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HomeMy WebLinkAboutResolution - 111876B - Contract For Acquisition Appraisal Services - Harris & Cantrell Co - Canyon Lake - 11_18_1976t4tr� �.. J:lb / IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock BE and is hereby authorized and ected to execute for and on behalf of the City of Lubbock a Contract for Ac- sition Appraisal Services in favor of Harris and Cantrell Company, attache ,-ewith which shall be spread upon the minutes of the Council and as spread )n the minutes of this Council shall constitute and be a part of this Resolutic if fully copied herein detail. ?assed by the City Council this 18th day of November 1976. ROY ASS, MAYOR kTTEST: Treva Phillips, City/Secretary-Treasurer APPROVED AS TO FORM: red O. Senter, Jr., Ci Attorney CONTRACT FOR ACQUISITION APPRAISAL SERVICES This Agreement, entered into this 18th day .of November 19 76 by and between the CITY OF LUBBOCK, State of Texas, hereinafter referred to as the "City", and HARRIS AND CANTRELL COMPANY ,.hereinafter referred to as the "Appraiser". WITNESSETH THAT: I .. WHEREAS; the City proposes to acquire certain real. property (more partic- ularly described in Article 1 of this Agreement) and desires that the Appraiser furnish the City certain services with respect,to such property, including an appraisal of each parcel comprising part of such property, and the Appraiser represents that he is, fully qualified to perform such services and will furnish such services personally; and - WHEREAS, the services to be provided under this Agreement are necessary to achieve the purposes of the Canyon Lakes Land Acquisition, Phase Il and the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (84 Stat. 1894; Public Law 91-646), hereinafter referred to as the "Act". NOW, THEREFORE, the City and the Appraiser, for the considerations and under the conditions hereinafter set forth, do agree as follows:* ARTICLE 1.' PROPERTY TO BE APPRAISED.. Descriptions of the real property and the estate or interest therein to be appraised, including identification of any interests -in the real property to be 'specifically excluded from appraisal, are set forth in Exhibit "All -attached _hereto and hereby made a part of this agreement. A separate appraisal is to be furnished for each "parcel", which term, as used in this agreement, means any tract or contiguous tracts of land in the same ownership, whether such tract or tracts consist of one or more platted lots or a fractional part thereof. An �. easement, separate ownership of mineral rights, or other separately held interest in two or more parcels shall be considered to be a separate parcel for appraisal purposes and an exception to the title to the parcels so encumbered. An easement In a parcel, if .appurtenant to another parcel to be acquired by the City, shall be considered to be part of such other parcel and an exception to the title of the parcel encumbered. Each parcel, regardless of how described, shall be con- sidered to include all right, title, and interest of the owner thereof in or to any.adjacent or abutting streets, alleys, or other public rights of way. ARTICLE 2. PURPOSE AND BASIS OF VALUATIONS. 2.1 Purpose and Significance of Appraisals. The.appraisals to be furnished under this agreement are required by the City for its guidance in making fair and impartial determinations of fair market value and the just compensation to be offered to each property owner. The text. of each a ppraisaI.report must cove r all matters germane to the required valuation findings and must provide a full explanation of the Appraiser's reasoning and his analyses of the evidences of value, so that a reviewer will be able to follow the Appraiser's analyses and understand how he reached his valuation conclusions.. 2.2. Concept of Value. The Appraiser's opinion of the fair market value shall be in accordance with the definition and concepts of value and the rules on the admissibility of evidence of value under the eminent domain law of the State of Texas. 2.3 Date.of Valuation. The Appraiser's valuation shall be as of a date concurrent with the preparation of his report. 2.4 Relocation Assistance and Payments. The Appraiser's analyses and opinions of property value shall not reflect any consideration. of or allowance for the relocation assistance and payments provided under Title II of the Act. 2.5 Influence.of Project on Property Value. In forming his opinion of the fair market value of a property, the Appraiser shall disregard any decrease or increase in the fair market value of the real property to be acquired (or the entire property of the owner in the case of a partial taking) prior to the date of valuation caused by the public improvement or project for which the property is to be acquired for such improvement or project, other than that due to physical deterioration within the reasonable control of the owner. In the case of a partial taking, using the before -and -after method of valuation, the Appraiser's opinion of the value of the remaining not -to -be acquired portion of the property shall reflect any increase or decrease in value attributable to'the project. ARTICLE'3. SCOPE OF APPRAISER'S SERVICES. The Appraiser agrees to perform the following services: 3.1 Appraisals. Appraise each parcel comprising part of the real property described in Article 1 of this.agreement and 'prepare and deliver -to the City, with the number of calendar days specified for each parcel on the attached Exhibit "A!'. The number of days specified for each parcel is to'commence as of .the date . of the delivery of the owner's Letter of Intent to Acquire.. The appraisal reports" shall be provided to the City in duplicate conforming to the. provisions of this agreement. 3.2 Property Inspection., Personally inspect each parcel, including all. buildings, structures,. improvements, fixtures, appurtenances, anal other elements of value thereon or belonging thereto. The Appraiser shall give the owner an opportunity, by reasonable advance notice in writing to accompany.the Appraiser, or to have his designated representative accompany the Appraiser, during his detailed inspection of the property. If the Appraiser's inspection or investi- . gation discloses a sale of.a portion of a parcel by an unrecorded contract of sale or otherwise, the Appraiser shall furnish separate reports for each sepa- rately owned portion of the parcel. - 3.3 Valuation Data. Make such investigations, studies, and property inspec- tions as are appropriate to enable the Appraiser to derive sound conclusions and to prepare the appraisal reports to be furnished under this agreement.. The Appraiser shall ascertain the most recent sale of, each property appraised and any other sales of such property during the last three (3) years preceding the appraisal and shall investigate any recent offer or offers of the owner to sell his property.. Such sale.or sales of the property appraised and all recent" sales of other properties that are sufficiently comparable to the property being appraised to be considered by the Appraiser in forming his opinion of fair market value shall be verified insofar as practical: "Each such verification shall include.:: inspecting the property and interviewing the. seller, buyer, agent, or other person, who participated in the transaction, to ascertain the consideration paid, the terms and conditions of the sale, any special factors affecting the amount of the sale price, and the actual character and condition of the property at the time of sale. 3.4 Testimony in Judicial Proceedings. ,Testify as an expert witness in behalf of the City in any judicial proceedings involving any property appraised under this agreement. Such services shall include such reasonable time as may be required for reinspection of the property, updating the Appraiser's valuation, participation in pretrial conferences with counsel for the City, and testifying In the judicial proceeding. 3.5 Modification of Delivered Appraisal Reports. Modify or furnish supple- ments to any appraisal report urnished hereunder, without additional cost to the City, if '(a) applicable principles of law with respect to the valuation of the property require the modification or supplementing of such appraisal, (b) material omissions, inaccuracies or defects in the appraisal report are discovered after delivery and acceptance of the report by the City, or by the City's Review Appraiser, or (c) the Appraiser receives or becomes aware of relevant additional appraisal information in existence prior to the date the Appraiser signed the report.. If there is a significant delay between the date of valuation and the date of acqui- sition of any parcel or if the property has been materially alfered since the appraisal by a fire, a revised determination of the boundaries or the interest to be acquired, or other cause, the Appraiser shall, if requested by the City, furnish the City a supplementary report updating his val-.ration and the supporting data and analyses to a current date. The compensation for such updating of an appraisal shall be determined in accordance with Article 6. SZ 3.6 Retention of Appraisal Records. Retain a copy of each appraisal report and notes and records germane to the appraisal for three (3) years after delivering the appraisal -report to the City or until the property is acquired by the City or its proposed acquisition of the -property is abandoned, whichever is later. 3.7 Consultation -.with City. Advise and, consult with the City and its legal counsel regarding services performed and to be performed by the Appraiser and the real property acquisition aspects of the City's plans and programs as related to the properties involved in this agreement, at such time or times as may be mutually convenient for the parties to this agreement, without additional charge to the City. The Appraiser shall initiate such consultations whenever he needs legal advice on any aspect of_the appraisals to be furnished under this agreement. ARTICLE 4. CONTENTS OF APPRAISAL REPORTS. The appraisal report or reports to be furnished by. the Appraiser to the City in accordance with this agreement shall contain certain information and the Appraiser's conclusions and opinions, together with the data and analyses by which they were derived, as set forth below. A separate report shall be submitted for each "parcel as defined in Article 1. However, if the Appraiser is to appraise several parcels in the same general area, he may also prepare and submit a sepa- rate overall report and data volume and use it as a data source and reference. in the separate appraisal reports on the individual parcels. The' appraisal * report on each parcel shall consist of a cover sheet as.provided in Paragraph 4.1, followed by a report furnishing the Appraiser's opinions and conclusions and the data and analyses on which they are based. The appraisal report on each parcel shall include the following: 4.1 Appraisal Summary. A cover sheet headed""Appraisal Report for (name of the City)," whit may be a printed form, completed to provide the following: a. Project name.. b. Date of.the-report. c. Parcel number, -add ' ress of the property, brief identification of the ' interest in the prperty appraised, and the name of the owner or owners. d. bate or dates of the Appraiser's inspection of the property with the owner, owners, or the owner's designated representative, including the name of each owner or representative of an owner who accompanied the Appraiser during his inspection and the interest held in the property or representative capacity of each such person. Identify any owners of a compensable interest in the property, who were not present or represented during the Appraiser's inspection, including_ identification of the interest in the property held by each such owner. e. The Appraiser's estimate of the fair market value of the property and the fair market value.of the same interest in the land, if vacant., f. The limiting conditions of the appraisal, which may include assumptions (1) that the title is good and marketable, (2) that no responsibility is assumed by the Appraiser for legal matters, especially those affecting the title to the property, (3) that the legal description of the property and the interest therein to be appraised, furnished to the Appraiser by the City, is correct, .and (4) that no survey of the property has been made. Any other appropriate assumption or limiting condition may be added if it has been specifically approved in writing by the City. g. The certifications of. the Appraiser (1) that he personally made a thorough inspection of -the property, (2) that, to the best of his knowledge and belief, everything contained in the report is true and'no relevant and important fact has been omitted, (3) that neither his employment nor his compensation is contingent on the valuation reported, and (4) that he has no past, present, or prospective interest (including that of real estate agent or broker) in the property, the parties involved, or any other interest that would conflict in anyway with the services performed or the making of an impartial report. -3- h. A certification that, in the Appraiser's opinion, the fair market value of the property is (an amount to be stated) as of (the date of valuation determined in accordance with Paragraph 2.4 of this agreement).. I. The signature of the Appraiser. 4.2 Ownership. The name and address of the owner of the property and the name and the address, if known, of any other party known or believed to hold a separate compensable interest in the property. For any party listed as holding a separate compensable interest in the property,*furnish a'description of the interest when providing the property delineation in accordance with Paragraph 4.3 hereof. 4.3' Delineation of Property. The street,address of the property and an accurate legal description of the real property, and the. interest therein appraised. The property.delineation shall specifically exclude and.describe any separately held interest in the real property, which under the definition of "parcel" i.n Article I is to be appraised and acquired either separately or as an appurtenance of another parcel to be acquired. The description shall also specifically exclude all separately held interests which are not to be acquired and will not be affected adversely by -the City's project. If there are any separately held interests in a parcel; which are to be acquired with other interests in the same parcel, such as leaseholds, tenant -owned improvements, life estates, 'easements., and water, gas, oil, or mineral rights, furnish a description of each separate interest comprising part of the .property appraised and the name of its owner. 4.4 Off -Record Title Information. Information with respect to outstanding interests or instruments affecting the title, but not.of record, such as leases, contracts of sale, and other interests or rights or parties in possession. Such information shall be reported, and if the facts obtainable by inquiry and inspec- tion are sufficient, the Appraiser's report shall be based on such additional title information and so noted in the Appraisal report. Otherwise, the.Appraiser shall refer the matter to the City and defer completion of the appraisal until the question is resolved. 4.5 Inventory of Improvements. If requested by the City, an inventory shall be provided identifying each building, structure, or other improvement; including movable and immovable building equipment and other fixtures considered, to be part of the real property. For the purpose of delimiting the real property improvements, any building, structure, fixture, or other improvement, which - would be real property if owned by the owner of the land, shall be considered .to be real property notwithstanding•the right or obligation of_a tenant, as against the.owner of any other interest in-the.real property, to remove such building, structure, fixture, or other improvement, at .the expiration of his term. The ownership of any improvement by anyone other than the land owner .shall be identified on the inventory. In the case of a commercial, industrial, governmental, or farm property involving substantial quantities and kinds of fixtures, such as machinery and equipment, a property analysis shall be made in accordance with Paragraph 4.6 hereof. The property analysis shall be submitted to, and be approved by, the City before completing the appraisal and, as approved by the City, shall be included as an exhibit in the Appraiser's report. 4.6 Property Analysis. A property analysis when required in accordance with Paragraph 11.5 hereof. The property analysis shall list, identify, and. classify as to ownership and type of improvement, all items of physical property considered to be part of the real property. The property analysis shall also identify tangib le personal property located on the premises to the extent reason- ably necessary to prevent misunderstandings.as to what is reguarded as being. real or personal property. Buildings including appurtenant movable building equipment, structures, other improvements, and fixtures, including their accessories and spare parts, shall be identified and classified as to ownership and type of property as follows: a. Ownership. (1) Owner of the land. (2) Each tenant in occupancy. (3) Each non -occupant owner of any fixtures or other improvements, or personal property on the premises. -4- b. Type of property. (1) Building, structure, or other fixed improvement (2) Building equipment, movable. (3) Fixtures, classified as to whether economically movable -for reuse, movable for salvage only, or immovable.. (4) Personal property, identified as.to types and approximate amounts, or otherwise, as needed to obviate misunderstandings as to the classification of any item. If any building, structure, or other improvement is not.to be acquired, will not be adversely affected by the City's project, and will not b.e'required by the City to be removed, such as a pipeline in an easemen't not to be acquired, such improve- ment shall be identified as excluded from the appraisal., 4.7 Property Data. Description of the property, including information pertinent to the appraisal with respect to such matters as (a) the environment and location of the property, (b) the zoning and any restrictive covenants, conditions, or servitudes affecting the•available use or occupancy of the land, (c) the assessed value of the real property and the current annual real estate tax burden, (d) the use and occupancy of the property at time of appraisal, (e) the public improvements, — services, and utilities serving and providing access to the property, (f) the character, topography, dimensions, and area of the land, (g) the freedom of the property from or susceptibility to special hazards, (h) the current rental and . rental history of the property, if rented, (i) the estimated annual costs of ownership and for operation and maintenance of the property, and (j) a description -of the buildings, structures, fixtures, and other improvements, if any, appurtenant to the land, including relevant information as to type of improvement, designed use, construction materials and finish, equipment, dimensions, floor area, age, condition, space or room arrangement, functional utility, and any other character- istics or attributes of the improvements germane to the value of the real property. The appraisal report shall contain a sketch plat showing the -shape and dimensions of the land, the location of the principal improvements on the land, the location of any easements in the land, and the abutting streets, alleys, or other.public rights of way. The report shall also include such exterior photographs, each clearly identified, as are appropriate as part of the description of the property. 4.8 .Legal and Title Matters Affecting Value. Report of any official citations or personal observations by the Appraiser of any condition or occupancy of the property in violation of the law and any other legal or title matters_, affecting the available -lawful uses or the value of the property. 4.9 Highest and Best Use. The Appraiser's opinion as to the highest and best use for the property. The appraisal report shall also include the Appraiser's opinions as to any variations of such use and any other uses or kinds of use for which the property is reasonably suitable or adaptable. Any differences between the Appraiser's estimate of highest and best use and the actual use of the property at the time of valuation shall be explained. If the highest and best use is self- -evident and not materially different from the actual existing use, a statement to that effect will suffice. However, if the.property is unused vacant land or the highest and best use if found to differ significantly from the present use, the appraisal report shall contain the analyses by which the Appraiser reached his conclusions as'to the highest and best use and as to the relative suitability or adaptability of the property for any other available uses for which the property could reasonably,be considered to be suitable or adaptable. The analysis of a potential use shall include consideration of relevant matters, such as the suita- bility of the location, the environment, and the legal and physical attributes of the property for such use, the estimated cost, if any, of converting the property to such use, and the.supply, sale price levels, and relative desirability of other properties that would compete for the same kind of use. Because the Appraiser's finding as to the highest and best use is a conclusion that the property does not have a higher present value for any other use, the analysis of the property for the future use or uses found to be the highest and best use if part of the process of appraising the property and, therefore, may be included in the valuation analysis furnished in accordance with Paragraph 4.10 hereof. 4.10 Property Valuation and Appraisal Analysis. The opinion of the Appraiser as to the fair market value of the property. The appraisal report shall contain a description of the reasoning process used by the Appraiser in reaching his conclusion as to value and all data and analyses needed to explain and support his valuation. The supporting data and analyses furni'shed in the appraisal report shall include, among other things; the following: a. The data and the analyses that constitute the principal basis for the Appraiser's opinion of the fair market value. Information shall be furnished with respect to recent sales of other properties which are considered by the Appraiser to be comparable with; and to provide useful evidence of the value of, the property appraised.' The information .furnished with respect to each such comparable property and its sale shall include, among any other pertinent facts, the names of the grantor and grantee, the date of the sale, the sale price, any special terms or conditions or circumstances of the sale that affected the transaction, and a description of the.property.and its condition at time of sale in sufficient detail for' use in comparing it with the property appraised. The appraisal report shall contain the Appraiser's analysis of each comparable property and its sale in relation to the property appraised. The Appraiser's analysis in each case shall reflect consideration of, and appropriate allowances for, the difference in the time of the sale and the date of appraisal and the differences in the utility, desirability,'and productivity of the•propertieg that are pertinent to their relative value. The appraisal report shall contain a valuation data map.showing the location of the property appraised and the comparable properties referred to in the appraisal report'. b. All other information, analyses, and estimates considered by the -Appraiser to be relevant to the estimation•of the fair market value of the property. c. If the property appraised is part of a larger parcel in the same ownership or is less than the entire interest of the owner in the property, the appraisal report shall contain the Appraiser's opinion of just compensation for a taking of such property or interest, using'_ the before -and -after method of valuation as interpreted under State law unless it is obvious that there would be no damages or benefits to the remaining property or interest of the owner. The appra.isal report shall also contain,.for information purposes only, the Appraiser's estimates of the fair market value of the to -be -acquired part or interest and the net damages or benefits to the remaining property of.the owner. ' d.. Such maps, plans, photographs, or other exhibits, as 'necessary, to explain or illustrate 'the analyses of the Appraiser. e. The Appraiser's evaluation of'the indications of value deduced from his separate analyses of.the various evidences of value and an expla- nation of how he reached his final conclusion as to.the fair market . value of the property. f. If the property is a multi -family or mixed -use property, the appraisal data shall be broken down in such a manner that the appraised value of 'the owner -occupied portion of the parcel (structures and land) can be separated from the total value of the parcel. (Mixed -use property is a parcel wherein an owner -occupant resides and also conducts a business as defined in 1371.1 HUD Relocation Handbook.) The Appraiser's report shall explain how he made the approtionment and the retionale therefor. ARTICLE 5. SERVICES TO BE PROVIDED BY CITY. The City agrees to furnish the Appraiser -the following: 5.1 Parcel Map. A map or plat, based on official records of the property described .in Article 1 hereof, showing the boundaries and dimensions of the parcels to be appraised. Each parcel shall be designated by a'number, and the parcel numbers shown on the Appraiser's reports shall correspond to the parcel numbers shown on the map or plat, except that additional parcel numbers may be assigned by the Appraiser for easements appraised separrtely or for additional parcels revealed while making the appraisals. -6- I 5.2 Ownership Data. An ownership data report for each parcel, which report will show all estates and interests• in the parcel as shown of record and conse- quently shall not be assumed to define the interest to be appraised or any sepa- ration of interestsfor appraisal purposes required by the definition of "parcel" in Article 1 hereof.. The ownership data report on each parcel as shown on the . parcel map shall include: a. The name (and, if known or shown of record, the address) of the ostensible owner as it appears of record; b. The legal description of the parcel as shown by the conveyance or convey- .ances or other instrument by which the record -owner acquired title; c. The amount of Real Estate Taxes for the current year and the assessed valuation stated separately for land and from improvements. 5.3 Legal.Advice. Advice, upon request of the Appraiser, on legal matters affecting the appraisal of any property to be appraised.' ARTICLE 6. PAYMENT. In consideration of the undertakings and agreements.on the part of the Appraiser contained in this agreement, the City agrees to make payments to the Appraiser upon completion by the Appraiser of services to be provided hereunder and the submission. to the City of properly certified invoices therefor, as -follows: 6.1 For appraisal services and reports furnished by the Appraiser in accord- ance with Paragraph 3.1 hereof and accepted by the City, and for all other services furnished in accordance with Article 3 hereof, except services furnished- in con- nection with judicial proceedings as provided in Paragraph 3.4 hereof, and the updating of appraisals as provided in Paragraph 3.5.hereof, payments shall be made in accordance with the attached schedule, marked as Exhibit "B". 6.2 For services furnished by the Appraiser in connection with judicial proceedings as provided in Paragraph 3.4 hereof, (except services -as an expert witness in such a proceeding), for the updating of appraisals -as provided in Paragraph 3.5 hereof,-$20.00 per hour or fraction thereof actually engaged in performing the services. Any -and all expenses of the Appraiser, including travel expense .and subsistence, shall be .borne by the Appraiser. 6.3 For services as an expert witness for the City in judlcial proceedings as provided in Paragraph 3.4 hereof, with respect to any property appraised by the Appraiser pursuant to this agreement, 'the Appraiser and the City hereby agree that the fair and reasonable 'compensation for the Appraiser's services shall be $160.00 for each full-day's attendance in court, or $80.00 compensation when attendance is one-half day or less. 6.4 Payment for appraisal services, reports, and services in connection wi-th judicial proceedings pursuant to the fulfillment of this contract shall not exceed the sum of $3,500.00, which shall constitute full payment to the Appraiser for all of said services and for all supplies, materials,•and equip- ment used or .furnished by the Appraiser and all expenses incurred by the Appraiser in or in connection with the performance of .said services. ARTICLE 7. 'REPRESENTATIONS AND AGREEMENTS OF APPRAISER. As an inducement to the execution of this agreement by the City and in consideration of the agreements to be performed by the City, the Appraiser repre- sents and agrees that: 7.1 Qualifications. The Appraiser is qualified to perform the services to be furnished under this agreement and is duly authorized or permitted by or under law to perform such services, and all personnel engaged in the work shall be qualified and so authorized or permitted to do the work they perform. 7.2 Solicitation or Procurement of Agreement. The Appraiser has not employed any person to solicit or procure this agreement and has not made, and will not make, any payment or any agreement for the payment of any commission, percentage, brokerage, contingent fee, or other compensation in connection with the procurement. of this agreement. -7- 7.3 Interest of Appraiser and Appraiser's Employees The Appraiser does not have any interest including that of real estate agent or broker), direct or indirect, present or prospective, in any property described in Article 1 hereof or in the sale thereof, or any other interest, whether.or not in connection with said property, which would conflict in any manner or degree with the performance - of the services and submission of impartial reports, and has not employed and will not employ, in connection with the services to be furnished hereunder, any person having any 'such interest, and until such property is acquired by the City or excluded from its project or projects by resolution of.tts governing body, the Appraiser and any employees of the Appraiser, so IQng as they are employed by the Appraiser, will not acquire any such interest and vjill not, for their own account or for other than the City, negotiate for.any.of said property, .perform services in connection with said property, or testify voluntarily as a witness .in a condemnation or other proceeding with respect to such property. 7.4 Services to be Confidential. All services, .including reports, opinions, and information to be furnished under this agreement are confidential and shall. not be divulged, in whole or in part, to any person, other than to duly autho- rized representatives of the City, without prior written approval of the City, except by testimony under oath in a judicial proceeding or as otherwise required by law. 7.5 Facilities and Personnel. The Appraiser has and will continue to have property facilities and personnel to perform the services and work agreed to be performed hereunder. If the Appraiser proposes to employ any person or persons to make any appraisals of machinery and equipment or other specialized, elements or attributes of a property appraised under this agreement, the employment of such person or persons for such purpose shall not place the City under any obligation to such employee, nor .relieve the Appraiser of full responsibility for the faithful performance of the services to be furnished hereunder. 7.6 Equal Employment Opportunity. During the performance of this agreement: a. The Appraiser will not discriminate against any employee or applicant for employment because of race, color, religion, sex, or national origin. The Appraiser will 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. Such action shall include, but not be limited to, the following: employment, upgrading, demotion, or transfer, recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship. The Appraiser agrees to post in conspicuous places, available to. employees and applicants for employment, notices to be provided by the City sett.ing forth the provisions of this nondiscrimination clause.- - b. The Appraiser will, in all solicitations or advertisements for employees placed by or on behalf of the Appraiser, state that all qualified applicants will receive consideration for employment without regard to race, color, religion, sex, or national origin. 7.7 Assignment. The Appraiser's rights, obligations, and duties under agreement shall not be assigned in whole or in part, but this shall not prohibit the assignment of the proceeds due or to become due hereunder to a bank or financial institution. This agreement may be assigned by the City to any torpor-. ation, agency, or instrumentality having authority to accept the assignment. 7.8 Subcontracting. None of the work or services covered by this agreement shall be subcontracted without the prior approval of the City. 7.9 Affidavits of Compliance. The Appraiser will, if requested by the City, furnish the City affidavits certifying as to compliance with any or all of the provisions of this Article 7.. ARTICLE B. CHANGES. The City at any time by written notice to -the Appraiser may modify the scope or quantity of the services to be furnished under this agreement. If such changes cause an increase or decrease in the amount of services to be provided by the appraiser or in the time required for their performance, equitable adjustment shall be made in the provisions of this agreement for -8- payments to the Appraiser or for the time for performance of the services or • for both, and this agreement shall be modified by agreement of the parties accordingly. ARTICLE 9. TERMINATION OF AGREEMENT FOR CAUSE. If, through any cause, the Appraiser shall fail to fulfill in a timely and proper manner his obligations under this agreement, or if the Appraiser shall violate any of the covenants or agreements thereof, The Agency may upon• written notice to the Appraiser terminate the right of the Appraiser to proceed under this Agreement or with such part or parts thereof as to which there has been default, and may hold the Appraiser liable for any daifiages caused to the City by reason of such default and termination. In the'event of such termination, any completed reports prepared by the Appraiser under this agreement shall,.at the option of the City, become its property and. the Appraiser shall be entitled to receive equitable compensation for any work completed to the•satisfaction of the City. The Appraiser, however, shall not thereby be relieved of liability to the City for damages sustained by the City by reason of any breach of the agreement by. the Appraiser, and the City may withhold any payments from the Appraiser for the purpose of setoff until such time as the amount of damages due the City from the Appraiser is determined. The Appraiser shall not be held liable for damages under this Article solely for reasons of delay if the delay is due to causes beyond the control and without the fault o.r negligence of the Appraiser, but this shall not prevent -the City from terminating this agreement because of such delay. ARTICLE 10. INTEREST OF MEMBERS OF CITY. No member of the Agency shall participate in any decision relative to this agreement affecting, directly or indirectly, his personal interests. .No such member and no other officer, agent, or employee of the City having any responsi- bility or function in connection with this agreement shall have any private interest, direct or indirect, in this agreement. or the proceeds thereof. ARTICLE 11. OFFICIALS NOT TO BENEFIT. No member of or Delegate to the Congress of the United States of America, sand no Resident Commissioner, shall be admitted to any share or part of this Agreement or to any benefit to arise from the same. . ARTICLE 12.' NOTICES. - An action,.notice, or request taken, given, or made by the City hereunder may be taken, given, or made by or such other person or persons as the City may, by written notice to the Appraiser, designate for such purpose. All notices given or made to.the Appraiser hereunder shall be deemed to be duly and properly given or made if mailed to the address specified below, or delivered personally to the Appraiser. All notices or other papers given or delivered, to the City hereunder shall be deemed to be sufficiently given or delivered if mailed, postage prepaid, to , The City of Lubbock, Lubbock, Texas or to such other representative or address as the City may designate to the Appraiser in writing. ARTICLE•13. AFFIRMATIVE ACTION PLAN. The Appraiser agrees to carry out the provisions of Section 3 of the Housing and Urban Development Act of 1968 as set out in Exhibit "C" attached hereto and made a part hereof. ARTICLE 14. PERSONNEL. Prior.to proceeding with any work under this contract, the contractor will submit to the of the City for his approval the names and positions of all professional personnel that will be assigned to the work to be carried out under this contract and the contractor will designate in the submission the person or persons that will supervise all work to be performed under this contract. ARTICLE 15• PAYMENT. It is expressly agreed and understood that the Ctt; is not obligated to make any payment on any invoice submitted until the City is satisfied that all terms and conditions of the contract.have been complied with and that work performed to date has been accomplished in a professional manner. IN WITNESS WHEREOF, the City and the Appraiser have executed this agreement on or as of the date first above written APPRAISER 'APPRAISER ADDRESS CITY STATE ZIP CODE `, ��i111f111ll1r// ilk THE CITY OF LUBBOCK, LUBBQCK, TEXAS BY: I �� ROY BAS , MAYOR ATTESTS .. ltpra✓ed as to fo,rn: ited O. Senter, Jr., CRY. Att.,_� , Treva Phillips, City S retary-Treasurer -t0- "At' Tract Area 6, Parcel-2 Area 9, Parcel 2 Area 2, Parcel 2 Brief .Description Land and Billboards Land and Improvements Vacant Larid EXHIBIT "B" SCHEDULE OF APPRAISAL FEES TRAINING, EMPLOYXENT, AND CONTRACTINd OPPORTUNITIES FOR BUSINESSES AND IAWER INCOME PERSONS IN CONNECTION WITH ASSISTED PROJECTS. A. The work to be performed under this contract is on a project assisted under a program providing direct Federal•financial assistance from the Department of Housing and Urban Development and is subject to the require — meats of section 3 of the Housing and Urban Development Act of 1968, as amended, 12 U.S.C. 1701u. Section 3 requires that to the greatest extent feasible opportunities for training and employment• be given lower income residents of the project area and contracts for work in connection with the project be -awarded to business concerns which are located.in or owned in substantial part by persons 'residing in the area of the project. B. •The parties to this .contract will comply with the provisions of said . section 3 and the regulations issued pursuant thereto by.the Secretary of Housing and Urban Development set forth in 24 CFR 135, (published in 38 Federal Register 29220, October 23, 1973),.and all applicable rules and orders of the Department issued thereunder prior to the execution of this contract. The parties to this contract certify and agree that they are under no contractual or other disability which would prevent them from complying with these requirements. C, The contractor will send to each labor organization or representative of workers with which he has'a collective bargaining agreement -or other contract or'understanding, if any, a notice advising the said labor organization or workers' representative of his commitments under this section 3 clause and shall post copies.of the notice in conspicuous places available to employees and applicants for employment or training. D. The contractor will include this section 3 clause in every subcontract the work in connection with the project and will, at the direction of the applicant fpr or recipient of Federal financial assistance, take appropriate action pursuant to the subcontract upon a finding that the subcontractor is in violation of'regulations issued by the Secretary of Housing. and Urban• Development, 24 CFR 135. The contractor will not subcontract with any subcontractor where it has notice or knowledge that the latter has been found in violation of regulations under 24 CFR 135 and will not let any subcontract unless the subcontractor has first provided it with a preliminary• statement of, ability to comply with requirements of these regulations: E. Compliance with the provisions of section 3, the.regulations set forth in 24 CFR 135, and all applicable rules and orders of the Department issued thereunder prior to the execution of the contract, shall be a condition of the Federal financial assistance provided to the project, binding upon the applicant or recipient for such assistance, its successors, and assigns. Failure to fulfill these requirements shall subject the applicant. or recipient, its contractors and subcontractors, its successors, and assigns. to those sanctions specified by the grant or loan agreement or contract through which Federal• assistance is provided, and to such sanctions as are specified by 24 CFR 135.135,