCityFours, fie has witnessed the difficulties previous operators have experienced when dealing with the dynamic hour-td-bour ridership derriand on cruise ship days. These past experiences, allowed the owner to approach this contract with first hand insight as an operator and as, a Seward resident., Whil;e the contract can be simplified to providing seats, to move people from point A to point B, the reality is this servi I ce provides a crucial initial experience for those visiting Seward, Alaska. SewardCityTours airns to exceed transportation needs of our visitors, by ensuring their first impression: is a positive experience by providing safe, clearx auid comfixrtable transportation services. The term letterhead"i is, often used to refer to the whole sheet imprinted with such a heading. Many companies and individuals prefer to create a letterhead template in a word processor or other software application. This generally includes the same information as pre-printed stationery but without the additional costs involved. Sincerely, Jonah Swiderski Owner and Operator P08()X 20131 Sc�vai-cl, 9966-1 907-21"11 ,'5771)'1 All vehicles, used to meet service requirements for the Seasonal Transportation Services Contract will be 2011 models or newer. No vehicle will have an odometer that reads more then 200,000 miles. All vehicles will meet Department of Transportation and Federal Motor Carrier Safety Administration requirements,. '17he base transportation route on non -cruise ship days (10arn-7pm, seven days, a week) requires a single vehicle to be in operation running approximately every half-hour. Scwand City,Tours intends to utilize a vehicle sirriflar to the following� see attachment 41 The base transportation route on cruiseship days (8am-7pm) requires a second vehicle to be in operation.. Additionally, a third vehicle is required to provide service to the supplemental transportation route between the Dale I.indsay Terminal and Alaska Railroad Depot at specific times. Sewand City'Tours intends to utilize vehicles similar to the following to provide the necessary additional capacity: see attachment #2 Vehicles provided by SewardCityTours are vehicles designed for tours and site seeing. This sets them apart frorn other transportation companies used in the past. These unotor coaches have large viewing windows with climate controlled interior, and drivers with intercom audio equipment to clearly cortununicate with visitors. Guests, will enjoy not only a safe but comfortable ride in a well- equipped vehicle. Seward,CityTours is committed to providing a quality experience that has not been matched in the past. In return the first impression of all visitors using this service will reflect the high standards, of the community. Transmission. Automatic Odometer: 100 25 Passengers, Forward Configuration: Facing, plus driver, Rear Luggage, 2 Tiedowns, Location: None Price: $41M Options/Specification: Electric Entrance Door AM/FM/CD Player 92k BTU X-C System with 2 Compressors 65k BTU Heat System Midback Rigid Seats (3) Foldaway Double Seats Oxen Gray Vinyl Seat Fabric Ricon Front Wheel Chair Lift Kinedyne Tie -Downs (2) Storage Box For Tie -Downs "PA System w/ Extra `M.ic Behind. Driver Back Up Alarm Key Switch Entry Grab Rails on Ceiling Soft Touch Interior Dropped Rear Luggage Compartment Seatbelts Armrests on Aisle Seats Anthracite Gerflor Flooring Safety Package (Fire Extinguisher, First Aide Kit and Stainless Steel'Wheel Covers Hydraulic Brakes New Bus w/ Full Warranties Canada Admissible, Nations Bus Sales - CA 10219 S. Hawthorne Blvd, Inglewood, CA 90304(310) 216-,6350 Nations Bus Sales - FL 555 Outlet Mall Blvd. St. Augustine, F1 32084(904) 347-2296 L; 0 speed Automatic Ovemrive EleGffic Entrance Door A.N41FN1/CD Player DVD Player w/ 19' Monitor Highback Reclining Seats, Level 5 Fabric - Streamers Blue Annrests, Retractable Seathelts Walls and Ceiling Lined in Gray Carpet WOK BTU A/C System Flooring - Gray RCA Rubber w/ Fabbed Aisle Back Up Alarm PA System Driver and Passenger Side Running Board Remote Heated Sideview Mirrors Roof Escape H,atch 76' Interior Height 225 Amp Alternator Power Door Locks Hydraulic Brakes Wheel Covers Base Paint - Black o 0 1/-11�1 I 231-"�777,3 � sclvardcio Y FSTROMMMIUMM SewardCityTours (:SC'F) was founded in 2017 when it was clear that there was a need in Seward for additional transportation services., The idea was not only to provide a service but also surpass custorner expectations. SewardCity'Tours is not simply a transportation or shuttle, company. In it's, conception STC offered historical city tours as well as a comprehensive orientation of Seward itself. The business model emphasizes that customer service is a part of a complete experience. Guest satisfaction begins with the firstgrecting of each guest, to a clean climate controlled vehicle with comfortable seats; and a driver/guide that is both knowledgeable and friendly. SewardCityTours intends on extending these guidelines to the Seasonal Transportation Services Contract. Each person that uses the free shuttle is a potential ambassador of Seward, when they return home they share their stories and experiences. Their friends and family will travel to Seward and past visitors will return which will only flourish our already thriving community. The owners Jonah Swiderski and Yen Ly have a combined 20 years of experience between them in tourism, many of those years based right here, in Alaska. STCs cruise ship terminal staff will be undergo crowd control training and be clear communicators. Their knowledge of the, transportation system and key points of interest in Seward will surpass what guests have come to expect. Driver/Guides will assist guests withloading and unloadinglug,galie aswellas, provide accurate infon-nation on Alaska Railroad schedules and policies regarding luggage storage. STC drivers will have customer service training and have extensive knowledge on local attractions and arnenifies. 907-23'1 '5773 Amanda Garcia - Owner of Salmon Berry Tours - 907-278-3572 Rick Ferroni - Port. Engineer - Crowley Marine - 907-831-6108 Liz.Denioss - Owner of Seward Alehouse - 907-491-5035 Upon successful award of the contract Sewand CityTours will ensure the driver/guides have a rninimuni of 2 years of experience in transportation within the tourism industry. SewardCity'roar s will only employs drivers that provide clean driving records that exemplify safety requirements and have undergone appropriate training. Seating Capacity andkDA Accessibility Capacity ADA Compliant Base Route Vehicle 1 25pax, 21pax + 1 wheelchair, YES 17pax + 2, wheelchairs Base Route Vehicle 2 24 pax, NO Supplemental Route 2 4 pax, NO, . . ............. . ...... The three vehicles have the combined capacity to inove 66 passengers at any given time. It is crucial to point out that the type, of veMcle being considered in this proposal is different.frorn what has been used. in the past. The smaller vehicles are equipped to make additional trips in, any given amourit of time as their design is easier for passengers to load luggagcand both embark and disembark the vehicle. Seward CityTo urs, shares the City of Seivard's desire to welcome all individuals and reduce barriers. Thus SewarclCity-Tours, will provide an ADA compliant vehicle operating the base transportation route 7-days a week. This surpasses the bid docurnents requirement for an AD compliant vehicle on cruise ship days (only). 3� rp z Oj aj V, O a) =r cn F0, 0 CD C (D O (n LO CD m 3 0 CD (D =r 0- M CD cr (D Ci 0D w (Cp 6 0 99 CL x- cn CD '0c. 3 cn 0 0 RF CD Z7 fJY CD p CD cr cn W CD cn CD CD CD O 0 O O 00 rD N) 0 co 0 0 m CL 0 (D 0) rr CD 3 CD cr (D CD c PQ C) 00 0 M 00 0 x > N) �a C) C/) m! > 0 0 > c X C/) (0 C) Cif 0 q -8 X 0 C� 0 CD (n Z) m CL 0 0 CO M CD 0 0) 0 CD = 0 ri 3 CD rF —L Q U, CITY OF SEW RD RECEIPT # 21848 410 ADAMS STREET 3/28/ o 8 PO BOX 167 SEWARD AK 99664 Received phone: (907) 2244060 From Lookup Marne Payment Typ Check # Amoun 11113 CITY CLERK Check 00011011 [due 30.00 Tendered 30.00 Charge Due Descriptign OUSINESS LICENSE - SEWARD CM TOURS, LLC. Business License 30.00 iqiiiii�� 144 North Binklev Street Soldotna, Alaska 99669-7599 "I'611-free witi-iiii the Borotigh: (800) 478-4-4-41 @ Phoiic- (907) 262-4441 ",o Fmzil. -_a1est1,%C borou &ken�l.ak.�.t Mike'Navurre' Sales- Tax Accouk # 00203193 Borough Mayor Sales Tax Introduction Letter and Certificate of Registration ApN 13, 2017 ESEW'AROCITYTOURS LLC PO, BOX 2031 SEWARD AK 99664-2031 Dear Business Owner Attached is your now certiftate of, klftrfty Ito CoflectSaikes T. Netpraceeds of the borough -wide sales tax of 3% jS dedicated to our Borough school$rl in addition, sales, tax is colt6cted for, and turned over to the cities. The schools and cities must have this sales tax money to operate', therefore, enforcement of the sales tax ordinance is strictly maintained, , , We encourage you to promptly file your sales tax returns and remit the taxes collected each re orting period, IBy U reporting prom fly, YOmay receive a 5% credit t,,ip to $1,000 per quarter Yct.,l,Nilf berequireTto file on a QUA RTERL: Easi.S. Please note trial a returri MV_S_T be fited by you for EVERT reporting period, even if there were no sales (Check the box, "RErURN HAS 0 SALES') , The Sales Ta-xDhdsjon will ". mail you return at the end of each reporting period, ±uRivr-,L : N17LO�LUI�QFI�ICEBY You will be subject to a non -filing fee of $25 for each return not filed; If'two (2) consecutive returns are missed a reinstatement fee of $100 will be assessed, in addition: to any, penalty or interest for late filing and remittance,. The Sales Tax staff in the Finance Department will be glad to answer your questions or assist you in any way they can regarding your sales tax account. You may, contact tfic Safes Tax 010slorat (907),714-2175, or toll, free within the Borough at 11-800-478-444,1 ext, 2175. ,Apv 132017 IMAM cwtl=o — — — — — — — — — — — — — — — — — — — — — — -- --— A �ISw.NNULBOROUGH CERTIFICATEOF AUrH0rRrr'y COL.'LECYBOROUGH SALES TAX is aualorizAA.and cmpewwczcd by the Mayor ,ofthe Kenai Pcnnsuia Donuagh WcON'x't rurthc Bolough salel T"Ay� On rk"viil S,,4vs, Ron(sand Serviccs imposcd pursuant'k) Ordinance No 3. I K (it: the Keftaii Peninsula Borough. 'rhis certificate is noti-assignable and non -transferable and must be surrendered to the Mayor by the seller to whom it w4s issued upon his ceming to do business at the location nawd herein, or any chango in owtiersbip, tbrin able or an�y other change. ACCOUNT NUMBER 00203193 DATE OF SEWARDUTYTOURS LLC REGISTRATION April 1, 2017 PO BOX,203'1 SE", ARD AK 99664-2031 THIS CERTIFICATE VUST BE DISPLAYED PROMINENTLY AT THE PLACV OF BUSINESS, MAYOR POP)OX 2031 Alisk,,'i 91,')G64 907-2�31-,5)773 � �A" g n � "�4 i �' - L Jonah Swiderski., certify that. I am the Sole Mernber of SewardCityTours, a Limited Liability Company ("LLC") organized under the laws of. l'aska, Ta identification Number 82-1057577, and that the resolutions on this document are true and correct y of resolutions adopted at a niecting of the Sole Member of the L.LC held on January 1, 2018. BE ITRESOLVED THAT, said LLC desires that the undersigned Sole Member o�f the LLC is authorized (1) Eritcr into a contract for the purposes providing transportation services to the City of Seward. (2) Endorse any legal documents, pertaining to ScwardCityTours, LLCM. BE ITRESOLVED'nwr, the undersigned Sole Member of the LLC is authorized to exercise the powers listed above regarding legal and contractual services on the behalf of the LLC. BE IT RESOLVED THAT, the undersigned Sole Member of the LI.0 hereby certi ies that lie is the only individual with significant responsibility for manaLqntr the LLC and he has BE lT RESOLVED THKr, tbis resolution shallcontinue to have effect until City of Seward..Any revocation, modification or replacement of a resolution must be accompanied by, documentation satisfactory to the City of Seward, -,stablishing the authority for the change. I n: BE i'r RESOLVED THAT, should the LLC change entity form or ownership, the undersigned shall pro fir y notify the City of Sewardin writing. Signature: Dated: NON -COLLUSION AFFIDAVIT Ihe ulnd,neJ, I), , I r o3. !�enn l�I I­xornt,t? I, I,5�t t"� 4,-t I," ,i has any other member. representative. or agent of the firm. company. corporation or partnership represented by him, entered into any combination.. collusion or acyreement with any person relative to the price to be bld b,,,, an-,vone at such letting nor to pivvent any -ioai ac�_� Wit" anv a,ther 'ff! tO SU(J-1 H,&�S`Dc :h,,v., 01, PVT recei�e directly or indirectly, any rebate. fee Lift. Commission or thine of value can account of such sale. TP AFFJ:;.°F1 I HEREBY AFFIRM UNDER THE PENALTIES FOR PERJURY THAT THE FACTS AND JNFORMATION CONTAJNED IN'THE, FOREGOING BID FOR, PyJ9,LIC Dated this 28 day of —March —.2018 Ln at ure- ACKNOWLEDGEMENT ,j "` J m -,�d'am-' SMiki,flk6,ICS co" -it Ai--i 61L� tiiv �i-uc Z"ld L'OeTk�cc, j 2018 N'oa,arw Public S i,�n tu re r, 71 C Irk BOX 20,,',.H 99664, g I R'treet Addr—ess. Seward, AK 99664 Mailing Address. PO BOX 2031 Seward, AK 99664 The above Proposal Price includes the foHowinr. -AD services descyibed in bid Packet based On Provided cruise s p e ul I se sliiPschedule has additional hours are required, or cruL hi sch d ie. f additional charges unexpected changes, win bleincurred at a rate of $75/hr or $825/day. -Payment terms.- 25% of total PrOPOsal Price ($90,603') due three business days after the execution Of contract with City, The reynaining balance billed in 8 monthly installments ( ($271,808) to be $33,9761month) during operating months beginningJune-2018 through Sept-2018 and June-2019 through Sept-2019. Company Name Title Printed Name Date 77 0 Professional Services Agreement with First Student, Inc for Seasonal Transportation Services and Related Services This AGREEMENT, made and entered into this 23rd day of April, 2018 by and between the CITY OF SEWARD, a home rule municipal corporation located within the Kenai Peninsula Borough and organized under the laws of the State of Alaska, hereinafter referred to as the "City" and Seward City Tours, LLC authorized to do business in Alaska, with offices located at PO Box 2031, Seward, AK 99664, hereinafter referred to as the "Contractor." WITNESSETH WHEREAS, the City of Seward wishes to enter into a contract with an independent contractor to provide transportation services for cruise ship passengers and other visitors, between the Seward Cruise Ship Port, the Alaska Railroad Seward Depot, the downtown business district and the Seward small boat harbor in Seward, Alaska; and WHEREAS, in response to a request for proposals, Seward City Tours, LLC submitted a proposal asserting it is qualified to perform these services and able to do so in a timely manner; NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the parties agree as follows: 1.0 DEFINITIONS 1.1 "Agreement" shall mean this Professional Services Agreement, including: Exhibit B — City's request for proposals dated March 28, 2018, (collectively, "UP"). 1.2 "Change Order" is an addition to, or reduction of, or other revision approved by the City in the scope, complexity, character, or duration of the services or other provisions of this Agreement. 1.3 "City" shall mean the City of Seward, Alaska. 1.4 "Contracting Officer" shall mean Assistant City Manager, Ron Long, and include any successor or authorized representative. 1.5 "Project" shall mean the transportation and other tasks related to the transportation of cruise ship passengers, crew and other visitors, between the Seward Cruise Ship Port, the Alaska Railroad Seward Depot, the Page 1 of 9 downtown business district and the Seward small boat harbor in Seward, Alaska as further described in the RFP issued by the City of Seward on March 28, 2018. 2.0 TERM OF AGREEMENT. This Agreement shall take effect upon execution. This Agreement shall remain in full force and effect until the Project has been completed and further, until all claims and disputes have been concluded. The work is considered complete when the City has received and found acceptable the finished product of all work described in 4.0 Scope of Services or changes thereto. This date is not necessarily the Completion Date as described in 5.0 Completion Date. This Agreement may be amended only in writing and upon compliance with all applicable statutes, ordinances, and regulations. 3.0 FEES. 2018 Seasonal Transportation Services $ 226,507 2019 Seasonal Transportation Services $ 135,904 Fees to be paid pursuant to schedule in Contractors' accepted price proposal, said fees will be paid 30 days after approval of contract. 4.0 SCOPE OF SERVICES, The City and Contractor have agreed upon a scope of work described in the Contractor's proposal, in response to the RFP issued by City dated March 28, 2018, to provide professional services based on approved standards and instructions as specifically described in the same RFP. This Scope of Services can only be changed in writing pursuant to Section 26.0 of this Agreement. 5.0 SCHEDULE FOR COMPLETION. The schedule for completion for all services described herein shall be as follows: Beginning approximately May 17, 2018 and running the entire 2018 and 2019 tourist season, concluding at the end of the tourist season 2019 cruise ship schedule, or other date agreed to by both parties pursuant to section 26.2 of this agreement. 6.0 PERSONNEL/ORGANIZATION 6.1 Key Personnel. Work and services provided by the Contractor will be performed by: Seward City Tours, LLC Jonah Swiderski. 6.2 Changes in Key Personnel. The Contractor shall give the City reasonable advance notice of any necessary substitution or change of key personnel and shall submit justification therefore in sufficient detail to permit the City to evaluate the impact of such substitution on this Agreement. No substitutions or other changes shall be made without the written consent of the City. Page 2 of 9 7.0 STANDARD OF PERFORMANCE. The Contractor agrees to provide all required professional services to complete the project and any additions or changes thereto. The Contractor accepts the relationship of trust and confidence established between it and the City by this Agreement. The Contractor covenants with the City to furnish its best skill and judgment, and to further the interest of the City at all times through efficient business administration and management. The Contractor shall provide all services in a competent manner. It is understood that some of the services to be rendered hereunder require professional judgment and skill. In those cases, the Contractor agrees to adhere to the standards of the applicable profession. 8.0 TIMELINESS OF PERFORMANCE. Time is of the essence in this Agreement. Contractor's failure to meet any such deadlines or required performance may adversely imperil other contractual obligations of the City. If the Contractor fails to deliver the services by May 17, 2018, Contractor shall pay as liquidated damages and not as penalty $ 500 per day for each day after May 17, 2018 the services are not delivered. 9.0 COMPLIANCE WITH LAWS. The Contractor shall be familiar with and at all times comply with and observe all applicable federal, state and local laws, ordinances, rules, regulations, and executive orders, all applicable safety orders, all orders or decrees of administrative agencies, courts, or other legally constituted authorities having jurisdiction or authority over the Contractor, the City, or the service which may be in effect now or during performance of the services. Contractor shall have a Seward and State of Alaska Business License. 10.0 INDEMNITY. The Contractor shall indemnify, defend, and hold and save the City, its officers, agents and employees harmless from any claims or liability of any nature or kind including costs and expenses (including attorneys' fees), for or on account of any and all legal actions or claims of any character whatsoever alleged to have resulted from injuries or damages sustained by any person or persons or property (including contract rights or intangible assets) and arising from, or in connection with, performance of this Agreement, and caused in whole or in part by any negligent act or omission of the Contractor; provided, however, that this paragraph shall not be construed so as to require indemnification of the City from such claims, damages, losses, or expenses caused by or resulting from the negligence of the City. 11.0 INSURANCE. The Contractor understands that no City insurance coverage, including Workers' Compensation, is extended to the Contractor. The Contractor shall at all times maintain adequate (commercially reasonable coverage levels) insurance covering Workers' Compensation, general commercial liability, automobile liability, and property damage including a contractual liability endorsement covering the liability created or assumed under this Agreement. The Contractor shall not commence work under this Agreement or any work on Page 3 of 9 any phase of the Project until the Contractor provides the City with certificates of insurance evidencing that all required insurance has been obtained. These insurance policies and any extension or renewals thereof must contain the following provisions or endorsements: a. City is named as an additional insured for all liability coverages, b. City will be given thirty (30) days prior notice of cancellation or material alteration of any of the insurance policies, c. Insurer waives all rights of subrogation against City of Seward and its employees or elected officials, d. Any deductibles or exclusions in coverage will be assumed by the Contractor, for account of, and at the sole risk of the Contractor. The minimum amounts for each type of insurance shall be no less than the following: a. Commercial General Liability Insurance on an "occurrence basis" with limits of liability not less than $ 5 Million per occurrence and $ 5 Million aggregate combined single limit, personal injury, bodily injury and property damage, b. Motor Vehicle Liability Insurance for all owned, hired and non -owned vehicles, including no-fault coverage with limits of liability not less than $5,000,000 per occurrence combined with single limit Bodily Injury and Property Damage, c. Workers Compensation as required by Alaska law, AS 23.30.045 and regulations adopted thereunder. Upon request, Contractor shall permit the City to examine any of the insurance policies specified herein. The minimum amount and types of insurance provided by the contractor shall be subject to revision at the City's request in order to provide continuously throughout the term of the Agreement a level of protection consistent with good business practice and accepted standard of the industry. 12.0 GOVERNING LAW. The laws of Alaska will determine the interpretation, performance and enforcement of this Agreement. 13.0 OWNERSHIP OF WORK PRODUCTS. Payment to the Contractor for services hereunder include full compensation for all work products and other materials produced by the Contractor and its subcontractors pertaining to this Agreement. Page 4 of 9 The originals of all material prepared or developed by the Contractor or its employees, agents, or representatives hereunder, including documents, drawings, designs, calculations, maps, sketches, notes, reports, data, models, computer tapes, and samples shall become the property of the City when prepared, whether delivered or not, and shall, together with any materials furnished the Contractor and its employees, agents, or representatives by the City hereunder, be delivered to the City upon request and, upon termination or completion of this Agreement. Materials previously created and copyrighted by the Contractor included in this project will remain property of the Contractor. Copies will be made available to the City upon request. Materials purchased from and copyrighted by third parties are not included in this provision. 14.0 PATENTS, TRADEMARKS, AND COPYRIGHTS. The Contractor agrees to defend, indemnify, and save the City harmless from and against any and all claims, costs, royalties, damages and expenses of any kind of nature whatsoever (including attorneys' fees) which may arise out of or result from or be reasonably incurred in contesting any claim that the methods, processes, or acts employed by the Contractor or its employees in connection with the performance of services hereunder infringes or contributes to the infringement of any letter patent, trademark, or copyright. In case such methods, processes, or acts are in suit held to constitute infringement and use is enjoined, the Contractor, within reasonable time and at its own expense, will either secure a suspension of the injunction by procuring for the City a license or otherwise, or replace such method, process, etc., with one of equal efficiency. 15.0 NONWAIVER. No failure of the City or Contractor to insist upon the strict perfor- mance by the other of any of the terms of this Agreement or to exercise any right or remedy herein conferred shall constitute a waiver or relinquishment to any extent of its rights to rely upon such terms or rights on any future occasion. Each and every term, right, or remedy of this Agreement shall continue in full force and effect. 16.0 SAFETY/PERFORMANCE. The Contractor shall perform the work in a safe and workmanlike manner. The Contractor shall comply with all federal and state statues, ordinances, orders, rules, and regulations pertaining to the protection of workers and the public from injury or damage, and shall take all other reasonable precautions to protect workers and the public from injury or damage. 17.0 SUSPENSION OR TERMINATION. 17.1 Fault Termination or Suspension. This Agreement may be terminated by either party upon ten (10) days written notice if the other party fails substantially to perform in accordance with its terms. If the City terminates this Agreement it will pay the Contractor a sum equal to the percentage of work completed and accepted by the City that can be substantiated by the Contractor and the City, offset by any amounts owed to the City. Page 5 of 9 However, within the ten (10) day Notice of Intent to terminate the party in default shall be given an opportunity to present a plan to correct its failure. 17.2 Convenience Suspension or Termination. The City may at any time terminate or suspend this Agreement for any reason including its own needs or convenience. In the event of a convenience termination or suspension for more than six (6) months, the Contractor will be compensated for authorized services and authorized expenditures performed to the date of receipt of written notice of termination or suspension. No fee or other compensation for the uncompleted portion of the services will be paid, except for already incurred indirect costs which the Contractor can establish and which would have been compensated but because of the termination or suspension would have to be absorbed by the Contractor without further compensation. 17.3 Activities Subsequent to Receipt of Notice of Termination or Suspension. Immediately upon receipt of a Notice of Termination or suspension and except as otherwise directed by the City or its Representative, the Contractor shall: a. stop work performed under this Agreement on the date and to the extent specified in the Notice; and b. transfer title to the City (to the extent that title has not already been transferred) and deliver in the manner, at the times, and to the extent directed by the City's representative, work in progress, completed work, supplies, and other material produced as a part of, or acquired in respect of the performance of the work terminated or suspended by the Notice. 18.0 EQUAL EMPLOYMENT OPPORTUNITY. The Contractor shall not discriminate against any employee or applicant for employment because of race, religion, color, national origin, or because of age, physical handicap, sex, marital status, change in marital status, pregnancy, or parenthood when the reasonable demands of the position do not require distinction on the basis of age, physical handicap, sex, marital status, changes in marital status, pregnancy, or parenthood. The Contractor shall take affirmative action required by law to ensure that applicants are employed and that employees are treated during employment without regard to their race, color, religion, national origin, ancestry, age, or marital status. 19.0 NO ASSIGNMENT OR DELEGATION. The Contractor may not assign, subcontract or delegate this Agreement, or any part of it, or any right to any of the money to be paid under it without written consent of the Contracting Officer. 20.0 INDEPENDENT CONTRACTOR. The Contractor shall be an independent Page 6 of 9 contractor in the performance of the work under this Agreement, and shall not be an employee or agent of the City. 21.0 PAYMENT OF TAXES. As a condition of performance of this Agreement, the Contractor shall pay all federal, state and local taxes incurred by the Contractor and shall require their payment by any other persons in the performance of this Agreement. 22.0 PRECEDENCE AND DIVISIBILITY. The provisions of this Agreement shall fully govern the services performed by the Contractor. If any term, condition, or provision of this Agreement is declared void or unenforceable, or limited in its application or effect, such event shall not affect any other provisions hereof and all other provisions shall remain fully enforceable. 23.0 ENTIRE AGREEMENT. This Agreement contains the entire agreement between the parties as to the services to be rendered by the Contractor. All previous or concurrent agreements, representations, warranties, promises, and conditions relating to the subject matter of this Agreement are superseded by this Agreement. 24.0 COMPLETION OF WORK, TERM OF AGREEMENT. The Contractor shall perform all work in a timely fashion, and in accordance with the schedules included in this Agreement and Exhibits. 25.0 CLAIMS AND DISPUTES. Venue for all claims and disputes under this Agreement, if not otherwise resolved by the parties, shall be in the appropriate Alaska State court in Anchorage, Alaska. 26.0 CHANGES IN SCOPE OF WORK. 26.1 General. No claim for additional services not specifically provided in this Agreement will be allowed, nor may the Contractor do any work or furnish any materials not covered by the Agreement unless the work or material is ordered in writing by the Contracting Officer. Preparation of Change Orders and design changes, due to errors and/or omissions by the Contractor, will be done at the sole expense of the Contractor. 26.2 Changes in Scope of Work. The City or its representative may, at any time, by a written Change Order delivered to the Contractor, make changes to the scope of work, or authorize additional work outside the scope of work, or the schedule for completion. 26.3 Compensation to the Contractor. If any Change Order for which compensation is allowed under this Article causes an increase or decrease in the estimated cost of, or time required for, the performance of any part of the work under this Agreement, or if such change otherwise Page 7 of 9 affects other provisions of this Agreement, an equitable adjustment will be negotiated. Such an adjustment may be: a. in the estimated cost or completion schedule, or both; b. in the amount of fee to be paid; and c. in such other provisions of the Agreement as may be affected, and the Agreement shall be modified in writing accordingly. 26.4 Any claim by the Contractor for adjustment under this section must be asserted within fifteen (15) days from the day of receipt by the Contractor of the notification of change; provided, however, that the City or its representative, deciding that the facts justify such action, may receive and act upon any such claim asserted at any time prior to final payment under this Agreement. Failure to agree to any adjustment shall be a dispute within the meaning of Section 25.0 of this Agreement. 27.0 LIMITATION OF FUNDS, 27.1 At no time will any provision of this Agreement make the City or its representative liable for payment for performance of work under this Agreement in excess of the amount that has been appropriated by the City Council and obligated for expenditure for purposes of this Agreement. 27.2 Change orders issued pursuant to Section 26 of this Agreement shall not be considered an authorization to the Contractor to exceed the amount allotted in the absence of a statement in the change order, or other modification increasing the amount allotted. 27.3 Nothing in this Section shall affect the right of the City under Section 17 to terminate this Agreement. 28.0 PRIOR WORK. For the purposes of this Agreement, work done at the request of the City or its representative before execution of this Agreement shall be deemed to be work done after its execution and shall be subject to all the conditions contained herein. 29.0 NOTICES. Any notices, bills, invoices, or reports required by the Agreement shall be sufficient if sent by the parties in the United States mail, postage paid, to the address noted below: City of Seward City Manager PO Box 167 Seward, Alaska 99664-0167 Seward City Tours, LLC Jonah Swiderski PO Box 2031 Seward, Alaska 99664-2031 Page 8 of 9 IN WITNESS WHEREOF, the parties have executed this Agreement. City of Seward Seward City Tours, LLC By: Jim Hunt By: Jonah Swiderski Title: City Manager Title: Owner Date: Date: ATTEST: Brenda Ballou, MMC City Clerk (City Seal) Page 9 of 9