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HomeMy WebLinkAbout2015-469-E Planning - TischlerBise for school impact fee study 2014-15 and 2015-16 $71,340 DocuSign Envelope ID:9141986F-1 B82-40FD-B364-5C818EBODBD6 [Departmental Use Only] TITLE School Impact Fee Study FY 2014-15 &2015-16 NORTH CAROLINA CONSULTING SERVICES AGREEMENT UNDER $90,000 ORANGE COUNTY This Agreement, made and entered into this 17 day of July, 2015, ("Effective Date") by and between Orange County, North Carolina a body politic and corporate of the State of North Carolina(hereinafter, the "County") and TischlerBise, (hereinafter, the "Consultant"). WITNESSETH: That the County and Consultant, for the consideration herein named, do hereby agree as follows: ARTICLE 1 SCOPE OF WORK 1.1 Scope of Work 1.1.1 This Services Agreement ("Agreement") is for professional consulting services to be rendered by Consultant to County with respect to (insert type of project)calculating the maximum supportable school impact fee, as described in the scope of services in Exhibit A. 1.1.2 By executing this Agreement, the Consultant represents and agrees that Consultant is qualified to perform and fully capable of performing and providing the services required or necessary under this Agreement in a fully competent,professional and timely manner. 1.1.3 Time is of the essence with respect to this Agreement. 1.1.4 The services to be performed under this Agreement consist of Basic Services, as described and designated in Article 3 hereof. Compensation to the Consultant for Basic Services under this Agreement shall be as set forth herein. ARTICLE 2 RESPONSIBILITIES OF THE CONSULTANT 2.1 Services to be Provided. The Consultant shall provide the County with all services required in Article 3 to satisfactorily complete the Project within the time limitations set forth herein and in accordance with the highest professional standards. 2.2. Standard of Care 2.2.1 The Consultant shall exercise reasonable care and diligence in performing services under this Agreement in accordance with the highest generally accepted standards of this type of Consultant practice throughout the United States and in accordance with applicable federal, state and local laws and regulations applicable to the performance of these services. Consultant is solely responsible for the professional quality, accuracy and timely completion and submission Revised 10/14 1 DocuSign Envelope ID:9141986F-1 B82-40FD-B364-5C818EBODBD6 of all reports, drawings, specifications, plans, documents and services (hereinafter "Deliverables")related to the Basic Services. 2.2.2 The Consultant shall be responsible for all errors or omissions, in the deliverables prepared by the Consultant. 2.2.3 The Consultant shall correct at no additional cost to the County any and all errors, omissions, discrepancies, ambiguities, mistakes or conflicts in any Deliverables prepared by the Consultant. 2.2.4 The Consultant shall assure that all Deliverables prepared by it hereunder are in accordance with applicable laws, statutes, and that any necessary or appropriate applications for approvals are submitted to federal, state and local governments or agencies in a timely manner so as not to delay the Project. 2.2.5 The Consultant shall not, except as otherwise provided for in this Agreement, subcontract the performance of any work under this Agreement without prior written permission of the County. No permission for subcontracting shall create, between the County and the subcontractor, any contract or any other relationship. 2.2.6 Any and all employees of the Consultant engaged by the Consultant in the performance of any work or services required of the Consultant under this Agreement, shall be considered employees or agents of the Consultant only and not of the County, and any and all claims that may or might arise under any workers compensation or other law or contract on behalf of said employees while so engaged shall be the sole obligation and responsibility of the Consultant. 2.2.7 Consultant agrees that Consultant and its subcontractors, if any, shall be required to comply with all federal, state and local antidiscrimination laws, regulations and policies that relate to the performance of Consultant's services under this Agreement. 2.2.8 If activities related to the performance of this agreement require specific licenses, certifications, or related credentials Consultant represents that it and/or its employees, agents and subcontractors engaged in such activities possess such licenses, certifications, or credentials and that such licenses certifications, or credentials are current, active, and not in a state of suspension or revocation. ARTICLE 3 BASIC SERVICES 3.1 Basic Services 3.1.1 The Consultant shall perform as Basic Services the work and services described herein and as described in Exhibit A. ARTICLE 4 DURATION OF SERVICES 4.1 Scheduling of Services Revised 10/14 2 DocuSign Envelope ID:9141986F-1 B82-40FD-B364-5C818EBODBD6 4.1.1 The Consultant shall schedule and perform its activities in a timely manner. 4.1.2 Should the County determine that the Consultant is behind the agreed upon schedule, it may require the Consultant to expedite and accelerate his efforts, including providing additional resources and working overtime, as necessary, to perform his services in accordance with the approved project schedule at no additional cost to the County. 4.1.3 The Commencement Date for the Consultant's Basic Services shall be upon contract execution. ARTICLE 5 COMPENSATION 5.1 Compensation for Basic Services 5.1.1 Compensation for Basic Services shall include all compensation due the Consultant from the County for all services under this Agreement except for any authorized Reimbursable Expenses which are defined herein. The maximum amount payable for Basic Services is 71,340 Dollars ($seventy-one thousand three hundred forty). Payment for Basic Services shall become due and payable in direct proportion to satisfactory services performed and work accomplished. ARTICLE 6 RESPONSIBILITIES OF THE COUNTY 6.1 Cooperation and Coordination 6.1.1 The County has designated Craig N. Benedict to act as the County's representative with respect to the Project and shall have the authority to render decisions within guidelines established by the County Manager and the County Board of Commissioners and shall be available during working hours as often as may be reasonably required to render decisions and to furnish information. 6.1.2 The County shall be solely responsible for determining whether Consultant as satisfactorily completed Tasks. It is agreed that County shall not unreasonably withhold its determination of satisfactory completion of any Task. In the event the amount of an invoice is disputed County may withhold payment until the dispute is resolved by the parties. County may also withhold payment on an invoice until the satisfactory completion of a Task by Consultant. ARTICLE 7 INSURANCE AND INDEMNITY 7.1 General Requirements 7.1.1 Consultant shall obtain, at its sole expense, Commercial General Liability Insurance, Automobile Insurance, Workers' Compensation Insurance, Professional Liability Insurance, and any additional insurance as may be required by Owner's Risk Manager as such insurance requirements are described in the Orange County Risk Transfer Policy and Orange County Minimum Insurance Coverage Requirements (each document is incorporated herein by reference and may be viewed at httD:Horan eg countvnc.gov/Durchasin�a,/contracts.asp). If Owner's Risk Manager determines additional insurance coverage is required such additional insurance shall be designated here N/A (if no additional insurance required mark N/A as being Revised 10/14 3 DocuSign Envelope ID:9141986F-1 B82-40FD-B364-5C818EBODBD6 not applicable). Consultant shall not commence work until such insurance is in effect and certification thereof has been received by the Owner's Risk Manager. 7.2 Indemnity 7.2.1 The Consultant agrees to indemnify and hold harmless the County from all loss, liability, claims or expense, including attorney's fees, arising out of or related to the Project and arising from any injury physical, emotional, or other, including death, or property damage to any person or persons caused in whole or in part by the negligence or misconduct of the Consultant except to the extent same are caused by the negligence or willful misconduct of the County. It is the intent of this provision to require the Consultant to indemnify the County to the fullest extent permitted under North Carolina law. ARTICLE 8 AMENDMENTS TO THE AGREEMENT 8.1 Changes in Basic Services 8.1.1 Changes in the Basic Services and entitlement to additional compensation or a change in duration of this Agreement shall be made by a written Amendment to this Agreement executed by the County and the Consultant. The Consultant shall proceed to perform the Services required by the Amendment only after receiving a fully executed Amendment from the County. ARTICLE 9 TERMINATION 9.1 Termination for Convenience of the County 9.1.1 This Agreement may be terminated without cause by the County and for its convenience upon seven (7) days prior written notice to the Consultant. 9.2 Other Termination 9.2.1 The Consultant may terminate this Agreement based upon the County's material breach of this Agreement; provided the County has not taken all reasonable actions to remedy the breach. The Consultant shall give the County seven (7) days' prior written notice of its intent to terminate this Agreement for cause. 9.3 Compensation After Termination 9.3.1 In the event of termination, the Consultant shall be paid that portion of the fees and expenses that it has earned to the date of termination, less any costs or expenses incurred or anticipated to be incurred by the County due to errors or omissions of the Consultant. 9.3.2 Should this Agreement be terminated, the Consultant shall deliver to the County within seven (7) days, at no additional cost, all Deliverables including any electronic data or files relating to the Project. 9.4 Waiver Revised 10/14 4 DocuSign Envelope ID:9141986F-1 B82-40FD-B364-5C818EBODBD6 9.4.1 The payment of any sums by the County under this Agreement or the failure of the County to require compliance by the Consultant with any provisions of this Agreement or the waiver by the County of any breach of this Agreement shall not constitute a waiver of any claim for damages by the County for any breach of this Agreement or a waiver of any other required compliance with this Agreement. ARTICLE 10 ADDITIONAL PROVISIONS 10.1 Relationship of Parties 10.1.1 Consultant is an independent contractor of the County. Neither Consultant nor any employee of the Consultant shall be deemed an officer, employee or agent of the County. Consultant's personnel shall not be employees of, or have any contractual relationship with, the County. 10.2 Limitation and Assignment 10.2.1 The County and the Consultant each bind themselves, their successors, assigns, and legal representatives to the terms of this Agreement. Neither the County nor the Consultant shall assign or transfer its interest in this Agreement without the written consent of the other. 10.3 Governing Law 10.3.1 This Agreement and the duties, responsibilities, obligations and rights of respective parties hereunder shall be governed by the laws of the State of North Carolina. Consultant shall at all times remain in compliance with all applicable local, state, and federal laws, rules, and regulations including but not limited to all anti-discrimination laws. 10.4 Dispute Resolution 10.4.1 Any and all suits or actions to enforce, interpret or seek damages with respect to any provision of, or the performance or non-performance of, this Agreement shall be brought in the General Court of Justice of North Carolina sitting in Orange County, North Carolina and it is agreed by the parties that no other court shall have jurisdiction or venue with respect to such suits or actions. The Parties may agree to nonbinding mediation of any dispute prior to the bringing of such suit or action. 10.5 Extent of Agreement 10.5.1 This Agreement, together with the Request for Proposals together with attachments distributed by the County and the Consultant's submitted Proposal, all of which constitute the Contract Documents, represents the entire and integrated agreement between the County and the Consultant and supersedes all prior negotiations, representations or agreements, either written or oral. In the event of a conflict among the terms of the Contract Documents, the priority of documents shall be This Agreement, the County's Request for Proposals, attachments to the County's Request for Proposals, the Consultant's Proposal. This Agreement may be amended only by written instrument signed by both parties. Modifications may be evidenced by facsimile signatures. Revised 10/14 5 DocuSign Envelope ID:9141986F-1 B82-40FD-B364-5C818EBODBD6 10.6 Severability 10.6.1 If any provision of this Agreement is held as a matter of law to be unenforceable, the remainder of this Agreement shall be valid and binding upon the Parties. 10.7 Ownership of Deliverables 10.7.1 All Deliverables, together with all supporting materials, source documentation, data collected, field notes, and working drafts, developed in the performance of this Agreement shall become the property of the County and may be used on any other project without additional compensation to the Consultant. The use of the Deliverables by the County or by any person or entity for any purpose other than the Project as set forth in this Agreement shall be at the full risk of the County. 10.8 Non-Appropriation 10.8.1 Consultant acknowledges that County is a governmental entity, and the validity of this Agreement is based upon the availability of public funding under the authority of its statutory mandate. In the event that public funds are unavailable and not appropriated for the performance of County's obligations under this Agreement, then this Agreement shall automatically expire without penalty to County immediately upon written notice to Consultant of the unavailability and non-appropriation of public funds. It is expressly agreed that County shall not activate this non-appropriation provision for its convenience or to circumvent the requirements of this Agreement, but only as an emergency fiscal measure during a substantial fiscal crisis. In the event of a change in the County's statutory authority, mandate and/or mandated functions, by state and/or federal legislative or regulatory action, which adversely affects County's authority to continue its obligations under this Agreement, then this Agreement shall automatically terminate without penalty to County upon written notice to Consultant of such limitation or change in County's legal authority. 10.9 Notices and Signatures 10.9.1 This Agreement together with any amendments or modifications may be executed electronically. All electronic signatures affixed hereto evidence the intent of the Parties to comply with Article 11 A and Article 40 of North Carolina General Statute Chapter 66. 10.9.2 Any notice required by this Agreement shall be in writing and delivered by certified or registered mail, return receipt requested to the following: Orange County Consultant's Name& Address Attention: Craig N. Benedict TischlerBise - Carson Bise P.O. Box 8181 4701 Sangamore Rd, Ste. 5240 Hillsborough, NC 27278 Bethesda, MD 20816 [SIGNATURE PAGE TO FOLLOW] Revised 10/14 6 DocuSign Envelope ID:9141986F-1 B82-40FD-B364-5C818EBODBD6 IN WITNESS WHEREOF, the Parties, by and through their authorized agents, have hereunder set their hands and seal, all as of the day and year first above written. COUNTY: Orange County CONSULTANT: TischlerBise DocuSigned by: DocuSigned by: j�jbV�.l�t tf.(�AwttMGVS�f(? 8/26/2015 CAV SbVU INst, 7/24/2015 0637994B755E477... A277AEE758F74A0... County Manager L. Carson Bise, President Printed Name and Title Revised 10/14 7 oonuSign Envelope ID:o141oasF-1ea24oFo'eas4noa1aEonoeon 4701 SAwG^w(JRE nO^o U SUITE S240 U oET*ESoAUMID 20$16 T fs- c�hi�er ��..........3��se T: 800,424,4318 11p` 301.320.4860 FISCAL | ECONOMIC | PL �N �| � � 300Uw{ LxG< DRIVE x SUITE 405 111 NORTH PALM BEACH lPL 33408 T. 800.434.4318 � F` 301.330.4040 vvvvv«noC*Lc:mSE.CoM Perdita Ho|tz,A|CP, Planning Systems Coordinator Orange County (NC) Planning Department PO Box O1O1 Hillsborough, NC 27278 Via email: June 10, 2015 Re: Schools Impact Fee Study Scope and Pricing DearPerdita, We are pleased to submit the following scope of work for Impact Fee Studies for Orange County, North Carolina, specifically for Orange County Schools and Chapel Hi||'Carrboro City Schools. Tisch|erBise, Inc., isafiscal, economic, and planning consulting firm that specializes in impact fees, fiscal impact analyses, infrastructure funding strategies, capital improvement planning, utility rate studies, and financial planning. Our firm has been providing consulting services to public agencies for over thirty years. In this time, we have prepared over 800 impact fee evaluations (including for Orange County, NC) and over 700 fiscal impact analyses — more than any other firm. Through our detailed approach, proven methodologies, and comprehensive work products, we have established Tisch|erBise as the leading national firm on revenue enhancement and fiscal sustainabi|ity. Please let us know if there are any questions on the attached. We look forward to working with Orange County again on this assignment. Sincerely, Julie Her|ands, A|CP Principal Fiscal Impact Analysis- Impact Fees^ Economic limpacts- Infrastructure Financing-Market and Financial FeasOility^ Fiscal Software- DocuSign Envelope ID:9141986F-1 B82-40FD-B364-5C818EBODBD6 Impact fees are fairly simple in concept, but complex in delivery. Generally, the jurisdiction imposing the fee must: (1) identify the purpose of the fee, (2) identify the use to which the fee is to be put, (3) show a reasonable relationship between the fee's use and the type of development project, (4) show a reasonable relationship between the facility to be constructed and the type of development, and (5) account for and spend the fees collected only for the purpose(s) used in calculating the fee. Reduced to its simplest terms,the process of calculating impact fees involves the following two steps: 1. Determine the cost of development-related capital improvements, and 2. Allocate those costs equitably to various types of development. There is, however, a fair degree of latitude granted in constructing the actual fees, as long as the outcome is "proportionate and equitable." Fee construction is both an art and a science, and it is in this convergence that TischlerBise excels in delivering products to clients. Orange County is interested in updating its Schools Impact Fee Studies from December 2007 (adopted in 2008). The update will expand the housing categories and build on the student generation rate work recently completed by TischlerBise. All relevant components of the Impact Fee Study will be revisited. Each school system in the County will be evaluated separately (Orange County Schools and Chapel Hill- Carrboro City Schools). 2 DocuSign Envelope ID:9141986F-1 B82-40FD-B364-5C818EBODBD6 SCOPE F WORK Phase 1. Stu inn Geineiratioin Flat in 11 i i Ir Use Ii ri m ,Iii„ „P�, „I,,,,,, „ii ,,,,,,,,,,,,,,,, , , ,lll,,,,,, , ,,,,, , ,llr ,Iii„ , ,,,,,............II , „III.ysil, .' TASK 1:PROJECT INITIATION During this task, we will meet with County staff to establish lines of communication, review and discuss project goals and policies related to the project, review the project schedule, and revise if necessary, and discuss data and documentation requested. This trip will include relevant meetings with School staff as well to discuss enrollment trends and capital projects. The specifics of this initial discussion are outlined below: Policy Discussion. Our team will identify any major technical and policy issues related to the existing fee structure. Data Request. TischlerBise will request relevant data for the study. This will include housing unit and current enrollment GIS data (see Task 2), historical and projected enrollment, School Operating and Capital Budgets, debt service schedules, other relevant reports/planning documents. We will provide a detailed data request memorandum prior to the initial meeting. /Meetings: One (1) trip; meetings with County and School staff. Deliverables: 1) Data request memorandum; 2) Revised project schedule, if necessary. TASK 2:DATA COLLECTION The purpose of this task is to obtain data and documentation related to the project to include the following elements: • Obtain housing unit data from each Town (Chapel Hill and Carrboro) and Orange County for all housing unit stock, classified by type with number of bedrooms and size where available. (Note: For Chapel Hill-Carrboro City Schools (CHCCS), data will reflect housing units located in Chapel Hill and Carrboro and the portion of Orange County that falls within CHCCS. For Orange County Schools, building permit data will include those units permitted in the County and the Town of Hillsborough within the Orange County School System.) o Note: Where data is not available on bedroom count and size of housing units, TischlerBise will use data from the Student Generation Study to identify a statistical relationship between size(square footage) and bedroom count by type of unit. • Obtain student address data from each School District. (Data should indicate grade level (or type of school).) • Coordinate with County on County research on comparable age-restricted communities in other nearby counties for student generation rate data. • Identify any initial issues with data. 3 DocuSign Envelope ID:9141986F-1 B82-40FD-B364-5C818EBODBD6 TASK 3:EVALUATE DATA AND DERIVE STUDENT GENERATION RATES This task will utilize the data collected and organized in previous tasks to derive student generation rates for each district for all housing units. Subtasks include: • TischlerBise will match student addresses to housing unit data using GIS. As part of this subtask, ongoing evaluation of the dataset will be conducted for quality and the extent to which "clean up" of the files are necessary to successfully conduct the address match. TischlerBise will alert the County to any significant issues that would require excess additional time on the part of TischlerBise staff. Routine cleaning up of data is anticipated. • As part of this task, TischlerBise will evaluate the data to determine if there are adequate numbers of units in the sample and make recommendations where necessary (such as deriving relationships between bedroom counts and size of units). • TischlerBise will work with the County on age-restricted student generation rate approach and data availability. It is assumed the County will do primary research on comparable age-restricted communities from nearby locations. Primary research includes identifying age-restricted communities, determining covenant restrictions, and determining the number of public school students within the development. TischlerBise will collaborate with the County on the research (e.g., research on communities outside North Carolina; determine whether County or consultant is optimal party to contact identified NC school districts.) Please note: if defensible data is not available, TischlerBise will work with the County to develop and recommend alternative approaches for the age-restricted housing categories. • TischlerBise will identify if there are issues with the data, approach, etc., and communicate with County on the issues and recommendations to correct. • TischlerBise will calculate preliminary Student Generation Rates for each School District by type of housing unit and bedroom count (data permitting) as follows (as provide by Orange County): Housing Unit Categories 1. SF Detached over 800 square feet in size a. 0-3 bedrooms b. 4 bedrooms c. 5+ bedrooms 2. SF Detached under 800 square feet in size 3. SF Attached/Duplex a. 0-2 bedrooms b. 3+ bedrooms 4. Multifamily/Accessory Dwelling Units (e.g., granny flats, efficiency apartments) located on the same lot as any principal dwelling/Other a. 0-2 bedrooms b. 3+ bedrooms 5. Manufactured Homes a. 0-2 bedrooms b. 3+ bedrooms 4 DocuSign Envelope ID:9141986F-1 B82-40FD-B364-5C818EBODBD6 6. Age Restricted Housing (all types, all bedroom counts) a. School aged children possible (e.g., covenants do not restrict age of all residents or restriction is not in perpetuity) b. School aged children not possible (e.g., covenants would restrict age of residents to over 18 years old in perpetuity) Deliverable: Memo on Draft Student Generation Rates. TASK 4:RECOMMEND DEMOGRAPHIC AND LAND USE ASSUMPTIONS AND PROJECTIONS TischlerBise will review and, if appropriate, update annual projections of population, housing units, and student enrollment. This will be based on discussions with county and school system staff at the onsite interviews as well as review of existing documentation on development assumptions and projections. We will prepare a memorandum discussing the recommended land use projections. This task will serve to establish forecasts reflecting population, housing, and student enrollments. Deliverable: Memo on Demographic and Development Projections TASK 5.ASCERTAIN LEVELS OF SERVICE FOR EACH SCHOOL DISTRICT TischlerBise will review the County's current impact fee program and any issues or relevant changes since the previous study was completed by TischlerBise in 2007.The work in this task will be based upon onsite interviews with County and School District staff. We will identify and recommend what changes should be made to the existing school impact fee program. If necessary, the consultant will prepare a memorandum discussing recommended impact fee program changes, as they relate to methodological or policy issues and as discovered in other tasks of this scope. There are several important components to this task that are outlined below. a. Ascertain Demand Factors — The actual demand factors that generate the need for new capital facilities will be finalized. b. Evaluate Existing Levels of Service — One important subtask is calculating the appropriate level of service, which will be based on TischlerBise's previous impact fee work for the County. Impact fees usually reflect the established levels of service for purposes of calculating the new demand, unless there are extenuating circumstances. We will determine the appropriate current level of service through onsite interviews with the service providers and analysis of local data for any special circumstances. Existing school construction standards will be analyzed as well as the construction standards for new schools. This information will be used to project school capital improvement needs costs to 2025. c. Determine Geographic Service Area — The appropriate geographic service area for purposes of calculating the impact fees will be finalized. 5 DocuSign Envelope ID:9141986F-1 B82-40FD-B364-5C818EBODBD6 The above subtasks will enable us to ensure that three important impact fee requirements are met; namely the proportionate share, substantial benefit, and rational nexus. Meetings: One (1) trip; meetings with County and School staff. Deliverable: Memoranda as appropriate; results will be included in the Impact Fee reports. TASK 6.PUBLIC MEETING&PRESENTATION(PHASE I) Two types of presentations are included in the scope: (a) Two (2) presentations to Board of County Commissioners and Schools Boards and (b) One (1) Public Information Meeting (in Phase II). Presentations to the County Commission and School Boards will explain the analysis and conclusions. For Phase I, the presentation will include student generation rate findings, demographic/land use projections, and draft level of service findings. TischlerBise will work with County staff to identify the timing for these meetings one of which is included in Phase I and the other in Phase II. Meetings: One (1) presentation with School Boards and Board of County Commissioners in Phase I. (Second presentation in Phase II). Deliverable: Appropriate Materials and Graphics and Public Speaking TASK Z REVIEW CAPITAL NEEDS AND COSTS AND ALLOCATE TO GROWTH This task will culminate in the relevant capital needs and costs due to growth. A. Long Range Capital Needs. In this subtask, TischlerBise will further review the various student projection and school data germane to the relevant school categories. TischlerBise will work with staff to forecast the capital facility needs (including land), due to growth. The discussions may include not only an understanding of the specific costs to provide the schools, but also include discussions pertaining to whether these capital facilities needs were due to normal replacement, catch-up, or new demand. B. Review Cost Estimates. In this subtask the consultant will review, as relevant, the various capital costs for facilities. As part of this subtask, we will ascertain whether the facilities are likely to be bonded, and if so, the amortization schedule. Also, this task will review and update other sources of funding for school capital needs (e.g., State funding). C. Evaluate and Finalize Different Allocation Methodologies — TischlerBise will finalize different possible allocation methodologies to determine which is the most appropriate for each component of the fee. 6 DocuSign Envelope ID:9141986F-1 B82-40FD-B364-5C818EBODBD6 As part of calculating the impact fees, costs may include the construction contract price; the cost of acquiring land, improvements, materials and fixtures; the cost for planning, surveying, and engineering fees for services provided for and directly related to the construction system improvement; and debt service charges, if impact fees are used to pay the debt service to finance the cost of the system improvements. Also included will be support buildings, vehicles, and equipment. Deliverable: Memoranda as appropriate; results will be included in the Impact Fee reports. TASK 8.DETERMINE THE NEED FOR CREDITS A consideration of "credits" is an integral part to the development of a legally valid impact fee calculation methodology. Often there is confusion about the definition of a credit and why it may be legally or equitably required. There are, in fact, two (2) types of credits, each with specific, distinct characteristics, but both of which will be included (or at least considered) in the development of all impact fees. The first is a credit due to possible double payment situations. This could occur when future contributions are made by the property owner toward the capital costs of the public facility already covered by the impact fee. This type of credit will be considered and incorporated into the fee amount, if necessary. The second is a credit toward the payment of an impact fee due for the required dedication of public sites and/or public improvements provided by the developer and for which the impact fee is imposed. This type of credit will be addressed in the ordinance that adopts the fee and is addressed during implementation. This task will calculate credits, as appropriate, to account for potential double payment by new development. Deliverable: Memoranda as appropriate; results will be included in the Impact Fee reports. TASK 9.CONDUCT FUNDING SOURCE AND CASH FLOW ANALYSIS In order to calculate the feasible capital improvements needs required by each school district over time as development occurs, it is important to evaluate the anticipated funding sources. Cash flow projections will be based on projections of new housing by type and district provided by Orange County Public Schools and confirmed as part of Section A, Tasks 1 and 2. In this subtask, we will prepare a cash flow analysis, which indicates the sources of funding, independent of impact fees. This calculation will allow the County and each district to better understand the various revenue sources available, including impact fees and the additional amount, which might be needed if the impact fees were not adopted or were discounted. It will also provide a good understanding of the cash flow needed to cover the capital facilities both for existing and new development. The initial cash flow analysis will indicate whether additional funds might be needed or whether the capital improvements schedule might need to be changed. This could also affect the total credits 7 DocuSign Envelope ID:9141986F-1 B82-40FD-B364-5C818EBODBD6 calculated in the previous task. Therefore it is likely that a number of iterations will be conducted in order to refine the cash flow analysis reflecting the capital improvement needs. Deliverable: Memoranda as appropriate; results will be included in the Impact Fee reports. TASK 10: COMPLETE IMPACT FEE METHODOLOGIES AND CALCULATION The completion of the above tasks will enable the impact fee methodologies to be appropriately and equitably determined and finalized. The impact fee that results from this methodology will be the maximum legally defensible fee for new development in the two Orange County school districts that could be charged while meeting all the statutory requirements for impact fees. (The County will subsequently decide what percentage of the maximum justifiable fee it wants to charge.) Deliverable: Impact Fee reports (see below). TASK 11. PREPARE SCHOOL IMPACT FEE REPORTS We will prepare a draft report for each district (two reports) that summarize the basis and need for the impact fees for both school districts and which provides the relevant methodologies employed and documents all assumptions and cost factors. The report will include at a minimum the following information: • Executive Summary • A detailed description of the methodologies used during the study • A detailed description of all level of service standards and cost factors used and accompanying rationale • A detailed schedule of all proposed fees listed by land use type and activity meeting the requirements of impact fees. • Summary of capital improvement needs generated by the projected development • Other information which adequately explains and justifies the resulting recommended fee schedule Following the County's review of the draft report (including review and feedback from Task 12), we will make mutually agreed upon changes and issue the final impact fee report. TischlerBise's fee report will have diagrams clearly indicating methodologies and approach, a series of tables for each activity showing all of the data assumptions and figures, and a narrative explaining all of the data assumptions, sources and the methodologies. The report will be a stand-alone document clearly understood by interested parties. Because of the firm's extensive experience in calculating impact fees and preparing such reports, we have developed a succinct written product that leaves a well-understood paper trail. 8 DocuSign Envelope ID:9141986F-1 B82-40FD-B364-5C818EBODBD6 Meetings: See Task 12. Deliverable: Two School Impact Fee reports (draft and final): (1) Chapel Hill-Carrboro City Schools; (2) Orange County Schools. TASK 12. PUBLIC MEETINGS& PRESENTATIONS(PHASE II) Two types of presentations are included in the scope: (a) Two (2) presentations to Board of County Commissioners and Schools Boards (one in each phase); and (b) One (1) Public Information Meeting. Presentations to the County Commission and School Boards will explain the analysis and conclusions. TischlerBise will work with County staff to identify the timing for these meetings. This Phase II presentation will follow-on the initial presentation and will explain the draft fee calculations and related calculations. The Public Information Meeting will be an open public meeting to educate and inform the public and other key stakeholders, describe the study process as well as allow participants to identify and communicate potential issues which may affect them. This will be an opportunity to present and explain the relevant components of the study and to obtain feedback prior to finalizing the study. TischlerBise will work with County staff to identify the appropriate timing for this meeting. Meetings: One (1) presentation with School Boards and Board of County Commissioners in Phase 11; (another presentation in Phase 1); one (1) Public Information Meeting. Deliverable: Appropriate Materials and Graphics and Public Speaking 9 DocuSign Envelope ID:9141986F-1 B82-40FD-B364-5C818EBODBD6 IMEFRAME AND COST TIMEFRAME Time estimated for completion is five to six months, barring any significant issues with data collection. Project Schedule for Orange County, NC, School Impact Fees _ --de—_ _ ---- -ate- -- -_ --- _ DocuSign Envelope ID:9141986F-1 B82-40FD-B364-5C818EBODBD6 COST Proposed fixed fee cost is$71,340 divided into two Phases as shown below. PROPOSED PRICING FOR ORANGE COUNTY, NC,SCHOOL IMPACT FEE STUDIES Project Team Member: Bise Herlands Total Hourly Rate $200 $180 Hours Cost Tasks Phase I. Student Generation Rate Analysis,Demographic&Land Use Assumptions,Level of Service Analysis Task 1:Project Initiation 4 15 19 $3,500 Task 2:Data Collection 4 20 24 $4,400 Task 3:Evaluate Data and Derive Student Generation Rates 6 44 50 $9,120 Task 4:Recommend Demographic and Land Use Assumptions and Projections 4 50 54 $9,800 Task 5:Ascertain Levels of Service for Each School District 6 50 56 $10,200 Task 6:Phase I Public Meeting&Presentation 4 12 16 $2,960 Phase I Subtotal 28 191 219 $39,980 Phase II.Impact Fee Studies Task 7:Review Capital Needs and Costs and Allocate to Growth 4 40 44 $8,000 Task 8:Determine the Need for Credits 0 10 10 $1,800 Task 9:Conduct Funding Source and Cash Flow Analysis 0 8 8 $1,440 Task 10:Complete Impact Fee Methodologies and Calculation 6 32 38 $6,960 Task 11:Prepare School Impact Fee Reports 6 42 48 $8,760 Task 12:Phase II Public Meetings&Presentations 4 20 24 $4,400 Phase I/Subtotal 20 152 172 $31,360 TOTAL COST 48 343 391 $71,340 11 DocuSign Envelope ID: 9141986F-1B82-40FD-B364-5C818EB0DBD6 *�.��DATE(MMIDDIY Y'fl ACORP, GER-1 IF IUA I t Ut- UABILITY INSURANCE 0 0 6 12 5�1�2'10 15 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONIFERS NO RIGHTS UPON THE CERTIFICATE HOLDER.THIS, CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND,EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTIITUTE A CONTRACT BETWEEN THE ISSUIING INSURER(S),AUTHORIZED REPRESENTATIVE OR PRODUCER,AND THE CERTIFICATE HOLDER. ED,the poficy(ies)must be endcarsed. If SIUBRO ATION IS WAIVED,SUbject to the terms and condifions of the poficy, certalin policies may require an endiorsernent. A statement On this certificate does not confer rights to the certificate ho der In lieu of such endorsement(s)� PRODUCER NAME: ---- ........... PHONE Henry A Latimer & Son Inc 301.229.1500 "'(04 Noi:31101.3210111.112458 'M IL 4701 Sangamore Rd. Suite 5-250 ADDRESS. ........... Bethesda, MD 20816 INSURER(S)AFFORDING COVERAGE, NAlC# INSURER A: lErie Insurance Company 26211163 262 71 WSUREG Tischler-Mse: INSURER 8:' Erie Insurance--Ex-chalri,ge 4701 Sangamore Rd INSURER C: Erie Insurance Property Casual Suite 5240 IIINSURER D Travelers Indennility 'Co Rethesda, MD 20816 lINSURER E INSURER F: COVERAGES CERTIFICATE NUMBER: Orange County III REVISION NU:MiBEIR: THIS IS TO CERTIFY THAT THE PO ICI:ES OF INSURAN., LISTED BELOW HAVE SEEN ISSUED 10-FFFF:7NSLJRED NAMED—ABOVE FOR THE[53LIcT-P7-IR—K)D INDICATED, NOTWITHSTANDING ANY REQUIREMENT TERM OR CONDITI10N OF ANY CONTRACTOR OTHER DOCUMENT WITH RESPECT TO WHICHITHIS CE R1 IFICAT E MAY BIE ISSUIED OR MAY PERT AINI, THE INSURANCE.AFFORDED,BY THE POLNCIES DESCRIBED HER EIN IS SUBJECT TO ALL TV 8L TERMS, EXCLUSiONS AND CONDITIONS OF SUCH POUCIES.1AMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS l NSA" 'ADDLsUSR- U M SER POLICY'I EFr POLICY EXP LIMITS TYPE OF INSURANCE INSR V1JrVD POLICY N (MMIR-01—yY LTR ----�Q Q970,14364&0610,112015 06/011210,16 EACH OCCURRENCE S 1,000,0100 GENERAL ETt6I DAMAGC70"RENTED X Q,OMMERCIA�.GENERA,L.IABJLI'I-Y PREMISES(Ea 1,000,000 CLAIMS-IMAIDE, 1 11 X .:CUR ME D EXP(Any inle pbr n 5,000 A X PERSONAL D ADV IINJURY $ 290009000 GENERAL AGGREGATE $ 2,000,000 -P RvJLC6S-COMPt)P AGG $ 21000,000 GEN'LAI33GRIEGATE I 11AIT APPLIES PER PRO- $ P Icy CT ol EEL- 4 �Ea acciden�� AUTOMOBILE LIABILITY Q970 14364g�/M1201'606101 1i 1,000 BODILY INJUIRY(Per person) $ ANY ALI l 0 A L OWNED SCHEDULED B0r)fl,Y INJLRY(Per acodeNi A AU�CS. AUTO's X PR0rYr--RTY-DAMAC7 X NON-OWNED $ X 411IRF D AU B OS AU ros /2015 06101126ii EACH OCC�;RRENCE 1,000,000 �UM 8 R EL C OCCUR Q30017154 ...... ............ CLAIMS-MADE X A EXCESS LIAB AGGREGA T E r 11000,000 lrroFn RETENTION .77 $ 54 7-11 Q90 S 1009 16 061011201 6101/2016 X — �ORKERS�C&ii7FEWi-A-7om0N ­­ I ORY I II _ER . ........ AND EMPLOYERS'LIAMLITY Y N ANY PROPRIETORMARr FNER)EXECUTIVE - I E I. EAClrli ACCiDE N1jr S 1,000,000 CIEWPAEM8ER EX(',LUDED'� RRA )�Ft E L DISEASE EA EMPt OYEE $ 11000,000 (Man�dato�rV in NH) If y" describe i.inder L�ESCR PrIO,INOF�DF"ERA'rliONS,F,ek)w EL DISEASE-POLlCYLIMP $ 1,0,00,0,001 o—fe s s i-6IIiall�L Ta hl'i—ty D Claims made 105 78 3 307 0612812015 1 051282016 $1,000,000 DESCRIPTION OF OPERA*UON:S I LOCATIONS o VEHICLES IAtfach,ACORD 1101,Additional Remar*sSchodulo,1 more space is required) )range County, North Carolina is add,i:ltional insured. ,CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPlRATsON DATE THEREOF,NOTICE WILL BE DELIVERED IIN ACCORDANCE WITH THE POLICY PROVISIONS. Orange County (NQ kAUTMoR ZED REPRESENTATIVE Planning Department P.O. Box 8181 *100 Hillis borough, NC 27278 Richard Lavtte�e 61 1 '1988-2010 ACORD CORPORATION. All rights reserved. ACORD 2 5(2010105), The ACORD name and logo are registered marks of ACORD DocuSign Envelope ID: 9141986F-lB82-40FD-B364-5C818EBODBD6 ("'OMMERCIAI., GENERAI�- ].,IABII,1'1')' CG20 10(Ed. 71/04) 111-,'-9665 ERIE INSURANCE GROUP ERII� POLICY N LJ M BER� 0970143,6 8 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED -1 OWNERS, LESSEES OR CONTRACTORS - SCHEDULED PERSON OR ORGANIZATION THs endor-sement modifies insurance provided under the follow ilig: COMME'ROAL GENFRAL LIABILATY COVI"RAGE PART SCHEDULE .................... ........ Name of Additional Insured Person(s)Or Org'anization(s): Location(s) of Covered Operation& Orange COUnty, North Carohna Blanket—as required by contract -——-------------—--——-------. ........ ........ ..........m _._............. lVifformation required to complete thk Scfwckde, if not:shown above, wifl be shown in the Decluations. DocuSign Envelope ID: 9141986F-lB82-40FD-B364-5C818EBODBD6 A. Section H -Who Is An marred is amended to include This rrlsu.rance dues not apply to "bodily irrpuar.w" rat. as an additional irtstrra d t @re person(s) or organization(s) property datarratpe m a7ccurttinu',, ifter: silrcrowwna in the SchedLde,l'wart Orrly "11h respect to liability fptr° L all work, iaacluding materials, rarls or ui attaent o"l�t,dily: ingury„M "properly darrnag;e” or "personal areal l°'" l advertising in°gars° "" euuo ec9, rru vwlju l c�r�r in part, �y; Furnished in eonnecararrr With SUCK work. on the pur°oJect (other than service, maintenance or repairs) to be I. "`a'cturr acts or r.tnussions, or perf6mecd by or on h ehall"of"the additional insured(s) '. lml'rc accts awe°crrttissictrts of titcaaae aaetla10 on your behalf, at the lcrcatic>rt of the covered opera6ons haas, been cuanappetedl or in the p erformance at your ongoing, operations for the � t Itt1 prun-6011 af "y cta wwar°. " ott cfvluct tlac injury c r� additional ruSUrcd(s) at the kcation(s) cesig; aied above, damage arises h as been put to its uttendcd use by any B. Wilh respect to tyre insurance afforded to these person or aarganir tion ether thaurt another contractor or additional insureds, the following additional emduusions Subcontractor. engaged in perl'brmingt operatirr s fbr aa. apply principal as as part of the same project, copayripht 'ISO f'ropw rlies, Inc.,2004 l