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Res 122-2013 11/5/2013 RESOLUTION NO. 122-2013 Resolution Authorizing The City Manager To Execute Amendment 1 To Work Order No. 25 To The City's Agreement For Professional Services With URS Corporation To Modify The Scope Of Services For Professional Services Associated With The Wichita Falls Regional Airport Terminal Area Project, In An Additional Amount Of $229,388 WHEREAS, on September 16, 2013, the City of Wichita Falls executed Work Order #25 with URS Corporation to provide for project management services for the Terminal Area Project with an estimated cost of $744,952; and WHEREAS, the City desires to amend Work Order #25 to include financial management, passenger facility charge assistance, lease negotiation and preparation, and customer facility charges service to this scope of work; and WHEREAS, this amendment will add $229,388 to the contract for a revised cost of$974,340. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF WICHITA FALLS, TEXAS, THAT: The City Manager is authorized to execute the attached Amendment 1 to Work Order No. 25 to the City's Agreement for Professional Services with URS Corporation, with changes as approved by the City Attorney, to modify the Scope of Services for professional services associated with the Wichita Falls Regional Airport Terminal Area Project, providing for the fee to be determined by time & materials actually provided in a total amount not to exceed $229,388. PASSED AND APPROVED this the 5t" day of November, 2013. MAYOR ATTEST: City G'erk URS AMENDMENT 1 TO WORK ORDER NO, 25 In accordance with the Agreement for Consulting and Professional Services between City of~Wichita Falls ('Client"),and URS Corporation,. a Nevada corporation, dated March 1f,2005, this Work Authoiizatton describes time Services, Schedule, and Payment Conditions for Services to be provided by URS Corporation("C01)suhW11'!on the Project known as: Wichita Falls Municipal Airport New Terminal Project—Construction Phase Support Client Authorized Representative: LeAnn Moran,Airports AdrinisiraLof Address: 4000 Armstrong Drive, Suite 8 Wichita Falls,TX 98302 Telephone No.: (940)855-3623 Con4ldtant Authorized Representative: Robert[Text'Schmidt,PE,Senior Project Manager Address: 1950 North Ste mmnions Freeway,Suite 6000 Dallas,TX 752:37 Telephone No,: (972)406-6975 SERVICES. The Services shall be described in Attachment A to this Work Order. SCHEDULE Construction is expected to begin August,2013 and be.completed October,2014. The schedule is dependent upon time performance of the construction contractor. PAYMENT. Payment of d} is due upon signature of this Work Authorization and will be applied against the final invoice for this Work Authorization. URS charges shall be on a "tire and materials" basis and shall be in accordance with the Consultant's Schedule of Fees and Charges in effect at the time the Services are performed. Payment provisions and the Consultant's current Schedule of Fees and Charges are attached to this Work Authorization as Attachnment B. TERMS AND CONDMONS. The terms and conditions of the Agreement referenced above shall apply to this Work Authorization,except as expressly modified herein_ ACCEPTANCE of the terms of this Work Authorization is acknowledged by the following signatures of the Authorized Representatives. CLIENT CONSULTANT Signature Signature Typed Namea tle Typed Natne)Title Date of Signatutz Date of Signature PS-100 Rev_04-2009 1 Short Form Master Agreement for Professional Services ATTACHMENT Wichita Falls Regional Airport SCOPE OF SERVICE'S Tlie scope of services includes six items: 1. Project Management Support Services Task 1.1 Set up and document Invoice Compliance procedures: * Compliance with contract requirements * Identify irrroice breakdown requirements for fNed asset assignment, rates& charges, stored materials allowance, labor expenses as applicable * Prepare requirements of contractor submittals to determine: • Work performed within contract terms * Funds available * Scheduled value items not exceeded * Pro-rated items calculated correctly(retainage etc.') * Sub-consultants * Quantities in place * Verify funding sources (PFC, CFCs:AIP, MAP,TSA, City cash.debt) Task 1.2 Ongoing project eligibility and unencumbered funds analysis for funds tracking (budget, funds available, encumbrance, change orders, closeout POs and actual expenditures) Track any portion of project funded with sources other than their ultimate funding source (receive grants atterthe fact, reconcile movements betAleen funds and projects) Task 1.3 Assistance with FANTSA coordination regarding the timing and makeup of potential f uture grants Task 1.4 PrepareAlP requestsfor payment to FAA, assist with calculation of appropriate monthly grant drawdcwns Task 1.5 Assist with change order management process including any effects on eligibility Task 1.6 Reconcile City Accounting records with project management cost control, soft cost allocations Task 1.7 Prepare Terminal Project financial closeout documentation and fixed asset inventory-a coin pre liens ive file of financial information compiled at closeout of the projects to ensure all financial aspects of the project are complete. The Citywill then capitalizeor expense project by fixed asset. Documentation used for GAO compliance audits etc. Task 1.8 Assist with tenant transition coordination and move in plan for airline, TSA, rental car, vending, advertising and other tenants Task 1.9 Assistance with debt Issue eligibility allocations and audit cornpliance 2. Passenger Facility Charge (PFC) Application The objective of this item is to updatethe City of Wichita.Falls, Texas Passenger Facility Charge program by developing a new PFC Application to allow for PFCs to be"imposed and used"to pay certain capital costs and debtthat may be issued for the new terminal project. The Current application is estimated to expire in 2017. Our approach far preparing the new PFC application includes the following key steps: UPS-SPS AmendrnGn 1 to Work Order25 Scope of Services Task 2.1 Internal Planning and Advance Ooordination with FAA and airline Task 2.2 Written Notice to air carriers) Task 2.3 Air carrier consultation meeting and certification Task 2.4 Notice and opportunity for public comment Task 2.5 City coordination& resolution approval of collection Task 2.6 Follow-up coordination and draft application submittal Task 2.7 Final application submittal Task 2.8 Application review period Task 2.9 Airline Notification 3. Rental Car Request for Proposal and Agreement, CFC review The objective of this item is to develop a rental car company(RAC) new agreement strategy, prepare a Request for Proposal (RFPI, assist with the RFP process and execute new PAC concession agreements in tine for occupancy of the new term inal building. Additionally,wewill review the CFC collections and expenditures to date and discuss revisions to the rate that may be required. Our approach far conducting the RAMC CFC, RFP and Agreement project includes the following key steps: Task 3.1 RAC revenue review, facilities review (accommodate 3 operators) Task 3.2 Research of similar airports, peer comparison Task 3.3 Internal neetings with Airport to discuss objectives, state of the industry, review of last process (2010), potential changes Task 3.4 RAC information meeting with tenants prior to RFP Task 3.5 Review of off-airport operator's fees- suggestions, resolution draft Task 3.6 Develop competition,'bidding strategyfor space Task 3.7 Develop R FP..ag re em ent draft and reviews Task 3.8 PreBid meeting;'Bid space selection meeting Task 3.9 Review RAC comments and questions.-Addenda preparation Task 3.10 Review CFC collections and expenditures to date, recommend revisions to rate, prepare updated documents (draft resolution, letter to RACs etc.l. 4. Update the Airline Rates and Charges Structure and Calculation The objectives of this item is to update the airline rate structure based on the new terminal building opening and crirrent operating conditions at the Airport and to calculate airline rates& charges far FY 2015 using current financial and operational data and the updated rate structure. The cal crilations will be prepared in a format suitable for use in negotiating airline agreements. Our approach for updating the airline rates and charges structure and calculation includes the following Key steps: Task 4.1 Review data required far the analysis including: * Terminal building floor plan (to scale) including exclusive and joint space square footage used by the airlines , other space used by non-airline tenants and Airport administration operations space UPS-SPS Amendrnert 1 to Wcrk Order25 Scope of Swims • Projection of passenger enplanoments,and aircraft landed weight (passenger airlines and cargo-only air carriers)for FY 2015 • Detailed internal financial statements (account-by-account line item amounts) including revenue, expense and capital outlay budgets for FY 2015 • Most current fixed asset depreciation schedule Task 4.2 Review current operating conditions and the new terminal physical layout at the Airport to delerm ine it changes in the overall rate structure are warranted and revise the structure as necessary Task 4.3 Calculate airline landing fees and terminal building rent using the updated rate structure that includes schedules for: & Terminal rent calculation • Landing fee calculation 0 Operations and maintenance expenses by cost center 0 Rate schedule for the proposed term of the airline agreement 0 Other supporting schedules for the calculation Task 4.4 Review results of the calculation with Airport.-'City officials, and prepare revisions,as required. 5. Airline Agreement Update and Negotiation The initial objective of this item is to update the airline agreement that was last revised many years ago. Following this update, the objective is to negotiate agreement provisions that establish reasonable rates and charges and result in Airport finances that are as self-sufficient as possible while reflecting the City's desired relationship with the airlines. Our approach for updating and negotiating the draft airline agreement includes the following key steps: Task 5.1 Meet with Airport management to discuss the City's key issues and concerns for negotiating new airline agreements in light of the FY 2015 rate calculations completed in Project 3 of this proposal Task 5.2 Review and update the current airline agreement to reflect current market conditions and common industry practices that have been adopted in recent years by other airports operating under conditions which are similar to Wichita Falls Task 5.3 Complete the revised draft of the airline agreement,review with Airport management and the City Attorney and revise as necessary. Task 5.4 Establish the Airline Negotiations Committee including management,financial and legal representation Task 5.5 Review and discuss key background Issues with the Airline Negotiations Committee that include: • Recent airline market conditions and the new terminal facilities in Wichita Falls • Rates and charges legal requirements and constraints Local political and community support environment • Airline's current financial condition Airport's past and present relationship with the airlines,their presumed attitude about rate adjustments related to the new terminal facilities and their probable negotiating posture based on previous experience with airline representatives Task 5.6 Develop the negotiation strategy Task 5.7 Revise the proposed agreement draft based on strategy discussions with the Negotiations Committee and submit to the City Attorney for final review and revision URS-SPS Amendment 1 to Work Order 25 Scope of Services Task 5.8 Review final draft of negotiation documents with the Negotiations Committee and revise as necessary Task 5.9 Establish the negotiation meeting schedule and preliminary agenda Task 5.10 Conduct the negotiation meetings} Task 5.11 Prepare analyses in response to airline concerns, alternative rate structure proposals and alternate contract terms proposals Task 5.12 Finalize and issue the contract documents. 6. TSA 'lease negotiation, Non- Airline Revenue Strategy and FAA Assistance The objective of this project is to assist the City with strategy and negotiations with the TSA, FAA and other non-airline revenue as may be required Our approach for conducting this project includes the following key steps: Task 6.1 Review City's other potential revenue sources and recommend options for increasing revenue for all users of the Airport including ground transportation related privilege fees and parking rates Task 6.2 As requested by City, assist management with FAA grant requests and negotiations with TSA and FAA Task 6.3 Assistance with other financial issues at the City's direction