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Home My WebLink AboutPACKET NOV 29 2005 City of Beaumont REGULAR MEETING OF THE CM COUNCIL COUNCIL CHAMBERS NOVEMBER 29,2005 1:30 P.M. CONSENT AGENDA * Approval of minutes * Confirmation of committee appointments Bill Bianchi would be reappointed to the Convention and Tourism Advisory Board. The current term would expire October 27, 2007. (Mayor Pro Tern Audwin M. Samuel) • Arthur Berry would be reappointed to the Convention and Tourism Advisory Board. The current term would expire October 30, 2007. (Councilmember Nancy Beaulieu) A) Approve the payment of an invoice for repairs to a landfill compactor • A City of Beaumont •�• Council Agenda Item m • m g TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Kirby Richard, Internal Services Director MEETING DATE: November 29, 2005 AGENDA MEMO DATE: November 16, 2005 REQUESTED ACTION: Council approve the payment of an invoice for repairs to a landfill compactor. • RECOMMENDATION Administration recommends the payment of an invoice in the amount of$44,810.91 for repairs made to Unit 5145, a 2002 Caterpillar Model 826G compactor used by the Public Works Department, Landfill Division. BACKGROUND Unit 5145 was purchased in 2002 at a cost of$404,220. It is one of the two compactors operating at the Landfill and is the primary means of compaction. The second unit is a 1992 model and is used as a back-up. Mustang Tractor and Equipment of Beaumont overhauled the unit's transmission at a total cost of$44,810.91. This procurement is exempt from competitive bidding regulations under state statutes exempting expenditures for procurements necessary because of unforseen damage to public machinery. BUDGETARY IMPACT Funds for this expenditure are available in the Solid Waste Fund. PREVIOUS ACTION None. • • Repairs to Compactor November 16, 2005 Page 2 SUBSEQUENT ACTION None. RECOMMENDED BY City Manager, Internal Services Director and Public Works Director. • • LIA • .0 m City of Beaumont REGULAR MEETING OF THE CITY COUNCIL COUNCIL CHAMBERS NOVEMBER 29,2005 1:30 P.M. AGENDA CALL TO ORDER * Invocation Pledge Roll Call * Presentations and Recognition * Public Comment: Persons may speak on scheduled agenda items 1-5/Consent Agenda * Consent Agenda GENERAL BUSINESS • 1. Consider authorizing the City Manager to execute an agreement for public adjusting services 2. Consider approving a contract related to voice communication system maintenance 3. Consider approving a contract for the Water Line Replacement for North Street from 1 lt' Street to a Street 4. Consider approving a contract for roof replacement for the UTMB and Health Administration buildings 5. Consider approving a contract for replacing overhead doors at the Fleet Maintenance facility COMMENTS * Councilmembers/City Manager comment on various matters * Public Comment (Persons are limited to 3 minutes) * Tour and assessment of the Julie Rogers Theatre and other Downtown facilities • Persons with disabilities who plan to attend this meeting and who may need auxiliary aids or services are requested to contact Lenny Caballero at 880-3716 three days prior to the meeting. � 1 November 29, 2005 Consider authorizing the Ci y Manager to execute an agreement for public adjusting services ..N.. City of Beaumont •�• Council Agenda Item TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Kirby Richard, Internal Services Director MEETING DATE: November 29, 2005 AGENDA MEMO DATE: November 21, 2005 REQUESTED ACTION: Council authorize the City Manager to execute an agreement for public adjusting services. RECOMMENDATION Administration recommends authorizing the City Manager to execute an agreement withNational Fire Adjustment Co., Inc. (NFA), headquartered in Amherst,New York, for providing public adjusting services to the City for insured losses associdted with the Hurricane Rita disaster. BACKGROUND During Hurricane Rita,the City sustained in excess of$6M in damages to City facilities. Most of the losses are insured by the City's building and personal property coverage with the Crum and Forster Insurance Company. Due to the magnitude of the losses, Administration feels that seeking the assistance of an independent public adjusting firm to provide consulting services for processing and filing claims is prudent. A public adjusting firm works for the insured,not the insurance company. The adjusting firm handles every detail of the claim,working closely with the insured to provide the most equitable and prompt settlement possible. They inspect the loss site, analyze damages, assemble claim support data, reviews the insured's coverage, determines current replacement costs and works with the insurance company to expedite the claim's settlement. Use of an independent adjuster helps ensure a thorough and complete claimthat will maximize the City's insurance recovery. it also allows City staffto focus their efforts on repairing damages and returning City facilities back to pre-hurricane condition. Two firms were interviewed for providing the needed services. The interviewing team consisted of the City Manager,City Attorney,Finance Officer,Internal Services Director and the City's Liability Administrator. Upon the conclusion of the interviews, the team determined that NFA would be the most meritorious for providing public adjusting services to the City. Public Adjusting Services Agreement November 29, 2005 Page 2 NFA has been in business since 1922 and is the largest public adjusting firm in the United States and Canada. In the past eight decades, NFA has served more than 40,000 clients and handled loss adjustment claims worth hundreds of millions of dollars. They are an accredited member of the National Association of Public Insurance Adjusters(NAPIA)and have two past NAPIA presidents on staff. All of the public insurance adjusters which will be working on the City losses are licensed by the Texas Department of Insurance. NFA agreed to provide the adjusting services for a fee of six percent(6 1/o)of the loss when adjusted or otherwise recovered. The firm does not receive any compensation until the City's loss is paid by the insurance company. A copy of NFA's proposal is attached for your review. BUDGETARY IMPACT Service fees are 6%of the recovered loss. All fees will be paid from recovered insurance proceeds. PREVIOUS ACTION None. SUBSEQUENT ACTION None. RECOMMENDED BY City Manager, City Attorney, Finance Officer and Internal Services Director. swce+srzs NATIONAL FARE ADJUSTMENT Co., INC. Texas Q f ce FRANK R.PAPA,J.b.,CHAmMAN 4190 Delaware Street, Suite 37 RONALD J.PAPA,5P13A,PRCSIDFM' DENNIS K NxAND,SPPA,EXECUMa V.P. Beaumont, TX 77706 ANGELO T.PUCCIO,MANm mr (800) 777-3333 November 11,2005 Mr.Kyle Hayes City Manager City of Beaumont 801 Main Street, Suite 300 Beaumont, TX 77701 Re: AGREEMENT Dear Mr. Hayes: Thank you for meeting with Ronald Papa and the on Thursday, November 10, 2005 and giving us the opportunity to present the following proposal to the City of Beaumont in regards to adjusting your Hurricane claims. By combining our deep and past experience with Hurricane/Flood claims in the Gulf Region,NFA is very well qualified to assist you in this matter. Below is a description of our roles and responsibilities as your Licensed Public Adjuster: 0 Review all the insurance policy coverage to determine the strong points and potential nebulous or gray areas of coverage to determine a strategy. Qualify all your losses so the best-combined insurance claim may be filed with the appropriate insurance carriers. • View all the loss locations with you and your staff to detennine what emergency measures have been taken and to develop short and long-term strategies for logistical issues as they relate to your coverage, a Create a professional forum that will speed up the process and ensure that any and all potential or nebulous issues are discussed and worked out so as not to impede the adjustment process. LICENSED AD)USYEgs FOR 771C.POLICYHOLDER ONE NFA PARK • AmKrm,NEw YORK 14228-1187 • (716)689-7700 • 1-800-777-3333 TOLL Pam ■ (716)689-7768 FAx swcE�saa • Meet with the insurance companies and their"experts"to discuss mutual goals, issues of coverage,meaningful Advances made for ongoing expenses and emergency funds, and to set proper Reserves for the home office of the insurance company. • Meet with all of the insurance company's "construction experts"to determine the scope of damage and repairs,which will ensure that the insurance company's "experts"are viewing the loss from the same perspective that we might, and finding any areas of disagreement or concern that they may have,before they become part of their report. This is essential to a successful loss adjustment, since the insurance company will rely heavily on their"experts"opinions. • Have our in-house building estimators work to develop appropriate specifications for the complete Restoration✓lzepair of all damaged facilities. This would require an exhaustive team effort to not only develop specifications necessary to restore buildings, but also the unit pricing which will be necessary for prevailing labor and material costs. We will also discuss my extra costs for construction due to Code Issues and Upgrades that maybe necessary since the improvements were first constructed as insurance allows. Have our in-house industrial specialists complete a physical listing of all business personal property that has been affected including fixtures and equipment. Research and develop a cost matrix for the Restvration/Repair of all damaged contents. • Strategize and development adjustment techniques that will ensure an adjustment process that will be in the best interest of the City of Beaumont. We will be able to determine, early on,what areas of disagreement we may have, and effectively bring out and resolve any disputed parts of the claim before they become entrenched in the adjustment process. We found on losses like this, that the more dialogue we develop with the insurance company and their"experts"in the early stages will result in a smoother and more effective loss adjustment. There will be areas of non-concurrence,whether it is in policy coverage, specifications for rebuilding,or pricing;but we can effectively negate any long-term protractive negotiations that do not result in a favorable loss scenario for the City of Beaumont, • Be present at any and all meetings with the insurance company adjuster and/or their"experts"to ensure that their concerns or opinions are more in line with our viewpoint of the loss,which also creates a good claim flow to speed up the process. .11T A® SINCE 1922 • Have our in-house forensic CPAs develop a system to monitor and track all Business,tnconte and Extra Expenses,including staff overtime, executive overtime, and projected increased costs that would be involved for expediting the rebuilding of the facilities or operating at a"temporary"facility. • Create and Present to you any and all offers,compromises,or settlement options along with our recommendations so that you are able to make a prudent decision relative to resolving all of the issues. Meet with the appropriate staff member prior to their submission to the insurance carriers and to make sure that we are in complete agreement as to the accuracy of our specifications and pricing of each category. Our firm can make no settlements and you must approve everything. • Employ all of our creative capabilities to make certain that every aspect of your loss is properly identified and addressed in your best interest with the carrier(s) involver- NFA is able to perform the above services for a fee of six percent (6.0%) of the net recovery (after deductible) of the loss when received. Our fee for services will include all our expenses incurred in the documentation, preparation and settlement of the insurance claim,not including legal or(appraisal) arbitration fees. We stand ready to respond to your needs immediately, and we hope that these conditions meet with your approval, Included with this email is the contract in attaclunent form. Please call me at 1-800-777-3333 ext. 1008 to discuss this proposal. We appreciate the opportunity to present our proposal, and stared ready to respond immediately. Sincerely, NATIONAL FIRE ADJUSTMENT CO., INC. Steven C. Vanuga National Loss Consultant Texas Licensed Public Adjuster#1355957 NA NATIONAL F FRE ADJUSTMENT CO.,INC. Corporate Office Texas Office One NFA Park 4190 Delaware Street Amherst, NY 14228-. 187 Beaumont, TX 77706 (716) 689-7700 (800) 777-3333 Toll Free 1-800-777+3333;Fax (716) 689-7768 www.nfa.com TEXAS PUBLIC ADJUSTERS CONTRACT To the Insurance Company Interested or To Whom It May Concern: I(we)hereby retain National Fire Adjustment Co., Inc. (NFA)to assist in the adjustment of my (our) loss for: City of Beaumont, Bed, Texas of September 24, 2005, and agree to pay and hereby assign NFA for such service a fee of 6% (six per centum) of the loss when adjusted or otherwise recovered. Notice: The Insured May(Cancel This Contract By Written Notice To The Public Insurance Adjuster Within 72 Hours,of Signature For Any Reason. We Represent The Insured Only. You Are Entering Into A ervice Contract. You Are Being Charged A Fee For This Service. You Do Not Have To Enter Into This Contract To Make A Claim For Loss Or Damage On A Policy Of Insurance. Accepted by: National Fire Adjustment CO., Inc. X Texas License# Date: 20_ Time: a.m. M. NOTICE OF CANCELLATION You may cancel this agreement, 'thout penalty or obligation within(72)hours of signature. If you cancel,anything of value given by you under this agreement will be returned within 10 business days following your cancellation To cancel this agreement,mail or deliver a signed and dated copy of this notice,or any other written notice thereof or send a telegram to NFA,One NFA Park,Amherst,NY 14228 not later than midnight 20 I hereby cancel this agreement 20 Time AM/PM Also please call toll free 1-800-7 7-3333. Insured's Signature If the insurance carrier pay or commits in writing to pay to the insured the policy limits of the insurance policy in accordance with Insurance Code Article 6.13 —§862.053 within 72 hours of the loss being reported to the insurer,the public insurance adjuster is not entitled to compensation based on a percentage of the insurance settlement,but is entitled to reasonable compensation for the public insurance adjuster's time and expenses provided to the insured before the claim was paid or the written commitment to pay Was received. NOTICE: A public in rance adjuster may not participate directly or indirectly in the reconstruction, repair or restoration of damaged property that is the subject of a claim adjusted by the public insurance adjuster or engage in any other activities that may reasonably be construed as presenting a conflict of interest including soliciting or accepting any remuneration from, or having a financial interest in, any sal age firm, repair firm, or other firm that obtains business in connection with any claim the public in rance adjuster has a contract or agreement to adjust. The total commission payable to the public insurance adjuster may not exceed 10% (ten per centum) of the amount of the insurance settlement. IMPORTANT NOTICE: You m may contact the Texas Department of Insurance to obtain information on public insurance adjusters, your rights an at 1-800-252-3439 or you may write the Texas Department of Insurance at P.O.Box 149104,Anstin,Texas 78714-9104,Fax(512)475-177L ADVISO IMPORTANTE: ede communicarse con el Departamento de Seguros de Texas par obtener informaciaon acera ajustores ublicos de seguros,o sus derechos o quejac al:1-800-252-3439 o puede escribir al Departamento de Seguros de T xas P.O.Box 149104,Austin,Texas 78714-9104,Fax#(512)475-1771. 2 November 29,2005 Consider approving a con r ct related to voice communication system maintenance City of Beaumont Council Agenda Item TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Kirby Richard, Internal Services Director MEETING DATE: November 29, 2005 AGENDA MEMO DATE: November 16, 2005 REQUESTED ACTION: Council consider award of a five (5) year contract for a voice communication system maintenance agreement. RECOMMENDATION Administration recommends the award of a five (5)year contract to SBC Global Services, Inc. to provide maintenance on the new telephone system installed in March 2005. The total cost of the five (5)year service agreement is$140,911.26. BACKGROUND The digital networked telephone system was purchased in December 2004 at a cost of$344,560.40. The new system included networked hubs for City Hall, Police, Fire Headquarters and the Health Department. New phones with centralized voice mail capabilities, call accounting, and internal programming were installed. All hardware was warranted for one(1)year with an effective date of March 6,2005. The additional maintenance agreement will begin March 6, 2005 and will expire March 7, 2011. The cost for maintenance at each site is as follows: City Hall $98,919.60 Police Department $46,727.40 Health Department $29,927.40 Fire Administration $25,727.40 Total $201,301.80 i Maintenance Agreement November 16, 2005 Page 2 The total cost ofthe five(5)year agreement is$201,301.80 but proceeds from a legal settlement with SBC provide for an additional 30% discount from the total cost resulting in a net cost of $140,911.26. All purchases made through SBC until the expiration date ofDecember 9,2005 qualify for the 30% discount. Prepayment of the five(5)year agreement allows the City to take advantage of the 30%discount prior to its expiration. Termination of the agreement prior to the expiration of the five(5)year term will result in a prorated refund to the City. BUDGETARY IMPACT The total net cost of the telecommunication infrastructure upgrade after the lawsuit settlement discount of 301/o is$140,911.26. Funds are available in the Internal Services Department,Building Services Division's budget. PREVIOUS ACTION None. SUBSEQUENT ACTION None. RECOMMENDED BY City Manager and Internal Services Director. 3 November 29,2005 Consider approving a cot act for the Water Line Replacement for North Street from 110' Street to Oh Street 1179JCity of Beaumont 'J Council Agenda Item TO: City Council FROM: Kyle Hayes, City Manager PREPARED BY: Hani J. Tohme, Water Utilities Director MEETING DATE: November 29, 2005 AGENDA MEMO DATE: November 9, 2005 REQUESTED ACTION: Council approval of a resolution authorizing the City Manager to execute a contract for the Water Line Replacement for North Street From 111' Street to a Street. RECOMMENDATION Administration recommends approval of a contract with Brystar Contracting,Inc.,Beaumont,Texas, in the amount of$388,610 to replace approximately 3,766 linear feet of 8-inch water lines,to remove and replace approximately 5 fire hydrants,and to replace approximately 107 service line connections. The MBE goal will be met through subcontract with the certified MBE firm of Texas Mechanical Specialties for a total of$80,000. This amount represents 20.6 percent of the total bid. BACKGROUND The existing water lines built in the 1950's have deteriorated and require replacement. The primary goals of the project are to restore the integrity of the water lines, increase pressure, and provide customers with uninterrupted and adequate service. BUDGETARYIMPACT Funds for the project are available in the Water Utilities Capital Improvement Fund. PREVIOUS ACTION None. SUBSEQUENT ACTION None, RECOMMENDED BY City Manager and Water Utilities Director. 4 November 29, 2005 Consider approving a cot tr ct for roof replacement for the UTMB and Health Administration buildings • City of Beaumont ter• Council Agenda Item TO: City Council FROM: Kyle Hayes, City Manager i PREPARED BY: Kirby Richard, Internal Services Director MEETING DATE: November 29, 2005 AGENDA MEMO DATE: November 21, 2005 REQUESTED ACTION: Council consider award of a bid for roof replacement for the UTMB and Health Administration buildings. RECOMMENDATION Administration recommends awarding a bid for furnishing all labor, supplies, materials and equipment for replacing the roofs of the UTMB and Health Administration buildings to Prime Source Construction of Joshua, Texas in the total amount of $59,800. Prime Source has submitted references, whi h have each responded in a positive manner as to quality of work and professionalism. BACKGROUND Bid notices were provided to 28 vendors, with only Prime Source Construction submitting a bid. The roofs were damaged by Hurricane Rita, and need to be replaced to adequately weatherproof the buildings. Roofing bid s have been exceedingly difficult to obtain since the storm, particularly for composition shingle roofs such as these, as most local vendors are predominantly performing residential repairs at this t me. BUDGETARY IMPACT Due to the nature of the damage, funding for this project will be reimbursed from property insurance proceeds. PREVIOUS ACTION None. SUBSEQUENT ACTIO None. Replacement of Damaged Roofs-Health Services Facility November 21, 2005 Page 2 RECOMMENDED BY City Manager and Internal Services Director. • 5 November 29,2005 Consider approving a con r ct for replacing overhead doors at the Fleet Maintenance facility City of Beaumont Council Agenda Item TO: City Council I FROM: Kyle Hayes, City Manager PREPARED BY: Kirby Richard, Internal Services Director MEETING DATE: November 29, 2005 AGENDA MEMO DATE: November 22, 2005 REQUESTED ACTION: Council consider award of a bid for replacing eight (8) overhead doors at the Fleet Maintenance facility. RECOMMENDATION Administration recommends awarding a bid for furnishing all labor, supplies, materials and equipment for replacing eight (8) metal overhead doors at the Fleet Maintenance facility to Overhead Door Company of Beaumont in the total amount of$44,164. BACKGROUND Bid notices were provided to three (3) vendors, with two (2) responding with bids as reflected below. The doors were damaged by Hurricane Rita, and need to be replaced to adequately weatherproof and secure the building. The bid includes replacement of the doors,and installation of electric door operators for each of the eight (8) doors. The two (2) bids received �e as follow: Vendor Total Bid Amount Completion Time Overhead Door Co. of Beaumont $44,164 5 calendar days Beaumont, TX Tex-Pro Overhead Door $32,308 21 calendar days Beaumont, TX While Tex-Pro is the apparent low bidder,the bid does not include the requested installation of the electric door operators, thereby rendering the bid to be non-responsive to specifications. i . Replacement of Damaged Overhead Doors-Fleet Maintenance Facility November 22, 2005 Page 2 BUDGETARY IMPACT Due to the nature of the carnage, funding for this project will be reimbursed from property insurance proceeds. PREVIOUS ACTION None. SUBSEQUENT ACTION None. RECOMMENDED BY City Manager and Internal Services Director. i I I I