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HomeMy WebLinkAbout2019-658-E Tax - Coastal Carolina Appraisals commercial appraisals DocuSign Envelope ID: D36FCB7D-OE56-4E5C-A96E-7CO5705C56F9 [Departmental Use Only] TITLE CCA FY 2019-2020 NORTH CAROLINA SERVICES AGREEMENT UNDER$90,000.00 NO RFP/RFQ ORANGE COUNTY This Services Agreement (hereinafter "Agreement"), made and entered into this 18 day of July, 2019, ("Effective Date") by and between Orange County, North Carolina a political subdivision of the State of North Carolina (hereinafter, the "County") and Costal Carolina Appraisals and Complete County Assessments (CCA), (hereinafter, the "Provider"). WITNESSETH: That the County and Provider, for the consideration herein named, do hereby agree as follows: 1. Services a. Scope of Work. i) This Agreement is for services to be rendered by Provider to County with respect to (insert type of project): Appraisal of commercial properties in Orange County for 2021 revaluation. ii) By executing this Agreement, the Provider represents and agrees that Provider 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. iii) Time is of the essence with respect to this Agreement. iv) The services to be performed under this Agreement consist of Basic Services, as described and designated in Section 3 hereof. Compensation to the Provider for Basic Services under this Agreement shall be as set forth herein. 2. Responsibilities of the Provider a. Services to be provided. The Provider shall provide the County with all services required in Section 3 to satisfactorily complete the Project within the time limitations set forth herein and in accordance with the highest professional standards. b. Standard of Care. i) The Provider shall exercise reasonable care and diligence in performing services under this Agreement in accordance with the highest generally accepted standards of this type of Provider practice throughout the United States and in accordance with applicable federal, state and local laws and regulations applicable to the performance of these services. Provider is solely responsible for the professional Revised 12/18 1 DocuSign Envelope ID: D36FCB7D-OE56-4E5C-A96E-7C05705C56F9 quality, accuracy and timely completion and/or submission of all work related to the Basic Services. ii) Provider shall be responsible for all errors or omissions of its agents, contractors, employees, or assigns in the performance of the Agreement. Provider shall correct any and all errors, omissions, discrepancies, ambiguities, mistakes or conflicts at no additional cost to the County. iii) The Provider 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. iv) Provider is an independent contractor of County. Any and all employees of the Provider engaged by the Provider in the performance of any work or services required of the Provider under this Agreement, shall be considered employees or agents of the Provider 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 Provider. v) If activities related to the performance of this Agreement require specific licenses, certifications, or related credentials Provider 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. vi) In determining the basic services to be provided, should any documents be referenced in this Agreement, the terms of this Agreement shall have priority in any conflict between the terms of referenced documents and the terms of this Agreement. Should a request for proposals and a proposal be referenced the terms of the request for proposals shall have priority over the terms of any proposal. 3. Basic Services a. Basic Services. The Services to be rendered pursuant to this Agreement are as follows (fully describe services to be provided): Appraisal services for all commercial properties in Orange County for the 2021 revaluation as described in the "Proposal for Commercial Appraisal Services & Support Orange County", dated July 10, 2019, Scope of Work Overview, which is attached as Exhibit 1 and hereby incorporated into this document. 4. Duration of Services a. Term. The term of this Agreement shall be from November 1, 2019 to January 31, 2021. b. Scheduling of Services. i) The Provider shall schedule and perform its activities in a timely manner. Revised 12/18 2 DocuSign Envelope ID: D36FCB7D-OE56-4E5C-A96E-7C05705C56F9 ii) Should the County determine that the Provider is behind schedule, it may require the Provider to expedite and accelerate its efforts, including providing additional resources and working overtime, as necessary, to perform its services in accordance with the approved project schedule at no additional cost to the County. iii) The Commencement Date for the Provider's Basic Services shall be November 1, 2019. 5. Compensation a. Compensation for Basic Services. Compensation for Basic Services shall include all compensation due the Provider from the County for all services under this Agreement. The maximum amount payable for Basic Services shall not exceed Eighty-Nine Thousand Dollars ($89,000). Payments shall be made as follows: (1) An initial project retainer payment of$8,900 shall be made to Provider upon execution of this Agreement; (2) Beginning in November 2019, monthly installment payments in the amount of $5,933.34; and (3) Upon satisfactory completion of the Agreement the amount of $8,900. Provider is required to send County an invoice for payment of basic services. Payment for Basic Services shall become due and payable within thirty (30) days of Provider properly invoicing County. Payment shall be subject to provisions of Section 5(b). b. Disputes. In the event the amount stated on an invoice is disputed by the County, the County may withhold payment of all or a portion of the amount stated on an invoice until the parties resolve the dispute. Should Provider fail to perform its duties under the terms of this Agreement, County may, without fault or penalty, withhold any payment associated with the work to be performed until such time as said work is completed. c. Additional Services. County shall not be responsible for costs related to any services in addition to the Basic Services performed by Provider unless County requests such additional services in writing and such additional services are evidenced by a written amendment to this Agreement. 6. Responsibilities of the County a. Cooperation and Coordination. The County has designated (Tax Administrator) 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/or 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. 7. Insurance a. General Requirements. Provider shall obtain, at its sole expense, Commercial General Liability Insurance, Automobile Insurance, Workers' Compensation Insurance, and any additional insurance as may be required by County's Risk Manager as such insurance requirements are described in the Orange County Risk Transfer Policy and Orange Revised 12/18 3 DocuSign Envelope ID: D36FCB7D-OE56-4E5C-A96E-7C05705C56F9 County Minimum Insurance Coverage Requirements (each document is incorporated herein by reference and may be viewed at http://www.orangecountVnc.gov/departments/purchasing division/contracts.php). If County's Risk Manager determines additional insurance coverage is required such additional insurance shall consist of (if no additional insurance required mark N/A as being not applicable). Provider shall not commence work until such insurance is in effect and certification thereof has been received by the County's Risk Manager. 8. Indemnity a. Indemnity. The Provider agrees, without limitation, to defend, 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 property damage or bodily injury including death to any person or persons caused in whole or in part by the negligence or misconduct of the Provider 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 Provider to indemnify the County to the fullest extent permitted under North Carolina law. 9. Amendments to the Agreement a. Changes in Basic Services. 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 Provider. The Provider shall proceed to perform the Services required by the Amendment only after receiving a fully executed Amendment from the County. 10. Termination a. Termination for Convenience of the County. This Agreement may be terminated without cause by the County and for its convenience upon seven (7) days' prior written notice to the Provider. b. Other Termination. The Provider 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 Provider shall give the County seven (7) days' prior written notice of its intent to terminate this Agreement for cause. c. Compensation After Termination. i) In the event of termination, the Provider 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 Provider. ii) Should this Agreement be terminated, the Provider 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. Revised 12/18 4 DocuSign Envelope ID: D36FCB7D-OE56-4E5C-A96E-7C05705C56F9 d. Waiver. The payment of any sums by the County under this Agreement or the failure of the County to require compliance by the Provider 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. e. Suspension. County may suspend the Basic Services and this Agreement at any time for County's convenience and without penalty to County upon three (3) days' notice to Provider. Upon any suspension by County, Provider shall discontinue work on the Basic Services and shall not resume the Basic Services until notified to proceed by County. 11. Additional Provisions a. Limitation and Assignment. The County and the Provider each bind themselves, their successors, assigns and legal representatives to the terms of this Agreement. Neither the County nor the Provider shall assign or transfer its interest in this Agreement without the written consent of the other. b. Governing Law. 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. By executing this Agreement Provider affirms that Provider and any subcontractors of Provider are and shall remain in compliance with Article 2 of Chapter 64 of the North Carolina General Statutes. By executing this Agreement Provider certifies that Provider has not been identified, and has not utilized the services of any agent or subcontractor identified, on the list created by the State Treasurer pursuant to G.S. 147-86.58. By executing this Agreement Provider certifies that Provider has not been identified, and has not utilized the services of any agent or subcontractor identified, on the list created by the State Treasurer pursuant to G.S. 147-86.81. c. Non-Discrimination. Provider shall at all times remain in compliance with all applicable local, state, and federal laws, rules, and regulations including but not limited to all state and federal non-discrimination laws, policies, rules, and regulations and the Orange County Non-Discrimination Policy and Orange County Living Wage Policy(each policy is incorporated herein by reference and may be viewed at http://www.oran eg countync. og v/departments/purchasing division/contracts.php.) Any violation of the Orange County Non-Discrimination Policy is a breach of this Agreement and County may immediately terminate this Agreement without further obligation on the part of the County. This paragraph is not intended to limit and does not limit the definition of breach to discrimination. d. Dispute Resolution. 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. It is agreed by the parties that no other court shall have jurisdiction or venue with respect to such suits or actions. Binding arbitration may not be initiated by either Party, however, the Parties may agree to nonbinding mediation of any dispute prior to the bringing of such suit or action. Revised 12/18 5 DocuSign Envelope ID: D36FCB7D-OE56-4E5C-A96E-7C05705C56F9 e. Entire Agreement. This Agreement represents the entire and integrated agreement between the County and the Provider and supersedes all prior negotiations, representations or agreements, either written or oral. This Agreement may be amended only by written instrument signed by both parties. Modifications may be evidenced by facsimile signatures. f. Severability. 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. g. Ownership of Work Product. Should Provider's performance of this Agreement generate documents, items or things that are specific to this Project such documents, items or things shall become the property of the County and may be used on any other project without additional compensation to the Provider. The use of the documents, items or things 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. h. Non-Appropriation. Provider 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 Provider 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 Provider of such limitation or change in County's legal authority. i. Signatures. This Agreement together with any amendments or modifications may be executed electronically. All electronic signatures affixed hereto evidence the consent of the Parties to utilize electronic signatures and the intent of the Parties to comply with Article I IA and Article 40 of North Carolina General Statute Chapter 66. j. Notices. 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 Provider's Name Attention: Tax Administration Coastal Carolina Appraisals & Complete P.O. Box 8181 County Assessments Hillsborough,NC 27278 2300 Center Ave, 3rd Floor New Bern,NC 28562 Revised 12/18 6 DocuSign Envelope ID: D36FCB7D-OE56-4E5C-A96E-7C05705C56F9 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. ORANGE COUNTY: PROVIDER: OocuSigned by: OceuSigned by: �e � 9/25/2019 B LI � rl[ 9/24/2019 O�i3799d6755E477.. 79AA656A41E0410. Printed Name and Title David A. (BO) Allen, state-Certified Real Estate Apr Revised 12/18 7 DocuSign Envelope ID: D36FCB7D-OE56-4E5C-A96E-7CO5705C56F9 COMPLETE COUNTY ASSESSMENTS Proposal for Commercial Appraisal Services & Support Orange County Respectfully submitted to: Orange County Tax Administration Chad Phillips, Deputy Tax Assessor July 10, 2019 DocuSign Envelope ID: D36FCB7D-OE56-4E5C-A96E-7C05705C56F9 AofCCA.To July 10, 2019 Mr. Chad Phillips Deputy Tax Assessor Orange County 228 S. Churton Street, Suite 200 Hillsborough, NC 27278 RE: Request for Proposal for Commercial Appraisal Services and Support. Dear Mr. Phillips: We appreciate the opportunity to provide you, Nancy Freeman and Roger Gunn with this proposal for possible appraisal assistance and support for the scheduled 2021 revaluation. Our firm, Complete County Assessments (CCA), is pleased to submit this proposal in response to your request. Our mission and purpose are to provide your office, and Orange County,with the most competent and transparent valuations. Our team is comprised of experienced state-certified appraisers and veteran property tax professionals.Two appraisers on our team hold the prestigious MAI designation from the Appraisal Institute. Through the course of the project, we will be "hands-on" and "fully engaged" with prompt service and support to your department. Our goal is to deliver the utmost quality and credible valuations on a mass scale and will defend and support our work when necessary. Our proposal highlights our expertise working directly in the functional areas of commercial valuations. Again, thank you for this opportunity to respond to your request, and we look forward to working with your office, and Orange County again. Please do not hesitate to contact us with any questions or concerns you may have. My mobile number and email are: (252)474-9565/boallen@cca-group.net Sincerely, Bo Allen Project Director/Appraiser Complete County Assessments 2 1 P a g e DocuSign Envelope ID: D36FCB7D-OE56-4E5C-A96E-7CO5705C56F9 SCOPE OF WORK OVERVIEW: It is the understanding that Orange County has identified approximately 1,900-2,000 improved commercial and industrial parcels that need appraisal review and valuation support for their 2021 countywide revaluation project. Orange County and our firm, CCA, have worked successfully together during the last (2017) revaluation. Using updated parcel information provided by the County, market analysis developed by Analytical Consultants, Inc. CCA will develop a market-derived valuation for each county identified parcel using the sales comparison and income approach to value. CCA will also develop a reconciled valuation using all three approaches to value. Every valuation approach developed will be well supported and accessible for Orange County use. CCA is not to perform field inspections of each parcel. Orange County is also in the process of contracting with a local appraisal firm (Analytical Consultants, Inc.) to conduct and complete an in-depth market study of the commercial markets. This data includes sales, rents, income/expenses for the market area by property type. The compiled data and analysis will be available to CCA and utilized in the valuation process. It is the said goal for this proposed project's scope of work to commence this November 2019, with a 12-14 month estimated project duration. The project timeline has been developed to coincide with the delivery dates of market analysis and reports by Analytical Consultants, Inc. The reports will be completed by property type and will start with vacant land. Delivery of the developed valuations will be submitted in an Excel format. Preliminary valuation drafts will be provided to the County for review at various stages of the project and on an as needed basis. Orange County will provide Complete County Assessments with the following: -All relevant market data and information (sales, rents, income, etc.) collected and obtained over the past few years. Some of the information necessary is market surveys and questionnaires, relevant 2017 appeals data that was submitted and building permit information. -All work products and reports of the market analysis from Analytical Consultants, Inc. -All updated parcel information. Updated parcel information includes general parcel card characteristics and uploaded land valuations, building cost data, and any physical depreciation factors. The parcel card cost data to reflect 2021 revaluation data. It is important that the County provide accurate and reasonable site valuations and building cost data that will be implemented in the approaching revaluation. This modified cost approach completed by the County is factored and weighted within the overall reconciled value developed by CCA. 3 1 P a g e DocuSign Envelope ID: D36FCB7D-OE56-4E5C-A96E-7C05705C56F9 -Project updates and meetings between Orange County and Complete County Assessments are vital to a successful project outcome. CCA commits to regular written updates by email and will to participate in conference call meetings, along with "in-person" meetings for project status and review. Orange County to designate a single point of contact during the project to assist with any questions, concerns, and requests. -Orange County to complete any additional or necessary parcel inspections and to be handled on a case-by-case situation. Complete County Assessments will be responsible for the following: -Review and compile supplied market data from Analytical Consultants, Inc. along with CCA obtain data and research for the documented recognition of area sub-markets/neighborhoods, inventory levels, listings, and other various market trends for Orange County and the region. -Review the provided cost approach and land values for each parcel and make recommendations/adjustments accordingly. -Develop multiple valuation approaches when and where applicable and provide supporting documentation to the County. -Provide monthly status reports and progress updates to Orange County. CCA will participate in any Orange County revaluation meetings as needed and necessary. -Provide on-site and remote availability for reviews, questions and any necessary explanations of submitted valuations with Orange County Tax Office. Complete County Assessments will not be responsible for the following: -Copies of property record cards/public record reports. -Special computer upgrades and software. -Site/field inspections or photos of each identified parcel. -Delineation of neighborhoods. -Printing and mailing of any notices or public advertisements. -Clerical/Data Entry in CAMA systems. -Appeals (Board of Equalization and Review, NC Property Tax Commission, Appeals Court) 4 1 P a g e DocuSign Envelope ID: D36FCB7D-OE56-4E5C-A96E-7CO5705C56F9 ESTIMATED PROJECT COMPLETION: Based on the scope of work and Orange County's desired completion date discussed in the 07/02/2019 conference call; a 12-14 month timeframe has been estimated for successful project completion. This proposal assumed a start time of November 2019. If the start date and completion date change significantly, CCA reserves the right to cancel the contract and modify the contract price. All completed work will be submitted to the county bi- weekly for review and system entry. INDEMNIFICATION & INSURANCE: Complete County Assessments will provide Orange County proof of adequate general liability insurance and worker's compensation insurance. *Additional insurance requirements made at the request of Orange County may change the proposed amount. COMPENSATION: Based on the estimated parcel count totaling 1,900-2,000 parcels and the indicated scope of work, our proposal to provide competent and professional commercial valuations to the county is: $89,000.00 *Unless otherwise noted, the proposed compensation for the services outlined in this proposal will cover all related expenses in relation with labor costs, taxes, insurance, meals, automobile expenses, long distance calls, lodging, and all other travel related expenses. CONCLUSION: In conclusion, Coastal Carolina Appraisals, LLC d/b/a Complete County Assessments is dedicated to another successful revaluation partnership with Orange County. As you are aware, our team has a hands-on approach concept and will be interacting with your office and staff regularly. We have the tools, access, and memberships to multiple databases that include the local MLS systems and Costar, a comprehensive commercial real estate research platform that provides accurate and verified market information. Our review and value assignments will be completed in the most competent manner by experienced state-certified appraisers who have proven professional experience in real property tax assessments and with numerous commercial revaluation projects. Our dedicated appraisal team for this project is Bo Allen, RAA, and Chris Mashburn, MAI. Both worked on the 2017 Orange County revaluation and are state-certified appraisers and certified real property appraisers with the NC Dept. of Revenue. We are looking forward to working with you. Please do not hesitate to contact us with any questions you may have. 5 1 P a g e DocuSign Envelope ID: D36FCB7D-OE56-4E5C-A96E-7CO5705C56F9 Thank you very much for the opportunity to provide this proposal and the opportunity of working with Orange County again! Proposed Payment Schedule & Terms 1. An initial project retainer of$8,900 will be paid at the time of accepted agreement and contract. 2. Twelve monthly payments of$5,933.34 will to be invoiced from November 2019 through October 2020. 3. 10% of the agreed contract price has been factored in this proposed payment schedule and to be held by Orange County until satisfactory completion of the project. Recent CCA Commercial Revaluation Projects Onslow County, Annual Maintenance Contract Moore County, Completed 2019 Wayne County, Completed 2019 Onslow County, Completed 2018 Orange County, Completed 2017 Brunswick County, Completed 2015 6 Page DocuSign Envelope ID: D36FCB7D-OE56-4E5C-A96E-7CO5705C56F9 STOCK COMPANY PRO GUARD PLATINUM POLICY DECLARATIONS VALIDUS SPECIALTY POLICY NUMBER: RE00004013 An AIG company Prior Policy Number: WESTERN WORLD INSURANCE COMPANY ❑ TUDOR INSURANCE COMPANY ❑X STRATFORD INSURANCE COMPANY Named Insured and Mailing Address: Agent/Broker#33601 David A Allen Premium: $567.00 DBA Coastal Carolina Appraisals DEFENSE WITHIN LIMITS • The 2300 Center Avenue Limit of liability available New Bern, NC 28562 to pay settlements or judgement will be reduced, and may be exhausted, by defense Producer: expenses . Professionals' Best 6760 University Ave Suite#250 San Diego, CA 92115 Policy Period: (Mo./Day/Yr.) From: 09/16/2019 To:09/16/2020 12:01 AM, standard time at your mailing address shown above. EXCEPT AS MAY OTHERWISE BE PROVIDED IN THE FOLLOWED POLICY, THIS POLICY MAY APPLY ONLY TO CLAIMS FIRST MADE IN ACCORDANCE WITH THE TERMS, CONDITIONS AND REQUIREMENTS OF THE FOLLOWED POLICY; AND THE LIMIT OF LIABILITY IS REDUCED AND MAY BE EXHAUSTED BY PAYMENT OF DEFENSE COSTS OR CLAIMS FEES AND EXPENSES. PLEASE READ THE FOLLOWED POLICY AND THIS POLICY CAREFULLY. ITEM 1. PROFESSIONAL SERVICES: Real Estate Appraisers ERRORS AND OMISSIONS LIABILITY INSURANCE ITEM 2. LIMIT OF INSURANCE Each Claim Limit $ 1, 0 0 0 , 0 0 0 Aggregate Limit $ 1, 0 0 0 , 0 0 0 ITEM 3. DEDUCTIBLE Each Claim $ 5 0 0 Aggregate $ 1, 0 0 0 ITEM 4. RETROACTIVE DATE 9/16/2 019 ITEM 5. PREMIUM $5 6 7 . 0 0 Page 1 of 2 MPL 2002(05/18) DocuSign Envelope ID: D36FCB7D-OE56-4E5C-A96E-7CO5705C56F9 PRO GUARD PLATINUM POLICY DECLARATIONS (continued) ITEM 6. FORMS AND ENDORSEMENTS Forms and Endorsements applying to this Coverage Part and made part of the Policy at time of issue: SEE SCHEDULE OF FORMS AND ENDORSEMENTS AND THE INSURED's APPLICATION FOR THIS INSURANCE. THESE DECLARATIONS ARE PART OF THE POLICY DECLARATIONS CONTAINING THE NAME OF THE INSURED AND THE POLICY PERIOD. WESTERN WORLD INSURANCE GROUP Western World Insurance Company Tudor Insurance Company Stratford Insurance Company Administrative Office 300 Kimball Drive, Suite 500 Parsippany, New Jersey 07054 We will provide the insurance described in this policy in return for the premium and compliance with all applicable provisions of this policy. If required by state law, this policy shall not be valid unless countersigned by our authorized representative. Secreta President Countersigned: • • 09/16/2019 PECKISAA By: Authorized Representative Page 2 of 2 MPL 2002(05_18)