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04-22-2008 (City Council) Agenda Packet Wylie City Council CITY:F WYLIE NOTICE OF MEETING Regular Meeting Agenda April 22, 2008 — 6:00 pm Wylie Municipal Complex— Council Chambers 2000 Highway 78 North John Mondy Mayor M. G. "Red" Byboth Mayor Pro Tern David Goss Place 1 Kathy Spillyards Place 3 Merrill Young Place 4 Rick White Place 5 Carter Porter Place 6 Mindy Manson City Manager Richard Abernathy City Attorney Carole Ehrlich City Secretary In accordance with Section 551.042 of the Texas Government Code, this agenda has been posted at the Wylie Municipal Complex, distributed to the appropriate news media, and posted on the City website: www.wvlietexas.gov within the required time frame. As a courtesy, the entire Agenda Packet has also been posted on the City of Wylie website: www.wylietexas.gov. The Mayor and City Council request that all cell phones and pagers be turned off or set to vibrate. Members of the audience are requested to step outside the Council Chambers to respond to a page or to conduct a phone conversation. The Wylie Municipal Complex is wheelchair accessible. Sign interpretation or other special assistance for disabled attendees must be requested 48 hours in advance by contacting the City Secretary's Office at 972.442.8100 or TD 972.442.8170. CALL TO ORDER Announce the presence of a Quorum. INVOCATION & PLEDGE OF ALLEGIANCE PRESENTATIONS • Recognition of Employees celebrating 20 and 25 years of service to the City of Wylie (J. Mondy, Mayor) • Proclamation of"Helmet Safety" Week (I Mondy, Mayor) April 22,2008 Wylie City Council Regular Meeting Agenda Page 2 of 4 • Proclamation recognizing recipients of the Girl Scout Gold Award (J. Mondy, Mayor) CITIZENS COMMENTS ON NON-AGENDA ITEMS Residents may address Council regarding an item that is not listed on the Agenda. Residents must provide their name and address. Council requests that comments be limited to three (3) minutes. In addition, Council is not allowed to converse, deliberate or take action on any matter presented during citizen participation. CONSENT AGENDA All matters listed under the Consent Agenda are considered to be routine by the City Council and will be enacted by one motion. There will not be separate discussion of these items. If discussion is desired, that item will be removed from the Consent Agenda and will be considered separately. A. Consider, and act upon, approval of the Minutes from the April 8, 2008 Regular Meeting of the City Council. (C. Ehrlich, City Secretary) B. Consider, and act upon, Ordinance No. 2008-22 amending the zoning from Agriculture District (AG/30) to Planned Development-Agriculture District (PD- AG/30), generally located west of FM 1378 (Country Club Road) and south of FM 2514 (Parker Road). ZC2008-03 (R. 011ie, Planning Director) C. Consider, and act upon, authorizing the Mayor to execute a Cooperative Agreement, in an amount not to exceed $49,982.49, between the City of Wylie and the U. S. Army Corps of Engineers for additional Law Enforcement Services at Lake Lavon for the term of May 18, 2008 through September 6, 2008. (J. Duscio, Police Chief) D. Consider, and place on file, the City of Wylie Monthly Revenue and Expenditure Reports for the period ending March 31,2008. (L. Williamson, Finance Director) REGULAR AGENDA General Business 1. Consider, and act upon, acceptance of the Comprehensive Annual Finance Report (CAFR). (L. Williamson, Finance Director) Executive Summary The City Charter in Article VII,Municipal Finance, Section 13: Independent Audit,requires that at the end of the fiscal year an independent audit be made of all accounts of the City by a certified public accountant. In compliance with the City Charter,our outside auditor Rutledge Crain&Company,PC,has performed an audit as of September 30, 2007. This is the fifth year for the audit to be performed by Rutledge Crain & Company,PC.Mr. Lewis Crain will briefly present the CAFR, including the Independent Auditors' Report, and answer any questions that the City Council may have regarding the report. April 22,2008 Wylie City Council Regular Meeting Agenda Page 3 of 4 2. Consider, and act upon, authorizing the City Manager to enter into a Professional Services contract with Shaw Environmental, Inc. for Environmental Services related to the unpermitted landfill site located at 800 West Kirby, site of the former City of Wylie Service Center. (M. Sferra, Public Services Director) Executive Summary The City of Wylie operated an unpermitted municipal solid waste (MSW) landfill northwest of the intersection of Highway 78 and Highway 544 (also known as Kirby Street) in the 1950s and early 1960s. A portion of the MSW was previously removed and replaced with compacted select fill to allow construction of a railroad line across the property by the Kansas City Southern Railway Company (KCS). Over the past several years, Shaw Environmental, Inc. has performed work for the City to evaluate the environmental condition of the site and to coordinate with the Texas Commission on Environmental Quality(TCEQ)to bring the site to regulatory closure under the Commission's Voluntary Cleanup Program (VCP). 3. Consider, and act upon, Resolution No. 2008-12(R) authorizing the City Manager to execute two Interlocal Agreements with the North Central Texas Council of Governments for implementation of the Solid Waste Implementation grant projects. (M. Sferra, Public Services Director) Executive Summary On January 8, 2008, the City Council approved Resolution 2008-02(R) authorizing staff to submit two grant applications requesting project funding under the North Central Texas Council of Governments (NCTCOG) Request for Project Applications supporting the goals of the Regional Solid Waste Management Plan. In March 2008,the NCTCOG notified the City of Wylie that both applications received READING OF ORDINANCES Title and caption approved by Council as required by Wylie City Charter, Article III, Section 13-D. EXECUTIVE SESSION Recess into Closed Session in compliance with Section 551.001, et.seq. Texas Government Code, to wit: §551.071 Consultation with Attorney; Closed Meeting A governmental body may not conduct a private consultation with its attorney except: On a matter in which the duty of the attorney to the governmental body under the Texas Disciplinary Rules of Professional Conduct of the State Bar of Texas clearly conflicts with this chapter regarding legal issues relating to the expansion of and/or regulation of Wylie's extraterritorial jurisdiction. RECONVENE INTO OPEN SESSION Take any action as a result from Executive Session. PRESENTATION • Presentations by eGov and Tatum Consulting for professional services related to the City of Wylie Strategic Technology Master Plan. (J. Butters, Assistant City Manager) April 22,2008 Wylie City Council Regular Meeting Agenda Page 4 of 4 REGULAR AGENDA 4. Consider, and act upon, the selection of the top and second ranked consulting firms and authorize the City Manager to negotiate a Professional Services Contract for the City of Wylie Strategic Technology Master Plan Development. (J. Butters, Assistant City Manager) Executive Summary On February 12, 2008 the City of Wylie published a Request for Proposal for professional services to develop a Technology Master Plan. Bids were accepted from four consulting firms on March 12,2008.The Information Technology staff interviewed three consulting firms and chose two to present to Council. Tatum and eGov were selected to present to Council. ADJOURNMENT CERTIFICATION I certlb) that this Notice of Meeting was posted on this 18th day of April 2008 at 5:00 p.m. as required by law in accordance with Section 551.042 of the Texas Government Code and that the appropriate news media was contacted. As a courtesy, this agenda is also posted on the City of Wylie website: www.wylietexas.gov. Carole Ehrlich,City Secretary Date Notice Removed Wylie City Council CITY OF WYLIE Minutes Wylie City Council Tuesday, April 8, 2008 — 6:00 pm Wylie Municipal Complex— Council Chambers 2000 Highway 78 North CALL TO ORDER Announce the presence of a Quorum. Mayor Mondy called the meeting to order at 6:00 p.m. Council Members present were: Councilwoman Kathy Spillyards, Councilman David Goss, Councilman Merrill Young, Councilman Rick White, and Councilman Carter Porter. Mayor Pro Tem Red Byboth was absent. Staff present were: City Manager, Mindy Manson; Assistant City Manager, Jeff Butters; Finance Director, Larry Williamson; Public Services Director, Mike Sferra; Fire Chief, Randy Corbin; Police Chief, John Duscio; Planning Director, Renae' 011ie; City Engineer, Chris Hoisted; Construction Manager, Shane Colley; Public Information Officer, Craig Kelly; City Secretary, Carole Ehrlich, and various support staff. INVOCATION & PLEDGE OF ALLEGIANCE Councilwoman Spillyards gave the Invocation and Boy Scout Troop 552 led the Pledge of Allegiance. Boy Scouts present were: Adam Bowling, Brody Madler, Ethan Sims and Eric Sims. Also present was Troop 552 Scout Leader Greg Sims. CITIZENS COMMENTS ON NON-AGENDA ITEMS Residents may address Council regarding an item that is not listed on the Agenda. Residents must provide their name and address. Council requests that comments be limited to three (3) minutes. In addition, Council is not allowed to converse, deliberate or take action on any matter presented during citizen participation. There were no citizens present to address Council during Citizens Comments. Minutes—April 8, 2008 Wylie City Council Page 1 CONSENT AGENDA All matters listed under the Consent Agenda are considered to be routine by the City Council and will be enacted by one motion. There will not be separate discussion of these items. If discussion is desired, that item will be removed from the Consent Agenda and will be considered separately. A. Consider, and act upon, approval of the Minutes from the March 25, 2008 Regular Meeting of the City Council. (C. Ehrlich, City Secretary) B. Consider, and act upon, Ordinance No. 2008-18 amending the zoning from Community Retail (CR) to Commercial Corridor (CC), generally located south of Alanis Drive and west of S. Ballard Avenue (400 Alanis Drive). ZC 2008-02 (R. 011ie, Planning Director) C. Consider, and act upon, a Final Plat for Woodbridge Crossing creating seventeen (17) commercial lots on 64.68 acres, generally located south of FM 544 between McCreary Road and Springwell Parkway. (R. 011ie, Planning Director) Councilman Young asked Councilman Goss if the two citizens noted in the minutes as additional appointed Solid Waste Committee members had been submitted to the Assistant City Manager. Councilman Goss replied that both Jeff Cox and Tim Eades had agreed to serve and this information had been forwarded to Asst. City Manager Butters. Council Action A motion was made by Councilman Young seconded by Councilman White to approve the Consent Agenda as presented. A vote was taken and passed 6-0 with Mayor Pro Tem Byboth absent. REGULAR AGENDA Public Hearing 1. Hold a Public Hearing and consider, and act upon, a change in zoning from Agriculture District (AG/30) to Planned Development-Agricultural District (PD- AG/30), generally located west of FM 1378 (Country Club Road) and south of FM 2514 (Parker Road). ZC 2008-03. (R. 011ie, Planning Director) Staff Comments Planning Director 011ie addressed Council stating that the applicant Gateway Community Church is proposing to construct a 113,150 square foot church/worship facility on 12.6 acres. The property was annexed into the City August 31, 1999 and has never been platted. The current zoning Ordinance does not clearly specify design standards for Non-residential structures within residential districts. Therefore a Planned Development District is being proposed in order to define the design standards. Minutes—April 8, 2008 Wylie City Council Page 2 The tract when developed as a Church/House of Worship shall be exempt from Section 3.4 Residential Design Standards. Design requirements shall be in accordance with Section 4.3 Nonresidential Design Standards with the following exceptions: 1. Front facade oriented to the street shall not be required. 2. Landscaping in the front, rear and side yards shall only be required within 100 feet of any structure or paving. 3. Concrete tilt wall construction with textured finish shall be permissible. 4. Roofs shall be either built-up with a parapet, composition with laminate shingles or pre-finished metal. The applicant is proposing tilt wall construction in lieu of the required brick exterior. A concrete tilt wall construction with a textured finish is being proposed to allow for future expansion. The northern and western (permanent) exterior walls of Phase 1 would be constructed with at least 20% stone, brick or cast stone and tilt-wall panels with only brick accents in accordance with the PD Conditions 5.C.1. Article 3, Figure 3-1 (AG/30 District) requires a minimum front yard setback of 50 feet, side yard of 20 feet and a rear yard of 50 feet. The proposed PD request a minimum front yard setback of 25 feet, side yard of 10 feet and a rear yard of 10 feet. The main structure shall not exceed 45 feet in height, while campaniles, bell towers, spires or similar architectural appurtenances shall not exceed a height of 90 feet. Landscaping shall be provided in proportion with each phase. The landscaped area of Phase 1 shall comprise 6% (35,071 s.f.) of the total subject tract, and 39% of just the Phase 1 area. The total area of the site is 548,856 s.f. Upon completion of all phases, landscaping shall encompass 37.4%. In an effort to shield property owners along the southern border of the property, shrubs or trees shall be planted in accordance with Article 7, Section 7.1.E.2, as development of the property moves southward. Planning and Zoning Commission voted 6-1 to recommend approval. The Commissioner voting in opposition expressed concerns of increased traffic along FM 1378 and that future development on FM 1378 should cease until FM 1378 is widened. Council Discussion Mayor Mondy asked about the absence of a wall separating the school and the church. Planning Director 011ie replied that the wall in question by the P &Z Commission was not required due to this area being for shared parking only. Councilman Young asked if the ninety foot bell tower was an exception to the Code. Planning Director 011ie reported that the code did not have requirements for height for bell towers. Public Hearing Mayor Mondy opened the Public Hearing for Zoning Case #2008-03 at 6:15 p.m., asking anyone present wishing to address Council to come forward. Marlys Collins residing at 3609 Almond Lane, McKinney Texas and representing the Gateway Community Church addressed Council and answered questions regarding the zoning case. Mayor Mondy asked how many services would be scheduled for Phase I. Ms. Collins replied that she thought the church was scheduling one service. Mayor Mondy asked how many services were planned after Phase II build out. Ms. Collins replied she believed there would be two. No one else was present to address Council during the Public Hearing for Zoning Case #2008- 03. Mayor Mondy closed the Public Hearing at 6:18 p.m. Minutes—April 8, 2008 Wylie City Council Page 3 Council Action A motion was made by Councilman Young seconded by Councilman Porter to approve a change in zoning from Agriculture District (AG/30) to Planned Development-Agricultural District (PD-AG/30), generally located west of FM 1378 (Country Club Road) and south of FM 2514 (Parker Road). ZC 2008-03. A vote was taken and passed 6-0 with Mayor Pro Tern Byboth absent. General Business 2. Consider, and act upon, Ordinance No. 2008-19 amending Article III, (Operation of Vehicles), Chapter 110 (Traffic and Vehicles) of the Code of Ordinances of the City of Wylie and adding a new Section 110-114 (Use of Hand-held Mobile Telephones Prohibited in School Zones); providing for a penalty of the violation of this ordinance; providing for severability; repealing and saving clauses; providing for the publication of this caption hereof; and providing for an effective date of this ordinance. (J. Duscio, Police Chief) Staff Comments Police Chief Duscio addressed Council stating that the School zones are in place to help protect the health, safety, and welfare of the public, especially school aged children. As many families have a fast paced life style running from one location to another many drivers are distracted by many things. A major distraction for drivers is the use of hand held cell phones. Many drivers will also text message while driving. This added distraction in an area where there are many children walking to and from school increases the possibility of an accident involving a child pedestrian. This ordinance would prohibit the use of hand held wireless telephones for calling or text messaging in a school zone during established school zone hours. Chief Duscio reported that the proposed ordinance would have an effective date of August 28, 2008 coinciding with the opening of the next school year. Mayor Mondy asked Chief Duscio if there would be a warning period. Chief Duscio replied that there would be a two week warning period to allow drivers time to comply with the new law. Councilwoman Spillyards asked if signs would be posted at each school zone. Chief Duscio replied that the department would be posting signs at each school zone. Mayor Mondy suggested contacting WISD to get the word out. Councilman Young stated that he was very excited about the implementation of the new ordinance. Council Action A motion was made by Councilman Goss, seconded by Councilman White to approve Ordinance No. 2008-19 amending Article Ill, (Operation of Vehicles), Chapter 110 (Traffic and Vehicles) of the Code of Ordinances of the City of Wylie and adding a new Section 110-114 (Use of Hand-held Mobile Telephones Prohibited in School Zones); providing for a penalty of the violation of this ordinance; providing for severability; repealing and saving clauses; providing for the publication of this caption hereof; and providing for an effective date of August 28, 2008 for this ordinance. A vote was taken and passed 6-0 with Mayor Pro Tern Byboth absent. 3. Consider, and act upon, Ordinance No. 2008-20 amending Ordinance No. 98-16 (Consolidated Fees and Charges/Fees schedule), Section 1.00 (Water and Sewer Rates and Fees), Subsection 1.03 (Sewage Collection and Treatment Rates); amending Chapter 114 (Utilities) Code of Ordinance of the City of Wylie to create a "Repair and Replacement Fund" for sewer projects; providing for repealing, savings and severability clauses; providing for publication of the caption hereof; Minutes—April 8, 2008 Wylie City Council Page 4 and providing for an effective date of this ordinance. (L Williamson, Finance Director) Staff Comments Finance Director Williamson addressed Council stating that this agenda item was discussed in detail in a Sewer Finance Workshop. Council supported the recommendation and this item is being placed on the agenda for formal action. The item sets the flat monthly sewer charge at$27.00 per residential customer, with $2.00 going into a Repair and Replacement Fund. The ordinance provides for a Senior Citizens discount for all citizens with an over 65 exemption on the residence where service is provided as well as discount for Disabled Persons. The Ordinance has a delayed effective date so that adequate information can be provided to the City's residential sewer customers. Finance Director Williamson reported that the proposed ordinance would have an effective date of May 1, 2008 to allow time to send notices out to the sewer customers and a marketing campaign to insure the citizens know of the new sewer changes. Council Discussion Mayor Mondy asked Finance Director Williamson to explain the wording in Section 1.03 (a) second line that reads"including residential customers located outside the corporate limits of the City of Wylie, Texas. Mr. Williamson replied that in the original Fee Ordinance it allows for 115% charge for customers outside the city limits for water, however, the decision was made by Council not to provide sewer to residents outside the city limits. He explained that in the review of the proposed amendments to the fee ordinance, by the City Attorney's Office, the language was left in. He reiterated that at the present time, sewer service was not being offered to citizens outside the incorporated city limits; it could however be left, in the event the Council wished to provide sewer service to residents outside the city limits in the future. Councilman Goss stated that he believed it was a good idea to leave the wording, in the event the Council did decide to offer residents, outside of the city, sewer service. Councilman Young asked if it would be possible in the approval of the proposed ordinance to omit that portion. He stated that he felt it should not be part of the amendments. Finance Director Williamson replied that the motion could be made to omit that portion of the proposed ordinance. City Manager Manson reported that recently staff had addressed this very issue regarding service outside the incorporated city limits; our current ordinances and codes are very ambiguous the way they are written. It is clean when going from the platting stage, but otherwise not very clear. We probably need to tighten it up. She stated that at this point it might be best to omit the language; in the future City Council can approve a policy, if they wish. Councilman Porter asked what the procedures were to obtain the over 65 discount. Finance Director Williamson explained that a listing was received from the County Appraisal Districts which denoted all over 65 exemptions. He reported that this list will be downloaded into the utility files to insure those persons receive the over 65 discount. In addition anyone turning 65 can stop by the office and file for the discount; the department will verify with the appraisal district. Council Action A motion was made by Councilman White, seconded by Councilman Porter to approve Ordinance No. 2008-20, omitting: "including residential customers located outside the corporate limits of the City of Wylie, Texas; located in § 1.03 Sewage collection and treatment rates,(a); and amending Ordinance No. 98-16 (Consolidated Fees and Charges/Fees schedule), Section 1.00 (Water and Sewer Rates and Fees), Subsection 1.03 (Sewage Collection and Treatment Rates); amending Chapter 114 (Utilities) Code of Ordinance of the City of Wylie to create a "Repair and Replacement Fund" for sewer projects; providing for repealing, savings and severability clauses; providing for publication of the caption hereof; and providing for an effective date of May 1, 2008 for this ordinance. A vote was taken and passed 6-0 with Mayor Pro Tern Byboth absent. Minutes—April 8, 2008 Wylie City Council Page 5 4. Consider, and act upon, authorizing the City Manager to execute a proposal, in an amount not to exceed $18,510, from Railroad Controls Limited for Quiet Zone Implementation. (C. Holsted, City Engineer) Staff Comments City Engineer Hoisted addressed Council stating that on March 25, 2008, Railroad Controls Limited (RCL) presented a Quiet Zone Evaluation report. The report identified improvements necessary at all thirteen crossings in the City of Wylie to establish quiet zones. The projected cost of the improvements is $234,950 assuming the railroad upgrades the crossing at FM 1378 to constant warning time circuitry in the next twelve months. The scope of work identified in the proposal includes project management, diagnostic team review; grade crossing inventory forms, quiet zone submittals, and design services. Council Discussion Councilman Goss asked City Engineer Hoisted if the difference between the budgeted $40,000 (engineering budget) and the projected cost of$234,950 was budgeted in the current budget; should the improvements be completed this year. Mr. Holsted replied that the $40,000 was within his budget. If the improvements were completed before the end of this fiscal year, which is doubtful, the funds would have to come from another source. City Manager Manson reported that she did not believe the project could be completed this year but in either case the additional funding would either be approved by a budget amendment or included in the next fiscal year budget. Council Action A motion was made by Councilwoman Spillyards, seconded by Councilman White to authorize the City Manager to execute a proposal, in an amount not to exceed $18,510, from Railroad Controls Limited for Quiet Zone Implementation. A vote was taken and passed 5-1 with Mayor Mondy, Councilwoman Spillyards, Councilman Young, Councilman White and Councilman Porter voting for approval and Councilman Goss voting against. Mayor Pro Tern Byboth was absent. Mayor Mondy recessed into Executive Session at 6:30 p.m. stating the exception below: EXECUTIVE SESSION Recess into Closed Session in compliance with Section 551.001, et.seq. Texas Government Code, to wit: §§551.072 to deliberate the purchase, exchange, lease or value of real property generally located at: • Purchase of land located south of and adjacent to Olde City Park Mayor Mondy reconvened into Regular Session at 6:43 p.m. RECONVENE INTO OPEN SESSION Take any action as a result from Executive Session. 5. Consider, and act upon, Ordinance No. 2008-21 amending Ordinance No. 2007-29 (2007-2008 Budget) and approving an appropriation of funds in the amount of $715,000 for the Park Acquisition and Improvement Fund for the Olde City Park Land Acquisition and Improvement Project; add $330,000 to the Park Acquisition Minutes—April 8, 2008 Wylie City Council Page 6 and Improvement Fund revenues to reflect reimbursements made by Collin County; authorize the City Manager to use funds collected in the East and West zones in the Central Zone for the Olde City Park Land Acquisition and Improvement Project, requiring those funds to be reimbursed when additional revenues are available in the Central zone; providing for repealing, savings and severability clauses; and providing for an effective date of this ordinance. (M. Sferra, Public Services Director) Staff Comments Public Services Director Sferra addressed Council stating that in previous Council action occurring on June 26, 2007, Council approved Resolution 2007-17(R) authorizing submittal of a grant application to Collin County for Olde City Park Land Acquisition and Improvements project. The City was awarded $330,000 in matching funds from the County, and on November 13, 2007, the Council passed Resolution 2007-37(R) approving an interlocal agreement with Collin County to proceed with the project. By acquisition of three parcels of land, two owned by Kansas City Southern Railroad (KCS), and one owned by the County, this project will enlarge the existing Olde City Park. Other improvements include the installation of underground drainage, a 25 space lighted parking lot, restrooms, concrete sidewalks, landscaping, irrigation, benches, tables, etc. Mr. Sferra reported at the March 24, 2008 Park Board meeting, the Board recommended that funds in the East and West zones be combined for the special purpose of the Olde City Park Land Acquisition and Improvement project. They also recommended that the East and West zones be reimbursed upon receipt of additional revenues in the Central zone. Mayor Mondy asked Public Services Director Sferra when those funds could be repaid to the East and West zones. Mr. Sferra stated that the Alanis Crossing development, a subdivision located in the Central zone, is required to pay approximately $300,000 in parkland fees when development begins. When this revenue is received, it would be sufficient to reimburse the East and West zones. City Manager Manson reported that as part of the Parks Master Plan, emphasis was placed on the acquisition of land and she believed this purchase was in line with that focus. The funds remain unused until such time as improvements are required. She stated that she saw no negative side to utilizing the funds to purchase land for the Central zone. Council Action A motion was made by Councilman Young, seconded by Councilman Porter to approve Ordinance No. 2008-21 amending Ordinance No. 2007-29 (2007-2008 Budget) and approving an appropriation of funds in the amount of $715,000 for the Park Acquisition and Improvement Fund for the Olde City Park Land Acquisition and Improvement Project; add $330,000 to the Park Acquisition and Improvement Fund revenues to reflect reimbursements made by Collin County; authorize the City Manager to use funds collected in the East and West zones in the Central Zone for the Olde City Park Land Acquisition and Improvement Project, requiring those funds to be reimbursed when additional revenues are available in the Central zone; providing for repealing, savings and severability clauses; and providing for an effective date of this ordinance. A vote was taken and passed 6-0 with Mayor Pro Tern Byboth absent. 6. Consider, and act upon, authorizing the City Manager to enter into a Contract for Sale of Real Estate with Kansas City Southern Railway Company to purchase property located at Tara Selene Caldwell Addition, Block 1, Lot 1, Collin County, Texas, and .2447± acres of the adjacent Railroad Right-of-Way, S. B. Shelby Survey, Abstract 820, Collin County, Texas, and further authorizing the City Manager to execute any and all necessary documents necessary for the purchase of said property. (M. Sferra, Public Services Director) Minutes—April 8, 2008 Wylie City Council Page 7 Staff Comments Public Services Director Sferra addressed Council stating that In previous Council action occurring on June 26, 2007, Council approved Resolution 2007-17(R) authorizing submittal of a grant application to Collin County for Olde City Park Land Acquisition and Improvements project. The City was awarded $330,000 in matching funds from the County, and on November 13, 2007, the Council passed Resolution 2007-37(R) approving an interlocal agreement with Collin County to proceed with the project. Council Action A motion was made by Councilman White, seconded by Councilman Porter to authorize the City Manager to enter into a Contract for Sale of Real Estate with Kansas City Southern Railway Company to purchase property located at Tara Selene Caldwell Addition, Block 1, Lot 1, Collin County, Texas, and .2447± acres of the adjacent Railroad Right-of-Way, S. B. Shelby Survey, Abstract 820, Collin County, Texas, and further authorizing the City Manager to execute any and all necessary documents necessary for the purchase of said property. A vote was taken and passed 6-0 with Mayor Pro Tem Byboth absent. READING OF ORDINANCES Title and caption approved by Council as required by Wylie City Charter, Article III, Section 13-D. City Secretary Ehrlich read the captions to Ordinances 2008-18, 2008-19, 2008-20, and 2008- 21, including effective dates, into the official record. PRESENTATION • Presentation for professional services related to the City of Wylie Parks, Recreation and Open Space Master Plan. (M. Sferra, Public Services Director/Halff Associates, Inc./Schrickel, Rollins and Associates Inc.) Schrickel Rollins and Associates, Inc. gave a presentation to Council regarding proposal for a Parks and Recreation Master Plan for the City of Wylie. Schrickel Rollins and Associates Principal Victor Baxter addressed Council stating that Schrickel Rollins and Assoc. has been in business for over 50 years. In the 1960 the firm began to focus on the planning and design of parks and have been very active in that endeavor ever since. He introduced two of the key members of the firm: Linda Jordan, Project Manager for the project and Susan Sweep, Project Coordinator. Linda Jordan, Project Manager displayed designs of unique arbors, bridges, arch gates and other enhancements that can be provided to a park design to create a unique design for the City of Wylie. Other items included in the presentation were the firm's qualifications to create the Parks, Recreation and Open Space Master Plan and examples of designs the firm had created for other cities. Firm members also spoke about their ideas for the master plan within the City of Wylie including topography, links to the community, green areas and design designations to existing parks, lake area parks, and the Wells Property. Mr. Baxter commented that the City Minutes—April 8, 2008 Wylie City Council Page 8 was fortunate to have such a unique piece of property with the Wells property and the firm looked forward to working with the City to create this master plan. Half Associates, Inc. gave a presentation to Council regarding proposal for a Parks and Recreation Master Plan for the City of Wylie. Jim Carrillo, (Park Planning and Programming Oversite for the project) addressed Council stating that the firm was excited to present their proposal. He introduced other key staff for the proposed project team: Lenny Hughes, Trails, Greenway and Open Space Planner, and Francois de Kock Project Manager. He reported that the firm had provided the master planning for the City of Wylie's Founders Park as well as many other Texas projects. Mr. Carrillo explained some of the procedures included in the process to provide the Parks and Recreation Master Plan. They included: setting one vision for the plan, getting input from citizens and emphasizing their input into the plan, public participation and fact gathering, Market assessment, applicable grants when available, and create a plan that sets Wylie apart from other nearby communities. The presenters showed concepts of current areas and designs to enhance the areas specifically in and around existing parks. Mr. Carrillo concluded by stating that Half Associates, Inc. was looking forward to working with the City of Wylie. Both firms envisioned the Wells Property as a "Central Park". REGULAR AGENDA 7. Consider, and act upon, selection of the top and second ranked firms, and authorizing the City Manager to negotiate a Professional Services Contract beginning with the top ranked firm for the City of Wylie Parks and Recreation Open Space Master Plan. (M. Sferra, Public Services Director) Staff Comments Public Services Director Sferra addressed Council requesting the City Council to select a firm, from the two finalists; then the City Manager will initiate negotiations relative to scope, services, and fee and payment schedules with the top ranked firm. He explained that if a tentative agreement is reached, then the City Manger will return with a contract for City Council consideration and possible action. If a tentative agreement cannot be reached with the top ranked firm, then negotiations will begin with the second ranked firm, until a tentative agreement can be reached and a contract can be brought to the City Council. He reported that reference checks had been completed for both firms and staff had scored the firms on the references and interview/presentations. He reported that both firms received very high scores. He reported that staff would be happy to work with either firm selected by Council. Council Discussion Councilman Young commented that he would like to state that he was very pleased with the design work that Half had performed for the City in the past. He commented that if Half was the firm chosen by Council, he would like to see performance requirements with penalties if the requirements were not met timely. He further stated that he also liked the presentation given by Schrickel, Rollins and Associates because they had not worked for the City and did not have the information for their presentation to insert all the bells and whistles, but did a great job. Councilman Goss stated that he liked SRA as they thought outside the box and had additional ideas outside what was required in the RFQ. He stated that Schrickel, Rollins and Associates suggested park development along the lake which is a great project to work Minutes—April 8, 2008 Wylie City Council Page 9 towards, in my opinion. He also commented that Half had worked with the City in the past and it might be time to bring in new ideas. Councilman Young asked if Half was working on the Founder's Park Project. City Manager Manson reported that was correct and they were also working on some civil engineering work as well. Councilman Young stated that maybe it was best then to stay with that firm. Council Action A motion was made by Councilman Porter, seconded by Councilman White to authorize the City Manager to negotiate a Professional Services Contract beginning with Half and Associates for the City of Wylie Parks and Recreation Open Space Master Plan. A vote was taken and passed 5-1 with Mayor Mondy, Councilwoman Spillyards, Councilman Young, Councilman White and Councilman Porter voting for and Councilman Goss voting against. Mayor Pro Tem Byboth was absent. ADJOURNMENT A motion was made by Councilman Porter, seconded by Councilman Goss to adjourn the meeting at 8:40 p.m. Consensus of Council was to adjourn. John Mondy, Mayor ATTEST: Carole Ehrlich, City Secretary Minutes—April 8, 2008 Wylie City Council Page 10 Wylie City Council CITY OF WYLIE AGENDA REPORT Meeting Date: April 22, 2008 Item Number: B Department: Planning (City Secretary's Use Only) Prepared By: Renae' 011ie Account Code: Date Prepared: April 9, 2008 Budgeted Amount: Exhibits: 5 Subject Consider, and act upon, Ordinance No. 2008-22 amending the zoning from Agriculture District (AG/30) to Planned Development-Agricultural District (PD-AG/30), generally located west of FM 1378 (Country Club Road) and south of FM 2514 (Parker Road). ZC2008-03 Recommendation Motion to approve Ordinance No. 2008-22, Zoning Case 2008-03 amending the zoning from Agriculture District (AG/30) to Planned Development-Agricultural District (PD-AG/30), generally located west of FM 1378 (Country Club Road) and south of FM 2514 (Parker Road). Discussion Owner: Gateway Community Church Applicant: Marlys Collins, Ministry Consultants Zoning Case 2008-03 requires an Ordinance to amend the zoning accordingly in the Official Zoning Map of the City; and providing a penalty clause, a repeal clause, a savings clause, a severability clause, and an effective date. The above described property shall be used only in the manner and for the purposes provided for in the Comprehensive Zoning Ordinance of the City, as amended herein by the granting of this zoning classification. Approved By Initial Date Department Director RO 04/ 9/08 City Manager fhb 1( Page 1 of 1 ORDINANCE NO. 2008-22 AN ORDINANCE OF THE CITY OF WYLIE, TEXAS, AMENDING THE COMPREHENSIVE ZONING ORDINANCE OF THE CITY OF WYLIE, AS HERETOFORE AMENDED, SO AS TO CHANGE THE ZONING ON THE HEREINAFTER DESCRIBED PROPERTY, ZONING CASE NUMBER 2008-03, FROM AGRICULTURE DISTRICT (AG/30) TO PLANNED DEVELOPMENT-AGRICULTURAL DISTRICT (PD-AG/30); PROVIDING FOR A PENALTY FOR THE VIOLATION OF THIS ORDINANCE; PROVIDING FOR THE REPEAL OF ALL ORDINANCES IN CONFLICT; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the Planning and Zoning Commission and the governing body of the City of Wylie, Texas, in compliance with the laws of the State of Texas with reference to the amendment of the Comprehensive Zoning Ordinance, have given the requisite notices by publication and otherwise, and after holding due hearings and affording a full and fair hearing to all property owners generally and to owners of the affected property, the governing body of the City is of the opinion and finds that the Comprehensive Zoning Ordinance and Map should be amended; NOW, THEREFORE BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF WYLIE, TEXAS: SECTION 1: That the Comprehensive Zoning Ordinance of the City of Wylie, Texas, be, and the same is hereby, amended by amending the Zoning Map of the City of Wylie, to give the hereinafter described property a new zoning classification of Planned Development- Agricultural District (PD-AG/30), said property being described in Exhibit "A" (Legal Description), Exhibit "B" (Concept Plan), Exhibit "C" (Phase 1 Conceptual Site Plan), and Exhibit "D" Planned Development Conditions attached hereto and made a part hereof for all purposes. SECTION 2: That all ordinances of the City in conflict with the provisions of this ordinance be, and the same are hereby, repealed and all other ordinances of the City not in conflict with the provisions of this ordinance shall remain in full force and effect. SECTION 3: That the above described property shall be used only in the manner and for the purposes provided for in the Comprehensive Zoning Ordinance of the City, as amended herein by the granting of this zoning classification. SECTION 4: Any person, firm or corporation violating any of the provisions of this ordinance or the Comprehensive Zoning Ordinance, as amended hereby, commits an unlawful act and shall be subject to the general penalty provisions of Section 1.5 of the Zoning Ordinance, as the same now exists or is hereafter amended. Ordinance No.2008-22 Amending Zoning from Agriculture(AG/30) to Planned Development-Agriculture(AG/30) Zoning Case 2008-03 SECTION 5: Should any paragraph, sentence, subdivision, clause, phrase or section of this ordinance be adjudged or held to be unconstitutional, illegal or invalid, the same shall not affect the validity of this ordinance as a whole or any part or provision thereof, other than the part so declared to be invalid, illegal or unconstitutional, and shall not affect the validity of the Comprehensive Zoning Ordinance as a whole. SECTION 6: This ordinance shall be in full force and effect from and after its adoption by the City Council and publication of its caption as the law and the City Charter provide in such cases. SECTION 7: The repeal of any ordinance, or parts thereof, by the enactment of this Ordinance, shall not be construed as abandoning any action now pending under or by virtue of such ordinance; nor shall it have the effect of discontinuing, abating, modifying or altering any penalty accruing or to accrue, nor as effecting any rights of the municipality under any section or provisions of any ordinances at the time of passage of this ordinance. DULY PASSED AND APPROVED by the City Council of the City of Wylie, Texas, this 22nd day of April, 2008. John Mondy, Mayor ATTEST: Carole Ehrlich, City Secretary Date of publication in The Wylie News—April 30, 2008 Ordinance No.2008-22 Amending Zoning from Agriculture(AG/30) to Planned Development-Agriculture(AG/30) Zoning Case 2008-03 Exhibit"A" Legal Description Zone Case#2008-03 BEING a tract of land situated in the William Patterson Survey, Abstract No. 716, City of Wylie, Collin County, Texas, and being part of a 29.07 acre tract of land conveyed to Gateway Community Church of Murphy by deed recorded in Volume 5659, Page 4203, Deed Records of Collin County, Texas, and being more particularly described as follows: BEGINNING at a 1" iron rod set for corner in the west line of F.M. 1378 (a 90' R.O.W.), said point being the southeast corner of said 29.07 acre tract, and being in the north line of Riverchase Phase 1, an addition to the City of Wylie, Texas, as recorded in Cabinet M,Page 364,Plat Records of Collin County, Texas; THENCE S88°21'25"W, with the north line of said Riverchase Phase 1, a distance of 923.00 feet to a 5/8" iron rod found for corner; THENCE S89°28'27"W, with the north line of Riverchase 1, a distance of 89.28 feet to a 1" iron rod set for corner; THENCE NO3°32'17"W, a distance of 526.31 feet to a'/_" iron rod set for corner; THENCE N86°27'43"E, a distance of 847.54 feet to a I/z"iron rod set for corner; THENCE S73°32'17"E, a distance of 102.33 feet to a '/z" iron rod set for corner; THENCE N86°27'43"E, a distance of 85.04 feet to a'h"iron rod set for corner in the aforementioned west line of F.M. 1378; THENCE S01°40'41"E, with the west line of F.M. 1378, a distance of 526.79 feet to the POINT OF BEGINNING and CONTAINING 551,492 square feet, or 12.661 acres of land. 2'Q ' RA .4t5' • R ';'k, 10111.1 0.A 0 Bench I $0 0 % % VIII 1.1111 CY"cp.v.7°577.36 2127-00- .,„,..,..,15_,;.. -•,•-_—--,—_ —_ -- _-.-. -----.....•..."---.1mon........_ 'I[ • ' 2127.00 ._ .. _.... .........111111111111L8 ---------------111111110111111M Illail , 1 4 w------.....—_____------------------------------=--- ..,_ i ai li - . .dcp3 i 11 -41:' ..............=•=- — -N-V-IfitatiMINIMINC ..., [ ...,...,_. , if. ilrIPMF I P .. .71.110M.,..".. ..... 771 16 1, <''.% ... cn.0 1 J.?7I..,, •••-&,, ,,„..„.., C d,• ,... E -' '''' 0)-iia••••11i11-2-14119611:111.1 --------------______—_____, -- •••,,,............,7 r,_,H(r_ i'.6)'47,i; ,,r ;-.06;,;y) __, ,,,( . :,:a„,1 U ii ,, , _d1\ REGULATORY elor eu---------.1-7-E• ' '-' crf-"-"' --'-')it fi. ‘.; ,;,-..'-- --/ ' o FERAIrri1.0. OR i --- i ; '....-1011"IPIII 1 ((c. : i(:2)13C(' -j.",:;0• __ ;.: 11 0 , 0-,.., e it '-'.."; , MONUMEN IGN , - r•-• , '''e'° •11 111 111111,1.1,2)4,/,,5‘,,;4/AidiS ii-____aurt iliimi. • , , igill iillOg bx , _•.. I _MN , \ 1 1 ••.,4i/: CC) 0 ,. ids.- , s I r -7411' ,111,4: gmen M , r ,,. cn Yr' . r .000.000) . -...1 1 ,.,,....:,X ps, ,,lip- , -•• ‘/ / , •s , , -, , a — • n_ 1 / I I I T---I • 9 I 4 ' z ! D w CO _... ,... / , IMM11=111 .,.._ , 51, 5/01,1) M.!•1 < 1 ..--.—.- ''', + • ,valizr .tpusgrwrolIPOPIN 1 0,., PROJECT D TA I Properly his. Getway Communes Church A... 2221 81.11378 ye..Toes 73008 Legal Osecripton- 0..Cornmslity Ceurciler.SeS i Va.Me.Pape 4203 Land.. 128 Acres 18.8,888..8,) i tendes.Pews 206,103 8 F. Lend Area Serowe. 31.4% EXHIBIT"B" I g T.IriLki V am=It all L8450.18,i8. Conceptual Plan i 11 Beeond floor 28.3 3 F. .14414 - - 1.1.01.118.1.111. OWNER INFORMATION (8.,eenese,). 2280 Beets(1 so..se.) nere 011) MASTER SITE PLAN Repui. MS.. r) 18T1'8818.. 670 Spoor OAIEWAY COMMUNSY CHURCH Blake Switter.Pastor ,,,,,T. SCALE:1•A 40,0. NI Nenceees Opeese Required 12 Fl Cessess.8.2‘....H....12m.pm.sed 12 H C.loom(Includes 2 Vert ma.) Mils TX 75098 Gee.Zoning A . •pec.re r MAR 10 20H'-' A1.1 gI_ ag III g yyy g4 pp rR �4 ,rej 'a, se., 44 `ks a.P.7p ., 'X„ 1 " \ d 5 p c 7f 7711 -'�� C,�. - - .�-=�'�iI ��' .an.m L as 4e sera 63 -- ,,, iiitr;' 2 --_�--�— �'—�— fir•. I_ lire.----- . ". — —*LW_.--1011_ I. 1 --------- _________..,------- -....... "•_,....._ ___;__---- _, ------ijai-_ ..Iam- 1.&_:i1•Imv.....jmn.ljro...I§gll'Ttu'.---0110-imarmi ,c . ...------------- ._ .,,....„_________,_„--,....,„ ,,,-,,, ,,),41,1„., w.,,,....„__ ) ,____, 1 # :.,,-. r _. 1111 F4111pimiviw\.. 7,:- [ reil"--1,H, I - .4Aii_g4 73 NOT FOR Ii■■� ;�■■■I ui■O_, .,,.ioi: `1 ,_o, REGIRSTORT pFnMrrrnm. 1111. ,. �L--, se. !� -�; N, coxem�w px nig till; - -%�� %/ I '�Li t % �6S! f/F `14 /)sueIlk ,„......m " ' 'C . _ , -, .y4atg01/5 .r.ifit*°- ��a■V`�/, ill �'� LPL I■® �' see �` 03 ilikkii, .. ... __el , /al _ ;,..._._.:.,_.1 ._ i_____....--Las76 sem/66i M CO � Si /44,,95 p III ern } G W �kJ4�Illj'��r=� I N ke444/111111111141111.45111M1h I lig fi,•Ni OF ----',,____________. , . liginf wogs I..,,,,,, 1 572- Y q7 s6 x6� 1 � 7,�`_��C : I , yRy '� "�892',. �'� ��FF.]7�� 11 x W i 2 0 i 9 7 6 5 fI 13 t2 if 10 9 3 PROJECT DATA Properly Nam" OaYwY Corns.*CMFd1 Mar: 3221 R11376 WNW Tem76046 EXHIBIT"C" 1 I : Oa.a4'Caaa.SyCl ad of Mu NN Conceptual Plan 8 VaWm 5654.Pap e303 i wd .w.: u.e w.c6fe,ex 9.F.1 e4444 Total BaiLN SNFA.a 13,766 S.F. amlw refaav("F _ _ OWNER INFORMATION Isms TaW Flora 1 She Nee 880I1 B.F. GATEWAY COMMUTod Ras 1 Lat0654,6 ous NRY CHURCH alb PHASE 1 SITE PLAN d01 �"" "'Me a,„ .»om" VLF SCALE:1•=5V-0' 7/64556 Rosin. 136 Spree perlaM RON6pe et Specs.n Nora" 5V56e,11(MOO mm6.8ps40 RapuVa6 3H.S.ya® Al.2 Maas Spaces o Fmw6M 3R pa C.ace Zvi, AVION.. EXHIBIT "D" Plan Development Conditions For Gateway Community Church Located at 2201 FM 1378 1. The purpose of the Planned Development District is intended to provide for a non- residential use within a residentially zoned district. Articles, Sections and Figures specified herein refer to City of Wylie Zoning Ordinance dated July 2007. 2. Gateway Community Church shall be designated as a Planned Development District subject to Article 6, "Special Purpose and Overlay Districts", with a base zoning pursuant to Article 3, Section 3.1(A) Agricultural District AG/30 (PD-AG/30). 3. The requirements of Figure 3-1 shall be adopted, except as shown on the Site Plan and/or as noted herein: a. Main structures shall not exceed a height of 45 feet; b. Accessory structures, such as a campanile, bell tower, spire, or similar architectural appurtenances shall not exceed a height of 90 feet. c. Minimum front yard setback of 25 feet; d. Minimum side and rear yard setback of 10 feet. 4. The tract, when developed as a Church/House of Worship shall be exempt from Section 3.4, "Residential Design Standards", and developed in accordance with Section 4.3, "Nonresidential Design Standards", Figure 4-6 Site Design Requirements, Figure 4-7 Landscaping Design Requirements and Figure 4-8 Architectural Design Requirements in the Zoning Ordinance of the City of Wylie with the following exceptions: A. Site Design Requirements (1) Front facade oriented to the street not required. B. Landscaping Design Requirements (1) Landscaping in front, rear and side yards shall only be required within 100 feet of any structure or paving. C. Architectural Design Requirements (1) Concrete tilt wall construction with textured finish is permissible to allow for future expansion. All permanent exterior walls shall be constructed with at least 20% stone, brick, or cast stone. (2) Roofs shall be either built-up with a parapet, composition with laminate shingles, or pre-finished metal. 5. The following uses shall be permitted by right as functions of the PD: a. Church/House of Worship b. Single Family Dwelling, Detached in accordance with Figure 3.1 AG/30 District. c. School (Public or Private) Elementary d. School (Public or Private) Secondary e. Day Care Facility. 6. Listed uses by Specific Use Permit are allowed as set forth in Section 5.1 Use Regulations, Figure 5-3 Land Use Tables. 1 of 2 EXHIBIT "D" Plan Development Conditions For Gateway Community Church Located at 2201 FM 1378 7. All mechanical units located on the roof of a building shall be screened from view. 8. Construction of the structures included in the site plan shall be completed in phases as indicated on the site plan but not limited to the numerical order in which they are labeled. 9. Landscape and Irrigation shall be in accordance with Article 7, "General Development Regulations", Section 7.7, "Landscape Requirements". 10. Signage may include one monument along FM 1378, on-building identification as indicated on elevation drawings, and directional signage. 11. A Final Site Plan shall be required for each phase of development and approved by the Planning and Zoning Commission. 2 of 2 Wylie City Council CITY OF WYLIE AGENDA REPORT Meeting Date: April 22, 2008 Item Number: C Department: Police Department (City Secretary's Use Only) Prepared By: Chief John Duscio Account Code: Date Prepared: April 15, 2008 Budgeted Amount: Exhibits: 1 Subject Consider, and act upon, authorizing the Mayor to execute a Cooperative Agreement, in an amount not to exceed $49,982.49, between the City of Wylie and the U. S. Army Corps of Engineers for additional Law Enforcement Services at Lake Lavon for the term of May 18, 2008 through September 6, 2008. Recommendation A motion authorizing the Mayor to execute a Cooperative Agreement, in an amount not to exceed $49,982.49, between the City of Wylie and the U. S. Army Corps of Engineers for additional Law Enforcement Services at Lake Lavon for the term of May 18, 2008 through September 6, 2008. Discussion Each summer the U.S Army Corps of Engineers contracts with the City of Wylie to provide police officers to patrol the lake parks which are inside the city limits. The officers patrol East Fork Park, Avalon Park, the Corps office and spillway area, Lavonia Park, Motocross area, Mallard Park, Little Ridge Park, and Pebble Beach Park. The Corps of Engineers pays for all costs associated with the delivery of services including officers pay and benefits, administrative support, and mileage. The Corps also pays all costs associated with bringing in additional dispatchers on the weekend due to Lake Patrol activity. Approved By Initial Date Department Director JD 4- 5-08 ti 1 i City Manager 11/� '� lI it IC-3 Page 1 of 1 a�'��NT o �` ��cfl DEPARTMENT OF THE ARMY 4, x FORT WORTH DISTRICT, CORPS OF ENGINEERS PI LAVON LAKE OFFICE 3375 SKYVIEW DRIVE 'T,,, /`P WYLIE,TX 75098-5775 REPLY TO April 11, 2008 ATTENTION OF: CESWF-OD-LA Chief Jeff Butters Wylie Police Department 2000 N. Highway 78 Wylie, TX 75098-6043 Gentlemen: The enclosed Cooperative Agreement for Additional Law Enforcement Services, City of Wylie, Lavon Lake, Texas initiates Agreement no. COOPLAW-08WYLIE between the City of Wylie and the U.S. Army Corps of Engineers. This agreement is for the provision of additional law enforcement services from May 18, 2008 through September 06, 2008 for a sum not to exceed $49,982.49. If the agreement is satisfactory, please sign both copies keeping one for your records, and returning the other to the U.S. Army Corps of Engineers office at Lavon Lake. Sincerely, (/ /A ' il'7 Jame A. rphy Nat al Resource Manager Enclosure CF: CESWF-OD-TN CESWF-RM COOPERATIVE AGREEMENT BETWEEN THE UNrI'ED STATES OF AMERICA AND CITY OF WYLIE, TEXAS FOR THE PROVISION OF ADDITIONAL LAW ENFORCEMENT SERVICES This agreement, entered into by the U.S. Army Corps of Engineers, Fort Worth District (hereinafter referred to as the Corps) and City of Wylie (hereinafter referred to as the Cooperator), witnesseth that: WHEREAS, the construction of Lavon Lake (hereinafter called the "Project") was authorized by the Rivers and Harbors Act, Public Law 14, 71th Congress, approved 02 March 1945, and the provision of recreation resources in Lavon Project was authorized by Section 4 of the 1944 Flood Control Act, as ammended(16 U.S.C. 460d); and. WHEREAS, it is the responsibility of the Corps, in administering the Project lands, to provide the public with safe and healthful recreational opportunities; and WHEREAS, the Cooperator has the authority to enforce the state and local laws for City of Wylie, Texas on such lands, and WHEREAS, Section 120 of the Water Resources Development Act of 1976 (Public Law 94-587) authorizes the Corps to contract with states and their political subdivisions for the purpose of obtaining increased law enforcement services on project lands to meet needs during peak visitation periods; and WHEREAS, it is in the best interests of the Corps to obtain the assistance of the Cooperator in the enforcement of state and local laws on project lands. NOW, THEREFORE, the parties hereto mutually agree as follows: Article 1. Plan of Operation. (a) The Corps and the Cooperator have agreed to a Plan of Operation which describes the scope and extent of law enforcement services to be provided by the Cooperator in accordance with this agreement. Such Plan of Operation, as concurred in by the Cooperator, is attached hereto as Appendix A and made a part hereof. (b) It is recognized and understood that the Corps and the Cooperator may, at the request of either, renegotiate the Plan of Operation. The renegotiated Plan of Operation shall, upon written acceptance thereof by both parties, supersede Appendix A. Article 2. Obligations of the Cooperator. (a) The Cooperator agrees to furnish additional law enforcement services as follows: (1) Normal, emergency, or unanticipated enforcement of civil and criminal laws of the state and local jurisdiction on Project lands and waters without claim for reimbursement under this agreement. This agreement does not diminish or otherwise limit the existing law enforcement responsibilities of state or local law enforcement agencies. (2) The enforcement of the civil and criminal laws of the state and applicable local laws on project lands in accordance with the schedules and duties described in the Plan of Operation, with payment by the Corps in accordance with Article 3 of this agreement. (b) The Cooperator agrees to provide personnel, equipment, and supplies which are required in order to provide the law enforcement services requested by the Corps in accordance with subparagraph (a) above. (c) The Cooperator agrees to prepare a Daily Enforcement Log of a format provided or approved by the Corps and to submit this log to the Corps at least once a month throughout the effective period of the current Plan of Operation. (d) The Cooperator agrees to assign only those personnel who are qualified and trained pursuant to the requirements of state and local laws and regulations to undertake the law enforcement services to be provided under Article 2(a)(2). Where state and local standards for the qualifications of law enforcement personnel do not exist, the Cooperator will advise the Corps of the experience, qualifications and training of those personnel expected to be assigned law enforcement duties under this agreement and assign such duties to them only with the approval of the Corps. Article 3. Obligation of the Government. Subject to the availability of funds, the Corps agrees to pay the Cooperator for the total cost of the law enforcement services to be provided in accordance with the obligations agreed to be undertaken by the Cooperator in Article 2(a)(2), including the costs of operation and maintenance of such equipment as is required for the provision of such services identified in the Plan of Operation under Article 1. At the request of the Cooperator, partial payments may be made as the law enforcement services are performed based on billings as identified in the Plan of Operation under Article 1 and approved by the Corps. Article 4. Period of Services. The period of this agreement shall be from the date of execution until terminated by mutual agreement, or on written notice from either party to the other, as set forth in Articles 6 and 10. Article 5. Disputes (Jul 2002) FAR 52.233-01. (a) This contract is subject to the Contract Disputes Act of 1978, as amended (41 U.S.C. 601-613). (b) Except as provided in the Act, all disputes arising under or relating to this contract shall be resolved under this clause. (c) "Claim," as used in this clause, means a written demand or written assertion by one of the contracting parties seeking, as a matter of right, the payment of money in a sum certain, the adjustment or interpretation of contract terms, or other relief arising under or relating to this contract. A claim arising under a contract,unlike relating to that contract, is a claim that can be resolved under a contract clause that provides for the relief sought by the claimant. However, a written demand or written assertion by the contractor seeking the payment of money exceeding $50,000 is not a claim under the Act until certified as required by subparagraph (d)(2)below. A Voucher, invoice, or other routine request for payment that is not in dispute when submitted is not a claim under the Act. The submission may be converted to a claim under the Act, by complying with the submission and certification requirements of this clause, if it is disputed either as to liability or amount or is not acted upon in a reasonable time. (d) (1) A claim by the contractor shall be made in writing and submitted to the Contracting Officer for a written decision. A claim by the Government against the Contractor shall be subject to a written decision by the Contracting Officer. (2) For Contractor claims exceeding $50,000, the Contractor shall submit with the claim a certification that- (i) The claim is made in good faith; (ii) Supporting data are accurate and complete to the best of the Contractor's knowledge and belief; and (iii) The amount requested accurately reflects the contract adjustment for which the contractor believes the Government is liable. (3) (i) If the Contractor is an individual, the certification shall be executed by that individual. (ii) If the Contractor is not an individual, the certification shall be executed by- (A) A senior company official in charge at the contractor's plant or location involved; or (B) An officer or general partner of the Contractor having overall responsibility for the conduct of the Contractor's affairs. (e) For Contractor claims of$50,000 or less, the Contracting Officer must, if requested in writing by the Contractor, render a decision within 60 days of the request. For Contractor-certified claims over$50,000, the Contracting Officer must, within 60 days, decide the claim or notify the Contractor of the date by which the decision will be made. (f) The Contracting Officer's decision shall be final unless the Contractor appeals or files a suit as provided in the Act. (g) At the time a claim by the Contractor is submitted to the Contracting Officer or a claim by the Government is presented to the Contractor, the parties, by mutual consent, may agree to use alternative means of dispute resolution. When using alternated dispute resolution procedures, any claim, regardless of amount, shall be accompanied by the certification described in paragraph (d)(2) of this clause, and executed in accordance with paragraph (d)(3) of this clause. (h) The Government shall pay interest on the amount found due and unpaid from (1) the date the contracting Officer receives the claim (properly certified if required), of(2) the date payment otherwise would be due, if that date is later, until the date of payment. Simple interest on claims shall be paid at the rate, fixed by the Secretary of the Treasury as provided in the Act, which is applicable to the period during which the Contracting Officer receives the claim and then at the rate applicable for each 6-moth period as fixed by the Treasury Secretary during the pendency of the claim. (i) The Contractor shall proceed diligently with performance of this contract, pending final resolution of any request for relief, claim, appeal, or action arising under the contract, and comply with any decision of the Contracting Officer. Article 6. Default. In the event that either party to this agreement fails to meet any of its obligations hereunder, the other party may immediately terminate the whole or any part of this agreement. Such termination shall be effected by written notice of either party to the other. Article 7. Exclusion of Federal Employee Benefits. It is understood and agreed that the services to be provided by the Cooperator and its employees shall not be considered to fall within the scope of Federal employment, that the Cooperator and its employees shall not be considered as agents or employees of the Federal government, and that none of the benefits of Federal employment will be conferred under the terms of this agreement. Article 8. Release of Claims. To the extent permitted by law, the Cooperator agrees to hold and save the Corps, its officers, agents or employees, harmless from liability of any nature or kind, for or on account of any claims for damages that may arise during the performance of the law enforcement services by the Cooperator under this agreement. Article 9. Transfer or Assignment. The Cooperator shall not transfer or assign this agreement, nor any rights acquired thereunder, nor grant any interest, privilege, or license whatsoever in connection with this agreement without the approval of the Corps. Article 10. Termination for Convenience (Apr 1984) FAR52.249-04. The Corps or Cooperator may, on 30 days written notice, terminate this agreement, in whole or in part, when it is in the best interests of either party. If this agreement is so terminated, the Corps shall be liable only for payment in accordance with the payment provisions of this agreement for services rendered prior to the effective date of termination. Article 11. Equal Opportunity (Apr 2002) FAR 52.222-26. (a) If, during any 12-month period (including the 12 months preceding the award of this contract), the Contractor has been or is awarded nonexempt Federal contracts and/or subcontracts that have an aggregate value in excess of$10,000, the Contractor shall comply with subparagraphs (b)(1) through (11)below. Upon request, the Contractor shall provide information necessary to determine the applicability of this clause. (b) During performing this contract, the Contractor agrees as follows: (1) The Contractor shall not discriminate against any employee or applicant for employment because of race, color, religion, sex, or national origin. (2) The Contractor shall take affirmative action to ensure that applicants are employed, and that employees are treated during employment, without regard to their race, color, religion, sex, or national origin. This shall include, but not be limited to (i) employment, (ii) upgrading, (iii) demotion, (iv) transfer, (v) recruitment or recruitment advertising, (vi) layoff or termination, (vii)rates of pay or other forms of compensation, and (viii) selection for training, including apprenticeship. (3) The Contractor shall post in conspicuous places available to employees and applicants for employment the notices to be provided by the Contracting Officer that explain this clause. (4) The contractor shall, in all solicitations or advertisements for employees placed by or on behalf of the Contractor, state that all qualified applicants will receive consideration for employment without regard to race, color, religion, sex, or national origin. (5) The Contractor shall send, to each labor union or representative of workers with which it has a collective bargaining agreement or other contract or understanding, the notice to be provided by the Contracting Officer advising the labor union or workers' representative of the Contractor's commitments under this clause, and post copies of the notice in conspicuous places available to employees and applicants for employment. (6) The Contractor shall comply with Executive Order 11246, as amended, and the rules, regulations, and order of the Secretary of Labor. (7) The Contractor shall furnish to the contracting agency all information required by Executive Order 11246, as amended, and by the rules, regulations , and orders of the Secretary of Labor. Standard Form 100 (EEO-1), or any successor form, is the prescribed form to be filed within 30 days following the award, unless filed within 12 months preceding the date of award. (8) The Contractor shall permit access to its books, records, and accounts by the contracting agency or the Office of Federal Contract Compliance Programs (OFCCP) for the purposes of investigation to ascertain the Contractor's compliance with the applicable rules, regulations, and orders. (9) If the OFCCP determines that the Contractor is not in compliance with this clause or any rule, regulation, or order of the Secretary of Labor, this contract may be canceled, terminated, or suspended in whole or in part and the Contractor may be declared ineligible for further Government contracts, under the procedures authorized in Executive Order 11246, as amended. In addition, sanctions may be imposed and remedies invoked against the Contractor as provided in Executive Order 11246, as amended, the rules, regulations, and orders of the Secretary of Labor, or as otherwise provided by law. (10) The Contractor shall include the terms and conditions of subparagraph (b)(1) through (11) of this clause in every subcontract or purchase order that is not excepted by the rules, regulations, or orders of the Secretary of Labor issued under Executive Order 11246, as amended, so that these terms and conditions will be binding upon each subcontractor or vendor. (11) The Contractor shall take such action with respect to any subcontract or purchase order as the contracting agency may direct as a means of enforcing these terms and condition, including sanctions for noncompliance; provided, that if the Contractor becomes involved in, or is threatened with, litigation with a subcontractor or vendor as a result of any direction, the Contractor may request the United States to enter into the litigation to protect the interests of the United States. (c) Notwithstanding any other clause in this contract, disputes relative to this clause will be governed by the procedures in 41 CFR 60-1.1. Article 12. Gratuities (Apr 1984) FAR 52.203-311. (a) The right of the Contractor to proceed may be terminated by written notice if, after notice and hearing, the agency head or a designee determines that the Contractor, its agent, or another representative- (1) Offered or gave a gratuity(e.g., an entertainment or gift) to an officer, official, or employee of the Government; and (2) Intended, by the gratuity, to obtain a contract or favorable treatment under a contract. (b) The facts supporting this determination may be reviewed by any court having lawful jurisdiction. (c) If this contract is terminated under paragraph (a) above, the Government is entitled- (1) To pursue the same remedies as in a breach of the contract; and (2) In addition to any other damages provided by law, to exemplary damages of not less than 3 nor more than 10 times the cost incurred by the Contractor in giving gratuities to the person concerned, as determined by the agency head or a designee. (This subparagraph (c)(2) is applicable only if this contract uses money appropriated to the Department of Defense.) (d) The rights and remedies of the Government provided in this clause shall not be exclusive and are in addition to any other rights and remedies provided by law or under this contract. Article 13. Examination of Records by Comptroller General. The Cooperator agrees that the Comptroller General of the United States or any of his duly authorized representatives shall, until the expiration of three years after final payment under this agreement or such less time specified in Appendix M of the Defense Acquisition Regulation have access to and the right to examine any directly pertinent books, documents, papers, and records of the Cooperator involving transactions related to this agreement. Article 14. Audit by Department of Defense. Upon request, the Cooperator shall provide, and the Corps shall have the right to examine, books, records, documents, and other evidence of accounting procedures and practices, sufficient to reflect properly all direct and indirect costs of whatever nature claimed to have been incurred and anticipated to be incurred for the performance of this agreement. Article 15. Service Contract Act of 1965, as Amended(Jul 2005) FAR 52.222-41 (a)Definitions. "Act," as used in this clause, means the Service Contract Act of 1965, as amended (41 U.S.C. 351, et seq.). "Contractor," as used in this clause or in any subcontract, shall be deemed to refer to the subcontractor, except in the term "Government Prime Contractor." "Service employee," as used in this clause, means any person engaged in the performance of this contract other than any person employed in a bona fide executive, administrative, or professional capacity, as these terms are defined in Part 541 of Title 29, Code of Federal Regulations, as revised. It includes all such persons regardless of any contractual relationship that may be alleged to exist between a Contractor or subcontractor and such persons. (b)Applicability. This contract is subject to the following provisions and to all other applicable provisions of the Act and regulations of the Secretary of Labor(29 CFR Part 4). This clause does not apply to contracts or subcontracts administratively exempted by the Secretary of Labor or exempted by 41 U.S.C. 356, as interpreted in Subpart C of 29 CFR Part 4. (c) Compensation. (1) Each service employee employed in the performance of this contract by the Contractor or any subcontractor shall be paid not less than the minimum monetary wages and shall be furnished fringe benefits in accordance with the wages and fringe benefits determined by the Secretary of Labor, or authorized representative, as specified in any wage determination attached to this contract. (2) (i) If a wage determination is attached to this contract, the Contractor shall classify any class of service employee which is not listed therein and which is to be employed under the contract (i.e., the work to be performed is not performed by any classification listed in the wage determination) so as to provide a reasonable relationship (i.e., appropriate level of skill comparison) between such unlisted classifications and the classifications listed in the wage determination. Such conformed class of employees shall be paid the monetary wages and furnished the fringe benefits as are determined pursuant to the procedures in this paragraph (c). (ii) This conforming procedure shall be initiated by the Contractor prior to the performance of contract work by the unlisted class of employee. The Contractor shall submit Standard Form (SF) 141/1, Request For Authorization of Additional Classification and Rate, to the Contracting Officer no later than 30 days after the unlisted class of employee performs any contract work. The Contracting Officer shall review the proposed classification and rate and promptly submit the completed SF 1444(which must include information regarding the agreement or disagreement of the employees' authorized representatives or the employees themselves together with the agency recommendation), and all pertinent information to the Wage and Hour Division, Employment Standards Administration, U.S. Department of Labor. The Wage and Hour Division will approve, modify, or disapprove the action or render a final determination in the event of disagreement within 30 days of receipt or will notify the Contracting Officer within 30 days of receipt that additional time is necessary. (iii) The final determination of the conformance action by the Wage and Hour Division shall be transmitted to the Contracting Officer who shall promptly notify the Contractor of the action taken. Each affected employee shall be furnished by the Contractor with a written copy of such determination or it shall be posted as a part of the wage determination. (iv) (A)The process of establishing wage and fringe benefit rates that bear a reasonable relationship to those listed in a wage determination cannot be reduced to any single formula. The approach used may vary from wage determination to wage determination depending on the circumstances. Standard wage and salary administration practices which rank various job classifications by pay grade pursuant to point schemes or other job factors may, for example,be relied upon. Guidance may also be obtained from the way different jobs are rated under Federal pay systems (Federal Wage Board Pay System and the General Schedule) or from other wage determinations issued in the same locality. Basic to the establishment of any conformable wage rate(s) is the concept that a pay relationship should be maintained between job classifications based on the skill required and the duties performed. (B) In the case of a contract modification, an exercise of an option, or extension of an existing contract, or in any other case where a Contractor succeeds a contract under which the classification in question was previously conformed pursuant to paragraph (c) of this clause, a new conformed wage rate and fringe benefits may be assigned to the conformed classification by indexing (i.e., adjusting) the previous conformed rate and fringe benefits by an amount equal to the average (mean) percentage increase (or decrease, where appropriate) between the wages and fringe benefits specified for all classifications to be used on the contract which are listed in the current wage determination, and those specified for the corresponding classifications in the previously applicable wage determination. Where conforming actions are accomplished in accordance with this paragraph prior to the performance of contract work by the unlisted class of employees, the Contractor shall advise the Contracting Officer of the action taken but the other procedures in subdivision (c)(2)(ii) of this clause need not be followed. (C) No employee engaged in performing work on this contract shall in any event be paid less than the currently applicable minimum wage specified under section 6(a)(1) of the Fair Labor Standards Act of 1938, as amended. (v) The wage rate and fringe benefits finally determined under this subparagraph (c)(2) of this clause shall be paid to all employees performing in the classification from the first day on which contract work is performed by them in the classification. Failure to pay the unlisted employees the compensation agreed upon by the interested parties and/or finally determined by the Wage and Hour Division retroactive to the date such class of employees commenced contract work shall be a violation of the Act and this contract. (vi) Upon discovery of failure to comply with subparagraph (c)(2) of this clause, the Wage and Hour Division shall make a final determination of conformed classification, wage rate, and/or fringe benefits which shall be retroactive to the date such class or classes of employees commenced contract work. (3)Adjustment of compensation. If the term of this contract is more than 1 year, the minimum monetary wages and fringe benefits required to be paid or furnished thereunder to service employees under this contract shall be subject to adjustment after 1 year and not less often than once every 2 years, under wage determinations issued by the Wage and Hour Division. (d) Obligation to furnish fringe benefits. The Contractor or subcontractor may discharge the obligation to furnish fringe benefits specified in the attachment or determined under subparagraph (c)(2) of this clause by furnishing equivalent combinations of bona fide fringe benefits, or by making equivalent or differential cash payments, only in accordance with Subpart D of 29 CFR Part 4. (e)Minimum wage. In the absence of a minimum wage attachment for this contract, neither the Contractor nor any subcontractor under this contract shall pay any person performing work under this contract (regardless of whether the person is a service employee) less than the minimum wage specified by section 6(a)(1) of the Fair Labor Standards Act of 1938. Nothing in this clause shall relieve the Contractor or any subcontractor of any other obligation under law or contract for payment of a higher wage to any employee. (f) Successor contracts. If this contract succeeds a contract subject to the Act under which substantially the same services were furnished in the same locality and service employees were paid wages and fringe benefits provided for in a collective bargaining agreement, in the absence of the minimum wage attachment for this contract setting forth such collectively bargained wage rates and fringe benefits, neither the Contractor nor any subcontractor under this contract shall pay any service employee performing any of the contract work(regardless of whether or not such employee was employed under the predecessor contract), less than the wages and fringe benefits provided for in such collective bargaining agreement, to which such employee would have been entitled if employed under the predecessor contract, including accrued wages and fringe benefits and any prospective increases in wages and fringe benefits provided for under such agreement. No Contractor or subcontractor under this contract may be relieved of the foregoing obligation unless the limitations of 29 CFR 4.1b(b) apply or unless the Secretary of Labor or the Secretary's authorized representative finds, after a hearing as provided in 29 CFR 4.10 that the wages and/or fringe benefits provided for in such agreement are substantially at variance with those which prevail for services of a character similar in the locality, or determines, as provided in 29 CFR 4.11, that the collective bargaining agreement applicable to service employees employed under the predecessor contract was not entered into as a result of arm's length negotiations. Where it is found in accordance with the review procedures provided in 29 CFR 4.10 and/or 4.11 and Parts 6 and 8 that some or all of the wages and/or fringe benefits contained in a predecessor Contractor's collective bargaining agreement are substantially at variance with those which prevail for services of a character similar in the locality, and/or that the collective bargaining agreement applicable to service employees employed under the predecessor contract was not entered into as a result of arm's length negotiations, the Department will issue a new or revised wage determination setting forth the applicable wage rates and fringe benefits. Such determination shall be made part of the contract or subcontract, in accordance with the decision of the Administrator, the Administrative Law Judge, or the Board of Service Contract Appeals, as the case may be, irrespective of whether such issuance occurs prior to or after the award of a contract or subcontract(53 Comp. Gen. 401 (1973)). In the case of a wage determination issued solely as a result of a finding of substantial variance, such determination shall be effective as of the date of the final administrative decision. (g)Notification to employees. The Contractor and any subcontractor under this contract shall notify each service employee commencing work on this contract of the minimum monetary wage and any fringe benefits required to be paid pursuant to this contract, or shall post the wage determination attached to this contract. The poster provided by the Department of Labor (Publication WH 1313) shall be posted in a prominent and accessible place at the worksite. Failure to comply with this requirement is a violation of section 2(a)(4) of the Act and of this contract. (h) Safe and sanitary working conditions. The Contractor or subcontractor shall not permit any part of the services called for by this contract to be performed in buildings or surroundings or under working conditions provided by or under the control or supervision of the Contractor or subcontractor which are unsanitary, hazardous, or dangerous to the health or safety of the service employees. The Contractor or subcontractor shall comply with the safety and health standards applied under 29 CFR Part 1925. (i) Records. (1) The Contractor and each subcontractor performing work subject to the Act shall make and maintain for 3 years from the completion of the work, and make them available for inspection and transcription by authorized representatives of the Wage and Hour Division, Employment Standards Administration, a record of the following: (i) For each employee subject to the Act-- (A) Name and address and social security number; (B) Correct work classification or classifications, rate or rates of monetary wages paid and fringe benefits provided, rate or rates of payments in lieu of fringe benefits, and total daily and weekly compensation; (C) Daily and weekly hours worked by each employee; and (D) Any deductions, rebates, or refunds from the total daily or weekly compensation of each employee. (ii) For those classes of service employees not included in any wage determination attached to this contract, wage rates or fringe benefits determined by the interested parties or by the Administrator or authorized representative under the terms of paragraph (c) of this clause. A copy of the report required by subdivision (c)(2)(ii) of this clause will fulfill this requirement. (iii) Any list of the predecessor Contractor's employees which had been furnished to the Contractor as prescribed by paragraph (n) of this clause. (2) The Contractor shall also make available a copy of this contract for inspection or transcription by authorized representatives of the Wage and Hour Division. (3) Failure to make and maintain or to make available these records for inspection and transcription shall be a violation of the regulations and this contract, and in the case of failure to produce these records, the Contracting Officer, upon direction of the Department of Labor and notification to the Contractor, shall take action to cause suspension of any further payment or advance of funds until the violation ceases. (4) The Contractor shall permit authorized representatives of the Wage and Hour Division to conduct interviews with employees at the worksite during normal working hours. (j) Pay periods. The Contractor shall unconditionally pay to each employee subject to the Act all wages due free and clear and without subsequent deduction (except as otherwise provided by law or regulations, 29 CFR Part 4), rebate, or kickback on any account. These payments shall be made no later than one pay period following the end of the regular pay period in which the wages were earned or accrued. A pay period under this Act may not be of any duration longer than semi-monthly. (k) Withholding of payments and termination of contract. The Contracting Officer shall withhold or cause to be withheld from the Government Prime Contractor under this or any other Government contract with the Prime Contractor such sums as an appropriate official of the Department of Labor requests or such sums as the Contracting Officer decides may be necessary to pay underpaid employees employed by the Contractor or subcontractor. In the event of failure to pay any employees subject to the Act all or part of the wages or fringe benefits due under the Act, the Contracting Officer may, after authorization or by direction of the Department of Labor and written notification to the Contractor, take action to cause suspension of any further payment or advance of funds until such violations have ceased. Additionally, any failure to comply with the requirements of this clause may be grounds for termination of the right to proceed with the contract work. In such event, the Government may enter into other contracts or arrangements for completion of the work, charging the Contractor in default with any additional cost. (1) Subcontracts. The Contractor agrees to insert this clause in all subcontracts subject to the Act. (m) Collective bargaining agreements applicable to service employees. If wages to be paid or fringe benefits to be furnished any service employees employed by the Government Prime Contractor or any subcontractor under the contract are provided for in a collective bargaining agreement which is or will be effective during any period in which the contract is being performed, the Government Prime Contractor shall report such fact to the Contracting Officer, together with full information as to the application and accrual of such wages and fringe benefits, including any prospective increases, to service employees engaged in work on the contract, and a copy of the collective bargaining agreement. Such report shall be made upon commencing performance of the contract, in the case of collective bargaining agreements effective at such time, and in the case of such agreements or provisions or amendments thereof effective at a later time during the period of contract performance such agreements shall be reported promptly after negotiation thereof. (n) Seniority list. Not less than 10 days prior to completion of any contract being performed at a Federal facility where service employees may be retained in the performance of the succeeding contract and subject to a wage determination which contains vacation or other benefit provisions based upon length of service with a Contractor(predecessor) or successor(29 CFR 4.173), the incumbent Prime Contractor shall furnish the Contracting Officer a certified list of the names of all service employees on the Contractor's or subcontractor's payroll during the last month of contract performance. Such list shall also contain anniversary dates of employment on the contract either with the current or predecessor Contractors of each such service employee. The Contracting Officer shall turn over such list to the successor Contractor at the commencement of the succeeding contract. (o)Rulings and interpretations. Rulings and interpretations of the Act are contained in Regulations, 29 CFR Part 4. (p) Contractor's certification. (1) By entering into this contract, the Contractor(and officials thereof) certifies that neither it (nor he or she) nor any person or firm who has a substantial interest in the Contractor's firm is a person or firm ineligible to be awarded Government contracts by virtue of the sanctions imposed under section 5 of the Act. (2) No part of this contract shall be subcontracted to any person or firm ineligible for award of a Government contract under section 5 of the Act. (3) The penalty for making false statements is prescribed in the U.S. Criminal Code, 18 U.S.C. 1001. (q) Variations, tolerances, and exemptions involving employment. Notwithstanding any of the provisions in paragraphs (b) through (o) of this clause, the following employees may be employed in accordance with the following variations, tolerances, and exemptions, which the Secretary of Labor, pursuant to section 4(b) of the Act prior to its amendment by Pub.L.92-473, found to be necessary and proper in the public interest or to avoid serious impairment of the conduct of Government business: (1) Apprentices, student-learners, and workers whose earning capacity is impaired by age, physical or mental deficiency, or injury may be employed at wages lower than the minimum wages otherwise required by section 2(a)(1) or 2(b)(1) of the Act without diminishing any fringe benefits or cash payments in lieu thereof required under section 2(a)(2) of the Act, in accordance with the conditions and procedures prescribed for the employment of apprentices, student-learners, handicapped persons, and handicapped clients of sheltered workshops under section 14 of the Fair Labor Standards Act of 1938, in the regulations issued by the Administrator(29 CFR Parts 520, 521, 524, and 525). (2) The Administrator will issue certificates under the Act for the employment of apprentices, student-learners, handicapped persons, or handicapped clients of sheltered workshops not subject to the Fair Labor Standards Act of 1938, or subject to different minimum rates of pay under the two acts, authorizing appropriate rates of minimum wages (but without changing requirements concerning fringe benefits or supplementary cash payments in lieu thereof), applying procedures prescribed by the applicable regulations issued under the Fair Labor Standards Act of 1938 (29 CFR Parts 520, 521, 524, and 525). (3) The Administrator will also withdraw, annul, or cancel such certificates in accordance with the regulations in 29 CFR Parts 525 and 528. (r)Apprentices. Apprentices will be permitted to work at less than the predetermined rate for the work they perform when they are employed and individually registered in a bona fide apprenticeship program registered with a State Apprenticeship Agency which is recognized by the U.S. Department of Labor, or if no such recognized agency exists in a State, under a program registered with the Office of Apprenticeship Training, Employer, and Labor Services (OATELS), U.S. Department of Labor. Any employee who is not registered as an apprentice in an approved program shall be paid the wage rate and fringe benefits contained in the applicable wage determination for the journeyman classification of work actually performed. The wage rates paid apprentices shall not be less than the wage rate for their level of progress set forth in the registered program, expressed as the appropriate percentage of the journeyman's rate contained in the applicable wage determination. The allowable ratio of apprentices to journeymen employed on the contract work in any craft classification shall not be greater than the ratio permitted to the Contractor as to his entire work force under the registered program. (s) Tips. An employee engaged in an occupation in which the employee customarily and regularly receives more than $30 a month in tips may have the amount of these tips credited by the employer against the minimum wage required by section 2(a)(1) or section 2(b)(1) of the Act, in accordance with section 3(m) of the Fair Labor Standards Act and Regulations, 29 CFR Part 531. However, the amount of credit shall not exceed$1.34 per hour beginning January 1, 1981. To use this provision -- (1) The employer must inform tipped employees about this tip credit allowance before the credit is utilized; (2) The employees must be allowed to retain all tips (individually or through a pooling arrangement and regardless of whether the employer elects to take a credit for tips received); (3) The employer must be able to show by records that the employee receives at least the applicable Service Contract Act minimum wage through the combination of direct wages and tip credit; and (4) The use of such tip credit must have been permitted under any predecessor collective bargaining agreement applicable by virtue of section 4(c) of the Act. (t)Disputes concerning labor standards. The U.S. Department of Labor has set forth in 29 CFR Parts 4, 6, and 8 procedures for resolving disputes concerning labor standards requirements. Such disputes shall be resolved in accordance with those procedures and not the Disputes clause of this contract. Disputes within the meaning of this clause include disputes between the Contractor(or any of its subcontractors) and the contracting agency, the U.S. Department of Labor, or the employees or their representatives. Article 16. Any changes in the provisions of this agreement, which are necessary and proper will be made by formal amendment signed by both parties. IN WITNESS WHEREOF, the parties hereto have executed this agreement as of the day and year first written above. U.S. ARMY CORPS OF ENGINEERS CITY OF WYLIE FORT WORTH DISTRICT BY: BY: June Wohlbach John Moody, Mayor Contracting Officer City of Wylie DATE: DATE: RESUME OF NEGOTIATIONS On 16 January 2008, Trinity Project Recreation Specialist James Murphy contacted Lt. Mike Atchinson concerning an agreement for additional surveillance by the Wylie Police Department at Lavon Lake during the summer of 2008. The proposed schedule of services would be for approximately 816 hours of surveillance. The City Manager approved a Resolution Order for consideration and approval of request that the City of Wylie enter into an agreement with the U. S. Army Corps of Engineers for law enforcement services around Lavon Lake. The City Auditor computed the hourly rate to be $ 61.25 per man-hour as shown in the projection of costs for the contract. The projection of costs is based on 816 hours total using one or two patrol officers each week as scheduled, including all required equipment. Wylie officials agree with the Lake Manager that additional law enforcement surveillance is needed at Lavon Lake and that this additional surveillance is only possible by contract. The Wylie Police Department will continue to answer calls and provide the existing level of surveillance without compensation. a 14 Pr 2:J2S JAME A. URP Date JEFF BUTTERS Date Natura Resou anager Chief Lavon ake Office Wylie Police Department WYLIE POLICE DEPARTMENT 2008 LAKE PATROL CALCULATIONS Patrol Officers: 816 hours x $39.20 (avg. o/t rate) $31,987.20 Supervisor: 15 Hours x $60.54 (Lt. Atkinson's rate) $ 908.10 Clerical Support: 20 Hours x $18.68 $ 373.60 Dispatcher: (weekend only) 137 hours x $28.30 $3,877.10 FICA /Medicare: 0.0765 x $37,146.00 $2,841.67 Liability Insurance: (Police Officers) 0.31 x 816 $ 252.96 TMRS: (retirement system) .089 x $37,146.00 $ 3,305.99 Workers Compensation: .0505 x $37,146.00 $ 1,875.87 Vehicle Allowance: (estimated mileage) 9500 x $.48 $ 4,560.00 Total: $ 49,982.49 $49,982.49 / 816 hours = $61.25 per hour Appendix A 1. The Wylie Police Department agrees to provide supplemental law enforcement services (enforcement of state criminal and civil laws and local criminal and civil laws above and beyond normal coverage) on U.S. Government Property within Wylie City Limits at Lavon Lake. Standard surveillance will be concentrated primarily in developed park areas. Standard surveillance will include vehicular patrol of the areas listed below and other areas of government property as requested by Corps Personnel (e.g. outlying areas of government property within the Wylie city limits experiencing problems with off-road vehicles, etc.). Lavon Lake: East Fork Park, Avalon Park, Lake Office and Spillway area, Lavon Dam, Lavonia Park, Motocross Area, Mallard Park,Little Ridge Park, and Pebble Beach Park. 2. The Wylie Police Department agrees to provide the following law enforcement services: a. Patrol the areas listed in paragraph one. b. Maintain order in the park areas. c. Control traffic by visual observation and by the use of electronic radar units. d. Inform park users of federal, state, and local laws and regulations through personal contacts. e. Cite or arrest violators committing applicable offenses. f. Respond to calls for assistance by Corps of Engineer Park Rangers. 3. Patrols will begin on the first scheduled day shown on the patrol schedule after receiving notice that this agreement has been approved. 4. Wylie Officers will adjust their patrol schedules and routes to serve specific parks or other areas as requested by Corps personnel. Permanent park rangers may make temporary adjustments in patrol schedules and routes, as they deem necessary. 5. The Chief of Police and the Lavon Lake Manager will agree to and approve all permanent schedule adjustments. 6. Patrol officers will prepare a Daily Law Enforcement Log in accordance with the attached Appendix B format. The log will be completed in detail and submitted to Lavon Lake Office at the end of each week. Copies of arrest reports and accident reports (for arrests and accidents occurring on government property) will be submitted or faxed to the Lavon Lake Office as soon as possible. The fax number for the Lavon Lake Office is 972/442-1109. Copies of log sheets for Wylie Police Department records will be the responsibility of Wylie Police Department. 7. Wylie officers will remain in the lake area(in the parks and/or moving between parks or other areas of government property). If an emergency situation arises that makes it necessary for an officer to leave the lake area, that officer will, if possible, contact the permanent park ranger on duty and advise him or her of the situation. The officer will also note the time he or she left the lake area, the purpose for having to leave, and the time returned to the lake area on the Daily Law Enforcement Log. 8. All officers will wear the standard uniforms normally worn by the Wylie Police Department personnel. 9. All patrol vehicles will have the standard insignia and markings normally used by the Wylie Police Department. Patrol vehicles will also be equipped with standard law enforcement type lights, radios, and any other equipment necessary to perform the required services. The Wylie Police Department will furnish and maintain one portable radar unit for at least one patrol unit per shift. The Wylie Police Department will be responsible for all vehicle costs. This includes insurance, fuel, maintenance, and any other costs associated with the operation of each vehicle. 10. Officers will notify the permanent park ranger on duty of any accidents, fatalities, missing persons, or serious crimes that occur on government property. 11. The duration of this agreement will be for a total of 816 man-hours. The total cost(per the City of Wylie cost breakdown) for the time period indicated will be $49,982.49. ($ 61.25 /man-hour x 816 man-hours =$49,982.49) 12. The cost per patrol unit, for providing law enforcement services described in paragraph 2, will be$61.25 per man-hour. A patrol unit will consist of a vehicle, one certified law enforcement officer, and all the equipment necessary for the performance of the officer's duties. 13. The Wylie Police Department will provide the Lake Manager with a request for payment for reimbursable services performed each month. The request for payment will be based on the number of patrol hours involved. The request for payment must include the starting and ending dates of the billing period in question. The request for payment will be submitted no later than five calendar days after the close of the month being reported. Failure to meet the criteria mentioned above may result in delayed payment. The total cost of services provided during the term of this agreement may not exceed$49,982.49. 14. The following individuals are designated to issue and receive requests for reimbursable law enforcement services under this agreement: Corps of Engineers Representative James Murphy Lake Manager 3375 Skyview Drive Wylie,TX 75098 972/442-3141 Fax 972/442-1109 Wylie Police Department Representative Jeff Butters Chief of Police 2000 N. Hwy 78 Wylie, TX 75098 972/442-8171 15. The Lake Manager or his representative will conduct an orientation for all officers and supervisors that will be participating in this agreement. The purpose of this orientation will be to familiarize the law enforcement personnel with the policies and procedures of the Corps of Engineers and to familiarize Corps personnel with the functions and duties of the Wylie Police Department. If an officer begins providing the services of this agreement after the initial orientation,he or she will be required to meet with the Lake Manager or his representative before beginning work. 16. State and local law enforcement agencies generally have the same authority and responsibilities on U.S. Army Corps of Engineers' property as they do elsewhere in their respective jurisdictions. Therefore, requests by the Corps of Engineers for emergency law enforcement or responses by Wylie Police Department to situations occurring outside of the scope of this agreement will not be reimbursable. (E.g. officers responding to a call on government property after the scheduled patrol hours, officers working a call on government property and having to stay past the scheduled patrol time, etc.) 17. The initial patrol schedule will be as follows: Normal Schedule May 23 - September 06, 2008 Day Shift(s) No. of 1 Man Hours Units Monday 1800 - 2300 1 5 Tuesday 1800 - 2300 1 5 Wednesday 1800 - 2300 1 5 Thursday 1800 - 2300 1 5 Friday 1700 - 2300 1 6 Saturday 1200 - 2100 1 1400 - 2300 1 18 Sunday 1200 - 2100 1 1400 - 2300 1 18 Special Schedules* Date Shift(s) No. of 1 Man Units Hours May 26, 2008 1200-2100 1 18 1400-2300 1 July 4, 2008 1200— 2100 1 18 1400—2300 1 September 1, 2008 1300—2100 1 16 1500-2300 1 *Special Schedules replace normal schedules for dates indicated **Weekday (Monday-Thursday) patrol will be eliminated on Tuesday, 15 July 2008. Attachment 2 DAILY LAW ENFORCEMENT LOG For Reports Required Under Contract Number with the U. S. Army Corps of Engineers Contractor Project Officers Name(s) Date Period Worked on Government Property Total Number of Hours Number of Complaints Number of Arrests and Type of Complaint: May 2008 Sunday Monday Tuesday Wednesday Thursday Friday Saturday 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 6 18 25 26 27 28 29 30 31 18 18 5 5 5 6 18 99hrs. June 2008 Sunday Monday Tuesday Wednesday Thursday Friday Saturday 1 2 3 4 5 6 7 18 5 5 5 5 6 18 8 9 10 11 12 13 14 18 5 5 5 5 6 18 15 16 17 18 19 20 21 18 5 5 5 5 6 18 22 23 24 25 26 27 28 18 5 5 5 5 6 18 29 30 18 5 271 hrs. July 2008 Sunday Monday Tuesday Wednesday Thursday Friday Saturday 1 2 3 4 5 5 5 5 18 18 6 7 8 9 10 11 12 18 5 5 5 5 6 18 13 14 15 16 17 18 19 18 5 6 18 20 21 22 23 24 25 26 18 6 18 27 28 29 30 31 18 220 hrs. August 2008 Sunday Monday Tuesday Wednesday Thursday Friday Saturday 1 2 6 18 3 4 5 6 7 8 9 18 6 18 10 11 12 13 14 15 16 18 6 18 17 18 19 20 21 22 23 18 6 18 24 25 26 27 28 29 30 18 6 18 31 18 210 hrs. September 2008 Sunday Monday Tuesday Wednesday Thursday Friday Saturday 1 2 3 4 5 6 16 7 8 9 10 11 12 13 16 hrs. 816 Total Hrs. Wylie City Council CITY OF WYLIE AGENDA REPORT Meeting Date: April 22, 2008 Item Number: D (City Secretary's Use Only) Department: Finance Prepared By: Finance Account Code: Date Prepared: April 14, 2008 Budgeted Amount: Revenue and Expenditure Exhibits: Monthly Report Subject Consider, and place on file, the Monthly Revenue and Expenditure Reports for the period ending March 31, 2008. Recommendation Consider and place on file, the Monthly Revenue and Expenditure Reports for the period ending March 31, 2008. Discussion The Finance Department has prepared the attached reports for the City Council as required by the City Charter. Approved By Initial Date Department Director LW 4/ 4/08 City Manager ' . y L; D$ Page 1 of 1 CITY OF WYLIE MONTHLY FINANCIAL REPORT AS OF: MARCH 31, 2008 CURRENT YTD EXPECTED BUDGET YTD EXPECTED YTD ACTUAL OVER/(UNDER) ACCOUNT DESCRIPTION 2007-2008 2007-2008 2007-2008 YTD ACTUAL GENERAL FUND REVENUE SUMMARY TAXES 14,502,020 11,933,504.16 12,150,568.24 217,064 A FRANCHISE FEES 1,980,000 677,912.00 698,631.25 20,719 LICENSES AND PERMITS 977,750 450,749.80 323,484.85 -127,265 B INTERGOVERNMENTAL REV. 451,110 205,503.24 285,443.29 79,940 SERVICE FEES 2,282,140 1,141,070.00 1,141,711.30 641 FINES AND FORFEITURES 551,000 274,759.80 268,585.62 -6,174 INTEREST INCOME 250,000 190,000.00 190,829.26 829 MISCELLANEOUS INCOME 78,500 39,234.30 41,559.90 2,326 OTHER FINANCING SOURCES 455,000 492,741.73 492,741.73 0 TOTAL REVENUES 21,527,520 15,405,475 15,593,555 188,080 GENERAL FUND EXPENDITURE SUMMARY CITY COUNCIL 139,200 69,600.06 69,132.50 -468 CITY MANAGER 721,160 407,630.00 330,112.45 -77,518 CITY SECRETARY 254,176 127,088.22 114,779.46 -12,309 CITY ATTORNEY 133,000 66,500.02 77,276.98 10,777 FINANCE 678,460 339,230.02 334,261.57 -4,968 FLEET& FACILITIES SVC 243,300 121,650.00 139,855.64 18,206 MUNICIPAL COURT 328,818 164,409.12 143,133.00 -21,276 HUMAN RESOURCES 200,740 100,370.08 89,346.04 -11,024 PURCHASING 102,786 51,392.94 53,557.19 2,164 INFORMATION TECHNOLOGY 385,700 192,850.04 197,566.20 4,716 POLICE 4,468,740 2,234,356.11 2,152,142.83 -82,213 FIRE 4,562,352 2,181,176.06 2,119,692.10 -61,484 ANIMAL CONTROL 267,200 133,600.04 113,618.71 -19,981 PLANNING 407,020 203,509.96 155,079.25 -48,431 BUILDING INSPECTION 722,160 361,080.00 295,221.95 -65,858 CODE ENFORCEMENT 154,790 77,395.04 58,270.89 -19,124 STREETS 1,630,040 575,020.10 506,913.18 -68,107 PARKS 1,489,210 659,604.96 597,332.80 -62,272 RECREATION 338,845 76,729.48 71,215.62 -5,514 LIBRARY 709,106 354,552.92 381,584.42 27,032 COMBINED SERVICES 3,858,680 2,293,639.38 2,276,727.89 -16,911 TOTAL EXPENDITURES 21,795,483 10,791,385 10,276,821 -514,564 REVENUES OVER/(UNDER) EXPENDITURI -267,963 4,614,090 5,316,735 702,644 A.Additional Ad valorem revenue received to date in comparison to last year. B. New Dwelling Permit revenue appear to be lower than anticipated. CITY OF WYLI E MONTHLY FINANCIAL REPORT AS OF: MARCH 31, 2008 CURRENT YTD EXPECTED BUDGET YTD EXPECTED YTD ACTUAL OVER/(UNDER) ACCOUNT DESCRIPTION 2007-2008 2007-2008 2007-2008 YTD ACTUAL UTILITY FUND REVENUES SUMMARY SERVICE FEES 8,617,000 4,063,041.25 4,080,192.51 17,151 INTEREST INCOME 200,000 99,999.98 143,306.97 43,307 MISCELLANEOUS INCOME 30,000 15,000.00 24,565.50 9,566 OTHER FINANCING SOURCES 1,707,000 1,707,000.00 1,707,000.00 0 TOTAL REVENUES 10,554,000 5,885,041 5,955,065 70,024 UTILITY FUND EXPENDITURE SUMMARY UTILITY ADMINISTRATION 548,770 274,385.14 264,985.05 -9,400 UTILITIES-WATER 1,081,020 540,510.00 482,377.94 -58,132 CITY ENGINEER 455,226 227,613.06 207,957.94 -19,655 UTILITIES-SEWER 497,980 248,990.02 223,867.62 -25,122 UTILITY BILLING 774,914 309,477.12 308,499.76 -977 COMBINED SERVICES 7,297,620 4,403,426.11 4,403,426.11 0 TOTAL EXPENDITURES 10,655,530 6,004,401 5,891,114 -113,287 REVENUES OVER/(UNDER) EXPENDITURE -101,530 -119,360 63,951 183,311 Wylie City Council CITY OF WYLIE AGENDA REPORT 1 Meeting Date: April 22, 2008 Item Number: 1 Department: Finance (City Secretary's Use Only) Prepared By: Larry Williamson Account Code: N/A Date Prepared: Larry Williamson Budgeted Amount: CAFR, Management Letter and Finance Department Exhibits: Comments Subject Consider, and act upon, acceptance of the Comprehensive Annual Financial Report for FY 2006-2007 after presentation by the audit firm of Rutledge Crain and Company, PC. Recommendation Motion to accept the Comprehensive Annual Financial Report for FY 2006-2007 as presented by the audit firm of Rutledge Crain and Company, PC. Discussion The City Charter in Article VII, Municipal Finance, Section 13: Independent Audit requires that at the end of the fiscal year an independent audit be made of all accounts of the City by a certified public accountant. In compliance with the City Charter, our outside auditor Rutledge Crain & Company, PC, has performed an audit as of September 30, 2007. This is the fifth year for the audit to be performed by Rutledge Crain & Company, PC. Mr. Lewis Crain will briefly present the CAFR, including the Independent Auditors' Report, and answer any questions that the City Council may have regarding the report. It is worth noting that it is believed to be the first time in the City's history that the City has received a clean Management Letter from the Auditors. This is due in no small measure to the hard work of all departments including the WEDC and Councils support of the Finance Department. Approved By Initial Date Department Director LW 4-16-08 City Manager MV V ((� i‘""OCZ• Page 1 of 1 RUTLEDGE CRAIN & COMPANY, PC CERTIFIED PUBLIC ACCOUNTANTS 2401 Garden Park Court, Suite B Arlington, Texas 76013 April 14,2008 To the Members of the City Council City of Wylie, Texas In planning and performing our audit of the basic financial statements of the City of Wylie, Texas for the year ended September 30,2007,we considered its internal control in order to determine our auditing procedures for the purpose of expressing our opinion on the basic financial statements and not to provide assurance on the internal control. However, we noted no matters involving internal control and its operation that we consider to be reportable conditions under standards established by the American Institute of Certified Public Accountants. Reportable conditions involve matters coming to our attention relating to significant deficiencies in the design or operation of the internal control that,in our judgment,could adversely affect the City of Wylie's ability to record,process,summarize,and report financial data consistent with the assertions of management in the basic financial statements. A material weakness is a reportable condition in which the design or operation of one or more of the internal control components does not reduce to a relatively low level the risk that errors or fraud in amounts that would be material in relation to the basic financial statements being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions. Our consideration of internal control would not necessarily disclose all matters in internal control that might be reportable conditions and, accordingly, would not necessarily disclose all reportable conditions that are also considered to be material weaknesses as defined above. Other Matters The AICPA recently issued a suite of new auditing standards related to expanded audit procedures, which we will be required to follow as part of our audit of your financial statements for the years beginning after December 15, 2006 (i.e. the year ended September 30, 2008). The Auditing Standards Board(ASB)of the American Institute of Certified Public Accountants(AICPA) has issued eight new Statements on Auditing Standards (SASs) collectively referred to as the Risk Assessment Standards. • SAS No. 104,Amendment to Statement on Auditing Standards No. 1,Codification of Auditing Standards and Procedures("Due Professional Care in the Performance of Work") Members: Metro(817)265-9989 American Institute of Certified Public Accountants Fax(817)861-9623 Texas Society of Certified Public Accountants To the Members of the City Council April 14, 2008 Page 2 • SAS No. 105, Amendment to Statement on Auditing Standards No. 95, Generally Accepted Auditing Standards • SAS No. 106,Audit Evidence • SAS No. 107,Audit Risk and Materiality in Conducting an Audit • SAS No. 108,Planning and Supervision • SAS No. 109,Understanding the Entity and Its Environment and Assessing the Risks of Material Misstatement • SAS No. 110,Performing Audit Procedures in Response to Assessed Risks and Evaluating the Audit Evidence Obtained • SAS No. 111,Amendment to Statement on Auditing Standards No. 39, Audit Sampling These Statements establish standards and provide guidance concerning the auditor's assessment of the risks of material misstatement(whether caused by error or fraud)in a financial statement audit of non- SEC entities,and the design and performance of audit procedures whose nature,timing,and extent are responsive to the assessed risks. Additionally,the Statements establish standards and provide guidance on planning and supervision (audit risk and materiality), the nature of audit evidence, and evaluating whether the audit evidence obtained affords a reasonable basis for an opinion regarding the financial statements under audit. The primary objective of these standards is to enhance auditors'application of the audit risk model in practice by specifying, among other things: • More in-depth understanding of the entity and its environment,including its internal control,to identify the risks of material misstatement in the financial statements and what the entity is doing to mitigate them. • More rigorous assessment of the risks of where and how financial statements could be materially misstated based on that understanding. • Improved linkage between the auditor's assessed risks and the nature,timing,and extent of audit procedures performed in response to those risks. We anticipate that most audits will result in an overall increase in the effort by both the audited government and the audit team. Accordingly, in anticipation of audits for the year of implementation, we will continue to communicate expected changes in the audit process and ways in which you and your staff can assist in making the audit process as efficient as possible. We would be pleased to discuss the effects of this new standard on your financial statement preparation process. To the Members of the City Council April 14, 2008 Page 3 ••• The City's finance department devoted long hours in preparing for the audit and in assisting us during the audit by performing analysis and researching the numerous questions which came up during the audit. We want to express our thanks to the Finance Director, his staff, and all other members of the City staff for their assistance. ••• The foregoing conditions were considered in determining the nature,timing and extent of audit tests to be applied in our examination of the financial statements, and this report of such condition does not modify our report dated April 14, 2008 on such financial statements. We would be pleased to discuss our recommendations in more detail and to assist in implementing them at your request. This report is intended solely for the information and use of the City Council, management, and others within the administration and is not intended to be and should not be used by anyone other than these specified parties. This restriction is not intended to limit distribution of this report,which, upon acceptance is a matter of public record. Very truly yours, r -- cf- reir COMPREHENSIVE Annual Financial Report City of Wylie TEXAS For the Year Ended % ..... September 30, 2007 CITY OF WYLIE, TEXAS COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE YEAR ENDED SEPTEMBER 30, 2007 Prepared by Finance Department Larry Williamson, Finance Director Melissa Beard, Senior Accountant CITY OF WYLIE, TEXAS COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE YEAR ENDED SEPTEMBER 30, 2007 TABLE OF CONTENTS Page Exhibit/Table INTRODUCTORY SECTION Letter of Transmittal 1 GFOA Certificate of Achievement 5 Organizational Chart 6 List of Principal Officials 7 FINANCIAL SECTION Independent Auditors' Report on Financial Statements 11 Management's Discussion and Analysis (Required Supplementary Information) 15 Basic Financial Statements Government-wide Financial Statements: Statement of Net Assets 25 Exhibit A-1 Statement of Activities 26 Exhibit A-2 Fund Financial Statements: Balance Sheet-Governmental Funds 28 Exhibit A-3 Reconciliation of the Governmental Funds Balance Sheet to the Statement of Net Assets 31 Exhibit A-4 Statement of Revenues, Expenditures, and Changes in Fund Balances-Governmental Funds 32 Exhibit A-5 Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances of Governmental Funds to the Statement of Activities 35 Exhibit A-6 Statement of Net Assets- Proprietary Funds 36 Exhibit A-7 Statement of Revenues, Expenses, and Changes in Fund Net Assets- Proprietary Funds 37 Exhibit A-8 Statement of Cash Flows - Proprietary Funds 38 Exhibit A-9 Notes to the Financial Statements 39 Required Supplementary Information: Budgetary Comparison Schedules: General Fund 64 Exhibit B-1 CITY OF WYLIE, TEXAS COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE YEAR ENDED SEPTEMBER 30, 2007 TABLE OF CONTENTS Page Exhibit/Table Combining Statements and Budgetary Comparison Schedules as Supplementary Information: Combining Balance Sheet-All Nonmajor Governmental Funds 68 Exhibit C-1 Combining Statement of Revenues, Expenditures and Changes in Fund Balances-All Nonmajor Governmental Funds 69 Exhibit C-2 Special Revenue Funds: Combining Balance Sheet- Nonmajor Special Revenue Funds 70 Exhibit C-3 Combining Statement of Revenues, Expenditures and Changes in Fund Balances- Nonmajor Special Revenue Funds 72 Exhibit C-4 Budgetary Comparison Schedules: 4B Sales Tax Revenue Fund 74 Exhibit C-5 Park Acquisition and Improvement 75 Exhibit C-6 Emergency Communication Fund 76 Exhibit C-7 Fire Training Center 77 Exhibit C-8 Debt Service Funds: Combining Balance Sheet- Nonmajor Debt Service Funds 78 Exhibit C-9 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - Nonmajor Debt Service Funds 79 Exhibit C-10 Budgetary Comparison Schedules: General Obligation Debt Service 80 Exhibit C-11 4B Debt Service 1996 81 Exhibit C-12 4B Debt Service 2005 82 Exhibit C-13 Capital Projects Funds: Combining Balance Sheet- Nonmajor Capital Projects Funds 84 Exhibit C-14 Combining Statement of Revenues, Expenditures and Changes in Fund Balances - Nonmajor Capital Projects Funds 86 Exhibit C-15 ii CITY OF WYLIE, TEXAS COMPREHENSIVE ANNUAL FINANCIAL REPORT FOR THE YEAR ENDED SEPTEMBER 30, 2007 TABLE OF CONTENTS Pap Exhibit/Table STATISTICAL SECTION Net Assets by Component 90 Table D-1 Expenses, Program Revenues, and Net(Expense)/Revenue 91 Table D-2 General Revenues and Total Change in Net Assets 92 Table D-3 Fund Balances of Governmental Funds 93 Table D-4 Changes in Fund Balances of Governmental Funds 94 Table D-5 Tax Revenues by Source, Governmental Funds 95 Table D-6 Assessed Value and Estimated Actual Value of Taxable Property 96 Table D-7 Direct and Overlapping Property Tax Rates 97 Table D-8 Principal Property Tax Payers 98 Table D-9 Property Tax Levies and Collections 99 Table D-10 Taxable Sales by Category 100 Table D-11 Direct and Overlapping Sales Tax Rates 101 Table D-12 Ratios of Outstanding Debt by Type 102 Table D-13 Ratios of General Bonded Debt Outstanding 103 Table D-14 Direct and Overlapping Governmental Activities Debt 104 Table D-15 Legal Debt Margin Information 105 Table D-16 Pledged-Revenue Coverage 106 Table D-17 Demographic and Economic Statistics 107 Table D-18 Principal Employers 108 Table D-19 Full-Time-Equivalent Employees by Function/Program 109 Table D-20 Operating Indicators By Function/Program 110 Table D-21 Capital Asset Statistics by Function/Program 111 Table D-22 iii This page is left blank intentionally. iv Introductory Section v This page is left blank intentionally. vi _7/1/1 CITY OF WYLIE Our Mission... ...to be responsible stewards of the public trust, to strive for excellence in public service and to enhance the quality of life for all. April 14, 2008 The Honorable John Mondy, Mayor Members of the City Council And the Citizens City of Wylie,Texas Financial policies of the City of Wylie require that the City's Finance Department prepare a complete set of financial statements presented in conformity with generally accepted accounting principles (GAAP) and audited in accordance with generally accepted auditing standards by a firm of licensed certified public accountants. Accordingly, the Comprehensive Annual Financial Report (CAFR) for the City of Wylie,Texas for the fiscal year ended September 30,2007, is hereby issued. This report consists of management's representations concerning the finances of the City. Consequently, management assumes full responsibility for the completeness and reliability of all the information presented in this report. To provide a reasonable basis for making the representations, management of the City has established a comprehensive internal control framework that is designed both to protect the City's assets from loss, theft, or misuse and to compile sufficient reliable information for the preparation of the City's financial statements in conformity with GAAP. Because the cost of internal controls should not outweigh their benefits, the City's comprehensive framework of internal controls has been designed to provide reasonable, rather than absolute assurance, that the financial statements will be free from material misstatement. As management, we assert that, to the best of our knowledge and belief, this financial report is complete and reliable in all material respects. The City's financial records have been audited by Rutledge Crain & Company, PC, Certified Public Accountants, as required by the City Charter. This CAFR has been prepared based upon those audited records. The goal of the independent audit was to provide reasonable assurance that the financial statements of the City for the fiscal year ended September 30, 2007, are free of material misstatement. This independent audit involved examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements; assessing the accounting principles used and significant estimates made by management; and evaluating the overall financial statement presentation. The independent auditor concluded, based upon the audit, that there was a reasonable basis for rendering an unqualified opinion that the City's financial statements for the fiscal year ended September 30, 2007, are fairly presented in conformity with GAAP. The independent auditors' report is presented as the first component of the financial section of this report. 1 2000 Highway 78 North • Wylie,Texas 75098 • 972.442.8100 • www.wylietexas.gov GAAP requires that management provide a narrative introduction, overview, and analysis to accompany the basic financial statements in the form of Management's Discussion and Analysis (MD&A). This letter of transmittal is designed to complement MD&A and should be read in conjunction with it. The City's MD&A can be found immediately following the report of the independent auditor. Profile of the City The City of Wylie is located in the south central portion of Collin County, approximately 23 miles northeast of downtown Dallas. Incorporated in 1887, the City adopted its Home Rule Charter on January 19, 1985, and operates under a council-manager form of government. The City Council is comprised of a Mayor and six council members. All members are elected at-large on a staggered and nonpartisan basis for three-year terms. They are responsible to enact local legislation, provide policy, and annually adopt the operating budget. They appoint the City Manager, City Attorney, Judge of the Municipal Court and members of various boards and commissions. The City Manager, under the oversight of the City Council, is responsible for the proper administration of the daily operations of the City. The City provides a full range of municipal services including general government, public safety (police, fire, and emergency communications), streets, library, parks and recreation, planning and zoning, code enforcement, animal control, and water and sewer utilities. Sanitation services are provided by the City but are privately contracted. The Wylie Economic Development Corporation (WEDC) is included in the financial statements as a discrete component unit. Its purpose is to aid, promote and further economic development within the City. The Wylie Park and Recreation Facilities Development Corporation (4B Corporation) is also combined within the financial statements of the City. Both WEDC and the 4B Corporation are primarily funded with sales tax revenues. Both corporations are discussed more fully in the notes to the financial statements. The annual budget of the City serves as the foundation for its financial plan and control. The budget is proposed by the City Manager and adopted by the City Council in accordance with policies and procedures established by the City Charter, ordinances and state law. The budget process begins each year with a budget message from the City Manager highlighting the objectives to be used in developing departmental budgets. The departmental budgets are then reviewed by the City Manager and a proposed budget is prepared for presentation to the City Council. The City Council reviews the budget in subsequent work sessions and a formal budget is prepared and made available to the public for review by August 5th each year. Prior to official adoption of the budget by council, public hearing on the proposed budget is held to allow for public input. Factors Affecting Financial Condition The information presented in the financial statements is perhaps best understood when it is considered from the broader perspective of the specific environment within which the City of Wylie operates. Local economy Fast paced growth is currently one of the identifying characteristics of the City. The 2007 population of the City has been estimated to be 34,500. This represents a 4.5% increase over the previous year. The trend of fast paced growth has been slowing over the last few years and continues into fiscal year 2008. The slowdown in growth has also brought about a reduction in residential construction. Residential construction permits decreased by 21% from the previous year of 896 permits. For the year ending September 30, 2007 the city issued 703 permits. When both residential and commercial growth is considered our total tax base grew by 13.98% over the previous year. Our tax value this year, as provided by the Collin County Appraisal District, was $1,785,589,736. While the City growth rate has declined, the City still maintains a favorable economic environment and is recognized as one of the fastest growing areas in Collin County and the Dallas-Ft.Worth Metroplex. Long-term financial planning In 2006, the City developed a Long-Range Financial Plan. The plan included street and park improvements, a new city hall, library, fire station, recreation center and sidewalks. The voters of the 2 City of Wylie authorized the City to issue $73,950,000 in General Obligation Bonds to fund this capital improvement program. The first series of General Obligation bonds were sold in late March of 2006 with the remaining slated to be sold in June of 2008. Cash management The City currently utilizes Chase/JP Morgan Bank and American National Bank as the main depositories. All City funds are deposited into the Chase/JP Morgan depository on a daily basis. Once checks, credit card purchase's have cleared, the money is transferred to the American National Bank depository for payroll and accounts payable check processing. All deposits are secured by allowable securities and held as collateral in the City's account at the Federal Reserve Bank- Boston. The market value of the pledged collateral are equal to or greater than 102% of the principal and accrued interest for cash balances in excess of the FDIC insurance coverage. City officials are allowed by the City Investment Policy and Texas statutes to invest cash balances during the year. The three overall objectives of the City's investment policy, in their order of importance, are the preservation and safety of principal, liquidity and yield. At September 30, 2007, the fair market value of the City's investment portfolio was$65,894,249. The City started a Local Investment Program in which the City purchases Certificates of Deposits from local banks using competitive bid procedures. As of September 30, 2007 the program held $14,000,000 in Certificates of Deposit with local banks. Risk management The City is exposed to various risk of loss related to torts; theft of, damage to, and destruction of assets; errors and omissions; injuries to employees; and natural disasters. During FY2007, the City purchased general liability, property, public official and police professional liability insurance from the Texas Municipal League Intergovernmental Risk Pool (the Pool). In addition, the City's worker compensation insurance is also with the Pool. United Healthcare provided employee group medical coverage for FY2007. Employees have the option of providing for any family coverage. The Texas Workforce Commission provides unemployment benefits to former eligible employees. Retirement system The City provides pension benefits to all full-time employees through a nontraditional,joint contributory defined benefit plan administered by the Texas Municipal Retirement System, an agent multiple- employer public retirement system. Pension expense for the calendar year ended December 31, 2006, (including prior service costs amortized over 25 years) was $889,419. The Texas Municipal Retirement System has made a number of changes in the way they calculate unfunded liabilities, and the timeframe in which these liabilities must be paid. These changes will add to the City's cost in future years. Awards and Acknowledgements The Government Finance Officers Association of the United States and Canada (GFOA) awarded a Certificate of Achievement for Excellence in Financial Reporting to the City of Wylie for its comprehensive annual financial report(CAFR)for the fiscal year ended September 30, 2006. The City has participated in the program for many years and has been awarded the Certificate numerous times. In order to be awarded a Certificate of Achievement, the government must publish an easily readable and efficiently organized CAFR. This report must satisfy both GAAP and applicable legal requirements. A Certificate of Achievement is valid for a period of one year only. We believe our current report continues to conform to the Certificate of Achievement program requirements, and we are submitting it to the GFOA to determine its eligibility for another certificate. The preparation of this report could not be accomplished without the dedicated services of the entire staff of the Finance Department. We would also like to express our appreciation to all staff members 3 who assisted and contributed to the preparation of this report. Acknowledgement is also given to representatives of Rutledge Crain & Company, PC, Certified Public Accountants for their dedicated assistance in producing this report. Special acknowledgement is given to the City Manager, Mayor and the members of the City Council for their support for maintaining the highest standards of professionalism in the management of the City of Wylie finances. ,Y/t Respep ely submitted, Larry Williamson Finance Director 4 Certificate of Achievement for Excellence in Financial Reporting Presented to City of Wylie Texas For its Comprehensive Annual Financial Report for the Fiscal Year Ended • September 30,2006 A Certificate of Achievement for Excellence in Financial Reporting is presented by the Government Finance Officers Association of the United States and Canada to government units and public employee retirement systems whose comprehensive annual financial reports(CAFRs)achieve the highest standards in government accounting and financial reporting. President exchorree *fir iteA91.-' Executive Director 5 City of Wylie Organizational Chart Mayor And City Council Wylie E•• '•" t Parks Boards Citya • City Municipal Development R Recreation and Manager Attorney , Judge . ..ration missions "-, ��, -1_,. ration , . m ��_ . 'Assistant City:... Manager Public Intormation `°= Office i i i ">'� `` ;; z Support ��. � Public -�� ; '` `4 Engineering Fire Y Police Finance ng Services Services Building Planning&Zoning'. Animal Accounting/ a _ Human Building Inspections Communications Control Finance City Secretary Resources Streets Permits / _ Utility Billing) — Purchasing Utilities Budding Collections ->;,,Q Planning&Zoning Water/Sewer Inspections } "'-`- Information Fleet Parks&Recreation Technology Maintenance Municipal Parks Court \ \ — Recreation Facilities Maintenance / CITY OF WYLIE, TEXAS PRINCIPAL OFFICIALS September 30, 2007 City Council John Mondy, Mayor M. G. "Red" Byboth, Mayor Pro Tern David Goss, Councilmember Kathy Spil(yards, Councilmember Merrill Young, Councilmember Rick White, Councilmember Carter Porter, Councilmember City Staff Mindy Manson, City Manager Jeff Butters, Assistant City Manager John Duscio, Police Chief Randy Corbin, Fire Chief Larry Williamson, Finance Director Carole Ehrlich, City Secretary Chris Hoisted, City Engineer Mike Sferra, Public Services Director Rachel Orozco, Library Director Johnny Bray, Building Director Renae' 011ie, Planning Director Sam Satterwhite, WEDC Director Other Appointed Officials Rutledge Crain & Company PC, Auditors Abernathy, Roeder, Boyd & Joplin, P.C., City Attorney Fuibright & Jaworski, LLP, Bond Counsel First Southwest Company, Financial Advisors This page is left blank intentionally. 8 Financial Section 9 This page is left blank intentionally. 10 RUTLEDGE CRAIN & COMPANY, PC CERTIFIED PUBLIC ACCOUNTANTS 2401 Garden Park Court, Suite B Arlington, Texas 76013 Independent Auditors'Report on Financial Statements To the City Council City of Wylie,Texas We have audited the accompanying financial statements of the governmental activities,the business-type activities,the aggregate discretely presented component unit,each major fund,and the aggregate remaining fund information of the City of Wylie, Texas as of and for the year ended September 30, 2007, which collectively comprise the City's basic financial statements as listed in the table of contents.These financial statements are the responsibility of the City of Wylie, Texas'management. Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management,as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinions. In our opinion,the financial statements referred to above present fairly,in all material respects,the respective financial position of the governmental activities,the business-type activities,the aggregate discretely presented component unit, each major fund,and the aggregate remaining fund information of the City of Wylie,Texas as of September 30,2007, and the respective changes in financial position and cash flows,where applicable,thereof for the year then ended in conformity with accounting principles generally accepted in the United States of America. The Management's Discussion and Analysis and budgetary comparison schedules on pages 15-21 and pages 64-65, identified as Required Supplementary Information in the table of contents,are not a required part of the basic financial statements but are supplementary information required by accounting principles generally accepted in the United States of America. We have applied certain limited procedures, which consisted principally of inquiries of management regarding the methods of measurement and presentation of the supplemental information. However,we did not audit the information and express no opinion on it. Our audit was performed for the purpose of forming opinions on the financial statements which collectively comprise the City of Wylie,Texas'basic financial statements. The introductory section,combining and individual nonmajor fund financial statements,schedules, and statistical tables are presented for purposes of additional analysis and are not a required part of the basic financial statements. The combining and individual nonmajor fund financial statements and schedules have been subjected to the auditing procedures applied in the audit of the basic financial statements and, in our opinion,are fairly stated in all material respects in relation to the basic financial statements taken as a whole. The introductory section and the statistical tables have not been subjected to the auditing procedures applied in the audit of the basic financial statements and,accordingly,we express no opinion on them. April 14,2008 !° 11 Members: Metro(817)265-9989 American Institute of Certified Public Accountants Fax(817)861-9623 Texas Society of Certified Public Accountants This page is left blank intentionally. 12 Management's Discussion and Analysis 13 This page is left blank intentionally. 14 City of Wylie, Texas Management's Discussion and Analysis September 30, 2007 As management of the City of Wylie, we offer readers of the City's financial statements this narrative overview and analysis of the financial activities of the City for the fiscal year ended September 30, 2007. We encourage readers to consider the information presented here in conjunction with additional information that we have furnished in our letter of transmittal, which can be found on pages one through four of this report. Financial Highlights • The assets of the City exceeded its liabilities at the close of the fiscal year ended September 30, 2007, by$148,858,649 (net assets). Of this amount, $18,649,869 (unrestricted net assets) may be used to meet the government's ongoing obligations to citizens and creditors. • The City's total net assets increased by $10,617,299. The increase is attributable to capital contributions received during the year and the issuance of new debt. • The City's governmental funds reported combined ending fund balances of $45,785,429, a decrease of $3,010,695 in comparison to the previous year, as a result of capital expenditures in the bond funds. • The unreserved portion of the General Fund fund balance at the end of the year was$7,486,053 or 40.6%of total General Fund expenditures and transfers out. • Total debt of the City increased by $6,103,494 during the fiscal year. Three issues, the General Obligation Refunding Bond - Series 2007, the Combination Tax and Revenue Certificates of Obligation - Series 2007, and the Public Property Finance Contractual Obligation - Series 2007 account for the increase in debt. • Working capital increased in the Utility Fund by$4,290,690 in comparison to the previous year. An application of impact fees for debt service expenses in relation to the Muddy Creek Wastewater Treatment Plant along with proceeds from the new bond issue accounts for the increase. Overview of the Financial Statements This discussion and analysis is intended to serve as an introduction to the City's basic financial statements. The City's basic financial statements comprise three components: 1) government-wide financial statements, 2) fund financial statements, and 3) notes to the financial statements. This report also contains other supplementary information in addition to the basic financial statements themselves. Government-wide financial statements. The government-wide financial statements are designed to provide readers with a broad overview of the City of Wylie's finances. This is done in a manner similar to a private-sector business. Two statements, the Statement of Net Assets and the Statement of Activities, are utilized to provide this financial overview. The Statement of Net Assets presents information on all of the City's assets and liabilities with the difference between the two reported as net assets. Over time, increases or decreases in net assets may serve as a useful indicator of whether the financial position of the City is improving or deteriorating. The Statement of Activities presents information showing how the government's net assets changed during the most recent fiscal year. All changes in net assets are reported as soon as the underlying event giving rise to the change occurs, regardless of the timing of related cash flow. Thus, revenues and expenses are reported in this statement for some items that will only result in cash flows in future fiscal periods (e.g., uncollected taxes and earned but unused vacation leave). Both of the government-wide statements distinguish between governmental activities and business-type activities. Governmental activities basically account for those activities supported by taxes and intergovernmental revenues. On the other hand, business-type activities are basically supported by user 15 City of Wylie, Texas Management's Discussion and Analysis (continued) September 30, 2007 fees and charges. Most City services are reported in governmental activities while business-type activities are reported in the Enterprise Fund. The government-wide statements include not only the City but also a discrete component unit, the Wylie Economic Development Corporation (WEDC). Although legally separate, WEDC is financially accountable to the City. Fund financial statements. The City, like other state and local governments, utilizes fund accounting to ensure and demonstrate compliance with finance-related legal requirements. A fund is a grouping of related accounts that is used to maintain control over resources that have been segregated for specific activities or objectives. All of the funds of the City can be divided into two categories: governmental funds and proprietary funds. Governmental funds. Governmental funds are used to account for essentially the same functions reported as governmental activities in the government-wide financial statements. However, unlike the government- wide financial statements, governmental fund financial statements focus on near-term inflows and outflows of spendable resources as well as on balances of spendable resources available at the end of the fiscal year. Such information may be useful in evaluating a government's near-term financing requirements. Because the focus of governmental funds is narrower than that of the government-wide financial statements, it is useful to compare the information presented for governmental funds with similar information presented for governmental activities in the government-wide financial statements. By doing so, readers may better understand the long-term impact of the government's near-term financing decisions. Both the governmental fund balance sheet and the governmental fund statement of revenues, expenditures, and changes in fund balances provide a reconciliation to facilitate this comparison between governmental funds and governmental activities. The City maintains sixteen individual governmental funds. Information is presented separately in the Governmental Fund Balance Sheet and in the Governmental Fund Statement of Revenues, Expenditures and Changes in Fund Balances for the General Fund, the General Obligation Debt Service Fund, and the 2006 General Obligation Bond Fund, all of which are considered to be major funds. Data from the other funds are combined into a single, aggregated presentation. Individual fund data for each of the non-major governmental funds is provided in the form of combining statements elsewhere in this report. Proprietary funds. The City maintains two types of proprietary funds: enterprise funds and internal service funds. Enterprise funds are used to report the same functions presented as business-type activities in the government-wide financial statements. The City uses an enterprise fund to account for its water and sewer operations. Internal service funds are an accounting device used to accumulate and allocate costs internally among the City's various functions. The City uses an internal service fund to account for its fleet of vehicles and certain specialized mobile equipment. Proprietary funds financial statements provide the same type of information as the government-wide financial statements, only in more detail. Notes to the financial statements. The notes provide additional information that is essential to gain a full understanding of the data provided in the government-wide and fund financial statements Other information. In addition to the basic financial statements and accompanying notes, this report also presents certain required supplementary information. Required supplementary information can be found after the notes to the financial statements. Government-wide Financial Analysis At the end of fiscal year 2007, the City's net assets (assets exceeding liabilities)totaled$148,858,649. This analysis focuses on the net assets(Table 1)and changes in net assets (Table 2). 16 City of Wylie, Texas Management's Discussion and Analysis (continued) September 30, 2007 Net Assets. The largest portion of the City's net assets, $116,721,650, or 78.4 percent, reflects its investment in capital assets (land, buildings, improvements other than buildings, machinery and equipment, construction in progress), less any related debt used to acquire those assets that is still outstanding. The City uses these assets to provide services to its citizens, consequently, these assets are not available for future spending. Although the City reports its capital assets net of related debt, the resources needed to repay this debt must be provided from other sources, since the capital assets themselves cannot be used to liquidate these liabilities. An additional portion of the City's net assets, $13,487,130, or 9.1% represents resources that are subject to external restrictions on how they may be used. The unrestricted net assets of$18,649,869 (12.5%) may be used to meet the government's ongoing obligations to citizens and creditors. Table 1 Condensed Statement of Net Assets Governmental Business-type Activities Activities Total 2007 2006 2007 2006 2007 2006 Current and other assets $ 51,019,558 $ 53,845,165 $ 25,468,912 $ 20,727,531 $ 76,488,470 $ 74,572,696 Capital assets 109,737,557 100,450,274 43,681,382 37,887,068 153,418,939 138,337,342 Total Assets 160,757,115 154,295,439 69,150,294 58,614,599 229,907,409 212,910,038 Long term liabilites 59,176,315 60,564,374 13,979,962 7,215,670 73,156,277 67,780,044 Other liabilities 5,450,057 4,802,559 2,442,426 2,086,085 7,892,483 6,888,644 Total liabilities 64,626,372 65,366,933 16,422,388 9,301,755 81,048,760 74,668,688 Net Assets: Invested in capital assets, 80,156,749 73,959,342 36,564,901 31,205,119 116,721,650 105,164,461 net of related debt Restricted for debt service 373,685 1,245,844 322,849 343,849 696,534 1,589,693 Restricted for capital projects 4,374,791 39,960,133 8,415,805 11,582,283 12,790,596 51,542,416 Unrestricted 11,225,518 (26,236,813) 7,424,351 6,181,593 18,649,869 (20,055,220) Total Net Assets $ 96,130,743 $ 88,928,506 $ 52,727,906 $ 49,312,844 $ 148,858,649 $ 138,241,350 Changes in Net Assets. The net assets of the City increased by$10,617,299 for the fiscal year ended September 30, 2007. Governmental Activities. Governmental activities increased the City's net assets by $7,202,237 from the prior year. This was primarily the result of increased revenues generated by strong building activity, increased taxes and two bond issues. Business-type Activities. Net assets from business-type activities increased by $3,415,062 from the prior year. Capital contributions, transfers from Impact Fee funds and increased revenues from the growth of our customer base brought about the increase in net assets for the year. 17 City of Wylie, Texas Management's Discussion and Analysis (continued) September 30, 2007 Table 2 Changes in Net Assets Governmental Business-type Activities Activities Total 2007 2006 2007 2006 2007 2006 Revenues: Program revenues: Charges for services $ 4,820,918 $ 4,777,811 $ 8,041,283 $ 8,832,061 $ 12,862,201 $ 13,609,872 Operating grants and contributions 372,503 37,731 - - 372,503 37,731 Capital grants and contributions 5,958,047 8,411,904 4,019,494 5,148,706 9,977,541 13,560,610 General revenues: Ad valorem taxes 13,100,185 11,232,673 - - 13,100,185 11,232,673 Sales taxes 3,575,795 3,308,755 - - 3,575,795 3,308,755 Other taxes and fees 1,739,883 1,941,805 - - 1,739,883 1,941,805 Interest 2,687,320 1,406,561 1,125,118 821,375 3,812,438 2,227,936 Gain(loss)disposal of capital assets (13,693) Miscellaneous 152,518 469,580 174,627 315,329 327,145 784,909 Total revenues 32,393,476 31,586,820 13,360,522 15,117,471 45,767,691 46,704,291 Expenses: General Government 4,027,017 4,144,882 - - 4,027,017 4,144,882 Public Safety 10,029,670 8,003,798 - - 10,029,670 8,003,798 Urban Development 1,083,316 862,184 - - 1,083,316 862,184 Streets 4,631,177 4,578,339 - - 4,631,177 4,578,339 Community Service 3,074,976 2,651,744 - - 3,074,976 2,651,744 Interest on long-term debt 2,795,083 1,751,355 - - 2,795,083 1,751,355 Water and sewer operations - - 9,495,460 8,843,954 9,495,460 8,843,954 Total expenses 25,641,239 21,992,302 9,495,460 8,843,954 35,136,699 30,836,256 Increase in net assets before 6,752,237 9,594,518 3,865,062 6,273,517 10,630,992 15,868,035 transfers Transfers 450,000 447,137 (450,000) (447,137) - - Increase in net assets 7,202,237 10,041,655 3,415,062 5,826,380 10,617,299 15,868,035 Net assets-October 1, 88,928,506 78,886,851 49,312,844 43,486,464 138,241,350 122,373,315 Net assets-September 30, $ 96,130,743 $ 88,928,506 $ 52,727,906 $ 49,312,844 $ 148,858,649 $ 138,241,350 Government-Wide Financial Analysis Governmental funds. The focus of the City's governmental funds is to provide information on near-term inflows, outflows and balances of spendable resources. Such information is useful in assessing the City's financing requirements. In particular, unreserved fund balance may serve as a useful measure of a government's net resources available for spending at the end of the fiscal year. As of the end of the current fiscal year, the City's governmental funds reported combined fund balances of $45,785,429. 18 City of Wylie, Texas Management's Discussion and Analysis (continued) September 30, 2007 The General Fund is the main operating fund of the City. At the end of the current fiscal year, unreserved fund balance was $7,486,053. The fund balance of the General Fund increased by $2,003,886 during the current fiscal year. Key factors for the increase are as follows: • Property tax revenues increased from the previous year by$1,337,714 • Sales tax collections increased from the previous year by$177,615 • Franchise fee collections increased by$15,601 • Licenses and permits fees increased by$263,037 • Intergovernmental revenues increased by$240,370 • Service fee collections increased by$274,643 • Offsetting the increase in revenues was an increase of $1,493,271 in general fund expenditures before other financing uses. The addition of 7.5 full-time equivalents with associated benefits and the implementation of a new employee pay plan had a major impact on the increase in expenditures. The General Obligation Debt Service Fund had a decrease of$877,296 in fund balance as a result of additional bond payments made in 2007. These funds are specifically reserved for the payment of debt service. The 2006 General Obligation Bond Fund had a decrease in fund balance of$5,333,434 from increased expenditures for capital projects. Other governmental funds'combined fund balances increased $1,196,149. Proprietary funds. The City's proprietary funds provide the same type of information found in the government-wide statements, but in more detail. Unrestricted net assets of the Utility Fund at the end of the year amounted to $7,424,351. This represents an increase of $1,242,758 over the previous year and was primarily the result of an application of impact fees used to pay debt service on the Muddy Creek Wastewater Treatment Plant. This year's operating income was a loss of $797,086. This change from last year's $773,888 positive number is attributable to lower water revenue due to a rainy spring and summer, water conservation and increased water and sewer treatment costs. The Internal Service Fund realized an increase of$467,842 in unrestricted net assets for the year. This was primarily the result of transfers representing vehicles purchased by other funds and transferred to the Fleet Fund during the year. General Fund Budgetary Highlights. In FY2007 the General Fund expenditure budget was increased by $2,197,102 over the 2006 budget. Each year the City performs a mid-year review of the budget. If the City Manager determines that funds are available certain amendments are proposed to the City Council for their review and approval. Expenditures were amended throughout the year with the majority occurring during mid-year reviews. These amendments increased General Fund appropriations by $761,885 or 4%. The largest amendments were for trash service, fire department personnel costs and heavy equipment maintenance. Capital Assets and Debt Administration Capital Assets. The City's investment in capital assets for its governmental and business-type activities as of September 30, 2007, amounts to $153,418,939 (net of accumulated depreciation). The investment in capital assets includes land, buildings, improvements other than buildings, machinery and equipment, and construction in progress. The total increase in the City's investment in capital assets for the current year was 10.9%. 19 City of Wylie, Texas Management's Discussion and Analysis (continued) September 30, 2007 Table 3 Capital Assets at Year-end Net of Accumulated Depreciaton(000's) Governmental Activities Business-Type Activities Total Asset 2007 2006 2007 2006 2007 2006 Land $ 25,671 $ 23,968 $ 59 $ 59 $ 25,730 $ 24,027 Buildings 2,215 1,830 167 175 2,382 2,005 Improvements 72,039 71,156 36,228 35,129 108,267 106,285 Machinery and equipment 3,514 2,879 18 24 3,532 2,903 Construction in progress 6,298 618 7,210 2,499 13,508 3,117 $ 109,737 $ 100,451 $ 43,682 $ 37,886 $ 153,419 $ 138,337 Additional information on the City's capital assets can be found in the notes to the financial statements on pages 47-49. Debt administration. At the end of the current fiscal year, the City of Wylie had total debt outstanding of $75,899,690. Of this amount, $71,564,690 comprises bonded debt backed by the full faith and credit of the City. $3,300,000 represents bonds secured solely by self-supporting activities. $1,035,000 represents debt backed by sales tax revenues and $184,667 represents unamortized premiums and net deferred loss on refundings. Table 4 Outstanding Debt at Year End(000's) Governmental Activities Business-Type Activities Total Type of Debt 2007 2006 2007 2006 2007 2006 General Obligation $ 52,738 $ 53,614 $ 2,837 $ 3,226 $ 55,575 $ 56,840 Combination Tax&Revenue 5,790 6,010 - - 5,790 6,010 Certificates of Obligation 1,462 842 7,680 1,158 9,142 2,000 Loans Payable/PPFCO - - 1,057 - 1,057 - Sales Tax Revenue 1,035 1,115 - - 1,035 1,115 Water&Sewer Revenue - - 3,300 3,460 3,300 3,460 Unamortized premium(discount) 119 125 (78) 5 41 Deferred loss(gain)on refunding (221) 93 (4) (36) (225) Total $ 60,923 $ 61,799 $ 14,792 $ 7,813 $ 75,715 $ 69,425 During the fiscal year, the City added three new bond issues. The first issue was a Combination Tax and Revenue Certificate of Obligation - Series 2007 ($7,680,000) issued for the purpose of expanding the City's water facilities. The second issue was a General Obligation Refunding Bonds - Series 2007 ($4,815,000) issued to refund existing issues in the General Fund and Utility Fund. The third issue was a Public Property Finance Contractual Obligations($750,000) issued to purchase a new fire truck. 20 City of Wylie, Texas Management's Discussion and Analysis (continued) September 30, 2007 The City maintains favorable ratings from bond rating agencies. The City's most recent General Obligation, Combination Tax and Revenue Certificates of Obligation, and Revenue Bonds ratings are as follows. Moody's Standard Investors Service & Poor's General obligation bonds A2 A Certificates of obligation A2 A Revenue bonds Baal A- Additional information on the City's long-term debt can be found in the notes to the financial statements on pages 50-55. Economic Factors and Next Years's Budgets and Rates During FY2007 building permits totaling 703 were issued. While down from the previous five years, the number is still indicative of a growing community. Accompanying the building activity was an increase of $252,612,308 in the assessed valuation of taxable property. Our growth pattern is projected to continue into FY2008 and had a significant impact in the development of the FY2008 operating budget. In FY2008 General Fund revenues and expenditures are budgeted to increase by 11.9% and 5% respectively, over FY2007 revenues and expenditures. This will provide a 30% estimated fund balance at FY2008 year-end which is larger than the 25%normally targeted. Water and Sewer Fund operating revenues and operating expenses are budgeted to increase by 2.2% and 7.9%, respectively, over FY2007 revenues and expenses. The FY2008 budget includes a transfer of impact fees for debt service payments on the Muddy Creek Wastewater Treatment Plant bringing working capital balances up to acceptable levels. It is anticipated that Utility Fund rates will be reviewed during the year and it is likely that rates will be adjusted to compensate for increased water and sewer charges from North Texas Municipal Water District. During FY2006, voters authorized the city to issue$73,950,000 in bonds. $35,325,000 was issued in 2006 with the remaining $38,625,000 to be issued in 2008. As these bonds are issued, the I & S tax rates will increase to cover the principal and interest payments. Requests for Information This financial report is designed to provide a general overview of the City's finances for all those with an interest in the government's finances. Questions concerning any of the information provided in this report or requests for additional financial information should be addressed to the Finance Department, 2000 Highway 78 North,Wylie,Texas, 75098. 21 This page is left blank intentionally. 22 Basic Financial Statements 23 This page is left blank intentionally. 24 EXHIBIT A-1 CITY OF WYLIE, TEXAS STATEMENT OF NET ASSETS SEPTEMBER 30, 2007 Primary Government Governmental Business-type Component Activities Activities Total Units ASSETS Cash and cash equivalents $ 11,486,801 $ 3,115,760 $ 14,602,561 $ 65,439 Investments 36,264,804 5,017,779 41,282,583 206,553 Receivables(net of allowances for uncollectibles) 2,374,758 1,885,909 4,260,667 384,601 Inventories 120,681 56,244 176,925 2,013,395 Prepaid items 160,303 21,256 181,559 22,446 Advance to component unit 136,493 -- 136,493 -- Restricted assets: Cash and cash equivalents -- 1,772,626 1,772,626 -- Investments -- 10,405,113 10,405,113 -- Receivables -- 2,977,089 2,977,089 -- Deferred charges 475,718 217,136 692,854 -- Capital assets(net of accumulated depreciation) Land 25,670,562 59,141 25,729,703 -- Construction in progress 6,297,937 7,209,958 13,507,895 -- Buildings 2,215,550 166,507 2,382,057 -- Improvements other than buildings 72,038,983 36,227,778 108,266,761 -- Machinery and equipment 3,514,525 17,998 3,532,523 -- Total Assets 160,757,115 69,150,294 229,907,409 2,692,434 LIABILITIES Accounts payable and other current liabilities 2,398,136 489,445 2,887,581 10,767 Unearned revenue -- -- -- 157,958 Advance from primary government -- -- -- 136,493 Accrued interest payable 617,086 110,571 727,657 5,197 Due to other governments 61,895 -- 61,895 -- Liabilities payable from restricted assets -- 906,535 906,535 -- Noncurrent liabilities: Due within one year 2,372,940 935,875 3,308,815 197,578 Due in more than one year 59,176,315 13,979,962 73,156,277 942,413 Total Liabilities 64,626,372 16,422,388 81,048,760 1,450,406 NET ASSETS Invested in Capital Assets, Net of Related Debt 80,156,749 36,564,901 116,721,650 -- Restricted For: Debt Service 373,685 322,849 696,534 -- Capital Projects 4,374,791 8,415,805 12,790,596 -- Unrestricted 11,225,518 7,424,351 18,649,869 1,242,028 Total Net Assets $ 96,130,743 $ 52,727,906 $ 148,858,649 $ 1,242,028 The accompanying notes are an integral part of this statement. 25 CITY OF WYLIE, TEXAS STATEMENT OF ACTIVITIES FOR THE YEAR ENDED SEPTEMBER 30, 2007 Program Revenues Operating Capital Charges for Grants and Grants and Functions/Programs Expenses Services Contributions Contributions PRIMARY GOVERNMENT: Governmental Activities: General government $ 4,027,017 $ 2,176,853 $ -- $ -- Public safety 10,029,670 1,034,296 325,412 47,679 Urban development 1,083,316 1,400,515 -- -- Streets 4,631,177 -- -- 5,364,129 Community service 3,074,976 209,254 47,091 546,239 Interest on long-term debt 2,795,083 -- -- -- Total governmental activities 25,641,239 4,820,918 372,503 5,958,047 Business-type Activities: Utility 9,495,460 8,041,284 -- 4,019,494 Total Business-type Activities 9,495,460 8,041,284 4,019,494 Total Primary Government $ 35,136,699 $ 12,862,202 $ 372,503 $ 9,977,541 COMPONENT UNITS: Wylie Economic Development Corporation $ 1,321,910 $ 62,993 $ -- $ -- Total Component Units $ 1,321,910 $ 62,993 $ -- $ -- General Revenues: Ad valorem taxes Sales Taxes Franchise Taxes Unrestricted Investment Earnings Miscellaneous income Gain(loss)on disposal of capital assets Transfers Total General Revenues Change in Net Assets Net Assets-Beginning Net Assets- Ending The accompanying notes are an integral part of this statement. 26 EXHIBIT A-2 Net(Expense) Revenue and Changes in Net Assets Governmental Business-type Component Activities Activities Total Units $ (1,850,164) $ (1,850,164) (8,622,283) (8,622,283) 317,199 317,199 732,952 732,952 (2,272,392) (2,272,392) (2,795,083) (2,795,083) (14,489,771) (14,489,771) $ 2,565,318 2,565,318 2,565,318 2,565,318 (14,489,771) 2,565,318 (11,924,453) $ (1,258,917) (1,258,917) 13,100,185 -- 13,100,185 -- 3,575,795 -- 3,575,795 1,188,150 1,739,883 -- 1,739,883 -- 2,687,320 1,125,117 3,812,437 20,050 152,518 174,627 327,145 19,786 (13,693) -- (13,693) 2,991 450,000 (450,000) -- -- 21,692,008 849,744 22,541,752 1,230,977 7,202,237 3,415,062 10,617,299 (27,940) 88,928,506 49,312,844 138,241,350 1,269,968 $ 96,130,743 $ 52,727,906 $ 148,858,649 $ 1,242,028 27 CITY OF WYLIE, TEXAS BALANCE SHEET-GOVERNMENTAL FUNDS SEPTEMBER 30, 2007 General General Obligation Fund Debt Service ASSETS Cash and cash equivalents $ 1,865,428 $ 641,903 Investments 5,385,151 -- Receivables(net of allowances for uncollectibles): Taxes 213,707 60,889 Accounts 236,380 -- Other 329,917 -- Interest receivable 46,160 5,534 Intergovernmental 443,521 -- Due from other funds 525,694 -- Due from component unit 136,493 -- Inventories, at cost 118,858 -- Prepaid items 149,183 -- Total Assets $ 9,450,492 $ 708,326 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ 659,775 $ -- Other payables and accruals 492,286 -- Retainage payable -- Due to other funds 512,447 Intergovernmental payable 61,895 -- Accrued interest payable 3,237 Deferred revenue 209,455 54,107 Total Liabilities 1,423,411 569,791 Fund balances: Reserved for: Inventory 118,858 -- Prepaids 149,184 -- Debt service -- 138,535 Advance to component unit 272,986 -- Unreserved, reported in: General fund, undesignated 7,486,053 -- Special revenue funds -- -- Capital projects funds -- -- Total fund balances 8,027,081 138,535 Total Liabilities and Fund Balances $ 9,450,492 $ 708,326 The accompanying notes are an integral part of this statement. 28 EXHIBIT A-3 2006 Other Total General Governmental Governmental Obligation Funds Funds $ 6,940,187 $ 1,683,392 $ 11,130,910 24,444,797 5,311,511 35,141,459 -- -- 274,596 -- -- 236,380 -- 43,782 373,699 182,116 31,800 265,610 -- 215,700 659,221 -- -- 525,694 -- -- 136,493 -- -- 118,858 -- 11,120 160,303 $ 31,567,100 $ 7,297,305 $ 49,023,223 $ 770,393 $ 114,769 $ 1,544,937 -- 61,859 554,145 95,773 188,551 284,324 -- 13,247 525,694 -- -- 61,895 -- -- 3,237 -- -- 263,562 866,166 378,426 3,237,794 -- -- 118,858 -- -- 149,184 -- 181,041 319,576 -- -- 272,986 -- -- 7,486,053 -- 2,363,046 2,363,046 30,700,934 4,374,792 35,075,726 30,700,934 6,918,879 45,785,429 $ 31,567,100 $ 7,297,305 $ 49,023,223 29 This page is left blank intentionally. 30 EXHIBIT A-4 CITY OF WYLIE, TEXAS RECONCILIATION OF THE GOVERNMENTAL FUNDS BALANCE SHEET TO THE STATEMENT OF NET ASSETS SEPTEMBER 30, 2007 Total fund balances-governmental funds balance sheet $ 45,785,429 Amounts reported for governmental activities in the statement of net assets ("SNA")are different because: Capital assets used in governmental activities are not reported in the funds. 106,986,806 Property taxes receivable unavailable to pay for current period expenditures are deferred in the funds. 238,271 The assets and liabilities of internal service funds are included in governmental activities in the SNA. 4,224,791 Payables for bond principal which are not due in the current period are not reported in the funds. (60,923,645) Payables for bond interest which are not due in the current period are not reported in the funds. (613,849) Payables for compensated absences which are not due in the current period are not reported in the funds. (625,610) Other long-term assets are not available to pay for current-period expenditures and are deferred in the funds. 475,719 Court fines receivable unavailable to pay for current period expenditures are deferred in the funds. 25,292 Franchise taxes receivable unavailable to pay for current period expenditures are not accrued in the funds. 557,540 Net assets of governmental activities-statement of net assets $ 96,130,743 The accompanying notes are an integral part of this statement. 31 CITY OF WYLIE, TEXAS STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES-GOVERNMENTAL FUNDS FOR THE YEAR ENDED SEPTEMBER 30, 2007 General General Obligation Fund Debt Service Revenues: Ad valorem taxes $ 10,405,273 $ 2,689,484 Sales taxes 2,387,645 -- Franchise fees 1,908,984 -- Licenses and permits 1,056,919 -- Intergovernmental 683,854 -- Services fees 2,023,862 -- Court fees 558,403 -- Interest income 459,910 64,899 Miscellaneous income 153,963 -- Total revenues 19,638,813 2,754,383 Expenditures: Current: General government 4,781,490 -- Public Safety 8,336,874 -- Urban development 1,080,324 -- Streets 1,470,049 -- Community service 2,089,664 -- Capital outlay -- -- Debt service: Principal -- 1,233,412 Interest and fiscal charges -- 3,043,654 Bond issuance costs -- 68,574 Total expenditures 17,758,401 4,345,640 Excess(deficiency)of revenues over (under)expenditures 1,880,412 (1,591,257) Other financing sources(uses): Transfers in 827,860 641,903 Transfers out (690,693) -- Sale of fixed assets (13,693) -- Issuance of long-term debt 4,043,155 Premium on bonds issued 34,739 Discount on bonds issued (34,364) Payment to refunded bond escrow agent (3,971,472) Total other financing sources(uses) 123,474 713,961 Net change in fund balances 2,003,886 (877,296) Fund balances, October 1 6,023,195 1,015,831 Fund balances, September 30 $ 8,027,081 $ 138,535 The accompanying notes are an integral part of this statement. 32 EXHIBIT A-5 2006 Other Total General Governmental Governmental Obligation Funds Funds $ -- $ -- $ 13,094,757 -- 1,188,149 3,575,794 -- -- 1,908,984 -- -- 1,056,919 -- 100,496 784,350 -- 533,453 2,557,315 -- 28,847 587,250 1,836,756 325,753 2,687,318 -- 1,207,548 1,361,511 1,836,756 3,384,246 27,614,198 6,761,081 -- 11,542,571 -- 1,020,265 9,357,139 -- -- 1,080,324 -- -- 1,470,049 -- 936,916 3,026,580 -- 873,016 873,016 -- 278,000 1,511,412 -- 280,986 3,324,640 -- 6,813 75,387 6,761,081 3,395,996 32,261,118 (4,924,325) (11,750) (4,646,920) 232,794 1,248,664 2,951,221 (641,903) (790,765) (2,123,361) -- -- (13,693) -- 750,000 4,793,155 -- -- 34,739 -- -- (34,364) -- -- (3,971,472) (409,109) 1,207,899 1,636,225 (5,333,434) 1,196,149 (3,010,695) 36,034,368 5,722,730 48,796,124 $ 30,700,934 $ 6,918,879 $ 45,785,429 33 This page is left blank intentionally. 34 EXHIBIT A-6 CITY OF WYLIE, TEXAS RECONCILIATION OF THE STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS TO THE STATEMENT OF ACTIVITIES FOR THE YEAR ENDED SEPTEMBER 30, 2007 Net change in fund balances-total governmental funds $ (3,010,695) Amounts reported for governmental activities in the statement of activities ("SOA")are different because: Capital outlays are not reported as expenses in the SOA. 7,640,656 The depreciation of capital assets used in governmental activities is not reported in the funds. (3,735,305) Donations of capital assets increase net assets in the SOA but not in the funds. 4,856,992 Certain property tax revenues are deferred in the funds. This is the change in these amounts this year. 5,427 Revenues in the SOA not providing current financial resources are not reported as revenues in the funds. (169,101) Expenses not requiring the use of current financial resources are not reported as expenditures in the funds. 68,574 Repayment of bond principal is an expenditure in the funds but is not an expense in the SOA. 5,482,886 Repayment of capital lease principal is an expenditure in the funds but is not an expense in the SOA. 16,967 Bond issuance costs and similar items are amortized in the SOA but not in the funds. (38,284) (Increase)decrease in accrued interest from beginning of period to end of period. 529,559 The net revenue(expense)of internal service funds is reported with governmental activities. 467,842 Compensated absences are reported as the amount earned in the SOA but as the amount paid in the funds. (125,002) Certain fine revenues are deferred in the funds.This is the change in these amounts this year. (1,560) Proceeds of long-term debt is recognized as other financial resources in the funds but not revenue in the SOA. (743,188) Proceeds of bonds do not provide revenue in the SOA, but are reported as current resources in the funds. (4,043,156) Bond premiums are reported in the funds but not in the SOA. (34,739) Bond discounts are reported in the funds but not in the SOA. 34,364 Change in net assets of governmental activities-statement of activities $ 7,202,237 The accompanying notes are an integral part of this statement. 35 EXHIBIT A-7 CITY OF WYLIE, TEXAS STATEMENT OF NET ASSETS PROPRIETARY FUNDS SEPTEMBER 30, 2007 Nonmajor Enterprise Internal Service Fund Fund Utility Fleet Fund Replacement ASSETS Current Assets: Cash and cash equivalents $ 3,115,760 $ 355,890 Investments 5,017,779 1,123,345 Accounts receivables(net of allowances for uncollectibles): 1,531,999 -- Other receivables 234,885 -- Interest receivable 91,485 7,715 Intergovernmental 27,540 -- Inventories, at cost 56,244 1,823 Prepaid items 21,256 -- Restricted assets: Cash and cash equivalents 1,772,626 -- Investments 10,405,113 -- Accounts receivable 2,977,089 -- Total current assets 25,251,776 1,488,773 Noncurrent Assets: Deferred charges 217,136 -- Capital assets: Land 59,141 -- Buildings 268,801 -- Waterworks system 23,116,169 -- Sewer system 25,713,692 -- Machinery and equipment 114,784 4,606,160 Construction in progress 7,209,958 -- Accumulated depreciation (12,801,163) (1,855,411) Total capital assets(net of accumlated depreciation) 43,681,382 2,750,749 Total noncurrent assets 43,898,518 2,750,749 Total Assets 69,150,294 4,239,522 LIABILITIES Current liabilities: Accounts payable 320,222 14,731 Other payables and accruals 169,223 -- Compensated absences payable 123,660 -- General obligation bonds payable-current 445,601 -- Combination bonds-tax and revenue-current 234,499 -- Revenue bonds payable -current 175,000 -- Accrued interest payable 110,571 -- Liabilities payable from restricted assets: Accounts payable 587,181 -- Customer deposits 319,354 Total current liabilities 2,485,311 14,731 Noncurrent liabilities: General obligation bonds payable 2,391,234 -- Combination bonds-tax and revenue 827,614 -- Revenue bonds payable 10,718,229 -- Total noncurrent liabilities 13,937,077 -- Total Liabilities 16,422,388 14,731 NET ASSETS Invested in capital assets, net of related debt 36,564,901 -- Restricted for debt service 322,849 -- Restricted for construction 8,415,805 -- Unrestricted 7,424,351 4,224,791 Total Net Assets $ 52,727,906 $ 4,224,791 36 EXHIBIT A-8 CITY OF WYLIE, TEXAS STATEMENT OF REVENUES, EXPENSES, AND CHANGES IN FUND NET ASSETS-PROPRIETARY FUNDS FOR THE YEAR ENDED SEPTEMBER 30, 2007 Nonmajor Enterprise Internal Service Fund Fund Utility Fleet Fund Replacement_ OPERATING REVENUES: Water $ 4,022,701 $ -- Sewer 3,672,938 Sewer pass through 4,916 -- Penalties 130,321 -- Water taps 125,127 -- Sewer taps 22,040 -- Reconnect fees 63,241 -- Department user fees -- 1,234,972 Total Operating Revenues 8,041,284 1,234,972 OPERATING EXPENSES: Water purchases 1,659,830 -- Sewer treatment 2,253,173 -- Utility administration 325,929 -- Water department 1,053,123 -- Sewer department 529,455 -- Utility billing 655,104 -- Engineering 413,737 -- Combined services 121,016 -- Other 603,163 58,780 Depreciation and amortization 1,223,840 413,982 Total Operating Expenses 8,838,370 472,762 Operating Income(Loss) (797,086) 762,210 NON-OPERATING REVENUES(EXPENSES): Interest revenue 1,125,118 78,338 Miscellaneous income 174,627 5,154 Interest expense (657,090) -- Total Non-operating Revenues(Expenses) 642,655 83,492 Net Income(Loss) before Transfers and Contributions (154,431) 845,702 TRANSFERS AND CAPITAL CONTRIBUTIONS: Capital contributions 4,019,493 -- Transfers out (450,000) (377,860) Change in net assets 3,415,062 467,842 Net assets, October 1 49,312,844 3,756,949 Net assets, September 30 $ 52,727,906 $ 4,224,791 The accompanying notes are an integral part of this statement. 37 EXHIBIT A-9 CITY OF WYLIE, TEXAS STATEMENT OF CASH FLOWS Governmental PROPRIETARY FUNDS Activities FOR THE YEAR ENDED SEPTEMBER 30, 2007 Enterprise Internal Service Fund Fund Utility Fleet Fund Replacement Cash Flows from Operating Activities: Cash Received from Customers $ 7,910,436 $ -- Cash Receipts(Payments)for Interfund Services to Other Funds -- 1,240,125 Cash Payments to Employees for Services (1,805,251) -- Cash Payments to Other Suppliers for Goods and Services (5,496,694) (45,872) Net Cash Provided(Used)by Operating Activities 608,491 1,194,253 Cash Flows from Non-capital Financing Activities: Transfers To Other Funds (450,000) (377,860) Net Cash Provided (Used) by Non-capital Financing Activities (450,000) (377,860) Cash Flows from Capital and Related Financing Activities: Proceeds from capital debt 8,451,845 -- Principal and interest paid (2,346,842) -- Acquisition or Construction of Capital Assets (4,788,460) (938,925) Capital contributions 1,801,443 -- Net Cash Provided (Used)for Capital& Related Financing Activities 3,117,986 (938,925) Cash Flows from Investing Activities: Interest and Dividends on Investments 1,125,118 70,623 Net Cash Provided(Used)for Investing Activities 1,125,118 70,623 Net Increase(Decrease)in Cash and Cash Equivalents 4,401,595 (51,909) Cash and Cash Equivalents at Beginning of Year 15,909,683 1,531,144 Cash and Cash Equivalents at End of Year $ 20 311,278 $ 1,479,235 Reconciliation to Balance Sheet: Cash $ 3,115,760 355,890 Cash Equivalents in Investments 5,017,779 1,123,345 Restricted Cash 1,772,626 -- Restricted Cash Equivalents in Restricted Investments 10,405,113 -- $ 20,311,278 $ 1,479,235 Reconciliation of Operating Income to Net Cash Provided by Operating Activities: Operating Income(Loss) $ (797,086)$ 762,210 Adjustments to Reconcile Operating Income to Net Cash Provided by Operating Activities Depreciation and amortization 1,223,840 413,982 Miscellaneous Income 174,627 5,154 Change in Assets and Liabilities: Decrease(Increase)in Receivables (320,572) -- Decrease(Increase)in Due from Other Governments (27,540) -- Decrease(Increase)in Inventories (8,406) (1,823) Decrease(Increase)in Prepaids (2,677) -- Decrease(Increase)in Restricted Receivables 108,116 -- Increase(Decrease)in Accounts Payable 153,657 14,730 Increase(Decrease)in Other Payables and Accruals 28,108 -- Increase(Decrease)in Compensated Absences 16,272 -- Increase(Decrease)in Customer Deposits (65,478) -- Increase(Decrease)in Accounts Payable from Restricted Assets 125,630 -- Total Adjustments 1,405,577 432,043 Net Cash Provided (Used)by Operating Activities $ 608,491 $ 1,194,253 Noncash Items: Developer Contributions of Capital Assets $ 2,218,050 $ The accompanying notes are an integral part of this statement. 38 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 I. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES A. Reporting Entity The City of Wylie, Texas, was incorporated in 1887 and operates under the Council-Manager form of government as a duly incorporated home rule city as authorized under the Constitution of the State of Texas, and provides the following services: public safety(police and fire),streets,water,sewer and sanitation,public improvements, planning and zoning, park and recreation,and general administrative services. The accounting policies of the City of Wylie,Texas,conform to generally accepted accounting principals issued by the Governmental Accounting Standards Board which is the recognized financial accounting standard setting body for governmental entities.The notes to the financial statements are an integral part of the City's basic financial statements. The City of Wylie is a home rule municipality governed by an elected mayor and a six member City Council who appoint a City Manager. The City's (primary government)financial statements include its component units. The accompanying basic financial statements comply with the provisions of the GASB Statement No.14,"The Financial Reporting Entity,"in that the financial statements include all organizations,activities,functions and component units for which the City (the "primary government") is financially accountable. Financial accountability is defined as the appointment of a voting majority of a legally separate organization's governing body and either (1) the City's ability to impose its will over the organization, or (2) the potential that the organization will provide a financial benefit to or impose a financial burden on the City. Blended Component Unit The Wylie Park and Recreation Facilities Development Corporation (the 4B Corporation) is presented in the basic financial statements as a blended component unit. A voting majority of the 4B Corporation board is made up of City Council members. All members of the corporation other than the board are City employees. The City Manager is the chief executive operating officer of the 4B Corporation. The purpose of the 4B Corporation, which is financed with a voter approved half-cent sales tax,is to promote economic development within the City through the construction of park and recreation facilities. The 4B Corporation has a September 30 year end. The 4B Corporation's financial, budget,treasury,and personnel functions are totally integrated with the City. All of the 4B Corporation's financial information is presented in the basic and combining financial statements, along with the notes to these financial statements. The 4B Corporation does not issue separate financial statements. Discretely Presented Component Unit The Wylie Economic Development Corporation (WEDC) is a discretely presented component unit in the combined financial statements. The governing board of the WEDC is appointed by the City Council and the WEDC's operating budget is subject to approval of the City Council. The purpose of the WEDC, which is financed with a voter approved half-cent City sales tax, is to aid, promote and further the economic development within the City. The WEDC is presented as a government fund type and has a September 30 year end. Under a contract,the financial,budget,treasury,and personnel functions of the WEDC are integrated with the City. All of WEDC's financial information is presented in the combined and combining financial statements, along with the notes to these financial statements. WEDC does not issue separate financial statements. 39 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 B. Government-wide and Fund Financial Statements The government-wide financial statements(i.e.the statement of net assets and the statement of changes in net assets) report information on all of the nonfiduciary activities of the primary government and its component units. For the most part,the effect of interfund activity has been removed from these statements. Governmental activities,which normally are supported by taxes and intergovernmental revenues,are reported separately from business-type activities, which rely, to a significant extent, on fees and charges for support. Likewise, the primary government is reported separately from certain legally separate component units for which the primary government is financially accountable. The statement of activities demonstrates the degree to which the direct expenses of a given function or segment are offset by program revenues. Direct expenses are those that are clearly identifiable with a specific function or segment. Program revenues include 1)charges to customers or applicants who purchase,use,or directly benefit from goods, services, or privileges provided by a given function or segment and 2) grants and contributions that are restricted to meeting the operational or capital requirements of a particular function or segment. Taxes and other items not properly included among program revenues are reported instead as general revenues. Separate financial statements are provided for governmental funds,proprietaryfunds,and fiduciary funds,even though the latter are excluded from the government-wide financial statements. Major individual enterprise funds are reported as separate columns in the fund financial statements. C. Measurement Focus, Basis of Accounting,and Financial Statement Presentation The government-wide financial statements are reported using the economic resources measurement focus and the accrual basis of accounting,as are the proprietary fund and fiduciary fund financial statements. Revenues are recorded when earned and expenses are recorded when a liability is incurred, regardless of the timing of related cash flows. Property taxes are recognized as revenues in the year for which they are levied. Grants and similar items are recognized as revenue as soon as all eligibility requirements imposed by the provider have been met. Governmental fund financial statements are reported using the current financial resources measurement focus and the modified accrual basis of accounting. Revenues are recognized as soon as they are both measurable and available. Revenues are considered to be available when they are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this purpose,the City considers revenues to be available if they are collected within 60 days of the end of the current fiscal period. Expenditures generally are recorded when a liability is incurred,as under accrual accounting. However, debt service expenditures, as well as expenditures related to compensated absences and claims and judgments,are recorded only when payment is due. Property taxes and interest associated with the current fiscal period are all considered to be susceptible to accrual and so have been recognized as revenues of the current fiscal period. Sales taxes collected and held by the State and merchants at year end on behalf of the City are also recognized as revenue. Franchise taxes, fines and permits,and miscellaneous revenues are not susceptible to accrual because generally they are not measurable until received in cash. The City reports the following major governmental funds: The General Fund is the City's primary operating fund. It accounts for all financial resources of the general government, except those required to be accounted for in another fund. The General Obligation Debt Service Fund accounts for the resources accumulated and payments made for principal and interest on long-term general obligation debt of governmental funds. 40 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30, 2007 The 2006 General Obligations Capital Projects Fund accounts for the construction of the Founder's Park, Fire Station 3,the Library and various street projects. The City reports the following major proprietary fund: The Utility Fund operates the water distribution system, wastewater pumping stations, and collection systems. The City contracts with North Texas Municipal Water district for wastewater treatment. Additionally,the City reports the following fund types: The Special Revenue Funds account for specific revenue sources that are legally restricted to expenditures for specified purposes(not including expendable trusts or major capital projects). The 48 Sales Tax Revenue Fund-accounts for sales tax monies specifically designated for promoting economic development within the City by developing, implementing, providing,and financing park and recreation projects. Parks Acquisition and Improvement Fund-accounts for the development and improvement of City parks. Emergency Communications Fund-accounts for the operations of the 911 dispatch services of the police and fire departments. Fire Training Center-accounts for First Responder fees specifically designated for the construction of the Fire Training Center. Fire Development Fees - accounts contributions specifically designated for the use of the fire department. Municipal Court Technology Fund-accounts for court fines specifically designated for improvements to court technology. Municipal Court Building Security Fund - accounts for court fines specifically designated for additions/improvements to court security. Debt Service Funds account for the accumulation of resources to be used for the payment of principal and interest. 4B Debt Service 1996 Fund-accounts for the accumulation of resources to be used for the payment of principal and interest on the 4B Sales Tax Revenue Bonds-Series 1996. 4B Debt Service 2005 Fund-accounts for the accumulation of resources to be used for the payment of principal and interest on the 4B Sales Tax Revenue Bonds-Series 2005. Capital Projects Funds are used to account for acquisition and construction of major capital facilities(other than those accounted for within the City's proprietary fund). Capital projects are funded primarily by general obligation bonds. The Street Construction Capital Projects Fund accounts for the construction of streets and sidewalks. The Street Perimeter Fund accounts for construction of perimeter streets,curbs and gutters that border new subdivisions. Fees collected from developers are the primary means of financing this fund. The Thoroughfare Impact Fees Fund accounts for fees collected to provide improvements to City thoroughfares by an impact fee assessment. 41 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 The Parks Construction Fund-accounts for the development and construction of parks. The 2007 Public Property Financial Contractual Obligations Capital Projects Fund accounts for the purchase of a new fire truck and related equipment. Internal Service Fund accounts for financial resources set aside annually to replace equipment as its useful life is consumed. Private-sector standards of accounting and financial reporting issued prior to December 1,1989,generally are followed in both the government-wide and proprietary fund financial statements to the extent that those standards do not conflict with or contradict guidance of the Governmental Accounting Standards Board. Governments also have the option of following subsequent private-sector guidance for their business-type activities and enterprise funds,subject to this same limitation. The City has elected not to follow subsequent private-sector guidance. As a general rule the effect of interfund activity has been eliminated from the government-wide financial statements. Exceptions to this general rule are payments-in-lieu of taxes and other charges between the City's water and wastewater function and various other functions of the City. Elimination of these charges would distort the direct costs and program revenues reported for the various functions concerned. Amounts reported as program revenues include 1)charges to customers or applicants for goods,services,or privileges provided,2)operating grants and contributions,and 3)capital grants and contributions,including special assessments. Internally dedicated resources are reported as general revenues rather than as program revenues. Likewise, general revenues include all taxes, miscellaneous revenue, and interest income. Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating revenues and expenses generally result from providing services and producing and delivering goods in connection with a proprietary fund's principal ongoing operations. The principal operating revenues of the Water and Sewer enterprise fund are charges to customers for sales and services. The enterprise utility fund also recognizes as operating revenue the portion of tap fees intended to recover the cost of connecting new customers to the system. Operating expenses for the enterprise fund include the cost of sales and services, administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this definition are reported as nonoperating revenues and expenses. D. Assets, liabilities, and net assets or equity 1. Deposits and investments The City's cash and cash equivalents are considered to be cash on hand,demand deposits,and short-term investments with original maturities of three months or less from the date of acquisition. State statutes authorize the City to invest in (1) obligations of the United States or its agencies and instrumentalities; (2) direct obligations of the State of Texas or its agencies; (3) other obligations, the principal of and interest on which are unconditionally guaranteed or insured by the State of Texas or the United States; (4)obligations of states,agencies,counties,cities,and other political subdivisions of any state having been rated as to investment quality by a nationally recognized investment rating firm and having received a rating of not less than A or its equivalent;(5)certificates of deposit by state and national banks domiciled in this state that are (A) guaranteed or insured by the Federal Deposit Insurance Corporation, or its successor; or, (B) secured by obligations that are described by (1) - (4);or, (6)fully collateralized direct repurchase agreements having a defined termination date,secured by obligations described by(1),pledged with third party selected or approved by the City,and placed through a primary government securities dealer. Investments maturing within one year of date of purchase are stated at cost or amortized cost, all other investments are stated at fair value which is based on quoted market prices. 42 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 2. Receivables and payables Activity between funds that are representative of lending/borrowing arrangements outstanding at the end of the fiscal year are referred to as either"due to/from other funds" (i.e.,the current portion of inter fund loans) or "advances to/from other funds" (i.e., the non-current portion of interfund loans). All other outstanding balances between funds are reported as"due to/from other funds." Any residual balances outstanding between the governmental activities and business-type activities are reported in the government-wide financial statements as'internal balances." Advances between funds,as reported in the fund financial statements,are offset by a fund balance reserve account in applicable governmental funds to indicate that they are not available for appropriation and are not expendable available financial resources. All trade receivables are shown net of an allowance for uncollectibles. Trade accounts receivable in excess of 60 days comprise the trade accounts receivable allowance for uncollectibles. Property taxes are levied on October 1 by the City based on the January 1 property values as assessed by the Collin County Central Appraisal District. Taxes are due without penalty until January 31,of the next calendar year. After January 31 the City has an enforceable lien with respect to both real and personal property. Under state law, property taxes levied on real property constitute a perpetual lien on the real property which cannot be forgiven without specific approval of the State Legislature. Taxes applicable to personal property can be deemed uncollectible by the City. 3. Inventories and prepaid items All inventories are valued at cost using the first-in/first-out(FIFO) method. Inventories of governmental funds are recorded as expenditures when consumed rather than when purchased. Certain payments to vendors reflect costs applicable to future accounting periods and are recorded as prepaid items in both government-wide and fund financial statements. 4. Restricted assets Certain proceeds of enterprise fund revenue bonds and resources set aside for their repayment and contractually obligated assets are classified as restricted assets on the balance sheet because their use is limited by applicable bond covenants or contractual agreements. 5. Capital assets Capital assets,which include property,plant,equipment,and infrastructure assets(e.g.,roads, bridges, sidewalks, and similar items), are reported in the applicable governmental or business-type activities columns in the government-wide financial statements. Capital assets are defined by the City as assets with an initial,individual cost of more than$5,000(amount not rounded)and an estimated useful life in excess of two years. Such assets are recorded at historical cost or estimated historical cost if purchased or constructed. Donated capital assets are recorded at estimated fair market value at the date of donation. The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend assets lives are not capitalized. Major outlays for capital assets and improvements are capitalized as projects are constructed. Interest incurred during the construction phase of capital assets of business-type activities is included as part of the capitalized value of the assets constructed. Property,plant,and equipment of the primary government,as well as the component units,is depreciated using the straight line method over the following estimated useful lives: 43 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 Buildings 20-30 years Improvements other than buildings 20-50 years Machinery and Equipment 3-10 years 6. Compensated absences It is the City's policy to permit employees to accumulate earned but unused vacation and sick pay benefits. A percentage of accrued sick leave is payable on a longevity basis at the time of termination. All vacation and sick leave is accrued when incurred in the government-wide and proprietaryfund financial statements. A liability for these amounts is reported in governmental funds only if they have matured,for example,as a result of employee resignations and retirements. 7. Long-term obligations In the government-wide financial statements,and proprietary fund type in the fund financial statements, long-term debt and other long-term obligations are reported as liabilities in the applicable governmental activities,business-type activities,or proprietary fund type statement of net assets. Bond premiums and discounts, as well as issuance costs, are deferred and amortized over the life of the bonds using the straight line method which approximate the effective interest method. Bonds payable are reported net of the applicable bond premium or discount. Bond issuance costs are reported as deferred charges and amortized over the term of the related debt. In the fund financial statements,governmental fund types recognize bond premiums and discounts,as well as bond issuance costs,during the current period. The face amount of debt issued is reported as other financing sources. Premiums received on debt issuances are reported as other financing sources while discounts on debt issuances are reported as otherfinancing uses. Issuance costs,whether or not withheld from the actual debt proceeds received, are reported as debt service expenditures. 8. Fund equity In the fund financial statements,governmental funds report reservations of fund balance for amounts that are not available for appropriation or are legally restricted by outside parties for use for a specific purpose. Designations of fund balance represent tentative management plans that are subject to change. II. RECONCILIATION OF GOVERNMENT-WIDE AND FUND FINANCIAL STATEMENTS A. Explanation of certain differences between the governmental fund balance sheet and the government-wide statement of net assets: The governmental fund balance sheet includes a reconciliation between fund balance-total governmental funds and net assets—governmental activities as reported in the government-wide statement of net assets. One element of that reconciliation explains that"Other long-term assets are not available to pay for current-period expenditures and are deferred in the funds." The details of this$475,119 difference are as follows: Bonds issuance costs: City $475,119 B. Explanation of certain differences between the governmental fund statement of revenues,expenditures,and changes in fund balances and the government-wide statement of activities: The governmental fund statement of revenues, expenditures, and changes in fund balances includes a reconciliation between net changes in fund balances-total governmental funds and changes in net assets of governmental activities as reported in the government-wide statement of activities. One element of that reconciliation explains that"Revenues in the Statement of Activities not providing current financial resources are not reported as revenues in the funds." The details of this$169,101 are the net change in franchise fees. 44 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 III. DETAILED NOTES ON ALL FUNDS A. Deposits and investments Cash At year end,the carrying amount of the City's cash on hand and deposits was$16,375,187(including restricted cash of$1,772,626). All of the bank balance was covered by federal deposit insurance and collateralized by the pledging financial institution's City's safekeeping account at the Federal Reserve. The carrying amount of deposits for WEDC, the discretely presented components unit, was $65,439. The component units' cash balances are covered by the City's depository contract and therefore, all of the bank balance in the City's depository was covered by federal deposit insurance and collateral pledged by the depository in the City's account at the Federal Reserve. Investments As of September 30,2007,the City and discrete component unit had the following investments: Fair Years to Credit Investment type Value Maturity Rating Primary Government: Government sponsored investment pool (TexPool) $51,418,314 .08 AAA Government sponsored investment pool (LOGIC) 269,382 .08 AAAm 51,687,696 Discrete Component Unit Government sponsored investment pool (TexPool) 205,476 .08 AAA Government sponsored investment pool (LOGIC) 1,077 .08 AAAm 206,553 Total Fair Value $51,894,249 Interest Rate Risk. In accordance with its investment policy,the City manages its exposure to declines in fair value by limiting the weighted average maturity of its portfolio to less than three years. Credit Risk. State law limits investments as described previously in Note I D. Concentration of Credit Risk. The City's investment policy does not allow for an investment in any one issuer (other than investment pools) that is in excess of five percent of the fair value of the City's total investments. Custodial Credit Risk-Deposits. In the case of deposits,this is the risk that in the event of a bank failure,the City's deposits may not be returned to it. The City requires all deposits to be covered by Federal Depository Insurance Corporation (FDIC) insurance and/or collateralized by qualified securities pledged by the City's depository in the City's name and held by the depository's agent. Custodial Credit Risk-Investments. For an investment,this is the risk that, in the event of the failure of the counterparty,the City or Discrete Component Unit will not be able to recover the value of its investments or collateral securities that are in the possession of an outside party. 45 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 The Texas State Comptroller of Public Accounts exercises oversight responsibility over the Texas Local Government Investment Pool ("TexPool"). Oversight includes the ability to significantly influence operations, designation of management and accountability for fiscal matters. Additionally, the State Comptroller has established an advisory board composed both of participants in TexPool and of other persons who do not have a business relationship with TexPool. The advisory Board members review the investment policy and management fee structure. TexPool operates in a manner consistent with the Security and Exchange Commission's Rule 2a-7 of the Investment Company Act of 1940. As such,TexPool uses amortized cost to report net assets and share prices since that amount approximates fair value. Local Government Investment Cooperative(LOGIC)operates in a manner consistent with the SEC's Rule 2a-7 of the Investment Company Act of 1940,to the extent such rule is applicable to its operations. Accordingly, LOGIC uses the amortized cost method permitted by SEC Rule 2a-7 to report net assets and share prices since that amount approximates fair value. The investment activities of LOGIC are administered by third party advisors. There is no regulatory oversight by the State of Texas over LOGIC. B. Receivables Receivables as of year-end for the governments individual major funds and nonmajor,and fiduciary funds in the aggregate, including the applicable allowances for uncollectible accounts, are as follows: General 2006 Debt General Water and Nonmajor General Service Obligation Sewer and Other Total Taxes receivable $267,134 $76,111 $ -- $ -- $ -- $343,245 Allowance for uncollectibles (53,427) (15,222) -- -- -- (68,649) $213,707 $60,889 $ -- $ -- $ -- $274,596 Accounts receivable $341,389 $ -- $ -- $2,000,378 $ -- $2,341,767 Allowance for uncollectibles (105,009) -- -- (468,379) -- (573,388) Net accounts receivable $236,380 $ -- $ -. $1,531,999 $ -- $1,768,379 Other receivables $525,185 $ -- $ -- $234,885 $77,053 $837,123 Allowance for uncollectibles (195,268) -- -- -- (33,271) (228,539) Net other receivables $329,917 $ -- $ -- $234,885 $43,782 $608,584 Interest receivable $46,160 $5,534 $182,116 $91,485 $31,871 $357,166 Intergovernmental $443,521 $ -- $ -- $27,540 $215,700 $686,761 Revenues of the Water and Sewer Fund are reported net of uncollectible amounts. Total uncollectible amounts related to revenues of the current period were$72,579. Receivables in the discrete component unit consist of $215,700 sales tax receivable due from the state, $166,850 in loans to private businesses,and$2,051 in interest receivable. If certain contractual obligations are met by some of these private businesses at a future date, a portion and/or all of the amounts owed from the private businesses may be forgiven. 46 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 Governmental funds report deferred revenue in connection with receivables for revenues that are not considered to be available to liquidate liabilities of the current period.Governmental funds also defer revenue recognition in connection with resources that have been received,but not yet earned.At the end of the current fiscal year, the various components of deferred revenue and unearned revenue reported in the governmental funds were as follows: Unavailable Unearned Delinquent property taxes receivable (General Fund) $184,163 $ -- Court fines(General Fund) 25,292 -- Delinquent property taxes receivable(Debt Service Fund) 54,107 -- Total deferred/unearned revenue for governmental funds $263,562 $ -- The unearned revenue in the discrete component unit results from installment sales of land to local businesses, and is being recognized as the loans financing the sale are collected. C. Capital assets Capital asset activity for the year ended September 30,2007: Primary Government Balance Completed Balance 9/30/06 Additions Retirements Construction 9/30/07 GOVERNMENTAL ACTIVITIES: Capital assets,not being depreciated: Land $23,967,556 $1,703,006 $ -- $ -- $25,670,562 Construction in progress 618,018 6,201,730 -- (521,811) 6,297,937 Total capital assets not being depreciated 24,585,574 7,904,736 -- (521,811) 31,968,499 Capital assets,being depreciated: Buildings 3,731,024 -- -- 521,811 4,252,835 Improvements other than buildings 98,148,612 4,384,177 -- -- 102,532,789 Machinery and equipment 4,472,900 1,183,722 (147,108) -- 5,509,514 Total capital assets being depreciated 106,352,536 5,567,899 (147,108) 521,811 112,295,138 Less accumulated depreciation for: Buildings (1,901,464) (135,821) -- -- (2,037,285) Improvements other than buildings (26,992,094) (3,501,712) -- -- (30,493,806) Machinery and equipment (1,594,278) (511,755) 111,044 -- (1,994,989) Total accumulated depreciation (30,487,836) (4,149,288) 111,044 -- (34,526,080) Total capital assets being depreciated,net 75,864,700 1,418,611 (36,064) 521,811 77,769,058 Governmental activities capital assets,net $100,450,274 $9,323,347 ($36,064) $ -- $109,737,557 47 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 Balance Completed Balance 9/30/06 Additions Retirements Construction 9/30/07 BUSINESS-TYPE ACTIVITIES: Capital assets,not being depreciated: Land $59,141 $ -- $ -- $ -- $59,141 Construction in progress 2,499,342 4,710,616 -- -- 7,209,958 Total capital assets not being depreciated 2,558,483 4,710,616 -- -- 7,269,099 Capital assets,being depreciated: Buildings 268,801 -- -- -- 268,801 Water system 22,130,369 985,800 -- -- 23,116,169 Sewer system 24,403,597 1,310,095 -- -- 25,713,692 Machinery and equipment 114,783 -- -- -- 114,783 Total capital assets being depreciated 46,917,550 2,295,895 -- -- 49,213,445 Less accumulated depreciation for: Buildings (93,334) (8,960) -- -- (102,294) Water system (5,413,742) (558,645) -- -- (5,972,387) Sewer system (5,991,104) (638,592) -- -- (6,629,696) Machinery and equipment (90,786) (5,999) -- -- (96,785) Total accumulated depreciation (11,588,966) (1,212,196) -- -- (12,801,162) Capital assets being depreciated,net 35,328,584 1,083,699 -- -- 36,412,283 Business type activities capital assets,net $37,887,067 $5,794,315 $ -- $ -- $43,681,382 Depreciation expense was charged to functions/programs of the primary government as follows: Governmental activities: General government $478,407 Public safety 105,292 Streets 3,250,595 Community service 314.994 Total depreciation expense-governmental activities $4.149,288 Business-type activities: Water and sewer $1,212,196 48 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 Construction commitments The City has active construction projects as of September 30,2007. The projects include street construction, park improvements, and drainage improvements. Funding Spent to Remaining Project Source Date Commitment Alanis [A] $1,121,685 $1,478,315 FM 1378 [A] 122,926 10,009,074 Stone Road Phase 1 and 2 [A] 3,245,381 7,104,619 Brown Street East [A] 112,663 6,187,338 Fire Station 3 [A] 214,720 3,285,280 Library [A] 291,973 7,848,027 City Hall [A] 542,689 8,102,311 Recreation Center [A] 544,061 9,655,939 Founders Park [A] 503,179 4,966,821 Creekside Distribution Line [B] 624,581 1,225,919 Creekside Elevated Storage Tank [C] 2,500,927 258,073 Nortex Pump Station [D] 1,147,215 2,785 $10,972,000 $60,124,501 [A] Funded by general obligation bond proceeds. [B] Funded by water revenue bonds and water impact fees. [C] Funded by water impact fees. [D] Funded by water revenue bonds. D. Interfund receivables, payables, and transfers The composition of interfund balances as of September 30,2007, is as follows: Interfund Receivable/Payable Fund Receivable Payable Major Governmental Funds General Fund $525,694 $ -- Total Major Governmental Funds 525,694 -- Nonmajor Governmental Funds General Obligation Debt Service -- 512,447 4B Sales Tax Revenue -- 13,247 Total Nonmajor Governmental Funds -- 525,694 Totals $525,694 $525,694 Interfund receivables and payables arise from overdrafts in pooled cash and pooled investments. 49 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 Interfund transfers: Fund Transfer In Transfer Out Major Governmental Funds General Fund $827,860 $690,693 General Obligation Debt Service 641,903 -- 2006 General Obligation 232,794 641,903 Total Major Governmental Funds 1,702,557 1,332,596 Nonmajor Governmental Funds Emergency Communication 460,000 -- 4B Sales Tax Revenue -- 557,970 Fire Truck Training center 49,230 -- Municipal Court Tech Fund 95,044 -- Municipal Court Security Fund 86,420 -- 4B Debt Service 1996 139,660 -- 4B Debt Service 2005 418,310 -- Perimeter Street Fund -- 174,157 Parks Construction Fund -- 58,638 Total Nonmajor governmental funds 1,248,664 790,765 Water Utility Fund -- 450,000 Internal Service Funds -- 377,860 Totals $2,951,221 $2,951,221 Interfund transfers provide funds for debt service,contributions for capital construction,cost allocations and other operational costs as determined by the annual budget. E. Long-term debt The City of Wylie issues general obligation bonds,certificates of obligation bonds,contractual obligation bonds and notes to provide funds for the acquisition and construction of major capital facilities. General obligation bonds have been issued for both governmental and business-type activities. These issues are direct obligations and pledge the full faith and credit of the City. 50 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 General Debt Currently Outstanding: Original Year of Final Interest Balance Purpose Amount Issue Maturity Rate 9/30/07 General Long-Term Debt Issues General Obligation Bonds: Improvements $2,700,000 1/1/97 8/15/17 4.90%-8.75% $75,000 Improvements 3,200,000 9/14/99 2/15/19 5.00%-6.50% 445,000 Improvements 2,000,000 8/22/00 2/15/20 5.00%-6.50% 455,000 Improvements 4,500,000 9/1/01 2/15/21 4.25%-5.00% 3,615,000 Improvements 2,500,000 9/15/02 2/15/22 3.625%-4.50% 2,080,000 Improvements and refunding 7,525,000 1/01/05 2/15/25 3.00%-4.50% 6,700,000 Improvements 35,325,000 3/15/06 2/15/27 4.00%-4.50% 35,325,000 Improvements and refunding 4,043,155 3/15/07 2/15/27 4.00%-4.13% 4,043,155 Total General Obligation Bonds 52,738,155 Comb.Tax/Revenue Bonds: Improvements 6,225,000 1/01/05 2/15/25 3.00%-5.00% 5,790,000 Total Comb.Tax/Revenue Bonds 5,790,000 Contractual Obligations: Improvements 904,000 2/01/06 2/01/16 4.55% 712,690 Improvements 750,000 2/15/07 2/15/27 4.855% 750,000 1,462,690 Total General Long-Term Debt 59,990,845 51 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 Original Year of Final Interest Balance Purpose Amount Issue Maturity Rate 9/30/07 Proprietary Debt Issues General Obligation Bonds: Improvements $1,200,000 1/01/97 8/15/17 4.90%-8.75% $60,000 Improvements and refunding 2,795,000 1/01/05 2/15/25 3.00%-4.50% 2,005,000 Improvements and refunding 771,845 3/15/07 2/15/27 400%-4.13% 771,845 Total General Obligation Bonds 2,836,845 Certificates of Obligation Improvements 7,680,000 1/01/07 2/15/27 4.00%-4.50% 7,680,000 Contractual Obligations: Improvements 1,206,000 2/01/06 2/01/16 4.55% 1,057,000 Total Proprietary Debt 11,573,845 Total General Debt $71,564,690 Annual debt service requirements to maturity for general debt: Governmental Activities Business Type Activities Year Principal Interest Principal Interest Total 2008 $1,874,293 $2,614,457 $680,109 $585,639 $5,754,498 2009 1,967,258 2,527,801 723,161 427,623 5,645,843 2010 1,530,018 1,053,167 748,993 401,723 3,733,901 2011 2,598,332 2,368,660 646,505 376,350 5,989,847 2012 2,887,667 2,246,235 675,216 349,955 6,159,073 2013-2017 16,183,157 9,104,157 3,259,980 1,323,398 29,870,692 2018-2022 17,230,120 5,517,945 2,244,881 799,424 25,792,370 2023-2027 15,720,000 1,724,020 2,595,000 295,625 20,334,645 Total $59,990,845 $27,156,442 $11,573,845 $4,559,737 $103,280,869 REVENUE BONDS.The City issues revenue bonds where the City pledges income derived from the acquired or constructed assets,or sales tax to pay the debt service. 52 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 Revenue bonds outstanding at year end are as follows: Original Year Final Interest Balance Purpose Amount Issue Maturity Rate 9/30/07 Sales Tax Revenue Bonds Improvements $1,710,000 1/1/96 2/15/16 5.35%-5.55% $1,035,000 Water and Sewer Revenue Bonds Improvements 1,380,000 9/14/99 2/15/19 5.40%-6.50% 1,000,000 Improvements 1,720,000 8/22/00 2/15/20 5.13%-6.13% 1,345,000 Improvements 1,150,000 9/15/02 2/15/22 3.55%-5.00% 955,000 Total Water and Sewer Revenue Bonds 3,300,000 Total Revenue Bonds $4,335,000 Annual debt service requirements to maturity for revenue bonds: Governmental Activities Business Type Activities Year Principal Interest Principal Interest Total 2008 $90,000 $54,945 $175,000 $163,245 $483,190 2009 95,000 49,811 185,000 153,097 482,908 2010 100,000 44,400 195,000 143,010 482,410 2011 105,000 38,711 205,000 132,891 481,602 2012 115,000 32,606 220,000 122,549 490,155 2013-2017 530,000 61,051 1,295,000 433,847 2,319,898 2018-2022 -- -- 1,025,000 94,807 1,119,807 Total $1,035,000 $281,524 $3,300,000 $1,243,446 $5,859,970 53 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 CHANGES IN LONG-TERM LIABILITIES Long-term liability activity for the year ended September 30,2007,was as follows: Balance Balance Due Within 9/30/06 Additions Retirements 9/30/07 One Year Governmental activities: General obligation bonds $53,613,889 $4,043,155 ($4,918,889) $52,738,155 $1,479,389 Combination tax revenue bonds 6,010,000 -- (220,000) 5,790,000 230,000 Certificates of obligation -- -- (65,000) -- -- Contractual obligation 841,659 750,000 (128,969) 1,462,690 164,903 Sales tax revenue bond 1,115,000 (80,000) 1,035,000 90,000 Unamortized premium (discount) 125,210 (6,376) 118,834 -- Deferred loss(gain)on refunding 93,208 (157,477) (156,765) (221,034) -- Total bonds payable 61,798,966 4,635,678 (5,575,999) 60,923,645 1,964,292 Capital lease obligations 16,967 -- (16,967) -- -- Compensated absences 500,610 312,575 (187,575) 625,610 408,648 Governmental activity Long-Term Liabilities $62,316,543 $4,948,253 ($5,780,541) $61,549,255 $2,372,940 Business-type activities: General obligation bonds $3,226,111 $771,845 ($1,161,111) $2,836,845 $445,601 Revenue bonds 3,460,000 -- (160,000) 3,300,000 175,000 Certificates of obligation -- 7,680,000 -- 7,680,000 130,000 Contractual obligations 1,157,710 -- (99,901) 1,057,809 104,499 Unamortized premium (discount) 5,801 (85,736) 1,789 (78,146) -- Deferred loss(gain)on refunding (36,250) 29,129 2,790 (4,331) -- Total bonds payable 7,813,372 8,395,238 (1,416,433) 14,792,177 855,100 Capital lease obligations 185,000 -- (185,000) -- -- Compensated absences 107,388 67,052 (50,780) 123,660 80,775 Business-type activities Long-Term Liabilities $8,105,760 $8,462,290 ($1,652,213) $14,915,837 $935,875 Refunded Debt In 2007,the City issued$4,815,000 of general obligation refunding bonds to provide resources to purchase U.S. Government securities that were placed in an irrevocable trust for the purpose of generating resources for all future debt service payments on$4,610,000 of refunded debt. As a result,the refunded bonds are considered to be defeased and the liability has been removed from the City's long-term debt. This advance refunding was undertaken to reduce total debt service payments over the next 14 years by $290,301 and resulted in an 54 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 economic gain of $232,468. At September 30, 2007 the amount outstanding on this refunded issue was approximately$2,955,000. For the governmental activities,claims and judgements and compensated absences are generally liquidated by the general fund. Discretely presented component unit-Wylie Economic Development Corporation: Loans Payable $878,372,payable to bank,made August 26,2005,payable in monthly installments of$7,320 through October 26,2015, including interest at 5.75% $710,018 $289,956, payable to bank, made March 1, 2004, payable in monthly installments of $5,741 through March 1, 2009, including interest at 7.00%,with a final balloon payment 92,664 $340,000,payable to individual,made July 25,2006,payable in monthly installments of$3,775 through July 25, 2016, including interest at 6.00% 309,991 Total loans payable $1,112,673 Annual debt service requirements to maturity for discrete component unit debt is: Loan Payable to Bank Year Principal Interest Total 2008 $179,733 $60,807 $240,540 2009 145,184 50,114 195,298 2010 118,770 42,770 161,540 2011 120,678 35,811 156,489 2012 122,704 25,734 148,438 2013-2016 425,604 42,736 468,340 Total $1,112,673 $257,972 $1,370,645 CHANGES IN LONG-TERM LIABILITIES Long-term liability activity for the year ended September 30,2007,was as follows: Balance Balance Due Within 9/30/06 Additions Retirements 9/30/07 One Year Discrete Component Unit: $ Loans payable $1,286,467 -- ($173,794) $1,112,673 $179,734 Compensated absences 23,021 14,374 (10,077) 27,318 17,844 Long-Term Liabilities $1,309,488 $14,374 ($183,871) $1,139,991 $197,578 55 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 IV. OTHER INFORMATION A. Risk management The City is exposed to various risks of loss related to torts,theft of,damage to,and destruction of assets;errors and omissions;injuries to employees;employee health benefits;and other claims of various natures. The City purchases commercial insurance to indemnify it in event of loss. For the past three years,settlements did not exceed coverage. B. North Texas Municipal Water District The District is a conservation and reclamation district and political subdivision of the State of Texas,created and functioning under Chapter 62,Acts of 1951,52nd Legislature, Regular Session, as amended, originally compiled as Vernon's Article 8270-141 (the"Act"),pursuant to Article 16,Section 59 of the Texas Constitution. The District comprises all of the territory of its member cities,viz.,Allen,Garland, Princeton,Plano, Mesquite, Wylie,Rockwall,Farmersville,McKinney,Richardson,Forney and Royse City(the"Member Cities").The District was created for the purpose of providing a source of water supply for municipal,domestic and industrial use and for the treatment processing and transportation of such water to its Member Cites and to its other customers located in North Central Texas,all within the Dallas Standard Metropolitan Statistical Area. Under the Act, including specifically Section 27 thereof,and under the Constitution and Statutes of the State of Texas,the District has broad powers to(1)impound,control,store,preserve,treat,transmit and use storm and flood water,the water of rivers and streams and underground water,for irrigation, power and all other useful purposes and to supply water for municipal, domestic, power, industrial and commercial uses and purposes and all other beneficial uses and purposes;and(2)collect,transport,process,treat,dispose of,and control all municipal, domestic, industrial or commercial waste whether in fluid, solid or composite state, including specifically the control,abatement or reduction of all types of pollution.The City retains no ongoing financial interest equity investments and/or responsibilities for the District other than the contractual arrangements discussed more fully herein. Muddy Creek Regional Wastewater System In May 1999,the Cities of Wylie and Murphy in Collin County entered into a contract with the District to provide for the acquisition, construction, improvement, operation, and maintenance of the Regional Muddy Creek Wastewater System(System)for the purpose of providing facilities to adequately receive,transport,treat,and dispose of wastewater. The District will own the System with Wylie and Murphy as the initial participants. The District will issue approximately$20 million in bonds to construct this new facility. Budget calculations for operating cots and debt service for the System on the service commencement date is based on the following estimated flow ratio:City of Wylie-2/3 and Murphy-1/3. "Service Commencement Date"means the first date upon which the System is available to treat wastewater from the participants. Wylie's long-term commitment to the System's debt service component is approximately$13.3 million. The District will send each participant a letter detailing the annual requirement necessary to operate the System each year. The annual requirement budget will include an operation and maintenance component and a bond service component. The budgeting ratio described earlier is only valid for the first year of System operations. In subsequent years,budgets and year-end audits will be based on actual flow ratios. For example,if the flow measurements indicate that 60%of the flow is produced by Wylie and 40%by Murphy,then the next year's operating and debt service components would be allocated using a 60/40 split. If in the future, additional participants are added,then the flow ratios will be adjusted using the above method. The contract with the District has a clause for"Credit for Payments Relating to the System. This clause states: "Each participant shall be entitled to a credit in an amount equal to any funds advanced by such Participant with the approval of the District for land,engineering,construction or other costs related to the System and/or the financing thereof". All credits for advances made prior to the Service Commencement Date shall bear interest from the date of such advance at a rate equal to the net effective interest rate on the initial issue of the bonds hereunder. The City of Wylie has four such credits at this time. All credits for advances made prior to 56 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30, 2007 the Service Commencement Date shall be amortized over a period of twenty years,with such amortization to commence on October 1 of the Fiscal Year following the Service Commencement Date. At September 30, 2005,the City had recorded$3,188,849 as a restricted accounts receivable. This amount is being amortized over a twenty year period commencing with fiscal year 2006. The amortization was$108,116 for 2007. C. Contingent Liabilities and Commitments Amounts received or receivable from grantor agencies are subject to audit and adjustment by such agencies. Any disallowed claims,including amounts already collected may constitute a liability of the applicable funds. The amounts,if any,of expenditures which may be disallowed by the grantor cannot be determined at this time although the City expects such amounts, if any,to be immaterial. The City periodically is defendant in various lawsuits. At September 30,2007,after consultation with the City's attorney,the City is not aware of any pending litigation. As described in Note IV E above,the general revenues of the City are contingently liable for the$2,836,845 payable in General Obligation Bonds which are currently outstanding and recorded as obligations of the Enterprise Fund. The City contracts for garbage disposal with a third party.Under the terms of the agreement the city bills and collects the residential billing and remits that amount to the contracting party. The contractor bills the commercial customers and remits a franchise fee to the City based on total revenues received from the contract. The Wylie Economic Development Corporation provides monetary incentives to companies to relocate within the City of Wylie. At September 30,2007,these commitments totaled$195,610. D. Employee retirement systems and pension plans The City participates in the Texas Municipal Retirement System. Plan Description-The City provides pension benefits for all of its full-time employees through a nontraditional, joint contributory,hybrid defined benefit plan in the state-wide Texas Municipal Retirement System(TM RS),one of over 821 administered by TMRS,an agent multiple-employer public employee retirement system. Each of the 821 municipalities has an annual, individual actuarial valuation performed. All assumptions for the December 31,2006 valuations are contained in the 2006 TM RS Comprehensive Annual Financial Report which can be obtained by writing to P.O. Box 149153,Austin,Texas, 78714-9153. Benefits depend upon the sum of the employee's contributions to the plan,with interest,and the City-financed monetary credits, with interest. At the date the plan began, the City granted monetary credits for service rendered before the plan began of a theoretical amount equal to two times what would have been contributed by the employee,with interest, prior to establishment of the plan. Monetary credits for service since the plan began are a percent(100%)of the employee's accumulated contributions. In addition,the City can grant as often as annually another type of monetary credit referred to as an updated service credit which is a theoretical amount which,when added to the employee's accumulated contributions and the monetary credits for service since the plan began, would be the total monetary credits and employee contributions accumulated with interest if the current employee contribution rate and City matching percent had always been in existence and if the employee's salary had always been the average of his salary in the last three years that are one year before the effective date. At retirement,the benefit is calculated as if the sum of the employee's accumulated contributions with interest and the employer-financed monetary credits with interest were used to purchase an annuity. The plan provisions are adopted by the governing body of the City,within the options available in the state statutes governing TMRS and within the actuarial constraints also in the statutes. Plan provisions for the City were as follows: 57 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 Deposit rate: 7% Matching Ratio (City to Employee): 2-1 Members can retire at ages 60 and above with 5 or more years of service or with 20 years of service regardless of age. A member is vested after 5 years. Contributions-Under the state law governing TMRS,the actuary annually determines the City contribution rate. The rate consists of the normal cost contribution rate and the prior service contribution rate,both of which are calculated to be a level percent of payroll from year to year. The normal cost contribution rate finances the currently accruing monetary credits due to the City matching percent,which are the obligation of the City as of an employee's retirement date, not at the time the employee's contributions are made. The normal cost contribution rate is the actuarially determined percent of payroll necessary to satisfy the obligation of the City to each employee at the time his/her retirement becomes effective. The prior service contribution rate amortizes the unfunded(overfunded)actuarial liability(asset)overthe remainder of the plan's25-year amortization period. The unit credit actuarial cost method is used for determining the City contribution rate. Both the employees and the City make contributions monthly. Since the City needs to know its contribution rate in advance for budgetary purposes,there is a one-year delay between the actuarial valuation that is the basis for the rate and the calendar year when the rate goes into effect, i.e. December 31, 2006 valuation is effective for rates beginning January 2008. Schedule of Actuarial Liabilities and Funding Progress Actuarial Valuation Date 12/31/06 12/31/05 12/31/04 Actuarial Value of Assets $10,293,842 $9,134,898 $7,984,378 Actuarial Accrued Liabilities 13,150,242 11,288,216 9,649,974 Percentage Funded 78.3% 80.9% 82.7% Unfunded (Over-funded)Actuarial Accrued Liability(UAAL) 2,856,400 2,153,318 1,665,596 Annual Covered Payroll 8,882,520 8,137,334 7,138,199 UAAL as a Percentage of Covered Payroll 32.7% 26.5% 23.3% Net Pension Obligation (N PO) at the Beginning of Period -- -- -- Annual Pension Cost: Annual Required Contribution (ARC) 889,419 800,429 819,210 Interest on NPO -- -- -- Adjustment to the ARC -- -- -- 889,419 800,429 819,210 Contributions Made(100%) 889,419 800,429 819,210 Increase in NPO -- -- -- NPO at the End of Period $ -- $ -- $ -- 58 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 Actuarial Assumptions Actuarial Cost Method Unit Credit Amortization Method Level Percent of Payroll Remaining Amortization 25 Years-Open Period Asset Valuation Method Amortized Cost Investment Rate of Return 7% Projected Salary Increases None Includes Inflation At None Cost of Living Adjustments None E. Related Party Transactions The chairman of the board of directors of the Wylie Economic Development Corporation(WEDC)is the branch president of a local bank. During the year ended September 30,2005,WEDC entered into a loan agreement with this bank for$878,372,payable over a ten year term,with interest rates of 5.75%for the first five years and 6.20%for the next five years. At September 30,2007,the unpaid balance of this loan was$710,018. F. Condensed Financial Information for Discrete Component Unit Following is selected condensed financial statement information for the fund basis financial statements of the Wylie Economic Development Corporation: Balance Sheet WEDC Assets Current assets $2,877,544 Total Assets $2,877,544 Liabilities Current liabilities $342,870 Deferred revenue 157,958 Total Liabilities 500,828 Fund Balance 2,376,716 Total Liabilities and Fund Balance $2,877,544 59 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 Revenues and Expenditures WEDC Revenues $1,293,970 Current Expenditures 1,243,917 Debt service 247,490 Total expenditures 1,491,407 Deficiency of revenues under expenditures (197,437) Other financing sources -- Net change in fund balances (197,437) Fund balance October 1 2,584,653 $2,387,216 Following are reconciliations between the government-wide financial statements and the fund basis financial statements for WEDC: Reconciliation of Balance Sheet WEDC Total fund balance $2,387,216 Capital assets not reported in the funds -- Accrued interest payable (5,197) Payable for loan principal not due currently (1,112,673) Payables for compensated absences (27,318) Net Assets-statement of net assets $1,242,028 Reconciliation of Statement of Revenues, Expenditures and Fund Balances WEDC Net change in fund balances ($197,437) Repayment of loan principal 173,794 Change in compensated absences (4,297) Change in net assets ($27,940) G. Land Acquisition The discrete component unit owns property with a carrying value of$2,013,395. This property is held as an incentive to attract businesses. 60 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 H. Restatement The City preformed a detailed inventory of capital assets and adjusted the general ledger to the inventory as of September 30,2006. Additionally,the City discovered that it had not been billed for certain amounts due the vendor who provides sanitation services. Prior year financial statements have been restated to reflect corrections to the accounts as follows: As Reported Inventory Balance 9/30/06 Adjustment 9/30/07 GOVERNMENTAL ACTIVITIES: Capital assets, not being depreciated: Land $25,057,852 ($1,090,296) $23,967,556 Construction in progress 618,018 -- 618,018 Total capital assets not being depreciated 25,675,870 (1,090,296) 24,585,574 Capital assets, being depreciated: Buildings 4,426,402 (695,378) 3,731,024 Improvements other than buildings 102,724,249 (4,575,637) 98,148,612 Machinery and equipment 9,038,653 (4,565,753) 4,472,900 Total capital assets being depreciated 116,189,304 (9,836,768) 106,352,536 Less accumulated depreciation for: Buildings (1,777,328) (124,136) (1,901,464) Improvements other than buildings (26,402,090) (590,004) (26,992,094) Machinery and equipment (5,458,975) 3,864,697 (1,594,278) Total accumulated depreciation (33,638,393) 3,150,557 (30,487,836) Total capital assets being depreciated, net 82,550,911 (6,686,211) 75,864,700 Governmental activities capital assets, net $108,226,781 ($7,776,507) $100,450,274 61 CITY OF WYLIE, TEXAS NOTES TO THE FINANCIAL STATEMENTS Year Ended September 30,2007 As Reported Inventory As Restated 9/30/06 Adjustment 9/30/06 BUSINESS-TYPE ACTIVITIES: Capital assets, not being depreciated: Land $59,141 $ -- $59,141 Construction in progress 2,407,582 91,760 2,499,342 Total capital assets not being depreciated 2,466,723 91,760 2,558,483 Capital assets, being depreciated: Buildings 27,888 240,913 268,801 Water system 21,763,816 366,554 22,130,370 Sewer system 24,729,793 (326,196) 24,403,597 Machinery and equipment 509,557 (394,773) 114,784 Total capital assets being depreciated 47,031,054 (113,502) 46,917,552 Less accumulated depreciation for: Buildings (22,049) (71,285) (93,334) Water system (5,210,466) (203,276) (5,413,742) Sewer system (6,309,300) 318,196 (5,991,104) Machinery and equipment (433,522) 342,736 (90,786) Total accumulated depreciation (11,975,337) 386,371 (11,588,966) Capital assets being depreciated, net 35,055,717 272,869 35,328,586 Business type activities capital assets, net $37,522,440 $364,629 $37,887,069 Accounts payable and other current liabilities, governmental activities $1,802,328 $94,575 $1,896,903 Net assets,governmental activities 96,799,087 (7,870,581) 88,928,506 Net assets, business type activities 48,948,216 364,628 49,312,844 Accounts payable, General Fund 1,028,347 94,575 1,122,922 Fund balance, General Fund 6,117,770 (94,575) 6,023,195 62 Required Supplementary Information Required supplementary information includes financial information and disclosures required by the Governmental Accounting Standards Board but not considered a part of the basic financial statements. 63 CITY OF WYLIE, TEXAS EXHIBIT B-1 GENERAL FUND Page 1 of 2 BUDGETARY COMPARISON SCHEDULE FOR THE YEAR ENDED SEPTEMBER 30, 2007 Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) Revenues: Ad valorem taxes $ 10,413,900 $ 10,413,900 $ 10,405,273 $ (8,627) Non-property taxes 2,282,260 2,282,260 2,387,645 105,385 Franchise fees 1,671,130 1,671,130 1,908,984 237,854 Licenses and permits 1,153,000 1,153,000 1,056,919 (96,081) Intergovernmental 300,480 345,440 683,854 338,414 Services fees 1,800,900 2,025,900 2,023,862 (2,038) Court fees 541,000 541,000 558,403 17,403 Interest income 100,000 260,000 459,910 199,910 Miscellaneous income 92,500 121,970 153,963 31,993 Total revenues 18,355,170 18,814,600 19,638,813 824,213 Expenditures: Current: General government City Council 129,500 129,500 104,786 24,714 City Manager 438,900 438,900 397,059 41,841 City Secretary 234,221 234,220 208,378 25,842 City Attorney 133,000 133,000 96,605 36,395 Municipal Court 272,660 272,340 256,183 16,157 Finance 653,430 694,130 622,550 71,580 Building and Fleet Maintenance 164,150 186,150 169,483 16,667 Support Services -- -- 868 (868) Human Resources 191,070 191,070 184,719 6,351 Purchasing 104,340 104,140 98,909 5,231 Information Technology 234,020 234,020 225,908 8,112 Combined Services/General 2,014,760 2,455,760 2,416,042 39,718 Total General Government 4,570,051 5,073,230 4,781,490 291,740 Public Safety Police 4,480,780 4,490,396 4,123,090 367,306 Fire 4,179,640 4,347,260 3,945,078 402,182 Animal Control 268,140 311,970 268,706 43,264 Total Public Safety 8,928,560 9,149,626 8,336,874 812,752 Urban development Planning 424,610 424,610 300,394 124,216 Building Inspection 681,580 680,970 656,196 24,774 Code Enforcement 148,690 148,460 123,734 24,726 Total Urban development 1,254,880 1,254,040 1,080,324 173,716 Streets Streets 1,954,540 1,952,290 1,470,049 482,241 Total Streets 1,954,540 1,952,290 1,470,049 482,241 64 CITY OF WYLIE, TEXAS EXHIBIT B-1 GENERAL FUND Page 2 of 2 BUDGETARY COMPARISON SCHEDULE FOR THE YEAR ENDED SEPTEMBER 30, 2007 Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) Community service Parks $ 1,326,440 $ 1,326,210 $ 1,182,364 $ 143,846 Recreation 275,540 307,540 296,483 11,057 Library 660,470 669,430 610,817 58,613 Total Community Service 2,262,450 2,303,180 2,089,664 213,516 Total expenditures 18,970,481 19,732,366 17,758,401 1,973,965 Excess(deficiency)of revenues over (under)expenditures (615,311) (917,766) 1,880,412 2,798,178 Other financing sources(uses): Transfers in 827,860 827,860 827,860 -- Transfers out (503,000) (674,230) (690,693) (16,463) Sale of fixed assets -- -- (13,693) (13,693) Total other financing sources(uses) 324,860 153,630 123,474 (30,156) Net change in fund balances (290,451) (764,136) 2,003,886 2,768,022 Fund balances, October 1 6,023,195 6,023,195 6,023,195 -- Fund balances, September 30 $ 5,732,744 $ 5,259,059 $ 8,027,081 $ 2,768,022 65 CITY OF WYLIE, TEXAS NOTES TO REQUIRED SUPPLEMENTARY INFORMATION Year Ended September 30, 2007 STEWARDSHIP,COMPLIANCE,AND ACCOUNTABILITY A. Budgetary information The City follows the following procedures in establishing the budgetary data reflected in the financial statements: 1. Public hearings are conducted to obtain taxpayer comments. 2. Prior to October 1,the budget is legally enacted through passage of an ordinance. 3. The City Manager is authorized to transfer budgeted amounts between departments within any fund; however,any revisions that alter the total expenditures of any fund must be approved by the City Council. Therefore the fund level is the legal level of control. 4. Budgeted amounts are as originally adopted or as amended by the City Council.During 2007,individual amendments were not material in relation to the original appropriations. Any budgeted amounts appropriated at fiscal year-end and not spent automatically lapse. 5. Capital Project funds were not budgeted.Since project length financial plans usually extend into two or more fiscal years,this makes comparisons confusing and misleading. 6. Formal budgetary integration is employed as a management control device during the year.The legally adopted budgets for the General Fund,Special Revenue Funds, and the Debt Service Funds are adopted on a basis consistent with generally accepted accounting principles. Annual appropriated budgets are adopted for the following funds: General Fund Special Revenue Funds 4B Sales Tax Revenue Fund Park Acquisition and Improvement Fund Emergency Communications Fund Fire Training Center Debt Service Funds General Obligation Debt Service 4B Debt Service 1996 4B Debt Service 2005 All annual appropriations lapse at fiscal year end. B. Excess of expenditures over appropriations The following funds had expenditures in excess of appropriations: DEBT SERVICE FUNDS Debt Service Fund $26,580 4B Debt Service 1996 718 4B Debt Service 2005 298 66 Combining Statements and Budget Comparisons as Supplementary Information This supplementary information includes financial statements and schedules not required by the Governmental Accounting Standards Board, nor a part of the basic financial statements, but are presented for purposes of additional analysis. 67 EXHIBIT C-1 CITY OF WYLIE, TEXAS COMBINING BALANCE SHEET NONMAJOR GOVERNMENTAL FUNDS SEPTEMBER 30, 2007 Total Nonmajor Special Debt Capital Governmental Revenue Service Projects Funds(See Funds Funds Funds Exhibit A-3) ASSETS Cash and cash equivalents $ 543,018 $ 43,764 $ 1,096,610 $ 1,683,392 Investments 1,714,002 136,134 3,461,375 5,311,511 Receivables(net of allowances for uncollectibles): Other 36,067 -- 7,715 43,782 Interest receivable 8,278 1,143 22,379 31,800 Intergovernmental 215,700 -- -- 215,700 Prepaid items 11,120 -- -- 11,120 Total Assets $ 2,528,185 $ 181,041 $ 4,588,079 $ 7,297,305 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ 90,033 $ -- $ 24,736 $ 114,769 Other payables and accruals 61,859 -- -- 61,859 Retainage payable -- -- 188,551 188,551 Due to other funds 13,247 -- -- 13,247 Total Liabilities 165,139 -- 213,287 378,426 Fund balances: Reserved for: Debt service -- 181,041 -- 181,041 Unreserved, reported in: Special revenue funds 2,363,046 -- -- 2,363,046 Capital projects funds -- -- 4,374,792 4,374,792 Total fund balances 2,363,046 181,041 4,374,792 6,918,879 Total Liabilities and Fund Balances $ 2,528,185 $ 181,041 $ 4,588,079 $ 7,297,305 68 EXHIBIT C-2 CITY OF WYLIE, TEXAS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES NONMAJOR GOVERNMENTAL FUNDS FOR THE YEAR ENDED SEPTEMBER 30, 2007 Total Nonmajor Special Debt Capital Governmental Revenue Service Projects Funds(See Funds Funds Funds Exhibit A-5) Revenues: Sales taxes $ 1,188,149 $ -- $ -- $ 1,188,149 Intergovernmental 100,496 -- -- 100,496 Services fees 533,453 -- -- 533,453 Court fees 28,847 -- -- 28,847 Interest income 87,159 11,295 227,299 325,753 Miscellaneous income 621,357 1,838 584,353 1,207,548 Total revenues 2,559,461 13,133 811,652 3,384,246 Expenditures: Current: Public Safety 1,020,265 -- -- 1,020,265 Community service 936,916 -- -- 936,916 Capital outlay -- -- 873,016 873,016 Debt service: Principal -- 278,000 -- 278,000 Interest and fiscal charges -- 280,986 -- 280,986 Bond issuance costs -- -- 6,813 6,813 Total expenditures 1,957,181 558,986 879,829 3,395,996 Excess(deficiency)of revenues over (under)expenditures 602,280 (545,853) (68,177) (11,750) Other financing sources(uses): Transfers in 690,694 557,970 -- 1,248,664 Transfers out (557,970) -- (232,795) (790,765) Issuance of long-term debt -- -- 750,000 750,000 Total other financing sources(uses) 132,724 557,970 517,205 1,207,899 Net change in fund balances 735,004 12,117 449,028 1,196,149 Fund balances, October 1 1,628,042 168,924 3,925,764 5,722,730 Fund balances, September 30 $ 2,363,046 $ 181,041 $ 4,374,792 $ 6,918,879 69 CITY OF WYLIE, TEXAS COMBINING BALANCE SHEET NONMAJOR SPECIAL REVENUE FUNDS SEPTEMBER 30, 2007 4B Sales Park Acquisition Emergency Tax Revenue & Improvement Communication ASSETS Cash and cash equivalents $ 132,024 $ 173,434 $ 116,696 Investments 416,727 547,434 368,347 Receivables(net of allowances for uncollectibles): Other -- -- 29,414 Interest receivable 2,392 2,407 2,220 Intergovernmental 215,700 -- -- Prepaid items 3,191 -- 7,929 Total Assets $ 770,034 $ 723,275 $ 524,606 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ 3,962 $ 23,364 $ 23,609 Other payables and accruals 8,837 44,000 9,022 Due to other funds 13,247 -- -- Total Liabilities 26,046 67,364 32,631 Fund balances: Unreserved 743,988 655,911 491,975 Total fund balances 743,988 655,911 491,975 Total Liabilities and Fund Balances $ 770,034 $ 723,275 $ 524,606 70 EXHIBIT C-3 Total Nonmajor Special Fire Fire Municipal Municipal Revenue Training Development Court Court Funds(See Center Fees Tech Building Security Exhibit C-1) $ 23,096 $ 46,086 $ 27,405 $ 24,277 $ 543,018 72,901 145,465 86,500 76,628 1,714,002 6,653 -- -- -- 36,067 701 175 203 180 8,278 -- -- -- -- 215,700 -- -- -- -- 11,120 $ 103,351 $ 191,726 $ 114,108 $ 101,085 $ 2,528,185 $ 39,098 $ -- $ -- $ -- $ 90,033 -- -- -- -- 61,859 -- -- -- -- 13,247 39,098 -- -- 165,139 64,253 191,726 114,108 101,085 2,363,046 64,253 191,726 114,108 101,085 2,363,046 $ 103,351 $ 191,726 $ 114,108 $ 101,085 $ 2,528,185 71 CITY OF WYLIE, TEXAS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES NONMAJOR SPECIAL REVENUE FUNDS FOR THE YEAR ENDED SEPTEMBER 30, 2007 4B Sales Park Acquisition Emergency Tax Revenue & Improvement Communication Revenues: Sales taxes $ 1,188,149 $ -- $ -- Intergovernmental -- 100,496 -- Services fees -- -- 501,236 Court fees -- -- -- Interest income 26,001 24,713 21,978 Miscellaneous income -- 431,408 -- Total revenues 1,214,150 556,617 523,214 Expenditures: Current: Public Safety -- -- 890,712 Community service 573,462 363,454 -- Total expenditures 573,462 363,454 890,712 Excess(deficiency)of revenues over (under)expenditures 640,688 193,163 (367,498) Other financing sources(uses): Transfers in -- -- 460,000 Transfers out (557,970) -- -- Total other financing sources(uses) (557,970) -- 460,000 Net change in fund balances 82,718 193,163 92,502 Fund balances, October 1 661,270 462,748 399,473 Fund balances, September 30 $ 743,988 $ 655,911 $ _ 491,975 72 EXHIBIT C-4 Total Nonmajor Special Fire Fire Municipal Municipal Revenue Training Development Court Court Funds(See Center Fees Tech Building Security Exhibit C-2) $ -- $ -- $ -- $ -- $ 1,188,149 -- -- -- -- 100,496 32,217 -- -- -- 533,453 -- -- 16,480 12,367 28,847 7,218 2,367 2,584 2,298 87,159 590 189,359 -- -- 621,357 40,025 191,726 19,064 14,665 2,559,461 129,553 -- -- -- 1,020,265 -- -- -- -- 936,916 129,553 -- -- -- 1,957,181 (89,528) 191,726 19,064 14,665 602,280 49,230 -- 95,044 86,420 690,694 -- -- -- -- (557,970) 49,230 -- 95,044 86,420 132,724 (40,298) 191,726 114,108 101,085 735,004 104,551 -- -- -- 1,628,042 $ 64,253 $ 191,726 $ 114,108 $ 101,085 $ 2,363,046 73 CITY OF WYLIE, TEXAS EXHIBIT C-5 4B SALES TAX REVENUE FUND SPECIAL REVENUE FUND BUDGETARY COMPARISON SCHEDULE FOR THE YEAR ENDED SEPTEMBER 30, 2007 Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) Revenues: Non-property taxes $ 1,136,130 $ 1,136,130 $ 1,188,149 $ 52,019 Interest income -- -- 26,001 26,001 Miscellaneous income 10,000 10,000 -- (10,000) Total revenues 1,146,130 1,146,130 1,214,150 68,020 Expenditures: Current: Community service 4B Parks 433,140 433,140 386,708 46,432 48 Recreation 187,230 187,230 186,754 476 Total Community Service 620,370 620,370 573,462 46,908 Total expenditures 620,370 620,370 573,462 46,908 Excess(deficiency)of revenues over (under)expenditures 525,760 525,760 640,688 114,928 Other financing sources(uses): Transfers out (557,970) (557,970) (557,970) -- Total other financing sources(uses) (557,970) (557,970) (557,970) -- Net change in fund balances (32,210) (32,210) 82,718 114,928 Fund balances, October 1 661,270 661,270 661,270 -- Fund balances, September 30 $ 629,060 $ 629,060 $ 743,988 $ 114,928 74 CITY OF WYLIE, TEXAS EXHIBIT C-6 PARK ACQUISITION AND IMPROVEMENT SPECIAL REVENUE FUND BUDGETARY COMPARISON SCHEDULE FOR THE YEAR ENDED SEPTEMBER 30, 2007 Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) Revenues: Intergovernmental $ 50,000 $ 172,610 $ 100,496 $ (72,114) Interest income -- -- 24,713 24,713 Miscellaneous income 73,620 73,620 431,408 357,788 Total revenues 123,620 246,230 556,617 310,387 Expenditures: Current: Community service Park Acquisition- West Zone 64,000 64,000 61,873 2,127 Park Acquisition-Central Zone 85,400 182,900 179,087 3,813 Park Acquisition-East Zone 38,000 125,000 122,494 2,506 Total Community Service 187,400 371,900 363,454 8,446 Total expenditures 187,400 371,900 363,454 8,446 Net change in fund balances (63,780) (125,670) 193,163 318,833 Fund balances, October 1 462,748 462,748 462,748 -- Fund balances, September 30 $ 398,968 $ 337,078 $ 655,911 $ 318,833 75 CITY OF WYLIE, TEXAS EXHIBIT C-7 EMERGENCY COMMUNICATION FUND SPECIAL REVENUE FUND BUDGETARY COMPARISON SCHEDULE FOR THE YEAR ENDED SEPTEMBER 30, 2007 Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) Revenues: Services fees $ 486,100 $ 486,100 $ 501,236 $ 15,136 Interest income 4,000 4,000 21,978 17,978 Total revenues 490,100 490,100 523,214 33,114 Expenditures: Current: Public Safety Dispatch Services 943,340 1,122,203 890,712 231,491 Total Public Safety 943,340 1,122,203 890,712 231,491 Total expenditures 943,340 1,122,203 890,712 231,491 Excess(deficiency)of revenues over (under)expenditures (453,240) (632,103) (367,498) 264,605 Other financing sources(uses): Transfers in 460,000 460,000 460,000 -- - _--- - --- _.. ----- ------.____------ Total other financing sources(uses) 460,000 460,000 460,000 -- Net change in fund balances 6,760 (172,103) 92,502 264,605 Fund balances, October 1 399,473 399,473 399,473 -- Fund balances, September 30 $ 406,233 $ 227,370 $ 491,975 $ 264,605 76 CITY OF WYLIE, TEXAS EXHIBIT C-8 FIRE TRAINING CENTER SPECIAL REVENUE FUND BUDGETARY COMPARISON SCHEDULE FOR THE YEAR ENDED SEPTEMBER 30, 2007 Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) Revenues: Services fees $ 25,000 $ 25,000 $ 32,217 $ 7,217 Interest income 400 400 7,218 6,818 Miscellaneous income -- -- 590 590 Total revenues 25,400 25,400 40,025 14,625 Expenditures: Current: Public Safety Fire Training Center 135,300 141,530 129,553 11,977 Total Public Safety 135,300 141,530 129,553 11,977 Total expenditures 135,300 141,530 129,553 11,977 Excess(deficiency)of revenues over (under)expenditures (109,900) (116,130) (89,528) 26,602 Other financing sources(uses): Transfers in 43,000 49,230 49,230 -- Total other financing sources(uses) 43,000 49,230 49,230 -- Net change in fund balances (66,900) (66,900) (40,298) 26,602 Fund balances, October 1 104,551 104,551 10.4,5.5.1 -- Fund balances, September 30 $ 37,651 $ 37,651 $ 64,253 $ 26,602 77 EXHIBIT C-9 CITY OF WYLIE, TEXAS COMBINING BALANCE SHEET NONMAJOR DEBT SERVICE FUNDS SEPTEMBER 30, 2007 Total Nonmajor Debt Service 4B Debt 4B Debt Funds(See Service 1996 Service 2005 Exhibit C-1) ASSETS Cash and cash equivalents $ 8,946 $ 34,818 $ 43,764 Investments 26,234 109,900 136,134 Receivables(net of allowances for uncollectibles): Interest receivable 221 922 1,143 Total Assets $ 35,401 $ 145,640 $ 181,041 FUND BALANCES Fund balances: Reserved for: Debt service $ 35,401 $ 145,640 $ 181,041 Unreserved, reported in: Total fund balances 35,401 145,640 181,041 Total Liabilities and Fund Balances $ 35,401 $ 145,640 $ 181,041 78 EXHIBIT C-10 CITY OF WYLIE, TEXAS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES NONMAJOR DEBT SERVICE FUNDS FOR THE YEAR ENDED SEPTEMBER 30, 2007 Total Nonmajor Debt Service 4B Debt 4B Debt Funds(See Service 1996 Service 2005 Exhibit C-2) Revenues: Interest income $ 2,242 $ 9,053 $ 11,295 Miscellaneous income -- 1,838 1,838 Total revenues 2,242 10,891 13,133 Expenditures: Current: Debt service: Principal 80,000 198,000 278,000 Interest and fiscal charges 60,378 220,608 280,986 Total expenditures 140,378 418,608 558,986 Excess(deficiency)of revenues over (under)expenditures (138,136) (407,717) (545,853) Other financing sources(uses): Transfers in 139,660 418,310 557,970 Total other financing sources(uses) 139,660 418,310 557,970 Net change in fund balances 1,524 10,593 12,117 Fund balances, October 1 33,877 135,047 168,924 Fund balances, September 30 $ 35,401 $ 145,640 $ 181,041 79 CITY OF WYLIE, TEXAS EXHIBIT C-11 GENERAL OBLIGATION DEBT SERVICE DEBT SERVICE FUND BUDGETARY COMPARISON SCHEDULE FOR THE YEAR ENDED SEPTEMBER 30, 2007 Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) Revenues: Ad valorem taxes $ 2,681,770 $ 2,681,770 $ 2,689,484 $ 7,714 Interest income -- -- 64,899 64,899 Miscellaneous income 833,097 833,097 -- (833,097) Total revenues 3,514,867 3,514,867 2,754,383 (760,484) Expenditures: Debt service: Principal 1,195,420 1,233,420 1,233,412 8 Interest and fiscal charges 3,123,640 3,085,640 3,043,654 41,986 Bond issuance costs -- -- 68,574 (68,574) Total Debt Service 4,319,060 4,319,060 4,345,640 (26,580) Total expenditures 4,319,060 4,319,060 4,345,640 (26,580) Excess(deficiency)of revenues over (under)expenditures (804,193) (804,193) (1,591,257) (787,064) Other financing sources(uses): Transfers in 641,903 641,903 641,903 -- Issuance of long-term debt -- -- 4,043,155 4,043,155 Premium on bonds issued -- -- 34,739 34,739 Discount on bonds issued -- -- (34,364) (34,364) Payment to refunded bond escrow agent -- -- (3,971,472) (3,971,472) Total other financing sources (uses) 641,903 641,903 713,961 72,058 Net change in fund balances (162,290) (162,290) (877,296) (715,006) Fund balances, October 1 1,015,831 1,015,831 1,015,831 -- Fund balances, September 30 $ 853,541 $ 853,541 $ 138,535 $ (715,006) 80 CITY OF WYLIE, TEXAS EXHIBIT C-12 4B DEBT SERVICE 1996 DEBT SERVICE FUND BUDGETARY COMPARISON SCHEDULE FOR THE YEAR ENDED SEPTEMBER 30, 2007 Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) Revenues: Interest income $ -- $ -- $ 2,242 $ 2,242 Total revenues -- 2,242 2,242 Expenditures: Debt service: Principal 80,000 80,000 80,000 -- Interest and fiscal charges 59,660 59,660 60,378 (718) Total Debt Service 139,660 139,660 140,378 (718) Total expenditures 139,660 139,660 140,378 (718) Excess(deficiency)of revenues over (under)expenditures (139,660) (139,660) (138,136) 1,524 Other financing sources(uses): Transfers in 139,660 139,660 139,660 -- Total other financing sources(uses) 139,660 139,660 139,660 Net change in fund balances -- -- 1,524 1,524 Fund balances, October 1 33,877 33,877 33,877 -- Fund balances, September 30 $ 33,877 $ 33,877 $ 35,401 $ 1,524 81 CITY OF WYLIE, TEXAS EXHIBIT C-13 48 DEBT SERVICE 2005 DEBT SERVICE FUND BUDGETARY COMPARISON SCHEDULE FOR THE YEAR ENDED SEPTEMBER 30, 2007 Variance with Final Budget Budgeted Amounts Positive Original Final Actual (Negative) Revenues: Interest income $ -- $ -- $ 9,053 $ 9,053 Miscellaneous income 3,000 3,000 1,838 (1,162) Total revenues 3,000 3,000 10,891 7,891 Expenditures: Debt service: Principal 220,000 220,000 198,000 22,000 Interest and fiscal charges 198,310 198,310 220,608 (22,298) Total Debt Service 418,310 418,310 418,608 (298) Total expenditures 418,310 418,310 418,608 (298) Excess(deficiency)of revenues over (under)expenditures (415,310) (415,310) (407,717) 7,593 Other financing sources(uses): Transfers in 418,310 418,310 418,310 -- Total other financing sources(uses) 418,310 418,310 418,310 -- Net change in fund balances 3,000 3,000 10,593 7,593 Fund balances, October 1 135,047 135,047 135,047 -- Fund balances, September 30 $ 138,047 $ 138,047 $ 145,640 $ 7,593 82 This page is left blank intentionally. 83 CITY OF WYLIE, TEXAS COMBINING BALANCE SHEET NONMAJOR CAPITAL PROJECTS FUNDS SEPTEMBER 30, 2007 Street Street Construction Perimeter ASSETS Cash and cash equivalents $ 897,499 $ 70,322 Investments 2,832,892 221,967 Receivables(net of allowances for uncollectibles): Other -- -- Interest receivable 19,139 2,153 Total Assets $ 3,749,530 $ 294,442 LIABILITIES AND FUND BALANCES Liabilities: Accounts payable $ -- $ -- Retainage payable 188,551 -- Total Liabilities 188,551 -- Fund balances: Unreserved 3,560,979 294,442 Total fund balances 3,560,979 294,442 Total Liabilities and Fund Balances $ 3,749,530 $ 294,442_ 84 EXHIBIT C-14 Total Nonmajor Capital Throughfare Projects Impact Parks 2007 Funds(See Fees Construction PPFCO Exhibit C-1) $ 116,354 $ -- $ 12,435 $ 1,096,610 367,264 -- 39,252 3,461,375 7,715 -- -- 7,715 127 275 685 22,379 $ 491,460 $ 275 $ 52,372 $ 4,588,079 $ -- $ -- $ 24,736 $ 24,736 -- -- -- 188,551 -- -- 24,736 213,287 491,460 275 27,636 4,374,792 491,460 275 27,636 4,374,792 $ 491,460 $ 275 $ 52,372 $ 4,588,079 85 CITY OF WYLIE, TEXAS COMBINING STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES NONMAJOR CAPITAL PROJECTS FUNDS FOR THE YEAR ENDED SEPTEMBER 30, 2007 Street Street Construction Perimeter Revenues: Interest income $ 194,927 $ 21,578 Miscellaneous income -- -- Total revenues 194,927 21,578 Expenditures: Current: Capital outlay 56,207 -- Debt service: Bond issuance costs -- -- Total expenditures 56,207 Excess(deficiency)of revenues over (under)expenditures 138,720 21,578 Other financing sources(uses): Transfers out -- (174,157) Issuance of long-term debt -- Total other financing sources(uses) -- (174,157) Net change in fund balances 138,720 (152,579) Fund balances, October 1 3,422,259 447,021 Fund balances, September 30 $ 3,560,979 $ 294,442 86 EXHIBIT C-15 Total Nonmajor Capital Throughfare Projects Impact Parks 2007 Funds(See Fees Construction PPFCO Exhibit C-2) $ 2,322 $ 2,429 $ 6,043 $ 227,299 584,353 -- -- 584,353 586,675 2,429 6,043 811,652 95,215 -- 721,594 873,016 -- -- 6,813 6,813 95,215 728,407 879,829 491,460 2,429 (722,364) (68,177) -- (58,638) -- (232,795) -- -- 750,000 750,000 -- (58,638) 750,000 517,205 491,460 (56,209) 27,636 449,028 -- 56,484 -- 3,925,764 $ 491,460 $ 275 $ 27,636 $ 4,374 792 87 This page is left blank intentionally. 88 STATISTICAL SECTION This part of the City of Wylie, Texas's comprehensive annual financial report presents detailed information as a context for understanding what the information in the financial statements, note disclosures, and required supplementary information says about the City's overall financial health. Contents Page Financial Trends 90 These schedules contain trend information to help the reader understand how the City's financial performance and well-being have changed over time. Revenue Capacity 96 These schedules contain information to help the reader assess the factors affecting the City's ability to generate its property and sales taxes. Debt Capacity 102 These schedules present information to help the reader assess the affordability of the City's current levels of outstanding debt and the City's ability to issue additional debt in the future. Demographic and Economic Information 107 These schedules offer demographic and economic indicators to help the reader understand how the City's financial activities take place and to help make comparisons over time and with other governments. Operating Information 109 These schedules contain information about the City's operations and resources to help the reader understand how the City's financial information relates to the services the City provides and the activities it performs. Sources: Unless otherwise noted, the information in these schedules is derived from the comprehensive annual financial reports for the relevant year. 89 TABLE D-1 CITY OF WYLIE, TEXAS NET ASSETS BY COMPONENT LAST FOUR FISCAL YEARS (UNAUDITED) Fiscal Year 2003 2004 2005 2006 2007 Governmental Activities Invested in Capital Assets, Net of Related Debt $ 55,109,795 62,317,301 $ 72,335,440 $ 73,959,342 $ 80,156,749 Restricted 7,714,394 4,103,955 6,412,687 9,702,583 4,748,476 Unrestricted (962,448) 7,178,450 7,914,730 5,266,581 11,225,518 Total Governmental Activities Net Assets $ 61,861,741 73,599,706 $ 86 662,857 $ 88,928,506 $ 96,130,743 Business-type Activities Invested in Capital Assets, Net of Related Debt $ 18,425,639 20,801,795 $ 25,207,269 $ 31,205,119 $ 36,564,901 Restricted 9,750,823 12,626,787 12,739,448 11,926,132 8,738,654 Unrestricted 3,300,191 3,680,724 5,175,119 6,181,593 7,424,351 Total Business-type Activities Net Assets $ 31,476,653 37,109,306 $ 43,121,836 $ 49,312,844 $ 52 727,906 Primary Government Invested in Capital Assets, Net of Related Debt $ 73,535,434 83,119,096 $ 97,542,709 $ 105,164,461 $ 116,721,650 Restricted 17,465,217 16,730,742 19,152,135 21,628,715 13,487,130 Unrestricted 2,337,743 10,859,174 13,089,849 11,448,174 18,649,869 Total Primary Government Net Assets $ 93,338,394 110,709,012 $ 129,784,693 $ 138,241,350 $ 148 858,649 Note:The city began to report accrual information when it implemented GASB Statement 34 in fiscal year 2003.This information is presented using the accrual basis of accounting. 90 TABLE D-2 CITY OF WYLIE, TEXAS EXPENSES, PROGRAM REVENUES, AND NET(EXPENSE)/REVENUE LAST FOUR FISCAL YEARS (UNAUDITED) Fiscal Year 2003 2004 2005 2006 2007 Expenses Governmental Activities: General Government $ 2,946,474 $ 3,360,719 $ 3,490,621 $ 4,144,882 $ 4,027,017 Public safety 4,868,978 5,898,710 7,437,298 8,003,798 10,029,670 Urban development 723,553 839,258 958,368 862,184 1,083,316 Streets 2,888,760 3,507,891 4,012,471 4,578,339 4,631,177 Community service 1,866,710 2,118,200 2,348,580 2,651,744 3,074,976 Interest on Long-Term Debt 897,371 836,290 1,030,375 1,751,355 2,795,083 Total Governmental Activities Expenses 14,191,846 16,561,068 19,277,713 21,992,302 25,641,239 Business-type Activities Utility 5,294,510 5,155,675 7,926,463 8,843,954 9,495,460 Total Business-type Activities Expenses 5,294,510 5,155,675 7,926,463 8,843,954 9,495,460 Total Primary Government Expenses $ 19,486 356 $ 21 716,743 $ 27,204,176 $ 30,836,256 $ 35,136,699 Program Revenues Governmental Activities: Charges for Services: General Government $ 1,130,651 1,399,332 $ 1,522,104 $ 1,862,104 $ 2,176,853 Public safety 592,041 779,785 1,071,140 946,408 1,034,296 Urban development 2,150,919 1,986,683 1,689,979 1,748,000 1,400,515 Streets -- -- -- -- -- Community service 115,180 107,242 130,434 221,299 209,254 Operating Grants and Contributions 67,139 42,088 61,271 37,731 372,503 Capital Grants and Contributions 339,992 10,902,894 12,462,144 8,411,904 5,958,047 Total Governmental Activities Program Rever 4,395,922 15,218,024 16,937,072 13,227,446 11 151,468 Business-type Activities: Charges for Services: Utlility 5,864,532 6,776,232 7,876,859 8,832,061 8,041,284 Operating Grants and Contributions -- -- -- -- -- Capital Grants and Contributions 3,763,980 3,863,745 5,945,267 5,148,706 4,019,494 Total Business-type Activities Program Rever 9,628,512 10 639,977 13,822,126 13,980,767 12,060,778 Total Primary Government Program Revern$ 14,024,434 $ 25,858,001 $ 30,759,198 $ 27,208 213 $ 23,212,246 Net(Expense)/Revenue Governmental Activities $ (9,795,924) (1,343,044) $ (2,340,641) $ (8,764,856) $ (14,489,771) Business-type Activities 4,334,002 5,484,302 5,895,663 5,136,813 2,565,318 Total Primary Government Net Expense $ (5,461 922) 4,141,258 $ 3,555,022 $ (3,628,0) $ (11,924,453) Note:The city began to report accrual information when it implemented GASB Statement 34 in fiscal year 2003.This information is presented using the accrual basis of accounting. 91 TABLE D-3 CITY OF WYLIE, TEXAS GENERAL REVENUES AND TOTAL CHANGE IN NET ASSETS LAST FOUR FISCAL YEARS (UNAUDITED) Fiscal Year 2003 2004 2005 2006 2007 Net(Expense)/Revenue Governmental Activities $ (9,795,924) $ (1,343,044) $ (2,340,641) $ (8,764,856) $ (14,489,771) Business-type Activities 4,334,002 5,484,302 5,895,663 5,136,813 2,565,318 Total Primary Government Net Expense (5,461,922) 4,141,258 3,555,022 (3,628,043) (11,924,453) General Revenues and Other Changes in Net Assets Governmental Activities: Taxes Ad valorem taxes 6,748,379 8,226,158 9,744,962 11,232,673 13,100,185 Sales taxes 1,513,254 2,130,573 2,668,983 3,308,755 3,575,795 Franchise taxes 1,363,395 1,712,695 1,454,975 1,941,805 1,739,883 Unrestricted investment earnings 188,379 146,679 439,481 1,406,561 2,687,320 Miscellaneous 35,914 25,698 558,401 469,580 152,518 Gain(loss)on disposal of capital assets 6,207 -- -- -- (13,693) Transfers 492,125 570,239 479,942 447,137 450,000 Total Governmental Activities 10,347,653 12 812,042 15,346,744 18,806,511 21,692,008 Business-type Activities: Investment Earnings 227,486 191,258 441,638 821,375 1,125,117 Miscellaneous 61,564 131,494 129,976 315,329 174,627 Gain (loss)on disposal of capital assets -- 193,305 --Transfers (492,125) (570,239) (479,942) (447,137) (450,000) Total Business-type Activities (203,075) (247,487) 284,977 689,567 849,744 Total Primary Government $ 10,144,578 12 564,555 $ 15,631,721 $ 19,496,078 $ 22,541,752 Change in Net Assets Governmental Activities $ 551,729 11,468,998 $ 13,006,103 $ 10,041,655 $ 7,202,237 Business-type Activities 4,130,927 5,236,815 6,180,640 5,826,380 3,415,062 Total Primary Government $ 4,682,656 16 705,813 $ 19 186,743 $ 15,868 035 $ 10 617,299 Note: The city began to report accrual information when it implemented GASB Statement 34 in fiscal year 2003.This information is presented using the accrual basis of accounting. 92 TABLE D-4 CITY OF WYLIE, TEXAS FUND BALANCES OF GOVERNMENTAL FUNDS LAST TEN FISCAL YEARS (UNAUDITED) Fiscal Year 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 General Fund Reserved $ 10,644 $ 83,197 $ 123,443 $ 93,941 $ 281,746 $ 27,156 $ 27,156 $ 66,650 $ 193,791 $ 541,028 Unreserved 1,527,494 1,013,713 1,029,509 2,074,503 2,427,547 3,358,463 3,358,463 4,426,413 5,829,404 7,486,053 Total General Fund $ 1,538,138 $ 1,096,910 $ 1,152,952 $ 2,168,444$ 2,709 293 $ 3,385,619 $ 3,385,619 $ 4,493,063 $ 6,023,195 $ 8,027,081 All Other Governmental Funds Reserved $ 329,456 $ 351,616 $ 413,805 $ 447,709 $ 504,533 $ 652,595 $ 652,595 $ 799,229 $ 1,193,142 $ 319,576 Unreserved,Reported In: Special Revenue Funds 272,859 510,538 648,818 656,310 553,365 923,291 923,291 1,651,712 1,619,655 2,363,046 Capital Projects Funds 1,767,523 3,559,741 3,977,960 7,134,694 8,485,096 7,124,117 7,124,117 5,565,400 (1) 39,960,132 35,075,726 Total All Other Governmental Funds $ 2,369,838 $ 4,421,895 $ 5,040,583$ 8,238,713 $ 9,542,994 $ 8,700,003 $ 8,700,003 $ 8,016,341 $ 42,772,929 $ 37,758,348 (1) The increase in fund balance was due to unspent bond proceeds from an issuance during the period for capital projects. 93 TABLE D-5 CITY OF WYLIE, TEXAS CHANGES IN FUND BALANCES OF GOVERNMENTAL FUNDS LAST TEN FISCAL YEARS (UNAUDITED) Fiscal Year 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Revenues Ad valorem taxes $ 4,515,583 $ 5,000,046 $ 5,717,572 $ 6,591,776 $ 5,549,904 $ 6,789,129 $ 8,173,918 $ 9,754,037 $ 11,207,753 $ 13,094,757 Sales taxes -- -- -- -- 1,425,506 1,513,254 2,130,572 2,668,983 3,308,755 3,575,794 Franchise fees -- -- -- -- 958,066 1,062,766 1,382,731 1,407,351 1,893,383 1,908,984 Licenses and permits 201,454 313,225 380,124 739,570 1,131,544 1,708,903 1,522,039 1,260,963 1,319,956 1,056,919 Intergovernmental 349,658 183,860 305,156 263,330 365,316 360,135 532,857 773,875 443,124 784,350 Service fees 681,722 786,721 834,143 1,077,036 1,643,429 1,563,150 1,964,910 2,094,474 2,322,030 2,557,315 Court fees 264,195 305,766 520,297 492,549 484,920 426,637 419,272 427,892 617,288 587,250 Interest income 239,206 210,125 368,180 358,224 225,386 188,379 146,679 439,481 1,406,562 2,687,318 Miscellaneous income 123,028 255,687 109,817 292,778 162,866 353,940 143,896 840,676 859,269 1,361,511 Total Revenues 6,374,846 7,055,430 8,235,289 9,815,263 11,946,937 13,966,293 16,416,874 19,667,732 23,378,120 27 614,198 Expenditures General Government 1,840,230 2,877,573 2,243,847 2,553,293 2,946,905 3,067,478 3,380,349 3,767,483 4,169,819 11,542,571 Public safety 1,713,291 2,681,027 2,763,704 3,144,614 4,120,896 4,761,956 5,773,019 7,751,414 8,892,087 9,357,139 Urban developmetn 244,198 335,778 418,151 550,994 711,194 707,450 827,281 953,570 859,697 1,080,324 Streets 668,928 449,737 561,432 445,148 2,210,787 721,335 1,213,454 1,345,498 1,548,675 1,470,049 Community service 623,980 592,189 893,465 1,166,681 1,438,312 1,906,459 2,094,914 8,554,999 2,789,512 3,026,580 Capital Outlay 1,706,918 1,693,845 1,841,395 1,758,402 1,479,178 3,865,797 4,178,917 2,190,857 873,016 Debt Service Principal 702,271 874,452 1,186,455 1,409,509 1,096,743 1,190,889 1,326,449 1,404,888 1,554,007 1,511,412 Interest and fiscal charges -- -- -- -- 746,970 875,384 850,877 769,876 1,109,257 3,324,640 Bond issuance costs -- -- -- -- -- -- 176,219 154,417 75,387 Total Expenditures 7,499,816 9504,601 9,908,449 11,028,641 13,271,807 14,710,129 19,332,140 28,902,864 23,268,328 32,261,118 Excess of Revenues Over(Under)Expenditures (1,124,970) (2,449,171) (1,673,160) (1,213,378) (1,324,870) (743,836) (2,915,266) (9,235,132) 109,792 (4,646,920) Other Financing Sources(Uses) Transfers In 793,819 425,288 542,355 565,000 771,430 1,149,708 1,011,756 1,188,604 1,293,280 2,951,221 Transfers Out (543,819) (175,288) (174,465) (138,000) (351,430) (909,784) (690,495) (943,847) (1,546,049) (2,123,361) Issuance of long-term debt 1,060,000 4,220,000 2,000,000 5,000,000 2,750,000 -- -- 13,798,337 36,229,000 4,793,155 Premium on bonds issued -- -- -- -- -- -- 160,796 200,697 34,739 Discount on bonds issued -- -- -- -- -- -- (84,614) -- (34,364) Payment to refunded bond escrow agent -- -- -- -- -- -- -- -- (3,971,472) Sale of capital assets 3,001 -- -- -- 6,207 -- (1,866,358) -- (13,693) Total Other Financing Sources(Uses) 1,313,001 4,470,000 2,367,890 5,427,000 3,170,000 246,131 321,261 12,252,918 36,176,928 1,636,225 Net Change in Fund Balances $ 188,031 $ 2,020,829 $ 694,730 4,213,622 $ 1,845,130 $ (497,705)$ (2,594,005)$ 3,017,786 $ 36,286,720 $ (3,010,695) Debt Service As A Percentage Of Noncapital Expenditures 12.1% 11.2% 14.7% 15.2% 13.9% 15.6% 14.1% 9.5% 14.6% 19.9% 94 TABLE D-6 CITY OF WYLIE, TEXAS TAX REVENUES BY SOURCE, GOVERNMENTAL FUNDS LAST TEN FISCAL YEARS (UNAUDITED) Fiscal Ad Valorem Sales Franchise Year Taxes Taxes Taxes Total 1998 $ 2,920,124 $ 968,730 $ 626,729 $ 4,515,583 1999 3,146,326 1,143,102 710,618 5,000,046 2000 3,829,263 1,182,764 705,545 5,717,572 2001 4,509,741 1,265,091 816,944 6,591,776 2002 5,549,904 1,425,506 958,066 7,933,476 2003 6,789,129 1,513,254 1,062,766 9,365,149 2004 8,173,918 2,130,572 1,382,731 11,687,221 2005 9,754,037 2,668,983 1,407,351 13,830,371 2006 11,207,753 3,308,755 1,893,383 16,409,891 2007 13,094,757 3,575,794 1,908,984 18,579,535 Percent Change 1998-2007 348.4% 269.1% 204.6% 311.5% 95 TABLE D-7 CITY OF WYLIE, TEXAS ASSESSED VALUE AND ESTIMATED ACTUAL VALUE OF TAXABLE PROPERTY(1) LAST TEN FISCAL YEARS (UNAUDITED) Total Estimated Taxable Assessed Less: Total Taxable Direct Actual Value as a Fiscal Residential Commercial Industrial Tax-Exempt Assessed Tax Taxable Percentage of Year Property Property Property(2) Property Value Rate Value Actual Taxable Value 1998 $ 397,157,540 63,635,268 N/A 33,899,573 426,893,235 0.6750 426,893,235 100.000% 1999 439,259,135 67,143,855 N/A 38,543,512 467,859,478 0.7000 467,859,478 100.000% 2000 468,009,067 93,993,900 124,720,455 36,723,491 649,999,931 0.7250 649,999,931 100.000% 2001 560,941,176 119,452,227 152,385,135 38,197,185 794,581,353 0.7200 794,581,353 100.000% 2002 726,859,995 141,791,206 145,359,599 48,290,835 965,719,965 0.7150 965,719,965 100.000% 2003 908,488,917 238,191,077 71,440,440 61,618,003 1,156,502,431 0.7050 1,156,502,431 100.000% 2004 1,150,987,305 278,236,963 68,178,047 67,507,524 1,429,894,791 0.6950 1,429,894,791 100.000% 2005 1,337,824,710 318,619,349 60,064,348 76,422,118 1,640,086,289 0.6950 1,640,086,289 100.000% 2006 1,542,236,827 263,505,829 136,669,956 84,931,166 1,857,481,446 0.7068 1,857,481,446 100.000% 2007 1,764,303,848 288,951,716 146,785,364 89,947,174 2,110,093,754 0.7333 2,110,093,754 100.000% 96 TABLE D-8 CITY OF WYLIE, TEXAS DIRECT AND OVERLAPPING PROPERTY TAX RATES(1) LAST TEN FISCAL YEARS (UNAUDITED) City Direct Rates Overlapping Rates General Wylie Community Collin County Total Obligation Total Independent Independent Community Direct& Fiscal Basic Debt Direct School School Collin College Overlapping Year Rate Service Rate District District County District Rates 1998 $ 0.5169 $ 0.1581 $ 0.6750 $ 1.5500 $ 1.4600 $ 0.2600 $ 0.0986 $ 4.0436 1999 0.5035 0.1965 0.7000 1.6000 1.5000 0.2500 0.0986 4.1486 2000 0.5209 0.2041 0.7250 1.5700 1.2928 0.2500 0.0957 3.9335 2001 0.4891 0.2309 0.7200 1.5700 1.5000 0.2500 0.0941 4.1341 2002 0.5039 0.2111 0.7150 1.5609 1.4301 0.2500 0.0928 4.0488 2003 0.5340 0.1710 0.7050 1.6100 1.5375 0.2500 0.0920 4.1945 2004 0.5559 0.1391 0.6950 1.7200 1.6200 0.2500 0.0919 4.3769 2005 0.5619 0.1331 0.6950 1.8000 1.6700 0.2500 0.0906 4.5056 2006 0.5620 0.1448 0.7068 1.7250 1.5400 0.2400 0.0878 4.2996 2007 0.5620 0.1713 0.7333 1.3900 1.4950 0.0245 0.0877 3.7305 (1) Source: Central appraisal District of Collin County web site(www.collin-cad.org). (2) Although the Community Independent School District is included in the above presentation, less than one per cent of the City of Wylie lies within this taxing jurisdiction. (3) Basis for property tax rate is per$100 of taxable valuation. 97 TABLE D-9 CITY OF WYLIE, TEXAS PRINCIPAL PROPERTY TAX PAYERS CURRENT YEAR AND NINE YEARS AGO (UNAUDITED) 2007 1998 Percentage Percentage of Total City of Total City Taxable Taxable Taxable Taxable Assessed Assessed Assessed Assessed Taxpayer Value Rank Value Value Rank Value Sanden International $ 51,211,428 1 2.31% $ 52,335,088 1 12.52% Sanden International(USA) 16,400,000 2 0.74% 17,118,224 2 3.97% Atrium Companies, Inc. 15,618,915 3 0.71% 3,503,895 9 -- Wal-Mart Real Estate Business 13,762,930 4 0.62% -- -- -- Cascades Apartments Ltd. 13,747,568 5 0.62% -- -- -- TXU Electric Delivery Company 12,989,900 6 0.59% -- -- -- CMH Parks, Inc. 12,429,290 7 0.56% -- -- -- GTE Southwest, Inc. 11,454,400 8 0.52% -- -- -- Holland Hitch of Texas Inc. 11,157,813 9 0.50% 11,530,436 3 -- Best Circuit Boards, Inc. 9,176,024 10 0.41% -- -- -- General Telephone -- -- -- 7,171,407 4 1.62% Fujilease Corporation -- -- -- 4,890,105 5 1.40% Clayton Homes -- -- -- 4,800,450 6 1.17% Texas Utilities Electric -- -- -- 4,688,321 7 0.95% Weatdale Rustic Oaks Ltd. -- -- -- 3,944,482 8 0.91% Tolmak, Inc. -- -- -- 3,043,306 10 0.57% Total $ 167,948,268 7.58% $ 113,025,714 23.11% (1) Source: Central appraisal district of Collin County. 98 TABLE D-10 CITY OF WYLIE, TEXAS PROPERTY TAX LEVIES AND COLLECTIONS LAST TEN FISCAL YEARS (UNAUDITED) Fiscal Collected Within the Year Taxes Levied Fiscal Year of the Levy Collections Total Collections to Date Ended for the Percentage In Subsequent Percentage September 30 Fiscal Year Amount of Levy Years Amount of Levy 1998 $ 2,882,071 $ 2,836,280 $ 98.41% $ 45,791 $ 2,882,071 $ 100.00% 1999 3,161,383 3,095,579 97.92% 43,041 3,138,620 99.28% 2000 3,799,949 3,739,402 98.41% 28,318 3,767,720 99.15% 2001 4,482,580 4,413,866 98.47% 45,142 4,459,008 99.47% 2002 5,551,269 5,413,295 97.51% 53,057 5,466,352 98.47% 2003 6,900,461 6,567,156 95.17% 84,879 6,652,035 96.40% 2004 8,229,415 8,029,289 97.57% 142,422 8,171,711 99.30% 2005 10,041,005 9,524,055 94.85% 91,187 9,615,242 95.76% 2006 11,161,901 10,989,996 98.46% 157,412 11,147,408 99.87% 2007 12,963,905 12,821,056 98.90% -- 12,821,056 98.90% 99 TABLE D-11 CITY OF WYLIE, TEXAS TAXABLE SALES BY CATEGORY LAST TEN CALENDAR YEARS (UNAUDITED) Calendar Year 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Construction $ 62,659 $ 63,570 $ 83,246 $ 113,140 $ 76,359 $ 66,974 $ 83,892 $ 197,405 $ 263,942 $ 237,532 Manufacturing 90,729 119,226 38,708 14,951 133,461 120,075 149,177 143,017 125,161 35,303 Transportation and communications 67,621 41,089 91,419 61,081 114,753 117,531 412,117 381,744 520,844 574,246 Wholesale trade 7,970 2,522 10,484 20,561 16,022 29,525 29,152 23,060 87,671 129,301 Retail trade 714,923 709,595 670,330 800,930 921,257 921,521 1,068,919 1,201,192 1,364,324 1,756,930 Other 434,233 647,664 677,297 775,930 726,762 843,448 1,187,665 1,735,330 2,155,410 2,113,517 Total $ 1,378,135 $ 1,583,666 $ 1,571,484 $ 1,786,593 $ 1,988,614 $ 2,099,074 $ 2,930,922 $ 3,681,748 $ 4,517,352 $ 4,846,829 Direct Sales Tax Rate 1.50% 1.50% 1.50% 1.50% 1.50% 1.50% 1.50% 1.50% 1.50% 1.50% Note: Retail sales information is not available on a fiscal-year basis. 100 TABLE D-12 CITY OF WYLIE, TEXAS DIRECT AND OVERLAPPING SALES TAX RATES LAST TEN FISCAL YEARS (UNAUDITED) Wylie City Economic Fiscal Direct Development Collin Year Rate Corporation County 1998 1.50% 0.50% -- 1999 1.50% 0.50% -- 2000 1.50% 0.50% -- 2001 1.50% 0.50% -- 2002 1.50% 0.50% -- 2003 1.50% 0.50% -- 2004 1.50% 0.50% -- 2005 1.50% 0.50% -- 2006 1.50% 0.50% -- 2007 1.50% 0.50% -- Note: The City sales tax rate includes the City sales tax rate of one percent and the blended component unit rate of one-half percent. 101 TABLE D-13 CITY OF WYLIE, TEXAS RATIOS OF OUTSTANDING DEBT BY TYPE LAST TEN FISCAL YEARS (UNAUDITED) General Bonded Debt Other Governmental Activities Debt General Combination Tax Fiscal Obligation Tax/Revenue Certificates of Revenue Contractual Loans and Capital Year Bonds Bonds Obligation Bonds Obligations Obligation Leases 1998 $ 5,346,814 $ -- $ -- $ 1,665,000 $ -- $ -- $ -- 1999 5,267,238 -- -- 1,620,000 -- -- -- 2000 8,092,579 -- -- 1,570,000 -- -- -- 2001 11,064,179 -- -- 1,515,000 -- -- -- 2002 15,294,286 1,509,130 365,000 1,400,000 -- 370,000 -- 2003 14,490,946 1,281,580 270,000 1,335,000 -- 285,000 -- 2004 13,656,341 1,049,736 170,000 1,265,000 -- 195,000 -- 2005 19,325,556 6,225,000 65,000 1,190,000 -- 100,000 33,064 2006 53,613,889 6,010,000 -- 1,115,000 841,659 -- 16,097 2007 52,738,155 5,790,000 -- 1,035,000 1,462,690 -- -- Business-type Activities General Water Total Percentage Fiscal Obligation Revenue Contractual Capital Primary of Personal Per Year Bonds Bonds Obligations Leases Government Income Capita (2) 1998 $ 7,318,185 $ -- $ -- $ -- $ 14,329,999 5.77% $ 1,339 1999 6,954,984 -- -- -- 13,842,222 4.54% 1,198 2000 6,522,421 1,380,000 -- -- 17,565,000 4.98% 1,417 2001 6,100,821 3,060,000 -- -- 21,740,000 4.59% 1,648 2002 3,235,735 6,040,870 -- 672,813 28,887,834 5.60% 1,729 2003 3,074,072 5,603,420 -- 522,578 26,862,596 4.50% 1,464 2004 2,903,677 5,155,264 -- 360,724 24,755,742 3.30% 1,160 2005 3,699,444 3,615,000 -- 356,890 34,609,954 3.91% 1,324 2006 3,226,111 3,460,000 1,157,710 185,000 69,625,466 6.70% 2,336 2007 10,516,845 3,300,000 1,057,000 -- 75,899,690 7.55% 2,138 (1) Details regarding the City's outstanding debt cn be found in the notes to the financial statements. (2) See the Schedule of Demographic and Economis Statistics on page 107 for population data. 102 TABLE D-14 CITY OF WYLIE, TEXAS RATIOS OF GENERAL BONDED DEBT OUTSTANDING LAST TEN FISCAL YEARS (UNAUDITED) General Bonded Debt Outstanding Percentage General Actual Taxable Fiscal Obligation Certificates of Value of Per Year Bonds Obligation Total Property Capita 1998 $ 13,232,033 $ -- $ 13,232,033 3.10% $ 1,237 1999 15,973,030 -- 15,973,030 3.41% 1,383 2000 16,921,504 -- 16,921,504 3.12% 1,365 2001 20,782,305 -- 20,782,305 3.37% 1,576 2002 15,294,286 365,000 15,659,286 2.98% 937 2003 14,490,946 270,000 14,760,946 1.70% 804 2004 13,656,341 170,000 13,826,341 1.28% 648 2005 19,325,556 65,000 19,390,556 1.80% 742 2006 53,613,889 -- 53,613,889 3.51% 1,796 2007 52,728,155 -- 52,728,155 2.50% 1,485 (1) Details regarding the City's outstanding debt can be found in the notes to the financial statements. (2) See the schedule of Assessed Value and Estimated Actual Value of Taxable Property on page 91 for property value data. (3) See the Schedule of Demographic and Economis Statistics on page 107 for population data. 103 TABLE D-15 CITY OF WYLIE, TEXAS DIRECT AND OVERLAPPING GOVERNMENTAL ACTIVITIES DEBT (UNAUDITED) Estimated Share of Estimated Direct and Debt Percentage Overlapping Governmental Unit Outstanding Applicable Debt Debt Repaid With Property Taxes Wylie Independent School District $ 229,400,804 (1) 56.470% $ 129,542,634 Community Independent School District 13,046,888 (1) 0.420% 54,797 Collin County 333,285,000 (1) 2.670% 8,898,710 Collin County 54,315,000 (1) 2.670% 1,450,211 Subtotal, Overlapping Debt 139,946,351 City Direct Debt (2) 55,455,547 Total Direct and Overlapping Debt $ 195,401,898 Ratio of Direct and Overlapping Bonded Debt to Taxable Assessed Valuation 9.26% Per Capita Direct and Overlapping Debt $ 5,664 (1) Source: First Southwest Company (2) Excludes self supported debt (3)Overlapping governments are those that coincide, at least in part,with the geographic boundaries of the City. This schedule estimates the portion of the outstanding debt of those overlapping governments that is borne by the residents and businesses of the City of Wylie,Texas. This process recognizes that,when considering the government's ability to issue and repay long-term debt,the entire debt burden borne by the residents and businesses should be taken into account. However,this does not imply that every taxpayer is a resident,and therfore responsible for repaying the debt, of each overlapping government. (4) The percentage of overlapping debt applicable is estimated using taxable assessed property values. Applicable percentages were estimated by determining the portion of the various government's taxable assessed value that is within the government's boundaries and dividing it by the total taxable assessed value. 104 TABLE D-16 CITY OF WYLIE, TEXAS LEGAL DEBT MARGIN INFORMATION LAST TEN FISCAL YEARS (UNAUDITED) Fiscal Year 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Debt Limit $ 77,160,814 $ 86,151,952 $ 98,316,670 $ 113,213,283 $ 135,497,032 $ 155,220,182 $ 184,161,840 $ 234,374,571 $ 211,009,375 $ 211,009,375 Total Net Debt Applicable to Limit 13,232,033 15,973,030 16,921,504 20,782,305 22,427,338 15,833,191 14,515,653 25,077,022 53,613,889 52,408,579 Legal Debt Margin 63,928,781 70,178,922 81,395,166 92,430,978 113,069,694 139,386,991 169,646,187 209,297,549 157,395,486 158,600,796 Total Net Debt Applicable to the Limit As a Percentage of Debt Limit 17.15% 18.54% 17.21% 18.36% 16.55% 10.20% 7.88% 10.70% 25.41% 24.84% Legal Debt Margin Calculation for the Current Fiscal Year Assessed Value $ 2,110,093,754 Debt Limit(10%of Assessed Value) 211,009,375 Debt Applicable to Limit: General Obligation Bonds 52,728,155 Less:Amount Set Aside for Repayment of General Obligation Debt (319,576) Total Net Debt applicable to Limit 52,408,579 Legal Debt Margin $ _ 158,600,796 (1) Under state law,the City of Wylie,Texas'outstanding general obligation debt should not exceed 10 percent of total assessed property value. By law,the general obligation debt subject to the limitation may be offset by amounts set aside for repaying general obligation bonds. 105 TABLE D-17 CITY OF WYLIE, TEXAS PLEDGED-REVENUE COVERAGE LAST TEN FISCAL YEARS (UNAUDITED) Water Revenue Bonds Utility Less: Net Fiscal Service Operating Available Debt Service(3) Year Charges(1) Expenses(2) Revenue Principal Interest Total Coverage 1998 $ 3,412,649 $ 1,719,850 $ 1,692,799 $ -- $ -- $ -- -- 1999 3,594,192 1,809,362 1,784,830 -- -- -- -- 2000 3,958,753 2,124,943 1,833,810 40,000 73,644 113,644 16.14 2001 4,313,606 2,259,333 2,054,273 85,000 168,929 253,929 8.09 2002 4,789,856 2,636,705 2,153,151 90,000 163,411 253,411 8.50 2003 5,864,531 3,833,370 2,031,161 135,000 203,808 338,808 6.00 2004 6,776,234 3,674,258 3,101,976 140,000 198,981 338,981 9.15 2005 7,876,858 6,411,920 1,464,938 145,000 190,322 335,322 4.37 2006 8,832,060 6,925,231 1,906,829 155,000 181,339 336,339 5.67 2007 8,041,284 7,614,530 426,754 160,000 657,090 817,090 0.52 (1) Includes total operating revenue of the Utility Enterprise Fund. (2) Includes operating expenses of the Utility Enterprise Fund, less depreciation expense. (3) Debt service requirements includes principal and interest payments on revenue bonds. 106 TABLE D-18 CITY OF WYLIE, TEXAS DEMOGRAPHIC AND ECONOMIC STATISTICS LAST TEN CALENDAR YEARS (UNAUDITED) 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Population (1) 11,550 12,400 13,190 16,711 18,350 21,350 26,150 29,800 33,000 35,500 Personal Income $ 52,202 $ 50,801 $ 59,400 $ 50,000 $ 58,607 $ 67,215 $ 70,049 $ 72,570 $ 75,781 $ 77,624 Per Capita Personal Income $ 21,496 $ 24,596 $ 26,749 $ 28,333 $ 28,132 $ 27,951 $ 28,716 $ 29,738 $ 31,511 $ 26,744 Median Age 36.3 34.1 32.9 32.9 32.7 32.8 32.8 33.0 33.6 33.9 Education Level in Years of Schooling (2) Less than high school graduate MA N\A 14.2% 14.2% 14.2% 14.2% 14.2% 14.2% 14.2% 14.2% High school graduate(or equivalent) N\A N\A 26.6% 26.6% 26.6% 26.6% 26.6% 26.6% 26.6% 26.6% Some college/associate's degree N\A N\A 37.4% 37.4% 37.4% 37.4% 37.4% 37.4% 37.4% 37.4% Bachelor's degree N\A N\A 17.0% 17.0% 17.0% 17.0% 17.0% 17.0% 17.0% 17.0% Masters, professional, or doctorate N\A MA 4.8% 4.8% 4.8% 4.8% 4.8% 4.8% 4.8% 4.8% School Enrollment 3,996 3,984 4,608 4,975 5,718 6,256 7,903 8,948 9,800 10,739 Unemployment 2.6% 2.5% 2.6% 5.8% 7.7% 6.9% 5.2% 4.3% 4.5% 4.6% (1) Population estimate from North Central Texas council of Governments, as modified by City staff estimates. (2) Education per the 2000 U.S.Census. (3) Unemployment rates from the Texas Workforce Commission website(www.twc.state.tx.us). 107 TABLE D-19 CITY OF WYLIE, TEXAS PRINCIPAL EMPLOYERS CURRENT YEAR AND NINE YEARS AGO (UNAUDITED) 2007 1998 Percentage Percentage of Total City of Total City Employer Employees Rank Employment Employees Rank Employment Wylie ISD 1,453 1 7.06% -- -- -- Sanden International 750 1 3.64% -- -- -- Extruders 600 3 2.91% -- -- -- NTMWD 431 4 2.09% -- -- -- Wal-Mart 375 5 1.82% -- -- -- City of Wylie 215 6 1.04% -- -- -- Global Innovation 172 7 0.84% -- -- -- Pella Corporation 147 8 0.71% -- -- -- Home Depot 123 9 0.60% -- -- -- Holland USA 102 10 0.50% -- -- -- Total 4,368 21.21% -- -- (1) Information for 1998 is not available. 108 TABLE D-20 CITY OF WYLIE, TEXAS FULL-TIME-EQUIVALENT CITY GOVERNMENT EMPLOYEES BY FUNCTION/PROGRAM LAST TEN FISCAL YEARS (UNAUDITED) Full-Time-Equiva lent Employees as of Year End 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Function/Program General Government Management Services 5 5 5 6 7 7 8 8 10 12 Finance 6 6 6 6 6 6 6 6 5 5 Development Services 6 8 9 -- -- -- -- -- -- -- Planning 3 3 3 3 3 3 4 Building -- -- -- 5 7 7 8 9 9 9 Other 2 3 3 4 4 3 3 4 4 5 Police Officers 18 21 22 28 23 26 28 35 38 43 Civilians 3 3 3 3 3 4 5 5 5 7 Fire Firefighters and Officers 11 13 17 18 26 27 29 30 30 35 Civilians 1 1 1 1 1 1 1 2 2 2 Animal Control 1 1 1 1 2 2 3 3 4 4 Dispatch 4 4 5 -- 7 7 8 10 10 12 Streets 5 5 5 6 6 8 8 11 11 11 Other Public Works Engineering -- -- -- 3 3 3 3 4 4 4 Other 7 8 11 9 11 11 11 13 13 13 Parks and Recreation 7 7 10 14 14 18 20 23 23 23 Library 5 5 6 6 6 6 6 7 8 8 Water 8 8 8 8 9 11 10 11 11 11 Wastewater -- -- -- -- -- -- 4 5 5 5 EDC 2 2 2 2 2 1 1 1 1 2 Total 91 100 114 123 140 151 165 190 196 215 109 TABLE D-21 CITY OF WYLIE, TEXAS OPERATING INDICATORS BY FUNCTION/PROGRAM LAST TEN FISCAL YEARS (UNAUDITED) Fiscal Year 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Function/Program General Government Building Permits Issued 287 332 409 634 974 1,430 1,282 1,203 896 703 Building Permits Value(thousands) $ 31,785 36,253 48,971 83,529 149,262 189,835 173,349 145,748 177,459 127,663 Police Physical Arrests 585 824 793 851 732 720 741 706 923 1,536 Violations Issued 3,283 3,421 5,690 4,928 5,200 4,301 3,966 3,044 6,068 5,681 Warrants Issued 937 768 898 740 715 230 378 1,664 1,062 1,287 Fire Emergency Responses 781 972 1,332 1,303 1,312 1,658 1,698 1,935 2,107 2,502 Fires Extinguished 95 124 119 115 108 138 164 209 172 51 Inspections 438 438 392 443 329 445 596 527 549 1,203 Other Public Works Street Resurfacing(miles) 1 2 4 -- 1 4 5 -- 5 5 Potholes Repaired -- -- -- -- -- -- -- 216 240 170 Parks and Recreation Athletic Field Permits Issued -- -- -- -- -- -- 25 34 18 41 Community Center Admissions -- -- -- -- -- 14,280 19,044 20,349 14,173 15,351 Baseball/Softball Fields 6 8 8 8 8 8 8 9 9 9 Soccer/Football Fields 7 14 14 14 14 14 14 16 16 16 Library Volumes in Collection 40,494 41,209 38,247 42,997 44,000 46,166 47,251 49,393 50,393 49,951 Water New Connections 287 332 409 634 974 1,430 1,282 1,020 1,100 711 Water Main Breaks 11 18 10 17 21 26 17 16 24 5 Average Daily Consumption (thousands of gallons) 1,540,000 2,040,000 2,570,000 2,485,838 2,382,036 3,049,411 3,487,193 4,076,730 3,991,080 3,738,551 110 TABLE D-22 CITY OF WYLIE, TEXAS CAPITAL ASSET STATISTICS BY FUNCTION/PROGRAM LAST TEN FISCAL YEARS (UNAUDITED) Fiscal Year 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 Function/Program Police Stations 1 1 1 1 1 1 1 1 1 1 Fire Stations 2 2 2 2 2 2 2 2 2 2 Other Public Works Streets(miles) 41 54 70 76 76 114 114 127 127 133 Alleys(miles) -- -- -- -- -- 6 6 12 12 12 Traffic Signals 3 3 3 3 3 10 10 10 10 10 Parks and Recreation Acreage 103 170 170 175 213 224 239 279 541 621 Playgrounds 4 4 4 5 8 8 9 11 11 11 Community Centers 1 1 1 1 1 1 1 1 1 1 Water Water Mains(miles) 5 70 90 100 100 8 108 110 110 116 Fire Hydrants 456 682 800 800 800 1,084 1,242 1,242 1,242 1,388 Number of service connections 4,105 4,528 4,528 5,221 6,591 7,901 8,841 9,645 9,645 10,155 Wastewater Sanitary Sewers(miles) 60 85 100 108 108 114 114 123 130 136 Education Wylie ISD Campuses in Wylie 6 7 7 7 8 9 11 12 13 17 111 This page is left blank intentionally. 112 Wylie City Council CITY OF WYLIE AGENDA REPORT Meeting Date: April 22, 2008 Item Number: 2 Department: Public Services (City Secretary's Use Only) Prepared By: Mike Sferra Account Code: 611-5711-56040 Date Prepared: April 4, 2008 Budgeted Amount: $10,000 Shaw Proposal Exhibits: TCEQ Letter Subject Consider, and act upon, authorizing the City Manager to enter into a Professional Services contract with Shaw Environmental, Inc. for Environmental Services related to the unpermitted landfill site located at 800 West Kirby, site of the former City of Wylie Service Center. Recommendation Motion authorizing the City Manager to enter into a Professional Services contract with Shaw Environmental, Inc. for Environmental Services related to the unpermitted landfill site located at 800 West Kirby, site of the former City of Wylie Service Center. Discussion The City of Wylie operated an unpermitted municipal solid waste (MSW) landfill northwest of the intersection of Highway 78 and Highway 544 (also known as Kirby Street) in the 1950s and early 1960s. A portion of the MSW was previously removed and replaced with compacted select fill to allow construction of a railroad line across the property by the Kansas City Southern Railway Company (KCS). Over the past several years, Shaw Environmental, Inc. has performed work for the City to evaluate the environmental condition of the site and to coordinate with the Texas Commission on Environmental Quality (TCEQ) to bring the site to regulatory closure under the Commission's Voluntary Cleanup Program (VCP). Many borings, trenches, monitoring wells, and ground water sampling activity has previously been completed across this site. TCEQ has indicated that the site is eligible to receive a Conditional Certificate of Completion (CCOC) upon submittal of requested documentation, plugging and abandoning the existing monitoring wells, and agreeing to perform annual cap inspections for five years. Funding for the annual cap inspections over the next five years will be requested as part of future annual budgets. The City Attorney's office has reviewed the proposal documents. This has been an on-going process in an effort to bring the site to regulatory closure and to eventually transfer the property to KCS Railway Company as per previous agreements between the City of Wylie and KCS. Approved By Initial Date Department Director MS 4 4/08 City Manager t c Page 1 of 1 Shaw Environmental,Inc. 6330 Commerce Drive,Suite 190 Irving,TX 75063 214-277-7800 1 FAX: 214-277-8600 Shaw Shaw Environmental, Inc. March 4, 2008 Mr. Mike Sferra Director of Public Services City of Wylie 2000 Highway 78 North Wylie, Texas 75098 Phone: 972-442-8108 Fax: 972-442-5461 Email: mike.sferra@wylietexas.gov Re: Proposal for Professional Services Former Wylie Service Center(VCP No.1127) 800 W. Kirby Wylie, Texas Shaw Proposal No. P8149 Dear Mr. Sferra: Shaw Environmental Inc. (Shaw) is pleased to provide this work and cost proposal to complete activities as outlined by the TCEQ to obtain a conditional certificate of completion (CCOC) for the above-referenced site. This proposal has been prepared in response to your recent verbal request. The proposed work will be conducted in accordance with the attached Professional Services Agreement (PSA). SCOPE OF SERVICES TASK 1: TCEQ Submittal for VCP CCOC Following approval, Shaw will gather the necessary paperwork for submittal to the TCEQ VCP Project Manager. This documentation was outlined in the TCEQ Letter dated February 7, 2007. It has been determined that additional surveying of the site will not be necessary. TASK 2: Plugging and Abandoning Monitor Wells Following approval, Shaw will provide oversight on the plugging and abandonment (P&A) of six (6) monitoring wells at the above-referenced site. The metal well cover along with the surrounding concrete will be removed from the monitoring well during the P&A activities. An attempt will be made by the selected State of Texas Licensed Driller to remove the well casing and screen, of each on-site monitoring well. Following the removal of the casing and screen the Proposal P8149 Former City of Wylie Service Center Shaw Shaw Environmental,Inc. 800 West Kirby, Wylie, TX Page No. 2 bore hole will be plugged with bentonite chips from the bottom of the boring to within two feet of the surface. The remaining two feet of the bore hole will be capped with concrete. The materials associated with the former groundwater monitor wells (i.e. concrete, screen, casing) will be removed from the site following completion of P&A activities. Following the plugging and abandoning activities of the monitoring wells, a formal State of Texas Plugging Report will be submitted by the selected State of Texas licensed driller on behalf of the well owner to the appropriate State agencies. TASK 3: Annual Cap Inspection and Reporting to the TCEQ Per the City's request, Shaw will provide personnel to complete an annual inspection of the landfill cap. The area to be inspected will include all land as outlined in the survey map outlined as Exhibit D-1 in the CCOC submittal. The costs below are based on an annual inspection of the cap. Should the TCEQ decide that the inspections should take place at a different interval (either more or less often), the costs will require adjustment. At the City's request, training will be provided for City personnel to complete the inspections and the reporting required by the TCEQ. PROJECT BUDGET The services outlined in this proposal will be performed on a time and materials basis not to exceed $13,100 if additional work is required outside the scope of this proposal, a separate proposal will be prepared to address these additional services. The estimated project budget is summarized in the table below. Please note that these costs do not reflect the costs the TCEQ will accrue in reviewing the reports. Those are to be paid by the City of Wylie directly. ESTIMATED PROJECT BUDGET Task 1: TCEQ Submittal for VCP CCOC/Consulting Labor $1,225 Task 2: Plugging and Abandoning Monitor Wells/Consulting Labor $3,375 Task 3: Annual Cap Inspection / Reporting ($1,700 per year 5 years $8 500 total) Subtotal $13,100 All direct costs passed through our accounting system will include a 10% handling fee. PROJECT SCHEDULE Shaw is prepared to commence work on this project within two days following receipt of written notification to proceed. CLOSING REMARKS This proposal may be accepted by signing in the space provided below and returning a complete executed copy to Shaw via fax (214-277-8600) or mail. This proposal is valid only if authorized within sixty (60) days from the listed proposal date. We appreciate the opportunity to provide this proposal and look forward to working with you on this project. If you should have any questions or comments regarding this proposal, please contact either of the undersigned. Proposal P8149 Former City of Wylie Service Center Shaw Shaw Environmental,Inc. 800 West Kirby, Wylie, TX Page No. 3 Sincerely, Shaw Environmental, Inc. -PAIL (4 Leigh Grover Mica Feinstein Geologist Project Manager PROJECT AUTHORIZATION The above proposal has been read and understood, and is hereby authorized. Signature: Date: Name: Title: SHAW ENVIRONMENTAL,INC. PROFESSIONAL SERVICES AGREEMENT TIME AND MATERIALS BASIS I. SERVICES: Shaw Environmental, Ine. ("SEI")a and/or computer programs; and CLIENT shall not Louisiana corporation, agrees to perform for the disclose such information to any third party. undersigned CLIENT professional environmental, health and safety, consulting and/or analytical services Nothing herein is meant to prevent nor shall be ("Services")a described in attached Proposal No. interpreted as preventing either party from disclosing �� ! and/or as follows: and/or using any information or data (i) when the information or data are actually known to the receiving party before being obtained or derived from the transmitting party, (ii) when information or data are generally available to the public without the receiving all in accord with the following terms and conditions. party's fault at any time before or after it is acquired from the transmitting party;(iii)where the information 2. FEES, INVOICES AND PAYMENTS: The or data are obtained or acquired in good faith at any Services will be performed on a time and materials time by the receiving party from a third party who has basis,with compensation due for all goods and Services the same in good faith and who is not under any provided by SEI,computed in accord with currently-in- obligation to the transmitting party in respect thereto; effect SEI rates for Time & Material work. SEI's (iv)where a written release is obtained by the receiving particular applicable T&M Rate Sheet for the Services party from the transmitting party; (v) three (3) years will be attached hereto. Other compensation provisions from the date of receipt of such information; or (vi) are as follows: Invoices will be submitted by SEI no when required by process of law; provided, however, more frequently than every two weeks, with payment upon service of such process,the recipient thereof shall due upon CLIENT'S receipt of invoice. Payment shall use reasonable efforts to notify the other party and be in U.S. Dollars. CLIENT shall be responsible for afford it an opportunity to resist such process. payment (without deduction or offset from the total invoice amount)of any and all sales,use,value added, CLIENT shall obtain SEI's prior consent and gross receipts, franchise and like taxes, and tariffs and cooperation with the formulation and release of any duties, and all disposal fees and taxes, levied against public disclosure in connection with this Agreement or SEI or its employees by any government or taxing work performed hereunder, before issuing a news authority. A service charge equal to one and one-half release, public announcement, advertisement, or other percent (1 'A %) per month, or the maximum rate form of publicity. permitted by law,whichever is less,will be added to all accounts which remain unpaid for more than thirty(30) 5. RIGHT TO USE INFORMATION AND calendar days beyond the date of the invoice. Should DOCUMENTS: CLIENT may use any final reports of there be any dispute as to any portion of an invoice,the findings, feasibility studies, industrial hygiene and undisputed portion shall be promptly paid. safety, engineering work or other work performed or prepared by SEI under this Agreement for its internal 3. CLIENT'S COOPERATION: To assist SEI in purposes in connection with the project and/or location performing the Services,CLIENT shall(i)provide SEI indicated in the Services for which such work was with relevant material, data, and information ill its prepared, but SE reserves all other rights with respect possession pertaining to the specific project or activity, to such documents and all other documents produced in (ii) consult with SEI when requested, (iii) permit SEI performing the Services. CLIENT shall obtain prior reasonable access to relevant CLIENT sites,(iv)ensure written consent from SEI for any other use,distribution, reasonable cooperation of CLIENT's employees in or publication of such reports or work results. Unless SEI's activities, and (v) notify and report to all otherwise expressly agreed to in writing,nothing in this regulatory agencies as required by such agencies. Agreement shall be interpreted to prevent SEI from application and use of any information learned by it 4. CONFIDENTIALITY: In the course of from the services (subject to the provisions of Section performing Services, to the extent that CLIENT 4). All reports will be delivered subject to SEI's then discloses to SEI, business or technical information that current limitations and disclaimers. CLIENT clearly marks in writing as confidential or proprietary,SE will exercise reasonable efforts to avoid 6. PATENTS AND CONFIDENTIAL the disclosure of such information to others. INFORMATION: SEI shall retain all right and title to Nonetheless, CLIENT shall treat as confidential all all patentable and unpatentable inventions including information and data furnished to it by SEI in confidential know-how developed by SEI hereunder, connection with this Agreement including, but not However, SEI hereby grants to CLIENT a royalty-free, limited to, SEI's technology, formulae, procedures, nonexclusive, nonassignable license as to such processes, methods, trade secrets, ideas, inventions, inventions and know-how to use the same in any of CO 2006 Shaw Environmental,Inc. Page 1 of 4 SEI CLIENT CLIENT's facilities. Information submitted to CLIENT engaged in similar work. THIS WARRANTY IS IN by SEI hereunder is not intended nor shall such LIEU OF ALL OTHER WARRANTIES EITHER submission constitute inducement and/or contribution to EXPRESSED OR IMPLIED. infringe any patent(s)owned by a third party, and SEI specifically disclaims any liability therefor. 11. INDEMNITIES: SEi shall defend,indemnify and hold harmless CLIENT from and against loss or damage 7. DELAYS AND CHANGES IN CONDITIONS: to tangible property,or injury to persons, to the extent If SEI is delayed or otherwise in any way hindered or arising from the negligent acts or omissions or willful impacted at any time in performing the Services by(i) misconduct of SEI, its subcontractors, and their an act,failure to act or neglect of CLIENT or CLIENT's respective employees and agents acting in the course employees or any third parties;(ii)changes in the scope and scope of their employment;provided,however,SEI of the work; (iii) unforeseen, differing or changed shall indemnify CLIENT from and against any loss or circumstances or conditions including differing site damage in the handling or management of any conditions,acts of force majeure(such as fires, floods, hazardous or radioactive material, or any pollution, riots, and strikes); (iv) changes in government acts or contamination, or release of hazardous or radioactive regulations; (v) delay authorized by CLIENT and materials,only to the extent resulting from SEI's gross agreed to by SEI; or (vi) any other cause beyond the negligence or willful misconduct. CLIENT shall reasonable control of SEI, then I) the time for defend,indemnify and save harmless SEI (including its completion of the Services shall be extended based upon parent, subsidiary, and affiliated companies and their the impact of the delay, and 2) SEI shall receive an officers, directors, employees, and agents) from and equitable compensation adjustment.Any such equitable against, and any indemnity by SEI shall not apply to, adjustment shall be based on SEI's then current Time loss,damage,injury or liability arising from the(i)acts and Material Rates,as may be provided in a Rate sheet or omissions of CLIENT, its contractors, and their attached hereto. respective subcontractors, employees and agents, or of third parties; (ii) any allegations that SEI is the owner, 8. INSURANCE: SEi is presently protected by operator, manager, or person in charge of all or any Worker's Compensation Insurance as required by portion of a site addressed by the services, or arranged applicable law and by General Liability and Automobile for the treatment, transportation, or disposal of, or Liability Insurance (in the amount of S1,000,000 owned or possessed, or chose the treatment, combined single limit) for bodily injury and property transportation or disposal site for, any material with damage. Insurance certificates will be furnished to respect to which Services are provided, and (iii) any Client on request. If the CLIENT requires further pollution, contamination or release of hazardous or insurance coverage, SEI wilt endeavor to obtain said radioactive materials, including all adverse health coverage, and CLIENT shall pay any extra costs effects thereof, except for any portion thereof which therefor. results from SEI's gross negligence or willful misconduct. 9. RISK ALLOCATION - CLIENT hereby agrees that:(1)there are risks inherent to the Services,many of 12. LIMITATIONS OF LIABILITY: which cannot be ascertained or anticipated prior to or during the course of the Services; (2) due to the a. GENERAL LIMITATION-CLIENT'S SOLE AND inherently limited nature and amount of the data EXCLUSIVE REMEDY FOR ANY ALLEGED resulting from environmental investigation methods, BREACH OF WARRANTY BY SEI SHALL BE TO complete analysis of conditions is not always possible, REQUIRE 8E1 TO RE-PERFORM ANY DEFECTIVE and, therefore, conditions frequently vary from those SERVICES. SEI'S LIABILITY AND CLIENT'S anticipated earlier; and (3) technology, methods, REMEDIES FOR ALL CAUSES OF ACTION accepted professional standards as well as law and ARISING HEREUNDER WHETHER BASED IN • policy, are undefined and/or constantly changing and CONTRACT, WARRANTY, NEGLIGENCE, evolving. In light of all of the foregoing and INDEMNITY, OR ANY OTHER CAUSE OF considering SEI's lack of responsibility for creating the ACTION, SHALL NOT EXCEED IN THE conditions requiring the Services, as a material CUMULATIVE AGGREGATE (INCLUDING ANY inducement to and consideration for SEI's agreement to INSURANCE PROCEEDS)WITH RESPECT TO ALL perform the Services on the terms and at the price herein CLAIMS ARISING OUT OF OR RELATED TO THIS provided for, CLIENT SPECIFICALLY AGREES AGREEMENT, WHATEVER MiNiMUM AMOUNT THAT SEI'S LIABILITY SHALL BE STRICTLY MAY BE REQUIRED BY LAW OR, IF NONE,THE LIMITED AS PROVIDED IN SECTIONS 10 LESSER OF THE AMOUNT OF COMPENSATION THROUGH 12 OF THIS AGREEMENT. FOR SUCH SERVICES, OR S100,000 (WHICH AMOUNT INCLUDES ANY FEES AND COSTS 10. WARRANTY: SEI is an independent contractor INCURRED IN RE-PERFORMING SERVICES). THE and SEI's Services will be performed,findings obtained, REMEDIES iN THIS AGREEMENT ARE CLIENT'S and recommendations prepared in accordance with SOLE AND EXCLUSIVE REMEDIES.ALL CLAIMS, generally and currently accepted professional practices INCLUDING THOSE FOR NEGLIGENCE OR ANY and standards governing recognized firms in the area OTHER CAUSE WHATSOEVER SHALL BE Page 2 of 4 SEI CLIENT DEEMED WAIVED UNLESS SUIT THEREON IS proposals, offers,and other communications relative to FILED WITHIN ONE (1) YEAR AFTER THE the provisions of these Services by SEI,oral or written, EARLIER OF (I) SETS SUBSTANTIAL are hereby superseded, except to the extent that they COMPLETION OF THE SERVICES OR (2) THE have been expressly incorporated by reference herein. DATE OF SEI'S FINAL INVOICE. FURTHER, SEI In the event of conflict, the four pages of this SHALL HAVE NO LIABILITY FOR ANY ACTION Agreement shall govern. CLIENT may accept these INCLUDING DISCLOSURE OF INFORMATION terms and conditions by execution of this Agreement or WHERE IT BELIEVES IN GOOD FAITH THAT by authorizing SEI to begin work. Any modifications or SUCH ACTION IS REQUIRED BY PROFESSIONAL revision of any provisions hereof or any additional STANDARDS OF CONDUCT FOR THE provisions contained in any purchase order, PRESERVATION OF PUBLIC HEALTH, SAFETY acknowledgement or other document issued by the OR WELFARE,OR BY LAW. CLIENT is hereby expressly objected to by SEI and shall not operate to modify the Agreement. b. CONSEQUENTIAL DAMAGES: FURTHER AND REGARDLESS OF ANY OTHER PROVISION b. DISPUTES, ATTORNEY FEES — Any dispute HEREIN, SEI SHALL NOT BE LIABLE FOR ANY regarding this Agreement or the Services shall be INCIDENTAL, INDIRECT, OR CONSEQUENTIAL resolved first by exchange of documents by senior DAMAGES (INCLUDING LOSS OF PROFITS, management of the parties, who may be assisted by DECLINE IN PROPERTY VALUE, REGULATORY counsel. Any thereafter unresolved disputes shall be AGENCY FINES,LOST PRODUCTION OR LOSS OF litigated in the state whose law governs under Section USE) INCURRED BY CLIENT OR FOR WHICH 13 hereunder. In any litigation, the Prevailing Party CLIENT MAY BE LIABLE TO ANY THIRD PARTY shall be entitled to receive, as part of any award or OCCASIONED BY THE SERVICES OR BY judgment, eighty percent (80%) of its reasonable APPLICATION OR USE OF REPORTS OR OTHER attorneys' fees and costs incurred in handling the WORK PERFORMED HEREUNDER. dispute. For these purposes,the"Prevailing Party"shall be the party who obtains a litigation result more 13. GOVERNING LAWS: This Agreement shall be favorable to it than its last formal written offer(made at governed and construed in accordance with the laws of least twenty calendar days prior to the formal trial) to the State in which the site to which the Services relate is settle such litigation. located. c. WAIVER OF TERMS AND CONDITIONS - 14.TERMINATION: Either party may terminate this The failure of SEI or CLIENT in any one or more Agreement with or without cause upon twenty (20) instances to enforce one or more of the terms or days' written notice to the other party. Upon such conditions of this Agreement or to exercise any right or termination, CLIENT shall pay SEI for all Services privilege in the Agreement or the waiver by SEI or performed hereunder up to the date of such termination. CLIENT of any breach of the terms or conditions of this In addition, if CLIENT terminates, CLIENT shall pay Agreement shall not be construed as thereafter waiving SEI all reasonable costs and expenses incurred by SEI any such terms,conditions,rights,or privileges,and the in effecting the termination,including,but not limited to same shall continue and remain in force and effect as if non-cancelable commitments and demobilization costs. no such failure to enforce had occurred. 15. ASSIGNMENT': Neither SEi nor CLIENT shall d.NOTICES—Any notices required hereunder may be assign any right or delegate any duty under this sent by orally confirmed US Mail,courier service(e.g. Agreement without the prior written consent of the FedEx), orally confirmed telecopy (fax) or orally other, which consent shall not be unreasonably confirmed email (further confirmed by US Mail)to the withheld. Notwithstanding the foregoing, the Services addresses set forth below, may be performed by any subsidiary or affiliate of The Shaw Group Inc., or other person designated by SEI, e. SEVERABiLITY AND SURVIVAL - Each and, SEI may, upon notice to CLIENT, assign, pledge provision of this Agreement is severable from the or otherwise hypothecate the cash proceeds and others. Should any provision of this Agreement be accounts receivable resulting from the performance of found invalid or unenforceable,such provision shall be any Services or sale of any goods pursuant to this ineffective only to the extent required by law, without Agreement. invalidating the remainder of such provision or the remainder of this Agreement. 16. MISCELLANEOUS: Further, to the extent permitted by law, any provision found invalid or unenforceable shall be deemed a. ENTIRE AGREEMENT, PRECEDENCE, automatically redrawn to the extent necessary to render ACCEPTANCE MODIFICATIONS: The terms and it valid and enforceable consistent with the parties' conditions set forth herein constitute the entire intent. For example,if the gross negligence standard in understanding of the Parties relating to the provisions of' Section I I is unenforceable under an applicable"anti- the Services by SEI to the CLIENT. All previous indemnity" statute, but a sole negligence standard is Page 3 of 4 SEI CLIENT enforceable, the sole negligence standard shall be automatically substituted therefor. The tenns and conditions set forth herein shall survive the termination of this Agreement. CLIENT and SEI agree to the foregoing(INCLUDING THE LIMITATIONS ON LIABILITY IN SECTIONS 9-12) and have caused this Agreement to be executed by their duly authorized representatives as of the date set forth below. Executed on ,200 CLIENT Client Name: By(Sign): Print Name: Title: Address: Phone: Fax: E-mail: SHAW ENVIRONMENTAL.INC. By(Sign): • Print Name: Title: Address: Phone: Fax: E-mail: Page 4 of 4 SEI CLIENT Kathleen Hartnett White,Chairman Larry R.Soward,Commissioner1 ' ram t�0i '. Martin A.Hubert,Commissioner Glenn Shankle,Executive Director TEXAS COMMISSION ON ENVIRONMENTAL QUALITY Protecting Texas by Reducing and Preventing Pollution February 7, 2007 Mr.Mike Sferra,Director of Development Services City of Wylie 200G Highway 78 North Wylie,TX 75098 Re: Former Wylie Service Center, 800 West Kirby, Wylie, Collin County; Voluntary Cleanup Program(VCP)No. 1127 Dear Mr. Sferra: The Texas Commission on Environmental Quality (TCEQ) has reviewed the Annual Report of Groundwater Monitoring and Report of Cap Inspection dated December 4,2006 as well as other requested information. Based on this review, the TCEQ has determined that the report and additional information demonstrate that cleanup of the site has attained Texas Risk Reduction Program Remedy Standard B commercial/industrial standards, in accordance with 30 Texas Administrative Code (TAC) §350.33. Therefore, the VCP is prepared to issue a Conditional Certificate of Completion(CCOC)for the site pursuant to 30 TAC 333.10. Enclosed for your signature are exhibits entitled Affidavit of Implementation of Response Actions (Exhibit"B"), Restrictive Covenant(Exhibit"C")and Conditions(Exhibit"D"),which will become attachments to the CCOC. Exhibit"B"is a statement of your diligence in performing the necessary corrective action at the site. Exhibit "C" lists restrictions that must be observed and to which the current landownermust consent.Exhibit"D"describes post-closure care which must he performed at the site. If you are relying upon a restrictive covenant, it will be necessary to submit other survey maps labeled "C-1", "C-2", "C-3", etc. that identify the physical locations of the site to which the restrictions in Exhibit"C"pertain. If post closure care will be required at the site and/or on off-site areas,it will be necessary to provide survey maps labeled"D-1","D-2",D-3",etc.that describe the entire area where post closure care must occur. If the proposed future use of the land is other than residential,the certificate will be filed on property you do not.own or control and you have not already provided the VCP with documentation that the current landowner consents to the placement of the VCP certificate specifying a land use other than residential for the property, then you must provide this documentation along with the attached P.O.Box 13087 • Austin,Texas 78711-3087 • 512/239-1000 • Internet address:www.tceq.state.tx.us printed on recycled paper using soy-based ink Mr. Mike Sferra Page 2 February 7, 2007 exhibits. If not previously performed, you must also provide the TCEQ with a copy of the written request for permission to file the CCOC. The copy of the written request must contain a draft certificate, the address and phone number of the TCEQ's Public Interest Counsel and a clear explanation as to the content and purpose of the institutional control. We appreciate the opportunity for the Texas VCP to help you receive the CCOC. To help us serve you and others better in the future and to determine the value of the VCP,we are requesting your assistance to answer and return the Texas VCP/Brownfields Survey in the enclosed envelope. By completing this survey,you are providing information which is vital in helping us reach our goal of providing the best possible service by understanding your issues and focusing on solutions which will continually improve the VCP. We would also appreciate any additional comments or observations about the VCP beyond those questions asked on the survey. Please return the original executed exhibits and survey map(s)of the site with the enclosed envelope. The Texas VCP/Brownfields Survey should also be included. The requested information should be sent to my attention at the TCEQ, Voluntary Cleanup Program, mail code MC 221, at the letterhead address no later than 30 days from the date of this letter. If an adequate response cannot be prepared within this time frame,please contact me to discuss an alternative schedule. When I have received the executed exhibits and survey map(s), and the VCP has received the Brownfields Survey,I will prepare the CCOC with attached exhibits and mail it to you. At that time, you will file the CCOC in the Collin County deed records and return proof of the filing to me. You may contact me with any questions or comments at(512)239-6753. Sincerely, oe Bell,Project Manager Environmental Cleanup Section II Remediation Division JNB/ts Enclosures cc: Ms.Mica Feinstein, Shaw Environmental,Inc.,Irving,TX • Texas VCP/Brownfields Survey Site Name: Site Address: Contact Person/Phone#: Survey Date: Certificate of Completion Issuance Date: VCP ID# 1. Is a property transaction anticipated,pending, or completed for the site? YES NO 2. If no, describe the primary incentive(s)for entering into the VCP: (skip to#15) 3. If yes,what was/will be the date of the property transaction and what was/will be the sale price (or estimated property value)? 4. Would the sale of this property have likely occurred(or will occur)without the existence of the VCP? YES NO 5. If no,please explain the importance of the VCP Certificate of Completion issuance in buying/selling the property. Circle One 1 -Extremely Important,2-Very Important,3-Somewhat Important,4-Not Important 6. Is additional development or redevelopment planned for the property? YES NO 7. If no,what will occupy the existing site?(skip to#11) 8. If yes,what development or redevelopment is planned and what are the projected costs? 9. What is the schedule for redevelopment(start/finish)? 10. If an out-of-state business will occupy the property,were the incentives offered by the VCP important in the decision to move to Texas? YES NO 11. What has been or is anticipated to be the net increase in permanent lobs within two years after receiving the Certificate of Completion? 12. What has been or is anticipated to be the net increase in the appraised property value within two years after receiving the Certificate of Completion? 13. What other economic impact or community benefits are occurring to the surrounding city neighborhood or community which may be attributable to this property's development? (e.g. initiation of other redevelopment, creation of community redevelopment action groups, etc.) 14. Check the following Brownfields characteristics which apply to this property: Abandoned months/years prior to transaction Within designated Empowerment Zone or Enterprise Community Past underutilization,Iist past uses: Past tax delinquency($ ). Past tax idled ( months/years prior to transaction) is. Indicate the most important benefits for you to enter the VCP and receive a Certificate of Completion for this site,numbered in the order of importance: Liability release for future lenders and landowners Protection from Texas Commission on Environmental Quality enforcement actions Federal assurances provided by the EPA/VCP Memorandum of Agreement Timely review by the VCP Clearly described checklist approach to determine cleanup requirements provided by using Guidance for Initiating&Reporting Response Actions Conducted Under the VCP Filing of only the Certificate of Completion when the cleanup achieves the appropriate health-based level(no separate deed recordation as per the risk reduction rules) VCP remediation requirements which supersede the risk reduction rules(e.g.standard 3 corrective measure study or response action work plan focused on a selected remedy rather than comparison of numerous remedies) Other benefits 16. Please describe any areas within the VCP administrative or technical review process where you believe improvements should be made: 17. We would like to track both the short and long term success of sites remediated through the VCP. May we contact you in the future to request additional information regarding measurable economic and community successes (e.g. increased number of jobs,increased property value) realized since the issuance of the VCP certificate of completion? YES NO 2 EXHIBIT"B" Affidavit of Implementation of Response Actions VCP No. 1127 BEFORE ME,the undersigned authority,on this day personally appeared as an authorized representative of the City of Wylie(Applicant),known to me to be the person whose name is subscribed below who being by me first duly sworn,upon their oath, stated as follows: I am over the age of 18 and legally competent to make this affidavit. I have personal knowledge of the facts stated herein. The City of Wylie has implemented response actions pursuant to Chapter 361,Subchapter S,Texas Health and Safety Code,at the tract of land described in Exhibit"A"to this certificate that pertains to former City of Wylie Service Center(Site),VCP No. 1127 located at 800 West Kirby,Wylie,Collin County,Texas. The Site was owned by the City of Wylie at the time the application to participate in the Voluntary Cleanup Program was filed. The Applicant has submitted and received approval from the Texas Commission on Environmental Quality(TCEQ)Remediation Division on all plans and reports required by the Voluntary Cleanup Agreement necessary for receipt of a Conditional Certificate of Completion(Certificate)for the tract of land in Exhibit"A". The plans and reports were prepared using a prudent degree of inquiry of the Site consistent with accepted industry standards to identify all hazardous substances,waste and contaminated media of regulatory concern. The response actions for the Site have achieved response action levels acceptable for commercial/industrial land use as determined by the standards of TCEQ. As long as the restrictive covenant present in Exhibit"C"is observed and the conditions present in Exhibit "D"are maintained,the response action will sufficiently eliminate present or future risk to public health and safety and the environment from releases and threatened releases of hazardous substances and/or contaminants at or from the Site. The Applicant has not acquired this Certificate by fraud,misrepresentation or knowing failure to disclose material information.Further information concerning the response action at this Site may be found in the final report at the central office of the TCEQ under VCP No. 1127. The preceding is true and correct to the best of my knowledge and belief. Aunlicant (Signature) (Printed Name) (Title) STATE OF COUNTY OF SUBSCRIBED AND SWORN before me on this the day of 20 ,to which witness my hand and seal of office. Notary Public in and for the State of EXHIBIT"C" Restrictive Covenant VCP No. 1127 The City of Wylie(Owner),whose address is 2000 Highway 78 North, Wylie,TX 75098 is the owner of the tract of land described in Exhibit "A" to this certificate that pertains to the former City of Wylie Service Center (Site), VCP No. 1127 located at 800 West Kirby in Wylie, Collin County, Texas. In consideration of the Response Actions by the City of Wylie (VCP Applicant) and issuance of this Conditional Certificate of Completion,the Owner has agreed to place the restrictions listed below on the site at the areas described in attached exhibit(s)and in favor of the Texas Commission on Environmental Quality (TCEQ)and the State of Texas.This Restrictive Covenant is filed to provide information concerning certain environmental conditions and use limitations. This Restrictive Covenant is required for the following reasons: The area described in Exhibit"C-I" is subject to TCEQ regulatory requirements for properties containing solid wastes in a waste control unit in order to prevent exposure to these wastes in soil.The area in Exhibit "C-1"provides the location of the physical control and extent of known solid wastes.The attached Exhibit "D"provides the reason the physical control must remain in place,and describes the required maintenance and monitoring for the physical control.This monitoring program must be implemented unless and until the TCEQ approves any modification. The area described in Exhibit"C-2"currently meets regulatory standards for commercial/industrial land use. Based upon the reports, the chemicals at the site pose no significant present risk to humans or the environment based on commercial/industrial land use.However,because of the nature of the chemicals,if buildings are developed at the site,the site may not be protective against potential indoor methane intrusion from the underlying solid wastes. The development of enclosed structures over a municipal landfill is governed by the requirements of 30 TAC 330 Subchapter T. Now,therefore,in consideration of these premises and other good and valuable consideration,the receipt and sufficiency of which is hereby acknowledged,the following Restrictive Covenant in favor of the TCEQ and the State of Texas is placed on the site,at the areas described in the attached exhibits,to-wit: 1. The following restrictions shall be a covenant running with the land. 2. Remedial actions performed at the site rely at least in part upon a physical control.Therefore,the removal or modification of the soil cover at the site or partial response action area described in Exhibit C-1"is prohibited without prior written approval from the TCEQ. The condition related to inspection and (if necessary) repair of the physical control present in Exhibit "D" must be maintained.Removal or modification of this restrictive covenant is prohibited without prior written approval of the TCEQ. • 3. The development of buildings at the site described in Exhibit "C-2" is prohibited without prior written approval from the TCEQ.Removal or modification of this restrictive covenant is prohibited without prior written approval of the TCEQ. For additional information,contact: TCEQ Mail: TCEQ-MC 199 Central Records P.O.Box 13087 12100 Park 35 Circle,Building E Austin,Texas 78711-3087 Austin,Texas 78753 This Restrictive Covenant may be rendered of no further force or effect only by a release executed by the TCEQ or its successor agencies and filed in the same Real Property Records as those in which this Restrictive Covenant is filed. Property Owner By: Print Name: Title: STATE OF COUNTY OF This instrument was acknowledged before me on ,20_,by Notary Public in and for the State of VCP Applicant By: Print Name: Title: STATE OF COUNTY OF This instrument was acknowledged before me on ,20 ,by Notary Public in and for the State of Accepted as Third Party Beneficiary this day of Texas Commission on Environmental Quality By: Print Name: Title: STATE OF COUNTY OF This instrument was acknowledged before me on ,20 ,by Notary Public in and for the State of EXHIBIT"D" Conditions VCP No. 1127 The following post-response action care conditions apply to the tract(s)of land described in the attached exhibit(s)where contamination has been released at the former Wylie Service Center: Site Conditions 1. The soil cover described in Exhibit"D-1"shall be inspected and maintained annually.The inspection and maintenance shall be conducted according to the December 4, 2006 Annual Report of Groundwater Monitoring and Report of Cap Inspection for the site or subsequently approved reports or other TCEQ written correspondence.Where TCEQ correspondence and other reports conflict, TCEQ correspondence prevails over the reports. Reports documenting the soil cover, condition, maintenance,repair, replacement and the continued effectiveness of the remedy are to be submitted annually to the TCEQ for review unless this frequency is modified by subsequent TCEQ correspondence. 2. The Certificate,including all attached exhibits,shall be disclosed to the next subsequent owner prior to transfer of control of the Site or any part of the Site. Any such failure to disclose shall only affect that portion of the Site for which the disclosure is not accomplished. 3. TCEQ oversight costs for review of any work plans or reports necessary to implement the conditions of the Certificate shall be paid in a timely manner. 4. The cleanup rules governing conditional site closure(or any subsequently applicable similar rules), must be complied with in addressing the site. These conditions may be modified or discontinued only when the TCEQ or its successor agencies have provided prior written consent and when such a document is filed in the same Real Property Records as those in which these conditions are filed. VCP Applicant By: Print Name: STATE OF COUNTY OF This instrument was acknowledged before me on ,20_,by Notary Public in and for the State of Wylie City Council CITY OF WYLIE AGENDA REPORT Meeting Date: April 22, 2008 Item Number: 3 Department: Public Services (City Secretary's Use Only) 100-5511-54210, 100-5511-56040 Prepared By: Mike Sferra Account Code: 100-5511-56180, 100-5511-56680 Date Prepared: April 4, 2008 Budgeted Amount: $79,700 Resolution/Interlocal Exhibits: Agreements (2) Subject Consider, and act upon, Resolution No. 2008-12(R) authorizing the City Manager to execute two Interlocal Agreements with the North Central Texas Council of Governments for implementation of the Solid Waste Implementation grant projects. Recommendation Motion to approve Resolution No. 2008-12(R) authorizing the City Manager to execute two Interlocal Agreements with the North Central Texas Council of Governments for implementation of the Solid Waste Implementation grant projects. Discussion On January 8, 2008, the City Council approved Resolution 2008-02(R) authorizing staff to submit two grant applications requesting project funding under the North Central Texas Council of Governments (NCTCOG) Request for Project Applications supporting the goals of the Regional Solid Waste Management Plan. In March 2008, the NCTCOG notified the City of Wylie that both applications received funding provided by the Texas Commission on Environmental Quality. In order to proceed with projects, an Interlocal Agreement between the City of Wylie and the NCTCOG must be executed. The term of this funding cycle began in March 2008, and all projects must be completed prior to July 2009. The first project application received $119,000 in funding to support and expand the current Wylie Cleanup Greenup program. One of the Regional Solid Waste Management Plan's goals is to reduce the number of illegal dumpsites and expand clean-up events through public and private partnerships. This grant award will reimburse the City for costs associated with four cleanup events scheduled for May 5 — 10, 2008, October 2008, February 2009, and May 2009. In addition to the usual Cleanup Greenup activities, the project also includes the participation of the Public Services Department in cleaning up illegal dumpsites in conjunction with the scheduled cleanup events. The Park Division budget for FY07-08 includes funding for the Wylie Cleanup Greenup scheduled for May 5 — 10, 2008. During the past budget process, the City Council indicated a preference for funding at least three Cleanup Greenups per year; consequently, staff will request funding for three events as part of the FY08-09 Page 1 of 2 Page 2 of 2 budget to fulfill the grant award and to be completed prior to the end of the grant cycle which is July 2009. Upon submittal of the required documentation to the NCTCOG after each Cleanup Greenup, the City will be reimbursed a total of$119,000 for all four Cleanup Greenup events. The second application received $16,300 in funding to conduct two creek clean up events tentatively scheduled for November 2008 and March 2009. This project supports the same Regional Solid Waste Management Plan goal, and would be a new program to further educate the public about illegal dumping while encouraging public participation in cleaning up the community. At this time, City park areas in Creekside Estates and the Sage Creek subdivisions are being considered as possible locations for implementing the proposed November 2008 event. Staff will work on identifying other park sites that are good candidates for the proposed March 2009 event. Additionally, as part of the FY08-09 budget, staff will request funding for the two proposed creek clean up events to fulfill the grant award. Upon submittal of the required documentation after each event, the City will be reimbursed a total of$16,300 for both events. The amount of funding received in the grants covers the cost of all contractual expenses, purchases, publications, printing, advertising, rentals, etc. for all clean up events. The City's match is comprised of the personnel time to plan, organize, and conduct the events. Approved By Initial Date Department Director MS 4/7/08 City Manager 410 q l.o larl RESOLUTION NO. 2008-12(R) A RESOLUTION OF THE CITY OF WYLIE, TEXAS AUTHORIZING THE CITY MANAGER TO EXECUTE TWO INTERLOCAL AGREEMENTS WITH THE NORTH CENTRAL TEXAS COUNCIL OF GOVERNMENTS (NCTCOG) FOR IMPLEMENTATION OF THE SOLID WASTE IMPLEMENTATION GRANT PROJECTS. WHEREAS, the North Central Texas Council of Governments (NCTCOG) is directed by the Texas Commission on Environmental Quality to administer solid waste project funds for the implementation of NCTCOG's adopted SEE Less Trash Regional Solid Waste Management Plan; and WHEREAS, the City of Wylie submitted two grant applications requesting project funding supporting the goals of the Regional Solid Waste Management Plan; and WHEREAS, The City was awarded project funding from the Texas Commission on Environmental Quality; and WHEREAS, such funding is in support and expansion of the current Wylie Cleanup Greenup program and will reduce the number of illegal dumpsites and expand clean-up events through public and private partnerships; and WHEREAS, such funding will allow two creek clean up events and a program to further educate the public regarding illegal dumping, while encouraging public participation in cleaning up the community. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF WYLIE: SECTION 1: That the City Council hereby approves the lnterlocal Agreements with the North Texas Council of Governments (NCTCOG) and hereby authorizes and directs its City Manager to execute two Interlocal Agreements for implementation of the Solid Waste Implementation grant projects. SECTION 2: The Interlocal Agreement for the Wylie Community Clean-up Events Project, in the amount of$119,000.00 (One hundred nineteen thousand dollars), will reimburse the City for costs associated with four cleanup events scheduled for May 5 — 10, 2008, October 2008, February 2009, and May 2009. The project also includes the participation of the Public Services Department in cleaning up illegal dumpsites in conjunction with the scheduled cleanup events. Resolution No.2008-12(R) Interlocal Agreements with NCTCOG Solid Waste Local Implementation Funding Project SECTION 3: The Interlocal Agreement for the Wylie Creekfest-Creek Cleanup Project, in the amount of $16,300.00 (Sixteen thousand three hundred dollars), will reimburse the City for costs associated with two creek clean up events and a new program to further educate the public regarding illegal dumping while encouraging public participation in cleaning up the community. SECTION 4: The Interlocal Agreements terms are effective March 24, 2008 and shall terminate July 31, 2009. The Interlocal Agreements shall immediately terminate at the end of any state fiscal year for which the Texas Legislature fails to appropriate funds necessary to perform this agreement. SECTION 5: This Resolution shall become effective immediately upon its passage. DULY PASSED AND APPROVED by the City Council of the City of Wylie, Texas this 8th day of April, 2008. John Mondy, Mayor ATTEST: Carole Ehrlich, City Secretary Resolution No.2008-12(R) Interlocal Agreements with NCTCOG Solid Waste Local Implementation Funding Project Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project NORTH CENTRAL TEXAS COUNCIL OF GOVERNMENTS INTERLOCAL AGREEMENT FOR SOLID WASTE IMPLEMENTATION GRANT PROJECT This Interlocal Agreement is entered into by and between the parties named below. Neither the Texas Commission on Environmental Quality nor the State of Texas is a party to this Agreement. CONTRACTING PARTIES: The Funding Agency: North Central Texas Council of Governments Herein referred to as "NCTCOG" Funds Recipient: City of Wylie, TX Herein referred to as "FUNDS RECIPIENT" II. SERVICES TO BE PERFORMED: For the Wylie Community Clean-up Events Project, the FUNDS RECIPIENT shall complete all work as specified or indicated in "Attachment A-Work Program and Schedule of Deliverables of FUNDS RECIPIENT". III. FUNDING AMOUNT: The funding amount under this Interlocal Agreement is a minimum of: $119,000 dollars (One hundred nineteen thousand dollars). The budget details are in Attachment C. IV. TERM OF CONTRACT: This Interlocal Agreement is effective March 24, 2008 and shall terminate July 31, 2009. This Interlocal Agreement shall immediately terminate at the end of any state fiscal year for which the Texas Legislature fails to appropriate funds necessary to perform this agreement. This Interlocal Agreement must be signed and executed forty-five (45) days from the effective date stated above. In the event funding is not available, the parties further agree that NCTCOG has no further obligation to pay and the FUNDS RECIPIENT has no further duty to perform under terms of this agreement. V. ADDITIONAL CONTRACT PROVISIONS: See Attachment B - Schedule for Reimbursement and Reporting, Attachment D - Special Provisions, and Attachment E - General Provisions. VI. ENTIRE CONTRACT: This Interlocal Agreement, including all Attachments, represents the entire contract between the contracting parties. Any changes or modifications to this Interlocal Agreement must be in writing. Funds for this subcontract are currently available from the Texas Solid Waste Disposal and Transportation Revenue Fee, as proscribed in Texas Health and Safety Code Chapter 361.014. Due to demands upon the source for funds necessary to protect the health and safety of the public, it is possible that the funds contained in the Municipal Solid Waste Disposal Account, as proscribed in Texas Health and Safety Code Chapter 361.014(d), will be depleted or reduced prior to completion of this Interlocal Agreement. The parties agree that all funding arranged under this Interlocal Agreement is subject to sufficient funds in the Municipal Solid Waste Disposal Account. The NCTCOG has certified, and the FUNDS RECIPIENT certifies that each has the authority to perform the services contracted for by authority granted in "the Regional Planning Act of 1965," Texas Local Government Code, Chapter 391 and "The Interlocal Cooperation Act," Texas Government Code, Chapter 791. Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project COUNCIL OF GOVERNMENTS PROJECT FUNDS RECIPIENT North Central Texas Council of Governments City of Wylie, TX Funding agency Local Government Signature Signature Mike Eastland Mindy Manson Name Name Executive Director City Manager, City of Wylie, Texas Title Title Date Date ii Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project LIST OF ATTACHMENTS ATTACHMENT A. WORK PROGRAM AND SCHEDULE OF DELIVERABLES 1 ATTACHMENT B. SCHEDULE FOR REIMBURSEMENT AND REPORTING 2 ATTACHMENT C. BUDGET& DETAILED COST SHEETS 3 ATTACHMENT D. SPECIAL PROVISIONS 6 Article 01. PURPOSE OF AGREEMENT 6 Article 02. LIMITATIONS AND REPORTING REQUIREMENTS 6 Article 03. FINANCIAL OBLIGATION 6 Article 04. REIMBURSEMENT PROCEDURES 5 Article 05. BUDGET CATEGORY ADJUSTMENTS 8 Article 06. PROJECT REPORTING REQUIREMENTS 8 Article 07. PERFORMANCE MEASURES 9 Article 08. PERSONNEL 9 Article 09. TRAVEL 10 Article 10. CONSUMABLE SUPPLIES 10 Article 11. EQUIPMENT 11 Article 12. CONTRACTUAL EXPENSES 13 Article 13. CONSTRUCTION 14 Article 14. OTHER EXPENSES 14 Article 15. INDIRECT EXPENSES 15 Article 16. MATCHING SERVICES/CASH CONTRIBUTIONS 15 Article 17. PROJECT CONTACTS 16 ATTACHMENT E. GENERAL PROVISIONS 17 Article 01. ELIGIBLE PROJECT FUNDING RECIPIENTS 17 Article 02. RESPONSIBILITIES OF THE FUNDS RECIPIENT 17 Article 03. OVERSIGHT OF SOLID WASTE IMPLEMENTATION PROGRAM 18 Article 04. STANDARDS FOR IMPLEMENTATION PROJECTS 18 Article 05. MONITORING REQUIREMENTS 23 Article 06. COMPLIANCE WITH APPLICABLE LAWS 23 Article 07. UNIFORM GRANT AND CONTRACT MANAGEMENT ACT 23 Article 08. ACCOUNTING SYSTEM 23 Article 09. RELEASE OF CLAIMS 24 Article 10. ACCESS/EXAMINATION OF RECORDS 24 Article 11. AUDITS 25 Article 12. INSURANCE AND LIABILITY.... 25 Article 13. HAZARDOUS SUBSTANCES, WASTE DISPOSAL AND MANIFESTS . 25 Article 14. CONFLICTS OF INTEREST 25 Article 15. SURVIVAL OF OBLIGATIONS 26 Article 16. CONTRACTUAL COSTS 25 Article 17. CHANGES TO INTERLOCAL AGREEMENT . . 26 Article 18. SEVERABILITY 27 Article 19. INTELLECTUAL PROPERTY 27 Article 20. CORRESPONDENCE.. 28 Article 21. DATA AND PUBLICITY . 28 Article 22. ASSIGNABILITY 28 Article 23. SUBAGREEMENTS AND SUBCONTRACTS 28 Article 24. SUPPLEMENTAL FUNDING STANDARDS 29 Article 25. IDENTIFICATION OF THE FUNDING SOURCE 30 iii Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project Article 26. THEME PHRASE FOR PUBLIC EDUCATION MATERIALS 30 Article 27. AMERICANS WITH DISABILITIES ACT REQUIREMENTS 31 Article 28. EMPLOYMENT PRACTICES 31 Article 29. STATUTES RELATING TO NONDISCRIMINATION 31 Article 30. UTILIZATION OF SMALL, MINORITY AND WOMEN'S BUSINESS ENTERPRISES 31 Article 31. SAFETY AND PROTECTION 31 Article 32. ENERGY EFFICIENCY STANDARDS 31 Article 33. FORCE MAJEURE 31 Article 34. TERMINATION OF INTERLOCAL AGREEMENT 32 DEFINITIONS 34 APPENDIX: 38 • PROJECT REPORT FORMS • FINANCIAL REIMBURSEMENT FORMS • Example of a RELEASE OF CLAIMS iv Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project Attachment A. Work Program and Schedule of Deliverables The following outlines the series of steps to be undertaken to fulfill the goal of the proposed project which is to offer four clean up events with recycling opportunities and the clean up of four illegal dumpsites. These events are tentatively scheduled to occur in May and October 2008 and February and May 2009. 1. Successful grant application. a. Meet with NCTCOG representatives to review requirements of Interlocal Agreement. b. Wylie City Council takes appropriate action to approve Interlocal Agreement 2. Approximately six weeks prior to each event, contact recyclers to participate in event. a. Public Services Department phones and emails potential event participants. b. Receive verbal and/or written commitment from participants. 3. Approximately five weeks prior to each event, reserve a backhoe, order gravel for site, and order temporary fence installation for the event. a. Public Services Department contacts vendors to schedule backhoe reservation, gravel delivery, and temporary fence installation. b. Issue Purchase Orders for backhoe reservation, gravel delivery + fence installation. 4. Approximately four weeks prior to each event, acquire event flier, signage and educational materials. a. Public Services Department begins in-house flier, signage and educational materials design. b. Complete design of flier, signage, and educational materials. c. Send design of flier, signage, and educational materials to three vendors to obtain quotes. d. Issue Purchase Order for fliers, signage and educational materials. e. Receive all items. 5. Approximately three weeks prior to each event, publicize event. a. Public Services Department contacts Wylie News to advertise event and insert fliers in the editions of the newspaper. b. Public Services Department coordinates with City of Wylie Public Information Officer to advertise event on City website. c. Public Services Department distributes fliers to all municipal buildings and offices open to the public. 6. Approximately one week prior to each event, perform site preparation. a. Public Service Department will oversee delivery and placement of the following: • gravel for site traffic and circulation. • temporary fence installation for site security. • dumpsters and receptacles for trash disposal and recycle items. • backhoe for handling and compacting trash into dumpsters, and site signage. 7. Cleanup event. a. Public Services personnel will perform and coordinate the cleanup event. b. Public Services employees will cleanup one illegal dumpsite within Wylie city limits and bring the debris to the event site for disposal. 8. During the week after the event, perform site restoration. a. Public Service Dept. perform final site cleanup; return backhoe/temporary fence to vendors. b. Site restoration will be completed. 9. Statistical report. a. Public Services staff will contact all event participants and recyclers to receive data on pounds, loads, and/or tons received and collected at the event. b. All participating City departments will submit a report of their personnel hours for the event to Public Services Department. c. Public Services Department will pay all vendor and contractor invoices upon receipt and include final costs in statistical report. d. Statistical report will be completed upon receipt of the last event-related invoice. e. City website posts pounds, loads, and/or tons received and collected at the event. 10. Final project report to NCTCOG. Coordinate with NCTCOG to prepare and submit final project report as required 1 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project Attachment B. Schedules for Requests for Reimbursement and Quarterly Status Reports 1. REQUESTS FOR REIMBURSEMENT The FUNDS RECIPIENT must submit a "Request for Reimbursement" at least quarterly (even if no funds were spent), but not more frequently than once a month, for reimbursement of actual allowable costs. Requests for Reimbursement may be submitted monthly and are not associated with the Status Report schedule. All Requests for Reimbursement shall be submitted in accordance with the requirements identified in Attachment D, Article 04 "Reimbursement Procedures" of this Interlocal Agreement. The final Request for Reimbursement must include a Release of Claims as indicated under Attachment E. Article 09, "Release of Claims" of this Interlocal Agreement. 2. QUARTERLY STATUS REPORTS The following represents the reporting schedule for projects funded in fiscal years 2008-09: DUE DATES FY2008 PROGRESS REPORTS REPORTING PERIOD Quarterly Project Summary/Results Report#1: March 2008 through May 2008 Due Friday, June 6, 2008 Quarterly Project Summary/Results Report#2: June 2008 through August 2008 Due Friday, September 5, 2008 Quarterly Project Summary/Results Report#3: Due Friday, December 5, 2008 September 2008 through November 2008 Quarterly Project Summary/Results Report#4: Due Friday, March 6, 2009 December 2008 through February 2009 Quarterly Project Summary/Results Report#5: March 2009 through May 2009 Due Friday, June 5, 2009 Final Results Report & Release of Claims June 2009 through July 31, 2009 Due Friday, August 21, 2009 Follow-Up Results Report: One (1) year after completion of the project Due Friday, August 5, 2010 upon NCTCOG request. 2 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project Attachment C. Budget and Detailed Cost Sheets Note: This Budget information is taken directly from the Project Application. BUDGET ITEM FUNDING MATCHING CASH TOTAL PROJECT AMOUNT SERVICES CONTRIBUTION 1. Personnel/salaries $ $ 33,975 $ $ 33,975 2. Fringe benefits $ $ $ $ 3. Travel $ $ $ $ 4. Supplies $ $ $ $ 5. Equipment $ $ $ $ 6. Construction $ $ $ $ 7. Contractual $ 104,000 $ $ $ 104,000 8. Other $ 15,000 $ $ 15,000 Total direct charges $ 119,000 $ 33,975 $ $ 152,975 (sum of lines 1-8) 9. Indirect charges $ $ $ $ Total cost (sum of 1-9) $ 119,000 $ 33,975 $ $ 152,975 Note: Matching services should relate only to staff or services directly involved with the funded project. Cash contributions identified in this project budget should be tracked separately from the matching services, with the understanding that if matching or cash contributions are not provided during the term of the grant, NCTCOG may terminate the grant for non-compliance. LIST MATCHING and CASH CONSTRIBUTIONS HERE Personnel/Salaries for 4 events: 1 Park Superintendent 8 hours @$31.12/hr. = $ 248.96 1 Parks Crewleader 40 hours @ $18.08/hr. = $ 723.20 3 Parks Maintenance Worker 120 hours @$14.12/hr. = $ 5,083.20 1 Streets Crewleader 6 hours @$18.08/hr. = $ 108.48 1 Streets Equipment Operator 6 hours @$16.38/hr. = $ 98.28 3 Streets Maintenance Worker 6 hours @$14.12/hr. = $ 762.48 1 Public Works Secretary I 4 hours @$14.84/hr = $ 59.36 1 Parks Secretary I 36 hours @ $14.84/hr. = $ 534.24 3 Firefighter Paramedic 12 hours @ $24.32/hr. = $ 875.52 $33,974.88 3 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project DETAILED BUDGET SHEET - Line 7: Project-Funded Contractual This budget sheet should be completed if any expenses are entered for contractual services on Line 7 of the Project Budget Summary; otherwise omit. $ 104,000 All contractual expenses must be pre-approved by NCTCOG. Expenses included under this category should be for costs for professional services or tasks provided by a firm or individual who is not employed by the project funds recipient other than those related to construction. All local government municipal laws and regulations, including UGMS, for bidding and contracting for services must be followed during the project period. Any expenses (including legal fees, staff time, travel and communications) related in any way to drafting legislation, lobbying for legislation, or other political activities are not allowable under this program. The following is an itemized list of the contractual expenses associated with the funded project, with as many specifications as possible: • Dumpster hauling (4 events @$13,750 ea.) $55,000 • Electronics recycling (4 events @$4,000 ea.) 16,000 • Tire recycling (4 events @ $2,000 ea.) 8,000 • Rental of backhoe (4 events @$1,500 ea.) 6,000 • Rental of site fencing (4 events @ $750 ea.) 3,000 • Site gravel (4 events @$4,000 ea.) 16,000 4 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project DETAILED BUDGET SHEET -Item 8: Project-Funded Other Expenses This budget sheet should be completed if any expenses are entered under"other" on Line 8 of the Project Budget Summary; otherwise omit. "Other" expenses are those for items or services that do not readily fit into any of the previous budget categories. The following is an itemized list of other expenses: $ Postage/delivery $ Telephone/FAX $ Utilities $ 5,000 Printing/reproduction $ 3,000 Advertising/public notices $ 1,000 Signage $ Training $ Office space and equipment rentals $ Basic office furnishings (desks, chairs, filing cabinets, etc.) $ Books and reference materials $ Computer Hardware (under$5,000&not listed under equipment category) $ Computer Software $ 6,000 Miscellaneous other expenses (Separately itemize these expenses below) • Educational items (4 events) $6,000 (hats/t-shirts/stickers/buttons, etc.with message to discourage illegal dumping and to encourage disposal of trash and debris properly) $ 15,000 TOTAL "other" expenses, equal to the amount entered on Line 8 of the budget summary. 5 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project Attachment D. Special Provisions Article 01: Purpose of the Interlocal Agreement The purpose of this Interlocal Agreement is to implement the provisions of§361.014(b) of the Texas Health and Safety Code, regarding the distribution of solid waste fee revenue funds in support of local and regional solid waste projects consistent with the regional solid waste management plans adopted by the NCTCOG and Texas Commission on Environmental Quality (TCEQ). This Interlocal Agreement is to perform specific tasks identified by NCTCOG's Resource Conservation Council (RCC) among several top-ranked local project proposals during the FY2008 grant funding cycle. Article 02: Limitations and Reporting Requirements Pursuant to §391 of the Local Government Code, funds received under this Interlocal Agreement will be expended only subject to the limitations and reporting requirements similar to those set forth in this Article: • Audit and Reporting Requirements that the FUNDS RECIPIENT annually report to the Governor, §391.0095 of the Local Government Code, and 1 TAC §5.83 and §5.87, Governor's Office Regulations. • FUND RECIPIENT'S Indirect Costs must comply with §391.0115 of the Local Government Code, and 1 TAC §5.86, Governor's Office Regulations. • Restrictions on FUNDS RECIPIENT Travel Cost, §391.0115 of the Local Government Code, and 1 TAC §5.86, Governor's Office Regulations. • Restrictions on Use of Alcoholic Beverages, §391.0115 of the Local Government Code, and 1 TAC §5.86, Governor's Office Regulations. • Restrictions on Lobbying and Nepotism, §391.0116 of the Local Government Code, and 1 TAC §5.89, Governor's Office Regulations. • Salary Administration Provisions and Schedules and Position Classification Schedules, §391.0117 of the Local Government Code, and 1 TAC §5.85, Governor's Office Regulations. • General Limitations on Expenditures, §6.01 of SB 1, General Appropriations Act, 79th Legislative Session. Article 03. Financial Obligation The FUNDS RECIPIENT is responsible for ensuring that expenditure amounts remain within the total budget limits. The FUNDS RECIPIENT must maintain records and documentation materials consistent with the requirements of this Attachment D "Special Provisions," the Uniform Grant and Contract Management Act, Texas Government Code, §§783.001 et. seq., and the Uniform Grant Management Standards, 1 Texas Administrative Code (TAC), §§5.141 et. seq. (collectively, "UGMS"). The FUNDS RECIPIENT must also follow up on any problems identified through its financial monitoring program. In consideration of full and satisfactory performance hereunder, NCTCOG will be liable to the FUNDS RECIPIENT in an amount equal to the actual costs incurred by the FUNDS RECIPIENT in rendering such performance, subject to the following limitations: NCTCOG is not liable for expenditures made in violation of Attachment E, Article 24, which outlines supplemental funding standards as defined by the TCEQ. NCTCOG is not liable for 6 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project any costs incurred by FUNDS RECIPIENT in the performance of this Interlocal Agreement that have not been billed to NCTCOG within thirty (30) calendar days following termination of this Interlocal Agreement. NCTCOG is not liable to the FUNDS RECIPIENT for costs incurred or performance rendered by FUNDS RECIPIENT before commencement of this agreement or after termination of this Interlocal Agreement. Except as specifically authorized by NCTCOG in writing, NCTCOG is liable only for expenditures made in compliance with the cost principles and administrative requirements set forth in this Interlocal Agreement, stated guidelines and applicable rules and regulations. Failure on the part of the FUNDS RECIPIENT to comply with the conditions set forth in this Interlocal Agreement shall be the basis for termination of the Interlocal Agreement and/or the revocation of any unexpended or inappropriately expended funds. Article 04: Reimbursement Procedures All payments for approved project expenditures shall be on a cost reimbursement basis only. The NCTCOG reserves the right to withhold or deny payments of funds awarded under this Interlocal Agreement due to incomplete, incorrect, or inconsistent reports or tasks required under this Interlocal Agreement, until the FUNDS RECIPIENT satisfactorily completes, revises, or corrects such services or reports. Request for Reimbursement (Summary of Project Expenditures): For expenditures already incurred, the FUNDS RECIPIENT shall submit a request for reimbursement at least quarterly, but no more frequently than once per month, by the tenth (10th) calendar day following the end of each month for which expenditures are claimed. The FUNDS RECIPIENT must use the required Summary of Project Expenditures (Form PT-F2), with appropriate itemized lists (Forms PT-F2-A through PT-F2-E) submitted with an original signature. All requests for reimbursement shall provide sufficient documentation, including: • copy of purchase order(s), • copy of invoice(s), • check number and/or electronic transfer number under which payment was made, and • information concerning the costs incurred to enable the NCTCOG to ascertain the eligibility of a particular expenditure to enable subsequent audits. Specific guidelines and requirements are given later in this Attachment D for each category of allowed expenditures, in the Articles labeled "Personnel," "Supplies," "Equipment," "Travel," etc. The FUNDS RECIPIENT may account for expenses incurred and request reimbursement of outlays under a cash or accrual basis, as defined and authorized by the UGCMA. Under this Interlocal Agreement, an eligible reimbursement cost must have been incurred within the time period indicated on the Summary of Pass-Through Grant Expenditures (Form PT-F2); shall have been already paid; or incurred by the last day of the Interlocal Agreement period of performance. 7 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project Payments: Upon review and approval of each Summary of Pass-Through Grant Expenditures, NCTCOG will make payment to FUNDS RECIPIENT, as soon as practicable. The Final Request for Reimbursement must be submitted at the end of the Interlocal Agreement period of performance and must include a Release of Claims. Article 05. Budget Category Adjustments The FUNDS RECIPIENT may expend funds in excess of those listed for a particular budget category within the approved budget without requiring a formal amendment to this Interlocal Agreement, if: The FUNDS RECIPIENT adheres to all other requirements of this Interlocal Agreement, concerning obtaining prior written authorization; • The cumulative dollar amount of all excess expenditures among direct budget categories is equal to or less than 5% of the total budget amount. • Sufficient funds are available in other budget categories to cover the excess expenditures. • The transfer will maintain or further the scope and objective of the project as funded by this Agreement. NCTCOG will make the final determination if a transfer furthers the scope and objective of a project. • The FUNDS RECIPIENT notifies the NCTCOG as soon as practical of the deviation from the budget categories. • Budget category adjustments/changes for Personnel/Salaries, Equipment, Contractual, Construction and Other expenditures must receive prior written authorization from the NCTCOG. In order to receive approval for a budget category adjustment, FUNDS RECIPIENT must complete and submit a REQUEST FOR BUDGET REVISION form. Article 06. Project Reporting Requirements The FUNDS RECIPIENT shall prepare and submit to the NCTCOG, a quarterly written progress report concerning performance under this Interlocal Agreement documenting the accomplishments and units of work performed under the Scope of Services of this Agreement. The quarterly "Summary/Results Report of Implementation Project" form must be submitted using the forms provided. The quarterly "Summary/Results Report of Implementation Project" form will be due to the NCTCOG on the days indicated under the Schedule for Reimbursement and Reporting in Attachment B. The FUNDS RECIPIENT'S Summary/Results Report of Implementation Project report shall contain adequate descriptions of all project activities performed in order to allow the NCTCOG to evaluate compliance with the provisions of this project. Performance information concerning timelines in meeting the schedule for required reports will be maintained by the NCTCOG and shared with members of the Resource Conservation Council (RCC). In particular, any legal research and related legal activities shall be clearly detailed in the progress reports in order to assure the NCTCOG that the activities are not prohibited under Attachment E, Article 24 of this Interlocal Agreement. The FUNDS RECIPIENT shall comply with any reasonable request by the NCTCOG for additional information on activities conducted in order for the NCTCOG to adequately monitor the FUNDS RECIPIENT'S progress in completing the requirements of and adhering to the provisions of this Interlocal Agreement. 8 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project A Final Report shall be provided in conjunction with the final request for payment under this Interlocal Agreement. In this Final Report, the FUNDS RECIPIENT shall certify, in writing, the satisfactory completion of all activities and deliverables required under this Interlocal Agreement. Reimbursement payments under this Interlocal Agreement may be withheld by the NCTCOG until such time as any past due progress reports are received. The Final Report shall consist of the same forms used for the Summary/Results Report of Implementation Project form and the supplemental detailed forms for this project's funding category. The Final Report shall include information on the progress during the last quarter of the project as well as cumulative information from the beginning of the project through its completion. The FUNDS RECIPIENT also agrees to provide NCTCOG one or more "Follow-up Results" Report(s) documenting the continued impact of this funded project beyond the end date of this agreement. The Follow-up Results Report(s) will be required on a schedule to be provided by NCTCOG, approximately one year after the end of the project funding cycle. The Follow-up Results Report form will be provided by NCTCOG to the FUNDS RECIPIENT later in the funding cycle. The FUNDS RECIPIENT agrees to provide, throughout the life of the project, additional reports (as requested by the NCTCOG) to document the project's continued results at the culmination of the project. Timeliness in completing reporting requirements will be monitored by the NCTCOG and reported to the RCC. If the FUNDS RECIPIENT'S is not able to submit a scheduled progress report on time, the FUNDS RECIPIENT must contact the NCTCOG Project Representative for a report extension due date prior to the original submittal date. If the FUNDS RECIPIENT fails to submit the Summary/Results Report of Implementation Project form to NCTCOG's Project Representative upon notice/reminder, this matter will be brought to the attention of NCTCOG's RCC for further resolution. Failure to comply with the requirements of this Article shall constitute a breach of this Interlocal Agreement. Article 07. Performance Measures The timeliness of meeting reporting requirements and completion of the original Work Program will be monitored by the NCTCOG and reported to the RCC. Performance on reporting requirement information will be considered as an evaluation criteria for future Requests for Projects. As such, the FUNDS RECIPIENT is cautioned to meet all of the reporting requirements as outlined in Attachment B of this Interlocal Agreement. Prior written notification must be provided to NCTCOG in the event that the FUNDS RECIPIENT is unable to comply with the reporting requirements. Article 08. Personnel In addition to the project funding reimbursement request, all outlays that fall within the "Personnel/Salaries" category of the budget shall be itemized by the FUNDS RECIPIENT on Form PT-F2-A. For Personnel/Salaries expenditures, the FUNDS RECIPIENT is expected to maintain signed time sheets that can serve to verify the total, overall hours of staff time directly billed to this Interlocal Agreement. Payments from funds provided under this Interlocal Agreement for accruals such as vacation, sick leave, severance pay, or other accruals are 9 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project allowed only for time during which the employee was employed and performing work under this Interlocal Agreement. The FUNDS RECIPIENT employee positions covered in this Interlocal Agreement are listed in Attachment B. The FUNDS RECIPIENT must notify and seek approval from NCTCOG for any changes in personnel whose salaries are funded under this Interlocal Agreement. Article 09. Travel Only the employees of the FUNDS RECIPIENT assigned to the project should receive reimbursement for travel expenses. All travel for which expenses are claimed must be in connection with the tasks and activities required under this Interlocal Agreement, and shall be in compliance with the State Travel Regulation and Restrictions on Travel Costs as outlined in §391.0115 of the Local Government Code. Except as provided for in this Interlocal Agreement as indicated under Attachment B of the program budget, the FUNDS RECIPIENT shall obtain prior written authorization from the NCTCOG for reimbursement from the travel expense budget category of any travel expenses for persons not employed by the FUNDS RECIPIENT, and for travel by any employee not included in Attachment B of the program budget. Out-of-state travel should not normally be allowed and will require prior written approval from NCTCOG and TCEQ, prior to the travel event. In order for travel expenses to be reimbursed under the conditions of this Interlocal Agreement, the FUNDS RECIPIENT shall comply with the State Travel Regulations as required by Section 33, Article IX, H.B. 1, and any Restrictions on Travel Costs as outlined in §391.0115 of the Local Government Code. Documentation should, at a minimum, be consistent with the State Travel Regulations and any Restrictions on Travel Cost. The purpose of the travel shall be documented and supported with any of the appropriate records, such as automobile mileage totals for the reporting period (gasoline receipts will not be accepted for privately owned vehicles), actual receipts for hotel accommodations, public transportation receipts, airline receipts, meal receipts, etc. The reimbursement request must include the itemization of travel expenses on Form PT-F2-A. The FUNDS RECIPIENT is not required to submit a daily or incidental mileage log as a part of Form PT-F2-A. However, mileage trip logs documenting amount of miles traveled per day or per trip, the FUNDS RECIPIENT must maintain destination and purpose of trip as part of the FUNDS RECIPIENT'S records. Such mileage logs must be made available upon request by the NCTCOG or the TCEQ. Article 10. Consumable Supplies Expenses shall be for non-construction related costs for goods and materials having a unit acquisition cost (including freight) of less than $1,000. Such expenditures shall generally relate to the routine purchase of office supplies (paper, pencils, and staplers) or other goods, which are consumed by the FUNDS RECIPIENT in a relatively short period of time, in the regular performance of the general activities funded under this Interlocal Agreement. FUNDS RECIPIENT is expected to conform to the appropriate bid process for purchases according to the FUNDS RECIPIENT'S own internal policies and procedures. Non-routine expenditures of goods and materials, not falling under the definition of Supplies, should be charged to the "Other" Expense Category. Supporting documentation shall include whatever is necessary to show that the work was performed and the expense incurred. Supporting documentation for reimbursement must include verification that the cost has been 10 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project paid by the FUNDS RECIPIENT, a copy of the purchase order (if issued) and a copy of the invoice. A request for reimbursement for supplies must include itemized expenses on Form PT- F2-D. Article 11. Equipment For the purposes of this Interlocal Agreement, equipment is defined as those items with a unit acquisition cost of$5,000 or greater. All equipment expenses are subject to prior approval by NCTCOG before purchase. Subject to the obligations and conditions set forth in this Interlocal Agreement, title to real property and equipment (together hereafter referred to in this Article as "property") acquired under this Interlocal Agreement by the FUNDS RECIPIENT will vest upon acquisition or construction. Subject to the provisions of this Interlocal Agreement and as otherwise provided by State statutes, property acquired or replaced under this Interlocal Agreement shall be used for the duration of its normally expected useful life to support the purposes of this Interlocal Agreement whether or not the original projects or programs continue to be supported by state funds. The FUNDS RECIPIENT shall not allow to a third party a security interest in any original or replacement property purchased or constructed with funds made available to the FUNDS RECIPIENT under this Interlocal Agreement. The use of property acquired under this Interlocal Agreement, both during the term of this Interlocal Agreement and for the useful life of the property or until compensation is provided to the TCEQ for the applicable percentage share of the fair market value of the property, shall be in compliance with §361.014(b) of the Texas Health & Safety Code Annotated, which directs that a project or service funded under this program must promote cooperation between public and private entities and may not be otherwise readily available or create a competitive advantage over a private industry that provides recycling or solid waste services. The FUNDS RECIPIENT may develop and use their own property management systems, which must conform to all applicable federal, state, and local laws, rules and regulations. If an adequate system for accounting for property owned by the FUNDS RECIPIENT is not in place or is not used properly, the Property Accounting System Manual issued by the State Comptroller of Public Accounts will be used as a guide for establishing such a system. The property management system used by the FUNDS RECIPIENT must meet the requirements set forth in this Section. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of the property, who holds title, the acquisition date, and the cost of the property, percentage of state participation in the cost of the property, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. A physical inventory of all equipment acquired or replaced under this Interlocal Agreement shall be conducted no less frequently than once every two years and the results of such inventories reconciled with the appropriate property records. Property control procedures utilized by the FUNDS RECIPIENT shall include adequate safeguards to prevent loss, damage, or theft of the acquired property. Any loss, damage, or theft shall be investigated. The FUNDS RECIPIENT 11 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project shall develop and carry out a program of property maintenance as necessary to keep both originally acquired and any replaced property in good condition, and to utilize proper sales procedures to ensure the highest possible return, in the event such property is sold. Certain types of equipment are classified as "controlled assets" and are subject to annual revision. In accordance with the UGMS, the FUNDS RECIPIENT should contact the Texas Comptroller of Public Accounts' property accounting staff or review the Comptroller's state Property Accounting User Manual available on the Internet, for the most current listing. Firearms shall be maintained on the FUNDS RECIPIENT'S inventory system irrespective of cost, and the following equipment with costs between $500 and $5,000 shall be maintained on the inventory system: (1) stereo systems, (2) still and video cameras, (3) facsimile machines, (4) VCRs and VCR/TV combinations and (5) cellular and portable telephones. The FUNDS RECIPIENT may for the purpose of replacing property acquired under this Interlocal Agreement, either trade in or sell the property and use the proceeds of such trade-in or sale to offset the cost of acquiring needed replacement property. The FUNDS RECIPIENT agrees that if a determination is made that any property acquired with funds provided under this Interlocal Agreement with a current per-unit fair market value of $5,000 or more is no longer needed for the originally authorized purpose, the TCEQ has the right to require disposition of the property by the FUNDS RECIPIENT in accordance with the provisions of this Article. When during the useful life of property acquired with project funds under this Interlocal Agreement by the FUNDS RECIPIENT and with a current per-unit fair market value of$5,000 or more, the property is no longer needed for the originally authorized purpose, the FUNDS RECIPIENT agrees to request disposition instructions from the TCEQ. When property acquired by a FUNDS RECIPIENT with project funds provided by the TCEQ under this Interlocal Agreement is no longer needed for the originally authorized purpose, the FUNDS RECIPIENT agrees that this Interlocal Agreement will require the NCTCOG to request disposition instructions from the FUNDS RECIPIENT or, if the NCTCOG is no longer administering a Regional Solid Waste Implementation Project Program, the TCEQ. The NCTCOG shall, in turn, request authorization from the TCEQ to provide disposition instructions to the FUNDS RECIPIENT. Disposition instructions shall solicit, at a minimum, information on the source and amount of funds used in acquiring the property, the date acquired, the fair market value and how the value was determined (e.g., by appraisal, bids, etc.), and the proposed use of the proceeds. The assessment of whether to authorize the proposed disposition of the property must include a determination that the disposition plan will comply with the private industry provisions of§361.014(b) of the Texas Health Safety Code Annotated. In cases where the FUNDS RECIPIENT fails to take appropriate disposition actions, the TCEQ may direct the NCTCOG to take excess and disposition actions. The disposition instructions may provide for one of the alternatives as set forth in this Section. Retain title, sell, or otherwise disposed of with no obligation to compensate the TCEQ or, in the case of a FUNDS RECIPIENT. Retain title after compensating the TCEQ or, in the case of a implementation project funding recipient, the NCTCOG. If the NCTCOG is compensated by a FUNDS RECIPIENT for property acquired using funds provided under this Interlocal Agreement, the NCTCOG will in turn compensate the TCEQ or, upon authorization by the TCEQ, use those 12 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project funds for other projects or activities that support this or similar future programs conducted by the TCEQ. The amount due will be computed by applying the percentage of state-funded participation in the cost of the original purchase to the fair market value of the property. Sell the property and compensate the TCEQ or, in the case of project funding recipient, the NCTCOG. If the NCTCOG is compensated by a FUNDS RECIPIENT for property acquired using funds provided under this Interlocal Agreement, the NCTCOG will in turn compensate the TCEQ or, upon authorization by the TCEQ, use those funds for other projects or activities that support the goals of this or similar future programs conducted by the TCEQ. The amount due will be calculated by applying the TCEQ percentage of participation in the cost of the original purchase to the proceeds of the sale after deduction of any actual and reasonable selling and fixing-up expenses. If the project is still active, the net proceeds from sale may be offset against the original cost of the property. When the FUNDS RECIPIENT is directed to sell property, sales procedures shall be followed that provide for competition to the extent practicable and result in the highest possible return. Transfer title to the TCEQ or, in the case of an implementation project funds recipient, the NCTCOG, or to a third-party designated/approved by the TCEQ. If the FUNDS RECIPIENT participated financially in the original purchase of the property, the FUNDS RECIPIENT may be authorized payment from the receiving party of an amount calculated by applying the percentage of the participation in the original purchase of the property to the current fair market value of the property. Items of property with a current per-unit fair market value of less than $5,000 may be retained, sold or otherwise disposed of by the FUNDS RECIPIENT with no further obligation to the TCEQ. Methods used to determine per-unit fair market value must be documented, kept on file and made available to the TCEQ upon request. A request for reimbursement for equipment must include itemized expenses on Form PT-F2-B. Article 12. Contractual Expenses No contractual expenditures are eligible for reimbursement under this Interlocal Agreement, unless such contracts' scope of work has been approved ahead of time, in writing, by the NCTCOG. Any amendments to the FUNDS RECIPIENT'S subcontract authorization for reimbursement under this Interlocal Agreement, whether or not such subcontract required NCTCOG's pre-approval, which will result in or require substantive changes to any of the tasks required to be performed under this Interlocal Agreement, must be approved in writing by the NCTCOG. Examples of contractual expenses include professional (subcontracted) services. The FUNDS RECIPIENT is expected to conform to the appropriate bidding and contracting laws and regulations according to the FUNDS RECIPIENT'S own internal policies and procedures. In addition, the FUNDS RECIPIENT is required to maintain documentation that the costs incurred for contractual expenses (including subcontract expenses) were reasonable and necessary. Please note the specific guidance applicable to project restrictions, especially regarding projects that require a TCEQ permit or registration. All outlays that fall within the "Contractual" category of the budget shall be itemized by the FUNDS RECIPIENT on Form PT-F2-B, to accompany the Request for Reimbursement (Form PT-F2). In addition, the FUNDS RECIPIENT shall attach, for each item listed, legitimate 13 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project documentation that (1) further identifies the specific cost; (2) clearly identifies the vendor or subcontractor who provided the materials or services; and (3) confirms the reimbursable materials listed. Supporting documentation shall include a purchase order marked "received/paid" and an invoice similarly marked, plus a copy of the check under which payment for the expense was made. In the case of subcontractor services, the supporting documentation shall consist of a dated invoice marked "received/paid" showing the amount billed to the FUNDS RECIPIENT, indicating any "past due" amount from previous invoices and a copy of the check. Article 13. Construction Expenses budgeted under this category should be for costs related to the enhancement or building of permanent facilities. Examples include: facility design, site preparation and facility construction, including slabs, paving, awning, attendant shelters with sanitation facilities, fencing and lighting, containment berms, and electronic data-recording equipment. The FUNDS RECIPIENT shall obtain and pay for all construction permits and licenses. The FUND RECIPIENT shall also pay all charges of utility owners for connections to the work and for charges associated with capital costs related thereto, such as plant investment fees. The FUNDS RECIPIENT is expected to conform to the appropriate bidding process according to the FUNDS RECIPIENT'S own internal policies and procedures. In addition, the FUNDS RECIPIENT is required to maintain documentation to support that the cost incurred were reasonable and necessary. Appropriate costs that may be included are: a. The costs of planning the project. b. The cost of materials and labor connected to the construction project. c. The cost of equipment attached to the permanent structure; and d. Any subcontracts (including contracts for services) performed as part of the construction. All outlays that fall within the "Construction" category of the budget shall be itemized by the FUNDS RECIPIENT on Form PT-F2-C, to accompany the Request for Reimbursement (Form PT-F2). In addition, the FUNDS RECIPIENT shall attach, for each item listed, legitimate supporting documentation that (1) further identifies the specific cost; (2) clearly identifies the vendor or subcontractor who provided the materials or services; and (3) confirms the reimbursable materials listed. The supporting documentation shall include a copy of the purchase order marked "received/paid", and an invoice similarly marked plus a copy of the check. In the case of subcontractor services, the supporting documentation shall consist of a dated invoice showing the amount billed to the FUNDS RECIPIENT and any "past due" amount from previous invoices marked "received/paid" indicating the check number. In addition, the FUNDS RECIPIENT is subject to all the requirements related to Title to Equipment and Construction Facilities, as indicated in Attachment D, Article 11. Article 14. Other Expenses No expenses under the "Other" budget category, including computer hardware or software purchases not included under the "Equipment" budget category, shall be eligible for reimbursement under this Interlocal Agreement, unless approved ahead of time, in writing, by the NCTCOG. 14 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project The "Other" expenses as identified in Attachment C of the Project Budget are allowed. The restrictions set forth in the Uniform Grant and Contract Management Standards apply. All expenses budgeted under this "Other" category shall be itemized by the project funds recipient when requesting reimbursement. Some expenses that may be appropriate include: A Postage/delivery g. Office Space b. Telephone/FAX h. Basic Office Furnishings c. Utilities i. Legal Costs d. Printing/Reproduction j. Vehicle Maintenance e. Advertising/Public notices k. Any others f. Signage The expenses under this budget category must receive NCTCOG's written approval prior to purchase. Again, for these "other" expenditures, documentation for reimbursement must show that the expenses were incurred (a copy of the check), and shall include purchase orders if issued and invoices, or receipts marked "received/paid." Any Request for Reimbursement must include an itemization of the expenses, using Form PT-F2-D. Article 15. Indirect Expenses Indirect costs rates under this Interlocal Agreement shall comply with all provisions of §391.0115 of the Texas Local Government Code relating to the restrictions on commission costs, and the FUNDS RECIPIENT shall advise the NCTCOG in writing in the event such compliance will necessitate a reduction or other change to the indirect cost rate(s) set forth in the budget identified under Attachment B. The Indirect Cost Rate(s) included under Attachment B shall remain in effect subject to formal approval by either a Federal Cognizant Agency, a State Coordinating Agency based on a recent audit performed by an independent auditor, or another funding entity, that specifically examines and reports the indirect cost rate for the FUNDS RECIPIENT accounting period(s) covered under this Interlocal Agreement. The FUNDS RECIPIENT agrees to reimburse the NCTCOG any overpayments received as a result of any final audit finding. In the event that the FUNDS RECIPIENT'S Federal Cognizant Agency, or State Coordinating Agency approves, prior to the termination date of this Agreement, determines a final audited indirect cost rate which is different from the indirect rate set forth in this Interlocal Agreement, the FUNDS RECIPIENT and the NCTCOG may negotiate a new contract budget and incorporate such into this Interlocal Agreement by way of a contract change. Nothing in this section, or the results of any indirect cost audit or final indirect cost rate approval, shall cause the NCTCOG to owe the FUNDS RECIPIENT more than the FUNDS RECIPIENT amount shown in budget set forth in Attachment B. Article 16. Matching Services/Cash Contributions In reference to the performance of the FUNDS RECIPIENT under this Interlocal Agreement, Matching Services shall be for staff or services directly involved with the work related activities as defined in the approved work plan. A cash contribution is a monetary contribution to the project budget provided by the FUNDS RECIPIENT. 15 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project In-kind Services and Cash Contributions as defined in the approved Project Budget, will be tracked separately with the understanding that in the event that such services and/or contributions are not provided during the term of this Interlocal Agreement, the NCTCOG may terminate the Interlocal Agreement for non-compliance. The FUNDS RECIPIENT shall track In-kind Services and Cash Contributions separately from project funding and shall itemize those costs on the required Form PT-F2-E, which shall be submitted with each Request for Reimbursement (Form PT-F2). Article 17. Project Contacts The NCTCOG hereby designates the person in Article 17of this Attachment as the individual authorized to give direction to the FUNDS RECIPIENT for the purposes of this Interlocal Agreement. The NCTCOG Project Representative shall not be deemed to have authority to bind the NCTCOG in contract unless the NCTCOG's Executive Director has delegated that person to have such authority. The FUNDS RECIPIENT shall identify as its Project Representative, the person authorized to receive direction from the NCTCOG, to manage the work being performed, and to act on behalf of the FUNDS RECIPIENT. The FUNDS RECIPIENT'S Project Representative shall not be deemed to have authority to bind the FUNDS RECIPIENT in contract unless the FUNDS RECIPIENT, in writing, specifically specifies such authority to the NCTCOG. Either party may change its Project Representative as the need arises. In addition, the Project Representative of either party may further delegate his or her authority if necessary, including any delegation of authority to a new Project Representative. The party making any change in the Project Representative shall provide written notice of the change to the other party. The NCTCOG hereby designates the individual below as the person to give direction to the FUNDS RECIPIENT as Project Representative of NCTCOG: Kathleen Graham, Senior Planner P. O. Box 5888; 616 Six Flags Drive Arlington, Texas 76005-5888 TEL (817) 695-9217 FAX (817) 695-9191 Email: kqrahamnctcoq.orq The FUNDS RECIPIENT hereby designates the individual named below as the person authorized to receive direction from the NCTCOG, to manage the work being performed, and to act on behalf of the FUNDS RECIPIENT as the Project Representative: Mike Sferra City of Wylie Public Services Director 2000 Highway 78 North Wylie, TX 75098 TEL: (972)442-8108 FAX (972) 442-5461 Email: mike.sferra(c�wylietexas.gov The FUNDS RECIPIENT designates the following location for record access and review: 2000 Highway 78 North Wylie, TX 16 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project Attachment E. General Provisions Article 01. Eligible Project Funding Recipients Only those local and regional political subdivisions located within the State of Texas as listed below are eligible to receive funding from the NCTCOG for an implementation project: • Cities; • Counties; • Public schools through their school districts and school districts (does not include universities or post secondary educational institutions); • Other general and special law districts created in accordance with state law, and with the authority and responsibility for water quality protection or municipal solid waste management, to include river authorities; and, • Councils of Government. Local and regional political subdivisions that are subject to the payment of state solid waste disposal fees and whose fee payments are in arrears, as determined by the TCEQ, are not eligible to receive implementation project funding from the NCTCOG. The TCEQ shall provide, on a quarterly basis, the NCTCOG a list of entities for which fee payments are in arrears. The NCTCOG shall allow a potential implementation project applicant that is listed as being in arrears in its fee payments the opportunity to provide documentation of payment of the fees owed to the state. If the potential applicant provides the NCTCOG with documentation of payment of the fees, such as a canceled check or receipt from the state, or waiver of the fee in question, the NCTCOG may consider that applicant to be eligible to receive implementation project funding under this Interlocal Agreement. Article 02. Responsibilities of the FUNDS RECIPIENT The FUNDS RECIPIENT shall be responsible for the professional quality, technical accuracy, timely completion and the coordination of all services and other work furnished by the FUNDS RECIPIENT under this Interlocal Agreement. The FUNDS RECIPIENT shall perform such services as may be necessary to accomplish the work required under this Interlocal Agreement, in accordance with the FUNDING AGENCY and contractual requirements and any and all applicable law. The NCTCOG may require the FUNDS RECIPIENT to correct and revise any errors, omissions or other deficiencies in any reports or services provided by the FUNDS RECIPIENT to ensure that such reports and services fulfill the purposes of this Interlocal Agreement. The FUNDS RECIPIENT shall make the required corrections or revisions without additional cost to the NCTCOG. Neither the NCTCOG's review, approval or acceptance of, nor payment for any of the services shall be construed to operate as a waiver of any rights under this Interlocal Agreement or of any cause of action arising out of the performance of this Interlocal Agreement; and the FUNDS RECIPIENT shall be, and remain liable in accordance with applicable law for all damages to the NCTCOG, including reasonable attorney's fees and court costs caused by the FUNDS RECIPIENT'S negligent performance of any of the services furnished under this Interlocal Agreement. 17 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project The obligations of the FUNDS RECIPIENT under this Article are in addition to the FUNDS RECIPIENT'S other express or implied assurances under this Interlocal Agreement or applicable law. Article 03. Oversight of Solid Waste Implementation Project Program NCTCOG staff, through its designated Project Representative, is responsible for managing the solid waste implementation project program, for negotiating the work scope of services, the budget, and the term of the Interlocal Agreement. NCTCOG staff will review and authorize Requests for Reimbursement; review progress reports and will undertake site visits. In addition, NCTCOG's Resource Conservation Council (RCC), the regional solid waste advisory committee under the Executive Board, will oversee the comprehensive implementation project program assure compliance with state requirements and achievement of regional objectives. Other oversight duties of the RCC will include arbitration of projects as necessary and review and approval of key contract amendments. Article 04. Standards for Implementation Projects The following standards and limitations apply to all implementation project activities funded under this Agreement. The FUNDS RECIPIENT is responsible for ensuring compliance of these standards in the following project categories. Local Enforcement. This category consists of projects that contribute to the prevention of illegal dumping of municipal solid waste, including liquid wastes. Under this category, funding recipients may investigate illegal dumping problems; enforce laws and regulations pertaining to the illegal dumping of municipal solid waste, including liquid waste; establish a program to monitor the collection and transport of municipal liquid wastes, through administration of a manifesting system; and educate the public on illegal dumping laws and regulations. Examples of categories eligible for funding include equipment such as vehicles, communications equipment, and surveillance equipment as well as program administration expenses, such as salaries/fringe benefits, office supplies and equipment, travel, training, and vehicle maintenance. Also eligible for funding is protective gear and supplies and educational materials. Funding limitations specific to this category are set forth in this Section. Funds may not be provided to any law enforcement agency regulated by Chapter 415, Texas Government Code, unless: (a) the law enforcement agency is in compliance with all rules developed by the Commission on Law Enforcement Standards and Education pursuant to Chapter 415, Texas Government Code; or (b) the Commission on Law Enforcement Officer Standards and Education certifies that the requesting agency is in the process of achieving compliance with such rules. When funding is to be provided for salaries of local enforcement officers, the funds recipient must certify that at least one of the officers has attended or will attend within the term of the funding the TCEQ's Criminal Environmental Law Enforcement Training or equivalent training. Local enforcement vehicles and related enforcement equipment purchased entirely with funds provided under this Agreement may only be used for activities to enforce laws and regulations pertaining to littering and illegal dumping, and may not be used for other code enforcement or law enforcement activities. Vehicles and equipment that are only partially funded must be 18 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project dedicated for use in local enforcement activities for a percentage of time equal to the proportion of the purchase expense funded. Entities receiving funds for a local enforcement officer, enforcement vehicles, and/or related equipment for use by an enforcement officer, must investigate major illegal dumping problems, on both public and private property, in addition to investigating general litter problems on public property. Entities receiving funds to conduct a local enforcement program must cooperate with the TCEQ's regional investigative staff in identifying and investigating illegal dumping problems. Lack of cooperation with the TCEQ staff may constitute a reason to withhold future funding to that entity for local enforcement activities. Funds may not be used for investigation and enforcement activities related to the illegal dumping of industrial and/or hazardous waste. Instances where industrial or hazardous waste is discovered at a site do not preclude the investigation of that site, so long as the intent and focus of the investigation and enforcement activities are on the illegal dumping of municipal solid waste. Source Reduction and Recycling. This category includes projects that provide a direct and measurable effect on reducing the amount of municipal solid waste going into landfills, by diverting various materials from the municipal solid waste stream for reuse or recycling, or by reducing waste generation at the source. Funded activities may include: facility design and construction; equipment, such as chippers, balers, crushers, recycling and composting containers, trailers, forklifts, and trucks; program administration expenses, such as salaries/fringe benefits, office supplies and equipment, travel, and training; and, educational materials; printing and advertisement expenses. Funding limitations specific to this category are set forth in this Section. Programs and projects funded under this category shall have as a goal and be designed to provide a measurable effect on reducing the amount of municipal solid waste being disposed of in landfills. Any program or project funded with the intent of demonstrating the use of products made from recycled and/or reused materials shall have as its primary purpose the education and training of residents, governmental officials, private entities, and others to encourage a market for using these materials. Projects funded under this Interlocal Agreement may not include programs dedicated to the collection and/or recycling of automotive wastes, to include scrap tires, used oil, oil filters, antifreeze, or lead-acid batteries. This restriction includes the purchase of equipment to shred or split scrap tires. However, this restriction does not apply to the ancillary collection of these materials as part of a comprehensive Household Hazardous Waste Collection facility or program. Local Solid Waste Management Plans. This category includes projects to develop and have adopted by the TCEQ a local solid waste management plan, in accordance with Subchapter D, §363 of the Texas Health & Safety Code, as implemented by TCEQ rule, 30 TAC Chapter 330, Subchapter 0, or to amend an existing local solid waste management plan that has been adopted by the TCEQ. Funding limitations applicable to this category are set forth in this Section. The local planning area must be consistent with one or a combination of local solid 19 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project waste management planning sub-regions identified by the NCTCOG in the regional solid waste management plan. Funding provided under this category may not be used for final engineering work, designs, or construction plans. At least one year should be allowed for the completion and adoption of the local plan. Citizens' Collection Stations and "Small" Registered Transfer Stations. This category includes projects to construct and equip citizens' collection stations, as these facilities are defined under 30 TAC §330.2, TCEQ Regulations. Municipal Solid Waste Transfer Stations that qualify for registration under §330.4(d)(1) - (3) or§330.4(r) of the TCEQ Regulations may also be funded. The costs associated with operating a citizens' collection station once it is completed may not be funded. The design and construction of small municipal solid waste and liquid waste transfer stations that qualify for registration under§330.4(d) or §330.4(r), TCEQ Regulations, may be funded. Other permitted or registered transfer stations may not be funded. A municipal solid waste transfer facility may be eligible for a registration if it serves a municipality with a population of less than 50,000, or a county with a population of less than 85,000, or is used in the transfer of 125 tons or less of municipal solid waste per day. A liquid waste transfer station may qualify for a registration if it will receive less than 32,000 gallons or less per day. The costs associated with operating a transfer station once it is completed may not be funded. Funds may be used for projects funded for these types of facilities shall include consideration of an integrated approach to solid waste management, to include providing recycling services at the site, if appropriate to the management system in place. Funds may also be used for periodic community collection events, held not more frequently than four times per year, to provide for collection of residential waste materials for which there is not a readily-available collection alternative, such as large and bulky items that are not picked up under the regular collection system. Transfer stations that qualify for a registration solely due to their location within a permitted municipal solid waste facility, under §330.4(d)(4), may not be funded. Municipal solid waste transfer stations that qualify for a registration only under the provisions of §330.4(q) of the Municipal Solid Waste regulations allowing for registration of facilities that recover 10% or more of the waste stream for reuse or recycling, but not also under the provisions of§330.4(d) of the Municipal Solid Waste regulations, may not be funded. However, those components of a transfer facility dedicated to the reuse or recycling activities may qualify for funding under the source reduction and recycling grant category. Municipal Solid Waste transfer stations that are used only in the transfer of grease trap waste, grit trap waste, septage, or other similar liquid waste, and which qualify for registration under §330.4(r) of the Municipal Solid Waste regulations may be funded under this category. Specifically, §330.4(r) of the regulations allows for registration of a liquid waste transfer facility that will receive 32,000 gallons a day or less. Only the costs necessary to construct the facility and/or purchase and install necessary equipment may be funded. Costs associated with operating a facility once it is completed may not be funded. Transfer stations that require a registration must have already received that registration from the TCEQ before a grant may be awarded. 20 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project Household Hazardous Waste Management. This category includes projects that provide a means for the collection, recycling or reuse, and/or proper disposal of household hazardous waste, including household chemicals and other materials. Projects may include collection events, consolidation and transportation costs associated with collection activities, recycling and/or reuse of materials; proper disposal of materials; permanent collection facilities, and education and public awareness programs. Funds may also be used to support Texas Country Cleanup events, conducted in conjunction with the TCEQ. Funding limitations specific to this category are set forth in this Section. Projects under this category must be coordinated with the TCEQ HHW program staff, and all applicable laws, regulations, guidelines, and reporting requirements must be followed. Funds provided under this Interlocal Agreement may not be used for programs and activities related to the collection and management of commercial, industrial, and hazardous wastes. Funds provided under this Interlocal Agreement may not be used for programs and activities solely related to the management of scrap tires, used oil, oil filters, antifreeze, lead-acid batteries, or other special wastes excluded from disposal in municipal solid waste landfills. However, collection of these materials may be included as part of a comprehensive Household Hazardous Waste collection and management program, so long as that is not the sole intent of the program. Technical Studies. This category includes projects which include the collection of pertinent data, analysis of issues and needs, evaluation of alternative solutions, public input, and recommended actions, to assist in making solid waste management decisions at the local level. Projects under this category may also include research and investigations to determine the location and boundaries of closed municipal solid waste landfills in support of the regional solid waste landfill inventory program. Funding limitations specific to this category are set forth in this Section. All technical studies shall be consistent with the adopted regional solid waste management plan, and prepared in accordance with the Content and Format Guidelines provided by the TCEQ. Funding may not be used for final engineering work, designs, or construction plans. A landfill or landfilling may be the topic of a technical study only if it is part of an overall, integrated solid waste management system. However, this restriction does not apply to research related to an inventory of closed municipal solid waste landfill sites. Litter/Illegal Dumping Cleanups and Community Cleanup Events. This category includes ongoing and periodic activities to clean up litter and illegal dumping of municipal solid waste, to include lake and river cleanup events conducted in conjunction with the TCEQ's and Keep Texas Beautiful's Lake and River Cleanup Program. Projects included under this category may include general community cleanup events designed to involve the residents and community in periodic cleanup of litter and trash within the community as well as waste removal; disposal or recycling of the removed materials; fencing and barriers; and signage. Placement of trash collection receptacles in public areas with chronic littering problems is also included. Reuse or recycling options should be considered for managing the materials collected, to the extent feasible. Funding limitations specific to this category are set forth in this Section. 21 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project Lake and River Cleanup events must be coordinated with the TCEQ's cleanup program staff and/or the Keep Texas Beautiful organization, which is contracted by the TCEQ to administer the Lake and River Cleanup program. Projects funded to clean up litter or illegal dumping on private property must be conducted through a local government sponsor. Funds may not be provided directly to a private landowner or other private responsible party for cleanup expenses. The local government sponsor must either contract for and oversee the cleanup work, or conduct the work with its own employees and equipment. The costs for cleanup of hazardous waste that may be found at a municipal solid waste site must be funded from other sources, unless a waiver from this restriction is granted by the TCEQ to deal with immediate threats to human health or the environment. The costs for cleanup of Class 1 non-hazardous industrial waste that may be found at a municipal solid waste site must be funded from other sources, unless a waiver from this restriction is granted by the TCEQ to deal with immediate threats to human health or the environment. The cleanup of Class 2 and 3 non-hazardous industrial waste that may be found at a municipal solid waste site may be funded in conjunction with the cleanup of the municipal solid waste found at a site. All notification, assessment, and cleanup requirements pertaining to the release of wastes or other chemicals of concern, as required under federal, state, and local laws and regulations, including 30 TAC Chapter 330, TCEQ's MSW Regulations, and 30 TAC Chapter 350, TCEQ's Risk Reduction Regulations, must be complied with as part of any activities funded under this Interlocal Agreement. All materials cleaned up using grant funds must be properly disposed of or otherwise properly managed in accordance with all applicable laws and regulations. To the extent feasible, it is recommended that materials removed from a site be reused or recycled. For projects to clean up large amounts of materials, the NCTCOG may consider withholding at least ten (10) percent of the reimbursements under this Interlocal Agreement, until documentation is provided that the cleanup work has been completed and the materials properly managed. Periodic community collection events, to provide for collection and proper disposal of non- recyclable residential waste materials for which there is not a readily available collection alternative, are eligible. This type of project may not include regular solid waste collection activities, such as weekly waste collection. Funded collection events may be held no more frequently than four times per year, and must only be intended to provide residents an opportunity to dispose of hard-to-collect materials, such as large and bulky items that are not picked up under the regular collection system, and might otherwise be illegally dumped by residents. Funding limitations specific to this category are set forth in this Section. Educational and Training Projects. Educational components are encouraged under the other categories in order to better ensure public participation in projects; those educational components should be funded as part of those projects and not separately under this category. This category may be used for"stand-alone" educational projects dealing with a variety of solid waste management topics. This category may include funding for information-exchange activities, subject to the other limitations on travel expenses. Funding limitations specific to this category are set forth in this Section. 22 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project Programs and projects funded under this category shall be primarily related to issues involved in the management of municipal solid waste. Education or training events that cover a broader range of environmental issues may be funded on a partial basis appropriate to the extent to which municipal solid waste issues are covered. Article 05. Monitoring Requirements NCTCOG shall conduct periodic analysis of FUNDS RECIPIENT'S performance under this Interlocal Agreement for the purpose of assessing the degree to which contractual objectives and performance standards, as identified in this Interlocal Agreement or as subsequently amended, are achieved by the FUNDS RECIPIENT. NCTCOG may periodically monitor the FUNDS RECIPIENT for: • The degree of compliance with the terms of this Interlocal Agreement, including compliance with applicable rules, regulations, and promulgations referenced herein; • The administrative and operational effectiveness of the project; and, • NCTCOG Project Representative must visit the FUNDS RECIPIENT facility and certify in writing that equipment is on site in order for FUNDS RECIPIENT to receive reimbursement for equipment expenditures. Article 06. Compliance with Applicable Laws The FUNDS RECIPIENT shall, except as otherwise provided in this Interlocal Agreement, be responsible for giving notices, obtaining any necessary licenses and permits, complying with all provisions of this Interlocal Agreement, including, but not limited to, all applicable State, Municipal and Local laws, ordinances, rules, regulations and order of any public authority, in connection with the work required by this Interlocal Agreement. The main governing standards include, but may not be limited to, the following: • §361.014. TEX. HEALTH and SAFETY CODE ANN. (as amended by H.B. 3072, 74th Texas Legislature); • §330.569 of the TCEQ Municipal Solid Waste Regulations (30 TAC Chapter 330); and • The Uniform Grant and Contract Management Act, TEX. GOV'T CODE ANN., §§783.001 et. Seq., and the Uniform Grant and Contract Management Standards, 1 Texas Administrative Code (TAC), §§5.141 et. seq. (collectively, "UGCMA"). If the FUNDS RECIPIENT or NCTCOG observes that this Interlocal Agreement is at variance in any respect, the observing party shall promptly notify the other party in writing, and any necessary changes shall be adjusted by appropriate Interlocal Agreement modification. Article 07. Uniform Grant and Contract Management Act The provisions of the Uniform Grant and Contract Management Act ("UGCMA") apply to this Interlocal Agreement to the extent required by law. Article 08. Accounting Systems The FUNDS RECIPIENT shall have an accounting system that accounts for costs in accordance with Generally Accepted Accounting Standards or Principles, and complies with applicable State law, regulations, and policies relating to accounting standards or principles. The FUNDS RECIPIENT must account for costs in a manner consistent with such standards or principles. 23 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project Article 09. Release of Claims Upon satisfactory completion of the work performed hereunder and prior to final payment under this Agreement for such work, or prior to settlement upon termination of this Agreement, and as a condition to final payment/settlement, the FUNDS RECIPIENT shall execute and deliver to the NCTCOG a release of all claims against the NCTCOG arising under or by virtue of this Interlocal Agreement. Article 10. Access/Examination of Records The FUNDS RECIPIENT shall maintain and make available for review, inspection and/or audit books, records, documents, and other evidence reasonably pertinent to performance on all work under this Interlocal Agreement, including but not limited to, negotiated changes or amendments thereto, in accordance with accepted professional practice, appropriate accounting procedures and practices at the FUNDS RECIPIENT's office. During the conduct of any such review, audit or inspection, the FUNDS' RECIPIENT'S books, records, and other pertinent documents may, upon prior conference with the FUNDS RECIPIENT, be copied by NCTCOG. All such information shall be handled by the parties in accordance with good business ethics. The FUNDS RECIPIENT shall provide proper facilities for such access and inspection. The FUNDS RECIPIENT shall also maintain and make available at its designated location the financial information and data used by the FUNDS RECIPIENT or its designee (including independent financial auditors) in the preparation and support of any cost submission or cost (direct and indirect), price or profit analysis for this Interlocal Agreement or any negotiated Sub- Agreement or change order, and a copy of the cost summary shall be submitted to the NCTCOG. The NCTCOG, or any of its duly authorized auditors or representatives, shall have access to such books, records, documents, and other evidence for the purpose of review, audit or inspection. The records to be thus maintained and retained by FUNDS RECIPIENT shall include (without limitation): • personnel and payroll records, including social security numbers and labor classifications, accounting for total time distribution of FUNDS RECIPIENT'S employees working full or part time on the work, as well as canceled payroll checks or signed receipts for payroll payments in cash; • invoices for purchases, receiving and issuing documents, and all other unit inventory records for FUNDS RECIPIENT'S stocks or capital items; and • paid invoices and canceled checks for materials purchased, subcontractor costs, and/or and any other third parties' charges. Records under section (a) above shall be maintained and made available during the entire period of performance of this Interlocal Agreement and until three (3) years from the date of the final NCTCOG payment for the project. In addition, those records which relate to any dispute, litigation, or the settlement of claims arising out of such performance, or costs or items to which an audit exception has been taken, shall be maintained and made available until completion of such action and resolution of all issues which arise from it, or until the end of the three-year period, whichever is later. 24 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project Access to records is not limited to the required retention periods. The authorized representatives designated in Attachment D, Article 17 of this Interlocal Agreement shall have access to records at any reasonable time for as long as the records are maintained. Access to records applies to financial records pertaining to all subagreements and related changes, to the extent the records reasonably pertain to subagreement performance; if there is any indication that fraud, gross abuse or corrupt practices may be involved; or if the subagreement is terminated for default or for convenience. The NCTCOG reserves the right to require reimbursement of any over-payments determined as a result of any audit or inspection of records kept by the FUNDS RECIPIENT on work performed under this Interlocal Agreement. Article 11. Audits The FUNDS RECIPIENT shall provide assurances that, if funded, the FUNDS RECIPIENT will comply with the Single Audit provisions of the Uniform Grant Management Standards (UGMS), prepared by the Governor's Office under§§783.001 et.seq, Texas Government Code, and 1 TAC §§5.141 et.seq, Governor's Office Regulations. Provisions of the Single Audit Circular in Part 1V of the UGMS apply to all recipients of funding under this grant. Article 12. Insurance and Liability The FUNDS RECIPIENT understands and agrees that it shall be liable to repay and shall repay upon demand to NCTCOG any amounts determined by NCTCOG, its independent auditors, or any agency of state government any funds which have been paid in violation of the terms of this Interlocal Agreement. Article 13. Hazardous Substances, Waste Disposal and Manifests The FUNDS RECIPIENT shall comply with all applicable laws and regulations, including but not limited to, those relating to hazardous substances, waste disposal, and manifests. The FUNDS RECIPIENT shall ensure that the same requirement will be incorporated into sub-agreements and/or subcontracts awarded under the provisions of this Interlocal Agreement. Article 14. Conflicts of Interest No employee, officer or agent of the FUNDS RECIPIENT shall participate in selection, or in the award or administration of a contract supported by State funds, if a conflict of interest, real or apparent, would be involved: • The employee, officer or agent. • Any member of his immediate family. • His or her partner. • An organization which employs, or is about to employ any of the above. Such a conflict arises when any of the above has a financial or other interest in the subcontractor selected. The officers, employees or agents will neither solicit nor accept gratuities, favors or anything of monetary value from contractors, potential contractors, or parties to subcontractors. To the extent permitted by State or local law or regulations, such standards of conduct will provide for penalties, sanctions, or other disciplinary actions for violation of such standards by the FUNDS RECIPIENT officers, employees, or agents, or by contractors or their agents as specified in the Uniform Grant Management Standards. The FUNDS RECIPIENT shall notify the NCTCOG immediately upon discovery of any potential or 25 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project actual conflict of interest. The FUNDS RECIPIENT agrees that the NCTCOG and the TCEQ have sole discretion to determine whether a conflict of interest exists and that the NCTCOG may terminate this Interlocal Agreement at any time, on the grounds of actual or apparent conflict of interest. The FUNDS RECIPIENT shall notify the NCTCOG in writing of any actual, apparent, or potential conflict of interest regarding any individual performing or having access to information regarding the services in question. As applicable, the notification shall include both organizational conflicts of interest and personal conflicts of interest. Any individual with a personal conflict of interest shall be disqualified from taking part in any way in the performance of any services that created the conflict of interest. Article 15. Survival of Obligations All representations, indemnification's, warranties and guarantees made in, required by or given in accordance with this Interlocal Agreement, as well as all continuing obligations indicated in this agreement, will survive final payment, completion and acceptance of the service and termination or completion of the Interlocal Agreement. Article 16. Contractual Costs The FUNDS RECIPIENT'S contractual costs must comply with allowable cost requirements. FUND RECIPIENTS who are governmental entities must engage in contractor selection on a competitive basis in accordance with their established policies. If the FUNDS RECIPIENT has no competitive procurement policy, the FUNDS RECIPIENT must generally select contractors by evaluation and comparison of price, quality of goods or services and past performance. All sub-agreements/subcontracts awarded by the FUNDS RECIPIENT under this Interlocal Agreement shall be in accordance with the Uniform Grant Management Standards adopted by the Governor's Office of Budget and Planning. Article 17. Changes to Interlocal Agreement A Major Change will include one or more of the following: (1) An increase or decrease in the amount of compensation to the FUNDS RECIPIENT; (2) An extension or shortening of the term of the Agreement; (3) A significant change in the scope of the Agreement or the services to be performed; or (4) Any action that is beyond the authority of the Executive Director of the NCTCOG. Implementation of a Major Change must be preceded by a formal written amendment to the agreement. The amendment must contain a description of the proposed change and shall be signed by persons authorized to bind each party in contract. Any amendment that exceeds the contractual authority of the Executive Director of NCTCOG also requires the consent, at Agenda, of a majority of the NCTCOG Executive Board. Any proposed change that is not a Major Change may qualify as a Minor Change. A Minor Change shall require the written agreement of both Project Representatives but shall not require a formal amendment to the contract. A copy of the authorization must be retained in the appropriate file of both the FUNDS RECIPIENT and the NCTCOG. If the FUNDS RECIPIENT requests a Minor Change and the Project Representative does not approve the request as a Minor Change, then the change shall be deemed a Major Change and 26 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project the FUNDS RECIPIENT may only obtain authorization to proceed by a formal written amendment to this Interlocal Agreement. Article 18. Severability All parties agree that should any provision of this Interlocal Agreement be determined to be invalid or unenforceable, such determination shall not affect any other term of this Interlocal Agreement, which shall continue in full force and effect. Article 19. Intellectual Property For the purpose of this Article, "intellectual property" refers to: • Any discovery or invention for which patent rights may be acquired; • Any photographs, graphic designs, plans, drawings, specifications, computer programs, technical reports, operating manuals, or other copyrightable materials; and; • Any other materials for which intellectual property rights may be obtained. If the FUNDS RECIPIENT first conceives of, actually puts into practice, discovers, invents, or produces any intellectual property during the course of its work under this Agreement, it shall report that fact to the NCTCOG. The FUNDS RECIPIENT may obtain governmental protection for rights in the intellectual property. However, the NCTCOG hereby reserves a nonexclusive, royalty-free and irrevocable license to use, publish, or reproduce the intellectual property for sale or otherwise, and to authorize others to do so. The NCTCOG also reserves a royalty-free nonexclusive, and irrevocable license to use, publish, or reproduce for sale or otherwise, and to authorize others to use, publish, or reproduce, for sale or otherwise (to the extent consistent with the rights of third parties) any intellectual property for which the FUNDS RECIPIENT obtains rights with funds received under this Interlocal Agreement. In performing work under this Interlocal Agreement, the FUNDS RECIPIENT shall comply with all laws, rules and regulations relating to intellectual property, and shall not infringe on any third party's intellectual property rights. It shall hold the NCTCOG harmless for, and to the extent permitted by the laws and Constitution of the State of Texas, defend and indemnify the NCTCOG against, any claims for infringement related to its work under this Agreement. The FUNDS RECIPIENT expressly acknowledges that persons with visual impairments may not expend state funds in connection with the purchase of an automated information system unless that system meets certain statutory requirements under §2157.005 of the Government Code, relating to accessibility. Accordingly, the FUNDS RECIPIENT represents and warrants to the NCTCOG that the technology provided to the NCTCOG for purchase is capable, either by virtue of features included within the technology or because it is readily adaptable by use with other technology, of (1) providing equivalent access for effective use by both visual and nonvisual means; (2) presenting information, including prompts used for interactive communications, in formats intended for non-visual use; and (3) being integrated into networks for obtaining, retrieving, and disseminating information used by individuals who are not blind or visually impaired. For purposes of this paragraph, the phrase "equivalent access" means a substantially similar ability to communicate with or make use of the technology, either directly by features incorporated within the technology or by other reasonable means such as assertive devices or services which would constitute reasonable accommodations under the Americans with Disabilities Act or similar state or federal laws. Examples of methods by which equivalent 27 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project access may be provided include, but are not limited to, keyboard alternatives to mouse commands and other means of navigating displays, and customizable display appearances. Article 20. Correspondence All project related notices, reports and other contractual communications under this Interlocal Agreement shall be sent to the NCTCOG Project Representative as specified under Attachment D, Article 17. All such communications shall be considered duly given if hand delivered; delivered by nationally recognized courier service, or mailed by certified or registered mail, return receipt requested. All such communications shall be deemed given when received, as evidenced by the signed acknowledgment of receipt by the recipient; the confirmation of delivery by the courier service; or the receipt returned by the sender. Article 21. Data and Publicity All data and other information developed under this Interlocal Agreement shall be furnished to the NCTCOG and shall be public data and information, with exception to the extent it is exempt from public access by the Texas Open Records/Public Information Act, Vernon's TEX. GOV'T CODE § 552. Upon termination of this Agreement, all data and information shall become the joint property of the NCTCOG and the FUNDS RECIPIENT. Article 22. Assignability This Interlocal Agreement is not transferable or otherwise assignable by the FUNDS RECIPIENT without the written consent of the NCTCOG. Any attempted transfer is void without the written consent of the NCTCOG. Article 23. Sub-agreements and Subcontracts All contractual expenditures using funds provided under this Interlocal Agreement shall meet UGCMA, and all procurement laws, applicable to the FUNDS RECIPIENT and subcontractor, including the Professional Services Procurement Act. Note that the Common Rule of OMB Circular A-102, as adopted in the UGCMA, precludes the use of the cost plus a percentage of cost method of contracting. Any subcontractor acquired by the FUNDS RECIPIENT in connection with the services covered by this Interlocal Agreement will be limited to such individuals or firms, scope of work, and budget amounts as are specifically (1) identified herein; or as (2) approved by the NCTCOG during the performance of this Interlocal Agreement prior to execution of a contract with the subcontractor. Any substitution in such subcontractor, the scope of work, and budget amounts will be subject to the prior written approval of the NCTCOG. The FUNDS RECIPIENT shall be responsible for the management and fiscal monitoring of all subcontractors. The FUNDS RECIPIENT shall ensure that all subcontractors comply with Article 10, Access/Examination of Records and all other provisions required by this Interlocal Agreement. The NCTCOG reserves the right to perform an independent audit of all subcontractors. Funds provided by the NCTCOG pursuant to this Interlocal Agreement that are paid to the subcontractor shall be used by the subcontractor solely to satisfy the purposes of this Interlocal Agreement. 28 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project Article 24. Supplemental Funding Standards In addition to the standards set forth in applicable laws and regulations, the standards outlined below apply to all uses of the funds provided under this Interlocal Agreement including the implementation projects awarded funds by the FUNDS RECIPIENT. Unless authorization is otherwise specifically provided for in or under the terms of this Interlocal Agreement, the use of funds provided under this Interlocal Agreement, to include funds provided for pass-through grants, shall be in accordance with the supplemental funding standards set forth in this Article. Payment of Fees. Local and regional political subdivisions subject to the payment of state solid waste disposal fees and whose payments are in arrears are not eligible to receive grant funding. Land Acquisition Costs. Funds provided under this Interlocal Agreement may not be used to acquire land or an interest in land. Municipal Solid Waste-Related Programs Only. Funds provided under this Interlocal Agreement may not be used for programs dealing with wastes that are not considered municipal solid waste (MSW), including programs dealing with industrial or hazardous wastes. Programs Solely Related to Collection of Certain Wastes. Funds provided under this Interlocal Agreement may not be used for programs and activities solely related to the management of automotive wastes, to include: scrap tires, used oil, oil filters, antifreeze, lead-acid batteries, or other similar wastes excluded from disposal in MSW landfills. Funds may also not be used for the processing of scrap tires, such as through the purchase of equipment to shred or split the tires. However, the collection of these materials may be included as part of a comprehensive household hazardous waste collection and management program, so long as that is not the sole intent of the program. Activities Related to the Disposal of Municipal Solid Waste. Except as may be specifically authorized under an eligible project category, funds provided under this Interlocal Agreement may not be used for activities related to the disposal of municipal solid waste. This restriction includes solid waste collection and transportation to a disposal facility; waste combustion (incineration or waste-to-energy); processing for reducing the volume of solid waste that is to be disposed of; any landfill-related facilities or activities. This also includes the closure and post-closure care of a landfill; or other activities and facilities associated with the ultimate disposal of municipal solid waste. This provision does not apply to activities specifically included under an authorized project category, to include landfill scales, citizens' collection stations, and small registered transfer stations. Projects Requiring a TCEQ Permit. Funds may not be used for expenses related to projects or facilities that require a permit from the TCEQ and/or that are located within the boundaries of a permitted facility, including landfills, wastewater treatment plants, and other facilities. This provision, however, may be waived by the TCEQ, at its discretion, for otherwise eligible activities to be located at a closed permitted facility and/or for recycling activities that will take place within the boundaries of an open facility. Recycling activities that may qualify for such a waiver may include recyclables collection, composting, and land application of bio-solids for beneficial use. The applicant and/or the FUNDS RECIPIENT should request a preliminary determination from the TCEQ as to the eligibility of the project prior to consideration for funding. 29 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project Projects Requiring TCEQ Registration. Projects or facilities that require registration from the TCEQ, and which are otherwise eligible for funding, may be funded. However, the registration for the facility must be finally received before that project can be selected for funding. Projects that Create a Competitive Advantage Over Private Industry. In accordance with §361.014(b) of the Texas Health and Safety Code, a project or service funded under this Interlocal Agreement must promote cooperation between public and private entities and may not be otherwise readily available or create a competitive advantage over a private industry that provides recycling or solid waste services. Under this definition, the term private industry includes non-profit entities. Supplanting Existing Funds. Funds provided under this Interlocal Agreement may not be used to supplant existing funds. In particular, staff positions where the functions assigned to that position will remain the same and that were active at the time of the project application, and were funded from a source other than a previous solid waste project, are not eligible for project funding. This provision does not apply to the salaries for staff of the FUNDS RECIPIENT in its conduct of activities under this Interlocal Agreement. Food/Entertainment Expenses. Funds provided under this Interlocal Agreement may not be used for food or entertainment expenses, including refreshments at meetings and other functions. This provision does not apply to authorized employee per diem expenses for food costs incurred while on travel status. Use of Alcoholic Beverages. Funds provided under this Interlocal Agreement may not be used for payment of salaries to any employee who uses alcoholic beverages on active duty. None of these funds may be used for the purchase of alcoholic beverages, including travel expenses reimbursed with these funds. Funds to Law Enforcement Agencies. Funds provided under this Interlocal Agreement may not be provided to any law enforcement agency regulated by Chapter 415 of the Texas Government Code, unless the law enforcement agency is in compliance with all rules developed by the Commission on Law Enforcement Officer Standards and Education pursuant to Chapter 415 of the Texas Government Code, or the Commission on Law Enforcement Officer Standards and Education certifies that the requesting agency is in the process of achieving compliance with such rules. Article 25. Identification of the Funding Source The FUNDS RECIPIENT must acknowledge the financial support of the NCTCOG and the State of Texas whenever work funded, in whole or part, by this Interlocal Agreement, is publicized or reported by news media or publications. All reports and other documents completed as a part of this Interlocal Agreement, other than documents prepared exclusively for internal use within the NCTCOG, shall carry the following notation on the front cover or title page: "Prepared in cooperation with the North Central Texas Council of Governments through funding from the Texas Commission on Environmental Quality." Article 26. Theme Phrase for Public Education Materials The FUNDS RECIPIENT is encouraged to use the phrase, "Take It Personally!" on all written documents, publicity, and advertisement materials produced for public education purposes. This consistent image that will appear on all materials distributed by the FUNDS RECIPIENT will promote an understanding of the program, its mission, and its interconnectedness with other issues and programs. For the NCTCOG region, the slogan for all environmental, resource 30 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project conservation, outreach activities is "Take It Personally!" NCTCOG will furnish the FUNDS RECIPIENT with camera-ready artwork of this phrase for imprinting purposes upon request. Article 27. Americans With Disabilities Act Requirements The FUNDS RECIPIENT shall comply with all applicable requirements of the Americans with Disabilities Act of 1990, 42 U.S.C. §§ 12101- 12213 (Pamph. 1995). Article 28. Employment Practices The FUNDS RECIPIENT agrees that in the performance of this Interlocal Agreement, it will not discriminate against any employee or applicant because of race, religion, color, sex, age, or national origin and it will comply with Executive Order 11246, entitle "Equal Employment Opportunity", as amended by Executive Order 11375, and as supplemented in Department of Labor Regulations (41 CFR Part 60). The FUND RECIPIENT assures that no person will, on the grounds of race, creed, color, handicap, national origin, sex, political affiliation or beliefs, be excluded from, be denied the benefit of, or be subject to discrimination under any program or activity funded in whole or part under this Interlocal Agreement. Article 29. Statutes Relating to Nondiscrimination The FUNDS RECIPIENT shall comply with all applicable state and federal statutes relating to nondiscrimination that include, but are not limited to, those listed in the Uniform Grant Management Standards. Article 30. Utilization of Small, Minority, and Women's Business Enterprises The FUNDS RECIPIENT agrees that qualified Historically Underutilized Businesses shall have the maximum practicable opportunity to participate in the performance of this Interlocal Agreement. Article 31. Safety and Protection Where applicable, the FUNDS RECIPIENT shall be responsible for maintaining and supervising all necessary safety precautions and programs in connection with the work/services performed under this Interlocal Agreement. Article 32. Energy Efficiency Standards The FUNDS RECIPIENT is encouraged to follow standards and policies on energy efficiency contained in the State Energy Conservation Plan issued in compliance with the Energy Policy and Conservation Act (P. L. 94-163). Article 33. Force Majeure A force majeure event shall be defined to include governmental decrees or restraints, acts of God (except that rain, wind, flood or other natural phenomena normally expected for the locality shall not be construed as an act of God), work stoppages due to labor disputes or strikes, fires, explosions, epidemics, riots, war, rebellion, and sabotage. Provided this Interlocal Agreement is still in force, and subject to the conditions below, if a delay or failure of performance by either party results from the occurrence of a force majeure event, 31 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project the delay shall be excused and the time fixed for completion of the work extended by a period equivalent to the time lost because of the event if, and to the extent that: • the delay or failure was beyond the control of the party affected and not due to its fault or negligence; and • the delay or failure was not extended because of the affected party's failure to use all diligence to overcome the obstacle or to resume performance immediately after the obstacle was overcome. No time extension shall be granted under this Article unless the party seeking relief has notified the other in writing within a reasonable time after commencement of the event, of the anticipated length and cause of the delay, the measures taken or to be taken to minimize the delay and the timetable by which the FUNDS RECIPIENT intends to implement these measures. The party seeking relief shall also give written notice of the ending of the event within a reasonable time after the event has ended. The NCTCOG shall be responsible for costs related to a force majeure event, only if they are incurred by the FUNDS RECIPIENT after the prior written request by the NCTCOG Project Representative, to incur such costs. Neither NCTCOG nor the FUNDS RECIPIENT shall have, and both hereby waive, any claim whatever for any damages resulting from delays caused by force majeure events. Article 34. Termination of Interlocal Agreement This Interlocal Agreement shall terminate upon full performance of all requirements contained herein, unless this Interlocal Agreement is amended in writing. This agreement may be terminated in whole or in part in writing by either contracting party in the event of substantial failure by the other party to fulfill its obligation under this Interlocal Agreement through no fault of the terminating party, provided that no such termination may be effected unless the other party is given: Not less than ten (10) days written notice (delivered by certified main, return receipt requested) of intent to terminate; and an opportunity for consultation with the terminating party prior to termination. This Interlocal Agreement may be terminated in whole or in part in writing by NCTCOG for its convenience, provided that the FUNDS RECIPIENT is given not less than ten (10) calendar days written notice (delivered by certified mail, return receipt requested) of intent to terminate. Circumstances in which NCTCOG may terminate for convenience include, but are not limited to, the Texas Legislature's withdrawal of appropriations for this project or the FUNDS RECIPIENT'S continued or repeated failure to perform tasks and submit reports in a complete, correct and consistent manner. If termination for default of this Article, or for reduction or loss of Legislative appropriations of this Article is effected by NCTCOG, an adjustment in the Interlocal Agreement amount shall be made, but: no amount shall be allowed for anticipated profit on unperformed services, tasks or other work; and Any payment due the FUNDS RECIPIENT at the time of termination may be adjusted to the extent of any reasonable additional costs incurred by NCTCOG by reason of THE FUNDS RECIPIENT'S default. The equitable adjustment for any termination shall provide for payment 32 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project to the FUNDS RECIPIENT for services rendered and expenses incurred by the FUNDS RECIPIENT relating to contracts entered into prior to the termination, in addition to termination settlement costs reasonably incurred by the FUNDS RECIPIENT relating to contracts entered into prior to the termination. Upon receipt of a termination notice the FUNDS RECIPIENT shall promptly discontinue all services affected (unless the notice directs otherwise); and deliver or otherwise make available to NCTCOG all data, drawings, specifications, reports, estimates, summaries, and such other information, materials, and equipment as may have been accumulated by the FUNDS RECIPIENT in performing this Interlocal Agreement, whether completed or in progress. Upon termination of this Interlocal Agreement, the NCTCOG may take over the work and prosecute the same to completion by agreement with another party or otherwise. If, after termination for failure of the FUNDS RECIPIENT to fulfill its contractual obligations, it is determined that the FUNDS RECIPIENT had not so failed, the termination shall be deemed to have been effected for the convenience of the NCTCOG. If any delay or failure of performance is attributed to an event as defined in Force Majeure, the FUNDS RECIPIENT may in its sole discretion terminate this Interlocal Agreement in whole or in part. If such termination is effected, an equitable adjustment shall be made in accordance with this Article. 33 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project DEFINITIONS Wherever used in this Interlocal Agreement, the following terms have the meaning indicated which are applicable to both the singular and plural thereof. This list is not meant to be inclusive nor exclusive of all pertinent grant definitions: Accrued expenditures: The charges incurred by the grantee during a given period requiring the provisions of funds for: (1) Goods and other tangible property received; (2) services performed by employees, contractors, subcontractors, and other payees, and (3) other amounts becoming owed under programs for which no current services or performance is required, such as annuities, insurance claims, and other business payments. Accrued income: The sum of(1) earnings during a given period from services performed by the grantee and goods and other tangible property deliverable to purchasers; and (2) amounts becoming owed to the grantee for which no current services or performance is required by the grantee. Acquisition cost: For equipment purchases, means the net invoice unit price of the property including the cost of modifications, attachments, accessories, or auxiliary apparatus necessary to make that property usable for the purpose for which it was acquired. Other charges such as the cost of installation, transportation, taxes, duty or protective in-transit insurance shall be included or excluded from the unit acquisition cost in accordance with the grantee's regular accounting practices. Addenda: Written or graphic instruments issued prior to the execution of the Agreement which clarify, correct or change the Proposal Requirements or the Agreement. Administrative requirements: Those matters common to grants in general, such as financial management, kinds and frequency of reports, and retention of records. These are distinguished from "programmatic" requirements, which concern matters that can be treated only on a program-by-program or grant-by-grant basis, such as kinds of activities that can be supported by grants under a particular program. Cash contribution: The FUNDS RECIPIENT'S cash outlay, including the outlay of money contributed to the FUNDS RECIPIENT by other public agencies and institutions, and private legislation, federal funds received from other assistance Agreement may be considered as FUNDS RECIPIENT cash contributions. Common rule: Part III of the Uniform Grant Management Standards, which were promulgated by the Texas Governor's Office of Budget and Planning pursuant to the Uniform Grant Conditions and Management Act, Texas Government Code Chapter 783. Contract Documents: The Interlocal Agreement and the documents that are described in and incorporated into the Interlocal Agreement. Together, the Contract Documents form the contract between the parties. Contract Price: The moneys payable by the NCTCOG to the FUNDS RECIPIENT for completion of the work in accordance with the Contract Documents as stated in the Interlocal Agreement (subject to the provisions included in the Interlocal Agreement). 34 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project Contract Times: The number of days or dates stated in the Interlocal Agreement to complete the work so that it is ready for final payment. Cost sharing or matching: The value of the third party in-kind contributions and the portion of the costs of a State assisted project or program not borne by the State. Cost-type Contract: A contract or subcontract under a grant in which the FUNDS RECIPIENT or subcontractor is paid on the basis of the costs it incurs, with or without a fee. Equipment: Tangible, non-expendable, personal property having a useful life of more than one year and an acquisition cost of$5,000 or more per unit. A FUNDS RECIPIENT may use its own definition of equipment provided that such definition would include all equipment defined above. Expiration Date of the Interlocal Agreement: The date indicated in the Interlocal Agreement as the date that the Interlocal Agreement terminates (end date of the Interlocal Agreement). Financial Completion: In the opinion of the Funding Agency (NCTCOG and TCEQ), the work as outlined in the Interlocal Agreement is complete. Funding Agency: The Texas Commission on Environmental Quality through the North Central Texas Council of Governments. Government: A Federal or State agency or a local government. Historically Underutilized Business (HUB): As defined by Texas law and delineated in the State Purchasing and General Services Act, as amended September 1, 1995, a historically underutilized business as a corporation or a partnership in which fifty-one percent (51%) or more of the corporation's stock (or other equitable securities) or partnership's assets and interest are owned by one or more socially disadvantaged persons, who have a proportionate interest and actively participates in the corporation or partnership control, operation, and management. If the business is a sole proprietorship, the socially disadvantaged person must completely own, operate and control the business. Socially disadvantaged persons include members of certain groups including African Americans, Hispanic Americans, American Women, Asian Pacific Americans, and Native Americans. Intellectual Property: (1) any and all inventories, discoveries, improvements, or creations for which copyright, trade secret, patent or other proprietary rights may be acquired, (2) any photographs, graphic designs, plans, drawings, specifications, computer programs, computer files, documentation, technical reports, operating manuals, or other copyrightable materials, and (3) any other work fixed in any tangible medium of expression which can be perceived, reproduced, or otherwise communicated for which copyright, trade secret, patent or other proprietary rights may be acquired. Intellectual Property Rights: Patents, trademarks, trade secret rights, confidential information rights or any other proprietary rights to which a person may be entitled or may actually possess. Intellectual Property Rights include all rights of ownership and original authorship throughout the world. Interlocal Agreement: The "NCTCOG Interlocal Agreement" which contains the salient terms of the Agreement between the FUNDS RECIPIENT and the NCTCOG and covers the work to 35 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project be performed; also describes and includes any additional agreement documents which may be attached to the Interlocal Agreement and made a part thereof as provided therein. Laws and Regulations: Any and all applicable laws, rules, regulations, ordinances, codes and other orders of any and all governmental bodies, agencies, authorities and courts having jurisdiction. Liens: Charges, security interests, liens or encumbrances upon real property or personal property. Local government: Local and regional political subdivisions located within the State of Texas. The meaning is broaden to include eligible recipients of solid waste pass-through grant funds: Cities; Counties; Public Schools and School Districts (excluding Universities or post secondary educational institutions); Other general and special law districts created in accordance with State law, and with the authority and responsibility for water quality protection or municipal solid waste management, to include river authorities. Minor Change: A written document which provides for minor changes in the work to be performed under the Interlocal Agreement, but does not involve a changed in the contract price or the contract times. Obligations: The amount of orders placed, contracts and sub-grants awarded, goods and services rendered, and similar transactions during a given period that will require payment by the grantee during the same or a future period. Outlay (expenditures): Charges made to the project or program. Outlays may be reported on a cash or accruals basis. For reports prepared on a cash basis, outlays are the sum of actual cash disbursement for direct charges for goods and services, the amount of indirect expense incurred, the value of in-kind contributions applied, and the amount of cash advances and payments made to FUNDS RECIPIENT. For reports prepared on an accrued expenditure basis, outlays are the sums of actual cash disbursements, the amount of indirect expense incurred, the value of in-kind contributions applied, and the net increase (or decrease) in the amounts owed by the grantee for goods and other property received, for services performed by employees, contractors, subcontractors, and other payees, and other amounts becoming owed under programs for which no current services or performance are required, such as annuities, insurance claims, and other benefit payments. Percentage of completion method: A system under which payments are made for work according to the percentage of the completed work, rather than to the FUNDS RECIPIENT 's cost incurred. Prior Approval: Documentation evidencing consent prior to incurring specific costs. Project: The total body of services rendered of which the work to be provided under the Interlocal Agreement may be the whole, or a part as indicated elsewhere in the Interlocal Agreement. Project Representative: The individual who is authorized to execute the work program identified in the Interlocal Agreement. This individual must be an employee of the grant recipient and may or may not have contractual authority. 36 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project Real Property: Land, including land improvements, structures and appurtenances thereto, excluding moveable machinery and equipment. Share: When referring to the TCEQ's portion of real property, equipment or supplies, means the same percentage as the TCEQ's portion of the acquiring party's total costs under the grant to which the acquisition cost of the property was charged. Only costs are to be counted, not the value of the third-party in-kind contributions. Standards: The Uniform Grant Management Standards. State: The State of Texas. Subcontractor: An individual, firm, corporation or local government having a direct contract with the FUNDS RECIPIENT or with any other subcontractor for the performance of a part of the work identified in the Interlocal Agreement. Supplies: Generally relates to the routine purchase of office supplies (paper, pencils, staples, etc.) or other goods that are consumed in a relatively short period of time in the regular performance of general office activities. Suspension: (1) temporary withdrawal of the authority to obligate project funds pending corrective action by the FUNDS RECIPIENT, or sub-grantee or a decision to terminate the grant, or (2) an action taken by a FUNDING AGENCY official in accordance with the Interlocal Agreement, State or Federal law, or Regulations to immediately exclude a person from participating in grant transactions for a period, pending completion of an investigation and such legal or debarment proceedings as may ensue. Termination: Permanent withdrawal of the authority to obligate previously-awarded project funds before that authority would otherwise expire. It also means the voluntary relinquishment of that authority by the FUNDS RECIPIENT or sub-grantee. "Termination" does not include (1) withdrawal of funds awarded on the basis of the FUND RECIPIENT'S underestimate of the unobligated balance in a prior period; (2) withdrawal of the unobligated balance as of the expiration of a grant; (3) refusal to extend a grant or award additional funds to make a competing or noncompeting continuation, renewal, extension or supplemental award; or (4) voiding of a grant upon determination that the award was obtained fraudulently or was otherwise illegal or invalid from inception. Unliquidated Obligations: For reports prepared on a cash basis, means the amount of obligations incurred by the FUNDS RECIPIENT that has not been paid. Reports prepared on an accrued expenditure basis represent the amount of obligations incurred by the FUNDS RECIPIENT for which an outlay has not been recorded. Unobligated Balance: The portion of the funds authorized by the FUNDING AGENCY that has not been obligated by the FUNDS RECIPIENT, and is determined by deducting the cumulative obligation from the cumulative funds authorized. Work: The entire completed services or the various separately identifiable parts thereof required to be furnished under this Interlocal Agreement. Work includes and is the result of performing or furnishing labor, services, materials or equipment as required by the Interlocal Agreement. 37 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project Appendix I. SUMMARY/RESULTS REPORT OF IMPLEMENTATION PROJECT • STATUS OF COMPLETION OF WORK TASKS • PROJECT RESULTS REPORT FORM 10a: LOCAL ENFORCEMENT FORM 10b: LITTER/ILLEGAL DUMPING CLEANUP AND COMMUNITY COLLECTION EVENTS FORM 10c: SOURCE REDUCTION/RECYCLING FORM 10d: LOCAL SOLID WASTE MANAGEMENT PLANS FORM 10e: CITIZENS COLLECTION STATIONS, SMALL REGISTERED TRANSFER STATIONS FORM 10f: HOUSEHOLD HAZARDOUS WASTE FORM 10g: TECHNICAL STUDIES FORM 10h: EDUCATIONAL AND TRAINING PROJECTS II. REIMBURSEMENT FORMS (Form PT-F 2 plus Supplemental Forms) • Request for Reimbursement Form and Supplemental Reimbursement Forms PT-F2 Summary of Pass-Through Project Expenditures F2-A Itemization Personnel/Salaries and Travel budget categories F2-B Itemization of Equipment and Contractual Costs F2-C Itemization of Construction Budget category F2-D Itemization of Supplies and the Other Expenditures F2-E Itemization of Matching Services and/or Cash Contributions III. REQUEST FOR BUDGET REVISION FORM IV. EXAMPLE of RELEASE OF CLAIMS These forms are located at the following website: http://www.nctcog.orq/envir/SEELT/funding/report forms.asp 38 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project FY 2008/2009 REGIONAL SOLID WASTE GRANT FY 2008/2009 REGIONAL SOLID WASTE GRANTS PROGRAM SUMMARY/RESULTS REPORT OF GRANT-FUNDED PROJECT 1. Grant Recipient: 2. Contract#: 08-04-G 19 3. Report#: 4. Final FY 08/09 Report: ❑ Yes ❑ No 5. Reporting Period: 6. Grant Term: From: to: From: to: 7. Percent Completed to Date: 8. Estimated Completion Date: Required Attachments 9. STATUS OF COMPLETION OF WORK TASKS 10. PROJECT RESULTS REPORT (complete the applicable form for the project being conducted with grant funds, ® if attached) ❑ Form 10a: Local Enforcement ❑ Form 10b: Litter/Illegal Dumping Cleanup & Community Cleanup Event ❑ Form 10c: Source Reduction/Recycling ❑ Form 10d: Local Solid Waste Management Plans ❑ Form 10e: Citizens' Collection Stations & "Small" Registered Transfer Stations ❑ Form 10f: Household Hazardous Waste ❑ Form 10g: Technical Studies ❑ Form 10h: Education and Training Projects (stand alone projects) 11. CERTIFICATION: I certify to the best of my knowledge and belief that this report is correct and complete. Signature of Authorized Certifying Official Typed or Printed Name and Title Date Submitted 39 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project STATUS OF COMPLETION OF WORK TASKS* For each major work task or deliverable set forth in your grant contract, provide the following information (attach additional pages as needed): - Estimate the percent (%) complete of the task/deliverable - Briefly explain the activities conducted to date towards completing the task or deliverable. Be sure to provide information on the status of equipment purchases and/or facility construction, if applicable. - List the major activities remaining to be conducted towards completing the task or deliverable. - Provide an estimated date for the completion of the task or deliverable. - Explain any problems or delays in completing the task or providing the deliverable. Provide copies of all materials and documents produced with grant funds to date (e.g., reports, plans, brochures, educational materials, videos, etc.). 1. Task/Deliverable: A. Percent (%) Completed: B. Activities conducted to date: C. Major activities remaining to complete task: D. Estimated completion date: E. Comments: 2. Task/Deliverable: A. Percent (%) Completed: B. Activities conducted to date: C. Major activities remaining to complete task: D. Estimated completion date: E. Comments: 3. Task/Deliverable: A. Percent (%) Completed: B. Activities conducted to date: C. Major activities remaining to complete task: D. Estimated completion date: E. Comments: 40 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project 4. Task/Deliverable: A. Percent (%) Completed: B. Activities conducted to date: C. Major activities remaining to complete task: D. Estimated completion date: E. Comments: 5. Task/Deliverable: A. Percent (%) Completed: B. Activities conducted to date: C. Major activities remaining to complete task: D. Estimated completion date: E. Comments: 6. Task/Deliverable A. Percent (%) Completed: B. Activities conducted to date: C. Major activities remaining to complete task: D. Estimated completion date: E. Comments: 41 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project FY 2008/2009 REGIONAL SOLID WASTE GRANT Results Report Form 10b: Litter/Illegal Dumping Cleanups & Community Collection Events FY Reporting Parameter Cu/20 e 2008/20099 Results Resuull ts Total grant funding amount $ Total number of participants/volunteers: For community collection events: Total number of individual collection events held Total amount of waste collected for disposal (in tons) Total amount of materials diverted for recycling/reuse (in tons) Total revenue from sale of diverted materials $ For river/lake and community litter cleanups: Total number of individual cleanup events held If applicable, total waterfront cleaned up (in miles) If applicable, total estimated land area cleaned up (in acres) Total debris/litter collected for disposal (in pounds) Total amount of materials collected for recycling/reuse (in pounds) For periodic or ongoing cleanup of illegal dump sites: Total number of litter and illegal dump sites cleaned up Total estimated land area cleaned up (in acres) Total amount materials collected for disposal (in pounds) Total amount of material collected for recycling/reuse (in pounds) Education & Training Component Results Reporting Parameter Amount of grant funding applied toward education/training activities $ Total of all education/training events Total number of persons involved in education/training events Total of all items distributed related to education/training events (e.g., brochures, fliers, manuals, freebies, etc.) Total number of mass media activities (e.g.,press releases,PSAs,billboards or signs,etc.) Estimated total number of people reached through mass media activities Comments: 42 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project FY 2008/2009 REGIONAL SOLID WASTE GRANTS PROGRAM SUMMARY OF PASS-THROUGH GRANT EXPENDITURES - FORM PT-F2 1. COUNCIL OF GOVERNMENTS TO WHICH REPORT IS SUBMITTED: North Central Texas Council of Governments 2. VENDOR TAX IDENTIFICATION NUMBER: 3. RECIPIENT ORGANIZATION (NAME AND COMPLETE ADDRESS, INCLUDING ZIP CODE): 4. CONTRACT/PROJECT NUMBER: 08-04-G19 5. FINAL REPORT: YES NO 6. ACCOUNTING BASIS: Cash ✓ Accrual 7. TOTAL GRANT PERIOD: 8. PERIOD COVERED BY THIS REPORT: FROM: March 24, 2008 TO: July 31, 2009 FROM: TO: 9. BUDGET CATEGORIES Project Cost Cumulative Total (do not include inkind) Total Budget This Report Project Cost Balance a. Personnel/Salaries b. Fringe Benefits c. Travel d. Supplies e. Equipment f. Contractual g. Construction h. Other i. Total Direct( Sum a-h) j. Indirect Charges k. Total ( Sum of i &j) List(Itemize) on the appropriate supplemental form the component expenses comprising the total cost. 10. CERTIFICATION: I certify to the best of my knowledge and belief that this report is correct and complete and that all outlays and unliquidated obligations are for the purposes set forth in the award documents. Signature of Authorized Certifying Official Printed Name and Title Telephone (area code/number) Date Submitted: ❑ NCTCOG-use only 43 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project FY 2008/2009 REGIONAL SOLID WASTE GRANTS PROGRAM ITEMIZATION OF EQUIPMENT AND CONTRACTUAL COSTS SUPPLEMENTAL FORM F2-B EQUIPMENT PURCHASES (during this report period) NUMBER UNIT PURCHASED ITEM DESCRIPTION COST TOTAL COST OTAL EQUIPMENT EXPENDITURES (Must agree with line 9e on Form PT-F2) CONTRACTUAL EXPENDITURES (during this report period) SUBCONTRACTOR(NAME) I FOR TOTAL COST TOTAL CONTRACTUAL EXPENDITURES (Must agree with line 9f on Form PT-F2) Legible receipts must be attached to this form for each listed item or expenditure. ATTACH ADDITIONAL SHEETS, IF NEEDED 44 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project FY 2008/2009 REGIONAL SOLID WASTE GRANTS PROGRAM ITEMIZATION OF SUPPLIES AND OTHER COSTS SUPPLEMENTAL FORM F2-D SUPPLIES EXPENDITURES (during this report period) NUMBER UNIT TOTAL PURCHASED ITEM DESCRIPTION COST COST TOTAL SUPPLIES EXPENDITURES (Must agree with line 9d on Form PT-F2) OTHER EXPENDITURES (during this report period) NUMBER UNIT TOTAL PURCHASED ITEM DESCRIPTION COST COST TOTAL OTHER EXPENDITURES (Must agree with line 9h on Form PT-F2) Legible receipts must be attached to this form for each listed item or expenditure. ATTACH ADDITIONAL SHEETS, IF NEEDED 45 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project FY 2008/2009 REGIONAL SOLID WASTE GRANTS PROGRAM ITEMIZATION OF MATCHING SERVICES AND CASH CONTRIBUTIONS SUPPLEMENTAL FORM F2-E MATCHING SERVICES (during this report period) ITEM PURCHASED OR COST SERVICE PERFORMED PURPOSE THIS PERIOD TOTAL MATCHING SERVICES EXPENDITURES CASH CONTRIBUTIONS (during this report period) DESCRIPTION CASH AMOUNT TOTAL CASH CONTRIBUTIONS 46 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project North Central Texas Council of Governments FY2008/09 SOLID WASTE MANAGEMENT GRANTS PROGRAM REQUEST FOR BUDGET REVISION PLEASE INCLUDE A MEMO DETAILING THE PURPOSE AND NEED FOR THIS BUDGET REVISION MEMO SHOULD BE ATTACHMENT TO THIS COVER SHEET. YOU MUST ITEMIZE COMPONENT EXPENSES OF THE PROPOSED BUDGET REVISION IN THIS MEMO. GRANT RECIPIENT: PROJECT NUMBER: GRANT PERIOD: DATE OF REQUEST: BUDGET APPROVED EXPENDITURES BUDGET PROPOSED BUDGET CATEGORIES BUDGET TO DATE CHANGE (+ OR-) REVISION a. Personnel b. Fringe Benefits c. Travel d. Supplies e. Equipment f. Contractual g. Construction h. Other i. Total Direct (Sum a-h) j. Indirect Charges k. Total (Sum i &j) CERTIFICATION: I certify to the best of my knowledge that this request is correct and complete and that all outlays and unliquidated obligations will be used for the purposes set forth in the award documents. Signature of Authorized Project Representative Typed or Printed Name and Title Date Submitted 47 Grant Project Number 08-04-G19 Wylie Community Clean-up Events Project RELEASE OF All CLAIMS Example Whereas, the North Central Texas Council of Governments (NCTCOG) and the City of Wylie, TX entered into an Interlocal Agreement for Solid Waste Implementation Project#08-04-G19, a Community Clean-up Project, dated March 24, 2008 through July 31, 2009 Whereas, Attachment E, Article 09, Release of Claims, requires that "upon satisfactory completion of the work performed hereunder and prior to final payment under this Interlocal Agreement for such work, or prior to settlement upon termination of this Interlocal Agreement, and as a condition to final payment/settlement, the City of Wylie, TX shall execute and deliver to the NCTCOG a release of all claims against the NCTCOG arising under or by virtue of this Interlocal Agreement," and Now, therefore, in consideration of the premises, and of the final payment from the City of Wylie, TX hereby remises, releases, and forever discharges the NCTCOG of and from all manner of debts, dues, sum or sums of money, accounts, claims, and demands whatsoever, in law and in equity, under or by virtue of the said contract. In witness whereof, the hand and seal of the contractor have been hereunto set this the day of By: This instrument was acknowledged before me on (date) Notary Public, State of Texas My commission expires: (date) 48 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project NORTH CENTRAL TEXAS COUNCIL OF GOVERNMENTS INTERLOCAL AGREEMENT FOR SOLID WASTE IMPLEMENTATION GRANT PROJECT This Interlocal Agreement is entered into by and between the parties named below. Neither the Texas Commission on Environmental Quality nor the State of Texas is a party to this Agreement. CONTRACTING PARTIES: The Funding Agency: North Central Texas Council of Governments Herein referred to as "NCTCOG" Funds Recipient: City of Wylie, TX Herein referred to as "FUNDS RECIPIENT" II. SERVICES TO BE PERFORMED: For the Wylie Creekfest-Creek Clean-ups Project, the FUNDS RECIPIENT shall complete all work as specified or indicated in "Attachment A-Work Program and Schedule of Deliverables of FUNDS RECIPIENT". III. FUNDING AMOUNT: The funding amount under this Interlocal Agreement is a minimum of: $16,300 dollars (Sixteen thousand three hundred dollars). The budget details are in Attachment C. IV. TERM OF CONTRACT: This Interlocal Agreement is effective March 24, 2008 and shall terminate July 31, 2009. This Interlocal Agreement shall immediately terminate at the end of any state fiscal year for which the Texas Legislature fails to appropriate funds necessary to perform this agreement. This Interlocal Agreement must be signed and executed forty-five (45) days from the effective date stated above. In the event funding is not available, the parties further agree that NCTCOG has no further obligation to pay and the FUNDS RECIPIENT has no further duty to perform under terms of this agreement. V. ADDITIONAL CONTRACT PROVISIONS: See Attachment B - Schedule for Reimbursement and Reporting, Attachment D - Special Provisions, and Attachment E - General Provisions. VI. ENTIRE CONTRACT: This Interlocal Agreement, including all Attachments, represents the entire contract between the contracting parties. Any changes or modifications to this Interlocal Agreement must be in writing. Funds for this subcontract are currently available from the Texas Solid Waste Disposal and Transportation Revenue Fee, as proscribed in Texas Health and Safety Code Chapter 361.014. Due to demands upon the source for funds necessary to protect the health and safety of the public, it is possible that the funds contained in the Municipal Solid Waste Disposal Account, as proscribed in Texas Health and Safety Code Chapter 361.014(d), will be depleted or reduced prior to completion of this Interlocal Agreement. The parties agree that all funding arranged under this Interlocal Agreement is subject to sufficient funds in the Municipal Solid Waste Disposal Account. The NCTCOG has certified, and the FUNDS RECIPIENT certifies that each has the authority to perform the services contracted for by authority granted in "the Regional Planning Act of 1965," Texas Local Government Code, Chapter 391 and "The Interlocal Cooperation Act," Texas Government Code, Chapter 791. Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project COUNCIL OF GOVERNMENTS PROJECT FUNDS RECIPIENT North Central Texas Council of Governments City of Wylie, TX Funding agency Local Government Signature Signature Mike Eastland Mindy Manson Name Name Executive Director City Manager, City of Wylie, Texas Title Title Date Date ii Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project LIST OF ATTACHMENTS ATTACHMENT A. WORK PROGRAM AND SCHEDULE OF DELIVERABLES 1 ATTACHMENT B. SCHEDULE FOR REIMBURSEMENT AND REPORTING 2 ATTACHMENT C. BUDGET& DETAILED COST SHEETS 3 ATTACHMENT D. SPECIAL PROVISIONS 6 Article 01. PURPOSE OF AGREEMENT 6 Article 02. LIMITATIONS AND REPORTING REQUIREMENTS 6 Article 03. FINANCIAL OBLIGATION 6 Article 04. REIMBURSEMENT PROCEDURES 5 Article 05. BUDGET CATEGORY ADJUSTMENTS 8 Article 06. PROJECT REPORTING REQUIREMENTS 8 Article 07. PERFORMANCE MEASURES 9 Article 08. PERSONNEL 9 Article 09. TRAVEL 10 Article 10. CONSUMABLE SUPPLIES 10 Article 11. EQUIPMENT 11 Article 12. CONTRACTUAL EXPENSES 13 Article 13. CONSTRUCTION 14 Article 14. OTHER EXPENSES 14 Article 15. INDIRECT EXPENSES 15 Article 16. MATCHING SERVICES/CASH CONTRIBUTIONS 15 Article 17. PROJECT CONTACTS 16 ATTACHMENT E. GENERAL PROVISIONS 17 Article 01. ELIGIBLE PROJECT FUNDING RECIPIENTS 17 Article 02. RESPONSIBILITIES OF THE FUNDS RECIPIENT 17 Article 03. OVERSIGHT OF SOLID WASTE IMPLEMENTATION PROGRAM 18 Article 04. STANDARDS FOR IMPLEMENTATION PROJECTS 18 Article 05. MONITORING REQUIREMENTS 23 Article 06. COMPLIANCE WITH APPLICABLE LAWS 23 Article 07. UNIFORM GRANT AND CONTRACT MANAGEMENT ACT 23 Article 08. ACCOUNTING SYSTEM 23 Article 09. RELEASE OF CLAIMS 24 Article 10. ACCESS/EXAMINATION OF RECORDS 24 Article 11. AUDITS 25 Article 12. INSURANCE AND LIABILITY.... 25 Article 13. HAZARDOUS SUBSTANCES, WASTE DISPOSAL AND MANIFESTS... 25 Article 14. CONFLICTS OF INTEREST 25 Article 15. SURVIVAL OF OBLIGATIONS 26 Article 16. CONTRACTUAL COSTS 25 Article 17. CHANGES TO INTERLOCAL AGREEMENT 26 Article 18. SEVERABILITY 27 Article 19. INTELLECTUAL PROPERTY 27 Article 20. CORRESPONDENCE..... ... 28 Article 21. DATA AND PUBLICITY 28 Article 22. ASSIGNABILITY 28 Article 23. SUBAGREEMENTS AND SUBCONTRACTS 28 Article 24. SUPPLEMENTAL FUNDING STANDARDS 29 Article 25. IDENTIFICATION OF THE FUNDING SOURCE 30 iii Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Article 26. THEME PHRASE FOR PUBLIC EDUCATION MATERIALS 30 Article 27. AMERICANS WITH DISABILITIES ACT REQUIREMENTS 31 Article 28. EMPLOYMENT PRACTICES 31 Article 29. STATUTES RELATING TO NONDISCRIMINATION 31 Article 30. UTILIZATION OF SMALL, MINORITY AND WOMEN'S BUSINESS ENTERPRISES 31 Article 31. SAFETY AND PROTECTION 31 Article 32. ENERGY EFFICIENCY STANDARDS 31 Article 33. FORCE MAJEURE 31 Article 34. TERMINATION OF INTERLOCAL AGREEMENT 32 DEFINITIONS 34 APPENDIX: 38 • PROJECT REPORT FORMS • FINANCIAL REIMBURSEMENT FORMS • Example of a RELEASE OF CLAIMS iv Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Attachment A. Work Program and Schedule of Deliverables The following outlines the series of steps to be undertaken to fulfill the goal of the proposed project which is to offer two creek clean up events to remove illegally dumped items, debris, and trash from the City's waterways . These events are tentatively scheduled to occur in November 2008 and in March 2009. 1. Successful grant application. a. Meet with NCTCOG representatives to review requirements of Interlocal Agreement. b. Wylie City Council takes appropriate action to approve Interlocal Agreement with NCTCOG 2. Approximately four weeks prior to each event, acquire event flier, signage, educational materials, event supplies, and equipment. a. Public Services Department begins in-house flier, signage and educational materials design. b. Complete design of flier, signage and educational materials. c. Send design of flier, signage, and educational materials to three vendors to obtain quotes. d. Issue Purchase Order for fliers, signage, educational materials, event supplies, and equipment. e. Receive all items. 3. Approximately three weeks prior to each event, publicize event. a. Public Services Department contacts Wylie News to advertise event and insert fliers in the editions of the newspaper. b. Public Services Department coordinates with City of Wylie Public Information Officer to advertise event on City website. c. Public Services Department distributes fliers to all municipal buildings and offices open to the public. d. Public Services Department accepts pre-registration sign-ups from interested volunteers. e. Public Services Department coordinates with partnering Home Owner Associations regarding the upcoming event. 4. Approximately two days prior to each event, perform site preparation. a. Public Service Department will oversee delivery and placement of the following: 1. dumpsters for trash disposal and recycle items. 2. site signage. 5. Cleanup event. a. On the day of the event, prior to arrival of the public, Public Services personnel arrive at site and set it up to accommodate the public participation. b. Public Services personnel will coordinate, direct, and assist volunteers throughout the cleanup event. c. Same employees remove all portable material and equipment from the site at the conclusion of the event. 6. During the week after the event, perform site restoration. a. Allied Waste and City of Wylie remove collected material from site. b. Site restoration will be completed. 7. Statistical report. a. Public Services staff will contact Allied Waste to receive data on pounds, loads, and/or tons received and collected at the event. b. All participating City departments will submit a report of their personnel hours for the event to Public Services Department. c. Public Services Department will pay all vendor and contractor invoices upon receipt and include final costs in statistical report. d. Statistical report will be completed within five days upon receipt of the last event-related invoice. e. City website posts pounds, loads, and/or tons received and collected at the event. 8. Final project report to NCTCOG. a. Coordinate with NCTCOG representatives to prepare and submit final project report as required in the Interlocal Agreement. 1 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Attachment B. Schedules for Requests for Reimbursement and Quarterly Status Reports 1. REQUESTS FOR REIMBURSEMENT The FUNDS RECIPIENT must submit a "Request for Reimbursement" at least quarterly (even if no funds were spent), but not more frequently than once a month, for reimbursement of actual allowable costs. Requests for Reimbursement may be submitted monthly and are not associated with the Status Report schedule. All Requests for Reimbursement shall be submitted in accordance with the requirements identified in Attachment D, Article 04 "Reimbursement Procedures" of this Interlocal Agreement. The final Request for Reimbursement must include a Release of Claims as indicated under Attachment E. Article 09, "Release of Claims" of this Interlocal Agreement. 2. QUARTERLY STATUS REPORTS The following represents the reporting schedule for projects funded in fiscal years 2008-09: DUE DATES FY2008 PROGRESS REPORTS REPORTING PERIOD Quarterly Project Summary/Results Report#1: March 2008 through May 2008 Due Friday, June 6, 2008 Quarterly Project Summary/Results Report#2: June 2008 through August 2008 Due Friday, September 5, 2008 Quarterly Project Summary/Results Report#3: Due Friday, December 5, 2008 September 2008 through November 2008 Quarterly Project Summary/Results Report#4: Due Friday, March 6, 2009 December 2008 through February 2009 Quarterly Project Summary/Results Report#5: Due Friday, June 5, 2009 March 2009 through May 2009 Final Results Report & Release of Claims June 2009 through July 31, 2009 Due Friday, August 21, 2009 Follow-Up Results Report: One (1) year after completion of the project Due Friday, August 5, 2010 upon NCTCOG request. 2 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Attachment C. Budget and Detailed Cost Sheets BUDGET ITEM FUNDING MATCHING CASH TOTAL PROJECT AMOUNT SERVICES CONTRIBUTION 1. Personnel/salaries $ $ 9,274 $ $ 9,274 2. Fringe benefits $ $ $ $ 3. Travel $ $ $ $ 4. Supplies $ $ $ $ 5. Equipment $ $ $ $ 6. Construction $ $ $ $ 7. Contractual $ 1,800 $ $ $ 1,800 8. Other $ 14,500 $ $ 14,500 Total direct charges $ 16,300 $ 9,274 $ $ 25,574 (sum of lines 1-8) 9. Indirect charges $ $ $ $ Total cost (sum of 1-9) $ 16,300 $ 9,274 $ $ 25,574 Note: Matching services should relate only to staff or services directly involved with the funded project. Cash contributions identified in this project budget should be tracked separately from the matching services, with the understanding that if matching or cash contributions are not provided during the term of the grant, NCTCOG may terminate the grant for non-compliance. LIST MATCHING and CASH CONSTRIBUTIONS HERE Personnel/Salaries (approximately): 1 Park Superintendent 14 hours @ $31.12/hr. $ 435.68 2 Parks Crew leader 12 hours @ $18.08/hr. $ 867.84 6 Parks Maintenance Worker 10 hours @ $14.12/hr. $5,083.20 4 Street Maintenance Worker 8 hours @$14.12/hr. $1,807.36 1 Parks Secretary 1 40 hours @ $14.84/hr. $ 593.60 2 Firefighter Paramedic 5 hours @ $24.32/hr. $ 486.40 $9,274.08 3 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project DETAILED BUDGET SHEET - Line 7: Project-Funded Contractual This budget sheet should be completed if any expenses are entered for contractual services on Line 7 of the Project Budget Summary; otherwise omit. $ 1,800 All contractual expenses must be pre-approved by NCTCOG. Expenses included under this category should be for costs for professional services or tasks provided by a firm or individual who is not employed by the project funds recipient other than those related to construction. All local government municipal laws and regulations, including UGMS, for bidding and contracting for services must be followed during the project period. Any expenses (including legal fees, staff time, travel and communications) related in any way to drafting legislation, lobbying for legislation, or other political activities are not allowable under this program. The following is an itemized list of the contractual expenses associated with the funded project, with as many specifications as possible: • Dumpster hauling (2 events @ $ 1,000 ea.) $ 1,000 • Rental of portable toilets (2 events @ $400 ea.) 800 4 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project DETAILED BUDGET SHEET -Item 8: Project-Funded Other Expenses This budget sheet should be completed if any expenses are entered under"other" on Line 8 of the Project Budget Summary; otherwise omit. "Other" expenses are those for items or services that do not readily fit into any of the previous budget categories. The following is an itemized list of other expenses: $ Postage/delivery $ Telephone/FAX $ Utilities $ 2,500 Printing/reproduction $ 1,500 Advertising/public notices $ 500 Signage $ Training $ Office space and equipment rentals $ Basic office furnishings (desks, chairs, filing cabinets, etc.) $ Books and reference materials $ Computer Hardware (under$5,000&not listed under equipment category) $ Computer Software $10,000 Miscellaneous other expenses (Separately itemize these expenses below) • Digital camera 250 • Trash & recycling bags (2 events) 1,100 • Gloves (2 events) 450 • Hand sanitizer(2 events) 200 • Paper towels (2 events) 500 • Trash pickers 3,000 • Canopies 300 • Megaphones 300 • First-aid kits 400 • Folding tables 260 • Folding chairs 240 • Educational items (2 events) 3,000 (hats,t-shirts,stickers,buttons,etc.with message to discourage illegal dumping and to encourage disposal of trash and debris properly) $ 14,500 TOTAL "other" expenses, equal to the amount entered on Line 8 of the budget summary. 5 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Attachment D. Special Provisions Article 01: Purpose of the Interlocal Agreement The purpose of this Interlocal Agreement is to implement the provisions of§361.014(b) of the Texas Health and Safety Code, regarding the distribution of solid waste fee revenue funds in support of local and regional solid waste projects consistent with the regional solid waste management plans adopted by the NCTCOG and Texas Commission on Environmental Quality (TCEQ). This Interlocal Agreement is to perform specific tasks identified by NCTCOG's Resource Conservation Council (RCC) among several top-ranked local project proposals during the FY2008 grant funding cycle. Article 02: Limitations and Reporting Requirements Pursuant to §391 of the Local Government Code, funds received under this Interlocal Agreement will be expended only subject to the limitations and reporting requirements similar to those set forth in this Article: • Audit and Reporting Requirements that the FUNDS RECIPIENT annually report to the Governor, §391.0095 of the Local Government Code, and 1 TAC §5.83 and §5.87, Governor's Office Regulations. • FUND RECIPIENT'S Indirect Costs must comply with §391.0115 of the Local Government Code, and 1 TAC §5.86, Governor's Office Regulations. • Restrictions on FUNDS RECIPIENT Travel Cost, §391.0115 of the Local Government Code, and 1 TAC §5.86, Governor's Office Regulations. • Restrictions on Use of Alcoholic Beverages, §391.0115 of the Local Government Code, and 1 TAC §5.86, Governor's Office Regulations. • Restrictions on Lobbying and Nepotism, §391.0116 of the Local Government Code, and 1 TAC §5.89, Governor's Office Regulations. • Salary Administration Provisions and Schedules and Position Classification Schedules, §391.0117 of the Local Government Code, and 1 TAC §5.85, Governor's Office Regulations. • General Limitations on Expenditures, §6.01 of SB 1, General Appropriations Act, 79th Legislative Session. Article 03. Financial Obligation The FUNDS RECIPIENT is responsible for ensuring that expenditure amounts remain within the total budget limits. The FUNDS RECIPIENT must maintain records and documentation materials consistent with the requirements of this Attachment D "Special Provisions," the Uniform Grant and Contract Management Act, Texas Government Code, §§783.001 et. seq., and the Uniform Grant Management Standards, 1 Texas Administrative Code (TAC), §§5.141 et. seq. (collectively, "UGMS"). The FUNDS RECIPIENT must also follow up on any problems identified through its financial monitoring program. In consideration of full and satisfactory performance hereunder, NCTCOG will be liable to the FUNDS RECIPIENT in an amount equal to the actual costs incurred by the FUNDS RECIPIENT in rendering such performance, subject to the following limitations: NCTCOG is not liable for expenditures made in violation of Attachment E, Article 24, which outlines supplemental funding standards as defined by the TCEQ. NCTCOG is not liable for 6 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project any costs incurred by FUNDS RECIPIENT in the performance of this Interlocal Agreement that have not been billed to NCTCOG within thirty (30) calendar days following termination of this Interlocal Agreement. NCTCOG is not liable to the FUNDS RECIPIENT for costs incurred or performance rendered by FUNDS RECIPIENT before commencement of this agreement or after termination of this Interlocal Agreement. Except as specifically authorized by NCTCOG in writing, NCTCOG is liable only for expenditures made in compliance with the cost principles and administrative requirements set forth in this Interlocal Agreement, stated guidelines and applicable rules and regulations. Failure on the part of the FUNDS RECIPIENT to comply with the conditions set forth in this Interlocal Agreement shall be the basis for termination of the Interlocal Agreement and/or the revocation of any unexpended or inappropriately expended funds. Article 04: Reimbursement Procedures All payments for approved project expenditures shall be on a cost reimbursement basis only. The NCTCOG reserves the right to withhold or deny payments of funds awarded under this Interlocal Agreement due to incomplete, incorrect, or inconsistent reports or tasks required under this Interlocal Agreement, until the FUNDS RECIPIENT satisfactorily completes, revises, or corrects such services or reports. Request for Reimbursement (Summary of Project Expenditures): For expenditures already incurred, the FUNDS RECIPIENT shall submit a request for reimbursement at least quarterly, but no more frequently than once per month, by the tenth (10th) calendar day following the end of each month for which expenditures are claimed. The FUNDS RECIPIENT must use the required Summary of Project Expenditures (Form PT-F2), with appropriate itemized lists (Forms PT-F2-A through PT-F2-E) submitted with an original signature. All requests for reimbursement shall provide sufficient documentation, including: • copy of purchase order(s), • copy of invoice(s), • check number and/or electronic transfer number under which payment was made, and • information concerning the costs incurred to enable the NCTCOG to ascertain the eligibility of a particular expenditure to enable subsequent audits. Specific guidelines and requirements are given later in this Attachment D for each category of allowed expenditures, in the Articles labeled "Personnel," "Supplies," "Equipment," "Travel," etc. The FUNDS RECIPIENT may account for expenses incurred and request reimbursement of outlays under a cash or accrual basis, as defined and authorized by the UGCMA. Under this Interlocal Agreement, an eligible reimbursement cost must have been incurred within the time period indicated on the Summary of Pass-Through Grant Expenditures (Form PT-F2); shall have been already paid; or incurred by the last day of the Interlocal Agreement period of performance. 7 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Payments: Upon review and approval of each Summary of Pass-Through Grant Expenditures, NCTCOG will make payment to FUNDS RECIPIENT, as soon as practicable. The Final Request for Reimbursement must be submitted at the end of the Interlocal Agreement period of performance and must include a Release of Claims. Article 05. Budget Category Adjustments The FUNDS RECIPIENT may expend funds in excess of those listed for a particular budget category within the approved budget without requiring a formal amendment to this Interlocal Agreement, if: The FUNDS RECIPIENT adheres to all other requirements of this Interlocal Agreement, concerning obtaining prior written authorization; • The cumulative dollar amount of all excess expenditures among direct budget categories is equal to or less than 5% of the total budget amount. • Sufficient funds are available in other budget categories to cover the excess expenditures. • The transfer will maintain or further the scope and objective of the project as funded by this Agreement. NCTCOG will make the final determination if a transfer furthers the scope and objective of a project. • The FUNDS RECIPIENT notifies the NCTCOG as soon as practical of the deviation from the budget categories. • Budget category adjustments/changes for Personnel/Salaries, Equipment, Contractual, Construction and Other expenditures must receive prior written authorization from the NCTCOG. In order to receive approval for a budget category adjustment, FUNDS RECIPIENT must complete and submit a REQUEST FOR BUDGET REVISION form. Article 06. Project Reporting Requirements The FUNDS RECIPIENT shall prepare and submit to the NCTCOG, a quarterly written progress report concerning performance under this Interlocal Agreement documenting the accomplishments and units of work performed under the Scope of Services of this Agreement. The quarterly "Summary/Results Report of Implementation Project" form must be submitted using the forms provided. The quarterly "Summary/Results Report of Implementation Project" form will be due to the NCTCOG on the days indicated under the Schedule for Reimbursement and Reporting in Attachment B. The FUNDS RECIPIENT'S Summary/Results Report of Implementation Project report shall contain adequate descriptions of all project activities performed in order to allow the NCTCOG to evaluate compliance with the provisions of this project. Performance information concerning timelines in meeting the schedule for required reports will be maintained by the NCTCOG and shared with members of the Resource Conservation Council (RCC). In particular, any legal research and related legal activities shall be clearly detailed in the progress reports in order to assure the NCTCOG that the activities are not prohibited under Attachment E, Article 24 of this Interlocal Agreement. The FUNDS RECIPIENT shall comply with any reasonable request by the NCTCOG for additional information on activities conducted in order for the NCTCOG to adequately monitor the FUNDS RECIPIENT'S progress in completing the requirements of and adhering to the provisions of this Interlocal Agreement. 8 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project A Final Report shall be provided in conjunction with the final request for payment under this Interlocal Agreement. In this Final Report, the FUNDS RECIPIENT shall certify, in writing, the satisfactory completion of all activities and deliverables required under this Interlocal Agreement. Reimbursement payments under this Interlocal Agreement may be withheld by the NCTCOG until such time as any past due progress reports are received. The Final Report shall consist of the same forms used for the Summary/Results Report of Implementation Project form and the supplemental detailed forms for this project's funding category. The Final Report shall include information on the progress during the last quarter of the project as well as cumulative information from the beginning of the project through its completion. The FUNDS RECIPIENT also agrees to provide NCTCOG one or more "Follow-up Results" Report(s) documenting the continued impact of this funded project beyond the end date of this agreement. The Follow-up Results Report(s) will be required on a schedule to be provided by NCTCOG, approximately one year after the end of the project funding cycle. The Follow-up Results Report form will be provided by NCTCOG to the FUNDS RECIPIENT later in the funding cycle. The FUNDS RECIPIENT agrees to provide, throughout the life of the project, additional reports (as requested by the NCTCOG) to document the project's continued results at the culmination of the project. Timeliness in completing reporting requirements will be monitored by the NCTCOG and reported to the RCC. If the FUNDS RECIPIENT'S is not able to submit a scheduled progress report on time, the FUNDS RECIPIENT must contact the NCTCOG Project Representative for a report extension due date prior to the original submittal date. If the FUNDS RECIPIENT fails to submit the Summary/Results Report of Implementation Project form to NCTCOG's Project Representative upon notice/reminder, this matter will be brought to the attention of NCTCOG's RCC for further resolution. Failure to comply with the requirements of this Article shall constitute a breach of this Interlocal Agreement. Article 07. Performance Measures The timeliness of meeting reporting requirements and completion of the original Work Program will be monitored by the NCTCOG and reported to the RCC. Performance on reporting requirement information will be considered as an evaluation criteria for future Requests for Projects. As such, the FUNDS RECIPIENT is cautioned to meet all of the reporting requirements as outlined in Attachment B of this Interlocal Agreement. Prior written notification must be provided to NCTCOG in the event that the FUNDS RECIPIENT is unable to comply with the reporting requirements. Article 08. Personnel In addition to the project funding reimbursement request, all outlays that fall within the "Personnel/Salaries" category of the budget shall be itemized by the FUNDS RECIPIENT on Form PT-F2-A. For Personnel/Salaries expenditures, the FUNDS RECIPIENT is expected to maintain signed time sheets that can serve to verify the total, overall hours of staff time directly billed to this Interlocal Agreement. Payments from funds provided under this Interlocal Agreement for accruals such as vacation, sick leave, severance pay, or other accruals are 9 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project allowed only for time during which the employee was employed and performing work under this Interlocal Agreement. The FUNDS RECIPIENT employee positions covered in this Interlocal Agreement are listed in Attachment B. The FUNDS RECIPIENT must notify and seek approval from NCTCOG for any changes in personnel whose salaries are funded under this Interlocal Agreement. Article 09. Travel Only the employees of the FUNDS RECIPIENT assigned to the project should receive reimbursement for travel expenses. All travel for which expenses are claimed must be in connection with the tasks and activities required under this Interlocal Agreement, and shall be in compliance with the State Travel Regulation and Restrictions on Travel Costs as outlined in §391.0115 of the Local Government Code. Except as provided for in this Interlocal Agreement as indicated under Attachment B of the program budget, the FUNDS RECIPIENT shall obtain prior written authorization from the NCTCOG for reimbursement from the travel expense budget category of any travel expenses for persons not employed by the FUNDS RECIPIENT, and for travel by any employee not included in Attachment B of the program budget. Out-of-state travel should not normally be allowed and will require prior written approval from NCTCOG and TCEQ, prior to the travel event. In order for travel expenses to be reimbursed under the conditions of this Interlocal Agreement, the FUNDS RECIPIENT shall comply with the State Travel Regulations as required by Section 33, Article IX, H.B. 1, and any Restrictions on Travel Costs as outlined in §391.0115 of the Local Government Code. Documentation should, at a minimum, be consistent with the State Travel Regulations and any Restrictions on Travel Cost. The purpose of the travel shall be documented and supported with any of the appropriate records, such as automobile mileage totals for the reporting period (gasoline receipts will not be accepted for privately owned vehicles), actual receipts for hotel accommodations, public transportation receipts, airline receipts, meal receipts, etc. The reimbursement request must include the itemization of travel expenses on Form PT-F2-A. The FUNDS RECIPIENT is not required to submit a daily or incidental mileage log as a part of Form PT-F2-A. However, mileage trip logs documenting amount of miles traveled per day or per trip, the FUNDS RECIPIENT must maintain destination and purpose of trip as part of the FUNDS RECIPIENT'S records. Such mileage logs must be made available upon request by the NCTCOG or the TCEQ. Article 10. Consumable Supplies Expenses shall be for non-construction related costs for goods and materials having a unit acquisition cost (including freight) of less than $1,000. Such expenditures shall generally relate to the routine purchase of office supplies (paper, pencils, and staplers) or other goods, which are consumed by the FUNDS RECIPIENT in a relatively short period of time, in the regular performance of the general activities funded under this Interlocal Agreement. FUNDS RECIPIENT is expected to conform to the appropriate bid process for purchases according to the FUNDS RECIPIENT'S own internal policies and procedures. Non-routine expenditures of goods and materials, not falling under the definition of Supplies, should be charged to the "Other" Expense Category. Supporting documentation shall include whatever is necessary to show that the work was performed and the expense incurred. Supporting documentation for reimbursement must include verification that the cost has been 10 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project paid by the FUNDS RECIPIENT, a copy of the purchase order (if issued) and a copy of the invoice. A request for reimbursement for supplies must include itemized expenses on Form PT- F2-D. Article 11. Equipment For the purposes of this Interlocal Agreement, equipment is defined as those items with a unit acquisition cost of$5,000 or greater. All equipment expenses are subject to prior approval by NCTCOG before purchase. Subject to the obligations and conditions set forth in this Interlocal Agreement, title to real property and equipment (together hereafter referred to in this Article as "property") acquired under this Interlocal Agreement by the FUNDS RECIPIENT will vest upon acquisition or construction. Subject to the provisions of this Interlocal Agreement and as otherwise provided by State statutes, property acquired or replaced under this Interlocal Agreement shall be used for the duration of its normally expected useful life to support the purposes of this Interlocal Agreement whether or not the original projects or programs continue to be supported by state funds. The FUNDS RECIPIENT shall not allow to a third party a security interest in any original or replacement property purchased or constructed with funds made available to the FUNDS RECIPIENT under this Interlocal Agreement. The use of property acquired under this Interlocal Agreement, both during the term of this Interlocal Agreement and for the useful life of the property or until compensation is provided to the TCEQ for the applicable percentage share of the fair market value of the property, shall be in compliance with §361.014(b) of the Texas Health & Safety Code Annotated, which directs that a project or service funded under this program must promote cooperation between public and private entities and may not be otherwise readily available or create a competitive advantage over a private industry that provides recycling or solid waste services. The FUNDS RECIPIENT may develop and use their own property management systems, which must conform to all applicable federal, state, and local laws, rules and regulations. If an adequate system for accounting for property owned by the FUNDS RECIPIENT is not in place or is not used properly, the Property Accounting System Manual issued by the State Comptroller of Public Accounts will be used as a guide for establishing such a system. The property management system used by the FUNDS RECIPIENT must meet the requirements set forth in this Section. Property records must be maintained that include a description of the property, a serial number or other identification number, the source of the property, who holds title, the acquisition date, and the cost of the property, percentage of state participation in the cost of the property, the location, use and condition of the property, and any ultimate disposition data including the date of disposal and sale price of the property. A physical inventory of all equipment acquired or replaced under this Interlocal Agreement shall be conducted no less frequently than once every two years and the results of such inventories reconciled with the appropriate property records. Property control procedures utilized by the FUNDS RECIPIENT shall include adequate safeguards to prevent loss, damage, or theft of the acquired property. Any loss, damage, or theft shall be investigated. The FUNDS RECIPIENT 11 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project shall develop and carry out a program of property maintenance as necessary to keep both originally acquired and any replaced property in good condition, and to utilize proper sales procedures to ensure the highest possible return, in the event such property is sold. Certain types of equipment are classified as "controlled assets" and are subject to annual revision. In accordance with the UGMS, the FUNDS RECIPIENT should contact the Texas Comptroller of Public Accounts' property accounting staff or review the Comptroller's state Property Accounting User Manual available on the Internet, for the most current listing. Firearms shall be maintained on the FUNDS RECIPIENT'S inventory system irrespective of cost, and the following equipment with costs between $500 and $5,000 shall be maintained on the inventory system: (1) stereo systems, (2) still and video cameras, (3) facsimile machines, (4) VCRs and VCR/TV combinations and (5) cellular and portable telephones. The FUNDS RECIPIENT may for the purpose of replacing property acquired under this Interlocal Agreement, either trade in or sell the property and use the proceeds of such trade-in or sale to offset the cost of acquiring needed replacement property. The FUNDS RECIPIENT agrees that if a determination is made that any property acquired with funds provided under this Interlocal Agreement with a current per-unit fair market value of $5,000 or more is no longer needed for the originally authorized purpose, the TCEQ has the right to require disposition of the property by the FUNDS RECIPIENT in accordance with the provisions of this Article. When during the useful life of property acquired with project funds under this Interlocal Agreement by the FUNDS RECIPIENT and with a current per-unit fair market value of$5,000 or more, the property is no longer needed for the originally authorized purpose, the FUNDS RECIPIENT agrees to request disposition instructions from the TCEQ. When property acquired by a FUNDS RECIPIENT with project funds provided by the TCEQ under this Interlocal Agreement is no longer needed for the originally authorized purpose, the FUNDS RECIPIENT agrees that this Interlocal Agreement will require the NCTCOG to request disposition instructions from the FUNDS RECIPIENT or, if the NCTCOG is no longer administering a Regional Solid Waste Implementation Project Program, the TCEQ. The NCTCOG shall, in turn, request authorization from the TCEQ to provide disposition instructions to the FUNDS RECIPIENT. Disposition instructions shall solicit, at a minimum, information on the source and amount of funds used in acquiring the property, the date acquired, the fair market value and how the value was determined (e.g., by appraisal, bids, etc.), and the proposed use of the proceeds. The assessment of whether to authorize the proposed disposition of the property must include a determination that the disposition plan will comply with the private industry provisions of§361.014(b) of the Texas Health Safety Code Annotated. In cases where the FUNDS RECIPIENT fails to take appropriate disposition actions, the TCEQ may direct the NCTCOG to take excess and disposition actions. The disposition instructions may provide for one of the alternatives as set forth in this Section. Retain title, sell, or otherwise disposed of with no obligation to compensate the TCEQ or, in the case of a FUNDS RECIPIENT. Retain title after compensating the TCEQ or, in the case of a implementation project funding recipient, the NCTCOG. If the NCTCOG is compensated by a FUNDS RECIPIENT for property acquired using funds provided under this Interlocal Agreement, the NCTCOG will in turn compensate the TCEQ or, upon authorization by the TCEQ, use those 12 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project funds for other projects or activities that support this or similar future programs conducted by the TCEQ. The amount due will be computed by applying the percentage of state-funded participation in the cost of the original purchase to the fair market value of the property. Sell the property and compensate the TCEQ or, in the case of project funding recipient, the NCTCOG. If the NCTCOG is compensated by a FUNDS RECIPIENT for property acquired using funds provided under this Interlocal Agreement, the NCTCOG will in turn compensate the TCEQ or, upon authorization by the TCEQ, use those funds for other projects or activities that support the goals of this or similar future programs conducted by the TCEQ. The amount due will be calculated by applying the TCEQ percentage of participation in the cost of the original purchase to the proceeds of the sale after deduction of any actual and reasonable selling and fixing-up expenses. If the project is still active, the net proceeds from sale may be offset against the original cost of the property. When the FUNDS RECIPIENT is directed to sell property, sales procedures shall be followed that provide for competition to the extent practicable and result in the highest possible return. Transfer title to the TCEQ or, in the case of an implementation project funds recipient, the NCTCOG, or to a third-party designated/approved by the TCEQ. If the FUNDS RECIPIENT participated financially in the original purchase of the property, the FUNDS RECIPIENT may be authorized payment from the receiving party of an amount calculated by applying the percentage of the participation in the original purchase of the property to the current fair market value of the property. Items of property with a current per-unit fair market value of less than $5,000 may be retained, sold or otherwise disposed of by the FUNDS RECIPIENT with no further obligation to the TCEQ. Methods used to determine per-unit fair market value must be documented, kept on file and made available to the TCEQ upon request. A request for reimbursement for equipment must include itemized expenses on Form PT-F2-B. Article 12. Contractual Expenses No contractual expenditures are eligible for reimbursement under this Interlocal Agreement, unless such contracts' scope of work has been approved ahead of time, in writing, by the NCTCOG. Any amendments to the FUNDS RECIPIENT'S subcontract authorization for reimbursement under this Interlocal Agreement, whether or not such subcontract required NCTCOG's pre-approval, which will result in or require substantive changes to any of the tasks required to be performed under this Interlocal Agreement, must be approved in writing by the NCTCOG. Examples of contractual expenses include professional (subcontracted) services. The FUNDS RECIPIENT is expected to conform to the appropriate bidding and contracting laws and regulations according to the FUNDS RECIPIENT'S own internal policies and procedures. In addition, the FUNDS RECIPIENT is required to maintain documentation that the costs incurred for contractual expenses (including subcontract expenses) were reasonable and necessary. Please note the specific guidance applicable to project restrictions, especially regarding projects that require a TCEQ permit or registration. All outlays that fall within the "Contractual" category of the budget shall be itemized by the FUNDS RECIPIENT on Form PT-F2-B, to accompany the Request for Reimbursement (Form PT-F2). In addition, the FUNDS RECIPIENT shall attach, for each item listed, legitimate 13 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project documentation that (1) further identifies the specific cost; (2) clearly identifies the vendor or subcontractor who provided the materials or services; and (3) confirms the reimbursable materials listed. Supporting documentation shall include a purchase order marked "received/paid" and an invoice similarly marked, plus a copy of the check under which payment for the expense was made. In the case of subcontractor services, the supporting documentation shall consist of a dated invoice marked "received/paid" showing the amount billed to the FUNDS RECIPIENT, indicating any "past due" amount from previous invoices and a copy of the check. Article 13. Construction Expenses budgeted under this category should be for costs related to the enhancement or building of permanent facilities. Examples include: facility design, site preparation and facility construction, including slabs, paving, awning, attendant shelters with sanitation facilities, fencing and lighting, containment berms, and electronic data-recording equipment. The FUNDS RECIPIENT shall obtain and pay for all construction permits and licenses. The FUND RECIPIENT shall also pay all charges of utility owners for connections to the work and for charges associated with capital costs related thereto, such as plant investment fees. The FUNDS RECIPIENT is expected to conform to the appropriate bidding process according to the FUNDS RECIPIENT'S own internal policies and procedures. In addition, the FUNDS RECIPIENT is required to maintain documentation to support that the cost incurred were reasonable and necessary. Appropriate costs that may be included are: a. The costs of planning the project. b. The cost of materials and labor connected to the construction project. c. The cost of equipment attached to the permanent structure; and d. Any subcontracts (including contracts for services) performed as part of the construction. All outlays that fall within the "Construction" category of the budget shall be itemized by the FUNDS RECIPIENT on Form PT-F2-C, to accompany the Request for Reimbursement (Form PT-F2). In addition, the FUNDS RECIPIENT shall attach, for each item listed, legitimate supporting documentation that (1) further identifies the specific cost; (2) clearly identifies the vendor or subcontractor who provided the materials or services; and (3) confirms the reimbursable materials listed. The supporting documentation shall include a copy of the purchase order marked "received/paid", and an invoice similarly marked plus a copy of the check. In the case of subcontractor services, the supporting documentation shall consist of a dated invoice showing the amount billed to the FUNDS RECIPIENT and any "past due" amount from previous invoices marked "received/paid" indicating the check number. In addition, the FUNDS RECIPIENT is subject to all the requirements related to Title to Equipment and Construction Facilities, as indicated in Attachment D, Article 11. Article 14. Other Expenses No expenses under the "Other" budget category, including computer hardware or software purchases not included under the "Equipment" budget category, shall be eligible for reimbursement under this Interlocal Agreement, unless approved ahead of time, in writing, by the NCTCOG. 14 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project The "Other" expenses as identified in Attachment C of the Project Budget are allowed. The restrictions set forth in the Uniform Grant and Contract Management Standards apply. All expenses budgeted under this "Other" category shall be itemized by the project funds recipient when requesting reimbursement. Some expenses that may be appropriate include: A Postage/delivery g. Office Space b. Telephone/FAX h. Basic Office Furnishings c. Utilities i. Legal Costs d. Printing/Reproduction j. Vehicle Maintenance e. Advertising/Public notices k. Any others f. Signage The expenses under this budget category must receive NCTCOG's written approval prior to purchase. Again, for these "other" expenditures, documentation for reimbursement must show that the expenses were incurred (a copy of the check), and shall include purchase orders if issued and invoices, or receipts marked "received/paid." Any Request for Reimbursement must include an itemization of the expenses, using Form PT-F2-D. Article 15. Indirect Expenses Indirect costs rates under this Interlocal Agreement shall comply with all provisions of §391.0115 of the Texas Local Government Code relating to the restrictions on commission costs, and the FUNDS RECIPIENT shall advise the NCTCOG in writing in the event such compliance will necessitate a reduction or other change to the indirect cost rate(s) set forth in the budget identified under Attachment B. The Indirect Cost Rate(s) included under Attachment B shall remain in effect subject to formal approval by either a Federal Cognizant Agency, a State Coordinating Agency based on a recent audit performed by an independent auditor, or another funding entity, that specifically examines and reports the indirect cost rate for the FUNDS RECIPIENT accounting period(s) covered under this Interlocal Agreement. The FUNDS RECIPIENT agrees to reimburse the NCTCOG any overpayments received as a result of any final audit finding. In the event that the FUNDS RECIPIENT'S Federal Cognizant Agency, or State Coordinating Agency approves, prior to the termination date of this Agreement, determines a final audited indirect cost rate which is different from the indirect rate set forth in this Interlocal Agreement, the FUNDS RECIPIENT and the NCTCOG may negotiate a new contract budget and incorporate such into this Interlocal Agreement by way of a contract change. Nothing in this section, or the results of any indirect cost audit or final indirect cost rate approval, shall cause the NCTCOG to owe the FUNDS RECIPIENT more than the FUNDS RECIPIENT amount shown in budget set forth in Attachment B. Article 16. Matching Services/Cash Contributions In reference to the performance of the FUNDS RECIPIENT under this Interlocal Agreement, Matching Services shall be for staff or services directly involved with the work related activities as defined in the approved work plan. A cash contribution is a monetary contribution to the project budget provided by the FUNDS RECIPIENT. 15 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project In-kind Services and Cash Contributions as defined in the approved Project Budget, will be tracked separately with the understanding that in the event that such services and/or contributions are not provided during the term of this Interlocal Agreement, the NCTCOG may terminate the Interlocal Agreement for non-compliance. The FUNDS RECIPIENT shall track In-kind Services and Cash Contributions separately from project funding and shall itemize those costs on the required Form PT-F2-E, which shall be submitted with each Request for Reimbursement (Form PT-F2). Article 17. Project Contacts The NCTCOG hereby designates the person in Article 17of this Attachment as the individual authorized to give direction to the FUNDS RECIPIENT for the purposes of this Interlocal Agreement. The NCTCOG Project Representative shall not be deemed to have authority to bind the NCTCOG in contract unless the NCTCOG's Executive Director has delegated that person to have such authority. The FUNDS RECIPIENT shall identify as its Project Representative, the person authorized to receive direction from the NCTCOG, to manage the work being performed, and to act on behalf of the FUNDS RECIPIENT. The FUNDS RECIPIENT'S Project Representative shall not be deemed to have authority to bind the FUNDS RECIPIENT in contract unless the FUNDS RECIPIENT, in writing, specifically specifies such authority to the NCTCOG. Either party may change its Project Representative as the need arises. In addition, the Project Representative of either party may further delegate his or her authority if necessary, including any delegation of authority to a new Project Representative. The party making any change in the Project Representative shall provide written notice of the change to the other party. The NCTCOG hereby designates the individual below as the person to give direction to the FUNDS RECIPIENT as Project Representative of NCTCOG: Kathleen Graham, Senior Planner P. O. Box 5888; 616 Six Flags Drive Arlington, Texas 76005-5888 TEL (817) 695-9217 FAX (817) 695-9191 Email: kgraham@nctcog.org The FUNDS RECIPIENT hereby designates the individual named below as the person authorized to receive direction from the NCTCOG, to manage the work being performed, and to act on behalf of the FUNDS RECIPIENT as the Project Representative: Mike Sferra City of Wylie Public Services Director 2000 Highway 78 North Wylie, TX 75098 TEL: (972) 442-8108 FAX (972) 442-5461 Email: mike.sferraawylietexas.gov The FUNDS RECIPIENT designates the following location for record access and review: 2000 Highway 78 North Wylie, TX 16 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Attachment E. General Provisions Article 01. Eligible Project Funding Recipients Only those local and regional political subdivisions located within the State of Texas as listed below are eligible to receive funding from the NCTCOG for an implementation project: • Cities; • Counties; • Public schools through their school districts and school districts (does not include universities or post secondary educational institutions); • Other general and special law districts created in accordance with state law, and with the authority and responsibility for water quality protection or municipal solid waste management, to include river authorities; and, • Councils of Government. Local and regional political subdivisions that are subject to the payment of state solid waste disposal fees and whose fee payments are in arrears, as determined by the TCEQ, are not eligible to receive implementation project funding from the NCTCOG. The TCEQ shall provide, on a quarterly basis, the NCTCOG a list of entities for which fee payments are in arrears. The NCTCOG shall allow a potential implementation project applicant that is listed as being in arrears in its fee payments the opportunity to provide documentation of payment of the fees owed to the state. If the potential applicant provides the NCTCOG with documentation of payment of the fees, such as a canceled check or receipt from the state, or waiver of the fee in question, the NCTCOG may consider that applicant to be eligible to receive implementation project funding under this Interlocal Agreement. Article 02. Responsibilities of the FUNDS RECIPIENT The FUNDS RECIPIENT shall be responsible for the professional quality, technical accuracy, timely completion and the coordination of all services and other work furnished by the FUNDS RECIPIENT under this Interlocal Agreement. The FUNDS RECIPIENT shall perform such services as may be necessary to accomplish the work required under this Interlocal Agreement, in accordance with the FUNDING AGENCY and contractual requirements and any and all applicable law. The NCTCOG may require the FUNDS RECIPIENT to correct and revise any errors, omissions or other deficiencies in any reports or services provided by the FUNDS RECIPIENT to ensure that such reports and services fulfill the purposes of this Interlocal Agreement. The FUNDS RECIPIENT shall make the required corrections or revisions without additional cost to the NCTCOG. Neither the NCTCOG's review, approval or acceptance of, nor payment for any of the services shall be construed to operate as a waiver of any rights under this Interlocal Agreement or of any cause of action arising out of the performance of this Interlocal Agreement; and the FUNDS RECIPIENT shall be, and remain liable in accordance with applicable law for all damages to the NCTCOG, including reasonable attorney's fees and court costs caused by the FUNDS RECIPIENT'S negligent performance of any of the services furnished under this Interlocal Agreement. 17 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project The obligations of the FUNDS RECIPIENT under this Article are in addition to the FUNDS RECIPIENT'S other express or implied assurances under this Interlocal Agreement or applicable law. Article 03. Oversight of Solid Waste Implementation Project Program NCTCOG staff, through its designated Project Representative, is responsible for managing the solid waste implementation project program, for negotiating the work scope of services, the budget, and the term of the Interlocal Agreement. NCTCOG staff will review and authorize Requests for Reimbursement; review progress reports and will undertake site visits. In addition, NCTCOG's Resource Conservation Council (RCC), the regional solid waste advisory committee under the Executive Board, will oversee the comprehensive implementation project program assure compliance with state requirements and achievement of regional objectives. Other oversight duties of the RCC will include arbitration of projects as necessary and review and approval of key contract amendments. Article 04. Standards for Implementation Projects The following standards and limitations apply to all implementation project activities funded under this Agreement. The FUNDS RECIPIENT is responsible for ensuring compliance of these standards in the following project categories. Local Enforcement. This category consists of projects that contribute to the prevention of illegal dumping of municipal solid waste, including liquid wastes. Under this category, funding recipients may investigate illegal dumping problems; enforce laws and regulations pertaining to the illegal dumping of municipal solid waste, including liquid waste; establish a program to monitor the collection and transport of municipal liquid wastes, through administration of a manifesting system; and educate the public on illegal dumping laws and regulations. Examples of categories eligible for funding include equipment such as vehicles, communications equipment, and surveillance equipment as well as program administration expenses, such as salaries/fringe benefits, office supplies and equipment, travel, training, and vehicle maintenance. Also eligible for funding is protective gear and supplies and educational materials. Funding limitations specific to this category are set forth in this Section. Funds may not be provided to any law enforcement agency regulated by Chapter 415, Texas Government Code, unless: (a) the law enforcement agency is in compliance with all rules developed by the Commission on Law Enforcement Standards and Education pursuant to Chapter 415, Texas Government Code; or (b) the Commission on Law Enforcement Officer Standards and Education certifies that the requesting agency is in the process of achieving compliance with such rules. When funding is to be provided for salaries of local enforcement officers, the funds recipient must certify that at least one of the officers has attended or will attend within the term of the funding the TCEQ's Criminal Environmental Law Enforcement Training or equivalent training. Local enforcement vehicles and related enforcement equipment purchased entirely with funds provided under this Agreement may only be used for activities to enforce laws and regulations pertaining to littering and illegal dumping, and may not be used for other code enforcement or law enforcement activities. Vehicles and equipment that are only partially funded must be 18 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project dedicated for use in local enforcement activities for a percentage of time equal to the proportion of the purchase expense funded. Entities receiving funds for a local enforcement officer, enforcement vehicles, and/or related equipment for use by an enforcement officer, must investigate major illegal dumping problems, on both public and private property, in addition to investigating general litter problems on public property. Entities receiving funds to conduct a local enforcement program must cooperate with the TCEQ's regional investigative staff in identifying and investigating illegal dumping problems. Lack of cooperation with the TCEQ staff may constitute a reason to withhold future funding to that entity for local enforcement activities. Funds may not be used for investigation and enforcement activities related to the illegal dumping of industrial and/or hazardous waste. Instances where industrial or hazardous waste is discovered at a site do not preclude the investigation of that site, so long as the intent and focus of the investigation and enforcement activities are on the illegal dumping of municipal solid waste. Source Reduction and Recycling. This category includes projects that provide a direct and measurable effect on reducing the amount of municipal solid waste going into landfills, by diverting various materials from the municipal solid waste stream for reuse or recycling, or by reducing waste generation at the source. Funded activities may include: facility design and construction; equipment, such as chippers, balers, crushers, recycling and composting containers, trailers, forklifts, and trucks; program administration expenses, such as salaries/fringe benefits, office supplies and equipment, travel, and training; and, educational materials; printing and advertisement expenses. Funding limitations specific to this category are set forth in this Section. Programs and projects funded under this category shall have as a goal and be designed to provide a measurable effect on reducing the amount of municipal solid waste being disposed of in landfills. Any program or project funded with the intent of demonstrating the use of products made from recycled and/or reused materials shall have as its primary purpose the education and training of residents, governmental officials, private entities, and others to encourage a market for using these materials. Projects funded under this Interlocal Agreement may not include programs dedicated to the collection and/or recycling of automotive wastes, to include scrap tires, used oil, oil filters, antifreeze, or lead-acid batteries. This restriction includes the purchase of equipment to shred or split scrap tires. However, this restriction does not apply to the ancillary collection of these materials as part of a comprehensive Household Hazardous Waste Collection facility or program. Local Solid Waste Management Plans. This category includes projects to develop and have adopted by the TCEQ a local solid waste management plan, in accordance with Subchapter D, §363 of the Texas Health & Safety Code, as implemented by TCEQ rule, 30 TAC Chapter 330, Subchapter 0, or to amend an existing local solid waste management plan that has been adopted by the TCEQ. Funding limitations applicable to this category are set forth in this Section. The local planning area must be consistent with one or a combination of local solid 19 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project waste management planning sub-regions identified by the NCTCOG in the regional solid waste management plan. Funding provided under this category may not be used for final engineering work, designs, or construction plans. At least one year should be allowed for the completion and adoption of the local plan. Citizens' Collection Stations and "Small" Registered Transfer Stations. This category includes projects to construct and equip citizens' collection stations, as these facilities are defined under 30 TAC §330.2, TCEQ Regulations. Municipal Solid Waste Transfer Stations that qualify for registration under§330.4(d)(1) - (3) or§330.4(r) of the TCEQ Regulations may also be funded. The costs associated with operating a citizens' collection station once it is completed may not be funded. The design and construction of small municipal solid waste and liquid waste transfer stations that qualify for registration under§330.4(d) or §330.4(r), TCEQ Regulations, may be funded. Other permitted or registered transfer stations may not be funded. A municipal solid waste transfer facility may be eligible for a registration if it serves a municipality with a population of less than 50,000, or a county with a population of less than 85,000, or is used in the transfer of 125 tons or less of municipal solid waste per day. A liquid waste transfer station may qualify for a registration if it will receive less than 32,000 gallons or less per day. The costs associated with operating a transfer station once it is completed may not be funded. Funds may be used for projects funded for these types of facilities shall include consideration of an integrated approach to solid waste management, to include providing recycling services at the site, if appropriate to the management system in place. Funds may also be used for periodic community collection events, held not more frequently than four times per year, to provide for collection of residential waste materials for which there is not a readily-available collection alternative, such as large and bulky items that are not picked up under the regular collection system. Transfer stations that qualify for a registration solely due to their location within a permitted municipal solid waste facility, under§330.4(d)(4), may not be funded. Municipal solid waste transfer stations that qualify for a registration only under the provisions of §330.4(q) of the Municipal Solid Waste regulations allowing for registration of facilities that recover 10% or more of the waste stream for reuse or recycling, but not also under the provisions of§330.4(d) of the Municipal Solid Waste regulations, may not be funded. However, those components of a transfer facility dedicated to the reuse or recycling activities may qualify for funding under the source reduction and recycling grant category. Municipal Solid Waste transfer stations that are used only in the transfer of grease trap waste, grit trap waste, septage, or other similar liquid waste, and which qualify for registration under §330.4(r) of the Municipal Solid Waste regulations may be funded under this category. Specifically, §330.4(r) of the regulations allows for registration of a liquid waste transfer facility that will receive 32,000 gallons a day or less. Only the costs necessary to construct the facility and/or purchase and install necessary equipment may be funded. Costs associated with operating a facility once it is completed may not be funded. Transfer stations that require a registration must have already received that registration from the TCEQ before a grant may be awarded. 20 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Household Hazardous Waste Management. This category includes projects that provide a means for the collection, recycling or reuse, and/or proper disposal of household hazardous waste, including household chemicals and other materials. Projects may include collection events, consolidation and transportation costs associated with collection activities, recycling and/or reuse of materials; proper disposal of materials; permanent collection facilities, and education and public awareness programs. Funds may also be used to support Texas Country Cleanup events, conducted in conjunction with the TCEQ. Funding limitations specific to this category are set forth in this Section. Projects under this category must be coordinated with the TCEQ HHW program staff, and all applicable laws, regulations, guidelines, and reporting requirements must be followed. Funds provided under this Interlocal Agreement may not be used for programs and activities related to the collection and management of commercial, industrial, and hazardous wastes. Funds provided under this Interlocal Agreement may not be used for programs and activities solely related to the management of scrap tires, used oil, oil filters, antifreeze, lead-acid batteries, or other special wastes excluded from disposal in municipal solid waste landfills. However, collection of these materials may be included as part of a comprehensive Household Hazardous Waste collection and management program, so long as that is not the sole intent of the program. Technical Studies. This category includes projects which include the collection of pertinent data, analysis of issues and needs, evaluation of alternative solutions, public input, and recommended actions, to assist in making solid waste management decisions at the local level. Projects under this category may also include research and investigations to determine the location and boundaries of closed municipal solid waste landfills in support of the regional solid waste landfill inventory program. Funding limitations specific to this category are set forth in this Section. All technical studies shall be consistent with the adopted regional solid waste management plan, and prepared in accordance with the Content and Format Guidelines provided by the TCEQ. Funding may not be used for final engineering work, designs, or construction plans. A landfill or landfilling may be the topic of a technical study only if it is part of an overall, integrated solid waste management system. However, this restriction does not apply to research related to an inventory of closed municipal solid waste landfill sites. Litter/Illegal Dumping Cleanups and Community Cleanup Events. This category includes ongoing and periodic activities to clean up litter and illegal dumping of municipal solid waste, to include lake and river cleanup events conducted in conjunction with the TCEQ's and Keep Texas Beautiful's Lake and River Cleanup Program. Projects included under this category may include general community cleanup events designed to involve the residents and community in periodic cleanup of litter and trash within the community as well as waste removal; disposal or recycling of the removed materials; fencing and barriers; and signage. Placement of trash collection receptacles in public areas with chronic littering problems is also included. Reuse or recycling options should be considered for managing the materials collected, to the extent feasible. Funding limitations specific to this category are set forth in this Section. 21 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Lake and River Cleanup events must be coordinated with the TCEQ's cleanup program staff and/or the Keep Texas Beautiful organization, which is contracted by the TCEQ to administer the Lake and River Cleanup program. Projects funded to clean up litter or illegal dumping on private property must be conducted through a local government sponsor. Funds may not be provided directly to a private landowner or other private responsible party for cleanup expenses. The local government sponsor must either contract for and oversee the cleanup work, or conduct the work with its own employees and equipment. The costs for cleanup of hazardous waste that may be found at a municipal solid waste site must be funded from other sources, unless a waiver from this restriction is granted by the TCEQ to deal with immediate threats to human health or the environment. The costs for cleanup of Class 1 non-hazardous industrial waste that may be found at a municipal solid waste site must be funded from other sources, unless a waiver from this restriction is granted by the TCEQ to deal with immediate threats to human health or the environment. The cleanup of Class 2 and 3 non-hazardous industrial waste that may be found at a municipal solid waste site may be funded in conjunction with the cleanup of the municipal solid waste found at a site. All notification, assessment, and cleanup requirements pertaining to the release of wastes or other chemicals of concern, as required under federal, state, and local laws and regulations, including 30 TAC Chapter 330, TCEQ's MSW Regulations, and 30 TAC Chapter 350, TCEQ's Risk Reduction Regulations, must be complied with as part of any activities funded under this Interlocal Agreement. All materials cleaned up using grant funds must be properly disposed of or otherwise properly managed in accordance with all applicable laws and regulations. To the extent feasible, it is recommended that materials removed from a site be reused or recycled. For projects to clean up large amounts of materials, the NCTCOG may consider withholding at least ten (10) percent of the reimbursements under this Interlocal Agreement, until documentation is provided that the cleanup work has been completed and the materials properly managed. Periodic community collection events, to provide for collection and proper disposal of non- recyclable residential waste materials for which there is not a readily available collection alternative, are eligible. This type of project may not include regular solid waste collection activities, such as weekly waste collection. Funded collection events may be held no more frequently than four times per year, and must only be intended to provide residents an opportunity to dispose of hard-to-collect materials, such as large and bulky items that are not picked up under the regular collection system, and might otherwise be illegally dumped by residents. Funding limitations specific to this category are set forth in this Section. Educational and Training Projects. Educational components are encouraged under the other categories in order to better ensure public participation in projects; those educational components should be funded as part of those projects and not separately under this category. This category may be used for"stand-alone" educational projects dealing with a variety of solid waste management topics. This category may include funding for information-exchange activities, subject to the other limitations on travel expenses. Funding limitations specific to this category are set forth in this Section. 22 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Programs and projects funded under this category shall be primarily related to issues involved in the management of municipal solid waste. Education or training events that cover a broader range of environmental issues may be funded on a partial basis appropriate to the extent to which municipal solid waste issues are covered. Article 05. Monitoring Requirements NCTCOG shall conduct periodic analysis of FUNDS RECIPIENT'S performance under this Interlocal Agreement for the purpose of assessing the degree to which contractual objectives and performance standards, as identified in this Interlocal Agreement or as subsequently amended, are achieved by the FUNDS RECIPIENT. NCTCOG may periodically monitor the FUNDS RECIPIENT for: • The degree of compliance with the terms of this Interlocal Agreement, including compliance with applicable rules, regulations, and promulgations referenced herein; • The administrative and operational effectiveness of the project; and, • NCTCOG Project Representative must visit the FUNDS RECIPIENT facility and certify in writing that equipment is on site in order for FUNDS RECIPIENT to receive reimbursement for equipment expenditures. Article 06. Compliance with Applicable Laws The FUNDS RECIPIENT shall, except as otherwise provided in this Interlocal Agreement, be responsible for giving notices, obtaining any necessary licenses and permits, complying with all provisions of this Interlocal Agreement, including, but not limited to, all applicable State, Municipal and Local laws, ordinances, rules, regulations and order of any public authority, in connection with the work required by this Interlocal Agreement. The main governing standards include, but may not be limited to, the following: • §361.014. TEX. HEALTH and SAFETY CODE ANN. (as amended by H.B. 3072, 74th Texas Legislature); • §330.569 of the TCEQ Municipal Solid Waste Regulations (30 TAC Chapter 330); and • The Uniform Grant and Contract Management Act, TEX. GOV'T CODE ANN., §§783.001 et. Seq., and the Uniform Grant and Contract Management Standards, 1 Texas Administrative Code (TAC), §§5.141 et. seq. (collectively, "UGCMA"). If the FUNDS RECIPIENT or NCTCOG observes that this Interlocal Agreement is at variance in any respect, the observing party shall promptly notify the other party in writing, and any necessary changes shall be adjusted by appropriate Interlocal Agreement modification. Article 07. Uniform Grant and Contract Management Act The provisions of the Uniform Grant and Contract Management Act ("UGCMA") apply to this Interlocal Agreement to the extent required by law. Article 08. Accounting Systems The FUNDS RECIPIENT shall have an accounting system that accounts for costs in accordance with Generally Accepted Accounting Standards or Principles, and complies with applicable State law, regulations, and policies relating to accounting standards or principles. The FUNDS RECIPIENT must account for costs in a manner consistent with such standards or principles. 23 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Article 09. Release of Claims Upon satisfactory completion of the work performed hereunder and prior to final payment under this Agreement for such work, or prior to settlement upon termination of this Agreement, and as a condition to final payment/settlement, the FUNDS RECIPIENT shall execute and deliver to the NCTCOG a release of all claims against the NCTCOG arising under or by virtue of this Interlocal Agreement. Article 10. Access/Examination of Records The FUNDS RECIPIENT shall maintain and make available for review, inspection and/or audit books, records, documents, and other evidence reasonably pertinent to performance on all work under this Interlocal Agreement, including but not limited to, negotiated changes or amendments thereto, in accordance with accepted professional practice, appropriate accounting procedures and practices at the FUNDS RECIPIENT's office. During the conduct of any such review, audit or inspection, the FUNDS' RECIPIENT'S books, records, and other pertinent documents may, upon prior conference with the FUNDS RECIPIENT, be copied by NCTCOG. All such information shall be handled by the parties in accordance with good business ethics. The FUNDS RECIPIENT shall provide proper facilities for such access and inspection. The FUNDS RECIPIENT shall also maintain and make available at its designated location the financial information and data used by the FUNDS RECIPIENT or its designee (including independent financial auditors) in the preparation and support of any cost submission or cost (direct and indirect), price or profit analysis for this Interlocal Agreement or any negotiated Sub- Agreement or change order, and a copy of the cost summary shall be submitted to the NCTCOG. The NCTCOG, or any of its duly authorized auditors or representatives, shall have access to such books, records, documents, and other evidence for the purpose of review, audit or inspection. The records to be thus maintained and retained by FUNDS RECIPIENT shall include (without limitation): • personnel and payroll records, including social security numbers and labor classifications, accounting for total time distribution of FUNDS RECIPIENT'S employees working full or part time on the work, as well as canceled payroll checks or signed receipts for payroll payments in cash; • invoices for purchases, receiving and issuing documents, and all other unit inventory records for FUNDS RECIPIENT'S stocks or capital items; and • paid invoices and canceled checks for materials purchased, subcontractor costs, and/or and any other third parties' charges. Records under section (a) above shall be maintained and made available during the entire period of performance of this Interlocal Agreement and until three (3) years from the date of the final NCTCOG payment for the project. In addition, those records which relate to any dispute, litigation, or the settlement of claims arising out of such performance, or costs or items to which an audit exception has been taken, shall be maintained and made available until completion of such action and resolution of all issues which arise from it, or until the end of the three-year period, whichever is later. 24 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Access to records is not limited to the required retention periods. The authorized representatives designated in Attachment D, Article 17 of this Interlocal Agreement shall have access to records at any reasonable time for as long as the records are maintained. Access to records applies to financial records pertaining to all subagreements and related changes, to the extent the records reasonably pertain to subagreement performance; if there is any indication that fraud, gross abuse or corrupt practices may be involved; or if the subagreement is terminated for default or for convenience. The NCTCOG reserves the right to require reimbursement of any over-payments determined as a result of any audit or inspection of records kept by the FUNDS RECIPIENT on work performed under this Interlocal Agreement. Article 11. Audits The FUNDS RECIPIENT shall provide assurances that, if funded, the FUNDS RECIPIENT will comply with the Single Audit provisions of the Uniform Grant Management Standards (UGMS), prepared by the Governor's Office under§§783.001 et.seq, Texas Government Code, and 1 TAC §§5.141 et.seq, Governor's Office Regulations. Provisions of the Single Audit Circular in Part 1V of the UGMS apply to all recipients of funding under this grant. Article 12. Insurance and Liability The FUNDS RECIPIENT understands and agrees that it shall be liable to repay and shall repay upon demand to NCTCOG any amounts determined by NCTCOG, its independent auditors, or any agency of state government any funds which have been paid in violation of the terms of this Interlocal Agreement. Article 13. Hazardous Substances, Waste Disposal and Manifests The FUNDS RECIPIENT shall comply with all applicable laws and regulations, including but not limited to, those relating to hazardous substances, waste disposal, and manifests. The FUNDS RECIPIENT shall ensure that the same requirement will be incorporated into sub-agreements and/or subcontracts awarded under the provisions of this Interlocal Agreement. Article 14. Conflicts of Interest No employee, officer or agent of the FUNDS RECIPIENT shall participate in selection, or in the award or administration of a contract supported by State funds, if a conflict of interest, real or apparent, would be involved: • The employee, officer or agent. • Any member of his immediate family. • His or her partner. • An organization which employs, or is about to employ any of the above. Such a conflict arises when any of the above has a financial or other interest in the subcontractor selected. The officers, employees or agents will neither solicit nor accept gratuities, favors or anything of monetary value from contractors, potential contractors, or parties to subcontractors. To the extent permitted by State or local law or regulations, such standards of conduct will provide for penalties, sanctions, or other disciplinary actions for violation of such standards by the FUNDS RECIPIENT officers, employees, or agents, or by contractors or their agents as specified in the Uniform Grant Management Standards. The FUNDS RECIPIENT shall notify the NCTCOG immediately upon discovery of any potential or 25 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project actual conflict of interest. The FUNDS RECIPIENT agrees that the NCTCOG and the TCEQ have sole discretion to determine whether a conflict of interest exists and that the NCTCOG may terminate this Interlocal Agreement at any time, on the grounds of actual or apparent conflict of interest. The FUNDS RECIPIENT shall notify the NCTCOG in writing of any actual, apparent, or potential conflict of interest regarding any individual performing or having access to information regarding the services in question. As applicable, the notification shall include both organizational conflicts of interest and personal conflicts of interest. Any individual with a personal conflict of interest shall be disqualified from taking part in any way in the performance of any services that created the conflict of interest. Article 15. Survival of Obligations All representations, indemnification's, warranties and guarantees made in, required by or given in accordance with this Interlocal Agreement, as well as all continuing obligations indicated in this agreement, will survive final payment, completion and acceptance of the service and termination or completion of the Interlocal Agreement. Article 16. Contractual Costs The FUNDS RECIPIENT'S contractual costs must comply with allowable cost requirements. FUND RECIPIENTS who are governmental entities must engage in contractor selection on a competitive basis in accordance with their established policies. If the FUNDS RECIPIENT has no competitive procurement policy, the FUNDS RECIPIENT must generally select contractors by evaluation and comparison of price, quality of goods or services and past performance. All sub-agreements/subcontracts awarded by the FUNDS RECIPIENT under this Interlocal Agreement shall be in accordance with the Uniform Grant Management Standards adopted by the Governor's Office of Budget and Planning. Article 17. Changes to Interlocal Agreement A Major Change will include one or more of the following: (1) An increase or decrease in the amount of compensation to the FUNDS RECIPIENT; (2) An extension or shortening of the term of the Agreement; (3) A significant change in the scope of the Agreement or the services to be performed; or (4) Any action that is beyond the authority of the Executive Director of the NCTCOG. Implementation of a Major Change must be preceded by a formal written amendment to the agreement. The amendment must contain a description of the proposed change and shall be signed by persons authorized to bind each party in contract. Any amendment that exceeds the contractual authority of the Executive Director of NCTCOG also requires the consent, at Agenda, of a majority of the NCTCOG Executive Board. Any proposed change that is not a Major Change may qualify as a Minor Change. A Minor Change shall require the written agreement of both Project Representatives but shall not require a formal amendment to the contract. A copy of the authorization must be retained in the appropriate file of both the FUNDS RECIPIENT and the NCTCOG. If the FUNDS RECIPIENT requests a Minor Change and the Project Representative does not approve the request as a Minor Change, then the change shall be deemed a Major Change and 26 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project the FUNDS RECIPIENT may only obtain authorization to proceed by a formal written amendment to this Interlocal Agreement. Article 18. Severability All parties agree that should any provision of this Interlocal Agreement be determined to be invalid or unenforceable, such determination shall not affect any other term of this Interlocal Agreement, which shall continue in full force and effect. Article 19. Intellectual Property For the purpose of this Article, "intellectual property" refers to: • Any discovery or invention for which patent rights may be acquired; • Any photographs, graphic designs, plans, drawings, specifications, computer programs, technical reports, operating manuals, or other copyrightable materials; and; • Any other materials for which intellectual property rights may be obtained. If the FUNDS RECIPIENT first conceives of, actually puts into practice, discovers, invents, or produces any intellectual property during the course of its work under this Agreement, it shall report that fact to the NCTCOG. The FUNDS RECIPIENT may obtain governmental protection for rights in the intellectual property. However, the NCTCOG hereby reserves a nonexclusive, royalty-free and irrevocable license to use, publish, or reproduce the intellectual property for sale or otherwise, and to authorize others to do so. The NCTCOG also reserves a royalty-free nonexclusive, and irrevocable license to use, publish, or reproduce for sale or otherwise, and to authorize others to use, publish, or reproduce, for sale or otherwise (to the extent consistent with the rights of third parties) any intellectual property for which the FUNDS RECIPIENT obtains rights with funds received under this Interlocal Agreement. In performing work under this Interlocal Agreement, the FUNDS RECIPIENT shall comply with all laws, rules and regulations relating to intellectual property, and shall not infringe on any third party's intellectual property rights. It shall hold the NCTCOG harmless for, and to the extent permitted by the laws and Constitution of the State of Texas, defend and indemnify the NCTCOG against, any claims for infringement related to its work under this Agreement. The FUNDS RECIPIENT expressly acknowledges that persons with visual impairments may not expend state funds in connection with the purchase of an automated information system unless that system meets certain statutory requirements under§2157.005 of the Government Code, relating to accessibility. Accordingly, the FUNDS RECIPIENT represents and warrants to the NCTCOG that the technology provided to the NCTCOG for purchase is capable, either by virtue of features included within the technology or because it is readily adaptable by use with other technology, of(1) providing equivalent access for effective use by both visual and nonvisual means; (2) presenting information, including prompts used for interactive communications, in formats intended for non-visual use; and (3) being integrated into networks for obtaining, retrieving, and disseminating information used by individuals who are not blind or visually impaired. For purposes of this paragraph, the phrase "equivalent access" means a substantially similar ability to communicate with or make use of the technology, either directly by features incorporated within the technology or by other reasonable means such as assertive devices or services which would constitute reasonable accommodations under the Americans with Disabilities Act or similar state or federal laws. Examples of methods by which equivalent 27 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project access may be provided include, but are not limited to, keyboard alternatives to mouse commands and other means of navigating displays, and customizable display appearances. Article 20. Correspondence All project related notices, reports and other contractual communications under this Interlocal Agreement shall be sent to the NCTCOG Project Representative as specified under Attachment D, Article 17. All such communications shall be considered duly given if hand delivered; delivered by nationally recognized courier service, or mailed by certified or registered mail, return receipt requested. All such communications shall be deemed given when received, as evidenced by the signed acknowledgment of receipt by the recipient; the confirmation of delivery by the courier service; or the receipt returned by the sender. Article 21. Data and Publicity All data and other information developed under this Interlocal Agreement shall be furnished to the NCTCOG and shall be public data and information, with exception to the extent it is exempt from public access by the Texas Open Records/Public Information Act, Vernon's TEX. GOV'T CODE § 552. Upon termination of this Agreement, all data and information shall become the joint property of the NCTCOG and the FUNDS RECIPIENT. Article 22. Assignability This Interlocal Agreement is not transferable or otherwise assignable by the FUNDS RECIPIENT without the written consent of the NCTCOG. Any attempted transfer is void without the written consent of the NCTCOG. Article 23. Sub-agreements and Subcontracts All contractual expenditures using funds provided under this Interlocal Agreement shall meet UGCMA, and all procurement laws, applicable to the FUNDS RECIPIENT and subcontractor, including the Professional Services Procurement Act. Note that the Common Rule of OMB Circular A-102, as adopted in the UGCMA, precludes the use of the cost plus a percentage of cost method of contracting. Any subcontractor acquired by the FUNDS RECIPIENT in connection with the services covered by this Interlocal Agreement will be limited to such individuals or firms, scope of work, and budget amounts as are specifically (1) identified herein; or as (2) approved by the NCTCOG during the performance of this Interlocal Agreement prior to execution of a contract with the subcontractor. Any substitution in such subcontractor, the scope of work, and budget amounts will be subject to the prior written approval of the NCTCOG. The FUNDS RECIPIENT shall be responsible for the management and fiscal monitoring of all subcontractors. The FUNDS RECIPIENT shall ensure that all subcontractors comply with Article 10, Access/Examination of Records and all other provisions required by this Interlocal Agreement. The NCTCOG reserves the right to perform an independent audit of all subcontractors. Funds provided by the NCTCOG pursuant to this Interlocal Agreement that are paid to the subcontractor shall be used by the subcontractor solely to satisfy the purposes of this Interlocal Agreement. 28 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Article 24. Supplemental Funding Standards In addition to the standards set forth in applicable laws and regulations, the standards outlined below apply to all uses of the funds provided under this Interlocal Agreement including the implementation projects awarded funds by the FUNDS RECIPIENT. Unless authorization is otherwise specifically provided for in or under the terms of this Interlocal Agreement, the use of funds provided under this Interlocal Agreement, to include funds provided for pass-through grants, shall be in accordance with the supplemental funding standards set forth in this Article. Payment of Fees. Local and regional political subdivisions subject to the payment of state solid waste disposal fees and whose payments are in arrears are not eligible to receive grant funding. Land Acquisition Costs. Funds provided under this Interlocal Agreement may not be used to acquire land or an interest in land. Municipal Solid Waste-Related Programs Only. Funds provided under this Interlocal Agreement may not be used for programs dealing with wastes that are not considered municipal solid waste (MSW), including programs dealing with industrial or hazardous wastes. Programs Solely Related to Collection of Certain Wastes. Funds provided under this Interlocal Agreement may not be used for programs and activities solely related to the management of automotive wastes, to include: scrap tires, used oil, oil filters, antifreeze, lead-acid batteries, or other similar wastes excluded from disposal in MSW landfills. Funds may also not be used for the processing of scrap tires, such as through the purchase of equipment to shred or split the tires. However, the collection of these materials may be included as part of a comprehensive household hazardous waste collection and management program, so long as that is not the sole intent of the program. Activities Related to the Disposal of Municipal Solid Waste. Except as may be specifically authorized under an eligible project category, funds provided under this Interlocal Agreement may not be used for activities related to the disposal of municipal solid waste. This restriction includes solid waste collection and transportation to a disposal facility; waste combustion (incineration or waste-to-energy); processing for reducing the volume of solid waste that is to be disposed of; any landfill-related facilities or activities. This also includes the closure and post-closure care of a landfill; or other activities and facilities associated with the ultimate disposal of municipal solid waste. This provision does not apply to activities specifically included under an authorized project category, to include landfill scales, citizens' collection stations, and small registered transfer stations. Projects Requiring a TCEQ Permit. Funds may not be used for expenses related to projects or facilities that require a permit from the TCEQ and/or that are located within the boundaries of a permitted facility, including landfills, wastewater treatment plants, and other facilities. This provision, however, may be waived by the TCEQ, at its discretion, for otherwise eligible activities to be located at a closed permitted facility and/or for recycling activities that will take place within the boundaries of an open facility. Recycling activities that may qualify for such a waiver may include recyclables collection, composting, and land application of bio-solids for beneficial use. The applicant and/or the FUNDS RECIPIENT should request a preliminary determination from the TCEQ as to the eligibility of the project prior to consideration for funding. 29 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Projects Requiring TCEQ Registration. Projects or facilities that require registration from the TCEQ, and which are otherwise eligible for funding, may be funded. However, the registration for the facility must be finally received before that project can be selected for funding. Projects that Create a Competitive Advantage Over Private Industry. In accordance with §361.014(b) of the Texas Health and Safety Code, a project or service funded under this Interlocal Agreement must promote cooperation between public and private entities and may not be otherwise readily available or create a competitive advantage over a private industry that provides recycling or solid waste services. Under this definition, the term private industry includes non-profit entities. Supplanting Existing Funds. Funds provided under this Interlocal Agreement may not be used to supplant existing funds. In particular, staff positions where the functions assigned to that position will remain the same and that were active at the time of the project application, and were funded from a source other than a previous solid waste project, are not eligible for project funding. This provision does not apply to the salaries for staff of the FUNDS RECIPIENT in its conduct of activities under this Interlocal Agreement. Food/Entertainment Expenses. Funds provided under this Interlocal Agreement may not be used for food or entertainment expenses, including refreshments at meetings and other functions. This provision does not apply to authorized employee per diem expenses for food costs incurred while on travel status. Use of Alcoholic Beverages. Funds provided under this Interlocal Agreement may not be used for payment of salaries to any employee who uses alcoholic beverages on active duty. None of these funds may be used for the purchase of alcoholic beverages, including travel expenses reimbursed with these funds. Funds to Law Enforcement Agencies. Funds provided under this Interlocal Agreement may not be provided to any law enforcement agency regulated by Chapter 415 of the Texas Government Code, unless the law enforcement agency is in compliance with all rules developed by the Commission on Law Enforcement Officer Standards and Education pursuant to Chapter 415 of the Texas Government Code, or the Commission on Law Enforcement Officer Standards and Education certifies that the requesting agency is in the process of achieving compliance with such rules. Article 25. Identification of the Funding Source The FUNDS RECIPIENT must acknowledge the financial support of the NCTCOG and the State of Texas whenever work funded, in whole or part, by this Interlocal Agreement, is publicized or reported by news media or publications. All reports and other documents completed as a part of this Interlocal Agreement, other than documents prepared exclusively for internal use within the NCTCOG, shall carry the following notation on the front cover or title page: "Prepared in cooperation with the North Central Texas Council of Governments through funding from the Texas Commission on Environmental Quality." Article 26. Theme Phrase for Public Education Materials The FUNDS RECIPIENT is encouraged to use the phrase, "Take It Personally!" on all written documents, publicity, and advertisement materials produced for public education purposes. This consistent image that will appear on all materials distributed by the FUNDS RECIPIENT will promote an understanding of the program, its mission, and its interconnectedness with other issues and programs. For the NCTCOG region, the slogan for all environmental, resource 30 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project conservation, outreach activities is "Take It Personally!" NCTCOG will furnish the FUNDS RECIPIENT with camera-ready artwork of this phrase for imprinting purposes upon request. Article 27. Americans With Disabilities Act Requirements The FUNDS RECIPIENT shall comply with all applicable requirements of the Americans with Disabilities Act of 1990, 42 U.S.C. §§ 12101- 12213 (Pamph. 1995). Article 28. Employment Practices The FUNDS RECIPIENT agrees that in the performance of this Interlocal Agreement, it will not discriminate against any employee or applicant because of race, religion, color, sex, age, or national origin and it will comply with Executive Order 11246, entitle "Equal Employment Opportunity", as amended by Executive Order 11375, and as supplemented in Department of Labor Regulations (41 CFR Part 60). The FUND RECIPIENT assures that no person will, on the grounds of race, creed, color, handicap, national origin, sex, political affiliation or beliefs, be excluded from, be denied the benefit of, or be subject to discrimination under any program or activity funded in whole or part under this Interlocal Agreement. Article 29. Statutes Relating to Nondiscrimination The FUNDS RECIPIENT shall comply with all applicable state and federal statutes relating to nondiscrimination that include, but are not limited to, those listed in the Uniform Grant Management Standards. Article 30. Utilization of Small, Minority, and Women's Business Enterprises The FUNDS RECIPIENT agrees that qualified Historically Underutilized Businesses shall have the maximum practicable opportunity to participate in the performance of this Interlocal Agreement. Article 31. Safety and Protection Where applicable, the FUNDS RECIPIENT shall be responsible for maintaining and supervising all necessary safety precautions and programs in connection with the work/services performed under this Interlocal Agreement. Article 32. Energy Efficiency Standards The FUNDS RECIPIENT is encouraged to follow standards and policies on energy efficiency contained in the State Energy Conservation Plan issued in compliance with the Energy Policy and Conservation Act (P. L. 94-163). Article 33. Force Majeure A force majeure event shall be defined to include governmental decrees or restraints, acts of God (except that rain, wind, flood or other natural phenomena normally expected for the locality shall not be construed as an act of God), work stoppages due to labor disputes or strikes, fires, explosions, epidemics, riots, war, rebellion, and sabotage. Provided this Interlocal Agreement is still in force, and subject to the conditions below, if a delay or failure of performance by either party results from the occurrence of a force majeure event, 31 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project the delay shall be excused and the time fixed for completion of the work extended by a period equivalent to the time lost because of the event if, and to the extent that: • the delay or failure was beyond the control of the party affected and not due to its fault or negligence; and • the delay or failure was not extended because of the affected party's failure to use all diligence to overcome the obstacle or to resume performance immediately after the obstacle was overcome. No time extension shall be granted under this Article unless the party seeking relief has notified the other in writing within a reasonable time after commencement of the event, of the anticipated length and cause of the delay, the measures taken or to be taken to minimize the delay and the timetable by which the FUNDS RECIPIENT intends to implement these measures. The party seeking relief shall also give written notice of the ending of the event within a reasonable time after the event has ended. The NCTCOG shall be responsible for costs related to a force majeure event, only if they are incurred by the FUNDS RECIPIENT after the prior written request by the NCTCOG Project Representative, to incur such costs. Neither NCTCOG nor the FUNDS RECIPIENT shall have, and both hereby waive, any claim whatever for any damages resulting from delays caused by force majeure events. Article 34. Termination of Interlocal Agreement This Interlocal Agreement shall terminate upon full performance of all requirements contained herein, unless this Interlocal Agreement is amended in writing. This agreement may be terminated in whole or in part in writing by either contracting party in the event of substantial failure by the other party to fulfill its obligation under this Interlocal Agreement through no fault of the terminating party, provided that no such termination may be effected unless the other party is given: Not less than ten (10) days written notice (delivered by certified main, return receipt requested) of intent to terminate; and an opportunity for consultation with the terminating party prior to termination. This Interlocal Agreement may be terminated in whole or in part in writing by NCTCOG for its convenience, provided that the FUNDS RECIPIENT is given not less than ten (10) calendar days written notice (delivered by certified mail, return receipt requested) of intent to terminate. Circumstances in which NCTCOG may terminate for convenience include, but are not limited to, the Texas Legislature's withdrawal of appropriations for this project or the FUNDS RECIPIENT'S continued or repeated failure to perform tasks and submit reports in a complete, correct and consistent manner. If termination for default of this Article, or for reduction or loss of Legislative appropriations of this Article is effected by NCTCOG, an adjustment in the Interlocal Agreement amount shall be made, but: no amount shall be allowed for anticipated profit on unperformed services, tasks or other work; and Any payment due the FUNDS RECIPIENT at the time of termination may be adjusted to the extent of any reasonable additional costs incurred by NCTCOG by reason of THE FUNDS RECIPIENT'S default. The equitable adjustment for any termination shall provide for payment 32 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project to the FUNDS RECIPIENT for services rendered and expenses incurred by the FUNDS RECIPIENT relating to contracts entered into prior to the termination, in addition to termination settlement costs reasonably incurred by the FUNDS RECIPIENT relating to contracts entered into prior to the termination. Upon receipt of a termination notice the FUNDS RECIPIENT shall promptly discontinue all services affected (unless the notice directs otherwise); and deliver or otherwise make available to NCTCOG all data, drawings, specifications, reports, estimates, summaries, and such other information, materials, and equipment as may have been accumulated by the FUNDS RECIPIENT in performing this Interlocal Agreement, whether completed or in progress. Upon termination of this Interlocal Agreement, the NCTCOG may take over the work and prosecute the same to completion by agreement with another party or otherwise. If, after termination for failure of the FUNDS RECIPIENT to fulfill its contractual obligations, it is determined that the FUNDS RECIPIENT had not so failed, the termination shall be deemed to have been effected for the convenience of the NCTCOG. If any delay or failure of performance is attributed to an event as defined in Force Majeure, the FUNDS RECIPIENT may in its sole discretion terminate this Interlocal Agreement in whole or in part. If such termination is effected, an equitable adjustment shall be made in accordance with this Article. 33 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Definitions Wherever used in this Interlocal Agreement, the following terms have the meaning indicated which are applicable to both the singular and plural thereof. This list is not meant to be inclusive nor exclusive of all pertinent grant definitions: Accrued expenditures: The charges incurred by the grantee during a given period requiring the provisions of funds for: (1) Goods and other tangible property received; (2) services performed by employees, contractors, subcontractors, and other payees, and (3) other amounts becoming owed under programs for which no current services or performance is required, such as annuities, insurance claims, and other business payments. Accrued income: The sum of(1) earnings during a given period from services performed by the grantee and goods and other tangible property deliverable to purchasers; and (2) amounts becoming owed to the grantee for which no current services or performance is required by the grantee. Acquisition cost: For equipment purchases, means the net invoice unit price of the property including the cost of modifications, attachments, accessories, or auxiliary apparatus necessary to make that property usable for the purpose for which it was acquired. Other charges such as the cost of installation, transportation, taxes, duty or protective in-transit insurance shall be included or excluded from the unit acquisition cost in accordance with the grantee's regular accounting practices. Addenda: Written or graphic instruments issued prior to the execution of the Agreement which clarify, correct or change the Proposal Requirements or the Agreement. Administrative requirements: Those matters common to grants in general, such as financial management, kinds and frequency of reports, and retention of records. These are distinguished from "programmatic" requirements, which concern matters that can be treated only on a program-by-program or grant-by-grant basis, such as kinds of activities that can be supported by grants under a particular program. Cash contribution: The FUNDS RECIPIENT'S cash outlay, including the outlay of money contributed to the FUNDS RECIPIENT by other public agencies and institutions, and private legislation, federal funds received from other assistance Agreement may be considered as FUNDS RECIPIENT cash contributions. Common rule: Part III of the Uniform Grant Management Standards, which were promulgated by the Texas Governor's Office of Budget and Planning pursuant to the Uniform Grant Conditions and Management Act, Texas Government Code Chapter 783. Contract Documents: The Interlocal Agreement and the documents that are described in and incorporated into the Interlocal Agreement. Together, the Contract Documents form the contract between the parties. Contract Price: The moneys payable by the NCTCOG to the FUNDS RECIPIENT for completion of the work in accordance with the Contract Documents as stated in the Interlocal Agreement (subject to the provisions included in the Interlocal Agreement). 34 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Contract Times: The number of days or dates stated in the Interlocal Agreement to complete the work so that it is ready for final payment. Cost sharing or matching: The value of the third party in-kind contributions and the portion of the costs of a State assisted project or program not borne by the State. Cost-type Contract: A contract or subcontract under a grant in which the FUNDS RECIPIENT or subcontractor is paid on the basis of the costs it incurs, with or without a fee. Equipment: Tangible, non-expendable, personal property having a useful life of more than one year and an acquisition cost of$5,000 or more per unit. A FUNDS RECIPIENT may use its own definition of equipment provided that such definition would include all equipment defined above. Expiration Date of the Interlocal Agreement: The date indicated in the Interlocal Agreement as the date that the Interlocal Agreement terminates (end date of the Interlocal Agreement). Financial Completion: In the opinion of the Funding Agency (NCTCOG and TCEQ), the work as outlined in the Interlocal Agreement is complete. Funding Agency: The Texas Commission on Environmental Quality through the North Central Texas Council of Governments. Government: A Federal or State agency or a local government. Historically Underutilized Business (HUB): As defined by Texas law and delineated in the State Purchasing and General Services Act, as amended September 1, 1995, a historically underutilized business as a corporation or a partnership in which fifty-one percent (51%) or more of the corporation's stock (or other equitable securities) or partnership's assets and interest are owned by one or more socially disadvantaged persons, who have a proportionate interest and actively participates in the corporation or partnership control, operation, and management. If the business is a sole proprietorship, the socially disadvantaged person must completely own, operate and control the business. Socially disadvantaged persons include members of certain groups including African Americans, Hispanic Americans, American Women, Asian Pacific Americans, and Native Americans. Intellectual Property: (1) any and all inventories, discoveries, improvements, or creations for which copyright, trade secret, patent or other proprietary rights may be acquired, (2) any photographs, graphic designs, plans, drawings, specifications, computer programs, computer files, documentation, technical reports, operating manuals, or other copyrightable materials, and (3) any other work fixed in any tangible medium of expression which can be perceived, reproduced, or otherwise communicated for which copyright, trade secret, patent or other proprietary rights may be acquired. Intellectual Property Rights: Patents, trademarks, trade secret rights, confidential information rights or any other proprietary rights to which a person may be entitled or may actually possess. Intellectual Property Rights include all rights of ownership and original authorship throughout the world. Interlocal Agreement: The "NCTCOG Interlocal Agreement" which contains the salient terms of the Agreement between the FUNDS RECIPIENT and the NCTCOG and covers the work to 35 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project be performed; also describes and includes any additional agreement documents which may be attached to the Interlocal Agreement and made a part thereof as provided therein. Laws and Regulations: Any and all applicable laws, rules, regulations, ordinances, codes and other orders of any and all governmental bodies, agencies, authorities and courts having jurisdiction. Liens: Charges, security interests, liens or encumbrances upon real property or personal property. Local government: Local and regional political subdivisions located within the State of Texas. The meaning is broaden to include eligible recipients of solid waste pass-through grant funds: Cities; Counties; Public Schools and School Districts (excluding Universities or post secondary educational institutions); Other general and special law districts created in accordance with State law, and with the authority and responsibility for water quality protection or municipal solid waste management, to include river authorities. Minor Change: A written document which provides for minor changes in the work to be performed under the Interlocal Agreement, but does not involve a changed in the contract price or the contract times. Obligations: The amount of orders placed, contracts and sub-grants awarded, goods and services rendered, and similar transactions during a given period that will require payment by the grantee during the same or a future period. Outlay (expenditures): Charges made to the project or program. Outlays may be reported on a cash or accruals basis. For reports prepared on a cash basis, outlays are the sum of actual cash disbursement for direct charges for goods and services, the amount of indirect expense incurred, the value of in-kind contributions applied, and the amount of cash advances and payments made to FUNDS RECIPIENT. For reports prepared on an accrued expenditure basis, outlays are the sums of actual cash disbursements, the amount of indirect expense incurred, the value of in-kind contributions applied, and the net increase (or decrease) in the amounts owed by the grantee for goods and other property received, for services performed by employees, contractors, subcontractors, and other payees, and other amounts becoming owed under programs for which no current services or performance are required, such as annuities, insurance claims, and other benefit payments. Percentage of completion method: A system under which payments are made for work according to the percentage of the completed work, rather than to the FUNDS RECIPIENT 's cost incurred. Prior Approval: Documentation evidencing consent prior to incurring specific costs. Project: The total body of services rendered of which the work to be provided under the Interlocal Agreement may be the whole, or a part as indicated elsewhere in the Interlocal Agreement. Project Representative: The individual who is authorized to execute the work program identified in the Interlocal Agreement. This individual must be an employee of the grant recipient and may or may not have contractual authority. 36 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Real Property: Land, including land improvements, structures and appurtenances thereto, excluding moveable machinery and equipment. Share: When referring to the TCEQ's portion of real property, equipment or supplies, means the same percentage as the TCEQ's portion of the acquiring party's total costs under the grant to which the acquisition cost of the property was charged. Only costs are to be counted, not the value of the third-party in-kind contributions. Standards: The Uniform Grant Management Standards. State: The State of Texas. Subcontractor: An individual, firm, corporation or local government having a direct contract with the FUNDS RECIPIENT or with any other subcontractor for the performance of a part of the work identified in the Interlocal Agreement. Supplies: Generally relates to the routine purchase of office supplies (paper, pencils, staples, etc.) or other goods that are consumed in a relatively short period of time in the regular performance of general office activities. Suspension: (1) temporary withdrawal of the authority to obligate project funds pending corrective action by the FUNDS RECIPIENT, or sub-grantee or a decision to terminate the grant, or (2) an action taken by a FUNDING AGENCY official in accordance with the Interlocal Agreement, State or Federal law, or Regulations to immediately exclude a person from participating in grant transactions for a period, pending completion of an investigation and such legal or debarment proceedings as may ensue. Termination: Permanent withdrawal of the authority to obligate previously-awarded project funds before that authority would otherwise expire. It also means the voluntary relinquishment of that authority by the FUNDS RECIPIENT or sub-grantee. "Termination" does not include (1) withdrawal of funds awarded on the basis of the FUND RECIPIENT'S underestimate of the unobligated balance in a prior period; (2) withdrawal of the unobligated balance as of the expiration of a grant; (3) refusal to extend a grant or award additional funds to make a competing or noncompeting continuation, renewal, extension or supplemental award; or (4) voiding of a grant upon determination that the award was obtained fraudulently or was otherwise illegal or invalid from inception. Unliquidated Obligations: For reports prepared on a cash basis, means the amount of obligations incurred by the FUNDS RECIPIENT that has not been paid. Reports prepared on an accrued expenditure basis represent the amount of obligations incurred by the FUNDS RECIPIENT for which an outlay has not been recorded. Unobligated Balance: The portion of the funds authorized by the FUNDING AGENCY that has not been obligated by the FUNDS RECIPIENT, and is determined by deducting the cumulative obligation from the cumulative funds authorized. Work: The entire completed services or the various separately identifiable parts thereof required to be furnished under this Interlocal Agreement. Work includes and is the result of performing or furnishing labor, services, materials or equipment as required by the Interlocal Agreement. 37 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project Appendix I. SUMMARY/RESULTS REPORT OF IMPLEMENTATION PROJECT • STATUS OF COMPLETION OF WORK TASKS • PROJECT RESULTS REPORT FORM 10a: LOCAL ENFORCEMENT FORM 10b: LITTER/ILLEGAL DUMPING CLEANUP AND COMMUNITY COLLECTION EVENTS FORM 10c: SOURCE REDUCTION/RECYCLING FORM 10d: LOCAL SOLID WASTE MANAGEMENT PLANS FORM 10e: CITIZENS COLLECTION STATIONS, SMALL REGISTERED TRANSFER STATIONS FORM 10f: HOUSEHOLD HAZARDOUS WASTE FORM 10g: TECHNICAL STUDIES FORM 10h: EDUCATIONAL AND TRAINING PROJECTS II. REIMBURSEMENT FORMS (Form PT-F 2 plus Supplemental Forms) • Request for Reimbursement Form and Supplemental Reimbursement Forms PT-F2 Summary of Pass-Through Project Expenditures F2-A Itemization Personnel/Salaries and Travel budget categories F2-B Itemization of Equipment and Contractual Costs F2-C Itemization of Construction Budget category F2-D Itemization of Supplies and the Other Expenditures F2-E Itemization of Matching Services and/or Cash Contributions III. REQUEST FOR BUDGET REVISION FORM IV. EXAMPLE of RELEASE OF CLAIMS These forms are located at the following website: http://www.nctcoq.orq/envir/SEELT/fundinq/report forms.asp 38 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project FY 2008/2009 REGIONAL SOLID WASTE GRANTS PROGRAM SUMMARY/RESULTS REPORT OF GRANT-FUNDED PROJECT 1. Grant Recipient: 2. Contract#: 08-04-G07 3. Report#: 4. Final FY 08/09 Report: ❑ Yes ❑ No 5. Reporting Period: 6. Grant Term: From: to: From: to: 7. Percent Completed to Date: 8. Estimated Completion Date: % Required Attachments 9. STATUS OF COMPLETION OF WORK TASKS 10. PROJECT RESULTS REPORT (complete the applicable form for the project being conducted with grant funds, ® if attached) ❑ Form 10a: Local Enforcement ® Form 10b: Litter/Illegal Dumping Cleanup &Community Cleanup Event ❑ F• orm 10c: Source Reduction/Recycling ❑ Form 10d: Local Solid Waste Management Plans ❑ F• orm 10e: Citizens' Collection Stations & "Small" Registered Transfer Stations ❑ Form 10f: Household Hazardous Waste ❑ Form 10g: Technical Studies ❑ Form 10h: Education and Training Projects (stand alone projects) 11. CERTIFICATION: I certify to the best of my knowledge and belief that this report is correct and complete. Signature of Authorized Certifying Official Typed or Printed Name and Title Date Submitted 39 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project STATUS OF COMPLETION OF WORK TASKS* For each major work task or deliverable set forth in your grant contract, provide the following information (attach additional pages as needed): - Estimate the percent (%) complete of the task/deliverable - Briefly explain the activities conducted to date towards completing the task or deliverable. Be sure to provide information on the status of equipment purchases and/or facility construction, if applicable. - List the major activities remaining to be conducted towards completing the task or deliverable. - Provide an estimated date for the completion of the task or deliverable. - Explain any problems or delays in completing the task or providing the deliverable. Provide copies of all materials and documents produced with grant funds to date (e.g., reports, plans, brochures, educational materials, videos, etc.). 1. Task/Deliverable: A. Percent (%) Completed: B. Activities conducted to date: C. Major activities remaining to complete task: D. Estimated completion date: E. Comments: 2. Task/Deliverable: A. Percent (%) Completed: B. Activities conducted to date: C. Major activities remaining to complete task: D. Estimated completion date: E. Comments: 3. Task/Deliverable: A. Percent (%) Completed: B. Activities conducted to date: C. Major activities remaining to complete task: D. Estimated completion date: E. Comments: 40 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project 4. Task/Deliverable: A. Percent (%) Completed: B. Activities conducted to date: C. Major activities remaining to complete task: D. Estimated completion date: E. Comments: 5. Task/Deliverable: A. Percent (%) Completed: B. Activities conducted to date: C. Major activities remaining to complete task: D. Estimated completion date: E. Comments: 6. Task/Deliverable A. Percent (%) Completed: B. Activities conducted to date: C. Major activities remaining to complete task: D. Estimated completion date: E. Comments: 41 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project FY 2008/2009 REGIONAL SOLID WASTE GRANT Results Report Form 10b: Litter/Illegal Dumping Cleanups & Community Collection Events Cumulative FY Reporting Parameter 2008/2009 Results Total grant funding amount $ Total number of participants/volunteers: For community collection events: Total number of individual collection events held Total amount of waste collected for disposal (in tons) Total amount of materials diverted for recycling/reuse (in tons) Total revenue from sale of diverted materials $ For river/lake and community litter cleanups: Total number of individual cleanup events held If applicable, total waterfront cleaned up (in miles) If applicable, total estimated land area cleaned up (in acres) Total debris/litter collected for disposal (in pounds) Total amount of materials collected for recycling/reuse (in pounds) For periodic or ongoing cleanup of illegal dump sites: Total number of litter and illegal dump sites cleaned up Total estimated land area cleaned up (in acres) Total amount materials collected for disposal (in pounds) Total amount of material collected for recycling/reuse (in pounds) Education &Training Component i) Reporting Parameter Results Amount of grant funding applied toward education/training activities $ Total of all education/training events Total number of persons involved in education/training events Total of all items distributed related to education/training events (e.g., brochures, fliers, manuals, freebies, etc.) Total number of mass media activities (e.g.,press releases,PSAs,billboards or signs,etc.) Estimated total number of people reached through mass media activities Comments: 42 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project FY 2008/2009 REGIONAL SOLID WASTE GRANTS PROGRAM SUMMARY OF PASS-THROUGH GRANT EXPENDITURES - FORM PT-F2 1. COUNCIL OF GOVERNMENTS TO WHICH REPORT IS SUBMITTED: North Central Texas Council of Governments 2. VENDOR TAX IDENTIFICATION NUMBER: 3. RECIPIENT ORGANIZATION (NAME AND COMPLETE ADDRESS, INCLUDING ZIP CODE): 4. CONTRACT/PROJECT NUMBER: 08-04-G07 5. FINAL REPORT: YES NO 6. ACCOUNTING BASIS: Cash ✓ Accrual 7. TOTAL GRANT PERIOD: 8. PERIOD COVERED BY THIS REPORT: FROM: March 24, 2008 TO: July 31, 2009 FROM: TO: 9. BUDGET CATEGORIES Project Cost Cumulative Total (do not include inkind) Total Budget This Report Project Cost Balance a. Personnel/Salaries b. Fringe Benefits c. Travel d. Supplies e. Equipment f. Contractual g. Construction h. Other i. Total Direct ( Sum a-h) j. Indirect Charges k. Total ( Sum of i &j) List (Itemize) on the appropriate supplemental form the component expenses comprising the total cost. 10. CERTIFICATION: I certify to the best of my knowledge and belief that this report is correct and complete and that all outlays and unliquidated obligations are for the purposes set forth in the award documents. Signature of Authorized Certifying Official Printed Name and Title Telephone (area code/number) Date Submitted: ❑ NCTCOG-use only 43 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project FY 2008/2009 REGIONAL SOLID WASTE GRANTS PROGRAM ITEMIZATION OF EQUIPMENT AND CONTRACTUAL COSTS SUPPLEMENTAL FORM F2-B EQUIPMENT PURCHASES (during this report period) NUMBER UNIT PURCHASED ITEM DESCRIPTION COST TOTAL COST TOTAL EQUIPMENT EXPENDITURES (Must agree with line 9e on Form PT-F2) CONTRACTUAL EXPENDITURES (during this report period) SUBCONTRACTOR(NAME) FOR TOTAL COST TOTAL CONTRACTUAL EXPENDITURES (Must agree with line 9f on Form PT-F2) Legible receipts must be attached to this form for each listed item or expenditure. ATTACH ADDITIONAL SHEETS, IF NEEDED 44 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project FY 2008/2009 REGIONAL SOLID WASTE GRANTS PROGRAM ITEMIZATION OF SUPPLIES AND OTHER COSTS SUPPLEMENTAL FORM F2-D SUPPLIES EXPENDITURES (during this report period) NUMBER UNIT TOTAL PURCHASED ITEM DESCRIPTION COST COST TOTAL SUPPLIES EXPENDITURES (Must agree with line 9d on Form PT-F2) OTHER EXPENDITURES (during this report period) NUMBER UNIT TOTAL PURCHASED ITEM DESCRIPTION COST COST TOTAL OTHER EXPENDITURES (Must agree with line 9h on Form PT-F2) Legible receipts must be attached to this form for each listed item or expenditure. ATTACH ADDITIONAL SHEETS, IF NEEDED 45 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project FY 2008/2009 REGIONAL SOLID WASTE GRANTS PROGRAM ITEMIZATION OF MATCHING SERVICES AND CASH CONTRIBUTIONS SUPPLEMENTAL FORM F2-E MATCHING SERVICES (during this report period) ITEM PURCHASED OR COST SERVICE PERFORMED PURPOSE THIS PERIOD TOTAL MATCHING SERVICES EXPENDITURES CASH CONTRIBUTIONS (during this report period) DESCRIPTION CASH AMOUNT TOTAL CASH CONTRIBUTIONS 46 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project North Central Texas Council of Governments FY2008/09 SOLID WASTE MANAGEMENT GRANTS PROGRAM REQUEST FOR BUDGET REVISION PLEASE INCLUDE A MEMO DETAILING THE PURPOSE AND NEED FOR THIS BUDGET REVISION MEMO SHOULD BE ATTACHMENT TO THIS COVER SHEET. YOU MUST ITEMIZE COMPONENT EXPENSES OF THE PROPOSED BUDGET REVISION IN THIS MEMO. GRANT RECIPIENT: PROJECT NUMBER: GRANT PERIOD: DATE OF REQUEST: BUDGET APPROVED EXPENDITURES BUDGET PROPOSED BUDGET CATEGORIES BUDGET TO DATE CHANGE (+ OR-) REVISION a. Personnel b. Fringe Benefits c. Travel d. Supplies e. Equipment f. Contractual g. Construction h. Other i. Total Direct (Sum a-h) j. Indirect Charges k. Total (Sum i &j) CERTIFICATION: I certify to the best of my knowledge that this request is correct and complete and that all outlays and unliquidated obligations will be used for the purposes set forth in the award documents. Signature of Authorized Project Representative Typed or Printed Name and Title Date Submitted 47 Grant Project Number 08-04-G07 Wylie Creekfest-Creek Clean-ups Project RELEASE OF All CLAIMS Example Whereas, the North Central Texas Council of Governments (NCTCOG) and the City of Wylie, TX entered into an Interlocal Agreement for Solid Waste Implementation Project#08-04-G07, a Community Clean-up Project, dated March 24, 2008 through July 31, 2009 Whereas, Attachment E, Article 09, Release of Claims, requires that "upon satisfactory completion of the work performed hereunder and prior to final payment under this Interlocal Agreement for such work, or prior to settlement upon termination of this Interlocal Agreement, and as a condition to final payment/settlement, the City of Wylie, TX shall execute and deliver to the NCTCOG a release of all claims against the NCTCOG arising under or by virtue of this Interlocal Agreement," and Now, therefore, in consideration of the premises, and of the final payment from the City of Wylie, TX hereby remises, releases, and forever discharges the NCTCOG of and from all manner of debts, dues, sum or sums of money, accounts, claims, and demands whatsoever, in law and in equity, under or by virtue of the said contract. In witness whereof, the hand and seal of the contractor have been hereunto set this the day of By: This instrument was acknowledged before me on (date) Notary Public, State of Texas My commission expires: (date) 48 Wylie City Council CI_itt/1 TY OF WYLIE AGENDA REPORT Meeting Date: 04-22-08 Item Number: Presentation Department: Information Technology (City Secretary's Use Only) Prepared By: Jeff Butters Account Code: Date Prepared: 04-07-08 Budgeted Amount: $60,000 Exhibits: Proposals Subject Presentation by eGov Consulting Services LLC and Tatum, LLC for professional services related to the City of Wylie Strategic Technology Master Plan. Recommendation Discussion The consulting firms Tatum and eGov were chosen by staff to present to council. Approved By Initial Date Department Director JB 4/07/08 City Manager Page 1 of 1 ____Ii, _ _ CITY OF WYLIE I7 wi iG tri �•._ ��•la IIMPIC � ;`III .-•\ _ Proposal response for: r.1, MN 1 . .jillit PAIIIV 11016 a rofessio aI Services _ 1 - Master Plan: Strategic Technology _ _ J -1 . it- Development y� -� - it _ ' *+ ; 1: _.:§ . ' I ! it - • ate; ;.1 ' - ,.. Fo th - -w nil 1.7"?‘ `'- ',R.a_' ` .' _.a �IIIIIPII�II.; :T . Al i City of Wylie, Texas �I. �' 46 ., y 4e„ k'fio"...t... Proposal Closing Time/Date: March 12, 2008 at 10:00 a.m. CST �/I r i I \ / 3 4 -' -r Proposal by: e G, S/ lii:1/ eGov Consulting Services LLC CONSULTING 746 Pearl Street Reading, MA 01867 www.egovcs.com eG / CONSULTING March 12, 2008 Mr. Jim Holcomb, Purchasing Agent Mr. Shone Doville, I.S. Supervisor City of Wylie 2000 Hwy 78 North Wylie, TX 75098 Dear Mr. Holcomb and Mr. Doville: We appreciate the opportunity to provide the City of Wylie, Texas, with our proposal to assist in the development of a Strategic Technology Master Plan. It is our understanding from the Request for Proposal (RFP) that you require a consultant to work with the City to provide the following deliverables: • An assessment of the current state and recommended solution for each technology initiative • Schedule of implementation for the recommended solution for each technology initiative • Summary of annual budget impact for each technology initiative • Summary of prioritization of recommended solutions • Presentation of Strategic Technology Master Plan. Development of the Strategic Technology Master Plan will help to ensure the City's technological advancement through sound investments in the infrastructure, applications and human resources. It will also ensure that the strategic technology direction can be set and decisions made with the latest input from key constituencies. 41111 After completing a strategic technology plan for the City of Allen, Texas, in 2006, we developed Plans for the cities of Conroe, Texas and Deer Park, Texas in 2007; and, were recently chosen to provide a plan for Dallas County. We are confident that you will find that our experienced and qualified team will satisfy your requirements. With many years of experience in technology planning and implementations in the government sector, we pride ourselves in our ability to effectively integrate into client organizations, and provide positive and thoughtfully developed recommendations. Attached is our proposal addressing the requirements detailed in your request for proposal. eGov Consulting can and will perform in a vendor neutral capacity since the organization has no ties to the vendor community and only provides independent services. We certify that our bid is made without prior understanding, agreement or connection with any corporation, firm or person submitting a bid for the same materials, services, supplies or equipment, and is in all respects fair and without collusion or fraud. eGov Consulting's proposal is valid for ninety (90) calendar days from the date of receipt of the proposal by the City of Wylie. If you have any questions, please feel free to contact me at (781) 942-0308. We look forward to the opportunity to work with the City of Wylie. est rd , 1 S p Gousie eGov C nsulting stephen.qousie@eciovcs.com 746 Pearl Street • Reading, MA 01867 • (781) 942-0308 • fax: (781) 989-9495 • www.egovcs.com City of Wylie C17,f1.WWI- Strategic Technology Master Plan • Table of Contents Proposal Summary 1 1.0 Qualifications & Experience 3 1.1 About eGov Consulting 3 1.2 Staffing Approach 4 1.3 Consulting Approach 5 1.4 Supporting Projects 6 1.5 References and Project Descriptions 8 2.0 Proposed Personnel 12 2.1 Project Team Members 12 2.2 Key Personnel Background 12 2.3 Project Responsibilities and Authority 13 3.0 Scope of Services & Project Approach 14 3.1 Strategic Technology Master Plan Approach 14 3.1.1 Phase 1 — Data Gathering and Assessment 15 3.1.2 Phase 2 — Strategy Development & Project Prioritization 17 3.1.3 Phase 3— Plan Development 19 3.1.4 Plan Implementation 19 3.2 Our Current Project Understanding 20 4.0 Project Work Plan and Proposed Schedule 25 5.0 Project Costs 26 5.1 Project Cost Detail 26 5.2 Billing 26 5.3 Policies & Procedures Development (Option) 26 Appendix A- Relevant Experience 28 Appendix B - Company Financials 33 Appendix C - Required Information, Forms and Contracts 41 Insurance 41 NOTIFICATION OF PROPOSAL SPECIFICATIONS 41 Hold Harmless Agreement (Please complete) 42 ACKNOWLEDGEMENT 43 EXCEPTIONS 43 PRICING 43 AUTHORITY TO QUOTE 44 AGREEMENT FOR CONSULTING SERVICES 45 e V 1/ Page ii 7/ City of Wylie Cir or mu' Strategic Technology Master Plan Proposal Summary Today, local governments are undergoing a transformation in order to service their stakeholders, constituencies and communities better. The shift to a Digital Government perspective, where information is available on demand, not when supplied, and effectiveness is measured in terms of the quality of service necessitates that Information Services (IS) be lifted from a supporting function to a strategic enabler for the organization. Information Services departments within local governments have traditionally been a tactical function, responsible for simply automating existing functions. Today, however, IS's role has become strategic; they will enable the change to Digital Government. To do this, IS itself must be transformed into a high performance service function, which actively solicits input from the departments, agencies, and governmental organizations it serves. One of the major steps in this transformation is developing a Strategic Technology Master Plan. The work plan proposed will enable the City of Wylie and eGov eGov's Strategic Planning Process Consulting to develop a Strategic Technology Master Plan that redefines how information services resources are managed and v Data Gathering used to both improve service delivery to residents and a &Assessment streamline internal operations. It is a Plan that will align I technology to an enterprise perspective and focus IT investments on those initiatives that will enable significant & Strategy Development& improvement in citywide service delivery and business a Project Prioritization operations. The Plan will also help the City to look forward in its IT initiatives with regard to eGovernment activities, and Plan Development deployment of wireless appliances and office automation. eGov Consulting proposes to complete the Plan in approximately three (3) months, utilizing the services of Stephen Gousie as Engagement Manager and Ernest Pages as Technical Consultant. Throughout the project, eGov Consulting will be providing deliverables to the City of Wylie to ensure that the project and the strategic direction being set are on-track. The table below lists the major deliverables that will be provided to the City and Section 3.0 — Scope of Services and Project Approach, describes the associated activities and method that will be used to complete the project. The final Strategic Technology Master Plan will provide the City of Wylie with a comprehensive blueprint for the next five years, including the best approach for providing IT support and infrastructure. The detailed strategy for implementation of IT initiatives will be developed in order to: • Minimize disruptions to services for existing users • Address ownership and sharing of data • Address integration of heterogeneous systems • Improve the City's operational efficiency in the most cost effective manner. e G [/ Page 1 CONSULTING 1/ City of Wylie C171 o 11'1 LtI Strategic Technology Master Plan This Plan will include architecture independent of any individual vendor's approach to information support services for the various functional units of the City. eGov Consulting will commit its staff as outlined in this proposal to complete the project as described in the schedule and cost proposal. We are committed to ensuring our customers are successful in their efforts to improve service and manage their resources in a thoughtful and responsive manner. e G 00/ Page 2 CONSULTING 7 City of Wylie C„' im W\uE Strategic Technology Master Plan 1.0 Qualifications & Experience At eGov Consulting, our energy, enthusiasm and proven ability to efficiently and effectively accomplish the work elements described in the Request for Proposal (RFP) are demonstrated through the long list of satisfied customers identified in Section 1.4 — Supporting Projects of this proposal. Our customers' satisfaction is paramount in every aspect of the project, from our consulting approach, the quality of our deliverables and, most importantly, the quality of service provided by the eGov Consulting team. Our applied experience includes developing and leading organizations in both the commercial and government markets, and specific experience in engineering, consulting, information technology, personnel training and specifically aimed at city and county governments. 1.1 About eGov Consulting eGov Consulting is an information technology (IT) management consultancy. We specialize in IT operational assessments, IT needs assessments, IT architecture planning, specifications and systems selection, and implementation management. As a nationally recognized consulting firm, we have offices in Miami - Florida, Boston - Massachusetts, and Columbus - Ohio. Our team serves all levels and departments within local government to assist them with their current and future IT related needs. We understand: • the evolving needs of the citizens (city's customers) and the overall requirements of the city to meet those needs • the pressure of what the city departments must do to meet the citizens' needs ■ the demands placed on IT to support the city departments, and • how to help IT groups to create technology support organizations that help customer departments achieve their missions in the most efficient manner possible. This is illustrated below. IT City City's IDepartment Departments Customers Calls for Residents Staffing Systems , Service Su ort Operations Businesses Service pp Inquiries Management Network #. Payments Visitors .fa G G Page 3 C.c NSULiiNC., City of Wylie ci 1(11'WI ill• Strategic Technology Master Plan eGov Consulting's predecessor, Pages & Associates, Inc., was formed in 1989 by Ernest Pages. The company was incorporated in the state of Florida and provided services to local governments since incorporation. In 2005, the company changed its name to eGov Consulting (as noted above), recognizing that this more accurately reflected the company's purpose and customer base. eGov Consulting provides complete government systems consulting services and does not represent any equipment manufacturer or software provider, thus enabling us to keep our solutions unbiased for our clients. Over the years, we have developed a results-focused methodology that allows our team to provide leading edge yet implementable recommendations that align our customers' IT operations, staffing and systems purchases with users' needs. We also have defined and assisted in the implementation of state-of-the-art technologies, such as integrated web-based services for municipal applications, forms based field automation systems, and fault tolerant communications networks. Our staff is comprised of advanced degree, experienced industry professionals. Our applied experience includes developing and leading organizations in both the commercial and government markets, as well as specific experience in engineering, information technology, business and training specifically aimed at city and county governments. We are industrial engineers and management specialists who understand how to analyze, design, plan, procure and implement technology. We stay current in the latest industry trends through participation in the Institute of Industrial Engineers (IIE), Information Systems Audit and Control Association (ISACA), the Institute of Electrical and Electronic Engineers, (IEEE), the International City/County Management Association (ICMA), and the Association of Public Safety Communications (APCO). Our benchmark database is maintained in conjunction with our industry research partner, Computer Economics. 1.2 Staffing Approach eGov Consulting does not believe in "one size fits all" when it comes to assigning personnel to projects. Each member of the team brings their own unique strengths; we align that individual to perform task(s) that best fit their strengths. eGov Consulting takes a team approach to all of our projects which ensures that each member of the team is fully capable of completing their task in a professional and quality manner—we leverage the strength of the Company and our individual team members. In addition, we use a peer review process for all of our work, providing timely review and comments on any deliverable. Section 2.0 — Proposed Personnel provides a detailed description of our staffing approach for the Strategic Technology Master Plan. e G OIV Page 4 CONSULTING City of Wylie alai Strategic Technology Master Plan 1.3 Consulting Approach Over the last two decades, there has been a marked shift in how organizations are viewed, from silo departments with separate functions and outputs, to a system of interlinked processes that cross functions and link organizational activities. Nowhere is this more important than for a growing city such as Wylie. At eGov Consulting, we understand the uniqueness of government organization's mission and purpose and the importance of a Strategic Technology Master Plan. In all cases, we believe that all constituents must have ownership in the formation of the options, the solutions and most importantly the outcome. At eGov Consulting, project management is a carefully planned and organized effort designed to accomplish specific goals and requirements as established in the Request for Proposal. Through our methodology, we work with you to: • Communicate and gain consensus on the tasks to be accomplished in order to achieve the goals and requirements, and • Monitor and communicate progress towards completion of the individual tasks and overall project. Our project management methodology involves dissecting the total project into a series of manageable units called phases, each of which is further broken down into controllable task assignments that can be defined, analyzed, and budgeted with reasonable assurance. Project work assignments are created by developing a specific set of steps tailored to the defined objectives. Each phase results in the completion of a major end-product (deliverable) which provides the findings and recommendations of the particular tasks for management's review and evaluation. Key elements of our approach include the following. • We staff all engagements with experienced and knowledgeable personnel. • We communicate frequently with client management, informing them of project progress and actively involving them in the development and implementation of recommendations. • We establish close working relationships with our clients in order to be continuously aware of their needs and any shifts in priorities. • We consider projects to be incomplete until clients are totally satisfied. • We continually improve our work products and project results through client feedback, technology and vendor analysis, and continuing education. Drawing upon the team's unique blend of experience, we are able to view diverse organizational technology needs, business process needs and human needs using a multi- disciplinary lens. Often simple solutions or recommendations are not available due to staffing and budgeting constraints; creative, but practical approaches have to be considered. Quality of our service and deliverables is built into the process. Our customers demand quality — a very reasonable request, but something that requires careful planning and execution. Simply put: we deliver quality. To ensure this, eGov Consulting plans, develops, compares, measures, and improves our work products and services at every stage. Our staff is committed to assisting the City of Wylie to develop a quality Strategic Technology Master Plan that will meet your short and long-term goals and objectives. e �'` V Page 5 C ONSIILT N(3 lif City of Wylie cm(wv,'WI Strategic Technology Master Plan 1.4 Supporting Projects eGov Consulting's project team has a long history of assisting customers to plan their IT needs and provide sound solutions to their communities. We are proud of the work that we have performed on their behalf. Below is a summary of projects that reference our work efforts and demonstrate our capability to support the City of Wylie's Strategic Technology Master Plan. Our staff members have conducted similar projects to yours for many governmental clients. Examples of some of the numerous strategic technology planning and related projects are summarized in the table below. Detailed descriptions of projects and reference are listed in Section 1.5—References and Project Descriptions. Technology Projects ' 0k4 ` '., Mc .Ai' ?*!'+frr'J ..:3 '"ii'y.T3#. 'm'' w.'?, . .?.v ..^+_, v,- r7"::: '''' ''F'"' rt. '" ''''' Client - Ai i 1 Project Description it_ is r 8 Projects marired In grey are provided'n € Sedlon 1.5—References and Project $a a DescriPticos II a. 0a . EX Allen,TX Citywide IT Strategic Plan Allen,TX Data Center Buildout Plan and Selection ' Allen,TX Public Safety System Plan and Selection Alachua County,FL Sheriff IT Systems&Operations Review Charlotte,NC Police CAD Planning and Selection Charlotte,NC Fire Dept. CAD/RMS Strategic Planning Clearwater,FL Police Computer&Networking Selection Conroe,TX Citywide IT&GIS Strategic Plan Danville,VA Strategic Information Systems Planning Deer Park,TX Citywide Strategic Technology Master Plan Deschutes County,OR Sheriff CAD, RMS, and JMS Systems Planning Fort Lauderdale,FL Network Design, IT Planning and Public Safety Systems Selection Hialeah,FL Public Safety Systems Selection and Implementation Hialeah,FL Citywide IT Strategic Planning Hillsborough County, FL IT Strategic Plan&System Selection Indianapolis,IN Citizen Response Management Systems <191 Planning Jacksonville Beach,FL Citywide IT Strategic Planning Mahoning County,OH Sheriff CAD, RMS, and JMS Systems e G Page 6 C C)N U riN G 'iti City of Wylie CIrvorwrtue Strategic Technology Master Plan Technology Projects lre'r,..,r7lforFilif' CII.ht '� r4 �. , Project.Description l' t Projects marked in grey are provided in Section l S ReferencesandProject ' Descriptions 4 '0, ,-;I- ' 'l"tft Miami International Airport Telecommunications Strategic Planning and Disaster Recovery Planning Miami County,OH Countywide Public Safety Systems Selection Norcross,GA Citywide IT Strategic Plan 0 0 O'Hare International Airport Public Safety Systems Planning Plantation, FL Public Safety Systems Planning& Selection 0 0 ` Plantation, FL Document Management Systems Planning and Selection Plantation,FL Citywide Network Design Palm Beach,FL Systems Strategic Plan Palm Beach Sheriff's Strategic Systems Planning and Systems Office, FL Selection Polk County, FL Information Technology Audit Polk County Sheriff's Public Safety Systems Planning&Selection Office,FL Pompano Beach,FL Public Safety Systems Planning&Selection St. Petersburg,FL Development Services IT Planning Sunrise, FL Public Safety System Planning&Selection Sunrise,FL Citywide IT Systems Assessment and Telecommunications Network Design Sunrise, FL Video Teleconferencing Systems Planning Wayne County Probate Document Management Systems Planning Court and Systems Selection Wichita Falls,TX Citywide IT Strategic Planning Wilmette,IL Police&Fire Systems Planning&Selection World Bank,Country of Telecommunications Sector Privatization Bolivia Yuma,AZ Police and Fire Systems Planning 0 0 e G 04- / Page 7 C. OSULT!NG 7; City of Wylie cm 01 WY Ln• Strategic Technology Master Plan 1.5 References and Project Descriptions Described below are examples of eGov Consulting's project experience working with customers to provide services similar to those the City is seeking. In addition, reference information is listed for each project. Selected Project Descriptions City of Allen,Texas �= Strategic Technology Master Plan CITY OF ALLEN Challenge Rapidly growing city of 75,000 supported by a full-time staff of nearly 450. IT staff had not grown to meet support demands. City departments competing for limited resources for technology to support citizenry, including dedicated IT support. Public safety security concerns of critical importance. Solution Conducted a citywide comprehensive IT systems analysis that, included audits, IT inventory, recommendations, and disaster planning. Developed a Strategic Technology Master Plan that provided a practical, cost conscious approach to implementation of Digital Government and eventual full-scale rollout of web-based services to citizens. The project included: • A review of the current environment • A network and systems assessment • A review of user needs and the operational issues • A discussion of the direction and standards in technology as it relates to software, network and hardware • A review of projects needed to support the recommendations • A 5-year estimated budget and timeline for strategic projects. Follow-On Projects Reference • Data Center Build-Out RFP for a new, centralized facility to house all the City's mission critical systems Sid Hudson and telephony. IT Director • Police & Fire Systems Replacement RFP,vendor 305 Century Parkway selection and implementation support (ongoing). Allen,TX 75013 Phone: (214) 509-4851 shudson@cityofallen.org e G fj/ Page 8 CONSULT;NU j City of Wylie Cin o WYLII Strategic Technology Master Plan Selected Project Descriptions City of Conroe,Texas =# Information Technology& GIS Strategic Plan Challenge Diverse city of over 52,000 whose population has doubled in the last twenty years. Technology application initiatives had been driven in a decentralized manner and technology infrastructure investment had not kept pace with growth. Solution An assessment was performed of the existing key technologies the City used, including municipal applications, GIS, Office Automation applications,the City website, telephony, document management, storage and the wired and wireless networks. User surveys and departmental interviews were conducted to understand use patterns, and satisfaction levels with technology and technology support used in day- to-day operations. In addition, workflow analyses were performed in the major departments. Working closely with the Information Technology and GIS staffs, eGov designed applications and infrastructure architectures to position the City for Digital Government deployment offering expanded services to citizens, residents, businesses and visitors;this included more extensive e-services over the website and implementation of a call center using citizen relationship management software for City customer with limited web access. Critical to the success of the Digital Government expansion was a multi-year development of GIS capabilities, spatial data, and integration with key systems, including Finance, Public Safety, Public Works and Community development. In addition to identifying the key projects involved in the Reference above Digital Government implementation,the Plan included a review of technology alternatives, costs Pam Cobb implications and staffing requirements. These projects IT Manager were reviewed with the IT Steering Committee and 300 W Davis Street prioritized. A calendarized budget of capital and recurring Conroe,TX 77301 costs, including staffing, was included in the final IT Phone: (936) 522-3071 Strategic Plan presented to Council. pcobb@cityofconroe.org e V Page 9 CONSULTiNC 74/ City of Wylie Cinor try u! Strategic Technology Master Plan City of Deer Park,Texas Strategic Technology Master Planning ►,. Challenge City of 30,000 experiencing tremendous change with increasing constituent expectations placing greater demands on City staff and resources. City needed consensus among Directors and Council to guide acquisition of technology and related support resources. Solution Developed citywide technology plan for all city departments. Analyzed current condition of and presented alternative solutions for the following key areas: • Wide area network infrastructure, including improvement of electronic delivery of services to internal and external customers • Secure computing through the City's network with enhanced security services, including secure data paths between each point on the network perimeter and the Internet, intrusion detection/monitoring systems, and best practices • City's website, including appearance, user-friendliness, functionality, improved online presence, quantity of online service options, and the quality of online service delivery • City's mobile application, including increased mobility and access to the City's primary software applications for the purpose of creating a more efficient and effective government • Current Information Technology staff, including implications of the above solutions on the overall staff make-up and sizing, and mixed use of insourced and outsourced resourcing • Current technology policies and procedures. Study included: Reference • Interview of all city departments • Benchmarking of IT Department against industry Linda McHone standards (Information Technology Information IT Coordinator Library(ITIL)) 710 E. San Augustine • Development of technology alternatives Deer Park,TX 77536 • Design of new network and applications architectures. Phone: (281)478-7229 mchone@deerparktx.org e �'` On/ Page 10 CONSULTING City of Wylie c� ,.(*.mill Strategic Technology Master Plan City of Wichita Falls, Texas Strategic Technology Master Planning iialsiit Its TEXAS Challenge Expanding city of 100,000. Municipal systems lacked integration and reporting was very time consuming. Staffing levels, currently at 300, were rising rapidly and were out of proportion with population growth. Solution Developed an Information Technology Strategic Plan,the scope of which involved all City departments. Individual and group interviews were conducted to identify challenges with existing systems, plans for the future and how technology could support them. Special attention was paid to the analysis of the engineering and public works areas for determination of GIS requirements and document management/retention. The project included reviews, recommendations and budget estimates regarding: • Applications systems and the integration of those Reference systems, especially regarding enterprise resource planning Mr.Jim Dockery • Wide area network infrastructure Finance Director • Desktop resources 1300 7th Street, Room • Technology support staff. 202 Wichita Falls,TX 76301 Follow-On Projects Phone: (940) 761-7462 Integrated Systems RFP for procurement of an Enterprise Fax: (940)761-7470 Resource Planning(ERP)system. e G O / Page 11 CONSULTING ' City of Wylie Crm or W ut- Strategic Technology Master Plan 2.0 Proposed Personnel 2.1 Project Team Members For the engagement with the City of Wylie, Stephen Gousie and Ernest Pages will be the primary project members from eGov Consulting. While Stephen will serve as the Engagement Manager, eGov's philosophy is to operate as a collaborative team and divide the project into logical work elements with defined leads for each element. Team members are assigned a specific responsibility that best fits their professional background and experience. In the case of Ernest Pages, he will serve as Technical Consultant. Other staff members may contribute to a specific work element and/or assist in the preparation of the project deliverables. Project team member roles are provided below. Team Member Role Description Stephen Gousie Engagement/ Leads the consulting services efforts by identifying and Technical Manager developing requirements, interacting with customer's stakeholders to refine requirements,communicate project progress, and coordinate. Supports the City to ensure that the project goals and objectives are being implemented in a timely manner and to the appropriate quality standards. Manages the day-to-day coordination of the project and activities, including deliverables,timelines, resources, issue resolution, business process analysis, and project status updates. Ernest Pages Technical Consultant A resource throughout the lifecycle of the project to assist with data gathering, technical analysis and assessments, and development of the project deliverables. 2.2 Key Personnel Background Summaries of the background of Stephen Gousie and Ernest Pages are provided below. In addition, their professional resumes are included in Appendix A. Stephen Gousie has over twenty years of experience designing and developing customized, integrated solutions in the areas of systems integration, municipal systems, e-commerce systems, document and content management systems, wireless data systems, biometric applications, CAD, RMS, fire/EMS RMS, jail and corrections management systems. Steve has been the business manager, program manager and project manager for a variety of client engagements, including web services, client server and legacy integration. He has managed and supported numerous local government and public safety IT-related projects. Steve earned a Bachelors of Arts in Economics from The George Washington University and a Masters of Science in Management from Lesley University. Ernest Pages has over twenty years of experience in information/communications technology design and has been involved with numerous governments and Fortune 500 companies assisting them in strategic planning and implementing systems. Ernest has managed the Information Technology operations for fortune 500 companies. He has designed and procured e G! V Page 12 (70^4sl_ILT+NC. 1/ City of Wylie Ciry orNViL! Strategic Technology Master Plan systems and support services for state and local governments, as well as international governments. Ernest is a Microsoft Certified Professional and has a Florida EIT engineering certification and has earned a Bachelor of Science in Mechanical Engineering, Masters in Business and a Master's of Science in Industrial Engineering from the University of Miami. Ernest has conducted IT training nationwide for Gartner Group/Datapro. Team members referenced above will support the project efforts as described; additional staff resources may also be assigned specific, supporting tasks to complete or assist in the preparation of the deliverables as required. eGov Consulting's team of professionals will bring energy, industry knowledge and a sense of team to the project that will serve your community well during the project and support your efforts to plan for the future. 2.3 Project Responsibilities and Authority A key to the success of any project is to assemble the best team possible to execute the work and provide an efficient and effective structure for accomplishing the project. Our goal is to become part of your project organization while providing a formal structure for accomplishing the work. In the spirit of collaboration, each member of the team adds value and provides a vital role, but only if the Cy of Wylie role is well-defined. The Wylie Project Strategic Tecchnology Master Plan Manager will serve as the main contact and direct the day-to-day activities in City of Wylie support of the- preparation of the Steering Committee Strategic Technology Master Plan. City of Wylie As the figure to the right shows, Stephen Project Manager Gousie will serve as the eGov Consulting Engagement Manager and will be responsible for the overall project management and quality of deliverables. eGov Consulting City of Wylie Stephen will also be the main contact for Engagement Manager Project Resources eGov Consulting and coordinate the Stephen Gousie overall services. Ernest Pages will provide technical consulting. ' eGov Consulting Technical Consultant Ernest Pages e �'` IV Page 13 C C)NSLIL'ING City of Wylie Crn."Wr Li' Strategic Technology Master Plan 3.0 Scope of Services & Project Approach 3.1 Strategic Technology Master Plan Approach eGov Consulting's approach places a premium on communication. Our team of professionals will meet with the City of Wylie's team members to understand where you are today, identify what you want to achieve, and help to create a logical, comprehensive Strategic Technology Master Plan based on facts. Throughout the process, we serve as your advisors, advocates and project facilitators. Working together with your team, we will develop a citywide Strategic Technology Master Plan that will serve the City employees' needs, the community's needs, and the budgeting process. This approach has proven most successful at providing solutions that are both cost efficient and productive for all constituents. eGov Consulting's methodology distinguishes us. Our approach is based on industry- recognized standards and our experience over the last twenty years. We have fine-tuned these standards to meet the specific needs of our customers — state and local government, including IT departments, Public Safety and Communications Centers. eGov Consulting's proven, structured methodology for conducting a review of information technology operations utilizes a collaborative design process and forward-thinking architectural planning. The methodology has been validated using latest industry architecture standards, best practices models, trends and experience. As part of a best practice approach, we will incorporate the Information Technology Infrastructure Library (ITIL) framework. The Information Technology Infrastructure Library (ITIL) is a framework of best practice approaches intended to facilitate the delivery of high quality information technology services. ITIL outlines an extensive set of management procedures that are intended to support organizations in achieving both quality and value, in a financial sense, in IT operations. These procedures are supplier independent and have been developed to provide guidance across the breadth of IT infrastructure, development, and operations. eGov has developed a "hybrid" approach for performing technology strategic planning that both utilizes recognized toolsets and applies an easily understood and common sense approach. The four phases of our methodology are illustrated in the graphic below. For the City of Wylie's Strategic Technology Master Plan project, eGov Consulting support will consist of Data Gathering & Assessment, Strategic Direction & Project Prioritization, and Plan Development. Each of the phases is described in detail below. Sri Di-,chon Findings N yi, m_nt Knuwledye I, hnical Infrastructure a Rt l Transfer a commendations d C.. ,. .I_rnen[ Priorities finical Risk ...*o Arrh_ Ii rtectu re I ransition Plan U7 Investment Plan T c al Support H Vendor Impinmentaaon t oalu d;tion S Management F.Inc•io 1 Needs S�erugn Suppon e.� Data Gathering& Strategy Development& Plan Plan implementation Assessment Project Prioritization Development e G '[/ Page 14 CC.i?4c,11 7 ,NG Mit City of Wylie v w_ Ci MLA-: Strategic Technology Master Plan 3.1.1 Phase 1 — Data Gathering and Assessment We begin with a thorough examination of the information available regarding how each City department utilizes IT systems in support Data Gathering of their business objectives. We collect and examine relevant data a &Assessment regarding • City's strategic direction City Strategic • Customer departments' functional/business needs Direction • Current technical infrastructure and application architectures Functional/Business • Current standards and protocols being used • Associated technical risks, and Needs • Performance of the organization when benchmarked against Infrastructure & IT industry best practices for local government organizations of Application Architectures similar size. Data will be collected from the users of technology throughout the Technical Support City through an electronic survey; data will be collected from the customer departments through individual and group interviews. eServices Delivery We will also conduct an examination of physical technology sites (e.g., data center, server rooms, technology "closets") around the City, examine wired and wireless network topologies, and review Technical Risks any documentation, policies and procedures available. &Best Practices (ITIL) The data collected will include such elements as physical • inventory, system locations, system assignments, availability and criticality of software or hardware, or any other elements desired as part of the interview/survey process and the information that we need for the development of the Plan. Through our assessment of the data, we bring together business strategy, control requirements and technical needs in a framework that can be managed toward the stated project goals and objectives. Our assessment framework is built upon the latest industry and governmental best practices for IT functions, including the Information Technology Information Library (ITIL). During this phase, we examine the following key areas: • Functional and Business Needs — IS's customers' needs are assessed at two levels: the end users and the departments in which they work. ► An eSurvey is conducted of all end users currently using computers to determine the level of automation and its usage throughout the City. This is typically administered over the internet, though it can be delivered on paper if so desired. ► Following the collection of these surveys, interviews/focus groups are conducted at the Departmental level to review current departmental systems and identify opportunities for automation improvements. The focus will be on the use of technology to help the Departments' achieve their missions. Consultants will share with Department heads their experiences with other cities' use of automation. e GO4V Page 15 i ON5UiTiNG I/ City of Wylie g��Mun, Strategic Technology Master Plan • Infrastructure and Application Architectures - Assess the City's current technology infrastructure including, but not limited to: ► Network: topology, wired, wireless, hardware, management software, security and controls, capabilities and capacity ► Infra- and Inter-departmental applications, functionality and interfaces including key municipal applications, office automation, document management and imaging ► Existing hardware and software assets ► Standards and protocols • ► Mobile computing, including: wired and wireless technologies (applications and devices) for remote access, always- and sometimes-connected technologies, wireless (802.11 x) hot spots • Technical Support—Assess the function and operations of the IS Department, including: ► Level of organizational staffing ► Organizational structure ► Segregation of duties among the IT staff ► Decision-making capabilities, authorization and process ► Available policies and procedures ► Staffing and support issues, both in-sourced and outsourced • eServices Delivery — Assess the ability of the City to provide electronic Services to residents through a variety of means, including though not limited to the City's website, kiosks and call center. Review the effectiveness of the City's website and kiosks, if available, to support eService delivery based on industry standard municipal use cases; review user interface (UI) for appearance, navigability and effectiveness at providing access to key functionality; review how resident help desk calls are handled. Review the effectiveness of the City's call center, if available, to support eService delivery to residents with limited access to the Internet; review call handling methods and workflow. Review backend integration to all eService Delivery functionality and its effectiveness to speed City responsiveness and minimize rework for the City staff. • Technical Risk — High-level assessment of the City's overall IT risks using the Information Technology Infrastructure Library (ITIL) standards, including the following: ► Service Desk ► Availability Management ► Service Management ► Capacity Management ► Incident Management ► Infrastructure Engineering ► Problem Management ► System Administration ► Configuration Management ► Security Administration ► Release Management ► Directory Services Administration ► Change Management ► Network Administration ► Service Level Management ► Service Monitoring and Control ► IT Service Continuity Management ► Storage Management ► Financial Management for IT A cornerstone of this analysis is verifying that the IS Department both documents what it is supposed to be doing and does what it has documented. Failure to perform according to specifications, or to have specifications against which performance is measured is a cause for concern. This analysis includes a high-level review of the Department's standard policies and procedures. e G Page 16 (I N ' City of Wylie c -)(4 IA)LII• Strategic Technology Master Plan At the conclusion of the analysis, vulnerabilities will be documented. For the City of Wylie Strategic Technology Master Plan, eGov Consulting will focus on City Departments' current IT infrastructure and uses, supporting applications, infrastructure requirements (both current and any additional requirements), and current inventory as well as future needs. The deliverables for this phase are: ■ A web-based, end user eSurvey v • Kickoff presentation to the technology steering committee ro • Departmental interviews >> • Information Services Department interviews o • A review of the findings, including the departments' functional / business needs, current technology infrastructure and applications, standards and protocols currently in place, technology risks, and performance against industry best practices, including examples of where these practices are in use in similar sized Cities 3.1.2 Phase 2—Strategy Development & Project Prioritization Based on the findings in previous phase, the eGov Consulting team will develop a draft strategic technology direction for the N Strategy Development& .. City. t Project Prioritization a Typically, the strategy will be based on the following principles, I I though these may be altered and others added to meet the Strategic Technology specific needs of the City: Direction • Gaining maximum utility from currently owned systems to the Infrastructure Projects & extent practical Process • Working with an appropriate hardware platform that will have the capacity to accommodate growth during the years Application Projects & covered by the Plan Process • Integrating communications systems with hardware and Project Management software, and network (wired and wireless) for optimum office connectivity and access to systems • Adopting best use technology platforms for desktops and Organizational Structure network infrastructure • Standardizing hardware and software (including applications) specific to the organization's operating Staffing, Resource departments to improve overall efficiency of operations, Sourcing& Deployment minimize support costs and minimize the number of systems I I interfaces to be maintained • Providing appropriate training, staffing and support of IT resources and planning for future needs. e /�'` 'I/ Page 17 ONSULTING City of Wylie Ciror WWI Strategic Technology Master Plan The strategic technology direction will be supported by a set of project recommendations to implement that strategy; recommendations will include: • Future state of the infrastructure architecture, including required projects and process changes • Future state of the applications architecture, including required projects and process changes • Changes to technology project management processes • Changes to organizational structure to improve process and efficiency • Adjustments to staffing, resource sourcing and deployment to support the above projects, as well as improve process and efficiency • Estimated project costs, including support, maintenance, integration, operating and any additional capital expenses necessary to support the recommendations. The goal is to develop recommendations to utilize existing infrastructure and applications with the least additional costs. However, if operational efficiency and/or management effectiveness/efficiency are best served by modifying/adding to infrastructure or applications, those recommendations will be made and supporting information provided (e.g., benchmark data for local governments, economies of scale, case study comparisons to similar size Cities) in order to assist the City with prioritization decisions in the next phase of the project. With the findings and recommendations provided to the City with sufficient time for review, -�- eGov Consulting will conduct a Prioritization Workshop with the technology steering committee or key stakeholders. During this session, the committee will discuss, modify and adopt the Strategic Technology Direction as the guidepost for the next 5 years. It will be used to validate the recommended projects list. Once the Strategy is established, eGov Consulting will assist the committee with establishing the criteria and process for prioritizing strategic projects; we can also provide a recommended prioritization and rationale as a baseline for the committee to use. The deliverables for this phase are: • Strategic Technology Direction • Project Recommendations • Prioritization Workshop • Prioritized Projects List • Estimated Projects Costs (i.e., capital, recurring) • Project Management Recommendations • IS Organization Recommendations • IS Staffing, Resource Sourcing (internal/outsourced) and Deployment Recommendations, including those implied by Projects Recommendations e GOO/ O/ Page 18 (ION`,ULTING tic City of Wylie cress W'L I Strategic Technology Master Plan 3.1.3 Phase 3— Plan Development Once consensus is developed with the committee, the eGov Plan Development Consulting team will develop the Strategic Technology Master Plan. The Plan will include: i • Findings—The final version of the data collected and validated Plan Drafted during the Data Gathering/Assessment Phase that is used as the basis for the recommendations. • Strategic Technology Direction — The final version of the Reviewed strategy selected by the committee, including diagrams illustrating the infrastructure and application architectures. • Prioritized Projects List — Prioritized initiatives/programs as Updated established during a Prioritization Workshop. • Investment Plan — Calendarized budget describing the Presentation to Council investment required during each phase of the Plan. • Non-Project Recommendations — Any non-project recommendations made by the eGov Consulting during the strategic planning process. iv The deliverables for this phase are: • Draft Strategic Technology Master Plan o ■ Final Strategic Technology Master Plan • Presentation to Council eGov Consulting will provide the City with twelve (12) complete and bound printed sets of the final version of the Strategic Technology Master Plan; in addition, the STMP will also be provided on two (2) compact disks in the Microsoft software format of the City's choosing. 3.1.4 Plan Implementation In addition, eGov Consulting can provide you with the support to implement the recommendations and plans we helped you develop. Though not part of the original scope of services, eGov Consulting offers a full array of services to assist you with any of the following: ■ Requirements & RFP Development: Develop requirements, both functional and technical, in the form of an interim deliverable Requirements Matrix and/or a final deliverable Request for Proposal/Quotation. Leveraging our knowledge of the industry, ensure that the RFP/RFQ is received by all key vendor candidates. Deliverable The deliverable for this sub-phase is typically a Requirements Matrix or an RFP/RFQ. ■ Vendor Evaluation & Selection: Assist you with proposals evaluation, including review for compliance, completeness and quality; reference checks; and, prioritize responses based on best match for you. Deliverable The deliverable for this sub-phase is consulting services leading to vendor selection. e G Pis/ Page 19 C 0'4SULTiNG City of Wylie Ctrs or Wv ui Strategic Technology Master Plan • Implementation Management Support: Assist you with the management of the project and the vendor(s), providing both business and technical assistance as needed, to ensure that the project is completed on-time and on-budget. Deliverable The deliverable for this sub-phase is consulting support services. • Knowledge Transfer: As with most IT organizations, yours may have knowledge gaps that occur because of unfilled positions or changes in technology. Either as part of a project or as an ongoing service, eGov Consulting is available to answer questions, guide discovery and/or provide knowledge transfer to IT staff in technical or business areas. For more critical needs, eGov Consulting can also provide formal training, either one-on-one or group sessions. Deliverable The deliverable for this sub-phase is consulting support services. Our approach is field-proven, structured, replicable and scalable — leading to shortened project schedules and lowered overall project costs. 3.2 Our Current Project Understanding Along with many other cities, Wylie has experienced tremendous change over the last decade. Increasing constituent expectations have placed greater demands on City staff and resources. As a result, the City intends to develop a Strategic Technology Master Plan to guide in the acquisition and support of Information Services resources for the next five years. The Strategic Technology Master Plan will prioritize and identify costs for new technology initiatives and serve as the blueprint for the City's annual operating budget and capital improvement plan. While the City of Wylie is committed to the effective use of technology in improving customer service, productivity and public access to City information, the resources to do this must be prioritized with other City Services, and between prospective technology applications. The City is seeing an increasing desire to use technology, and needs to review its current operations and plan for the future. The City of Wylie staff will evaluate where the City is and where the City needs to go to ensure that the investments that are currently being made today in technology will support the City in the future and are consistent with the overall vision and mission of the City Management. The City seeks the services of a consulting organization to help them develop the City's Strategic Technology Master Plan. The objectives are to provide an assessment of the current information technology systems to determine the suitability of systems to meet the needs of the City. The intended result for the strategic plan is to give the City a comprehensive blueprint for the next five years including the best approach for providing IT support services in terms of hardware, software, programs, and staffing. This will include a detailed strategy for implementation that minimizes disruption of services to existing users and addresses ownership and sharing of data and integration of heterogeneous systems, while improving operational efficiency in the most cost effective manner. This plan will utilize an architecture independent of any individual vendor's approach to information support services for the various functional units of the City. The assessment will result in recommendations for improvements to existing systems and new systems, and for meeting expected needs now and over the next five years based on a review e G Page 20 aNSlj_r INi / City of Wylie Gnaw.W Lu Strategic Technology Master Plan .4- of the City's goals and mission. The strategic plan will give the City direction on IT program development, as well as prioritizing current and future program development needs. The development of the strategic plan will be based on the City's mission statement, goals, and policies and on feedback gathered from City Council, Mayor and Administration as well as City Departments Heads and user community. The Plan includes a comprehensive assessment of the City's current technology environment, including overall technology philosophy and analysis of the City's current hardware and software inventory. In addition, the consulting firm will work with the City in identifying areas or processes within the organization that could benefit from technology-based solutions that would improve overall operational efficiency and responsiveness to citizens. The Plan also includes recommendations on "next steps" for eGovernment, City IT infrastructure, wireless applications, including remote access and office automation (citywide document management and records imaging). The overall Strategic Technology Master Plan will document the City's vision regarding the application of information technologies and present both short and long-term strategies directing the City towards its goals. The implementation plan will provide a basic outline of the means and priorities by which strategies and programs can be implemented. Since the Strategic Technology Master Plan will be used as a technology implementation guide on how the City should proceed with the implementation of new systems and better utilize their current IT infrastructure, the plan will be easy to manage and maintain on an on- going basis. . In addition to the general requirements identified above, eGov Consulting will provide the following services and deliverables. The deliverables will document why the (recommended) specific path was selected and how it addresses the problems and deficiencies, state goals and opportunities, as well as the benefits that should be attained. Pros and cons of other, not recommended, paths of development will also be identified, where appropriate. The recommendation will include such variables as management, risk, annual budget impact, benefits, comparison to industry benchmarks, staffing requirements, services and service delivery outcomes, infrastructure requirements, security requirements, disaster recovery, and business continuity planning. Requirement& Deliverable Minimum Address in this Proposal 1. Assess existing wide area network infrastructure and make Assessment of the network is recommendations for improvements that will improve the covered in Phase 1-Infrastructure electronic delivery of services to internal and external and Applications Architectures. customers. During this phase,eGov Consulting will meet with IT, review the An assessment of the City's existing wide area network topology, hardware and software including topology, problems and deficiencies, cost,and the utilized on the network, both wired ability to meet current and future bandwidth requirements and wireless, and discuss options of the City. with the IT staff. It is understood that the chosen option must be able The Consultant will provide a recommended path of to support VoIP. development for the City's wide area network.The recommendation should be capable of supporting VoIP. e G o[/ Page 21 CNSULTHN��C I/ City of Wylie (IT)of m u t Strategic Technology Master Plan Requirement& Deliverable Minimum Address in this Proposal Specifically,the analysis should include the possible use of Recommendations are identified in wireless technologies, private fiber, leased circuits and any Phase 2—Infrastructure Projects additional infrastructure options that may be applicable. and Process; network(WAN) The Consultant's recommendation will document why the recommendations will be presented specific path was selected and how it addresses the with the rationale for selection;this includes a proposed topology.We problems and deficiencies,state the goals and opportunities, will also present other viable as well as the benefits that should be attained. Pros and options and reasons for not cons of other, not recommended, paths of development selecting them. should also be identified.The recommendation should include such variables as management, risk,annual budget After prioritization has occurred, impact, benefits,comparison to industry benchmarks, those recommendations that the staffing requirements,services and service delivery City has chosen to adopt will be outcomes, infrastructure requirements, security incorporated into the Strategic requirements,disaster recovery,and business continuity Technology Master Plan. planning at a minimum. 2. An assessment of the City's current state of security in the Assessment of the system security is City's computing environment including a vulnerability covered in Phase 1- Technical Risks. assessment, problems and deficiencies, cost, and the ability During this phase, eGov Consulting to meet current and future security requirements of the City. will meet with IT, review the current systems/network security and The Consultant will provide a recommended path of controls, including hardware, development for enhanced security measures for the City's software, protocols, policies and computing environment. The recommendation will include procedures.These will be evaluated at a minimum, multi-level security planning; intrusion using industry benchmarks and ITIL. detection systems; authentication processes; and best Recommendations are identified as practices policies. part of Phase 2—Infrastructure Projects and Process;this includes The Consultant's recommendation will document why the recommended enhanced security specific path was selected and how it addresses the measures. problems and deficiencies,state the goals and opportunities, as well as the benefits that should be attained. Pros and After prioritization has occurred, cons of other, not recommended, paths of development those recommendations that the should also be identified. The recommendation should City has chosen to adopt will be include such variables as management, risk, annual budget incorporated into the Strategic impact, benefits, comparison to industry benchmarks, Technology Master Plan. staffing requirements, services and service delivery outcomes, infrastructure requirements, security requirements, disaster recovery, and business continuity planning at a minimum. 3. Assess the City's website for appearance, user-friendliness, Assessment of the website is and functionality and make recommendations for an covered in Phase 1 as part of the improved online presence. Recommendations should include eServices Delivery assessment. an increase in the quantity of online service options as well Recommendations are identified as the quality of online service delivery. and prioritized as part of Phase 2- e G V Page 22 C C,4S!u rq,J , City of Wylie On or m ui Strategic Technology Master Plan Requirement& Deliverable Minimum Address in this Proposal An assessment of the City's web site including problems and Applications Projects and Process. deficiencies, cost, and the ability to meet current and future Website recommendations will be online service delivery options for the City. The Consultant presented with the rationale for will provide a recommended path of development for the selection.We will also present other City's website. The analysis should evaluate the options of viable options and reasons for not in-house or outsourced services for the development and selecting them. maintenance of the City's website. After prioritization has occurred, those recommendations that the The Consultant's recommendation will document why the City has chosen to adopt will be specific path was selected and how it addresses the incorporated into the Strategic problems and deficiencies, state the goals and opportunities, Technology Master Plan. as well as the benefits that should be attained. Pros and cons of other, not recommended, paths of development should also be identified. The recommendation should include such variables as management, risk, annual budget impact, benefits, comparison to industry benchmarks, staffing requirements, services and service delivery outcomes, infrastructure requirements, security requirements, disaster recovery, and business continuity planning at a minimum. 4. Assess the City's existing mobile application options and Assessment of mobile computing make recommendations for increased mobility that includes (i.e.,applications and devices) is access to the City's primary software applications for the covered in Phase 1—Infrastructure purpose of creating a more efficient and effective and Applications Architectures. government. Recommendations regarding remote access, public safety, permit An assessment of mobile applications currently in use and inspection processes, meter including problems and deficiencies, cost, and the ability to reading operations,and "wireless meet current and future mobility requirements of the City. hot spot" provisioning are identified The Consultant will provide a recommended path of development for mobile computing. Specifically, the and prioritized as part of Phase 2, research should include the possible use of web-based and both Infrastructure and Applications wireless technologies for: remote access, public safety, Projects and Processes. Mobile recommendations will be presented permit and inspection processes, meter reading operations, with the rationale for selection.We and "wireless hot spot" provisioning for the community. will also present other viable options and reasons for not The Consultant's recommendation will document why the selecting them. specific path was selected and how it addresses the problems and deficiencies, state the goals and opportunities, After prioritization has occurred, as well as the benefits that should be attained. Pros and those recommendations that the cons of other, not recommended, paths of development City has chosen to adopt will be should also be identified. The recommendation should incorporated into the Strategic include such variables as management, risk, annual budget Technology Master Plan. impact, benefits, comparison to industry benchmarks, staffing requirements, services and service delivery e G W Page 23 CC U•! UL NG 1.4/ City of Wylie C1TY01 uI Strategic Technology Master Plan Requirement& Deliverable Minimum Address in this Proposal outcomes, infrastructure requirements, security requirements, disaster recovery, and business continuity planning at a minimum. 5. Assess current Information Services staff levels and make Assessment of the IT staffing levels recommendations regarding staffing based upon the is covered in Phase 1—Technical implementation of the STMP. Support and as part of a review of IS Department operations. Comprehensive report of recommendation for staff Staffing will be benchmarked using requirements to implement Strategic Technology Master industry standards.Change Plan.Analysis should include the possibility of staff recommendations will be based reductions,additions,consolidations,or outsourcing needed upon:the strategic direction for the implementation of the Strategic Technology Master adopted,the most efficient Plan. Recommendation should include organizational organizational structure to support placement,job description,desired certifications and skills, IT's customers,the prioritized education requirements,and cost estimates for each staffing projects list,and most efficient option. sourcing(insourcing/outsourcing). Recommendations are included in Phase 2—Project Management Office;Organizational Structure; Staffing/Resource Sourcing/Deployment. The final Plan will include a Staffing section documenting organizational placement and structure,job descriptions(including certifications, skills, and education requirements), and loaded salary estimates. 6. Assess current Information Services policies and make Assessment of IS's policies and recommendations for improved policies and procedures. procedures is covered in Phase 1 as part of the Technical Risk and IS Summary of recommended information services policies Department operations reviews. including specific topics to be addressed in the policies. The Plan will include: Creation of the actual policies and procedures is not part of • A table of contents for the STMP deliverable; however sufficient detail is required technology policies and related for each topic. Respondent to include complete standard operating procedures development of policies and procedures as an option. • A template for policies • A template for processes and procedures. An optional estimate for the development of technology policies and procedures for the City is included in this proposal. See Section 5.3 for more details. eG t�.c Page 24 CONSULTING 7 City of Wylie Strategic Technology Master Plan 4.0 Project Work Plan and Proposed Schedule A detailed Work Plan has been developed to address the City's objectives. The Work Plan for this engagement will occur in three (3) phases. All three (3) phases are identified in the project schedule below and detailed in this section. Briefings for the City of Wylie's management team will occur at the discretion of the City Project Manager, but at least at the end of each task. The briefings can occur via conference call or face-to-face meetings depending on the needs of the overall project team. The project can be completed within a period of approximately three months from the date of written notice to proceed, depending upon turnaround of deliverables by the City and calendar conflict with City holidays and schedules. The Project Schedule below can be adjusted based on the needs of the City. Project Schedule City of Wylie, Texas Strategic Technology Master Plan PROJECT PHASE STARTING ENDING 200 Q Proposal Deadline 3/12/08 3/12/08 L �JC7 Contract Award/Council Presentation 3/25/08 3/25/08 Phase 1 -Data 3/31/08 5/16/08 March April Gathering/Assessment 1 1 2 3 4 5 Data Collection&eSurvey 3/31/08 4/11/08 2 3 4 5 6 7 8 6 7 8 9 101112 Project Kickoff, Departmental 4/14/08 4/18/08 9 101 1 12 13 1415 13141516171819 Interviews&IT Interviews/Review 16171819202122 202 23 4.2526 Develop Findings Review 23 24 25 26 27 28 29 2728 Deliver Findings Review 5/9108 5,9/08 3031 City Provides Feedback on May June Findings Review 3 1 2 - 4 5 6 7 Phase 2-Strategy Development& 5/19/08 6/3/08 4 9 10 8 9 1011 121314 Project Prioritization Development of Strategic 11 i �`�17 15161 18192021 Technology Direction& Projects List 5/19/08 6/2/08 18192021 222324 2 . Prioritization Workshop 6/8108 i woe 25 2627 28 29 30 31 •30 Phase 3-Plan Development 6/4/08 6/21/08 July August Development of Draft Plan 6/4/08 6/20/08 1 2 3 4 5 1 2 City Reviews Draft IT Plan 6 7 8 9 101 1 12 3 4 5 6 7 8 9 Revise Plan 6i30:08 72'08 1314 151617 1819 101 1 1213 14 1516 Final Plan 7 3 00 2021 22 23 24 2526 17 18 19 20 21 2223 Presentation of Plan ' 8 U 1 BC? 27 28 29 30 31 24 25 26 27 28 29 30 Please note: 31 -- The City of Wylie has been provided one week to review documents, beginning on the start date listed in the table above.If additional or less time is needed, the schedule can be adjusted. The date of the Strategic Technology Master Plan presentation can be adjusted based on City's availability. e G ' Page 25 74( City of Wylie Cry or 'in Strategic Technology Master Plan 5.0 Project Costs • The total project costs for professional services for the Wylie Strategic Technology Master Plan are represented below in Section 5.1 — Project Cost Detail. Based on the scope of work description, deliverables, and our proposed method for conducting the services outlined in our proposal, our"Not-to-Exceed'total cost of$47,560 as outlined below. 5.1 Project Cost Detail Hours Charges Activity Completed Gousie Pages Total pL-n,r Trn.+I Phase 1—Data Gathering&Assessment eSurvey,Project Kickoff&Interviews(Onsite) 48 40 88 $11,440 $3,360 $14,800 Findings Review 40 24 64 $10,400 $0 $10,400 Phase 2—Strategy Development&Prioritization Workshop Prioritization Workshop(Onsite) 32 16 48 $6,240 $2,080 $8,320 Phase 3—Plan Development Draft Plan 40 16 56 $7,280 $0 $7,280 Final Plan 16 4 20 $2,600 $0 $2,600 Presentation of Plan(Onsite) 8 8 16 $2,080 $2,080 $4,160 192 116 308 $40,040 $7,520 $47,560 5.2 Billing Though the payment schedule will be agreed as part of the contract, eGov Consulting proposes that project billings be structured as milestone payments based on the completion of each Work Element of the project as represented in Section 5.1 — Project Cost Detail and on an approximate schedule as represented in Section 4.0 — Proposed Schedule. The billing rate for all personnel on the project is $130 per hour. 5.3 Policies & Procedures Development(Option) Upon completion of a review of the policies and procedures, the City will be provided with a table of contents of industry standard policies and procedures, and templates for both policies and procedures. As noted in the RFP, creation of the SOPs is not part of the deliverable of this project. The City requested that we provide detail for complete development of policies and procedures as an option. e G Page 26 L 0 SULTING City of Wylie el o w}uI• Strategic Technology Master Plan Since no information is available on the current status of existing SOPs for the IS Department, we have used the following assumptions: • There are no Standard Operating Procedures (i.e., policy, process and procedural information) in any usable form supporting the IS Department today. • The number of unique policies and procedures needed to support the IS Department will number approximately one hundred (100). • Since these will be written specifically — and not generically — to support the Department, specific content will have to be gathered from the subject matter experts within the Department. • The average length of each SOP will be 3 pages. • The average length of time needed to write each page, including content gathering/interviewing, drafting and editing is 2.5 hours per page. This assumes the use of the templates provided as part of this project in the development of the SOPs. Based on these assumptions, it is estimated that the development of the 100 SOPs will take 750 hours. Our billing rate for a Documentation Specialist/Technical Writer is $75 per hour, making the cost of professional fees for development of the SOPs $56,250. It is expected that the development of the SOPs will require two person weeks onsite for data gathering, with another person week spent with the City in review. Expenses related to this are estimated at $5,600. The total cost of this effort is estimated to be $61,850. A more refined scope for the SOPs will be defined as part of the recommendations process where a Table of Contents specific to the City is identified. eGov Consulting can work with the City of Wylie to examine ways to lower the cost of this effort, including: (a) reducing the number of SOPs by eliminating those that have the least value to the City and/or (b) using existing materials already developed internally. e G ♦ Page 27 C0NSULTiNG WI City of Wylie Ca ot\\ Lm Strategic Technology Master Plan Appendix A — Relevant Experience This section includes the following documents: V Relevant experience of Stephen Gousie V Relevant experience of Ernest Pages e G V Page 28 CONSUL'iNG ' City of Wylie ctnf}}W ui Strategic Technology Master Plan Stephen Gousie stephen.gousie@egovcs.com Professional Experience Twenty years of professional experience working with organizations to fully leverage legacy, current and future Key Clients technologies to achieve their strategic goals and objectives. city of Allen 0-'0. city of Mr. Gousie has helped local government organizations and Conroe CT City of Dear Park (Tx) Polk County . city of agencies to establish their technology direction and strategy, oxna,ri IC,°o, city of Norcross and create plans to achieve that direction. In the area of (GA , city of Colu�7,hos (OH), implementation,Mr. Gousie has led teams providing )acksonvine peach IFS), Mauiintegrated solutions in the areas of: municipal systems (HI) Poll( r Departioont, PoIk (financial/human resources/planning,building zoning/public County (EE) Sheriffs office, works/public safety),document and content management Passaic County (NJ) sheriff's systems,business intelligence and analytics, ecommerce office, N1ont4;ornery County systems,wireless data systems,biometrics, computer aided (AEI Sheriff's Oftii_e. dispatch systems, police records management systems, fire/EMS records management,and jail management. Sample Vendor Experience Mr. Gousie has been the business manager, program manager SunGirard H it, I-Nrnsen, New and project manager for a variety of client engagements, World Systems, Tyler Munis, including web services,client server and legacy integration. Tyler Hen, PeopleSoft, oracle, firehouse E'nert,er'cy Sample Client Engagements Technolop;ies, Motorola, CrossM<3Dto NEC, DdtaRadlo, Strategic Assessment and Planning. FADS, IBM, Identix, Typical Engagement: Establishing long range plans for Microsoft, Netrnotior' organizational use of technology resulting in a Padconi IPC/Positron, smiths strategic plan typically five-years in scope. Heimann, Sun Microsystems, Sys(on, Trite(h, Ti Responsibilities: - Principal client contact. Key Qualifications - Gathered, documented management and end user requirements for technology utilization/upgrade. Integrated Municipal - Researched technology industry best practices and Systems standards to leverage state of the art methods. ► Document Management - Established industry direction by investigating ► eCommerce Systems current/planned third party vendor technologies. ► Business Intelligence anti - Worked with the client to develop and build Analytics consensus around a strategic direction and a plan ► Police, Eire;LMS RMS for long range technology assimilation. Jail Ma„agernent - Developed phased plan and budget that paralleled strategic direction. e G V Page 29 74/ City of Wylie C»�>r R1 uI Strategic Technology Master Plan Stephen Gousie Areas of Expertise Operational & Efficiency Reviews. Typical Engagement: Examining current IT operations :'tort n.'.anaE,eineut using external benchmarks (e.g., ITIL) in order to: Process - Identify areas of risk in applications, infrastructure Re�)n;,ineenn - Identify possible efficiency improvements in the ► Ceasersus B_,;Ici ait areas of service management, project management ► Chau; e r✓�ar�a-e«sera - Align staffing and organizational structures to ► 'saucier I<no.a-led�,t overall strategy,objectives and projects ► hr,�,r�,rrh Responsibilities: - Principal contact with partners and client. - Led team in assessment,development of Education recommendations,consensus building and report development. ► N1S, A1,enac'ernent. Lesley t�ni�.��rity Czar„bridge, Integrated Systems Design and Implementation. Typical Engagement: Integrating application suites which ► P.S Lc onon,ics Tha may including any combination of the following: ... Georgfr 'VS Snin?ton - Enterprise document and content management l!niversity, 'vVashinpton' systems. [)C - Document management and imaging systems. - Business intelligence and analytics software. - eCommerce systems. Professional Affiliations - Computer-aided dispatch systems. ► I,iterrational City/County - Mobile data communications. r�lara errent Association - Records management systems. - Jail management software. ► Association for - Livescans and other biometric systems. Cc;rnl;utina Machinery Responsibilities: ► Ir ter raMona1 Society for - Principal contact with client and vendor partners. Pc'rforrna"_e - Defined use cases and workflows. Irnprover)ent +,ISPIC past ba,�t?r r,rpsident - Developed change management plan, including member marketing to the public, internal user acceptance, ► American Public Safety process and procedural changes,and training. Conrrli.inrcations Officers later national �APCo;, Previous & Additional Experience. „ber ► NEC Solutions America,Government Systems Niteo Partners/Zefer, eCommerce Division -- ► Information Mapping, Content Management Division ► U.S. Customs Service,Analytics &Systems Training e G Page 30 C.C�)NSIILT NC, tti City of Wylie cryoy Wv ur Strategic Technology Master Plan Ernest Pages ernest.pages@egovcs.com Professional Experience Twenty years of experience in information/communications technology design with numerous governments and Fortune Key clients 500 companies assisting them in strategically planning and implementing systems. Des( County, (OR). Maui (HP County Police City of Pompano year h (1-1), City Mr. Pages has managed the Information Technology of Fort Edodercidle (F[) operations for fortune 500 companies as well as designed and Cha lotto-Mecklonbut, procured systems and support services for local as well as County(NC) Polio f-Ire, International Governments. City of Yum.r IAL}, HilIt horou ;h County (FL) Mr. Pages has conducted systems,networking, Sheriff's Offir c telecommunications,and project management training nationwide. Key Qualifications Sample Client Engagements ► II Inlroctructmrs Gw.,errirr,ent IT Systeriis Strategic Assessment and Planning. ► Poli(e, Fire/EMS RrviS Typical Engagement: ► Wireless Data Systems - Perform detailed functional and technical analysis ► [_IncUn,rent Manapennent of General Government and Public Safety infrastructure, current and planned. Areas of Expertise - Develop recommendations and alternatives. - Identify organizational design impact of ► Syster7is Aradits recommendations. ► Network Design - Identify budgetary impacts and cost savings; ► Mobile Infrastrnrtares conducted cost/benefit analysis as required. ► Toreconimnnicationc - Work with client to manage consensus building. Trwirir,,r Responsibilities: ► Consensris 6uildirru - Principal client contact. ► Project Management - Project manager. - Serve as client's technical advisor as needed. - Lead team of consultants auditing infrastructure, conducting interviews,analyzing data and developing recommendations. - Present findings, recommendations. Direct consensus building efforts. e GO1V Page 31 c: C)N;Ifi iNG 14/1 City of Wylie CIT\OF WWI.I. Strategic Technology Master Plan Ernest Pages Education Systems Design and Management. Typical Engagements: BS, s9echa u l l F n tineering, - Perform detailed analysis of network operations, Flo�idr, Atlantic develop architecture,supporting university recommendations. MBA, University of Miami - Develop strategy, network infrastructure design MS. Industrial I.pioneering and comprehensive Request for Proposal (RFP), University of Miami including Integrated Municipal Systems, Public Safety Systems,mobile data terminals (MDT). RFPs included functional specifications, network Professional Affiliations interfaces,and contractual requirements. - Consult to senior IT managers to change culture Intormation Systems Audit and direction of department, including personnel, Control Association organization, processes, procedures,technology. International City!County Responsibilities: M�n� ement - Technical advisor. AS>or.lotion - Lead team of consultants auditing infrastructure, Institute of Man ito rnent conducting interviews,analyzing data and Scient o developing recommendations. institute of [lei tr al and - Support client as technical expert,present or t ler tronic Lny,iner'rs testifying with regards to findings, Institute of industrial recommendations with budgetary and other I ngineers support organizations. Technology Training. Professional Certifications & Courses Developed and Presented: Registration - Local Government On-Line - Information Technology in Local Government Certified Inter mation System - Data Communications&Network Design Auditor (cisA) - International Telecommunications Microsoft Certified ProfessionaI (MCP) Venues: State of Florida, LIT Number - Gartner/Datapro ASH T 2 5<t - University of Miami - Florida International University Previous & Additional Experience ► Dorsey-Pages LLC, Principal ► Deloitte&Touche, Management Consultant ► Siemens Communications, Comm. Software Specialist ► Nortel Networks,Systems Engineer e G Page 32 /4( City of Wylie Ceti W ii Strategic Technology Master Plan Appendix B — Company Financials A letter from eGov Consulting Services' auditor, Mahoney, Fiorentino & Company, P.C., and our 2006 Financial Statement are included in this appendix. e G V Page 33 CCNSULT,r16 pit City of Wylie cl-n 'r),\)ut Strategic Technology Master Plan eGOV CONSULTING SERVICES,LLC COMPILED FINANCIAL STATEMENTS FOR THE YEAR ENDED DECEMBER 31,2006 • e G 051V Page 34 c�*a;l.UL c; 7/ City of Wylie c1- or W) n Strategic Technology Master Plan CONTENTS PAGE Accountants'Compilation Report 1 Financial Statements: Balance Sheet 2 Statement of Operations 3 Statement of Members'Equity 4 Statement of Cash Flows 5 eGOIV Page 35 CONSULT,NG City of Wylie C171 WN ui Strategic Technology Master Plan Mahoney, Fiorentino & Co., P.C. Certified Public Accountants To the Members eGov Consulting Services,LLC Reading,Massachusetts ACCOUNTANTS'COMPILATION REPORT We have compiled the accompanying balance sheet of eGov Consulting Services, LLC as of December 31,2006 and the related statements of operations,members'equity and cash flows for the year then ended in accordance with Statements on Standards for Accounting and Review Services issued by the American Institute of Certified Public Accountants. A compilation is limited to presenting in the form of financial statements information that is the representation of management. We have not audited or reviewed the accompanying financial statements and,accordingly,do not express an opinion or any other form of assurance on them. Management has elected to omit substantially all of the disclosures required by generally accepted accounting principles. If the omitted disclosures were included in the financial statements,they might influence the users conclusions about the Company's financial position,results of operations, and cash flows. Accordingly,these financial statements are not designed for those who are not informed about such matters. C----7)2w0e.7 74-e.;-&-= C ec. MAHONEY,FIORENTINO&CO.,P.C. Certified Public Accountants Wakefield,Massachusetts July 16,2007 16 Lakeside Office Park,Wakefield, MA 01880 (781)246-0275 Fax(781)245-1080 e G OIV Page 36 cUNSIlL'1Nc, gi City of Wylie c in ter Wti L II Strategic Technology Master Plan eGOV CONSULTING SERVICES, LLC. BALANCE SHEET DECEMBER 31, ASSETS CURRENT ASSETS: Cash $ 13,281 Accounts receivable 21,712 Total Current Assets 34,993 LIABILITIES AND MEMBERS'EQUITY CURRENT LIABILITIES: Accounts payable 19,596 MEMBERS'EQUITY: Members'equity 15,397 TOTAL LIABILITIES AND EQUITY $ 34,993 -2- SEE ACCOUNTANTS'COMPILATION REPORT e G / Page 37 CONSU_T,NG 1 City of Wylie c in(}; Strategic Technology Master Plan eGOV CONSULTING SERVICES,LLC. STATEMENT OF OPERATIONS FOR THE YEAR ENDED DECEMBER 31, 2006 REVENUES: Consulting Services $ 265,659 100.00% OPERATING EXPENSES: Partner/Contractor Services 200,039 75.30% Travel Expenses 32,041 12.06% Insurance Expenses 10,231 3.85% Professional Development 1,322 0.50% Computer Expenses 1,528 0.58% Office Expense 1,864 0.70% Advertising&Marketing 618 0.23% Postage&Delivery 790 0.30% Telephone 399 0.15% Dues&Subscriptions 629 0.24% Licenses&Permits 248 0.09% Total Operating Expenses 249,709 94.00% NET INCOME $ 15 950 6.00% -3- SEE ACCOUNTANTS'COMPILATION REPORT • e /. fry Page 38 CO:"lc)U T,NG City of Wylie C in i>r 1titit II Strategic Technology Master Plan eGOV CONSULTING SERVICES,LLC. STATEMENT OF MEMBERS'EQUITY FOR THE YEAR ENDED DECEMBER 31, 2006 BEGINNING OF YEAR $ 947 Net income 15,950 Member Distributions (1,500) END OF YEAR $ 15,3997 -4- SEE ACCOUNTANTS COMPILATION REPORT e G Page 39 CC)NSULI NG t City of Wylie cry i4 VOT Lit Strategic Technology Master Plan eGOV CONSULTING SERVICES, LLC. STATEMENT OF CASH FLOWS FOR THE YEAR ENDED DECEMBER 31, 2006 CASH FLOWS FROM OPERATING ACTIVITIES: Net income $ 15,950 Changes in certain assets and liabilites: (Increase)/decrease in accounts receivable-trade (21,712) Increase/(decrease)in accounts payable 19,596 Net cash flows provided by operating activities 13,834 CASH FLOWS FROM FINANCING ACTIVITIES: Member Distributions (1,500) NET INCREASE IN CASH 12,334 Cash-beginning of year 947 CASH-END OF YEAR $ -5- SEE ACCOUNTANTS'COMPILATION REPORT e G 01 / Page 40 C0N ULT NC City of Wylie cr,04 W,LH. Strategic Technology Master Plan Appendix C — Required Information, Forms and Contracts The following information is included in this appendix: • Insurance • Notification of Proposal Specifications • Hold Harmless Agreement • Acknowledgement • Authority to Quote • Sample Contract Insurance eGov Consulting agrees to fully comply with the City of Wylie's insurance requirements as identified in the Request for Proposal. A completed Insurance Certificate will be provided by eGov Consulting prior to approval of the agreement/contract by the City. NOTIFICATION OF PROPOSAL SPECIFICATIONS Please check below how you learned of this Request for Proposal: [ ]City Newspaper Advertisement [ ] RFPDepot.com [ ]Other_ [ ]City Mailed Me a Copy [ ] Cold Call to the City [ ] City's Web Site [X] DemandStar.com e G Page 41 C;ON5ULT NG WI City of Wylie Cir' u'uu Strategic Technology Master Plan Hold Harmless Agreement (Please complete) The City of Wylie shall not be liable or responsible for, and shall be saved and held harmless by eGov Consulting Services LLC from and against any and all suits, actions, losses, damages, claims or liability of any character, type or description, including all expenses of litigation, court costs, and attorney's fees for injury or death to any person, or injury to any property, received or sustained by any person or persons or property, arising out of, or occasioned by, directly or indirectly, the performance of the Strategic Technology Master Plan under this Agreement, including claims and damages arising in whole or in part from the negligence of eGov Consulting Services LLC. It is the expressed intent of the parties to this Agreement that the indemnity provided for in this section is an indemnity extended by eGov Consulting Services to indemnify and protect the City of Wylie from the consequences of the City of Wylie own negligence, whether that negligence is the sole or contributory cause of the resultant injury, death, or damage or provided, however, that the indemnity provided for in this section shall not apply only when the negligent act of the City of Wylie is the sole cause of the resultant injuryt death, or damage, unmixed with the legal fault of another person or entity. C nt c r City of Wylie Si al Signature Stephen M. Gousie Printed Name Printed Name Partner Title Title eGov Consulting Services LLC Company Name Date March 12, 2008 Date e G PA/ Page 42 CC)NSU_T!NG I/ City of Wylie Ci `i w\Lit Strategic Technology Master Plan ACKNOWLEDGEMENT DOES THE RESPONDENT UNDERSTAND AND AGREE TO THE FOLLOWING SECTIONS WITHIN THE RFP? 1. Project Overview 2. City of Wylie Overview 3. Information Services Responsibilities 4. Scope of Work 5. Technology Initiatives 6. Project Management 7. Bonds and Insurance 8. Hold Harmless Agreement 9. Instructions to Respondent's (Initial One) YES ' ' NO If NO, please indicate exceptions within the section below. If unchecked, the assumption is YES. �- EXCEPTIONS Please include any exceptions within this section. eGov Consulting Services takes NO exceptions to the requirements. PRICING Please include line-item pricing in this section. Our"Not to Exceed' pricing, below, is also provided in Section 5 of the proposal. Hours Charges Activity Completed Gou,ie i Pages 1 Total Iini,. Tirial Phase 1—Data Gathering&Assessment eSurvey,Project Kickoff&Interviews(Onsite) 48 40 88 $11,440 $3,360 $14,800 Findings Review 40 24 64 $10,400 $0 $10,400 Phase 2—Strategy Development&Prioritization Workshop Prioritization Workshop(Onsite) 32 16 48 $6,240 $2,080 $8,320 Phase 3—Plan Development Draft Plan 40 16 56 $7,280 $0 $7,280 Final Plan 16 4 20 $2,600 $0 $2,600 Presentation of Plan(Onsite) 8 8 16 $2,080 $2,080 $4,160 192 116 308 $40,040 $7,520 $47,560 e G ok1V Page 43 C ONSIJLTING lAt City of Wylie (In 01 tVv ui Strategic Technology Master Plan AUTHORITY TO QUOTE I certify that I am the person who has authority to quote and bind the company I represent; and that I/we agree to meet or exceed the stated minimum requirements as set forth in these specifications for the prices listed in our official proposal contained herein; and I have read, understand and responded to all information within this document. TOTAL PROJECT PRICE: $ 47,560.00 HOURLY RATE: $ 130.00 per hour Respondent/Company Nam : eGov Consulting Services LLC Authorized Repres t e: ephen M. Gousie Signature: Title: Partner i Address: 746 Pearl Street City, State & Zip: Reading, MA 01 867-1 1 46 Telephone: Phone (781) 942-0308 or Cell (781) 439-4959 Fax #: (781) 989-9495 E-Mail Address: stephen.gousie@egovcs.com Date: March 12, 2008 e G! V Page 44 ONSULT,NG City of Wylie Cl-1Fr WV L I Strategic Technology Master Plan Agreement No. AGREEMENT FOR CONSULTING SERVICES This Agreement for Consulting Services("Agreement")is made and entered into in the State of Texas, this day of ,20J by and between the City of Wylie,a municipal corporation("City"),and eGov Consulting Services LLC("Consultant"). WHEREAS,the City desires to hire the Consultant to perform certain consulting services specified herein;and WHEREAS,the Consultant represents that the Consultant and/or the Consultant's personnel have the qualifications and experience to properly perform such services: NOW,THEREFORE,the City and the Consultant hereby agree as follows: 1. Scope of Services Consultant shall furnish the City with professional consulting services as more particularly set forth in Exhibit A,eGov Consulting Services'proposal,attached hereto and incorporated by this reference in full herein. 2. Method of Performing Services Subject to the terms and conditions of this Agreement,the Consultant may determine the method, details,and means of performing the services described herein. 3. Standard of Performance Consultant agrees to undertake and complete these services to conclusion,using that standard of care, skill,and diligence normally provided by a professional person in the performance of similar consulting services. 4. Non-Exclusive Services This Agreement shall not be interpreted to prevent or preclude Consultant from rendering any services for Consultant's own account or to any other person or entity as Consultant in its sole discretion shall determine. Consultant agrees that performing such services will not materially interfere with services to be performed for the City. 5. Coordination of Services All services are to be coordinated with the City Manager or designated Department Head("Manager") and shall be performed under the general direction of the City Manager or Manager. 6. Place of Work Consultant shall perform the services provided for in this Agreement at any place or location and at such times as the Consultant shall determine. 7. Principal in Charge Consultant hereby designates Stephen Gousie as its principal-in-charge and person responsible for necessary coordination with Manager. e Page 45 CONSSUL T!NG City of Wylie (w itV\ Strategic Technology Master Plan 8. Permits,Licenses,Certificates Consultant,at Consultant's sole expense,shall obtain and maintain during the term of this Agreement, all permits,licenses,and certificates required in connection with the performance of services under this Agreement,including a City business license. 9. City's Responsibility City shall cooperate with Consultant as may be reasonably necessary for Consultant to perform its services. Manager agrees to provide direction to Consultant as requested regarding particular project requirements. 10. Term of Agreement This Agreement shall begin upon approval by the City Manager. 11. Termination a. This Agreement may be terminated by City if Manager notifies Consultant,in writing,of Manager's desire to terminate the Agreement. Such termination shall be effective ten calendar days from the date of delivery or mailing of such notice. City agrees to pay Consultant in full for all amounts due Consultant as of the effective date of termination,including any expenditures incurred on City's behalf,whether for the employment of third parties or otherwise. b. This Agreement may be terminated by Consultant if Consultant notifies Manager,in writing,of Consultant's desire to terminate the Agreement. Such termination shall be effective ten calendar days from the date of delivery or mailing of such notice and only if all assignments accepted by Consultant have been completed prior to the date of termination. 12. Compensation a. City agrees to pay Consultant in an amount not to exceed$39,470 for services provided under this Agreement at rates provided in Exhibit B, Project Costs,attached hereto and incorporated by this reference in full herein. b. The acceptance by Consultant of the final payment made under this Agreement shall constitute a release of City from all claims and liabilities for compensation to Consultant for anything completed, finished or relating to Consultant's services. c. Consultant shall provide Manager with a completed Request for Taxpayer Identification Number and Certification,as issued by the Internal Revenue Service. d. If any sales tax is due for services performed by Consultant or materials or products provided to City by Consultant,Consultant shall pay the sales tax. City shall not reimburse Consultant for sales taxes paid by Consultant. 13. Method of Payment City agrees to pay Consultant for the completion of each work element as identified in the Exhibit B, Project Costs,attached hereto and incorporated by this reference in full herein. 14. Responsibility for Expenses Except as otherwise expressly provided in this Agreement,City shall not be responsible for expenses incurred by Consultant in performing services under this Agreement. All expenses incident to the performance of services under this Agreement shall be borne by the Consultant,including,but not limited to rent,vehicle,and travel,entertainment and promotion,general liability and health insurance,workers'compensation insurance, and all compensation and benefits of employees or agents engaged by Consultant. Consultant shall,at its own cost and expense,supply all personal property necessary or appropriate to perform the services provided for e G PIN/ -ir Page 46 C aN`) _ INC . _......._...._. 1 City of Wylie Cr' OF INN ii Strategic Technology Master Plan under this Agreement,including,but not limited to any personal property used by employees and agents of Consultant in the performance of such services. 15. Non-Appropriation of Funds Payments to be made to Consultant by City for services performed within the current fiscal year are within the current fiscal budget and within an available,unexhausted and unencumbered appropriation of City. In the event City does not appropriate sufficient funds for payment of Consultant's services beyond the current fiscal year,this Agreement shall cover payment for Consultant's services only up to the conclusion of the last fiscal year in which City appropriates sufficient funds and shall automatically terminate at the conclusion of such fiscal year. 16. Records a. At City's request,City shall be entitled to immediate possession of,and Consultant shall furnish to Manager within ten days,all of the project deliverables. Consultant may retain copies of these documents. b. Any substantive modification of the documents and materials by City staff or any use of the completed documents and materials for other City projects,or any use of uncompleted documents and materials,without the written consent of Consultant,shall be at City's sole risk and without liability or legal exposure to Consultant. City agrees to hold Consultant harmless from all damages,claims,expenses and losses arising out of any reuse of the documents and materials for purposes other than those described in this Agreement,unless Consultant consents in writing to such reuse. 17. Confidentiality of Information Any documents and materials given to or prepared or assembled by Consultant under this Agreement shall be confidential and shall not be made available to any third person or organization by Consultant without prior written approval of the Manager. 18. Indemnity Consultant agrees to indemnify,hold harmless and defend City,its City Council,and each member thereof,and every officer,employee,representative or agent of City,from any and all liability,claims,demands, actions,damages(whether in contract or tort,including personal injury,death at any time,or property damage), costs and financial loss,including all costs and expenses and fees of litigation or arbitration,that arise directly or indirectly from any acts or omissions related to this Agreement performed by Consultant or its agents, employees,subconsultants,subcontractors,consultants and other persons acting on Consultant's behalf. This agreement to indemnify,hold harmless and defend shall apply whether such acts or omissions are the product of active negligence,passive negligence,or acts for which Consultant or its agents,employees,subconsultants, subcontractors,consultants and other persons acting on Consultant's behalf would be held strictly liable. 19. Insurance a. Consultant shall obtain and maintain during the performance of any services under this Agreement the insurance coverages as specified in Exhibit C,attached hereto and incorporated herein by this reference,issued by a company satisfactory to the Risk Manager,unless the Risk Manager waives,in writing,the requirement that Consultant obtain and maintain such insurance coverages. b. Consultant shall,prior to performance of any services,file with the Risk Manager evidence of insurance coverage as specified in Exhibit C. Evidence of insurance coverage shall be forwarded to the Risk Manager, addressed as specified in Exhibit C. c. Maintenance of proper insurance coverages by Consultant is a material element of this Agreement. Consultant's failure to maintain or renew insurance coverages or to provide evidence of renewal may be considered as a material breach of this Agreement. e G OIV Page 47 City of Wylie Ciro i 11V1 LII Strategic Technology Master Plan 20. Independent Contractor a. City and Consultant agree that in the performance of the services,Consultant shall be,and is, an independent contractor,and that Consultant and its employees are not employees of City. Consultant has and shall retain the right to exercise full control over the employment,direction,compensation and discharge of all persons assisting Consultant. b. Consultant shall be solely responsible for,and shall save City harmless from,all matters relating to the payment of Consultant's employees,agents,subcontractors and subconsultants,including compliance with social security requirements,federal and State income tax withholding and all other regulations governing employer-employee relations. c. Consultant acknowledges that Consultant and Consultant's employees are not entitled to receive from City any of the benefits or rights afforded employees of City,including but not limited to reserve leave,sick leave,vacation leave,holiday leave,compensatory leave,Public Employees Retirement System benefits,or health,life,dental,long-term disability and workers'compensation insurance benefits. 21. Consultant Not Agent Except as Manager may specify in writing,Consultant,and its agents,employees,subcontractors and subconsultants shall have no authority,expressed or implied,to act on behalf of City in any capacity,as agents or otherwise,or to bind City to any obligation. 22. Conflict of Interest Consultant shall promptly inform Manager of any contract,agreement,arrangement,or interest that Consultant may enter into or have during the performance of this Agreement that may conflict with City's interests. This requirement includes contracts,agreements and arrangements with manufacturers,suppliers, contractors or other clients whose interests might be served by the services performed under this Agreement and Consultant's or Consultant's clients'interest in land that might be affected by the services. Consultant shall take such measures as are necessary in the performance of this Agreement to prevent actual or appearances of conflicts of interest. 23. Assignability of Agreement Consultant agrees that this Agreement contemplates personal performance by Consultant and is based upon a determination of Consultant's personnel's unique competence,experience and specialized personal knowledge. Assignments of any or all rights,duties,or obligations of Consultant under this Agreement will be permitted only with the express written consent of Manager,which consent may be withheld for any reason. 24. Successors and Assigns Consultant and City agree that this Agreement shall be binding upon and inure to the benefit of the heirs,executors,administrators,successors and assigns of Consultant and City. 25. Fair Employment Practices a. Consultant agrees that all persons employed by Consultant shall be treated equally by Consultant without regard to or because of race,color,religion,ancestry,national origin,disability,sex,marital status,age,or any other status protected by law,and in compliance with all antidiscrimination laws of the United States of America,the State of Texas,and City. b. Consultant agrees that,during the performance of this Agreement,Consultant and any other parties with whom Consultant may subcontract shall adhere to equal opportunity employment practices to assure that applicants and employees are treated equally and are not discriminated against because of their race,color,religion,ancestry, national origin,disability,sex,marital status,age,or any other status protected by law. ` /'► ,p / Page 48 CeC)t4'3 I TiNG City of Wylie Cin. f.V.NLII Strategic Technology Master Plan c. Consultant agrees to state in all of its solicitations or advertisements for applicants for employment that all qualified applicants shall receive consideration for employment without regard to their race, color,religion,ancestry,national origin,disability,sex,marital status,age,or any other status protected by law. 26. Force Maieure Consultant and City agree that neither City nor Consultant shall be responsible for delays or failures in performance resulting from acts beyond the control of either party. Such acts shall include,but not be limited to acts of God,strikes,lockouts, riots,acts of war,epidemics,governmental regulations imposed after this Agreement was executed,fire,communication line failures,tornado,earthquakes,or other disasters. 27. Covenants and Conditions Consultant and City agree that each term and each provision of this Agreement to be performed by Consultant shall be construed to be both a covenant and a condition. 28. Governing Law City and Consultant agree that the construction and interpretation of this Agreement and the rights and duties of City and Consultant hereunder shall be governed by the laws of the State of Texas. 29. Compliance with Laws Consultant agrees to comply with all City,State,and federal laws,rules,and regulations,now or hereafter in force,pertaining to the services performed by Consultant pursuant to this Agreement. 30. Severability City and Consultant agree that the invalidity in whole or in part of any provision of this Agreement shall not void or affect the validity of any other provision. 31. Waiver City and Consultant agree that no waiver of a breach of any provision of this Agreement by either Consultant or City shall constitute a waiver of any other breach of the same provision or any other provision of this Agreement. Failure of either City or Consultant to enforce at any time,or from time to time,any provision of this Agreement,shall not be construed as a waiver of such provision or breach. 32. Counterparts City and Consultant agree that this Agreement may be executed in two or more counterparts,each of which shall be deemed an original. 33. Arbitration Consultant and City agree that in the event of any dispute with regard to the provisions of this Agreement,the services rendered or the amount of Consultant's compensation,the dispute may be submitted to arbitration upon the mutual agreement of the parties,under such procedures as the parties may agree upon,or, if the parties cannot agree,then under the Rules of the American Arbitration Association. 34. Expenses of Enforcement Consultant and City agree that the prevailing party's reasonable costs,attorneys'fees(including the reasonable value of the services rendered by the City Attorney Office)and expenses,including investigation fees and expert witness fees,shall be paid by the non-prevailing party in any dispute involving the terms and conditions of this Agreement. 35. Authority to Execute a. City acknowledges that the person executing this Agreement has been duly authorized by the City Council to do so on behalf of City. e G -V Page 49 ONS,lL NG t City of Wylie tv)L u, Strategic Technology Master Plan b. Consultant acknowledges that the person executing this Agreement has been duly authorized by Consultant to do so on behalf of Consultant. 36. Notices a. Any notices to Consultant may be delivered personally or by mail addressed to eGov Consulting Services LLC,746 Pearl Street, Reading,Massachusetts 01867-1146. Attention:Stephen Gousie. b. Any notices to City may be delivered personally or by mail addressed to City of Wylie, Purchasing Department,2000 Hwy 78,75098.Attention:Mr.Jim Holcomb. 37. Amendment City and Consultant agree that the terms and conditions of the Agreement may be reviewed or modified at any time. Any modifications to this Agreement,however,shall be effective only when agreed to in writing by both Manager and Consultant. 38. Entire Agreement City and Consultant agree that this Agreement constitutes the entire agreement of the parties regarding the subject matter described herein and supersedes all prior communications,agreements,and promises,either oral or written. • EXECUTED this—day of ,20 . City of Wylie,Texas By: (signature) (printed) EXECUTED this day of ,20_. eGov Consulting Services LLC By: (signature) (printed) e ^ Page 50 CON5UtT NG .• .ems , . ,_ riL"4,. .-,;', ''''', ., '-',,. , ..-.-H-. . _::::, "1, ... ,::.,i,,,, _ ''' -...,,,,. \-._ , •'_ -... : .,:''. ,-_ '1"e5,1/4 M\\. _,.__ . ,, ,i,„,,s, ..;..,, , _-,,,,- „IL \ ,_. i., . - . . -- . \ '\ Proposal for „.. _, - . �Y#� Professional Services — , i TechnologyMaster Plan , � = , , „.. • 1 _ ... _ . • , , , , ,_. , . . , ,,,.„...._ Development ' Nri';.'',.. N....4,._„;Tc...,:-.. , � e �� Ffl i 4 w'. e• I , , , ,,, . ,„ % ,_, .. - - , _ ,i. .,„...,, _ i 11 /. \ ''''', v " r1/1111 • .. WYLIE _;. . -L. ,,, ,, ,..,, ,,,, 01 , , Nr,,,,. . \I C .„ '- - .1.1'''''' '- '"'.- .‘V''''' ' H \'' City of Wylie, Texas , .- --11/4., : ,_._ ,„.",:,,,, . ,, ,.., -_,,, ' _ , . , .,.\\1/4. e \ r,._..„:,..,,,:, '-, ,, ti , .. ' ,. .__ _.,_% Y - ' .'''''\ '''''''''''''" '11 March 12th 2008 \\r_ .__,,..,.7. \ • , , ,,,�•s. . Submitted by: ,__„ - .„, ..L...„, _ i, kr.'4119P7 1, w 44 Tatum, LLC j� www.tatumllc.com , ,., ,,_' - _.,, ,,., ,...„ _,.,•_.. e� l „_..,__. __:, r *-- Contact: '' _,-,-, „„ Jerry Byrd N --r--7- '- '''-'-'-r--. 5400 LBJ Freeway Suite 800 • - Dallas, Texas 75240 f iii Main 972.200.1359 .-, I , Fax , 972.200.1477 I' ' WA. ri-1 11 ' ,,, ' lir 111 iatum ,,,. li Create more value. I i ' : I I A. Table of Contents Qualifications and Experience Overview of Tatum 1 History 1 Primary Line of Business 2 Background and Approach 6 Phase I—Information Technology Assessment 6 Phase II -Recommendations 7 Phase III—Technology Master Plan 8 Methodology 9 Organization of City's Project Team 9 Project Approach 10 Project Schedule 17 Proposed Project Team and Qualifications 19 Payment Schedule 20 Appendices 21 A—Project Team B—References and Sample Clients C—RFP Detail Response Exception Summary D—Financial Statements E—Sample Contract F—City's RFP and Required Signatures G—Litigation Schedule (Confidential) Page ii Qualifications and Experience Overview of Tatum Tatum, LLC (headquartered in Atlanta, GA) is the largest executive services provider of strategic, technology and financial executive leadership in the country. Consisting of two integrated practice areas, the Tatum Technology Leadership and the Tatum Financial Leadership, the firm currently has over one thousand (1000)professionals in more than thirty seven(37) offices nationwide, including one of our largest in Dallas. The Tatum mission is "To Create More ValueTM" by providing excellence in strategic. information technology, and financial leadership through experienced, proven executives of the highest integrity. Our executives leverage shared knowledge and best practices nationwide—both in information technology and financial management. Tatum continues to deliver on this mission through successfully completing over 2,000 client engagements for non-profits, local governments, and companies in more than 100 industries. Only Tatum provides the depth and breadth of relevant practical experience coupled with public sector solution knowledge to maximize the value of Wylie"s present and future technology and financial operation investments. Tatum's History The Tatum Technology Leadership (TLP)practice was founded in 2000, based on the same highly successful model as the Tatum Financial Leadership (FLP)practice which was founded in 1993. Originally founded to provide an alternative to the traditional method of hiring chief financial officers, the Tatum partnership model immediately appealed to both clients and experienced financial executives. They recognized the value of close collegial relationships and shared intellectual capital. Since inception, Tatum"s TLP continues to be recognized by experienced executives and forward looking organizations as providing the same advantages. Currently, as our business model matures, a significant portion of the Tatum TLP is becoming more project-oriented—especially in the delivery of strategic services. These services include: technology assessment,planning,improvement, and organizational reinvention within both the public (local government)and private sectors. In 2002,the firms' web-based enterprise information system, TATUM1inkTM was inaugurated. This proprietary portal distinguishes a Tatum partner by providing the ability for Page 1 collaboration and utilizing the intellectual capital of all seven hundred,plus (700+)partners on behalf of each client. Today, our accomplishments establish Tatum as a national leader in technology assessment, strategic planning,project management, issue evaluation and resolution; plus, technology innovation. The Tatum's Dallas Office contains the Firm's largest technology practice and will be serving the City of Wylie on this engagement. Its address is: 5400 LBJ Freeway Suite 800 Dallas, Texas 75240 Among our thirty seven(37) other offices throughout the nation,we have additional Texas offices in Ft. Worth, Houston, Austin and San Antonio. Tatum's technology services are used throughout the United States and in a few foreign nations. Also, Tatum is honored by its contribution in developing a comprehensive Technology and Communications Plan for the emerging nation of Iraq. Primary line of business Among Tatum's specialties is our national Public Sector business segment within the Technology Leadership Practice. The primary line of business for the Public Sector practice is to assist local governments by providing high-value Project Leadership to accelerate effective technology implementation and monitor the vital interest of the organizations. Tatum provides the depth and breadth of relevant practical experience coupled with public sector solution knowledge to maximize the value of a client's technology operational investments. Having served in the Public Sector for many years, Tatum's professionals know government agencies want their challenges faced with professionals who "have been there done that". Tatum believes the role of Technology is to add value to the organization; plus, enable the execution and achievement of the business strategy. To that goal, all of Tatum's professionals are bilingual—speaking from both technology and business backgrounds. Tatum professionals have extensive leadership experience in Technology delivery and operations. Members of the proposed Tatum team have served as CIO's (Chief Information Officers) and COO's, (Chief Operation Officers)responsible for all aspects of organizational technology departments within their respective companies. It is this combination of seasoned technology and business Page 2 experience which enables our professionals to quickly assimilate into client organizations and begin making an immediate impact. This proposal outlines a practical plan for Wylie based upon our many strategic IT (Information Technology)planning studies for local government. The plan is designed to assist Wylie in the development of your Technology Master Plan(TMP). Throughout this process, we will emphasize our staff's partnership and healthy collaboration by working with Wylie's personnel. We believe this will dramatically improve Wylie's understanding, depth of knowledge and enthusiasm for the TMP's strategic recommendations at the project's conclusion. Also, experience and "track record" show the TMP's successful implementation will be significantly enhanced. As part of the planning process,we will work with all departments and City Management to gain awareness and develop Wylie's staff"buy-in" for the resulting TMP. The "bottom line"is that Tatum will assist the City in developing ownership of a practical and realistic TMP which will help the delivery of technology to staff and citizens, Tatum has been delivering strategic solutions to its clients for more than thirteen(13)years. From the company's inception, organizational improvement has been linked with the strategic, financial and technology assistance delivered to more than two thousand (2,000) clients. Individuals proposed for the Tatum team have fifteen(15)to over thirty (30)years experience in delivering executive and professional services in the local government sphere. Page 3 Background and Approach This section presents Tatum's understanding of Wylie's needs and identified the primary tasks to be accomplished with each major objective. The details associated with each task will be presented within the next section,Methodology. Tatum is familiar with the City of Wylie which was incorporated in 1887 under the general laws of the State of Texas. The City operates under a Home Rule/Council-Manager form of government and provides the following services to the community (a 33 square mile area with a population of over 39,182 residents): general administration,planning(building inspection& code enforcement), library,public works,economic development, community services,municipal court and public safety (fire and police services). The City operates in a one-year budget cycle and this project is being funded from the 2007-2008 FY Budget. The City's information services are centrally managed by the Information Services Department(ISD). The ISD services over two hundred fourteen(214) internal customers and is led by the Information Services Manager. The goal of the ISD is to maximize operating efficiency and effectiveness of the City's technology environment. They accomplish this by developing, implementing and maintaining solutions that provide secure,reliable and timely collection. storage, access and transmission of information. Tatum is proposing to the City a phased approach,which will consist of three (3)major Phases, identified as: I. Information Technology Assessment II. Recommendations III. Technology Master Plan(TMP) PHASE I-Information Technology Assessment Phase I will conduct a complete review of how information services and technology are delivered to City staff and the public (all referred to as customers). The objectives for Phase I will be to: • Conduct interviews with all City department stakeholders and City Management to determine the City's current and future technology needs. Page 4 • Review Information Services structure, staffing levels, budgets(operational and capital), governance,policies and project management practices as to determine if the delivery of technology is compatible with funding levels. • Assess the effectiveness of Information Services in delivering technology and support to its customers. • Tatum will provide the following services as part of Phase I. The recommendations will be a part of the final Master Plan(Phase III) 1. Assess existing wide area network infrastructure and make recommendations for improvements that will improve the electronic delivery of services to internal and external customers. 2. Assess current state of secure computing throughout the City's network and make recommendations for providing enhanced security services, including but not limited to; ensuring secure data paths between each point on the network perimeter and the Internet, implementing intrusion detection/monitoring systems, and recommending best practices for secure computing. 3. Assess the City's website for appearance, user-friendliness, and functionality and make recommendation for an improved online presence. Recommendation should include an increase in the quantity of online service options as well as the quality of online service delivery. 4. Assess the City's existing mobile application options and make recommendation for increased mobility that includes access to the City's primary software applications for the purpose of creating a more efficient and effective government. 5. Assess current Information Services staff levels and make recommendations regarding staffing based upon the implementation of the STMP. 6. Assess current Information Services policies and make recommendations for improved policies and procedures. Phase II—Recommendations Tatum will utilize the data and information obtained in Phase Ito develop specific recommendations. While each phase is important,the results of this phase will be the major guide in developing the City's Technology Master Plan. While accomplishing this phase, our staff will formulate specific findings, which will be validated by the City's Technology Steering Team and the IT Manager prior to the development of our preliminary recommendations. The validation's objective is to insure that the assessment was inclusive of all elements regarding the City of Wylie's technology requirements. After receiving validation of our findings,we will conduct two (2) workshops based upon Tatum's Attribute-Based Modeling process. Through this process Page 5 Tatum will prepare preliminary recommendations toward the Phase II objective: determine the best systems.technologies, and processes to eliminate or minimize the potential for technological obsolescence, identify lower cost strategies, eliminate unnecessary redundancies and inefficiencies, and develop a strategy that is consistent with the City's needs and best practices from both the public and private sectors. PHASE III-Technology Master Plan (TMP) The TMP will form the basis for the foreseeable future use of technology in the City. The Plan will be priority based and chronologically phased,but must include a methodology that will effectively insure its flexibility and responsiveness to changing budgets,needs, and technologies. Specific objectives for Phase Ill include: • Recommendations regarding the six initiatives identified by the city: • Wide area network infrastructure • Security of computing environment • Adequacy of City web site • Appropriateness of mobile application • Alignment of IS staff level to future state • Adequacy of IS policies • Projected life span for current City technologies and systems • Recommended system and related technology infrastructure replacement based upon service needs and priorities • Recommended timeframe for implementation of the recommendations • Documentation diagramming the various current and future technology relationships and interfaces between City departments • Presentation of the DRAFT Technology Plan to City management • Presentation of the FINAL Technology Plan to City Council Page 6 Methodology Tatum's governing philosophy for local government information technology assessment and planning studies is to: • Define the client's information needs from a realistic/practical viewpoint • Educate unsophisticated and untrained potential users in terminologies,technological trends, and normal operational issues. Our belief is that customers/users should be an integral part of any information systems assessment and planning Project • Utilize senior, experienced personnel for the entirety of the Project • Assist the client in developing a technology master plan(TMP)with a practical and understood budget We believe that our Methodology allows us to: • Become familiar with the individuals that will be key to making information technology/systems successful and effective • Better understand the City's operational aspects to assist us to structure an assessment and plan that will be practical and effective for Wylie • Educate key users and managers as to: - Practical technology concepts - What does and does not work - How much effort and resources are necessary to accomplish information system objectives • Build a Team that can effectively and enthusiastically implement our recommendations (i.e. get people to buy into and take ownership) ORGANIZATION OF CITY'S CITY PROJECT TEAM Tatum will assist the City in identifying a City Project Team. Tatum recommends the City Project Team be comprised of four(4)to seven(7) senior managers as members of the team. Our experiences prove to us the client receives a much better strategic plan when the City Manager actively participates as a team member. This Team(and when appropriate, selected IT staff) should be able to meet regularly with Tatum to: • Review the Project's progress. • Provide input from a senior management perspective • Participate in workshops • Review recommendations and/or alternatives available to the City Page 7 A preliminary organizational meeting will be conducted with the Team to review the objectives of the Project, confirm expectations of City management(and members of the Team), and discuss the responsibilities of the Team. PROJECT APPROACH Based upon our experience and your Request for Proposal,we recommend the following approach to conducting the Information Technology Assessment and preparing the Technology Master Plan. The Project Approach(as previously summarized)will consist of three Phases: I: Information Technology Assessment II: Recommendations III: Technology Master Plan Each Phase will encourage both current and potential customers(staff and management)of information technology within the City to participate;plus should result in improved customer understanding of Information Services' operation and efforts. Emphasis will be placed upon achieving the following Scope of Work which will include: • Conduct interviews with key City personnel and technology customers(City Management and City Department stakeholders)to understand perceived plans, direction, and vision • Examine, evaluate and provide recommendations in regards to the Information Services Department in the following areas: • Existing staff and their associated job duties. Recommendation will include staff levels and associated tools/packages to increase staff productivity needed for today and future technology growth within the City. • Polices,procedures, software testing environments, and service delivery mechanisms. During the examination, user satisfaction, service levels, and customer expectations of current,planned, and future technologies will be assessed • An overall technology philosophy for the City and IT department to use as a guideline for making decisions on what Information Services should be responsible for and what it should manage internally and externally • Strategic plan for IT goals and objectives • Review current and previous City budgets for technology expenditures, including acquisition policies, procedures, and standards Page 8 • Examine the use of technology in key functional areas. These will include,but not be limited to,the numerous systems within the City. The assessment will evaluate their use and effectiveness in relationship to the City's technology direction,plans, and stated needs • Examine the basis internal and external security assessment for all technology systems and make recommendations for found deficiencies • Examine existing disaster recovery and business continuity plans and make directional recommendations • Inquire during the departmental interviews as to what sensitive information may exist such as social security numbers, driver's license numbers and document the departments and systems where they are found. Recommendations to reduce and/or manage the City's risk will be made. • Examine the technology infrastructure of the City—including telecommunication topologies and implementation, inter-system connectivity, and connectivity to vendors, suppliers, and other external sources • Develop and review recommendations related the City's use of information services, technology, operation, management, budget, systems, and effective communication with customers • Develop a timeline and guidelines for TMP implementation with an estimate of required funding for the capital improvement items • Present the Information Technology Assessment and Technology Master Plan to the City and City Council • Our deliverables will include a report of our assessment/findings as they relate to each of the previously mentioned areas and the Technology Master Plan. Specific additional deliverables will consist of an assessment of the current state and a recommended solution for each technology initiative: • Wide area network infrastructure • Security of computing environment • Adequacy of City web site • Appropriateness of mobile application • Alignment of IS staff level to future state • Adequacy of IS policies Exhibit I presents a synopsis of our approach and the remainder of the section discusses each of the Project's Phases and associated steps, including major tasks. Page 9 EXHIBIT I-TATUM'S PROPOSED PROJECT APPROACH STEP I: REVIEW CITY'S USE OF TECHNOLOGY • Conduct Project Initiation Meetings • Identification of Technology Needs - Interviews with Key Users (Current and Potential) - Critical Success Factors STEP II: REVIEW CURRENT TECHNOLOGY/ INFORMATION SYSTEMS • Review Policies/Procedures • Meet with current staff&management • Develop Understanding of Technical Resources STEP III: DEVELOP RESOURCE REQUIREMENTS • Develop Findings&Observations • Conduct Assessment&Prioritization Workshop with Project Team • Develop List of Technology Needs • Estimate Resources STEP IV: REVIEW POTENTIAL TECHNOLOGY SYSTEMS STRATEGIES • Define effect of High Priority Needs on City • Develop Recommendations for City's Information Management Strategy • Conduct a Workshop with Project team to Present Preliminary Recommendations STEP V: PREPARE AN TECHNOLOGY MASTER PLAN (TMP) • Develop TMP • Conduct Workshop with Project team to present TMP • Review and Revise TMP • Present TMP to City Management and Council Page 10 PHASE I (INFORMATION TECHNOLOGY ASSESSMENT), STEP 1: REVIEW CITY'S USE OF TECHNOLOGY In Step 1, Tatum will accomplish the following: • Develop an understanding of each Department's activities • Develop an understanding of each current manual and automated system from the customer's perspective • Identify major critical success factors necessary to support each department's short- and long-term operations • Identify the information requirements for each Department including technology needs • Evaluate the capabilities and features of existing systems to achieve customer technology needs • Identify needs and application systems that are candidates for continued automation and systems that should remain manual,become automated, or be replaced As part of this Step, Tatum will provide an rLaunchsm workshop to accelerate the start of the project by clearly communicating to key stakeholders the Project Plan, surfacing key technology issues and level the playing field among those stakeholders who are not as technically aware as others. rLaunchs1 provides high value in accelerating the project timeline, saving the City money and providing clarity of direction and content for the follow-on discovery. The approach is designed to build a common ground of understanding between City staff, many of whom have very limited backgrounds in information management. It is the important "kick off' step that generates interest, raises the level of technology understanding among management personnel, identifies problems and issues and specifies the steps that must follow to prepare and implement improved information management procedures and systems in the City. During the rLaunchsM workshop,we will: • Review with key staff, supervisors, and management the Project's objectives and work steps • Discuss the status and direction of technology within the government environment and the private sector • Discover what other government agencies are doing with technology Page 11 • Identify obstacles to technology implementation • Identify future technology directions and requirements for each department Once rLaunchTM is completed, the following will be accomplished: • Prepare for multiple focus groups with all departments participating • Conduct interviews with the City's Information Services Team In addition, Tatum will utilize previous experience in similar engagements to make observations and to identify additional needs. Several of the output from these groups and experiences will be directly utilized in other steps of this Project. PHASE I(INFORMATION TECHNOLOGY ASSESSMENT),STEP 2: REVIEW CURRENT TECHNOLOGIES&MANAGEMENT INFORMATION SYSTEMS During Step 2, Tatum will develop an in-depth understanding of the City's technologies and information systems' capabilities. To develop the detailed understanding needed,technologies and information systems capabilities will be fully analyzed. PHASE I(INFORMATION TECHNOLOGY ASSESSMENT),STEP 3: DEVELOP RESOURCE REQUIREMENTS During Step 3, the information gathered in the previous steps will be integrated to accomplish the following objectives: • Estimate the resources needed to maintain current technologies, automated systems and to continue improvement towards the identified goals in Step 1 • Estimate the resources to accomplish the operations of the high priority needs • Identify the general benefits and assumptions associated with each estimate • Continue getting City Project Team & City management to buy into the process and Review To achieve these objectives,the following will be accomplished: • A summary of findings and issues will be prepared. This summary will be organized by departmental area. It will be reviewed and discussed in the prioritization workshop • A workshop will be conducted with Wylie's City Project Team to review findings and develop a prioritized list of issues, technologies, systems and major capabilities. Tatum will develop a worksheet that will be based upon the findings in Steps 1 and 2. This prioritization will be used in Step 4 and our Attribute Based Modeling workshops. Specific deliverables of this step will be a: • Summary of findings and observations (Information Technology Assessment) relating Page 12 to technologies • Priority ranking of technology and telecommunication needs identified in Step 3 PHASE II(RECOMMENDATIONS),STEP 4: REVIEW POTENTIAL TECHNOLOGY STRATEGIES In Step 4,Tatum will accomplish the following tasks: • Define the affect high priority needs identified in Step 3 should have upon Wylie and its implementation of technology • Develop recommendations regarding the best strategy or combination of strategies to achieve the City's long-term needs During Step 4, the information gathered in the previous steps will be integrated to conduct Tatum's Attribute Based Modeling workshops (2). Each workshop is based upon the following ten (10) attributes: 1. Governance 6. Web/eGovernment 2. Acquisition 7. Application Sourcing 3. Funding 8. Security 4. Projects 9. IS Staff Reporting 5. Accountability 10. IS Staff Sourcing During the initial workshop Tatum will present our evaluation of Wylie within each of the ten attributes and request the City Project Team to analyze where it wants the City to be positioned. At the second workshop, Tatum will present the results from the previous discussion, associated recommendations, and receive affirmation from the City Project Team. Based upon the results from the two workshops, Tatum will be prepared to develop the Technology Master Plan(TMP). PHASE III(TMP),STEP 5: PREPARE TECHNOLOGY MASTER PLAN During Step 5, Tatum will prepare the Technology Master Plan based upon previous findings and accepted recommendations. This TMP will cover the matters previously discussed and include: • Statement of the City's technology needs and issues • Recommended strategies (approaches) for achieving the needs • Summary of tasks accomplished during the Project • Results of the Attribute Based Modeling Workshops • Analysis of existing staffing and training Page 13 • Estimated budget and effort requirements • Recommended security and continuity of service polices and procedures • Methodology for keeping the Plan a working, practical document that should serve the City for many years • Review the preliminary TMP with the City's Project Team in a workshop type environment. Any relevant changes necessary to the TMP will be made prior to it being finalized. Tatum with the assistance of the City's Information Services Manager will present the Technology Master Plan to City Council. Page 14 PROJECT SCHEDULE Exhibit II presents Tatum's estimated Project Schedule. This timetable can be affected by the availability of City staff and various schedules such as City meetings or conflicts created by unforeseen circumstances. EXHIBIT II -ESTIMATED PROJECT SCHEDULE PHASE/STEP WEEK PHASE I: INFORMATION TECHNOLOGY ASSESSMENT Step 1: Review City's Use of Technology Start- Seven 1.1 Conduct Project Initiation Workshops (rLaunchTM) 1.2 Identify Technology Needs 1.3 Conduct Focus Groups with key customers and City management 1.4 Identify Potential Critical Success Factors Step 2: Review Current Technology Systems Two—Four 2.1 Review IT Policies& Procedures 2.2 Meet with current IT staff&management 2.3 Review technology and telecommunication environment Step 3: Develop Resource Requirements Five—Seven 3.1 Develop Findings& Observations 3.2 Develop List of Technology Needs 3.3 Prepare for Prioritization/Preliminary IT Assessment Workshop 3.4 Present Information Technology Assessment(findings and issues) 3.5 Estimate Resources Page 15 PHASE II: RECOMMENDATION Step 4: Review Potential Technology Strategies Eight—Ten 4.1 Define Impact of High Priority Needs 4.2 Conduct Attribute Based Modeling Workshop 4.3 Develop Recommendations 4.4 Present Attribute Based Modeling Results 4.5 Conduct Workshop to Present Preliminary Recommendations PHASE III: TECHNOLOGY MASTER PLAN Step 5: Prepare Technology Master Plan Eleven- Thirteen 5.1 Finalize Recommendations 5.2 Develop Presentation 5.3 Make Presentation to City's Project Team 5.4 Make Changes to TMP 5.5 Present TMP to City Manager& City Council Page 16 Proposed Project Team and Qualifications Tatum believes the consulting team assigned to a local government strategy project must be experienced with government operations (both traditional administration and public safety— police, fire, & EMS), flexible in developing practical information system strategies (approaches), able to recognize political realities, independent from any predisposed opinions, and dedicated to giving their best effort for the client. The consulting team proposed by Tatum for the City of Wylie achieves this criterion. Each member, unless prevented by unforeseen circumstances, will actively participate in the Project. Also, each member of the team has significant experience with Texas local governments and the private sector in conducting technology assessments and developing technology strategies; serving as chief information officers (CIO) within either public and/or private firms. It is Tatum's policy to place each engagement under the direction of an Engagement Partner. The Engagement Partner will provide overall project control, technical direction of the engagement, budget management, and will actively participate in the Project. Mr. Jerry Byrd is Tatum's National Lead Partner for the Public Sector and will be Wylie's Engagement Partner. He brings rich experience as a real-world technology executive and agent-for-change in private and public corporations and public sector organizations. During his career Mr. Byrd developed a national reputation for innovative, visionary strategic technology planning and utilization. A significant amount of his experience is assisting local governments develop practical long range technology master plans. He also knows the local government software environment—both financial/administrative and public safety. Mr. Byrd will monitor contract performance with the City of Wylie during the term of the contract. It will be his responsibility to communicate with the City's project team and corporate sponsor regarding project progress and provide written status reports. Mr. Byrd may be reached by email at Jerry.Byrd@TatumLLC.com TatumLLC.com or by phone at (972) 200-1359 and fax at (972) 200- 1477. The mailing address on the cover of this proposal may also be used. The day-to-day project manager for this engagement will be Mr. Curtis Matthes. Mr. Matthes has deep experience in project management and both private/municipal technology operations. As a Principal with Tatum, he has served as a strategist and provided technology service delivery in multiple cities. Page 17 Staff bios are attached as Appendix A to this proposal. PAYMENT SCHEDULE Our proposed total of professional fees ($49,650)plus expenses ($7,448) is a not-to-exceed $ 57,098. The table which follows describes the effort and price for each of the Phases which will be used in this Project. Note should be made that the Phase level details are estimates and the actual professional time can vary by Phase, but the total for the engagement will not be exceeded. As the project progresses, Tatum will accommodate minor changes that have minimal impact on the scope of the project. Major adjustments (affecting cost or affecting major impact on the project schedule) will be made by means of written change orders signed by both parties. Weekly meetings will be held either in person or by phone to assure that the project remains"on track." Tatum bills semi-monthly and payment is due net 15 days. Payment may be made via check or ACH payment. Days Price Total Total Phase I—Information Services Assessment Sub-Total 9.5 $ 20,250 Phase II—Recommendations Sub-Total 10 $20,800 Phase III—Technology Master Plan (TMP) Sub-Total 4 $8,600 Total: Phase I-III 23.5 $49,650 Out of Pocket Expenses & Fees $7,448 Total Not to exceed $57,098 Page 18 Appendices Appendix A—Project Team Resumes (Instruction#46) Jerry Byrd Curtis Matthes Appendix B —References & Client Listing (Instruction#35) Appendix C —RFP Detail Response Exceptions Summary Appendix D—Financial Statement(Instruction#50) Appendix E— Sample Contract (Instruction#43) Appendix F—City's RFP and Required Signatures Appendix G—Litigations Schedule (Confidential) (Instruction#40) Page 19 Tatum LLC Appendix A March 12th, 2008 City of Wylie Project Team Page 20 Project Team Jerry B. Byrd Jerry Byrd, a technology partner in the Dallas office of Tatum Partners, brings rich experience as a real-world technology executive and agent-for-change in government and embryonic, growing and mature private and public corporations. He has experience as the CIO for multiple local government agencies as well as a half-billion dollar national marketing and logistics company. His experience as COO for high technology, high-growth companies adds significant value to his technology leadership and expertise. Jerry has connected to a wide range of clients, including multiple types of city, county and state governmental and quasi-governmental agencies plus Fortune 500, public, middle market, and start-up companies,. He has hands-on experience in high tech manufacturing and direct involvement in development and implementation of cellular manufacturing, ISO certification, management team re-invention, rapid product development, and ERP systems. He has led technology teams in architecting advanced WAN and cross-platform cooperative processing strategies and systems. Curtis Matthes Curtis Matthes, a Technology Principal is a visionary and goal-oriented IT Senior Executive with demonstrated experience in planning, developing, and implementing cutting edge information solutions to address business opportunities both in the public and private sector. As CIO for a government agency, he has experience in the design and delivery of cost effective, high- performance information technology infrastructures and applications to address complex business problems. Curtis has extensive qualifications in all facets of project life cycle, from initial feasibility analysis and conceptual design through documentation, implementation, user training and enhancement. He has strong process background with a proven ability to build and manage creative, highly energized focused teams. Tatum LLC Appendix B March 12th, 2008 City of Wylie Sample Clients Page 21 References • Government Agency's Name: City of Huntington Beach, California • Primary Contact: Jack Marshall, IS Director • Address: 2000 Main Street • City/State/Zip: Huntington Beach, California 92648 • Phone: (714) 536-5515 • Email: jmarshallgsurfcity-hb.org • Government Agency's Name: City of Garland, Texas • Primary Contact: City Manager: Bill Dollar • Address: 200 N. Fifth Street • City/State/Zip: Garland, Texas 75040 • Phone: (972) 205-2465 • Email: BDollar(&,ci.garland.tx.us • Government Agency's Name: State of Alabama • Primary Contact: Andy Hornsby, Assistant Finance Director • Address: Alabama Department of Finance, Alabama State Capitol, 600 Dexter Avenue, Suite N-105 • City/State/Zip: Montgomery, Alabama 36130 • Phone: (334) 242-7160 • Email: Andy.Hornsby cr,finance.alabama.gov Tatum LLC Appendix B March 12th, 2008 City of Wylie Project Team Page 22 Sample Public Sector Clients Where Tatum Professionals Have Served City of Garland, Texas City of Bryan, Texas City of Brownwood, Texas City of Fulton, Missouri City of Huntsville, Texas City of Columbia, Missouri City of Hillsboro, Texas City of DeSoto, Texas City of Huntington Beach, California City of Carrollton, Texas City of Rosenberg, Texas City of College Station,Texas Wichita County, Texas City of San Marcos, Texas Henderson County, Texas City of Shreveport, Louisiana State of Alabama City of Shelby,NC State of Colorado City of Lexington,NC City of Joplin, Missouri City of Beaumont, Texas City of North Richland Hills, Texas City of Wichita Falls, Texas City of Lufkin, Texas Saint Louis County, Minnesota City of La Porte, Texas Marion County, Indiana City of Plano, Texas Charleston County, South Carolina City of Kissimmee, Florida Maricopa County, Arizona Town of Highland Park, Texas Allen County, Indiana City of Huntington Beach, California Vanderburgh County, Indiana City of Friendswood, Texas Beaver County, Pennsylvania City of Pearland, Texas Kent County, Delaware City of Euless, Texas Oklahoma County, Oklahoma City of Seguin, Texas Salono County, California City of Missouri City, Texas Peoria County, Illinois City of Grand Prairie, Texas Lee County,Florida City of Waco, Texas Moore County,NC City of Lewisville, Texas Randolph County,NC City of Bedford, Texas Rutherford County,NC City of Tyler, Texas Transylvania County,NC City of New Braunfels, Texas Siskiyou County, California City of Sugar Land, Texas Butte County, California Town of Southern Pines,NC Salt Lake County, Utah City of Fort Walton Beach, Florida Warren County,NC City of Paris, Texas Hoke County,NC City of Gainesville, Texas Wayne County,NC City of Greenville, Texas Dallas County Appraisal District City of Bellaire, Texas Grayson Governmental Data Center City of Duncanville, Texas North Texas Turnpike Authority City of Denton, Texas San Antonio Housing Authority City of High Point, NC Plano, Texas ISD Tatum LLC Appendix C March 12th, 2008 City of Wylie RFP Detail Response Page 23 RFP Detailed Response Exception Summary Clarifications to Tatum's acceptance of RFP Requirements and all exceptions are noted below. As stipulated in the RFP stipulations, all other requirements are understood and Tatum no exceptions to the requirement(s). INDEMNITY Respondent agrees to defend, indemnify, and hold City, its employees, officers, and elected representatives, whole and harmless against any and all claims for damages, costs, and expenses of persons or property that may arise out of, or be occasioned by, or from any negligent act, or omission of Respondent, or any agent, servant or employee of Respondent in the execution of performance of this contract, without regard to whether such persons are under the direction of City agents or employees. Tatum's Response: Tatum has read and understands the requested requirement. Exceptions: Tatum will only indemnify for our own negligence and must be capped to the total fees paid under the RFP. INSURANCE REQUIREMENTS INSURANCE COVERAGE REQUIRED SECTION C. Subject to the Contractor's right to maintain reasonable deductibles in such amounts that are approved by the City, the Contractor shall obtain and maintain in full force and effect for the duration of this contract, and any extension hereof, at the Contractor's sole expense, insurance coverage written by companies approved by the State of Texas and acceptable to the City, in the following types and amounts: Tatum's Response: Tatum has read and understands the requested requirement. Exceptions: Tatum will maintain deductibles as approved at the beginning of the engagement. Tatum LLC Appendix C March 12th, 2008 City of Wylie RFP Detail Response Page 24 ADDITIONAL POLICY ENDORSEMENTS The City shall be entitled, upon request, and without expense, to receive copies of the policies and all endorsements thereto and may make any reasonable request for deletion, revision, or modification of particular policy terms, conditions, limitations, or exclusions (except where policy provisions are established by law or regulation binding upon either of the parties hereto or the underwriter of any such policies). Upon such request by the City, the Contractor shall exercise reasonable efforts to accomplish such changes in policy coverage, and shall pay the cost thereof Tatum's Response: Tatum has read and understands the requested requirement. Tatum will comply with this requirement. Exceptions: Tatum will agree to provide copies of our policies to the City, but we can not allow the City to make deletions, revisions or modifications to the policy at our expense. Our policies provide adequate coverage. REQUIRED PROVISIONS The successful Contractor agrees that with respect to the above required insurance, all insurance contracts and certificate(s) of insurance will contain and state, in writing, on the certificate, or its attachment, the following required provisions: E. Provide that all provisions of this agreement concerning liability, duty, and standard of care, together with the indemnification provision, shall be underwritten by contractual liability sufficient to include such obligations within applicable policies; Tatum's Response: Tatum has read and understands the requested requirement. Exceptions: Tatum will agree to this provision conceptually, but the certificate will not contain these statements. F. Provide for notice to the City of Wylie at the two addresses shown below by registered mail. City of Wylie Purchasing Dept. 2000 Hwy 78 North Wylie, TX 75098 Tatum's Response: Tatum has read and understands the requested requirement. Exceptions: Tatum's insurance will notify the City of Wylie but it may not be by registered mail. Tatum LLC Appendix C March 12th, 2008 City of Wylie RFP Detail Response Page 25 HOLD HARMLESS AGREEMENT Tatum's Response: Tatum has read and understands the requested requirement. Tatum will work with the City of Wylie to complete a hold harmless agreement in substantial compliance with the above as part of the contract agreement that is satisfactory to both Tatum and the City of Wylie. Exceptions: Tatum has noted our exception in the above response. Instructions to Respondents 18. DEVIATION FROM SPECIFICATIONS Any deviations from specifications and alternate proposals must be clearly shown with complete information provided by the Respondent. Deviations may or may not be considered by the City. Please provide detailed information regarding any such deviation. Tatum's Response: Tatum has read and understands the requested requirement. Tatum will comply with this requirement. Exceptions: None 20. PROPOSAL AMBIGUITY Any ambiguity in the proposal as a result of omission, error, lack of clarity or non- compliance by the Respondent with specifications, instructions and all conditions, shall be construed in the favor of the City. Tatum's Response: Tatum has read and understands the requested requirement. Tatum is committed to serve the city in good faith. Exceptions: Tatum would reasonably expect fair arbitration of any ambiguities. Tatum LLC Appendix C March 12th, 2008 City of Wylie RFP Detail Response Page 26 28. COMPETITIVE SELECTION CRITERIA The successful Respondent will be selected on a rational basis. Evaluation criteria outlined herein shall be applied to all eligible, responsive Respondent's in comparing proposals and selecting the successful Offerer. Award of a contract may be made without discussion with Respondent's after responses are received. Proposals should, therefore, be submitted on the most favorable terms. The City reserves the right to void the agreement if the successful Respondent has not performed within the date specified by the Respondent's response. Tatum's Response: Tatum has read and understands the requested requirement. Tatum would require a signed contract to begin the engagement. Exceptions: None 36. AUDIO AND VIDEO TAPING The City shall have the right to audio and/or video tape any conversation and/or meeting. Said taping shall become part of the total agreement. Tatum's Response: Tatum has read and understands the requested requirement. Exceptions: Tatum's methodology and approach are core to the unique service offering we provide. Therefore audio/video taping, and subsequent inclusion to the agreement would risk undermining competitive positioning. 37. TOTAL AGREEMENT The total contract shall consist of the City's RFP, the Respondent's response to the City's RFP, any audio and/or video tapes, and all other contractual documents provided by the City and the Respondent. No exceptions. Tatum's Response: Tatum has read and understands the requested requirement with the exception as noted on audio/video taping instruction #36. Exceptions: As noted above. Tatum LLC Appendix D March 12th, 2008 City of Wylie Financial Information Page 27 Financial Statement Tatum will provide the most recent(December 31, 2006) audited financial statements if, and when Tatum is selected as a finalist. Since Tatum is not a publicly traded company, our financial reports are not available to public. The complete audited report will be made available prior to contract signing, if needed. It may be of interest that Tatum has recently gone to its partners and raised in excess of$6 million dollars in capital to fund the continued growth of the firm. Subsequent to the capital raise, the firm acquired The Controller Group, adding about 100 additional professionals across Texas. Tatum LLC Appendix E March 12th, 2008 City of Wylie Sample Contract Page 28 r ! Taturn Create more value. Project Work Agreement [Insert Date] [Insert Name and Address of Client] Dear [Insert Name of Client Representative]: Tatum, LLC ("Tatum,""we," or"us") is pleased that [Insert Name of Client] (the "City," "you"or "your")has selected us to perform certain [financial and/or information technology] services on behalf of the City (the "Services"). This letter along with the terms and conditions attached as Exhibit A which are incorporated herein by reference (collectively,the "Agreement") confirms our mutual understanding of the terms and conditions upon which the Services will be provided. As previously discussed, we will provide the following Services: [Insert Description of the Services. A description of the Services must be provided and it may not be a statement to the effect that the Services will be those Services requested by the City from time to time. See Instructions for guidelines on describing Services.] Any additional Services requested by you from time to time are subject to Tatum's consent. You acknowledge that Tatum's success in performing the Services depends on the participation,cooperation, and support of your most senior management. Accordingly, you will designate a management-level individual to be responsible for overseeing the Services. Throughout the course of providing the Services, we will meet with your representative to discuss the findings and recommendations resulting from the Services. The Services will be performed under the direction of[Insert Lead Partner Name] and will be performed by employees, members and/or subcontractors of Tatum(collectively,the "Tatum Resources"). Depending on the Nature of the Services, use one of the following: [We will provide the Services to you beginning on [Insert Date] through [Insert Date], unless the parties agree in writing to extend the term.] Tatum LLC Appendix E March 12th, 2008 City of Wylie Sample Contract Page 29 [We will begin providing the Services on [Insert Date]. It is expected that, with the City's cooperation, it will take approximately [Insert Time Frame] to complete the Services. We will keep you apprised of any anticipated changes to the schedule.] In consideration for the Services provided,you will pay us a [monthly] [daily] [hourly] fee equal to $[Insert Amount] [per Tatum Resource] [for all Tatum Resources assigned]. [Include the following if using a Monthly Fee: The fees will be prorated for the first and final fee period based on the number of days in such period.] Upon the written agreement of the parties,the fees may be adjusted from time to time. In addition,you will reimburse Tatum or the Tatum Resources directly for all reasonable travel and out-of-pocket expenses incurred by Tatum or the Tatum Resources. As a condition to providing the Services,we require a security deposit in an amount equal to $[Insert Amount] (the"Deposit"), which will only be used by us under the limited circumstances described on Exhibit A. The Deposit is due upon the execution of this Agreement. We appreciate the opportunity to serve you and believe this Agreement accurately reflects our mutually understanding of the terms upon which the Services will be provided. We would be pleased to discuss this Agreement with you at your convenience. If the foregoing is in accordance with your understanding, please sign a copy of this Agreement and return it to my attention. Sincerely, Tatum, LLC [Insert Name and Title] Accepted and agreed: [Insert Client Name] By: Name: Title: Date: Tatum LLC Appendix E March 12th, 2008 City of Wylie Sample Contract Page 30 Exhibit A Terms and Conditions 1. Relationship of the Parties. The parties agree that Tatum and the Tatum Resources will be serving the City as independent contractors for all purposes and not as employees,agents,or partners of or joint venturers with the City. Tatum and the Tatum Resources will have control over the order and sequence of the Services and the specific hours worked,will have the opportunity for entrepreneurial profit,and will not be subject to City withholding of income or employment taxes. The Tatum Resources will not be or serve as an employee,manager,officer,or director of the City,nor will the Tatum Resources have any authority or control over the employees of the City or the authority to sign any documents on behalf of the City, including,without limitation, checks and other means of payment,federal or state securities filings,tax filings,or representations and warranties. Accordingly,the City will not(i)give or require the Tatum Resources to use the titles"Chief Financial Officer,""Chief Information Officer," "Chief Operating Officer,"or any other title that suggests such individual is an employee,manager, officer,or director of the City,(ii)represent or require the Tatum Resources to represent to any third party that the Tatum Resources are anything other than consultants to the City,or(iii)require or request that the Tatum Resources supervise or control the employees of the City or sign any documents on behalf of the City. 2. Payment Terms. The City will pay all amounts owed to Tatum no later than 10 days from the receipt of invoice by electronic transfer in accordance with the instructions set forth below. All reimbursement of expenses directly to the Tatum Resources will occur within five days of submission of expense reports to the City. In lieu of terminating this Agreement,Tatum may suspend the provision of Services if amounts owed are not paid in accordance with the terms of this Agreement. Bank Name: Bank of America Branch: Atlanta Account Name: Tatum,LLC Account Number: 003 279 247 763 Routing Number for ACH Payments: 061 000 052 Please reference City name in the body of the payment. If the City is unable to make electronic payments,the City will mail all payments to Tatum, LLC, P.O. Box 403291, Atlanta,Georgia 30384-3291 or such other address as may be designated by Tatum in writing from time to time. 3. Deposit. If the City breaches this Agreement and fails to cure such breach as provided for herein, Tatum will be entitled to apply the Deposit to its damages resulting from such breach. In the event the Deposit falls below the amount required,the City will pay Tatum an additional amount equal to the shortfall. Upon the expiration or termination of this Agreement,Tatum will return to the City the balance of the Deposit remaining after application of any amounts to damages as provided for herein, including,without limitation, unfulfilled payment obligations of the City to Tatum or the Tatum Resources. 4. Term and Termination. a) This Agreement will be effective as of the earlier of(i)the date Tatum begins providing Services to the City,and(ii)the date the City signs the Agreement as indicated on the signature page. b) After the expiration of any minimum term, if any,either party may terminate this Agreement by providing the other party a minimum of 30 days' advance written notice and such termination will be effective as of the date specified in such notice,provided that such date is no earlier than 30 days after the date of delivery of the notice. Tatum will continue to provide,and the City will continue to pay for,the Services until the termination effective date. c) Tatum may terminate this Agreement immediately upon written notice to the City if: (i)the City is engaged in or asks Tatum to engage in or ignore any illegal or unethical activity;(ii)the Tatum Resource ceases to be a member,employee or subcontractor of Tatum for any reason;(iii)the Tatum Resource becomes disabled;or (iv)the City fails to pay any amounts due to Tatum when due. For purposes of this Agreement,disability will be defined by the applicable policy of disability insurance or, in the absence of such insurance, by Tatum's management acting in good faith. Notwithstanding the foregoing, in lieu of terminating this Agreement under(ii) Tatum LLC Appendix E March 12th, 2008 City of Wylie Sample Contract Page 31 and(iii)above,upon the mutual agreement of the parties,the Tatum Resource may be replaced by another Tatum member, employee or subcontractor. d) In the event that a party commits a breach of this Agreement,other than for the reasons described in the above Section,and fails to cure the same within 10 days following delivery by the non-breaching party of written notice specifying the nature of the breach,the non-breaching party may terminate this Agreement effective upon written notice of such termination. e) The expiration or termination of this Agreement will not destroy or diminish the binding force and effect of any of the provisions of this Agreement that expressly,or by reasonable implication,come into or continue in effect on or after such expiration or termination, including,without limitation,provisions relating to payment of fees and expenses(including witness fees and expenses),hiring the Tatum Resources,governing law, arbitration, and limitation of liability. 5. Hiring Tatum Resource Outside of a Tatum Agreement. During the 12-month period following the termination or expiration of this Agreement,other than in connection with another Tatum agreement,the City will not employ any Tatum Resource,or engage any Tatum Resource as an independent contractor,to render services similar to those that the Tatum Resource will be rendering pursuant to this Agreement. The parties recognize and agree that a breach by the City of this provision would result in the loss to Tatum of the Tatum Resource's valuable expertise and revenue potential and that such injury will be impossible or very difficult to ascertain. Therefore, in the event this provision is breached,Tatum will be entitled to receive as liquidated damages an amount equal to 45% of Tatum's Annualized Project Fees(as defined below),which amount the parties agree is reasonably proportionate to the probable loss to Tatum and is not intended as a penalty. The amount will be due and payable to Tatum upon written demand to the City. If a court or arbitrator determines that liquidated damages are not appropriate for such breach,Tatum will have the right to seek actual damages and/or injunctive relief. "Annualized Project Fees"means the equivalent of what Tatum would receive under this Agreement for the Tatum Resource on a full-time annual basis plus the maximum amount of any bonus for which Tatum was eligible with respect to the then-current bonus year. 6. Warranties and Disclaimers. It is understood that Tatum does not have a contractual obligation to the City other than to provide the Services using commercially reasonably efforts in accordance with industry standards. The City acknowledges that any information, including any resources delivered through Tatum's proprietary information and technology system,will be provided by Tatum as a tool to be used in the discretion of the City. Tatum will not be responsible for any action taken by the City in following or declining to follow any of Tatum's or the Tatum Resources' advice or recommendations. Tatum disclaims all other warranties,whether express, implied or statutory. Without limiting the foregoing, Tatum makes no representation or warranty as to the accuracy or reliability of reports, projections,certifications, opinions,representations, or any other information prepared or made by Tatum or the Tatum Resources(collectively,the"Information")even if derived from Tatum's intellectual capital,and Tatum will not be liable for any claims of reliance on the Information. The Information is for the sole benefit of the City and not any unnamed third parties. Tatum will not be liable for any non-compliance of the Information with federal, state,or local laws or regulations. The Services will not constitute an audit,review,or compilation,or any other type of financial statement reporting or attestation engagement that is subject to the rules of the AICPA or other similar state or national professional bodies. 7. Limitation of Liability. The liability of Tatum in any and all categories and for any and all causes arising out of this Agreement,whether based in contract,tort, negligence, strict liability or otherwise will,in the aggregate, not exceed the actual fees paid by the City to Tatum over the previous two months' of the Agreement. In no event will Tatum be liable for incidental, consequential,punitive,indirect or special damages, including,without limitation,any interruption or loss of business,profit or goodwill. As a condition for recovery of any liability,the City must assert any claim against Tatum within three months after discovery or 60 days after the termination or expiration of this Agreement,whichever is earlier. 8. Governing Law,Arbitration,and Witness Fees. a) This Agreement will be governed by and construed in accordance with the laws of the State of Georgia,without regard to conflicts of laws provisions. Tatum LLC Appendix E March 12th, 2008 City of Wylie Sample Contract Page 32 b) If the parties are unable to resolve any dispute arising out of or in connection with this Agreement,the parties agree and stipulate that any such disputes will be settled by binding arbitration in accordance with the Commercial Arbitration Rules of the American Arbitration Association("AAA"). The arbitration will be conducted in the Atlanta,Georgia office of the AAA by a single arbitrator selected by the parties according to the rules of the AAA,and the decision of the arbitrator will be final and binding on both parties. In the event that the parties fail to agree on the selection of the arbitrator within 30 days after either party's request for arbitration under this Section, the arbitrator will be chosen by the AAA. The arbitrator may in his or her discretion order documentary discovery but will not allow depositions without a showing of compelling need. The arbitrator will render his or her decision within 90 days after the call for arbitration. Judgment on the award of the arbitrator may be entered in and enforced by any court of competent jurisdiction. The arbitrator will have no authority to award damages in excess or in contravention of this Agreement and may not amend or disregard any provision of this Agreement, including this Section. Notwithstanding the foregoing,either party may seek appropriate injunctive relief from any court of competent jurisdiction,and Tatum may pursue payment of undisputed amounts through any court of competent jurisdiction. c) In the event any member or employee of Tatum(including,without limitation, any Tatum Resource) is requested or authorized by the City or is required by government regulation, subpoena,or other legal process to produce documents or appear as witnesses in connection with any action,suit or other proceeding initiated by a third party against the City or by the City against a third party,the City will, so long as Tatum is not a party to the proceeding in which the information is sought,reimburse Tatum for its member's or employee's professional time (based on customary rates)and expenses,as well as the fees and expenses of its counsel(including the allocable cost of in-house counsel), incurred in responding to such requests. 9. Miscellaneous. a) This Agreement constitutes the entire agreement between the parties with regard to the subject matter hereof and supersede any and all agreements,whether oral or written, between the parties with respect to its subject matter. No amendment or modification to this Agreement will be valid unless in writing and signed by both parties. b) If any portion of this Agreement is found to be invalid or unenforceable, such provision will be deemed severable from the remainder of this Agreement and will not cause the invalidity or unenforceability of the remainder of this Agreement,except to the extent that the severed provision deprives either party of a substantial portion of its bargain. c) Neither the City nor Tatum will be deemed to have waived any rights or remedies accruing under this Agreement unless such waiver is in writing and signed by the party electing to waive the right or remedy. The waiver by any party of a breach or violation of any provision of this Agreement will not operate or be construed as a waiver of any subsequent breach of such provision or any other provision of this Agreement. d) Neither party will be liable for any delay or failure to perform under this Agreement(other than with respect to payment obligations)to the extent such delay or failure is a result of an act of God,war,earthquake,civil disobedience,court order,labor dispute,or other cause beyond such party's reasonable control. e) The City may not assign its rights or obligations under this Agreement without the express written consent of Tatum. Nothing in this Agreement will confer any rights upon any person or entity other than the parties hereto and their respective successors and permitted assigns and the Tatum Resources. f) The City agrees to reimburse Tatum for all costs and expenses incurred by Tatum in enforcing collection of any monies due under this Agreement, including,without limitation,reasonable attorneys' fees. g) The City agrees to allow Tatum to use the City's logo and name on Tatum's website and other marketing materials for the sole purpose of identifying the City as a client of Tatum. Tatum will not use the City's logo or name in any press release or general circulation advertisement without the City's prior written consent. Tatum LLC Appendix F March 12th, 2008 City of Wylie City's RFP and Required Signatures Page 33 City ' s RFP and Required Signatures CITY OF WYLIE, TEXAS REQUEST FOR PROPOSALS PROFESSIONAL SERVICES - STRATEGIC TECHNOLOGY MASTER PLAN DEVELOPMENT Release Date: February 20, 2008 Submittal Deadline: March 12, 2008 Submittal Deadline Time: 10:00 a.m. CST Deliver To: Mail To: City of Wylie City of Wylie Purchasing Department Purchasing Department 2000 Hwy 78 North 2000 Hwy 78 North Wylie, TX 75098 Wylie, TX 75098 Phone: 972-977-8142 City of Wylie, Texas Page 1 of 24 TABLE OF CONTENTS Project Overview Page 3 Scope of Work Page 3 Guiding Principles Page 3 Technology Initiatives Page 4 Schedule of Completion Page 6 Summary of Budget Impact Page 6 Presentations Page 6 Consultant Qualifications Page 7 City of Wylie Overview Page 8 Current IT Responsibilities Page 8 Project Management Page 8 Bonds & Insurance Page 9 Hold Harmless Agreement Page 13 Instructions To Respondents Page 14 Proposal Evaluation Criteria Page 17 Acknowledgement Page 22 Exceptions Page 22 Pricing Page 22 Authority To Quote Page 23 Exhibit "A" Page 24 City of Wylie, Texas Page 2 of 24 PROJECT OVERVIEW The purpose of this request is to solicit proposals from information technology consultants experienced with the needs and operations of local government, who can develop for the City a Strategic Information Technology Plan that can be implemented and managed in such a way as to provide more effective and efficient business processes. SCOPE OF WORK The consultant will be responsible for the following deliverables: 1. An assessment of the current state and a recommended solution for each technology initiative 2. Schedule of Implementation for the recommended solution for each technology initiative 3. Summary of annual budget impact for each technology initiative 4. Summary of prioritization of recommendation solutions 5. Presentation of Strategic Technology Master Plan GUIDING PRINCIPLES The City desires information used in the Consultant's recommendation that supports a proven "best practices" approach for information technology operations, including examples of where these practices are in use. The Consultant will include in their best practice formulation, how the City may become more efficient and effective in the delivery of information technology services when using the Consultant's recommendation. The Consultant will consider issues, goals, and challenges that are unique to the City of Wylie when proposing recommendations. The Consultant will collect and organize information regarding appropriate staffing levels, deployment, and overall IT costs for each initiative. The Consultant will provide information on how their recommendation can reduce management costs and increase management effectiveness. The Consultant will include in their recommendations any short or long term cost effectiveness, complete with estimated dollar savings, as well as any economies of scale that may result. The Consultant shall plan to use case studies or comparisons of cities of like size who offer the same types and levels of service to their customers. The Consultant shall plan to spend sufficient and proportionate amounts of time reviewing and interviewing each of the City's department directors. City of Wylie, Texas Page 3 of 24 TECHNOLOGY INITIATIVES Technology initiatives to be addressed in this proposal are: 1. Assess existing wide area network infrastructure and make recommendations for improvements that will improve the electronic delivery of services to internal and external customers Deliverable: An assessment of the City's existing wide area network including topology, problems and deficiencies, cost, and the ability to meet current and future bandwidth requirements of the City. The Consultant will provide a recommended path of development for the City's wide area network. The recommendation should be capable of supporting VoIP. Specifically, the analysis should include the possible use of wireless technologies, private fiber, leased circuits and any additional infrastructure options that may be applicable. The Consultant's recommendation will document why the specific path was selected and how it addresses the problems and deficiencies, state the goals and opportunities, as well as the benefits that should be attained. Pros and cons of other, not recommended, paths of development should also be identified. The recommendation should include such variables as management, risk, annual budget impact, benefits, comparison to industry benchmarks, staffing requirements, services and service delivery outcomes, infrastructure requirements, security requirements, disaster recovery, and business continuity planning at a minimum. 2. Assess current state of secure computing throughout the City's network and make recommendation for providing enhanced security services, including but not limited to; ensuring secure data paths between each point on the network perimeter and the Internet, implementing intrusion detection/monitoring systems, and recommending best practices for secure computing. Deliverable: An assessment of the City's current state of security in the City's computing environment including a vulnerability assessment, problems and deficiencies, cost, and the ability to meet current and future security requirements of the City. The Consultant will provide a recommended path of development for enhanced security measures for the City's computing environment. The recommendation will include at a minimum, multi-level security planning; intrusion detection systems; authentication processes; and best practices policies. The Consultant's recommendation will document why the specific path was selected and how it addresses the problems and deficiencies, state the goals and opportunities, as well as the benefits that should be attained. Pros and City of Wylie, Texas Page 4 of 24 cons of other, not recommended, paths of development should also be identified. The recommendation should include such variables as management, risk, annual budget impact, benefits, comparison to industry benchmarks, staffing requirements, services and service delivery outcomes, infrastructure requirements, security requirements, disaster recovery, and business continuity planning at a minimum 3. Assess the City's website for appearance, user-friendliness, and functionality and make recommendation for an improved online presence. Recommendation should include an increase in the quantity of online service options as well as the quality of online service delivery. Deliverable: An assessment of the City's web site including problems and deficiencies, cost, and the ability to meet current and future online service delivery options for the City. The Consultant will provide a recommended path of development for the City's website. The analysis should evaluate the options of in-house or outsourced services for the development and maintenance of the City's website. The Consultant's recommendation will document why the specific path was selected and how it addresses the problems and deficiencies, state the goals and opportunities, as well as the benefits that should be attained. Pros and cons of other, not recommended, paths of development should also be identified. The recommendation should include such variables as management, risk, annual budget impact, benefits, comparison to industry benchmarks, staffing requirements, services and service delivery outcomes, infrastructure requirements, security requirements, disaster recovery, and business continuity planning at a minimum. 4. Assess the City's existing mobile application options and make recommendation for increased mobility that includes access to the City's primary software applications for the purpose of creating a more efficient and effective government. Deliverable: An assessment of mobile applications currently in use including problems and deficiencies, cost, and the ability to meet current and future mobility requirements of the City. The Consultant will provide a recommended path of development for mobile computing. Specifically, the research should include the possible use of web-based and wireless technologies for: remote access, public safety, permit and inspection processes, meter reading operations, and "wireless hot spot" provisioning for the community. The Consultant's recommendation will document why the specific path was selected and how it addresses the problems and deficiencies, state the goals and opportunities, as well as the benefits that should be attained. Pros and cons of other, not recommended, paths of development should also be City of Wylie, Texas Page 5 of 24 identified. The recommendation should include such variables as management, risk, annual budget impact, benefits, comparison to industry benchmarks, staffing requirements, services and service delivery outcomes, infrastructure requirements, security requirements, disaster recovery, and business continuity planning at a minimum 5. Assess current Information Services staff levels and make recommendations regarding staffing based upon the implementation of the STMP. Deliverable: Comprehensive report of recommendation for staff requirements to implement Strategic Technology Master Plan. Analysis should include the possibility of staff reductions, additions, consolidations, or outsourcing needed for the implementation of the Strategic Technology Master Plan. Recommendation should include organizational placement, job description, desired certifications and skills, education requirements, and cost estimates for each staffing option. 6. Assess current Information Services policies and make recommendations for improved policies and procedures. Deliverable: Summary of recommended information services policies including specific topics to be addressed in the policies. Creation of the actual policies and procedures is not part of the STMP deliverable; however sufficient detail is required for each topic. Respondent to include complete development of policies and procedures as an option. SCHEDULE OF COMPLETION The Consultant shall provide an estimated Schedule of Completion for the implementation of the Consultant's Recommended Solution for each Technology Initiative. SUMMARY OF BUDGETARY IMPACT The Consultant shall provide a summary of the overall annual budgetary impact for the Consultant's Recommended Solution for each Technology Initiative. PRESENTATIONS The Consultant shall provide the City with a formal written recommendation and be prepared to present their recommendation in executive and open forums. The Consultant, using direction provided by the City Manager, will develop and present periodic and final presentations to various groups within the City. The groups, as a minimum, could consist of the Mayor and City Council, City Manager, Department Directors, as well as the Information Services department. The recommendation will be City of Wylie, Texas Page 6 of 24 made available to the City in an electronic format using Microsoft applications that may include, but not limited to, Visio, Office, and PowerPoint. A final presentation will be performed at the completion of the project. This presentation will show a recap of the entire project and outline the details of each initiative including the Consultants' final recommendation(s). CONSULTANT QUALIFICATIONS Essential: Demonstrated qualifications and experience should include, but not be limited to, the following: • Significant experience in developing professional technology plans. • Direct experience in developing IT plans for organizations whose employee population exceeds 30,000. • Significant experience in large scale technology project management. • Significant experience in data gathering, research, and organizational analysis. • All proposals shall include a list of qualifications in accordance with, but not limited to, the requirements as stated above. A Pre-Proposal meeting will be held on February 27, 2008. Award of contract is tentatively planned for March 25, 2008 in conjunction with the City Council meeting. If approved by the City Council, work would need to start immediately following contract signing. The Respondent shall provide five (5) signed originals of their proposal and 1 electronic copy on CD. Designate on the front, lower, left-hand corner of your response envelope, the following: City of Wylie - Strategic Technology Master Plan Proposal Closing Date/Time: March 12, 2008 10:00 a.m. (CST) City of Wylie, Texas Page 7 of 24 CITY OF WYLIE OVERVIEW The City of Wylie is located 11 miles east of Plano. Our city is home to more than 30,000 residents who enjoy high quality of life standards and expect superior municipal government services. City of Wylie Statistics Form of Government Home Rule / Council — City Manager Population 39,182 Land Area 33 Square Miles Employees 214 Full-time and Part-Time Annual Budget $21,469,300 CURRENT INFORMATION SERVICES RESPONSIBILITIES In the 2004-2005 fiscal year the City created the Information Services Department. Prior to this, information technology support and procurement was performed by each individual department. The IS department will provide centralized information technology services for all City departments. The City's wide area network is built upon a framework of Motorola Canopy and VPNs. The WAN connects 10 buildings. Current IS operations include the support of 21 Windows servers, approximately 175 workstations, and various software applications. Information Services will also support internet, email services, and VoIP. Exhibit 'A" details the primary software applications that are in use at the City. PROJECT MANAGEMENT The Information Services Supervisor will be designated as the Project Manager for the City. The successful Respondent will list a Project Manager and one backup as part of their response, complete with resumes. City's Project Manager will be required to meet the following: • Set up and coordinate all meetings and interviews as appropriate; • Attend project meetings and interviews; • Review and approve all documents developed and submitted by the successful Respondent; • Coordinate access to City facilities, employee work areas, job sites, etc; • Assist in Change Order preparation and review/approve all change order requests. The City Manager, City Council, and Finance Director must approve all City of Wylie, Texas Page 8 of 24 change orders. • Review and approve all progress payment requests submitted by successful Respondent, based on successful completion of milestones achieved and forward to Finance Director for approval. • Provide written Notice of Completion letter to Finance Director and City Manager stating final acceptance of contractual obligations. • Make available to successful Respondent, all existing information that will be useful in completing stated services and requirements. NOTE: It is the successful Respondent's responsibility to gather and verify data required to successfully fulfill the contract and agreements. BONDS & INSURANCE BONDS No bonds are required for this proposal. INSURANCE The successful bidder shall meet the minimum insurance requirements as defined herein. INDEMNITY Respondent agrees to defend, indemnify, and hold City, its employees, officers, and elected representatives, whole and harmless against any and all claims for damages, costs, and expenses of persons or property that may arise out of, or be occasioned by, or from any negligent act, or omission of Respondent, or any agent, servant or employee of Respondent in the execution of performance of this contract, without regard to whether such persons are under the direction of City agents or employees. INSURANCE REQUIREMENTS SECTION A. Prior to the approval of this agreement/contract by the City, the successful Bidder/Contractor shall furnish a completed Insurance Certificate to the City, which shall be completed by an agent authorized to bind the named underwriters/insurance carriers to the coverage's, limits, and termination provisions shown thereon. THE CITY SHALL HAVE NO DUTY TO PAY OR PERFORM UNDER THIS CONTRACT UNTIL SUCH CERTIFICATE HAS BEEN DELIVERED TO THE CITY. INSURANCE COVERAGE REQUIRED SECTION B. The City reserves the right to review the insurance requirements of this section during the effective period of the contract and to require adjustment of insurance coverage's and their limits when deemed necessary and prudent by the City based upon changes in statutory law, court decisions, or the claims history of the industry as well as the Contractor. City of Wylie, Texas Page 9 of 24 SECTION C. Subject to the Contractor's right to maintain reasonable deductibles in such amounts that are approved by the City, the Contractor shall obtain and maintain in full force and effect for the duration of this contract, and any extension hereof, at the Contractor's sole expense, insurance coverage written by companies approved by the State of Texas and acceptable to the City, in the following types and amounts: TYPE AMOUNT 1. Workers' Compensation Statutory and Employer's Liability $100,000/500,000/100,000 TYPE AMOUNT 2. Commercial General (Public) Liability insurance including coverage for the Combined single limit for bodily injury and following: property damage in the amount of a. Premises Operations $500,000 per occurrence or its b. Independent contractors equivalent. c. Products/completed operations d. Personal injury e. Advertising injury f. Contractual liability g. Medical payments TYPE AMOUNT 3. Comprehensive Automobile insurance, including coverage for Combined single limit for bodily injury and loading and unloading hazards, for: property damage in the amount of a. Owned/leased vehicles $500,000 per accident or its equivalent. b. Non-owned vehicles c. Hired vehicles City of Wylie, Texas Page 10 of 24 ADDITIONAL POLICY ENDORSEMENTS The City shall be entitled, upon request, and without expense, to receive copies of the policies and all endorsements thereto and may make any reasonable request for deletion, revision, or modification of particular policy terms, conditions, limitations, or exclusions (except where policy provisions are established by law or regulation binding upon either of the parties hereto or the underwriter of any such policies). Upon such request by the City, the Contractor shall exercise reasonable efforts to accomplish such changes in policy coverage, and shall pay the cost thereof. Tatum's Response: Tatum has read and understands the requested requirement. Tatum will comply with this requirement. Exceptions: Tatum will agree to provide copies of our policies to the City, but we cannot allow the City to make deletions, revisions or modifications to the policy at our expense. Our policies are what they are and provide adequate coverage. REQUIRED PROVISIONS The successful Contractor agrees that with respect to the above required insurance, all insurance contracts and certificate(s) of insurance will contain and state, in writing, on the certificate, or its attachment, the following required provisions: A. Name the City of Wylie and its officer, employees, and elected representatives as additional insured persons, (as the interest of each insured may appear) as to all applicable coverage for the duration of installation and implementation of this project. B. Provide for 30 days written notice to the City for cancellation, non-renewal, or material change; 10 days notice for workers' compensation coverage; C. The Contractor agrees to waive subrogation against the City of Wylie, its officers, employees, and elected representatives for injuries, including death, property damage, or any other loss to the extent same may be covered by the proceeds of insurance; D. All copies of the certificates of insurance shall reference the project name or bid number for which the insurance applies; City of Wylie, Texas Page 11 of 24 E. Provide that all provisions of this agreement concerning liability, duty, and standard of care, together with the indemnification provision, shall be underwritten by contractual liability sufficient to include such obligations within applicable policies; Tatum's Response: Tatum has read and understands the requested requirement. Exceptions: Tatum will agree to this provision conceptually, but the certificate will not contain these statements. F. Provide for notice to the City of Wylie at the address shown below by registered mail. City of Wylie Purchasing Dept. 2000 Hwy 78 North Wylie, TX 75098 Tatum's Response: Tatum has read and understands the requested requirement. Exceptions: Tatum's insurance will notify the City of Wylie but it will not be by registered mail. SECTION D. Approval, disapproval, or failure to act by the City of Wylie regarding any insurance supplied by the Contractor shall not relieve the Contractor of full responsibility or liability for damages and accidents as set forth in the contract documents. Neither shall the bankruptcy, insolvency, or denial of liability by the insurance company exonerate the Contractor from liability. City of Wylie, Texas Page 12 of 24 HOLD HARMLESS AGREEMENT (Please complete) The City of shall not Wylie be liable or responsible for, and shall be saved and held harmless by from and against any and all suits, actions, losses, damages, claims or liability of any character, type or description, including all expenses of litigation, court costs, and attorney's fees for injury or death to any person, or injury to any property, received or sustained by any person or persons or property, arising out of, or occasioned by, directly or indirectly, the performance of under this Agreement, including claims and damages arising in whole or in part from the negligence of . It is the expressed intent of the parties to this Agreement that the indemnity provided for in this section is an indemnity extended by to indemnify and protect the City of Wylie from the consequences of the City of Wylie own negligence, whether that negligence is the sole or contributory cause of the resultant injury, death, or damage or provided, however, that the indemnity provided for in this section shall not apply only when the negligent act of the City of Wylie is the sole cause of the resultant injury, death, or damage, unmixed with the legal fault of another person or entity. Contractor City of Wylie Signature Signature Mindy Mason Printed Name Printed Name City Manager Title Title Company Name Date Date Tatum will work with the City of Wylie to complete a hold harmless agreement in substantial compliance with the above as part of the contract agreement that is satisfactory to both Tatum and the City of Wylie. City of Wylie, Texas Page 13 of 24 INSTRUCTIONS TO RESPONDENTS 1. PROPOSAL SUBMISSION ADDRESS AND DEADLINE Completed proposals will be received in the Office of the Purchasing until the proposal submission deadline (closing time and date) as stated on the cover page. Proposal responses received after the closing time and date will be returned to the sender unopened. Faxed or emailed responses will not be accepted. If you do not wish to quote at this time, please submit a "No Response" by the same time and date at the same location as stated for submitting a proposal. 2. SIGNATURES All proposals are required to be signed by an authorized representative of the entity submitting the proposal, who has the authority to contractually bind the entity. Proposals received unsigned will not be accepted. 3. INQUIRES FROM RESPONDENTS Questions and/or clarifications will be directed to: Mr. Jim Holcomb Mr. Shone Doville Purchasing Agent I.S. Supervisor City of Wylie City of Wylie 2000 Hwy 78 North 2000 Hwy 78 North Wylie, TX 75098 Wylie, TX 75098 E-Mail: jim.holcomb@wylietexas.gov E-Mail: shone.doville@wylietexas.gov Office Phone: 972.442.8142 Office Phone: 972.977.5740 4. ALTERING PROPOSALS Proposals, unless approved by the City, cannot be altered, amended or withdrawn by the Respondent after the submission deadline. Any inter-lineation, alteration, or erasure made before this deadline, must be initialed by the signer of the proposal, guaranteeing authenticity. 5. MODIFICATIONS AND AMENDMENTS The City reserves the right to modify the specifications prior to the proposal submission deadline and will endeavor to notify all potential Respondent's that have received a copy of the specifications, but failure to notify shall impose no obligation or liability on the City. 6. PROPOSAL WITHDRAWAL OR REJECTION The City reserves the right to withdraw the RFP for any reason or to reject any or all proposals or parts of all or any specific proposal or proposals. The City further reserves the right to accept part or all of any specific proposal or proposals that City Council deems as most advantageous to the City. City of Wylie, Texas Page 14 of 24 7. PUBLIC INSPECTION Proposals are not available for public inspection until after the contract award. 8. PROPRIETARY INFORMATION: All material submitted to the City becomes public property and is subject to the Texas Open Records Act upon receipt. If a Respondent does not desire proprietary information in their proposal to be disclosed, each page must be identified and marked proprietary at the time of submittal. The City will, to the extent allowed by law, endeavor to protect such information from disclosure. The final decision as to what information must be disclosed, however, lies with the Texas Attorney General. Failure to identify proprietary information will result in all unmarked sections being deemed non- proprietary upon public request. 9. PROPOSALS RECEIVED LATE The City is not responsible for lateness or non-delivery of mail, carrier, etc. to the City. The time, using the clock in the City Council Chambers, and current date shall be the official time/date of receipt. 10. PRICES HELD FIRM All prices quoted by the Respondent will remain firm for ninety (90) calendar days, unless otherwise specified by the City or Respondent. 11. NEGOTIATIONS The City reserves the right to require additional information and to negotiate all elements and pricing which comprise the proposal and to accept or reject part or all of any proposal. The City also has the right to request and negotiate a "best and final" offer. 12. EXCESS OR INCORRECT COMMODITIES Products or materials delivered in error or in excess of the quantity ordered may, at the City's option, be returned at the successful Respondent's expense. 13. UNIT PRICES AND EXTENSIONS If unit prices and their extensions do not coincide, unit price shall prevail. 14. NOT TO EXCEED PRICE The Respondent shall include in their proposal all labor, materials, deliverables, incidentals, printing supplies, room/board, travel expenses, meals, etc. For budgetary purposes, the Respondent's response will include within the Pricing section, detailed pricing and line-item pricing and include a "Not to Exceed' price for this project. Modifications to this requirement will not be permitted. 15. DESTINATION, DELIVERY AND INSURANCE CHARGES Any products offered shall be proposed FOB final destination, with all delivery charges to be prepaid by the Respondent. The City does not accept C.O.D. or collect shipments. All prices proposed shall include all charges, including delivery and set-up fees. Any insurance will be paid by the successful Respondent. City of Wylie, Texas Page 15 of 24 16. TITLE/RISK OF LOSS The title and risk of loss of any goods shall not pass to the City until the City actually receives, takes possession, and formally accepts the goods at the point of delivery. 17. DELIVERY DATE The proposal must show the number of days required to complete the project after the receipt of the City's Purchase Order or Notice to Proceed. 18. DEVIATION FROM SPECIFICATIONS Alternate proposals and/or any deviations from specifications must be clearly shown with complete information provided by the Respondent. Deviations may or may not be considered by the City. Please provide detailed information regarding any deviation. The City shall determine if any such deviation meets the City's requirements. Tatum's Response: Tatum has read and understands the requested requirement. Tatum will comply with this requirement. Exceptions: Tatum has submitted and priced an Optional Phase which contains several requested deliverables that are outside the normal scope of a strategic technology master plan. This Optional Phase can be accepted by the City of Wylie in whole or in part as needed by the City. 19. ASSIGNMENT The rights and duties awarded the successful Respondent may not be assigned to another without the written consent of the City signed by the City's authorized agent. Such consent shall not relieve the assigner of liability in the event of default by the assignee. 20. PROPOSAL AMBIGUITY Any ambiguity in the proposal as a result of omission, error, lack of clarity or non- compliance by the Respondent with specifications, instructions and all conditions, shall be construed in the favor of the City. 21. CHANGE ORDERS No oral statement, by any person shall modify or otherwise change, or affect the terms, conditions, or specifications stated in this proposal, or any resultant contract. All changes will be made in writing and shall not be effective unless signed by the Finance Director and the City Manager or designee. 22. LIENS The successful Respondent agrees to and shall indemnify and save harmless the City against any and all liens and encumbrances for all labor, goods, and services which may be provided under the City's request, by seller or seller's vendor(s) and if the City requests, a proper release of all liens or satisfactory evidence of freedom from liens shall be delivered to the City. City of Wylie, Texas Page 16 of 24 23. PATENT INDEMNITY The successful Respondent hereby warrants that the use or sale of the products and materials delivered hereunder will not infringe on the rights of any patent, copyright, or registered trademark covering such materials and the successful Respondent agrees to indemnify and hold harmless the City for any and all costs, expenses, judgments, and damages which the City may have to pay or incur. 24. GRATUITIES/BRIBES The City may, by written notice to the successful Respondent, cancel a contract or agreement without liability to the Respondent if it is determined by the City, at any time, that gratuities or bribes in the form of entertainment, gifts, money, or otherwise, were offered or given by the successful Respondent, or its agent or representative, to any City officer, employee or elected representative with respect to the performance of the contract. In addition, the successful Respondent may be subject to penalties stated in Title 8 of the Texas Penal Code. 25. STMP PRINTED REQUIREMENT As part of the deliverables, the successful Respondent shall provide twelve (12) complete and bound printed sets of the final version of the Strategic Technology Master Plan. The STMP will also be provided on two (2) Compact Disks in a Microsoft software format. 26. PAYMENT AND TAXES The City is exempt from Federal Excise and State Tax; therefore, tax must not be included in the price(s) proposed. A payment schedule to the successful Respondent will be negotiated at the time of the contract. The City prefers milestone payments that are tied to the performance of the successful Respondent. Respondent to provide preferred methods. Receipt of invoice or other billing instrument used by the successful Respondent will initiate payment. The City will not provide payment unless a correct invoice is presented to the City and at the appropriate and agreed upon time. 27. TERMINATION OF CONTRACT The City reserves the right to terminate any agreement that was awarded to the successful Respondent if the successful Respondent fails to perform in a manner acceptable to the City. A minimum of five (5) calendar days written notice shall be given the successful Respondent, which, upon delivery of such notice by the City to the successful Respondent, the successful Respondent shall discontinue all services in connection with the performance of this agreement and shall proceed to cancel promptly any existing orders and contracts insofar as such orders or contracts are chargeable to this agreement. As soon as practicable City of Wylie, Texas Page 17 of 24 after receipt of notice of termination, the Respondent shall submit a statement to the City for payment of that portion of the agreement successfully performed. 28. COMPETITIVE SELECTION CRITERIA The successful Respondent will be selected on a rational basis. Evaluation criteria outlined herein shall be applied to all eligible, responsive Respondent's in comparing proposals and selecting the successful Offerer. Award of a contract may be made without discussion with Respondent's after responses are received. Proposals should, therefore, be submitted on the most favorable terms. The City reserves the right to void the agreement if the successful Respondent has not performed within the date specified by the Respondent's response. Proposal evaluation criteria include: 30% Experience, Expertise, Resources and Understanding of Needs — Professional and relevant experience with similar requirements and deliverables, experience with municipal clients, length of time within the specific industry, qualifications, and stability of Respondent's company. Clear understanding of City's needs, ability to meet the requirements of the RFP and the City, as well as Respondent methodology and approach. 25% Cost— Cost of the overall project. Additional value added. 20% References — References from existing or former clients for the exact type of work and requested deliverables. 15% Sample Documentation — Plan appearance, organization, flow charts, drawings, diagrams, syntax, terminology, logic, structure, etc. (Full copy must be presented at interview; samples must be submitted in RFP.) 10% Time —Ability to start immediately upon award and complete in a timely manner. 30. RELEASE OF INFORMATION Only the company name of the Respondent responding to this proposal shall be released at the proposal opening. The City shall not release other information submitted by the Respondent during the proposal evaluation process or prior to contract award. The City will, to the extent allowed by law, endeavor to protect proprietary information from disclosure as indicated in item 8, page 15. 31. ADDENDA Any interpretations, corrections or changes to this RFP will be made by addenda. Addenda will be sent by the City of Wylie Administrative Services Office to all who are known to have received a copy of this Request for Proposal. 32. RESPONSE INSTRUCTIONS City of Wylie, Texas Page 18 of 24 The proposal must include five (5) signed originals bearing the name and address of the Respondent, Subject, and Proposal Closing Time and Date as shown on the first page of this proposal. Your proposal may be mailed or hand delivered to the City. Facsimile or emailed transmissions are not acceptable. Alternate proposals must be clearly marked as "Alternate Proposals" and follow the same guidelines as primary proposals. 33. PUBLICITY Any publicity, news releases, and/or advertising pertaining to this RFP and/or the awarding of any contract relating to the RFP shall not be made without prior written approval of the City. 34. NOTIFICATION OF PROPOSAL SPECIFICATIONS Please check below how you learned of this Request for Proposal: [ ] City Newspaper Advertisement [ ] RFPDepot.com [ ] Other [X] City Mailed Me a Copy [ ] Cold Call to the City [ ] City's Web Site [ ] DemandStar.com 35. REFERENCES & CLIENT LISTING Each Respondent is to provide a minimum of three (3) verifiable references in which the Respondent has proposed exact or similar services for a municipality. These references must be listed as an Attachment to this RFP. The Respondent must also include a list of all existing clients where the Consultant has performed similar work within the past two years. References will include "current" company name, primary contact name, address, city, state, zip, telephone/cell number, and email address. 36. AUDIO AND VIDEO TAPING The City shall have the right to audio and/or video tape any conversation and/or meeting. Said taping shall become part of the total agreement. 37. TOTAL AGREEMENT The total contract shall consist of the City's RFP, the Respondent's response to the City's RFP, any audio and/or video tapes, and all other contractual documents provided by the City and the Respondent. No exceptions. 38. RFP RESPONSE The Respondent shall provide a response for each question, preferably immediately following the question or statement OR respond as directed under the section titled "EXCEPTIONS". The response or exception shall be detailed enough to sufficiently answer the question or request. If Respondent does not reply or make exception to any item or question, the response is deemed to be accepted by the Respondent. City of Wylie, Texas Page 19 of 24 39. RFP RESPONSE FORMAT The Respondent shall provide a neat and well organized response, in a tabular format, providing the corresponding section, question and number. 40. LITIGATION The Respondent will provide information and notification regarding any law suit, either in progress or where the Respondent has been a party to over the past two years. If applicable, please provide a brief explanation of each event and outcome. 41. EXCEPTIONS All exceptions to these requirements must be noted in the RFP under the section titled "EXCEPTIONS". IMPORTANT: No response or no exceptions indicates acceptance. 42. INSURANCE & OTHER NOTICES The Contractor shall notify the City in the event of any change in insurance coverage or cancellation and shall give such notices not less than 30 days prior to the change. The notice must be accompanied by a replacement Certificate of Insurance. All notices shall be given to the City as follows: Purchasing Department City of Wylie 2000 Hwy 78 North Wylie, TX 75098 43. SAMPLE CONTRACT Respondent will include a sample contractual agreement outlining the Scope of Work, all warranties, etc. City may provide our own contract at any point in the selection process. 44. ORIGINAL RFP DATA For the purposes of convenience and to expedite the process, the Respondent will receive a copy of the RFP in the original Microsoft Word format. By submission of the RFP, Respondent agrees not to modify original text or risks being disqualified from the process. 45. CRIMINAL BACKGROUND CHECKS City may require criminal background checks on any Contractor personnel/agent who works on the project. 46. RESUMES Respondent to include resumes of individuals who would be working on this project. City of Wylie, Texas Page 20 of 24 47. CERTIFICATIONS Respondent to include certifications of individuals who will be working on this project. This can be attached with the resume. 48. OTHER Respondent is encouraged to provide additional information or data as they see fit that will assist the City in the selection process. 49. PRE-PROPOSAL MEETING A "Pre-Proposal Meeting" will be held at 2:00 p.m., CST, February 27, 2008 in the City Hall Conference Room, located at 2000 Hwy 78 North, Wylie, TX 75098. Although this meeting is not mandatory, attendance is highly recommended. The purpose of this meeting is to answer any questions the Respondent may have. Please forward all questions for this meeting by email shone.dovilleCc�wvlietexas.gov by 12:00 p.m., CST, February 14, 2008. Please limit attendance for the Pre-Proposal Meeting to two representatives per firm. 50. COMPANY FINANCIAL INFORMATION Respondent will provide the City with a copy of their last audited financial statement. City of Wylie, Texas Page 21 of 24 ACKNOWLEDGEMENT DOES THE RESPONDENT UNDERSTAND AND AGREE TO THE FOLLOWING SECTIONS WITHIN THE RFP? 1. Project Overview 2. City of Wylie Overview 3. Information Services Responsibilities 4. Scope of Work 5. Technology Initiatives 6. Project Management 7. Bonds and Insurance 8. Hold Harmless Agreement 9. Instructions to Respondent's (Initial One) YES NO X If NO, please indicate exceptions within the section below. If unchecked, the assumption is YES. EXCEPTIONS Please see Appendix C—RFP Detail Response Exceptions Summary PRICING Please include line-item pricing in this section. Description Normal Wylie Discount Engagement Partner $3000 per day $2,500 per day Principal $2000 per day $1,800 per day City of Wylie, Texas Page 22 of 24 AUTHORITY TO QUOTE I certify that I am the person who has authority to quote and bind the company I represent; and that I/we agree to meet or exceed the stated minimum requirements as set forth in these specifications for the prices listed in our official proposal contained herein; and I have read, understand and responded to all information within this document. TOTAL PROJECT PRICE: $ 57,098 (not to exceed) HOURLY RATE $ 2,500 (daily rate) for Partner $ 1,800 (daily rate) for Principal Respondent/Company Name: TATUM LLC Authorized Representative: Kurt R. Wilkin Signature: Title: Managing Director Address: 5400 LBJ Freeway City, State & Zip: Dallas, Texas 75240 Telephone: (972) 200-1400 (Main office) Fax#: (972) 200-1345 E-Mail Address: Kurt.Wilkin(u,TatumLLC.com Date: March 12tn,2008 City of Wylie, Texas Page 23 of 24 EXHIBIT A Department Vendor/Application Purpose Ambulance Integrated Computer Incident Reporting Solutions ESO Billing City Secretary LaserFiche Records Management Engineering AutoCad GIS Finance Incode Financials, Utility Billing, Court Mgmt., Inventory Information Services Windows Server 2003 File & Print Services, DHCP, WINS Watchguard Firebox X1000 Firewall, Proxy Services, WAN Failover, IDS, IPS Office 2003 Standard Office Productivity Edition Symantec Enterprise WAN antivirus solution Edition Anti-virus SQL 2005 Database Services Veritas Backup Exec Tape Backup Oracle 9i/10 Database Services Spiceworks Help Desk and Inventory Management Fire Integrated Computer Incident Reporting, Records Solutions Management Library The Library Corporation Catalog Envisionware Patron Services LTPOne Print Services Police Integrated Computer Records Management, Jail, Solutions Mobile City of Wylie, Texas Page 24 of 24 Tatum LLC Appendix G March 12th, 2008 City of Wylie L Page 25 Litigation Schedule Plaintiff(s) Defendant(s) Partner/ Description Employee Computrex Tatum CFO,Gary G. Pershbacher Pershbacher provided financial consulting services to Computrex under a Project Bankruptcy Trustee Pershbacher,officers Work Agmt. Computrex filed bankruptcy. Trustee alleges that Computrex was and directors, and misappropriating funds. Claims against Tatum and Pershbacher are based on fraud, other professional RICO,and aiding and abetting officers and directors to breach fiduciary duties. firms Tatum and G. Pershbacher were dismissed from the lawsuit in late 2004 because the Trustee lacked standing to bring the lawsuit;however,the dismissal is not a final order of the court. Enron Tatum CFO R. Bowman Enron sued Tatum for return of$59,700 in preference payments paid under a Project Work Agmt. Tatum has an accounts receivable claim against Enron for$59,925. Rangel Tatum CFO,K. K. Lennon Lennon acted as the receiver for Rangel divorce settlement. There was no contract Lennon,ex-husband (former) with Tatum. Lennon did this work on his own and took the work with him when he and lawyer or ex- left Tatum. The wife alleges wrong doing by Lennon and Tatum and other husband defendants with respect to the sale of a business as part of a divorce settlement. Tatum and Lennon won on summary judgment. Plaintiff is in the process of filing an appeal for a new trial,and the court keeps granting extensions for these filings. R2R Partners Tatum CFO,G. Gill, G. Gill Gill was the CFO of Envision Future. R2R Partners alleges that it failed to realize Roger Delgado, gain on a real estate transaction with Envision. Plaintiffs claims are for breach of Envision Future, LLC contract, fraud,misrepresentation and conspiracy. Gill was not involved with the transaction,but was the CFO at the time of the transaction. Tatum has filed a cross- claim against Envision and its owners for indemnity. R2R Partners is seeking $37,000 in damages. C.Gamboa,US Tatum CFO, G.Gill, G.Gill Substantially the same set of facts in the R2R Partners matter described above Health Facilities Roger Delgado, (including same plaintiffs' counsel), except for different plaintiff. The complaint did Development, Envision Future, not allege the amount of the damages. Lawrence LLC,R. Brewer Alexander, Inc. City of Wylie, Texas Page 25 of 24 Wylie City Council CITY OF WYLIE AGENDA REPORT Meeting Date: 04-22-08 Item Number: 4 Department: Information Technology (City Secretary's Use Only) Prepared By: Jeff Butters Account Code: Date Prepared: 04-07-08 Budgeted Amount: $60,000 Exhibits: Subject Consider, and act upon, the selection of the top and second ranked consulting firms and authorize the City Manager to negotiate a Professional Services Contract for the City of Wylie Strategic Technology Master Plan Development. Recommendation Motion authorizing the City Manager to negotiate a Professional Services Contract with for the City of Wylie Strategic Technology Master Plan Development. Discussion On February 12, 2008 the City of Wylie published a Request for Proposal for professional services to develop a Technology Master Plan. Bids were accepted from four consulting firms on March 12, 2008. The Information Technology staff interviewed three consulting firms and choose two to present to Council. Tatum and eGov were selected to present to Council. It is the opinion of the IT staff that both consultants are highly qualified to perform the services. Approved By Initial Date Department Director JB 4/ /08 City Manager Page 1 of 1 � e tr 4. �i,FRc Tatumm a s Create 1iior"C?C t1Clllie. Technology Master i of ' Development _ __ __ _________ ©2006 Tatum,LLC ••• All rights reserved. WYUE Tatum City Of Wylie- Technology Master 'Plan Development "latum Overview of Tatum ...Tatum is the largest and fastest-growing executive services and consulting firm in the United States helping organizations in transition to accelerate operational success and create more value.M ...Founded in 1990 with approximately 1,000 professionals in 37 offices,including a local office in Dallas(firm's largest)and more than 200 client facing professionals in Texas ...More than 5,000 clients served ...Segments Tatum Executive Tatum Consulting •Tatum Talent WYL Tatum Tatum Methodology ...Discovery rLaunch'n"Workshop Interviews/Dialogue >Focus groups ...External information Tatum's Intellectual Capital Research and experience from similar engagements ..,Validation&Vision •Prioritization of Key Issues •Attribute Based Modeling Workshops ...Presentation •Council •Other key stakeholders WYL... Tatum Tatum Methodology ...Discovery rLaunchTm Workshop Interviews/Dialogue Focus groups • Tatum's methodology assures City Ownership of Plan Attribute Based ModelingTM ...Presentation Y VIYL Tatum Tatum'Project Approach STEP I:REVIEW CITY'S USE OF TECHNOLOGY STEP 2:REVIEW CURRENT TECHNOLOGY/ INFORMATION SYSTEMS STEP 3:DEVELOP RESOURCE REOUIREMENTS STEP 0:REVIEW POTENTIAL TECHNOLOGY SYSTEMS STRATEGIES STEPS:PREPARE AN INFORMATION SERVICES MASTER PLAN(GNP) PVIWYt_ Tatum Tatum'Project Approach rLaunch STEP I:REVIEW CITY'S USE OF TECHNOLOGY STEP 2:REVIEW CURRENT TECHNOLOGY/ INFORMATION SYSTEMS STEP 3:DEVELOP ` Attribute-based p ode\in9 STEP 0: SYSTEMS STRATEGIES STEPS:PREPARE AN NFORMATON SERVICES MASTER PLAN SSW) KNYt. Tatum Tatum'Project Approach rLaunch STEP 1:REVIEW CTTY'S 118E OF TECHNOLOGY STEP 2:REVIEW CURRENT TECHNOLOGY/ NPORMATION SYSTEMS Almost 200 total hours of professional assistance: discovery, research and strategy adoption SYSTEMS STRATEGIES STEP 5:PREPARE AN INFORMATION SERVICES MASTER PLAN IMMP) W1f! W .90mirn.LLC••Nn mnN � Tatung Proposed TimeLine Step 1:Review City's Use of Technology Start to Seven Step 2:Review Current Technology/ Two to Four Information Systems Step 3:Develop Resource Requirements Five to Seven Step 4:Review Potential Technology Eight to Ten Strategies Step 5:Prepare Information Services Eleven to Thirteen , Master Plan PINY! Tatum Wylie Benefits Project Segment Benefits Step 1:Review City's Use of Technology Clear understanding of current state ... rLaunchT"1 Leadership under- standing&buy-in ... Dialogue and focus groups Facilitated visioning ... Documentation of findings Clear understanding of current state ta Y YV1fl,: 3 Tatum Wylie Benefits(2) Project Segment Benefits Step 2:Review Current Technology/ Clear understanding Information Systems of current state ... Listing of current Technology/IS Documentation of resources existing physical resources ... Understand current staffing Documentation of resources existing human capital . , Documentation of findings Clear understandin of current s�pk y•WYt MGTYn.LLC•••AI •m✓nl ,o Tatum Wylie Benefits(3) Project Segment Benefits Clear understanding Step 3:Develop Resource Requirements of resources that will be required ... Create document outlining findings, A Findings, observations and issues for vetting Observations and and validation by CPT Issues document ... Issues will be prioritized by CPT A Prioritization document Tatum Wylie Benefits(4+ Project Segment Benefits Step 4:Review Potential Technology Clarity of direction Strategies ... Attribute-based ModehngTM Definition of current Workshop and future vision for technology delivery ... Documentation of desired future Clarity of direction state of technology delivery tr(YWYL 4 'Eau m Wylie Benefits(5) Project Segment Benefits Broad embrace of Step 5:Prepare Information Services Wylie's technology Master Plan strategy ... Vet preliminary plan through CPT Validate alignment Wylie's Information ... Prepare final version of plan Services Master Plan document Broad embrace of ... Present plan to Council and/or Wylie's technology other stakeholders as requested strateg MWYL Iatum Tatum's Scope Management ...Tatum's local government IT Strategy Projects are priced as"fixed,not to exceed" ...Tatum's processes and methodologies manage "scope creep" ...Tatum takes ownership for budget adherence ...Tatum provides a structured approach to scope adjustment )VA iM.LLC•••N nor. 1i PIWYL Tatum Been there,done that!... LlC—Id Tatum Tatum'Consulting Team ...Jerry Byrd:Project Executive National Public Sector Lead Partner ...Curtis Matthes:Project Lead (Project Lead for Greenville Strategy Project that is now underway) .,.Other professionals available for City's review,if needed WYL Olen la LLC•••11114b.e... ie Tatutn Current Near-by City Projects ...Strategic Planning :.Greenville,Texas Cleburne,Texas ...System Selection&Strategic Realignment McKinney,Texas Midwest City,OK Cleburne,Texas Y `*FYI 7atutn Sample Government Clients ararw.a rd a,ao...e..r... - Opa.,inn cptlItenw mo cpau....«.rti Man......ra. cgraetin, re - cgaw ru .paE.""'C " Simon run - wazw - Wae.....ac cpae....re r.r. rear.. - cmM..p<.,.de cpaa...r..: a za-�a n.. c,.,,..n.o..c.a. WYL .l.era.m.uc•••Al....w .e 6 Tatum Sample Government Clients ... City of Garbed.Texas �: .,�.•' Mxa•.•.a.i•w loft M1w X•eym w.n C,Mh - �xrYn. . Mxsr.dmt cM1ygm,.We. nc rnem.7..4 Tow - Mwrme.xc State of Alabama -. n.•.ma•h.s.uc.r. CoyeLAP innswmc«•n•r. .- v.+m.nc+m.•w. City of Kissimmee,Markle la. nweu•...r.s -_ - Calinnm ... Mwr•.er•a.,... � ,a- �.vr iv,•••rr.nr .. Mx$.}�.•.,.II• -- snh••�,w•ywraq ._ O�rDrh�B.•rt•W ,,ma�Oyy, O'Np6ieun.LLC••• - mon. ,p TatumIT Organization and Governance,Best Practices&Recommendations:Garland Before Tatum :_Tatum Solution •City believed there •Developed a federated •New vision for IT were five IT technology delivery model strategy organizations that provided"win-win" •Significant redundancy for all eleven IT •Optimized IT and duplicated costs organizations strategies and delivery across all •Lots of territorialness •Assisted Senior departments •Little cooperation management to architect •Using Tatum toolsets •Plenty of"finger- new city models for throughout the City, ointin governance and having p g accountability proved their •Major projects were value during effort • suffering from Assisted with the creation •Stellar management competitiveness and of a Project Management of key lack of clear direction Office projects lack jyI� empr...uc•••M n•w.n lattn�� Organizational Assessment: State of Alabama • Before Tatum Teturn Solution With Tatum •State was •Developed a successful •Annual savings hemorrhaging red in Plan to replace existing approaching$1 the Central Printing department with a million annually and Publications "virtual"printing •State agencies in department,providing agreement onprinting •Quality of printing improved services at far shade i products from Central lower lost 4V and direction Printing was for the first time in unacceptable to most •"guy-in"from the state's years users agencies'management •State is planning to •User departments •Presentation of Strategy repeat this success were making huge to Governor's cabinet story in other investments in departments alternative document •Plan was adopted and has systems and the staff been implemented to operate them WYL .� ea•era.uc...n;..,•..wa p, 7 • TatumStrategic IT Plan: Kissimmee Florida Tatum Solution IMES •This extremely fast- •A Tatum Professional was •City had organization- growing central Florida called in to review the plan wide buy-in City had previously asked a Tatum •Assessment revealed that •City had a professional to help it the Cityhad been sold a implementation plan develop an 1"f strategic p plan "bill of goods";were under for the system that •Plan was unanimously the impression they could was exactly what accepted by Council do citywide imaging and everyone wanted and implementation document management •Cityestablished was well under way, for$150,000 when.., appropriate budget- •Surprise:imaging and •Questions were asked and $1.5 million document guidance provided: City .Successful management jumped wanted to implements implementation! to"top priority";a city-wide system,but from p department had been an educated viewpoint "sold"imaging,and for all other departments as well! ONNiew.LLC•••M mot II Tatum With Tatum ...City ownership of Plan ...Mentoring of staff ...Training and education in powerful and leading-edge methodologies ...Toolsets that Wylie can use into the future ,..A very practical plan ...A plan that can be successfully implemented by Wylie ...A partner with a major Dallas presence Pit v�r .. ONp1iNm.LLC••N n•m•l S) Pit WYLIE Tatum Questions ••• OeMiNw,LLC N 8 REFERENCE CHECK eGov Consulting Services LLC Spoke with: Sid Hudson—City of Allen, Texas- IT Director Called on April 22, 2008 @ 11:00 pm 1. Were you pleased with the Consultant's service? Very Pleased. 2. How well did the Consultant stick firmly to schedules? Yes 3. Was the project completed within budget? If not, why? Yes 4. Were the responsive to your needs, i.e. replying to email and phone calls in a teimly fashion? Very responsive. 5. What were the Consultant's weak points? None 6. What were the Consultant's strong points? Excellent Communication and time management skills. 7. Would you hire them again for another project? Already have. REFERENCE CHECK eGov Consulting Services LLC Spoke with: Linda McHone—City of Deer Park, Texas- IS Coordinator Called on April 21, 2008 @ 10:15 pm 1. Were you pleased with the Consultant's service? Very Pleased. 2. How well did the Consultant stick firmly to schedules? Absolutely 3. Was the project completed within budget? If not, why? Yes 4. Were the responsive to your needs, i.e. replying to email and phone calls in a teimly fashion? Very responsive, even on weekends. 5. What were the Consultant's weak points? None 6. What were the Consultant's strong points? Very effective communication and time management skills. 7. Would you hire them again for another project? Absolutely REFERENCE CHECK Tatum LLC Spoke with: Jack Marshall—City of Huntington Beach, California- IS Director Called on April 22, 2008 @ 12:00 pm 1. Were you pleased with the Consultant's service? Yes 2. How well did the Consultant stick firmly to schedules? Very Well 3. Was the project completed within budget? If not, why? Yes 4. Were the responsive to your needs, i.e. replying to email and phone calls in a teimly fashion? Very much so. 5. What were the Consultant's weak points? None. 6. What were the Consultant's strong points? Very personable and flexible 7. Would you hire them again for another project? Yes REFERENCE CHECK Tatum LLC Spoke with: Andy Hornsby—State of Alabama- Assistant Finance Director Called on April 21, 2008 @ 01:30 pm 1. Were you pleased with the Consultant's service? Very Pleased. 2. How well did the Consultant stick firmly to schedules? Yes 3. Was the project completed within budget? If not, why? Yes 4. Were the responsive to your needs, i.e. replying to email and phone calls in a teimly fashion? Very much so. 5. What were the Consultant's weak points? None. They did a fine job. 6. What were the Consultant's strong points? Speed and thoroughness 7. Would you hire them again for another project? Yes