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City Clerk Document No.
City Council Meeting Date: April 4, 2024
CITY OF CHANDLER SERVICES AGREEMENT
TEMPORARY ACCOMMODATIONS
CITY OF CHANDLER AGREEMENT NO. 4758
THIS AGREEMENT (Agreement) is made and entered into by and between the City of Chandler, an
Arizona municipal corporation (City), and Metro Zona Hospitality, LLC, dba Aligned Hospitality
Management, LLC, an Arizona limited liability company (Contractor), (City and Contractor may
individually be referred to as Party and collectively referred to as Parties) and made
, 2024
(Effective Date).
RECITALS
A. City proposes to enter an agreement for temporary accommodations as more fully described in
Exhibit A, which is attached to and made a part of this Agreement by this reference.
B. Contractor is ready, willing, and able to provide the services described in Exhibit A for the
compensation and fees set forth and as described in Exhibit B, which is attached to and made a part
of this Agreement by this reference.
C. City desires to contract with the Contractor to provide these services under the terms and
conditions set forth in this Agreement.
AGREEMENT
NOW, THEREFORE, in consideration of the premises and the mutual promises contained in this
Agreement, City and Contractor agree as follows:
SECTION I: DEFINITIONS
For purposes of this Agreement, the following definitions apply:
Agreement means the legal agreement executed between the City and the Contractor
City means the City of Chandler, Arizona
Contractor means the individual, partnership, or corporation named in the Agreement
Days means calendar days
May, Should means something that is not mandatory but permissible
Shall, Will, Must means a mandatory requirement
SECTION II: CONTRACTOR’S SERVICES
Contractor must perform the services described in Exhibit A to the City’s satisfaction within the
terms and conditions of this Agreement and within the care and skill that a person who provides
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similar services in Chandler, Arizona exercises under similar conditions. All work or services
furnished by Contractor under this Agreement must be performed in a skilled and workmanlike
manner. Unless authorized by the City in writing, all fixtures, furnishings, and equipment furnished
by Contractor as part of the work or services under this Agreement must be new, or the latest
model, and of the most suitable grade and quality for the intended purpose of the work or service.
SECTION III: PERIOD OF SERVICE
Contractor must perform the services described in Exhibit A for the term of this Agreement.
The term of the Agreement is one year and begins on April 15, 2024, and ends on April 14, 2025,
unless sooner terminated in accordance with the provisions of this Agreement. The City and the
Contractor may mutually agree to extend the Agreement for up to four additional terms of one year
each, or portions thereof. The City reserves the right, at its sole discretion, to extend the Agreement
for up to 60 days beyond the expiration of any extension term.
SECTION lV: PAYMENT OF COMPENSATION AND FEES
4.1 Unless amended in writing by the Parties, Contractor's compensation and fees as more fully
described in Exhibit B for performance of the services approved and accepted by the City under this
Agreement must not exceed $525,000. Contractor must submit requests for payment for services
approved and accepted during the previous billing period and must include, as applicable, detailed
invoices and receipts, a narrative description of the tasks accomplished during the billing period, a
list of any deliverables submitted, and any subcontractor’s or supplier’s actual requests for payment
plus similar narrative and listing of their work. Payment for those services negotiated as a lump sum
will be made in accordance with the percentage of the work completed during the preceding billing
period. Services negotiated as a not-to-exceed fee will be paid in accordance with the work
completed on the service during the preceding month. All requests for payment must be submitted
to the City for review and approval. The City will make payment for approved and accepted services
within 30 days of the City’s receipt of the request for payment.
4.2 Applicable Taxes. The Contractor will pay all applicable taxes. The City is subject to all applicable
state and local transaction privilege taxes. To the extent any state and local transaction privilege
taxes apply to sales made under the terms of this Agreement, it is the responsibility of the
Contractor to collect and remit all applicable taxes to the proper taxing jurisdiction of authority.
4.3 Tax Indemnification. The Contractor and all subcontractors will pay all Federal, state, and local
taxes applicable to its operation and any persons employed by the Contractor. The Contractor will
and require all subcontractors to hold the City harmless from any responsibility for taxes, damages,
and interest, if applicable, contributions required under Federal, state, and local laws and
regulations and any other costs including transaction privilege taxes, unemployment compensation
insurance, Social Security, and Worker’s Compensation.
4.4 All prices offered herein shall be firm against any increase for the initial term of the Agreement.
Prior to commencement of subsequent renewal terms, the City may approve a fully documented
request for a price adjustment. The City shall determine whether any requested price increases for
extension terms is acceptable to the City. If the City approves the price increase, the price shall
remain firm for the renewal term for which it was requested. If a price increase is agreed upon by
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the Parties a written Agreement Amendment shall be approved and executed by the Parties.
SECTION V: GENERAL CONDITIONS
5.1 Records/Audit. Records of the Contractor's direct personnel payroll, reimbursable expenses
pertaining to this Agreement and records of accounts between the City and Contractor must be
kept on the basis of generally accepted accounting principles and must be made available to the
City and its auditors for up to three years following the City’s final acceptance of the services under
this Agreement. The City, its authorized representative, or any federal agency, reserves the right to
audit Contractor's records to verify the accuracy and appropriateness of all cost and pricing data,
including data used to negotiate this Agreement and any amendments. The City reserves the right
to decrease the total amount of Agreement price or payments made under this Agreement or
request reimbursement from the Contractor following final contract payment on this Agreement if,
upon audit of the Contractor's records, the audit discloses the Contractor has provided false,
misleading, or inaccurate cost and pricing data. The Contractor will include a similar provision in all
of its contracts with subcontractors providing services under the Agreement Documents to ensure
that the City, its authorized representative, or the appropriate federal agency, has access to the
subcontractors’ records to verify the accuracy of all cost and pricing data. The City reserves the right
to decrease Contract price or payments made on this Agreement or request reimbursement from
the Contractor following final payment on this Agreement if the above provision is not included in
subcontractor agreements, and one or more subcontractors refuse to allow the City to audit their
records to verify the accuracy and appropriateness of all cost and pricing data. If, following an audit
of this Agreement, the audit discloses the Contractor has provided false, misleading, or inaccurate
cost and pricing data, and the cost discrepancies exceed 1% of the total Agreement billings, the
Contractor will be liable for reimbursement of the reasonable, actual cost of the audit.
5.2 Alteration in Character of Work. Whenever an alteration in the character of work results in a
substantial change in this Agreement, thereby materially increasing or decreasing the scope of
services, cost of performance, or Project schedule, the work will be performed as directed by the
City. However, before any modified work is started, a written amendment must be approved and
executed by the City and the Contractor. Such amendment must not be effective until approved by
the City. Additions to, modifications, or deletions from this Agreement as provided herein may be
made, and the compensation to be paid to the Contractor may accordingly be adjusted by mutual
agreement of the Parties. It is distinctly understood and agreed that no claim for extra work done
or materials furnished by the Contractor will be allowed by the City except as provided herein, nor
must the Contractor do any work or furnish any materials not covered by this Agreement unless
such work is first authorized in writing. Any such work or materials furnished by the Contractor
without prior written authorization will be at Contractor's own risk, cost, and expense, and
Contractor hereby agrees that without written authorization Contractor will make no claim for
compensation for such work or materials furnished.
5.3 Termination for Convenience. The City and the Contractor hereby agree to the full
performance of the covenants contained herein, except that the City reserves the right, at its
discretion and without cause, to terminate or abandon any service provided for in this
Agreement, or abandon any portion of the Project for which services have been performed by
the Contractor. In the event the City abandons or suspends the services, or any part of the
services as provided in this Agreement, the City will notify the Contractor in writing and
immediately after receiving such notice, the Contractor must discontinue advancing the work
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specified under this Agreement. Upon such termination, abandonment, or suspension, the
Contractor must deliver to the City all drawings, plans, specifications, special provisions,
estimates and other work entirely or partially completed, together with all unused materials
supplied by the City. The Contractor must appraise the work Contractor has completed and
submit Contractor's appraisal to the City for evaluation. The City may inspect the Contractor's
work to appraise the work completed. The Contractor will receive compensation in full for
services performed to the date of such termination. The fee shall be paid in accordance with
Section IV of this Agreement, and as mutually agreed upon by the Contractor and the City. If
there is no mutual agreement on payment, the final determination will be made in accordance
with the Disputes provision in this Agreement. However, in no event may the payment exceed
the payment set forth in this Agreement nor as amended in accordance with Alteration in
Character of Work. The City will make the final payment within 60 days after the Contractor has
delivered the last of the partially completed items and the Parties agree on the final payment.
If the City is found to have improperly terminated the Agreement for cause or default, the
termination will be converted to a termination for convenience in accordance with the
provisions of this Agreement.
5.4 Termination for Cause. The City may terminate this Agreement for Cause upon the occurrence
of any one or more of the following events: in the event that (a) the Contractor fails to perform
pursuant to the terms of this Agreement, (b) the Contractor is adjudged a bankrupt or insolvent, (c)
the Contractor makes a general assignment for the benefit of creditors, (d) a trustee or receiver is
appointed for Contractor or for any of Contractor’s property (e) the Contractor files a petition to
take advantage of any debtor's act, or to reorganize under the bankruptcy or similar laws, (f) the
Contractor disregards laws, ordinances, rules, regulations or orders of any public body having
jurisdiction, or (g) the Contractor fails to cure default within the time requested. Where Agreement
has been so terminated by City, the termination will not affect any rights of City against Contractor
then existing or which may thereafter accrue.
5.5 Indemnification. The Contractor (lndemnitor) must indemnify, defend, save and hold
harmless the City and its officers, officials, agents and employees (lndemnitee) from any and
all claims, actions, liabilities, damages, losses or expenses (including court costs, attorneys' fees
and costs of claim processing, investigation and litigation) (Claims) caused or alleged to be
caused, in whole or in part, by the wrongful, negligent or willful acts, or errors or omissions of
the Contractor or any of its owners, officers, directors, agents, employees, or subcontractors in
connection with this Agreement. This indemnity includes any claim or amount arising out of or
recovered under workers' compensation law or on account of the failure of the Contractor to
conform to any federal, state or local law, statute, ordinance, rule, regulation or court decree.
The Contractor must indemnify lndemnitee from and against any and all Claims, except those
arising solely from lndemnitee's own negligent or willful acts or omissions. The Contractor is
responsible for primary loss investigation, defense and judgment costs where this
indemnification applies. In consideration of the award of this Agreement, the Contractor agrees
to waive all rights of subrogation against lndemnitee for losses arising from or related to this
Agreement. The obligations of the Contractor under this provision survive the termination or
expiration of this Agreement.
5.6 Insurance Requirements. Contractor must procure insurance under the terms and
conditions and for the amounts of coverage set forth in Exhibit C against claims that may arise
from or relate to performance of the work under this Agreement by Contractor and its agents,
representatives, employees, and subcontractors. Contractor and any subcontractors must
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maintain this insurance until all of their obligations have been discharged, including any
warranty periods under this Agreement. These insurance requirements are minimum
requirements for this Agreement and in no way limit the indemnity covenants contained in this
Agreement. The City in no way warrants that the minimum limits stated in Exhibit C are
sufficient to protect the Contractor from liabilities that might arise out of the performance of
the work under this Agreement by the Contractor, the Contractor’s agents, representatives,
employees, or subcontractors. Contractor is free to purchase such additional insurance as may
be determined necessary.
5.7 Cooperation and Further Documentation. The Contractor agrees to provide the City such
other duly executed documents as may be reasonably requested by the City to implement the
intent of this Agreement.
5.8 Notices. Unless otherwise provided, notice under this Agreement must be in writing and
will be deemed to have been duly given and received either (a) on the date of service if
personally served on the party to whom notice is to be given, or (b) on the date notice is sent if
by electronic mail, or (c) on the third day after the date of the postmark of deposit by first class
United States mail, registered or certified, postage prepaid and properly addressed as follows:
For the City
For the Contractor
Name: Christina Pryor Name: Rhiannon Harke
Title: Procurement and Supply Senior Manager Title: General Manager
Address: 175 S. Arizona Ave., 3rd Floor Address: 5858 W Chandler Blvd.
Chandler, AZ 85225 Chandler, Az 85226
Phone: 480-782-2403 Phone: 480-338-0466
Email: christina.pryor@chandleraz.gov Email: Rhiannon.Harke@alignedhm.com
5.9 Successors and Assigns. City and Contractor each bind itself, its partners, successors,
assigns, and legal representatives to the other party to this Agreement and to the partners,
successors, assigns, and legal representatives of such other party in respect to all covenants of
this Agreement. Neither the City nor the Contractor may assign, sublet, or transfer its interest
in this Agreement without the written consent of the other party. In no event may any
contractual relation be created between any third party and the City.
5.10 Disputes. In any dispute arising out of an interpretation of this Agreement or the duties
required not disposed of by agreement between the Contractor and the City, the final
determination at the administrative level will be made by the City Purchasing and Materials
Manager.
5.11 Completeness and Accuracy of Contractor's Work. The Contractor must be responsible for
the completeness and accuracy of Contractor's services, data, and other work prepared or
compiled under Contractor's obligation under this Agreement and must correct, at Contractor's
expense, all willful or negligent errors, omissions, or acts that may be discovered. The fact that
the City has accepted or approved the Contractor's work will in no way relieve the Contractor
of any of Contractor's responsibilities.
5.12 Withholding Payment. The City reserves the right to withhold funds from the Contractor's
payments up to the amount equal to the claims the City may have against the Contractor until
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such time that a settlement on those claims has been reached.
5.13 City's Right of Cancellation. The Parties acknowledge that this Agreement is subject to
cancellation by the City under the provisions of Section 38-511, Arizona Revised Statutes
(A.R.S.).
5.14 Independent Contractor. For this Agreement the Contractor constitutes an independent
contractor. Any provisions in this Agreement that may appear to give the City the right to direct
the Contractor as to the details of accomplishing the work or to exercise a measure of control
over the work means that the Contractor must follow the wishes of the City as to the results of
the work only. These results must comply with all applicable laws and ordinances.
5.15 Project Staffing. Prior to the start of any work under this Agreement, the Contractor must
assign to the City the key personnel that will be involved in performing services prescribed in
the Agreement. The City may acknowledge its acceptance of such personnel to perform
services under this Agreement. At any time hereafter that the Contractor desires to change key
personnel while performing under the Agreement, the Contractor must submit the
qualifications of the new personnel to the City for prior approval. The Contractor will maintain
an adequate and competent staff of qualified persons, as may be determined by the City,
throughout the performance of this Agreement to ensure acceptable and timely completion of
the Scope of Services. If the City objects, with reasonable cause, to any of the Contractor's staff,
the Contractor must take prompt corrective action acceptable to the City and, if required,
remove such personnel from the Project and replace with new personnel agreed to by the City.
5.16 Subcontractors. Prior to beginning the work, the Contractor must furnish the City for
approval the names of subcontractors to be used under this Agreement. Any subsequent
changes are subject to the City’s written prior approval.
5.17 Force Majeure. If either party is delayed or prevented from the performance of any act
required under this Agreement by reason of acts of God or other cause beyond the control and
without fault of the Party (financial inability excepted), performance of that act may be excused,
but only for the period of the delay, if the Party provides written notice to the other Party within
ten days of such act. The time for performance of the act may be extended for a period
equivalent to the period of delay from the date written notice is received by the other Party.
5.18 Compliance with Laws. Contractor understands, acknowledges, and agrees to comply with
the Americans with Disabilities Act, the Immigration Reform and Control Act of 1986 and the
Drug Free Workplace Act of 1989. All services performed by Contractor must also comply with
all applicable City of Chandler codes, ordinances, and requirements. Contractor agrees to
permit the City to verify Contractor’s compliance.
5.19 No Israel Boycott. By entering into this Agreement, Contractor certifies that Contractor is
not currently engaged in, and agrees for the duration of the Agreement, not to engage in a
boycott of Israel as defined by state statute.
5.20 Legal Worker Requirements. A.R.S. § 41-4401 prohibits the City from awarding a contract
to any contractor who fails, or whose subcontractors fail, to comply with A.R.S. § 23-214(A).
Therefore, Contractor agrees Contractor and each subcontractor it uses warrants their
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compliance with all federal immigration laws and regulations that relate to their employees
and their compliance with§ 23-214, subsection A. A breach of this warranty will be deemed a
material breach of the Agreement and may be subject to penalties up to and including
termination of the Agreement. City retains the legal right to inspect the papers of any
Contractor’s or subcontractor’s employee who provides services under this Agreement to
ensure that the Contractor and subcontractors comply with the warranty under this provision.
5.21 Lawful Presence Requirement. A.R.S. §§ 1-501 and 1-502 prohibit the City from awarding
a contract to any natural person who cannot establish that such person is lawfully present in
the United States. To establish lawful presence, a person must produce qualifying identification
and sign a City-provided affidavit affirming that the identification provided is genuine. This
requirement will be imposed at the time of contract award. This requirement does not apply
to business organizations such as corporations, partnerships, or limited liability companies.
5.22 Forced Labor of Ethnic Uyghurs Prohibited. By entering into this Agreement, Contractor
certifies and agrees Contractor does not currently use and will not use for the term of this
Agreement: (i) the forced labor of ethnic Uyghurs in the People's Republic of China; or (ii) any
goods or services produced by the forced labor of ethnic Uyghurs in the People's Republic of
China; or (iii) any contractors, subcontractors or suppliers that use the forced labor or any
goods or services produced by the forced labor of ethnic Uyghurs in the People's Republic of
China.
5.23 Covenant Against Contingent Fees. Contractor warrants that no person has been
employed or retained to solicit or secure this Agreement upon an agreement or understanding
for a commission, percentage, brokerage, or contingent fee, and that no member of the
Chandler City Council, or any City employee has any interest, financially, or otherwise, in
Contractor’s firm. For breach or violation of this warrant, the City may annul this Agreement
without liability or, at its discretion, to deduct from the Agreement price or consideration, the
full amount of such commission, percentage, brokerage, or contingent fee.
5.24 Non-Waiver Provision. The failure of either Party to enforce any of the provisions of this
Agreement or to require performance of the other Party of any of the provisions hereof must
not be construed to be a waiver of such provisions, nor must it affect the validity of this
Agreement or any part thereof, or the right of either Party to thereafter enforce each and every
provision.
5.25 Disclosure of Information Adverse to the City’s Interests. To evaluate and avoid potential
conflicts of interest, the Contractor must provide written notice to the City, as set forth in this
Section, of any work or services performed by the Contractor for third parties that may involve
or be associated with any real property or personal property owned or leased by the City. Such
notice must be given seven business days prior to commencement of the services by the
Contractor for a third party, or seven business days prior to an adverse action as defined below.
Written notice and disclosure must be sent to the City’s Purchasing and Materials Manager. An
adverse action under this Agreement includes, but is not limited to: (a) using data as defined in
the Agreement acquired in connection with this Agreement to assist a third party in pursuing
administrative or judicial action against the City; or (b) testifying or providing evidence on behalf
of any person in connection with an administrative or judicial action against the City; or (c) using
data to produce income for the Contractor or its employees independently of performing the
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services under this Agreement, without the prior written consent of the City. Contractor
represents that except for those persons, entities, and projects identified to the City, the
services performed by the Contractor under this Agreement are not expected to create an
interest with any person, entity, or third party project that is or may be adverse to the City’s
interests. Contractor's failure to provide a written notice and disclosure of the information as
set forth in this Section constitute a material breach of this Agreement.
5.26 Data Confidentiality and Data Security. As used in the Agreement, data means all
information, whether written or verbal, including plans, photographs, studies, investigations, audits,
analyses, samples, reports, calculations, internal memos, meeting minutes, data field notes, work
product, proposals, correspondence and any other similar documents or information prepared by,
obtained by, or transmitted to the Contractor or its subcontractors in the performance of this
Agreement. The Parties agree that all data, regardless of form, including originals, images, and
reproductions, prepared by, obtained by, or transmitted to the Contractor or its subcontractors in
connection with the Contractor's or its subcontractor’s performance of this Agreement is
confidential and proprietary information belonging to the City. Except as specifically provided in this
Agreement, Contractor or its subcontractors must not divulge data to any third party without the
City’s prior written consent. Contractor or its subcontractors must not use the data for any purposes
except to perform the services required under this Agreement. These prohibitions do not apply to
the following data provided to the Contractor or its subcontractors have first given the required
notice to the City: (a) data which was known to the Contractor or its subcontractors prior to its
performance under this Agreement unless such data was acquired in connection with work
performed for the City; or (b) data which was acquired by the Contractor or its subcontractors in its
performance under this Agreement and which was disclosed to the Contractor or its subcontractors
by a third party, who to the best of the Contractor's or its subcontractors knowledge and belief, had
the legal right to make such disclosure and the Contractor or its subcontractors are not otherwise
required to hold such data in confidence; or (c) data which is required to be disclosed by virtue of
law, regulation, or court order, to which the Contractor or its subcontractors are subject. In the event
the Contractor or its subcontractors are required or requested to disclose data to a third party, or
any other information to which the Contractor or its subcontractors became privy as a result of any
other contract with the City, the Contractor must first notify the City as set forth in this Section of
the request or demand for the data. The Contractor or its subcontractors must give the City
sufficient facts so that the City can be given an opportunity to first give its consent or take such
action that the City may deem appropriate to protect such data or other information from
disclosure. Unless prohibited by law, within ten calendar days after completion or termination of
services under this Agreement, the Contractor or its subcontractors must promptly deliver, as set
forth in this Section, a copy of all data to the City. All data must continue to be subject to the
confidentiality agreements of this Agreement. Contractor or its subcontractors assume all liability
to maintain the confidentiality of the data in its possession and agrees to compensate the City if any
of the provisions of this Section are violated by the Contractor, its employees, agents or
subcontractors. Solely for the purposes of seeking injunctive relief, it is agreed that a breach of this
Section must be deemed to cause irreparable harm that justifies injunctive relief in court. Contractor
agrees that the requirements of this Section must be incorporated into all subcontracts entered
into by Contractor. A violation of this Section may result in immediate termination of this Agreement
without notice.
5.27 Personal Identifying Information-Data Security. Personal identifying information, financial
account information, or restricted City information, whether electronic format or hard copy,
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must be secured and protected at all times by Contractor and any of its subcontractors. At a
minimum, Contractor must encrypt or password-protect electronic files. This includes data
saved to laptop computers, computerized devices, or removable storage devices. When
personal identifying information, financial account information, or restricted City information,
regardless of its format, is no longer necessary, the information must be redacted or destroyed
through appropriate and secure methods that ensure the information cannot be viewed,
accessed, or reconstructed. In the event that data collected or obtained by Contractor or its
subcontractors in connection with this Agreement is believed to have been compromised,
Contractor or its subcontractors must immediately notify the City contact. Contractor agrees
to reimburse the City for any costs incurred by the City to investigate potential breaches of this
data and, where applicable, the cost of notifying individuals who may be impacted by the
breach. Contractor agrees that the requirements of this Section must be incorporated into all
subcontracts entered into by Contractor. It is further agreed that a violation of this Section must
be deemed to cause irreparable harm that justifies injunctive relief in court. A violation of this
Section may result in immediate termination of this Agreement without notice. The obligations
of Contractor or its subcontractors under this Section must survive the termination of this
Agreement.
5.28 Jurisdiction and Venue. This Agreement is made under, and must be construed in
accordance with and governed by the laws of the State of Arizona without regard to the
conflicts or choice of law provisions thereof. Any action to enforce any provision of this
Agreement or to obtain any remedy with respect hereto must be brought in the courts located
in Maricopa County, Arizona, and for this purpose, each Party hereby expressly and irrevocably
consents to the jurisdiction and venue of such court.
5.29 Survival. All warranties, representations, and indemnifications by the Contractor must
survive the completion or termination of this Agreement.
5.30 Modification. Except as expressly provided herein to the contrary, no supplement,
modification, or amendment of any term of this Agreement will be deemed binding or effective
unless in writing and signed by the Parties.
5.31 Severability. If any provision of this Agreement or the application to any person or
circumstance may be invalid, illegal or unenforceable to any extent, the remainder of this
Agreement and the application will not be affected and will be enforceable to the fullest extent
permitted by law.
5.32 Integration. This Agreement contains the full agreement of the Parties. Any prior or
contemporaneous written or oral agreement between the Parties regarding the subject matter
is merged and superseded.
5.33 Time is of the Essence. Time of each of the terms, covenants, and conditions of this
Agreement is hereby expressly made of the essence.
5.34 Date of Performance. If the date of performance of any obligation or the last day of any
time period provided for should fall on a Saturday, Sunday, or holiday for the City, the
obligation will be due and owing, and the time period will expire, on the first day after which is
not a Saturday, Sunday or legal City holiday. Except as may otherwise be set forth in this
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Agreement, any performance provided for herein will be timely made if completed no later
than 5:00 p.m. (Chandler time) on the day of performance.
5.35 Delivery. All prices are F.O.B. Destination and include all delivery and unloading at the
specified destinations. The Contractor will retain title and control of all goods until they are
delivered and accepted by the City. All risk of transportation and all related charges will be the
responsibility of the Contractor. All claims for visible or concealed damage will be filed by the
Contractor. The City will notify the Contractor promptly of any damaged goods and will assist
the Contractor in arranging for inspection.
5.36 Third Party Beneficiary. Nothing under this Agreement will be construed to give any rights
or benefits in the Agreement to anyone other than the City and the Contractor, and all duties
and responsibilities undertaken pursuant to this Agreement will be for the sole and exclusive
benefit of City and the Contractor and not for the benefit of any other party.
5.37 Conflict in Language. All work performed must conform to all applicable City of Chandler
codes, ordinances, and requirements as outlined in this Agreement. If there is a conflict in
interpretation between provisions in this Agreement and those in the Exhibits, the provisions
in this Agreement prevail.
5.38 Document/Information Release. Documents and materials released to the Contractor,
which are identified by the City as sensitive and confidential, are the City’s property. The
document/material must be issued by and returned to the City upon completion of the services
under this Agreement. Contractor’s secondary distribution, disclosure, copying, or duplication
in any manner is prohibited without the City’s prior written approval. The document/material
must be kept secure at all times. This directive applies to all City documents, whether in
photographic, printed, or electronic data format.
5.39 Exhibits. The following exhibits are made a part of this Agreement and are incorporated
by reference:
Exhibit A - Project Description/Scope of Services
Exhibit B - Compensation and Fees
Exhibit C - Insurance Requirements
Exhibit D - Special Conditions
5.40 Special Conditions. As part of the services Contractor provides under this Agreement,
Contractor agrees to comply with and fully perform the special terms and conditions set forth
in Exhibit D, which is attached to and made a part of this Agreement.
5.41 Non-Discrimination and Anti-Harassment Laws. Contractor must comply with all
applicable City, state, and federal non-discrimination and anti-harassment laws, rules, and
regulations.
5.42 Licenses and Permits. Beginning with the Effective Date and for the full term of this
Agreement, Contractor must maintain all applicable City, state, and federal licenses and
permits required to fully perform Contractor’s services under this Agreement.
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5.43 Warranties. Contractor must furnish a one-year warranty on all work and services
performed under this Agreement. Contractor must furnish, or cause to be furnished, a two-
year warranty on all fixtures, furnishings, and equipment furnished by Contractor,
subcontractors, or suppliers under this Agreement. Any defects in design, workmanship, or
materials that do not comply with this Agreement must be corrected by Contractor (including,
but not limited to, all parts and labor) at Contractor’s sole cost and expense. All written
warranties and redlines for as-built conditions must be delivered to the City on or before the
City’s final acceptance of Contractor’s services under this Agreement.
5.44 Emergency Purchases. City reserves the rights to purchase from other sources those
items, which are required on an emergency basis and cannot be supplied immediately by the
Contractor.
5.45 Non-Exclusive Agreement. This agreement is for the sole convenience of the City of
Chandler. The City reserves the right to obtain like goods or services from another source when
necessary.
5.46 Budget Approval Into Next Fiscal Year. This Agreement will commence on the Effective Date
and continue in full force and effect until it is terminated or expires in accordance with the
provisions of this Agreement. The Parties recognize that the continuation of this Agreement after
the close of the City's fiscal year, which ends on June 30 of each year, is subject to the City Council's
approval of a budget that includes an appropriation for this item as expenditure. The City does not
represent that this budget item will be actually adopted. This determination is solely made by the
City Council at the time Council adopts the budget.
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This Agreement shall be in full force and effect only when it has been approved and executed
by the duly authorized City officials.
FOR THE CITY
FOR THE CONTRACTOR
By: _________________________________________
By: _________________________________________
Its: Mayor
Its: _________________________________________
APPROVED AS TO FORM:
By: _________________________________________
City Attorney
ATTEST:
By: _________________________________________
City Clerk
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CEO Aligned Hospitality on behalf of Ownershi
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EXHIBIT A
SCOPE OF SERVICES
Motel Responsibilities
The Contractor will ensure the property is livable, safe and clean. Other responsibilities include
but are not limited to:
•
Comply with all state and local health and building codes.
•
Maintain structural components and a reasonably weather-protected unit.
•
Provide the necessary air conditioning, heat, electric service, and hot and cold-water facilities.
•
Make any requested repairs promptly.
•
Maintain pest control one time per month minimum, as well as when needed to address
issues.
•
Provide lobby hours 9:00 AM through 5:00 PM, 7 days per week.
•
Accommodate check in and check out 24 hours per day, 7 days per week.
•
Emergency services available 24 hours a day, 7 days per week.
•
Provide room cleaning after check-out.
In addition, the following special terms apply:
•
The city will reimburse the Contractor for any intentional damage caused by program
participants in excess of $100.00.
•
Fees for deep cleaning, if needed, will be agreed upon between the City and the Contractor on
a case-by-case basis. The Contractor will provide the City with an expected turnaround time
after a room is vacated until the next participant can check in.
•
If program participants leave without warning, the Contractor must notify the City upon
discovery. The City has the right to pick-up and store the participants belongings within 24
business hours. The motel must not disturb participant belongings until the City has
completed this task. The motel will follow its normal procedure to dispose of items the City
does not take possession of.
Room Block Information
The following rooms are included in the block.
Room Number
Room Description
230
The 2-bedroom unit sleeps 6, including 2 king beds and 1 sofa
with a pullout bed. Includes a fully equipped kitchen with a two-
burner stove, full size fridge, microwave, and dishwasher. Also
includes an in-room washroom with bathtub. Laundry facilities
on-site. This unit is upstairs, with no elevator access.
240
The 2-bedroom unit sleeps 6, including 2 king beds and 1 sofa
with a pullout bed. Includes a fully equipped kitchen with a two-
burner stove, full size fridge, microwave, and dishwasher. Also
includes an in-room washroom with bathtub. Laundry facilities
on-site. This unit is upstairs, with no elevator access.
130
The 2-bedroom unit sleeps 6, including 2 king beds and 1 sofa
with a pullout bed. Includes a fully equipped kitchen with a two-
burner stove, full size fridge, microwave, and dishwasher. Also
includes an in-room washroom with bathtub. Laundry facilities
on-site. This unit is downstairs.
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140
The 2-bedroom unit sleeps 6, including 2 king beds and 1 sofa
with a pullout bed. Includes a fully equipped kitchen with a two-
burner stove, full size fridge, microwave, and dishwasher. Also
includes an in-room washroom with bathtub. Laundry facilities
on-site. This unit is downstairs.
142
The 2-bedroom unit sleeps 6, including 2 king beds and 1 sofa
with a pullout bed. Includes a fully equipped kitchen with a two-
burner stove, full size fridge, microwave, and dishwasher. Also
includes an in-room washroom with bathtub. Laundry facilities
on-site. This unit is downstairs.
201
The 2-bedroom unit sleeps 6, including 2 king beds and 1 sofa
with a pullout bed. Includes a fully equipped kitchen with a two-
burner stove, full size fridge, microwave, and dishwasher. Also
includes an in-room washroom with bathtub. Laundry facilities
on-site. This unit is upstairs, with no elevator access.
211
The 2-bedroom unit sleeps 6, including 2 king beds and 1 sofa
with a pullout bed. Includes a fully equipped kitchen with a full-
size oven and 4 burner stove, full size fridge, microwave, and
dishwasher. Also includes an in-room washroom with bathtub.
Laundry facilities on-site. This unit is upstairs, with no elevator
access.
242
The 2-bedroom unit sleeps 6, including 2 king beds and 1 sofa
with a pullout bed. Includes a fully equipped kitchen with a two-
burner stove, full size fridge, microwave, and dishwasher. Also
includes an in-room washroom with bathtub. Laundry facilities
on-site. This unit is upstairs, with no elevator access.
101
The 2-bedroom unit sleeps 6, including 2 king beds and 1 sofa
with a pullout bed. Includes a fully equipped kitchen with a two-
burner stove, full size fridge, microwave, and dishwasher. Also
includes an in-room washroom with bathtub. Laundry facilities
on-site. This unit is downstairs.
111
The 2-bedroom unit sleeps 6, including 2 king beds and 1 sofa
with a pullout bed. Includes a fully equipped kitchen with a two-
burner stove, full size fridge, microwave, and dishwasher. Also
includes an in-room washroom with bathtub. Laundry facilities
on-site. This unit is downstairs, and ADA compliant.
The Contractor may make rooms not included in the block available to the City if needed, based
on availability.
Room Block Payment
The City will pay for the room blocks monthly at the beginning of each month. The motel will
invoice the City for the upcoming month at the end of the previous month. The motel will invoice
the City separately for any rooms used outside of the block.
The City will pay for room nights used for rooms not included in the room block at the rate of
$125 per night for a one bedroom, and $150 per night for a two bedroom.
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City Responsibilities
•
Determine eligibility and placement for all program participants.
•
Provide intensive case management services with the goal of permanent housing.
•
Determine termination/exit date for all program participants. The hotel/motel may decline
continued service to participants who violate hotel rules but must consult the City prior to
discontinuing services.
•
Provide a point of contact to communicate issues, comments, or complaints regarding
participants, or intent to discontinue service.
•
Ensure participants abide by all rules/regulations.
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EXHIBIT B
COMPENSATION AND FEES
Fees are inclusive of all services described in the Scope of Services.
Motel Room Block:
$42,583 per month
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EXHIBIT C
INSURANCE
INSURANCE
General.
A.
At the same time as execution of this Agreement, the Contractor shall furnish the
City a certificate of insurance on a standard insurance industry ACORD form. The
ACORD form must be issued by an insurance company authorized to transact
business in the State of Arizona possessing a current A.M. Best, Inc. rating of A-7, or
better and legally authorized to do business in the State of Arizona with policies and
forms satisfactory to City. Provided, however, the A.M. Best rating requirement
shall not be deemed to apply to required Workers’ Compensation coverage.
B.
The Contractor and any of its subcontractors shall procure and maintain, until all of
their obligations have been discharged, including any warranty periods under this
Agreement are satisfied, the insurances set forth below.
C.
The insurance requirements set forth below are minimum requirements for this
Agreement and in no way limit the indemnity covenants contained in this
Agreement.
D.
The City in no way warrants that the minimum insurance limits contained in this
Agreement are sufficient to protect Contractor from liabilities that might arise out
of the performance of the Agreement services under this Agreement by Contractor,
its agents, representatives, employees, subcontractors, and the Contractor is free
to purchase any additional insurance as may be determined necessary.
E.
Failure to demand evidence of full compliance with the insurance requirements in
this Agreement or failure to identify any insurance deficiency will not relieve the
Contractor from, nor will it be considered a waiver of its obligation to maintain the
required insurance at all times during the performance of this Agreement.
F.
Use of Subcontractors: If any work is subcontracted in any way, the Contractor shall
execute a written contract with Subcontractor containing the same Indemnification
Clause and Insurance Requirements as the City requires of the Contractor in this
Agreement. The Contractor is responsible for executing the Agreement with the
Subcontractor and obtaining Certificates of Insurance and verifying the insurance
requirements.
Minimum Scope and Limits of Insurance. The Contractor shall provide coverage with limits of
liability not less than those stated below.
A.
Commercial General Liability-Occurrence Form. Contractor must maintain
“occurrence” form Commercial General Liability insurance with a limit of not less
than $2,000,000 for each occurrence, $4,000,000 aggregate. Said insurance must
also include coverage for products and completed operations, independent
contractors, personal injury and advertising injury. If any Excess insurance is utilized
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to fulfill the requirements of this paragraph, the Excess insurance must be “follow
form” equal or broader in coverage scope than underlying insurance.
B.
Automobile Liability-Any Auto or Owned, Hired and Non-Owned Vehicles
Vehicle Liability: Contractor must maintain Business/Automobile Liability insurance
with a limit of $1,000,000 each accident on Contractor owned, hired, and non-
owned vehicles assigned to or used in the performance of the Contractor’s work or
services under this Agreement. If any Excess or Umbrella insurance is utilized to
fulfill the requirements of this paragraph, the Excess or Umbrella insurance must
be “follow form” equal or broader in coverage scope than underlying insurance.
C.
Workers Compensation and Employers Liability Insurance: Contractor must maintain
Workers Compensation insurance to cover obligations imposed by federal and state
statutes having jurisdiction of Contractor employees engaged in the performance
of work or services under this Agreement and must also maintain Employers’
Liability insurance of not less than $1,000,000 for each accident and $1,000,000
disease for each employee.
Additional Policy Provisions Required.
A. Self-Insured Retentions or Deductibles. Any self-insured retentions and deductibles must
be declared and approved by the City. If not approved, the City may require that the
insurer reduce or eliminate any deductible or self-insured retentions with respect to
the City, its officers, officials, agents, employees, and volunteers.
1. The Contractor’s insurance must contain broad form contractual liability
coverage.
2. The Contractor's insurance coverage must be primary insurance with respect to
the City, its officers, officials, agents, and employees. Any insurance or self-
insurance maintained by the City, its officers, officials, agents, and employees
shall be in excess of the coverage provided by the Contractor and must not
contribute to it.
3. The Contractor's insurance must apply separately to each insured against whom
claim is made or suit is brought, except with respect to the limits of the insurer's
liability.
4. Coverage provided by the Contractor must not be limited to the liability
assumed under the indemnification provisions of this Agreement.
5. The policies must contain a severability of interest clause and waiver of
subrogation against the City, its officers, officials, agents, and employees, for
losses arising from Work performed by the Contractor for the City.
6. The Contractor, its successors and or assigns, are required to maintain
Commercial General Liability insurance as specified in this Agreement for a
minimum period of three years following completion and acceptance of the
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Work. The Contractor must submit a Certificate of Insurance evidencing
Commercial General Liability insurance during this three year period containing
all the Agreement insurance requirements, including naming the City of
Chandler, its agents, representatives, officers, directors, officials and employees
as Additional Insured as required.
7. If a Certificate of Insurance is submitted as verification of coverage, the City will
reasonably rely upon the Certificate of Insurance as evidence of coverage but
this acceptance and reliance will not waive or alter in any way the insurance
requirements or obligations of this Agreement.
B.
Insurance Cancellation During Term of Contract/Agreement.
1. If any of the required policies expire during the life of this Contract/Agreement,
the Contractor must forward renewal or replacement Certificates to the City
within ten days after the renewal date containing all the required insurance
provisions.
2. Each insurance policy required by the insurance provisions of this
Contract/Agreement shall provide the required coverage and shall not be
suspended, voided or canceled except after 30 days prior written notice has
been given to the City, except when cancellation is for non-payment of premium,
then ten days prior notice may be given. Such notice shall be sent directly to
Chandler Law-Risk Management Department, Post Office Box 4008, Mailstop
628, Chandler, Arizona 85225. If any insurance company refuses to provide the
required notice, the Contractor or its insurance broker shall notify the City of
any cancellation, suspension, non-renewal of any insurance within seven days
of receipt of insurers’ notification to that effect.
A.
City as Additional Insured. The policies are to contain, or be endorsed to contain,
the following provisions:
1. The Commercial General Liability and Automobile Liability policies are to
contain, or be endorsed to contain, the following provisions: The City, its
officers, officials, agents, and employees are additional insureds with respect to
liability arising out of activities performed by, or on behalf of, the Contractor
including the City's general supervision of the Contractor; Products and
Completed operations of the Contractor; and automobiles owned, leased, hired,
or borrowed by the Contractor.
2. The City, its officers, officials, agents, and employees must be additional
insureds to the full limits of liability purchased by the Contractor even if those
limits of liability are in excess of those required by this Agreement.
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EXHIBIT D
SPECIAL CONDITIONS
Contractor and Subcontractor Worker Background Screening. Contractor agrees that
all contract workers and subcontractors (collectively "Contract Worker(s)") that Contractor
furnishes to City under this Agreement will be subject to background and security checks
and screening as set forth in this Section (collectively "Background Screening") at
Contractor’s sole cost and expense. As part of the Background Screening, Contractor must
provide to a person designated by the City the name(s), address(es), and phone number(s)
of all Contract Workers who will provide any services under this Agreement. All Contract
Workers must comply with these Background Screening requirements. All Contract
Workers must be able to provide proof of the legal right to work in the United States. The
Background Screening provided by Contractor must comply with all applicable laws, rules,
and regulations. Contractor further agrees that the Background Screening required in this
Section is necessary to preserve and protect public health, safety, and welfare. The
Background Screening requirements set forth in this Section are the minimum
requirements for this Agreement. City in no way warrants that these minimum
requirements are sufficient to protect Contractor from any liabilities that may arise out of
Contractor’s services under this Agreement or Contractor’s failure to comply with this
Section. Therefore, in addition to the specific measures set forth below, Contractor and
its Contract Workers must take such other reasonable, prudent, and necessary measures
to further preserve and protect public health, safety, and welfare when providing services
under this Agreement.
Background Screening Requirements and Criteria. Before offering or scheduling any
services under this Agreement, Contractor agrees that all Contract Workers, including the
Contractor, if the Contractor is an individual or sole proprietorship, must have successfully
passed a Background Screening in accordance with this Section. Contractor warrants that
no person will be permitted to substitute for a Contract Worker who has satisfied the
Background Screening requirements until the proposed substitute has also satisfied the
Background Screening requirements in this Section. For review and approval, Contractor
must submit to a person designated by the City proof of a completed Background
Screening for each Contract Worker over the age of 18 performing services under this
Agreement no fewer than two (2) weeks before the proposed start date of such Contract
Worker’s services. The Background Screening must have been completed within the 12-
month period preceding the Contract Worker’s start date under this Agreement and must
include the results of a national criminal databased check with source verification, and a
sex offender database search.
Additional City Rights Regarding Security Inquiries. In addition to the foregoing, City
reserves the rights but not the obligations to: (1) have a Contract Worker be required to
provide fingerprints and execute such other documentation as may be necessary to
obtain criminal justice information pursuant to A.R.S. § 41-1750(G)(4); (2) act on newly
acquired information whether or not such information should have been previously
discovered; (3) unilaterally change its standards and criteria relative to the acceptability of
Contract Workers; and (4) object, at any time and for any reason, to a Contract Worker
performing work (including supervision and oversight) under this Agreement.
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Contractor Certification. By executing this Agreement, Contractor certifies that
Contractor has read and understands the Background Screening requirements and
criteria in this Section and will fully comply with such requirements. Contractor further
certifies that any Background Screening information to be furnished to City related to
Contractor or its Contract Workers will be complete, current, and accurate. A Contract
Worker rejected for work under this Agreement will not be proposed to perform work
under other City contracts or engagements without City's prior written approval.
Terms of This Section Applicable to all of Contractor’s Contracts and Subcontracts.
Contractor must include the terms of this Section for Contract Worker Background
Screening in all contracts and subcontracts for services furnished under this Agreement
including, but not limited to, supervision and oversight services.
Materiality of Background Screening Requirements: Indemnity. The Background
Screening requirements of this Section are material to City's entry into this Agreement
and any breach of this Section by Contractor will be deemed a material breach of this
Agreement. In addition to the indemnity provisions set forth in this Agreement, Contractor
must defend, indemnify, and hold harmless City for any and all Claims arising out of this
Background Screening Section including, but not limited to, the disqualification of a
Contract Worker by Contractor or City for failure to satisfy this Section.
Continuing Duty, Audit. Contractor’s obligations and requirements that Contract
Workers satisfy this Background Screening Section will continue throughout the entire
term of this Agreement. Contractor must notify City immediately of any change to a
Background Screening of a Contract Worker previously accepted by City. Contractor must
maintain all records and documents related to all Background Screenings and City
reserves the right to audit Contractor’s compliance with this Section under the terms of
this Agreement.
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EXHIBIT E
SAMPLE PARTICIPANT AGREEMENT
Operation Open Door Non-Congregate Emergency Shelter Program
PARTICIPANT AGREEMENT
This AGREEMENT between Metro Chandler Hospitality and the City of Chandler, dated
_____________________, 2023 details the program rules and behavioral expectations for
participants of the City of Chandler Operation Open Door Non-Congregate Emergency Shelter
Program (the “Program”). Failure to comply with this agreement may lead to immediate
termination of enrollment and services.
The purpose of the Program is to provide temporary non-congregate emergency shelter to
eligible Chandler residents experiencing homelessness. The Program is a temporary measure
not intended to provide long-term, permanent shelter. Continued enrollment is dependent on
active participation and compliance with program rules. Participants must sign and submit
Housing Search Assistance Participant Agreement and the Maricopa Regional Continuum of Care
HMIS Release of Information.
I AGREE:
•
To sign and submit Operation Open Door Non-Congregate Emergency Shelter Program
Participant Agreement and the Maricopa Regional Continuum of Care HMIS Release of
Information.
•
To be respectful to other hotel guests, hotel staff and City staff at all times.
•
To comply with federal, state, and local laws at all times.
•
To comply with the hotel establishment's rules at all times.
•
To be courteous about noise levels at all times.
•
Not to damage, destroy, or steal hotel property.
•
Not to possess or use firearms, ammunition, or other weapons on hotel premises. If I
need assistance with securing storage for a firearm off property, I may contact City staff.
•
Not to possess or use illegal drugs or paraphernalia on the hotel/motel property. This
may lead to immediate termination from the program.
•
To comply with the hotel’s non-smoking policies at all times, including the use of
marijuana.
•
Not to allow unregistered guests into the room at any time. Only the people listed on this
agreement are allowed in the room. This includes children and pets. If you have visitors,
you must meet them off of the property. This includes other Operation Open Door
participants.
•
To keep the hotel room clean and sanitary and comply with room checks as scheduled by
City staff. I understand and agree that Navigators will complete room checks at minimum
once a week.
•
To allow hotel staff to clean the room a minimum of once a week.
•
To occupy the room every night during my participation in the program. If for any reason
I will not be in the room for more than 24 hours, I will notify City staff at least 48 hours
prior. I understand and agree that not occupying the room may lead to termination from
the program.
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•
To remove all my personal property within 12 hours of receiving notice to exit the
Program. I understand and agree that abandoned belongings will be disposed of and
there is no obligation for the City or hotel to retain or store such items.
•
To have only 2 bags of property per person; this includes duffle bags, or totes but does
not include medical or other disability-related equipment.
•
The Program does not create a landlord-tenant relationship between the City and me or
the hotel and me. I understand that the hotel is providing host services to the City. I
understand and agree that I do not have the rights or protections of a tenant under
Arizona law.
I WILL:
•
Be truthful in disclosing criteria for participation in the Program.
•
Participate in case management with City staff and/or other referred provider staff.
•
Provide requested documentation. This may include income, expenditures, school
enrollment, employment, bank statements, repayment plans, etc.
•
Report any changes in employment or income to City staff within 48 hours.
•
Save money for future housing and provide documentation of such (money orders, bank
statements, etc.).
•
Enroll my school-aged children in school and ensure they are attending regularly.
•
Report any issues or concerns which arise with the hotel or other Program participants to
City staff.
•
Actively participate and cooperate with City staff in developing a permanent housing
solution to minimize the time spent in hotel.
•
Cooperate with City staff and comply with the requirements of any other City program in
which I may be enrolled.
I UNDERSTAND:
•
This Program is a temporary measure to provide emergency shelter. This Program is not
intended to provide long-term, permanent shelter. Funding for this Program is limited,
and my participation may be terminated when such funding is exhausted.
•
Cooperation with City staff in developing a permanent housing solution through this
Program or any other City program in which I am a participant is a prerequisite to my
continued hotel occupancy. The City may terminate me from the Program for my failure
to cooperate.
•
In accepting temporary emergency shelter services, I am confirming that I am not
receiving this service from any other source and agree to repay assistance that is
determined to be duplicative.
•
I may complete a Client Services Grievance Form to request resolution to any situation,
condition, or decision that they believe is unfair, unjust, or inequitable.
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HOUSEHOLD MEMBERS:
_________________________________________ _______________________________________
_________________________________________ _______________________________________
_________________________________________ _______________________________________
ACKNOWLEDGEMENT OF AGREEMENT:
By signing this agreement, I am confirming that I agree to the Participant Agreement and will
comply with Program rules and participant expectations. As head-of household, I acknowledge
responsibility for the minor children in my room.
Head of Household Participant Signature
Date
Co-Head of Household Participant Signature
Date
City of Chandler Staff Signature
Date
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