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HomeMy WebLinkAboutItem #5CITY OF LADE LSINOKE DREAM EXTREMEry REPORT TO CITY COUNCIL TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: GRANT M YATES CITY MANAGER DATE: OCTOBER 22, 2013 SUBJECT: CONSIDERATION FOR THE EXTENSION OF SURFACE MINE INSPECTION AND CONSULTING SERVICES, ENVIROMINE INC. Recommendations 1. Staff recommends that the City Council approve the extension of surface mining inspection funding, performed by Enviromine, Inc., to January 2014 to coincide with terms of current professional service contract in the amount of $20,000. 2. Authorize staff to process a change order in the amount of $20,000. Background In January 2009, the City Council approved a contract with EnviroMine, Inc. to provide services related to mine compliance and inspection. The term of the Agreement was three (3) years, with two (2) optional one (1) year extensions. The first one -year extension was approved on March 27th, 2012, in the amount of $40,000. Annual compensation to EnviroMine, Inc. was capped at $20,000 without additional City authorization. On February 12th, 2013, City Council approved the extension of the Enviromine contract until January 12, 2014, with funding through the end of the current fiscal year, ending June 2013. Discussion Pursuant to the 2009 Professional Services Agreement, EnviroMine, Inc. performs services related to inspection and State Mining and Reclamation Act (SMARA) compliance. Shortly after the January 2009 contract date, the City began a lengthy process with the State Mining and Geology Board (SMGB), questioning the City's Lead Agency status. EnviroMine, Inc. has been beneficial in assisting the City to retain its AGENDA ITEM NO, 5 Pagel of 25 EnviroMine, Inc. Agreement for Professional Services October 22, 2013 Page 2 Lead Agency status, and in doing so, increased the amount of time servicing the City's needs. The original Agreement for Professional Services requires City authorization for compensation in excess of $20,000 per year. In January 2011, the City Council approved an additional $20,000 as the City began to investigate and respond to SMGB concerns and resident complaints regarding mines within the City's jurisdiction. In June 2011, and October 2011, and March 2012 City Council also approved additional funds in order to meet the increased work load. Total compensation in 2011 was $77,121.92 and in 2012 was $115,995.99. The services of EnviroMine, Inc. have been an essential part of the City maintaining its Lead Agency status and performing necessary Lead Agency functions under SMARA. Staff requests the City Council approve the $20,000 change order through the end of the 2013 calendar year. Fiscal Impact Funds for services performed by EnviroMine, Inc. are funded by deposits made to the mine operator's existing CRS accounts pursuant to Municipal Code 14.04.230. Prepared by: Dina Purvisw Engineering Technician Ati Eskandari (,.GV.% �, W._ Director of Public Works Approved by: Grant M. Yates (� City Manager J(/j/ Attachment: 2009 Agreement for Professional Services Page 2 of 25 AGREEMENT FOR PROFESSIONAL, SERVICES [EnviroMine, Inc.] This Agreement for Professional Services (the "Agreement ") is made and entered into as of the 13th day of January, 2009, by and between the City of Lake Elsinore, a municipal corporation ( "City") and EnviroMM, Inc., a California corporation ( "Consultant "). RECITALS A. Consultant is specially trained, experienced and competent to perform the special services. which will be required by this Agreement. B. Consultant possesses the skill, experience, ability, background, certification and knowledge to provide the services described in this Agreement on the terms and conditions described herein. C. City desires to retain Consultant to render professional consulting services and related work as set forth in this Agreement. AGREEMENT 1. Scope of Services. Consultant shall perform the services described on Exhibit A which is attached hereto and incorporated herein by reference. Consultant shall provide said services at the time, place, and in the manner specified in Exhibit A, subject to the direction of the City through its staff that it may provide from time to time. 2. Time of Performance. The services of Consultant are to commence upon execution of this Agreement and shall continue for a period of three (3) years, with two (2) optional one (1) year extensions. 3. Compensation. Compensation to be paid to Consultant shall be in accordance with the Schedule of Charges set forth in Exhibit B, which is attached hereto and incorporated herein by reference. In no event shall Consultant's annual compensation exceed $20,000.00 without additional authorization from the City. Payment by City under this Agreement shall not be deemed a waiver of defects, even if such defects were known to the City at the time of payment. All Consultant services are provided on a time and materials basis. 4. Method of Payment. Consultant shall submit monthly billings to City describing the work performed during the preceding month. Consultant's bills shall include a brief description of the services performed, the date the services were performed, the number of hours spent and by whom, and a description of any reimbursable expenditures. City shall pay Consultant no later than 30 days after approval of the monthly invoice by City staff. 5. Extra Work. At any time during the term of this Agreement, City may request that Consultant perform Extra Work. As used herein, "Extra Work" means anywork which is determined by City to be necessary for the proper completion of the Project, but which the parties did not reasonably anticipate would be necessary at the execution of this Agreement. Consultant shall not perform, nor be compensated for, Extra Work without written authorization from City. Extra work will be invoiced separately from services performed in accordance with the Scope of Services 6. Termination. This Agreement may be terminated by the City immediately for cause or by either party without cause upon thirty (30) days' written notice of termination. Upon termination; Consultant shall be entitled to compensation for services performed up to the effective date of termination. 7. Ownership of Documents. All plans, studies, documents and other writings prepared by and for Consultant, its officers, employees and agents and subcontractors in the course of implementing this Agreement, except working notepad internal documents, shall become the property of the City upon payment to Consultant for such work, and the City shall have the sole right to use such materials in its discretion without further compensation to Consultant or to any other party. Consultant shall, at Consultant's expense, provide such reports, plans, studies, dommients and other writings to City upon written request. City acknowledges that any use of such materials in a manner beyond the intended purpose as set forth herein shall be at the sole risk of the City. City further agrees to defend, indemnify and hold harmless Consultant, its officers, officials, agents, employees and volunteers from any claims, demands, actions, losses, damages, injuries, and liability, director indirect (including any and all costs and expenses in connection therein), arising out of the City =s use of such materials in a manner beyond the intended purpose as set forth herein. a. Licensing of Intellectual Property. This Agreement creates a nonexclusive and perpetual license for City to copy, use, modify, reuse, or sublicense any and all copyrights, designs, and other intellectual property embodied in plans, specifications, studies, drawings, estimates, and other documents or works of authorship fixed in any tangible medium of expression, including but not limited to, physical drawings or data magnetically or otherwise recorded on computer diskettes, which are prepared or caused to be prepared by Consultant under this Agreement ("Documents & Data "). Consultant shall require that all subcontractors agree in writing that City is granted a nonexclusive and perpetual license for any Documents & Data the subcontractor prepares under this Agreement. Consultant represents and warrants that Consultant has the legal right to license any and all Documents & Data. Consultant makes no such representation and warranty in regard to Documents & Data which were prepared by design professionals other than Consultant or provided to Consultant by the City. City shall not be limited in any way in its use of the Documents & Data at any time, provided that any such use not within the purposes intended by this Agreement shall be at City's sole risk. b. Confidentiality. All ideas, memoranda, specifications, plans, procedures, drawings, descriptions, computer program data, input record data, written information, and other Documents & Data either created by or provided to Consultant in connection with the performance of this Agreement shall be held confidential by Consultant. Such materials shall not, without the prior written consent of City, be used by Consultant for any purposes other than the performance of the services under this Agreement. Nor shall such materials be disclosed to any person or entity not connected with the performance of the services under this Agreement. Nothing furnished to Consultant which is otherwise known to Consultant or is generally known, or has become known, to the related industry shall be deemed confidential. Consultant shall not use City's name or insignia, photographs relating to project for which Consultant's services are rendered, or any publicity pertaining to the Consultant's services under this Agreement in any magazine, trade paper, PA Page 4 of 25 newspaper, television or radio production or other similar medium without the prior written consent of City. 8. Consultant's Books and Records. a. Consultant shall maintain any and all ledgers, books of account, invoices, vouchers, canceled checks, and other records or documents evidencing or relating to charges for services, or expenditures and disbursements charged to City for a minimum period of three (3) years, or for any longer period required by law, from the date of final payment to Consultant to this Agreement. b. Consultant shall maintain all documents and records which demonstrate performance under this Agreement for a minimum period of three (3) years, or for any longer period required by law, from the date of termination or completion of this Agreement. C. Any records or documents required to be maintained pursuant to this Agreement shall be made available for inspection or audit, at any time during regular business hours, upon written request by the City Manager, City Attorney, City Auditor or a designated representative of these officers. Copies of such documents shall be provided to the City for inspection at City Hall when it is practical to do so. Otherwise, unless an alternative is mutually agreed upon, the records shall be available at Consultant's address indicated for receipt of notices in this Agreement. d. Where City has reason to believe that such records or documents may be lost or discarded due to dissolution, disbandment or termination of Consultant's business, City may; by written request by any of the above -named officers, require that custody of the records be given to the City and that the records and documents be maintained in City Hall. Access to such records and documents shall be granted to any party authorized by Consultant, Consultant's representatives, or Consultant's successor -in- interest. 9. Independent Contractor. It is understood that Consultant, in the performance of the work and services agreed to be performed, shall act as and be an independent contractor and shall not act as an agent or employee of the City. Consultant shall obtain no rights to retirement benefits or other benefits which accrue to City's employees, and Consultant hereby expressly waives any claim it may have to any such rights. 10. Interests of Consultant. Consultant (including principals, associates and professional employees) covenants and represents that it does not now have any investment or interest in real property and shall not acquire any interest, direct or indirect, in the area covered by this Agreement or any other source of income, interest in real property or investment which would be affected in any manner or degree by the performance of Consultant's services hereunder. Consultant further covenants and represents that in the performance of its duties hereunder no person having any such interest shall perform any services under this Agreement. Consultant is not a designated employee within the meaning of the Political Reform Act because Consultant: K Page 5 of 25 a. will conduct research and arrive at conclusions with respect to his/her rendition of information, advice, recommendation or counsel independent of the control and direction of the City or of any City official, other than normal agreement monitoring; and b. possesses no authority with respect to any City decision beyond rendition of information, advice, recommendation or counsel. (FPPC Reg. 18700(a)(2).) IL Professional Ability of Consultant. City has relied upon the professional training and ability of Consultant to perform the services hereunder as a material inducement to enter into this Agreement. Consultant shall therefore provide properly skilled professional and technical personnel to perform all services under this Agreement. All work performed by Consultant under this Agreement shall be in accordance with applicable legal requirements and shall meet the standard of quality ordinarily to be expected of competent professionals in Consultant's field of expertise. 12. Compliance with Laws. Consultant shall use the standard of care in its profession to comply with all applicable federal, state and local laws, codes, ordinances and regulations. 13. Licenses. Consultant represents and warrants to City that it has the licenses, permits, qualifications, insurance and approvals of whatsoever nature which are legally required of Consultant to practice its profession. Consultant represents and warrants to City that Consultant shall, at its sole cost and expense, keep in effect or obtain at all times during the term of this Agreement, any licenses, permits, insurance and approvals which are legally required of Consultant to practice its profession. 14. Indemnity. Consultant agrees to indemnify and hold harmless the City, its officers, officials, agents, employees and volunteers from and against any and all claims, demands, actions, losses, damages, injuries, and liability, direct or indirect (including costs and expenses in connection therein), to the extent arising out of the negligent performance of services under this Agreement, except for any such claim arising out of the sole negligence or willful misconduct of the City, its officers, agents, employees or volunteers. 15. Insurance Requirements. a. Insurance. Consultant, at Consultant's own cost and expense, shall procure and maintain, for the duration of the contract, the following insurance policies. i. Workers' Compensation Coverage. Consultant shall maintain Workers' Compensation Insurance and Employer's Liability Insurance for his/her employees in accordance with the laws of the State of California. In addition, Consultant shall require each subcontractor to similarly maintain Workers' Compensation Insurance and Employer's Liability Insurance in accordance with the laws of the State of California for all of the subcontractor's employees. Any notice of cancellation or non - renewal of all Workers' Compensation policies must be received by the City at least thirty (30) days prior to such change. The insurer shall agree to waive all rights of subrogation against City, its officers, agents, employees and volunteers for losses arising from work performed by Consultant for City. 0 Page 6 of 25 ii. General Liability Coverage. Consultant shall maintain commercial general liability insurance in an amount not less than one million dollars ($1,000,000) per occurrence for bodily injury, personal injury and property damage. If a commercial general liability insurance form or other form with a general aggregate limit is used, either the general aggregate limit shall apply separately to the work to be performed under this Agreement or the general aggregate limit shall be at least twice the required occurrence limit. iii. Automobile Liability Coverage. Consultant shall maintain automobile liability insurance covering bodily injury and property damage for all activities of the Consultant arising out of or in connection with the work to be performed under this Agreement, including coverage for hired and non -owned vehicles, in an amount of not less than one million dollars ($1,000,000) combined single limit for each occurrence. It is understood that the Consultant does not own any vehicles. iv. Professional Liability Coverage. Consultant shall maintain professional errors and omissions liability insurance for protection against claims alleging negligent acts, errors or omissions which may arise from Consultant's operations under this Agreement, whether such operations by the Consultant or by its employees, subcontractors, or subconsultants. The amount of this insurance shall not be less than one million dollars ($1,000,000) on a claims -made annual aggregate basis, or a combined single limit per occurrence basis. b. Endorsements. Each general liability and automobile liability insurance policy shall be with insurers possessing a Best =s rating of no less than ANII and shall be endorsed with the following specific language: i The City, its elected or appointed officers, officials, employees, agents and volunteers are to be covered as additional insureds with respect to liability arising out of work performed by or on behalf of the Consultant, including materials, parts or equipment furnished in connection with such work or operations. ii. This policy shall be considered primary insurance as respects the City, its elected or appointed officers, officials, employees, agents and volunteers. Any insurance maintained by the City, including any self - insured retention the City may have, shall be considered excess insurance only and shall not contribute with it. iii. This insurance shall act for each insured and additional insured as though a separate policy had been written for each, except with respect to the limits of liability of the insuring company. iv. The insurer waives all rights of subrogation against the City, its elected or appointed officers, officials, employees or agents. vi. The insurance provided by this Policy canceled except after thirty (30) days written notice has been received by the City and 10 -day notice for nonpayment of the premium. E Page 7 of 25 C. Deductibles and Self - Insured Retentions. Any deductibles or self - insured retentions must be declared to and approved by the City. At the City's option, Consultant shall demonstrate financial capability for payment of such deductibles or self - insured retentions. d. Certificates of Insurance. Consultant shall provide certificates of insurance with original endorsements to City as evidence of the insurance coverage required herein. Certificates of such insurance shall be filed with the City on or before commencement of performance of this Agreement. Current certification of insurance shall be kept on file with the City at all times during the term of this Agreement. 16. Notices. Any notice required to be given under this Agreement shall be in writing and either served personally or sent prepaid, first class mail. Any such notice shall be addressed to the other party at the address set forth below. Notice shall be deemed communicated within 48 hours from the time of mailing if mailed as provided in this section. If to City: City of Lake Elsinore Attn: City Manager 130 South Main Street Lake Elsinore, CA 92530 If to Consultant: EnviroMINE, Inc. Attn: Warren R. Coalson, President 3511 Camino Del Rio South, Suite 403 San Diego, CA 92108 17. Entire Agreement, This Agreement constitutes the complete and exclusive statement of Agreement between the City and Consultant. All prior written and oral communications, including correspondence, drafts, memoranda, and representations, are superseded in total by this Agreement. 18. Amendments. This Agreement may be modified or amended only by a written document executed by both Consultant and City and approved as to form by the City Attorney. 19. Assignment and Subcontracting. The parties recognize that a substantial inducement to City for entering into this Agreement is the professional reputation, experience and competence of Consultant and the subcontractors listed in Exhibit D. Consultant shall be fully responsible to City for all acts or omissions of any subcontractors. Assignments of any or all rights, duties or obligations of the Consultant under this Agreement will be permitted only with the express consent of the City. Consultant shall not subcontract any portion of the work to be performed under this Agreement except as provided in Exhibit D without the written authorization of the City. If City consents to such subcontract, Consultant shall be fully responsible to City for all acts or omissions of those subcontractors. Nothing in this Agreement shall create any contractual relationship between City and any subcontractor nor shall it create any obligation on the part of the City to pay or to see to the payment of any monies due to any such subcontractor other than as otherwise is required by law. 20. Waiver. Waiver of a breach or default under this Agreement shall not constitute a continuing waiver of a subsequent breach of the same or any other provision under this Agreement. Page 8 of 25 21. Severability. If any term or portion of this Agreement is held to be invalid, illegal, or otherwise unenforceable by a court of competent jurisdiction, the remaining provisions of this Agreement shall continue in full force and effect. 22. Controlling Law Venue. This Agreement and all matters relating to it shall be governed by the laws of the State of California and any action brought relating to this Agreement shall be held exclusively in a state court in the County of Riverside. 23. Reserved. 24. Mediation. The parties agree to make a good faith attempt to resolve any disputes arising out of this Agreement through mediation prior to commencing litigation. The parties shall mutually agree upon the mediator and share the costs of mediation equally. If the parties are unable to agree upon a mediator, the dispute shall be submitted to JAMS/ENDISPLTE ( "JAMS ") or its successor in interest. JAMS shall provide the parties with the names of five qualified mediators. Each party shall have the option to strike two of the five mediators selected by JAMS and thereafter the mediator remaining shall hear the dispute. If the dispute remains unresolved after mediation, either party may commence litigation. 25. Execution. This Agreement may be executed in several counterparts, each of which shall constitute one and the same instrument and shall become binding upon the parties when at least one copy hereof shall have been signed by both parties hereto. In approving this Agreement, it shall not be necessary to produce or account for more than one such counterpart. 26. Authority to Enter Agreement. Consultant has all requisite power and authority to conduct its business and to execute, deliver, and perform the Agreement. Each party warrants that the individuals who have signed this Agreement have the legal power, right, and authority to make this Agreement and to bind each respective party. 27. Prohibited Interests. Consultant maintains and warrants that it has not employed nor retained any company or person, other than a bona fide employee working solely for Consultant, to solicit or secure this Agreement. Further, Consultant warrants that it has not paid nor has it agreed to pay any company or person, other than a bona fide employee working solely for Consultant, any fee, commission, percentage, brokerage fee, gift or other consideration contingent upon or resulting from the award or making of this Agreement. For breach or violation of this warranty, City shall have the right to rescind this Agreement without liability. For the term of this Agreement, no member, officer or employee of City, during the term of his or her service with City, shall have any direct interest in this Agreement, or obtain any present or anticipated material benefit arising therefrom. 28. Equal Opportunity Employment. Consultant represents that it is an equal opportunity employer and it shall not diserhninate against any subcontractor, employee or applicant for employment because of race, religion, color, national origin, handicap, ancestry, sex or age. Such non - discrimination shall include, but not be limited to, all activities related to initial employment, upgrading, demotion, transfer, recruitment or recruitment advertising, layoff or termination. Consultant shall also comply with all relevant provisions of City's Minority Business Enterprise program, Affirmative Action Plan or other related programs or guidelines currently in effect or hereinafter enacted. N Page 9 of 25 IN WITNESS WHEREOF the parties have caused this Agreement to be executed on the date first written above. CITY OF LAKE ELSINORE: 0 CONSULTANT: Coalson Page 10 of 25 Attachments: Exhibit A - Scope of Services Exhibit B - Pee Schedule Exhibit C - Certificates of Insurance Page 11 of 25 EXHIBIT "A" SCOPE OF SERVICES Page 12 of 25 5!/ //'O Inc. Environmental & Mine Permitting Services December 23, 2008 Mr. Tom Weiner, Community Development Director City of Lake Elsinore 130 South Main Street Lake Elsinore, CA 92530 Re: Annual SMARA Compliance for Mining Operations in Lake Elsinore Dear Mr. Weiner: EnviroMINE, Inc. is pleased to present this cost proposal to provide mining compliance services for the City of Lake Elsinore. The proposed compliance services would be undertaken as part of a program to complete annual compliance requirements as outlined in the Surface Mining and Reclamation Act of 1975 ( SMARA) and the City of Lake Elsinore Surface Mining Ordinance. Mining inspections must be completed within six months following the receipt of the annual report and financial assurances must be updated yearly to assure adequate surety is available to complete reclamation on the subject mining site. The following scope of the services is proposed to include the following tasks: Perform inspections of SMARA regulated mining operations to assure compliance with the approved reclamation plan and conditions of approval. 2. Prepare inspection report(s) to verify compliance with the reclamation plan and conditions of approval. 3. Review Financial Assurance Estimates to determine adequacy. 4. Prepare performance review action. I. Work Program The work program for this project Review, b) Mining Inspections, c) Inspection Reports. These issues wi letters for each site for City information and is divided into four distinct functions: a) File Financial Assurance Review, and d) Prepare [I be discussed in this order. 3511 Camino Del Rio South, Suite 403 - San Diego, CA 92108 (619) 284- 8515/(800) 755 -3995 - Fax: (619) 284 -0115 Page 13 of 25 Mr. Tom Weiner December 23, 2008 Page 2 a. File Review/ Site Familiarity Prior to arriving at the mining sites to conduct inspections, it will be necessary to become familiar with the physical conditions of each site and complete a thorough review of all pertinent information relating to approvals for the project. This review provides the inspector with the necessary background to allow for a thorough inspection of the site. File review will include the approved reclamation plan, use permit, environmental documentation, and any other documents important to the site inspection. The City of Lake Elsinore is responsible for providing EnviroMINE with a copy of the operators' annual reports, approved Reclamation Plans, Use Permits, and financial assurances for the sites. b. Inspections It should be the goal of any inspection program to work as a problem solving tool. Not only are mine inspectors responsible for reviewing mining operations for compliance, the inspector must also serve as an ambassador of the lead agency. At times there are disagreements with the requirements of the approval conditions -and mitigation measures. The inspector will be charged with interpreting and finding solutions to these problems. For this reason, it is important to develop a cordial working relationship with the mine operator. In most cases, solutions should be arrived at in the field with the mine operator. This approach will result in fewer complaints for the lead agency and assure implementation of all compliance conditions. EnviroMlNE will perform the inspections for operations within the City of Lake Elsinore. This will include contacting the mine operators to set up date and time and inspecting the site for compliance with the Use Permit, CEQA mitigation measures, and Reclamation Plan. In some instances, it may be necessary to return to the site to follow -up on deficiencies noted in the site inspection. Where deficiencies are noted, the mine inspector may be required to specifically identify violations and note these on inspection reports. Should this occur, SMARA allows mine operators 30 days to correct deficiencies before being re- inspected. If additional inspections are required, an additional cost proposal will need to be approved. EnviroMINE understands the benefits to developing cooperative working relationships between the mine operator and the Lead Agency. As such, we will attempt to allow the operator to correct any deficiencies in the field on the day of the inspection. If satisfactory resolution cannot be reached in the field, we will consult with City staff to gain direction for further action. Our goal is to find solutions to problems. Page 14 of 25 Mr. Tom Weiner December 23, 2008 Page 3 c. Financial Assurance Review Annual review of financial assurances is required by SMARA to insure that adequate surety is available should the operator default on the reclamation requirements. Review and adjustment of financial assurances can be somewhat time consuming. This depends, in large part, on the operator's willingness to provide adequately detailed and justified estimates. EnviroMINE is uniquely qualified to review financial assurances. EnviroMINE authored the estimating procedure utilized by the State Mining and Geology Board as adopted in their Financial Assurance Guidelines. d. Inspection Reports Site Inspection Reports shall be completed on the forms provided for this purpose by the State Department of Mines and Geology. Other items to be included with the report would include a listing of problem areas and issues of potential variance from the conditions of the use permit for the mining operation. Where problem areas are identified (e.g. accelerated erosion), suggested steps for correcting the problem will be listed. This information may then be used by the operator and the City to assist with implementing corrective measures. The City of Lake Elsinore is recognized as the lead agency with ultimate authority for direction and content of information included in the inspection reports. Inspection reports will be completed within 30 days following individual mine site inspections: Each inspection report will be prepared in duplicate and submitted to the City for review and approval. II. Budget Total labor and materials charges to complete the annual mine compliance requirements will not exceed $5,000.00 per site. These charges will include review of the Use Permit and Reclamation Plan, completion of the site inspection, review of financial assurances, and preparation of the inspection report. Copies will be provided for transmittal to the Department of Conservation, and operator. Should additional work requirements result from the outcome of the compliance audit, additional charges may be warranted. Should additional work be required, labor and expenses will be billed at the following rates: Page 15 of 25 Mr. Tom Weiner December 23, 2008 Page 4 Staff R. Coalson Principal Planner Project Manager Project Planner GIS Technician Research Analyst Administrative Expenses Mileage III. Schedule EnviroMINE will complete the inspections within by the City of Lake Elsinore. Inspection report s following the completion of site inspections. IV. Miscellaneous Proposal Requirements a. Conflict of Interest Rate $175.00 $155.00 $135.00 $115.00 $85.00 $75.00 $65.00 Cost+ $0.52/Mile 30 days following notice to proceed will be completed within 30 days Neither EnviroMINE, nor any of the members of the project team, has been hired by City of Lake Elsinore operators to assist with professional services directly related to any component of the proposed project or related projects under study in this proposal. No member of EnviroMINE'S team has a financial gain or an interest in the final outcome of the project. b. Insurance EnviroMINE holds Workers Compensation and General Liability Insurance with $1,000,000 coverage per occurrence. News Releases EnvirOMINE agrees to refrain from releasing news announcements or participating in news interviews on issues relating to the conduct of the scope of services unless expressly authorized by the City of Lake Elsinore. d. Company Type and Tax Identification EnviroMINE, Inc. is a California S- Corporation, with offices located at: 3511 Camino Del Rio South, Suite 403 San Diego, Ca 92108 Warren R. Coalson, CEO Federal Tax Identification No. 10- 0007670 Page 16 of 25 Mr. Tom Weiner December 23, 2008 Page 5 V. Qualifications EnviroMINE is well qualified to complete mining compliance services for the City of Lake Elsinore. With more than 25 years of experience with the mining industry, we offer an unmatched knowledge of regulatory and operational requirements to insure that mining operations are properly conducted. In addition, where problems are encountered, EnviroMINE has the experience to work with the operator and City to . identify specific measures to satisfy areas of concern. EnviroMINE has more than 15 years experience with conducting SMARA surface mining inspections and financial assurance reviews. This experience has been gained in the Cities of Highland, Redlands, Rialto, Lake Elsinore, Upland, Lake Forest, and the County of Santa Barbara. Our knowledge of compliance objectives spans a variety of lead agency perspectives. We can bring this knowledge and experience to bear for the City of Lake Elsinore. EnviroMINE appreciates the opportunity to offer on this proposal. Should you have questions or comments, feel free to call at your convenience. Sincerely, Warren R. Coalson President Page 17 of 25 EXHIBIT `B" SCHEDULE OF CHARGES Page 18 of 25 EnviroMINE, Inc. Professional Services Rate Schedule Staff Hourly Rate Warren R. Coalso Principal Planner Project Manager Project Planner GIS Technician Research Analyst Administrative Expenses Mileage $175.00 $155.00 $135.00 $115.00 $85.00 $75.00 $65.00 Cost rl� $0.52 /Mile Page 19 of 25 EXHIBIT" C" CERTIFICATES OF INSURANCE Page 20 of 25 Jan.,13 09 03:29p p.2 AC -R-A, CERTIFICATE OF LIABILITY INSURANCE 0f /`13 /z o9' PRODUCER (619)447 -7997 FAX (619).447 -4067 JAY B. MILLS AGENCY, INC. CA License #0462016 535 BROADWAY SUITE 100 EL CAJON, CA 92021 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. INSURERS AFFORDING COVERAGE _ NAIC # INSURED EnvirOMINE INC. 3511 Camino Del Rio So #403 San Diego, CA 92108 INSURERA: EMPLOYERS COMPENSATION INS CO 0003 INSURER B: NEW HAMPSHIRE INS. CO. wsuRER C: INSURERD: 5 INSURER E: THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR ADD11 TYPEOF INSURANCE POLICY NUMBER POLICY EFFECTIVE PtlLICY EXPIRA ON LIMITS GENERAL LIABILITY EACH OCCURRENCE 5 COMMERCIAL. GENERAL LIABILITY DAMAGE TO RENTED PREMISES (Ea S CLAIMS MADE OOCCUR MED EXP(Any One Person) S ^- PERSONAL &ADV INJURY S GENERAL AGGREGATE $ BERL AGGREGATE LIMIT APPLIES PER: PRODUCTS- COMP /OP AGG S POLICY jE LOC AUTOMOBILE UADILITY ANY AUTO COMBINED SINGLE LIMIT (Ea accident) ^ S ALL OWNED AUTOS SCHEOULED AUl'OS BODILY INJURY (Per person) R HIRED AUTOS NON- OWNLIJAUTOS BODILY INJURY (Per accident) S PROPERTY DAMAGE (Per accident) S GARAGE LIABILITY AUTO ONLY - EA ACCIDENT S OTHER THAN EA ACC S ANY AUTO E AUTO ONLY: qGG EXCESSIUMBRELLA LIABILITY EACH OCCURRENCE S W OCCUR CLAIMS MADE AGGREGATE S S I S DEDUCTIBLE S RETENTION S I WORKERS COMPENSATION AND EIG 1109246 09/01/2008 09/01/2009 WC STATU- OTH- A EMPLOYERS' LIABILITY ANY PROPR(ETOWPARTNERIEXECUTIVE OFFICERIME•MBER EXCLUDED'? E.L. EACH ACCIDENT 5 110009 000 E.L. DISEASE - CA EMPLOYEE S I,ODO DOD Ves, desuiue under ECIAL PROVISIONS Below E.L. DISEASE - POLICY LIMIT S I,O001000 Q ROESSIONAL LIAB 006937193 11/01/2008 11/01/2009 LIABILITY $I,0001000 AGGREGATE $10,000 DEDUCTIBLE CLAIMS -MADE POLICY _ )ESCRIPTION OF OPERATIONS I LOCATIONS I VEHICLES I EXCLUSIONS ADDED BY ENDORSEMENT I SPECIAL PROVISIONS AIVER OF SUBROGATION ENDORSEMENT #WC040306 (4/84) ATTACHED TO WORKER'S COMPENSATION POLICY. EXCEPT FOR NON- PAYMENT OF PREMIUM, TEN DAY NOTICE APPLIES. CITY of LAKE ELSINORE, its officers, agents, employees and volunteers 130 SOUTH MAIN STREET LAKE ELSINORE, CA 92530 %CORD 26 (2009108) SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE. THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL ^3O DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO MAIL SUCH NOTICE SHALL IMPOSE NO OBLIGATION OR LIABILITY ©ACORD CORPORATION 1988 Page 21 of 25 J,an „13 09 03:29P to. 3 WORKERS COMPENSATION AND EMPLOYERS LIABILITY INSURANCE POLICY. WC 04 03 06 IEd. 444) WAIVER OF OUR RIGHT TO RECOVER FROM OTHERS ENDORSEMENT — CALIrORNIA We have the right to recover our payme"is frI' m anyone liable for an injury covered by this policy, We will not enforce our right against the person or organization named in Ilia Schedule. You must maintain payroll records accurately segregating the remuneration of your employees while engaged in the work described in the Schedule, The additional premium for this endorsement shell be Premium otherwise due on such remuneration, 2 of the California workers' compensation Schedule Person or Organization ANY PERSON OR ORGANIZATION FOR WHOM THE NAMED INSURED IIAs AGALED uY wIIrf IEN CON MACr "r0 rui mstI Tl it!; WAIVER CA 92..1011 Job Description ALL JOGS IN CALIFORNIA This policy is subject to a mininwm charge of $250 for the issuance Of waivers of subrogation. This ondorsamont chances the policy to whieH It is attached Gild is efioctive on thn dote Issued Unless oamrwisG stated. (The Information below is reduhed only when this endorsement is issuad subsaqucnt to preparation of duo policy) Endorsement Etfectivc 09/01/2000 Policy No. DIG 11092•IG Insurad ENVIROMINE, INC Endorsement No. 001 Preiniam s It 905.00 Insumnco Company EMPLOYERS COMPENSATION INS CO Councrsitined by WC 04 03 06 (Ed. 4.84) I lea aomu F servlcee Itcorder No. re.2420 Page 22 of 25 m;Ingrid Van MoppeS FaxID: Date:1/13/2009 11:30 AM Page: 2 of 4 OP ID Ip DATE (MWDDNM) ACORD CERTIFICATE OF LIABILITY INSURANCE ENVIR-1 1 01/13/09 PRODUCER THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION SCF Insurance Services, Inc. ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE License # 0606662 HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR P.O. Box 3839 ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. La Mesa CA 91944 -3839 Phone: 619 -589 -0303 Fax:619- 589 -1342 INSURERS AFFORDING COVERAGE NAIC0 INSURED INSURER Hartford Fire Ins. Co. 29424 INSURER B: Enviromine Inc. Warren C alson INSURER C: 3511 camTno del Rio S, #403 INSURER D: San Diego CA 92108 THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING MY REQUIREMENT, TERM OR CONDITION OP ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS, LTR N8RC TYPE OF INSURANCE POLICY NUMBER DATE (MMIDDAYY ) DATE (MMMD^ LIMITS GENERAL LIABILITY EACH OCCURRENCE $2000000 A X COMMERCIAL GENERAL LIABILITY 72SBAKY5134 01/04/08 01/04/09 PREMISES(Ea occurence ) $ 300000 CLAIMS MADE Z OCCUR MED EXP (Any one person) $ 1000 0 PERSONA. B ADV INJURY $2000000 X Business owners GENERAL AGGREGATE $ 4000000 GEN'L AGGREGATE LIMIT APPLIES PER: PRODUCTS - COMP /OP ADS $ 4000000 ,X7 POLICY jECCT 7 LOC X AUTOMOBILE LIABILITY ANY AUTO COMBINED SINGLE LIMIT (Ea accldent) ltlenq $2000000 BODILY INJURY (Per person) $ ALL OWNED AUTOS SCHEDULED AUTOS A HIRED AUTOS NON -OWNED AUTOS 72SBAKYS134 01/04/08 01/04/09 X BODILY NJURY (Perecdtlenq $ X PROPERTY DAMAGE (Per ocosdenl) $ GARAGE LIABILITY AUTO ONLY - EA ACCIDENT $ OTHER THAN EAACC $ ANY AUTO $ AUTO ONLY: AGG EXCESS /UMBRELLA LIABILITY EACH OCCURRENCE $ OCCUR CLAIMS MADE AGGREGATE $ $ $ DEDUCTIBLE $ RETENTION F WORKERS COMPENSATION AND TORV LIMITS ER EMPLOYERS' LIABILIN ANY PROPRIETOR/PARTNER/L-XECUTIVE E.L. EACH ACCIDENT $ OFFICEWMEMBER EXCLUDED? E.L. DISEASE -EA EMPLOYEE $ Ryes. eeSCAbe urN er SPECIAL PROVISIONS below E.L. DISEASE- POLICV LIMIT $ OTHER A Property 72SEAKY5134 01/04/08 01/04/09 PROPERTY 78600 )ESCRIPTION OF OPERATIONS I LOCATIONS / VEHICLES / EXCLUSIONS ADDED BY ENDORSEMENT / SPECIAL PROVISIONS City of Lake Elsinore, is officers, officials, employees, agents and voiunterrs are additiional insured *10 day notice of cancellation for nonpayment of premium :ERTIFICATE HOLDER CANCELLATION CITYLAX SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATETHEREOF, TIiEISSUNGINSURERWILLE�MAEAVORTOMAIL *30 DAYSV.RITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT, BUT FAILURE TO DO SO SHALL City of Lake Elsinore IMPOSE NO OBLIGATION OR LIABIUTY OF ANY KIND UPON THE INSURER, ITS AGENTS OR 130 South Main street REPRESENTATIVES. Lake Elsinore CA 92530 A Iz�PRESEI)p ATIV Page 23 of 25 m;Ingrid Van Moppes FaXID: Date:1 /13/2009 11:30 AM Page: 3 Of 4 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY, WAIVER OF SUBROGATION 'his endorsement modifies insurance provided under the following: BUSINESS LIABILITY COVERAGE FORM 'his waiver of subrogation applies only: CITY OF LAKE ELSINORE . to the person or organization; and for the insured's operations at the designated location shown in the Declarations. Ve waive any right to recovery we may have against any person or organization because of payments under the Business Liability Coverage orm. =orm SS 12150392 Printed in U.S.A. (NS) Copyright, Hartford Fire Insurance Company, 1992 Page 24 of 25 n:Ingrid Van Moppes FaXID: I)ate:1 /1:d /ZUOw li;av /ui rasc: vi Y THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - DESIGNATED PERSON OR ORGANIZATION This endorsement modifies insurance provided under the following: BUSINESS LIABILITY COVERAGE FORM C. Who is an insured in the BUSINESS LIABILITY or losses covered under the BUSINESS C. Who is an Insured In the BUSINESS LIABILITY COVERAGE FORM Is amended to Include as an Insured the person or organization shown In the Declarations but only with respect to liability arising our of the operatons of the named insured. CITY OF LAKE ELSINORE 130 SOUTH MAIN ST, LAKE ELSINORE, CA 92530 Form SS 04 49 05 93 Printed in U.S.A. (NS) For losses covered under the BUSINESS LIABILITY COVERAGE of this policy this insurance is Primarily to other valid and collective insurance which Is available to the person or organization Shown in the Declarations as an Additional insured. Page 25 of 25