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HomeMy WebLinkAboutPR 24608: AWARD THE LEAD SERVICE LINE INVENTORY CONTRACT ort rtltu ^ rtt.. www.PortArthurTx.gov INTEROFFICE MEMORANDUM Date: December 1, 2025 To: The Honorable Mayor and City Council Through: Ronald Burton, CPM, City Manager From: Calvin Matthews, P.E., Water Utilities Director RE: PR 24608—Award the Lead Service Line Inventory Contract Introduction: The intent of this Agenda Item is to seek the City Council's approval for the City Manager to enter into a professional services agreement with EJES, INC of Houston, Texas for the Lead Service Line Inventory project in a total amount of$4,115,415.00. Background: Lead enters drinking water primarily through copper plumbing materials. Exposure to lead and copper may cause health problems ranging from stomach distress to brain damage, especially in children. In 1991,EPA published a regulation to control lead copper pipes installed before 1988, which generally have high lead content soldered joints in drinking water. The Lead Service Line Inventory is an inventory of every service line in the City's distribution system, including both the utility-owned and customer-owned service lines. Each must be categorized as either lead, non-lead, galvanized requiring replacement, or lead status unknown. As per Resolution No. 24-231, the initial Phase I of the Lead Service Line Inventory was awarded to Arceneaux Wilson& Cole LLC to complete a portion of the inventory to comply with deadline requirements. Afterwards, Resolution No. 24-367 authorized the submittal of the Intent to Apply for the Lead Service Line Replacement(LSLR) Funding Program with the Texas Water Development Board (TWDB)to perform the Lead Service Line Inventory. EJES, INC along with City Staff completed the technical part of the application for the eligible project cost. TWDB has since approved the application and EJES, INC has submitted a Professional Services Agreement to perform the Lead Service Line Inventory. "Remember,we are here to serve the Citizens of Port Arthur" P.O.Box 1089 X Port Arthur,Texas 77641-1089 X 409.983.8101 X FAX 409.982.6743 2) ort rthui I il www.PortArthurTx.gov Budget Impact: The total budgetary impact is $4,115,415.00 and is available in Account No. 404-40-000-8516- 00-00-000,Project No. TWOOO4.ENG Recommendation: It is recommended that City Council approve Proposed Resolution No. 24608 authorizing the City Manager to enter into a professional service agreement with EJES, INC of Houston, Texas as described/outlined above. "Remember,we are here to serve the Citizens of Port Arthur" P.O.Box 1089 X Port Arthur,Texas 77641-1089 X 409.983.8101 X FAX 409.982.6743 PR No. 24608 12/1/25 cm Page 1 of 3 RESOLUTION NO. A RESOLUTION AUTHORIZING THE CITY MANAGER TO ENTER INTO A PROFESSIONAL SERVICES AGREEMENT WITH EJES, INC OF HOUSTON, TEXAS FOR THE LEAD SERVICE LINE INVENTORY,IN THE TOTAL AMOUNT OF $4,115,415.00. FUNDS ARE AVAILABLE IN ACCOUNT NO. 404-40-000-8516-00-00-000,PROJECT NO. TW0004.ENG. WHEREAS, lead enters drinking water primarily through copper plumbing materials. Exposure to lead and copper maycause healthproblems ranging from stomach distress to brain p pp g g damage, especially in children; and, WHEREAS, the Lead Service Line Inventory is an inventory of every service line in the City's distribution system, including both the utility-owned and customer-owned service lines categorized as either lead, non-lead, galvanized requiring replacement, or lead status unknown; and, WHEREAS, as per Resolution No. 24-231, the initial Phase I of the Lead Service Line Inventory was awarded to Arceneaux Wilson& Cole LLC to complete a portion of the inventory to comply with deadline requirements; and, WHEREAS, afterwards, Resolution No. 24-367 authorized the submittal of the Intent to Apply for the Lead Service Line Replacement (LSLR) Funding Program with the Texas Water Development Board (TWDB) to perform the Lead Service Line Inventory, in which EJES, INC along with City Staff completed the technical part of the application for the eligible project cost; and, WHEREAS,TWDB has since approved the application(Exhibit"A")and EJES,INC has submitted a Professional Services Agreement (Exhibit "B") to perform the Lead Service Line Inventory. PR No. 24608 12/1/25 cm Page 2 of 3 NOW THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PORT ARTHUR,TEXAS: THAT,the facts and recitals in the preamble are true and correct; and, THAT, the City Manager is hereby authorized and directed to execute a Professional Services Agreement, in substantially the same form attached as Exhibit "B", with EJES, INC of Houston, Texas for the Lead Service Line Inventory project, in the total amount of$4,115,415.00 with funding available in Account No. 404-40-000-8516-00-00-000, Project No. TW0004.ENG; and, THAT, a copy of the caption of this Resolution shall be spread upon the Minutes of the Meeting of the City Council. READ, ADOPTED, AND APPROVED this day of , 2025 at a Regular Meeting of the City Council of the City of Port Arthur, Texas by the following vote: AYES: Mayor Councilmembers: • NOES: CITY OF PORT ARTHUR,TEXAS: Charlotte M.Moses Mayor ATTEST: Sherri Bellard City Secretary PR No. 24608 12/1/25 cm Page 3 of 3 APPROVED AS TO FORM: Roxann Pais Cotroneo City Attorney APPROVED FOR ADMINISTRATION: 1 411Wfr Ronald B on, PM City M.nager Suhail Kanwar, P.E. Director of Public Services Ca vin Matthews, P.E. Water Utilities Director APPROVED AS TO THE AVAILABILITY OF FUNDS: dt (69-A2e L (Lyn) Boswell, MA ICMA-CM Finance Director Clifton E. Williams Jr. CPPB Purchasing Manager Exhibit "A" (TWDB Application Approval Letter) #� TEXAS WATER DEVELOPMENT BOARD Var P.O. Box 13231, 1700 N.Congress Ave. Austin,TX 78711-3231,www.twdb.texas.gov Phone(512)463-7847, Fax(512)475-2053 October 2, 2025 Mr. Ronald Burton City Manager City of Port Arthur P.O. Box 1089 Port Arthur, TX 77641-1089 Re: City of Port Arthur TWDB Project No. 63079 Closing Requirements Drinking Water State Revolving Fund Financial Commitment-IIJA-LSLR-EQ $2,355,000 Loan (L1002129); $2,451,122 Principal Forgiveness (LF1002130) Dear Mr. Burton: Thank you for utilizing the Texas Water Development Board (TWDB) financial assistance programs. On September 18, 2025, the TWDB approved the City's financial assistance request. A copy of the TWDB resolution is enclosed. The news release is located at: https://texaswaternewsroom.orq/pressreleases/index.html. The financial assistance commitment expires on September 30, 2026. The loan will become effective with the TWDB's purchase of your bonds. Using the outline provided below, please create a schedule for closing the loan and receiving the funds. Documentation or Event Deadline(business days) Due To 1. Bond Ordinance, draft 20 business days prior to borrower TWDB Attorney and Financial Analyst execution date 2. Interest rates for bond ordinance 5 business days before adoption date Borrower Bond ordinance adoption PLEASE PROVIDE DATE TWDB Financial Analyst and TWDB Attorney 3. Principal Forgiveness Agreement, 3 business days after adoption date TWDB Attorney executed 4. Budget for the release of funds at closing (TWDB 1201)* 25 business days prior to closing date TWDB Engineering Reviewer 5. Approved Outlay Report and Draft Closing Memo with release amounts 15 business days prior to closing date Outlay/TWDB Financial Analyst 6. Final closing documents(see below) 10 business days prior to closing date TWDB Financial Analyst Closing PLEASE PROVIDE DATE TWDB Financial Analyst and TWDB Attorney *If required, a template for an outlay report and instructions will be provided by TWDB staff **If required,interest rates expire forty-five(45)days after your adoption date Our Mission Board Members Leading the state's efforts L'Oreal Stepney, P.E.,Chairwoman I Tonya R.Miller,Board Member in ensuring a secure water future for Texas Bryan McMath,Executive Administrator 1 Mr. Ronald Burton October 2, 2025 Page 2 Entities receiving State Revolving Fund financial assistance for equivalency projects must meet state and federal requirements for DBE procurement. Recipients are required to show evidence of"Good Faith Effort"for all procurements. Additional information regarding this program can be found online or by contacting the TWDB Coordinator. This project is funded by the Infrastructure Investment and Jobs Act (IIJA), which requires special signage during construction. For more information, please refer to the guidance document TWDB-1109- State Revolving Fund (SRF) Project Public Awareness Guidance. Prior to submitting draft documents, please provide to the TWDB financial analyst the dates for your bond ordinance adoption and preferred closing date. If you would like to schedule a closing conference call to go over the process, you may contact the TWDB financial analyst or loan closing specialist. Required closing documents and TWDB team contact information are shown below. Required final closing documents: Engineering • DBE verification documents (30 business days prior to closing) • Return of Principal Forgiveness Surplus Funds Financial • Financial Advisor's Closing Instructions • Escrow Agreement, executed • Semi-annual Debt Service Schedule • Paying Agent Agreement, executed • Blanket Issuer Letter of Representations (BLOR) • TWDB Vendor Set-Up or Direct Deposit Form • Private Placement Memorandum—with all attachments Legal • Comptroller's Certificate (5 business days prior to closing) • Bond Ordinance or Resolution adopting the issuance • Attorney General Opinion (5 business days prior to closing) • Bond Counsel Opinion • No Litigation Certificate • No Arbitrage/Federal Tax Certificate • Principal Forgiveness Agreement, executed (as required) Note: If a source of funds and/or price certificates are needed, please contact Loan-Closing- Team@twdb.texas.gov Please note the special conditions outlined in the attached TWDB Resolution to identify any additional documentation or requirements that must be satisfied prior to closing. After closing of your TWDB financing, project engineering and environmental documentation related to the implementation of your project must be submitted to TWDB for review and approval. TWDB's System for Tracking, Recording, and Monitoring (STRM) application must be used to submit these engineering and environmental review requests. To access STRM, project sponsors' personnel and consultants designated to assist in overseeing active TWDB projects will be sent an OKTA user invitation via email from noreplv(@.okta.com. If your invitation expires or you do not receive an invitation, please email STRMHelp(a�twdb.texas.gov. Follow the invitation email's instructions to create an OKTA account and verify your new STRM account with unique login Mr. Ronald Burton October 2, 2025 Page 3 credentials. A STRM User Guidance(TWDB-0120)document may be downloaded on our website and a demonstration video is also available on our website's Financial Assistance page. Our team looks forward to working with you to make this a successful project. Please include the project number listed above when sending correspondence related to this project. If you have any questions or seek additional information, you may contact any of the team members listed below: Racquel McCoy, Loan Specialist, 512-946-2420 Grace Davila, Project Reviewer, 512-475-1915 Raul Flores, Financial Analyst, 512-936-2386 Michael Perez, Legal Analyst, 512-463-6072 Jo Bradshaw, DBE Program Specialist, 512-463-4841 Sincerely, Digitally signed by Raul Flores Date: 2025.10.02 Raul Flores 13:15:20-05'00' Financial Analyst/ Regional Water Project Development DD/ds Enclosure: TWDB Resolution No. 25-144 c w/enc.: Lynda Boswell, Port Arthur, Ivnda.boswell(cr�portarthurtx.gov Edwin Jones, Sr., P.E., EJES, Inc— Dallas, ejones(c�ejesinc.com Anne B. Entrekin, Hilltop Securities, Inc, anne.burgerentrekin(ahilltopsecurities.com A RESOLUTION OF THE TEXAS WATER DEVELOPMENT BOARD APPROVING AN APPLICATION FOR FINANCIAL ASSISTANCE IN THE AMOUNT OF $4,806,122 TO THE CITY OF PORT ARTHUR FROM THE DRINKING WATER STATE REVOLVING FUND THROUGH THE PROPOSED PURCHASE OF $2,355,000 CITY OF PORT ARTHUR, TEXAS, COMBINATION TAX AND SURPLUS REVENUE CERTIFICATES OF OBLIGATION, PROPOSED TAXABLE SERIES 2025 AND $2,451,122 IN PRINCIPAL FORGIVENESS (25-144) Recitals: The City of Port Arthur (City), located in Jefferson County, has applied for financial assistance in the amount of$4,806,122 from the Drinking Water State Revolving Fund-Lead Service Line Replacement Program (DWSRF-LSLR) to finance the inventory of certain water system improvements identified as Project No. 63079. The City seeks financial assistance from the Texas Water Development Board (TWDB)through the TWDB's proposed purchase of$2,355,000 City of Port Arthur, Texas, Combination Tax and Surplus Revenue Certificates of Obligation, Proposed Taxable Series 2025 (Obligations), together with all authorizing documents, and the execution of a Principal Forgiveness Agreement in an amount of$2,451,122, all as is more specifically set forth in the application and in recommendations of the TWDB's staff. The City has offered a pledge of ad valorem taxes and the surplus revenues of the City's water and sewer system as sufficient security for the repayment of the Obligations. Findings: 1. The revenue or taxes pledged by the City will be sufficient to meet all the Obligations assumed by the City, in accordance with Texas Water Code § 15.607. 2. The application and assistance applied for meet the requirements of the Safe Drinking Water Act, 42 U.S.C. §§ 300f et seq. and Pub. L. 117-58, 135 Stat. 1400- 1401, as well as state law, in accordance with Texas Water Code § 15.607. 3. The City has adopted and implemented a water conservation program for the more efficient use of water that will meet reasonably anticipated local needs and conditions and that incorporates practices, techniques, or technology prescribed by the Texas Water Code and TWDB's rules. 4. The City has completed a current water audit required by Texas Water Code § 16.0121 and 31 TAC § 358.6 and filed it with the TWDB in accordance with Texas Water Code § 16.053(j). 4 Page 1 of 7 5. The City is eligible for principal forgiveness through the DWSRF-LSLR in a total amount not to exceed $2,451,122 and financial assistance in the amount of $2,355,000 with a reduced interest rate of zero percent. NOW, THEREFORE, based on these findings, the TWDB resolves as follows: A commitment is made by the TWDB to the City of Port Arthur for financial assistance in the amount of$4,806,122 from the Drinking Water State Revolving Fund through the TWDB's proposed purchase of$2,355,000 City of Port Arthur, Texas, Combination Tax and Surplus Revenue Certificates of Obligation, Proposed Taxable Series 2025 and the execution of a Principal Forgiveness Agreement in the amount of$2,451,122. This commitment will expire on September 30, 2026. The commitment is conditioned as follows: Standard Conditions: 1. This commitment is contingent on a future sale of bonds by the TWDB or on the availability of funds on hand as determined by the TWDB. If the financial assistance is funded with available cash-on-hand, the TWDB reserves the right to change the designated source of funds to bond proceeds issued for the purpose of reimbursing funds used to provide the financial assistance approved in this Resolution. 2. This commitment is contingent upon the issuance of a written approving opinion of the Attorney General of the State of Texas stating that all the requirements of the laws under which the Obligations were issued have been complied with; that the Obligations were issued in conformity with the Constitution and laws of the State of Texas; and that the Obligations are valid and binding obligations of the City. 3. This commitment is contingent upon the City's compliance with all applicable requirements contained in 31 TAC Chapter 371. 4. The Obligations must provide that the City agrees to comply with all the conditions set forth in the TWDB Resolution. 5. The Obligations must provide that the Obligations can be called for early redemption on any date beginning on or after ten years from the dated date of the Obligations at a redemption price of par. 6. The City, or an obligated person for whom financial or operating data is presented to the TWDB in the application for financial assistance either individually or in combination with other issuers of the City's Obligations, or obligated persons, will, at a minimum, regardless of the amount of the Obligations, covenant to comply with requirements for continuing disclosure on an ongoing basis substantially in the manner required by the Securities and Exchange Commission (SEC) in 17 CFR § 240.15c2-12 (Rule 15c2-12) and determined as if the TWDB were a Participating Underwriter within the meaning of the rule, this continuing disclosure undertaking being for the benefit of the TWDB and the beneficial owners of the City's Obligations, if the TWDB sells or otherwise transfers the Obligations, and the beneficial owners of Page 2 of 7 the TWDB's bonds if the City is an obligated person with respect to those bonds under SEC Rule 15c2-12. 7. The Obligations must contain a provision requiring the City to levy a tax or maintain and collect sufficient rates and charges, as applicable, to produce system funds in an amount necessary to meet the debt service requirements of all outstanding obligations and to maintain the funds established and required by the Obligations. 8. The Obligations must include a provision requiring the City to use any financial assistance proceeds from the Obligations that are determined to be remaining unused funds, which are those funds unspent after the original approved project is completed, for enhancements to the original project explicitly approved by the Executive Administrator, or, if no enhancements are authorized by the Executive Administrator, requiring the City to submit a final accounting and disposition of any unused funds. 9. The Obligations must include a provision requiring the City to use any financial assistance proceeds from the Obligations determined to be surplus funds in a manner approved by the Executive Administrator. Surplus funds are funds remaining after completion of the project and completion of a final accounting. 10. The Obligations must contain a provision that the TWDB may exercise all remedies available to it in law or equity, and any provision of the Obligations that restricts or limits the TWDB's full exercise of these remedies shall be of no force and effect. 11. Proceeds of this commitment are public funds. Therefore, the Obligations must include a provision requiring that these proceeds shall be held at a designated state depository institution or other properly chartered and authorized institution in accordance with the Public Funds Investment Act, Government Code, Chapter 2256, and the Public Funds Collateral Act, Government Code, Chapter 2257. 12. Proceeds of this commitment must not be used by the City when sampling, testing, removing, or disposing of contaminated soils or media at the project site, except for an LSLR project or associated activity directly connected to the identification, planning, design, and replacement of lead service lines or for an EC project to address PFAs or any contaminant listed on EPA's Contaminant Candidate Lists. The Obligations must include an environmental indemnification provision wherein the City agrees, and agrees to cause its construction contractors, to indemnify, hold harmless and protect the TWDB from any and all claims, causes of action, or damages arising from activities performed by the City or its construction contractors, including their officials and employees, in connection with the project, to the extent permitted by law. 13. Before closing, the City shall submit documentation evidencing the adoption and implementation of sufficient system rates and charges or the levy of an interest and sinking tax rate (if applicable) sufficient for the repayment of all system debt service requirements. Page 3of7 14. Before closing, and if not previously provided with the application, the City shall submit executed contracts for engineering and, if applicable, financial advisor and bond counsel contracts for the project that are satisfactory to the Executive Administrator. Fees to be reimbursed under the contracts must be reasonable in relation to the services performed, reflected in the contract, and acceptable to the Executive Administrator. 15. Before closing, when any portion of the financial assistance is to be held in escrow or in trust, the City shall execute an escrow or trust agreement, approved as to form and substance by the Executive Administrator, and shall submit that executed agreement to the TWDB. 16. The Executive Administrator may require the City to execute a separate financing agreement in form and substance acceptable to the Executive Administrator. 17. The TWDB retains the option to purchase the Obligations in separate lots or on an installment basis, with delivery of the purchase price for each installment to be paid against delivery of the relevant installment of Obligations as approved by the Executive Administrator. 18. The Obligations must provide that the City will comply with all applicable TWDB laws and rules related to the use of the financial assistance. 19. The Obligations must provide that the City must comply with all conditions as specified in the final environmental finding of the Executive Administrator when issued including the standard emergency discovery conditions for threatened and endangered species and cultural resources. 20. The Obligations must contain a provision requiring the City to maintain insurance coverage sufficient to protect the TWDB's interest in the project. 21. The City must immediately notify TWDB, in writing, of any suit against it by the Attorney General of Texas under Texas Penal Code § 1.10(f) (related to federal laws regulating firearms, firearm accessories, and firearm ammunition). 22. The Obligations must provide that the City will submit annually an audit prepared by a certified public accountant in accordance with generally accepted auditing standards. 23. Before closing, the City shall submit to the escrow agent a closing memo signed by the Executive Administrator. State Revolving Fund Conditions; 24. The City shall submit outlay reports with sufficient documentation on costs on a quarterly or monthly basis in accordance with TWDB outlay report guidelines. Page 4 of 7 25. The Obligations must include a provision stating that all laborers and mechanics employed by contractors and subcontractors for projects shall be paid wages at rates not less than those prevailing on projects of a similar character in the locality in accordance with the Davis-Bacon Act, and the U.S. Department of Labor's implementing regulations. The City, all contractors, and all sub-contractors shall ensure that all project contracts mandate compliance with Davis-Bacon. All contracts and subcontracts for the construction of the project carried out in whole or in part with the financial assistance made available shall insert in full in any contract in excess of$2,000 the contracts clauses as provided by the TWDB. 26. The Obligations must include a provision stating that the City shall provide the TWDB with all information required to be reported in accordance with the Federal Funding Accountability and Transparency Act of 2006, Pub. L. 109-282, as amended by Pub. L. 110-252. The City shall obtain a Unique Entity Identification Number and shall register with System for Award Management (SAM), and maintain current registration at all times during which the Obligations are outstanding. 27. The Obligations shall provide that all financial assistance proceeds will be timely and expeditiously used, as required by 40 CFR § 35.3135(d), and shall provide that the City will adhere to the approved project schedule. 28. The Obligations and Principal Forgiveness Agreement must contain a covenant that the City will abide by all applicable construction contract requirements related to the use of iron and steel products produced in the United States, as required by 31 TAC § 371.4 and related State Revolving Fund Policy Guidelines. 29. The Obligations and Principal Forgiveness Agreement must contain a covenant that the City shall abide by the prohibition on certain telecommunications and video surveillance services or equipment as required by 2 CFR § 200.216. 30. The Obligations and Principal Forgiveness Agreement must contain a covenant that the City will abide by all applicable requirements related to the Build America, Buy America Act, Public Law 117-58 and 2 CFR part 184. Drinking Water State Revolving Fund Conditions; 31. The City shall pay at closing an origination fee approved by the Executive Administrator of the TWDB pursuant to 31 TAC Chapter 371. 32. Before closing, the Texas Commission on Environmental Quality, must make a determination, the form and substance of which is satisfactory to the Executive Administrator, that the City has demonstrated the necessary financial, managerial, and technical capabilities to proceed with the project or projects to be funded with the proceeds of these Obligations. 33. Before the release of funds for professional consultants including, but not limited to, the engineer, financial advisor, and bond counsel, as appropriate, the City must provide documentation that it has met all applicable state procurement requirements Page 5 of 7 as well as all federal procurement requirements under the Disadvantaged Business Enterprises program. Pledge Conditions; 34. The Obligations must contain a provision that provides as follows: a. if system revenues are actually on deposit in the Interest and Sinking Fund in advance of the time when ad valorem taxes are scheduled to be levied for any year, then the amount of taxes which otherwise would have been required to be levied and collected may be reduced to the extent and by the amount of revenues then on deposit in the Interest and Sinking Fund; or b. if surplus revenues are based upon budgeted amounts: i. the Obligations must include a requirement that the City transfer and deposit in the Interest and Sinking Fund each month an amount of not less than 1/12th of the annual debt service on the Obligations until the amount on deposit in the Interest and Sinking Fund equals the amount required for annual debt service on the Obligations; further, that the ordinance authorizing the issuance of the Obligations must include a requirement that the City shall not transfer any funds from the City's pledged system revenues to any fund other than the Interest and Sinking Fund until an amount equal to the annual debt service on the Obligations for the then-current fiscal year has been deposited in the Interest and Sinking Fund; ii. the Obligations must include a requirement that for each year the Obligations are outstanding, and before the time taxes are to be levied for that year, the City shall establish, adopt, and maintain an annual budget that provides for either the monthly deposit of sufficient surplus pledged revenues or tax revenues or both, the monthly deposit of any other legally available funds on hand at the time of the adoption of the annual budget, or a combination of these, into the Interest and Sinking Fund for the repayment of the Obligations; and iii. the Obligations must include a requirement that the City shall at all times maintain and collect sufficient rates and charges in conjunction with any other legally available funds so that after payment of the costs of operating and maintaining the system, it produces revenues in an amount not less than 1.10 times debt service requirements of all outstanding Obligations of the City and other obligations of the City which are secured in whole or in part by the pledged revenues, for which the City is budgeting the repayment of the Obligations, or the City shall provide documentation which evidences the levy and collection of an ad valorem tax rate dedicated to the Interest and Sinking Fund, in conjunction with any other legally available funds, sufficient for the repayment of debt service requirements. Page 6 of 7 ♦ Special Conditions: 35. Before closing, the City shall execute a Principal Forgiveness Agreement in a form and substance acceptable to the Executive Administrator. 36. The Principal Forgiveness Agreement must include a provision stating that the City shall return any principal forgiveness funds that are determined to be surplus funds. APPROVED and ordered of record this 18th day of September 2025. TEXAS WATER DEVELOPMENT BOARD (7 /o.r,„.) L'Oreal Stepney, P.E., Chairwoman DATE SIGNED: ATTEST: IfY/Lk/4.4 v V Bryan McMath, Executive Administrator Page 7 of 7 Exhibit "B" (EJES, INC Professional Service Agreement) AGREEMENT BETWEEN OWNER AND ENGINEER FOR PROFESSIONAL SERVICES TABLE OF CONTENTS Page ARTICLE 1-SERVICES OF ENGINEER 1 1.01 Scope 1 ARTICLE 2-OWNER'S RESPONSIBILITIES 1 2.01 General 1 ARTICLE 3-SCHEDULE FOR RENDERING SERVICES 2 3.01 Commencement 2 3.02 Time for Completion 2 ARTICLE 4-INVOICES AND PAYMENTS 2 4.01 Invoices and Payment Request 2 4.02 Payments 3 ARTICLE 5-OPINIONS OF COST 3 5.01 Opinions of Probable Construction Cost 3 5.02 Designing to Construction Cost Limit 3 5.03 Opinions of Total Project Costs 3 ARTICLE 6-GENERAL CONSIDERATIONS 4 6.01 Standards of Performance 4 6.02 Design Without Construction Phase Services 5 6.03 Use of Documents 6 6.04 Electronic Transmittals 6 6.05 Insurance 6 6.06 Suspension and Termination 7 6.07 Controlling Law 8 6.08 Successors,Assigns,and Beneficiaries 8 6.09 Dispute Resolution 8 6.10 Environmental Condition of Site 9 6.11 Indemnification and Mutual Waiver 9 6.12 Records Retention 10 6.13 Miscellaneous Provisions 10 ARTICLE 7-DEFINITIONS 10 7.01 Defined Terms 10 ARTICLE 8-EXHIBITS AND SPECIAL PROVISIONS 14 8.01 Exhibits Included: 14 8.02 Total Agreement 15 8.03 Designated Representatives 15 8.04 Engineer's Certifications 15 8.05 Conflicts of Interest and Confidential Information 15 8.06 The Equal Business Opportunity Clause 16 8.07 Governmental Funding 17 8.08 Force Majeure 17 AGREEMENT BETWEEN OWNER AND ENGINEER FOR PROFESSIONAL SERVICES THIS IS AN AGREEMENT effective as of ("Effective Date")between City of Port Arthur ("Owner")and EJES, INC ("Engineer"). Owner's Project,of which Engineer's services under this Agreement are a part, is generally identified as follows: 2024 City of Port Arthur Lead Service Line Inventory Program Management Other terms used in this Agreement are defined in Article 7. Engineer's services under this Agreement are generally identified as follows: To provide the City with professional engineering services relating to the Drinking Water State Revolving Fund of the Texas Water Development Board and for other related matters Owner and Engineer further agree as follows: ARTICLE 1— SCOPE OF SERVICES 1.01 Scope A. Engineer shall provide, or cause to be provided,the services set forth herein and in Exhibit A. ARTICLE 2— OWNER'S RESPONSIBILITIES 2.01 General A. Owner shall have the responsibilities set forth herein. B. Owner shall pay Engineer as set forth in Article 4. C. Owner shall be responsible for all requirements and instructions that it furnishes to Engineer pursuant to this Agreement, and for the accuracy and completeness of all programs, reports, data, and other information furnished by Owner to Engineer pursuant to this Agreement. Engineer may use and rely upon such requirements, programs, instructions, reports, data, and information in performing or furnishing services under this Agreement, subject to any express limitations or reservations applicable to the furnished items. D. Owner shall give prompt written notice to Engineer whenever Owner observes or otherwise becomes aware of: 1. any development that affects the scope or time of performance of Engineer's services; 2. the presence at the Site of any Constituent of Concern;or 1 3. any relevant,material defect or nonconformance in:(a) Engineer's services,(b)the Work, (c)the performance of any Constructor,or(d)Owner's performance of its responsibilities under this Agreement. ARTICLE 3— SCHEDULE FOR RENDERING SERVICES 3.01 Commencement A. Engineer is authorized to begin rendering services as of the Effective Date. 3.02 Time for Completion A. Engineer shall complete its obligations within a reasonable time. Specific periods of time for rendering services,or specific dates by which services are to be completed,are provided in Exhibit A,and are hereby agreed to be reasonable. B. If, through no fault of Engineer, such periods of time or dates are changed, or the orderly and continuous progress of Engineer's services is impaired, or Engineer's services are delayed or suspended, then the time for completion of Engineer's services, and the rates and amounts of Engineer's compensation, shall be adjusted equitably. C. If Owner authorizes changes in the scope, extent,or character of the Project or Engineer's services,then the time for completion of Engineer's services,and the rates and amounts of Engineer's compensation,shall be adjusted equitably. D. Owner shall make decisions and carry out its other responsibilities in a timely manner so as not to delay the Engineer's performance of its services. ARTICLE 4— INVOICES AND PAYMENTS 4.01 Invoices& Payment Requests 1. Preparation and Submittal of Invoices: Engineer shall prepare invoices in accordance with its standard invoicing practices and submit its invoices to Owner on a monthly basis. Invoices are due and payable within 30 days of receipt. The Engineer will be responsible for preparing and submitting any payment requests to the City of Port Arthur for any work contracted out,the Engineer will submit to City of Port Arthur for approval. 2 4.02 Payments A. Application to Interest and Principal: Payment will be credited first to any interest owed to Engineer and then to principal. B. Failure to Pay: If Owner fails to make any payment due Engineer for services and expenses within 30 days after receipt of Engineer's invoice,then: 1. Engineer may, after giving seven days written notice to Owner, suspend services under this Agreement until Owner has paid in full all amounts due for services, expenses, and other related charges. Owner waives any and all claims against Engineer for any such suspension. C. Disputed Invoices: If Owner disputes an invoice, either as to amount or entitlement,then Owner shall promptly advise Engineer in writing of the specific basis for doing so, may withhold only that portion so disputed,and must pay the undisputed portion subject to the terms of Paragraph 4.01. D. Sales or Use Taxes: If after the Effective Date any governmental entity takes a legislative action that imposes additional sales or use taxes on Engineer's services or compensation under this Agreement, then Engineer may invoice such additional sales or use taxes for reimbursement by Owner. Owner shall reimburse Engineer for the cost of such invoiced additional sales or use taxes; such reimbursement shall be in addition to the compensation to which Engineer is entitled under the terms of Exhibit B. ARTICLE 5— OPINIONS OF COST 5.01 Opinions of Probable Construction Cost A. Engineer's opinions (if any) of probable Construction Cost are to be made on the basis of Engineer's experience,qualifications,and general familiarity with the construction industry. However, because Engineer has no control over the cost of labor, materials,equipment,or services furnished by others, or over contractors' methods of determining prices, or over competitive bidding or market conditions, Engineer cannot and does not guarantee that proposals, bids, or actual Construction Cost will not vary from opinions of probable Construction Cost prepared by Engineer. If Owner requires greater assurance as to probable Construction Cost,then Owner agrees to obtain an independent cost estimate. 5.02 Designing to Construction A. If a Construction Cost limit is established between Owner and Engineer, such Construction Cost limit and a statement of Engineer's rights and responsibilities. 5.03 Opinions of Total Project Costs A. The services, if any, of Engineer with respect to Total Project Costs shall be limited to assisting the Owner in tabulating the various categories that comprise Total Project Costs. Engineer assumes no responsibility for the accuracy of any opinions of Total Project Costs. 3 ARTICLE 6— GENERAL CONSIDERATIONS 6.01 Standards of Performance A. Standard of Care: The standard of care for all professional engineering and related services performed or furnished by Engineer under this Agreement will be the care and skill ordinarily used by members of the subject profession practicing under similar circumstances at the same time and in the same locality. Engineer makes no warranties, express or implied, under this Agreement or otherwise, in connection with any services performed or furnished by Engineer. B. Technical Accuracy: Owner shall not be responsible for discovering deficiencies in the technical accuracy of Engineer's services. Engineer shall correct deficiencies in technical accuracy without additional compensation, unless such corrective action is directly attributable to deficiencies in Owner-furnished information. C. Consultants: Engineer may retain such Consultants as Engineer deems necessary to assist in the performance or furnishing of the services, subject to reasonable, timely, and substantive objections by Owner. D. Reliance on Others: Subject to the standard of care set forth in Paragraph 6.01.A, Engineer and its Consultants may use or rely upon design elements and information ordinarily or customarily furnished by others, including, but not limited to, specialty contractors, manufacturers,suppliers,and the publishers of technical standards. E. Compliance with Laws and Regulations,and Policies and Procedures: 1. Engineer and Owner shall comply with applicable Laws and Regulations. 2. Engineer shall comply with any and all policies,procedures,and instructions of Owner that are applicable to Engineer's performance of services under this Agreement and that Owner provides to Engineer in writing, subject to the standard of care set forth in Paragraph 6.01.A, and to the extent compliance is not inconsistent with professional practice requirements. 3. This Agreement is based on Laws and Regulations and Owner-provided written policies and procedures as of the Effective Date. The following may be the basis for modifications to Owner's responsibilities or to Engineer's scope of services, times of performance,or compensation: a. changes after the Effective Date to Laws and Regulations; b. the receipt by Engineer after the Effective Date of Owner-provided written policies and procedures; c. changes after the Effective Date to Owner-provided written policies or procedures. F. Engineer shall not be required to sign any document, no matter by whom requested, that would result in the Engineer having to certify, guarantee, or warrant the existence of conditions whose existence the Engineer cannot ascertain. Owner agrees not to make 4 resolution of any dispute with the Engineer or payment of any amount due to the Engineer in any way contingent upon the Engineer signing any such document. G. The general conditions for any construction contract documents prepared hereunder are to be EJCDC® C-700 "Standard General Conditions of the Construction Contract" (2013 Edition), prepared by the Engineers Joint Contract Documents Committee, unless expressly indicated otherwise in Exhibit J or elsewhere in this Agreement. H. Engineer shall not at any time supervise, direct, control, or have authority over any Constructor's work,nor shall Engineer have authority over or be responsible for the means, methods, techniques, sequences, or procedures of construction selected or used by any Constructor,or the safety precautions and programs incident thereto,for security or safety at the Site, nor for any failure of a Constructor to comply with Laws and Regulations applicable to that Constructor's furnishing and performing of its work. Engineer shall not be responsible for the acts or omissions of any Constructor. I. Engineer neither guarantees the performance of any Constructor nor assumes responsibility for any Constructor's, failure to furnish and perform the Work in accordance with the Construction Contract Documents. J. Engineer shall not be responsible for any decision made regarding the Construction Contract Documents, or any application, interpretation, clarification, or modification of the Construction Contract Documents,other than those made by Engineer or its Consultants. K. Engineer is not required to provide and does not have any responsibility for surety bonding or insurance-related advice, recommendations, counseling,or research,or enforcement of construction insurance or surety bonding requirements. L. Engineer's services do not include providing legal advice or representation. M. Engineer's services do not include (1) serving as a "municipal advisor" for purposes of the registration requirements of Section 975 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (2010) or the municipal advisor registration rules issued by the Securities and Exchange Commission, or (2) advising Owner, or any municipal entity or other person or entity,regarding municipal financial products or the issuance of municipal securities, including advice with respect to the structure, timing, terms, or other similar matters concerning such products or issuances. N. While at the Site, Engineer, its Consultants, and their employees and representatives shall comply with the applicable requirements of Contractor's and Owner's safety programs of which Engineer has been informed in writing. 6.02 Design Without Construction Phase Services A. Engineer shall be responsible only for those Construction Phase services expressly required of Engineer in Exhibit A, Paragraph A1.05. With the exception of such expressly required services, Engineer shall have no design, Shop Drawing review, or other obligations during construction,and Owner assumes all responsibility for the application and interpretation of the Construction Contract Documents, review and response to Contractor claims, Construction Contract administration, processing of Change Orders and submittals, revisions to the Construction Contract Documents during construction, construction 5 observation and review, review of Contractor's payment applications, and all other necessary Construction Phase administrative, engineering, and professional services. Owner waives all claims against the Engineer that may be connected in any way to Construction Phase administrative, engineering, or professional services except for those services that are expressly required of Engineer in Exhibit A. 6.03 Use of Documents A. Owner acknowledges the Engineer's documents as instruments of professional engineering services. Nevertheless, the plans and specifications prepared under this Agreement shall become the property of the Owner upon completion of the work and payment in full of all monies due to the Engineer under this Agreement. The Owner shall not reuse or make any modification to the plans and specifications without the prior written notification to the Engineer. 6.04 Electronic Transmittals A. Owner and Engineer may transmit, and shall accept, Project-related correspondence, Documents, text, data, drawings, information, and graphics, in electronic media or digital format, either directly, or through access to a secure Project website, in accordance with a mutually agreeable protocol. B. If this Agreement does not establish protocols for electronic or digital transmittals, then Owner and Engineer shall jointly develop such protocols. C. When transmitting items in electronic media or digital format,the transmitting party makes no representations as to long term compatibility, usability, or readability of the items resulting from the recipient's use of software application packages, operating systems, or computer hardware differing from those used in the drafting or transmittal of the items,or from those established in applicable transmittal protocols. 6.05 Insurance A. Engineer shall procure and maintain insurance as set forth in Exhibit C. Engineer shall cause Owner to be listed as an additional insured on any applicable general liability insurance policy carried by Engineer. B. Engineer shall deliver to the Owner certificates of insurance evidencing the coverages indicated in Exhibit C. Such certificates shall be furnished prior to commencement of Engineer's services and at renewals thereafter during the life of the Agreement, but this action will not relieve Engineer of its obligation to obtain such insurance. C. All policies of insurance shall contain a provision or endorsement that the coverage afforded will not be canceled or reduced in limits by endorsement, and that renewal will not be refused, until at least 30 days prior written notice has been given to the primary insured. Upon receipt of such notice,the receiving party shall promptly forward a copy of the notice to the other party to this Agreement. D. At any time,Owner may request that Engineer or its Consultants,at Owner's sole expense, provide additional insurance coverage, increased limits, or revised deductibles that are more protective than those specified in Exhibit C. If so requested by Owner, and if 6 commercially available,Engineer shall obtain and shall require its Consultants to obtain such additional insurance coverage, different limits, or revised deductibles for such periods of time as requested by Owner, and Exhibit C will be supplemented to incorporate these requirements. 6.06 Suspension and Termination A. Suspension: 1. By Owner: Owner may suspend the Project for up to 30 days upon seven days written notice to Engineer. 2. By Engineer: Engineer may,after giving 14 days written notice to Owner,suspend services under this Agreement if Owner has failed to pay Engineer for invoiced services and expenses,as set forth in Paragraph 4.02.B,or in response to the presence of Constituents of Concern at the Site, as set forth in Paragraph 6.10.D. B. Termination: The obligation to provide further services under this Agreement may be terminated: 1. For cause, a. by either party upon 30 days written notice in the event of substantial failure by the other party to perform in accordance with the terms hereof through no fault of the terminating party. b. by Engineer: 1) upon seven days written notice if Owner demands that Engineer furnish or perform services contrary to Engineer's responsibilities as a licensed professional;or 2) upon seven days written notice if the Engineer's services for the Project are delayed or suspended for more than 90 days for reasons beyond Engineer's control, or as the result of the presence at the Site of undisclosed Constituents of Concern,as set forth in Paragraph 6.10.D. 3) Engineer shall have no liability to Owner on account of such termination. c. Notwithstanding the foregoing, this Agreement will not terminate under Paragraph 6.06.B.1.a if the party receiving such notice begins, within seven days of receipt of such notice, to correct its substantial failure to perform and proceeds diligently to cure such failure within no more than 30 days of receipt thereof;provided, however, that if and to the extent such substantial failure cannot be reasonably cured within such 30 day period, and if such party has diligently attempted to cure the same and thereafter continues diligently to cure the same, then the cure period provided for herein shall extend up to, but in no case more than,60 days after the date of receipt of the notice. 2. For convenience, by Owner effective upon Engineer's receipt of notice from Owner. 7 C. Effective Date of Termination: The terminating party under Paragraph 6.06.E may set the effective date of termination at a time up to 30 days later than otherwise provided to allow Engineer to demobilize personnel and equipment from the Site, to complete tasks whose value would otherwise be lost, to prepare notes as to the status of completed and uncompleted tasks,and to assemble Project materials in orderly files. D. Payments Upon Termination: In the event of any termination under Paragraph 6.06, Engineer will be entitled to invoice Owner and to receive full payment for all services performed or furnished in accordance with this Agreement and all Reimbursable Expenses incurred through the effective date of termination. Upon making such payment, Owner shall have the limited right to the use of Documents,subject to the provisions of Paragraph 6.03. 6.07 Controlling Law A. This Agreement is to be governed by the Laws and Regulations of the state of Texas. 6.08 Successors,Assigns,and Beneficiaries A. Engineer is hereby bound and the successors, executors, administrators, and legal representatives of Engineer(and to the extent permitted by Paragraph 6.08.E the assigns of Owner and Engineer) is hereby bound to the other party to this Agreement and to the successors, executors, administrators and legal representatives (and said assigns) of such other party,in respect of all covenants,agreements,and obligations of this Agreement. B. Neither Owner nor Engineer may assign, sublet, or transfer any rights under or interest (including,but without limitation,money that is due or may become due)in this Agreement without the written consent of the other party, except to the extent that any assignment, subletting, or transfer is mandated by law. Unless specifically stated to the contrary in any written consent to an assignment,no assignment will release or discharge the assignor from any duty or responsibility under this Agreement. C. Unless expressly provided otherwise in this Agreement: 1. Nothing in this Agreement shall be construed to create, impose, or give rise to any duty owed by Owner or Engineer to any Constructor, other third-party individual or entity, or to any surety for or employee of any of them. 2. All duties and responsibilities undertaken pursuant to this Agreement will be for the sole and exclusive benefit of Owner and Engineer and not for the benefit of any other party. 3. Owner agrees that the substance of the provisions of this Paragraph 6.08.0 shall appear in the Construction Contract Documents. 6.09 Dispute Resolution A. Owner and Engineer agree to negotiate all disputes between them in good faith for a period of 30 days from the date of notice prior to exercising their rights at law. B. If the parties fail to resolve a dispute through negotiation under Paragraph 6.09.A, then either or both parties may exercise their rights at law. 8 6.10 Environmental Condition of Site A. Owner represents to Engineer that as of the Effective Date to the best of Owner's knowledge no Constituents of Concern, other than those disclosed in writing to Engineer, exist at or adjacent to the Site. B. If Engineer encounters or learns of an undisclosed Constituent of Concern at the Site,then Engineer shall notify (1) Owner and (2) appropriate governmental officials if Engineer reasonably concludes that doing so is required by applicable Laws or Regulations. C. It is acknowledged by both parties that Engineer's scope of services does not include any services related to unknown or undisclosed Constituents of Concern. If Engineer or any other party encounters, uncovers, or reveals an undisclosed Constituent of Concern, then Owner shall promptly determine whether to retain a qualified expert to evaluate such condition or take any necessary corrective action. D. If investigative or remedial action,or other professional services,are necessary with respect to undisclosed Constituents of Concern, or if investigative or remedial action beyond that reasonably contemplated is needed to address a disclosed or known Constituent of Concern, then Engineer may, at its option and without liability for consequential or any other damages, suspend performance of services on the portion of the Project affected thereby until such portion of the Project is no longer affected. E. If the presence at the Site of undisclosed Constituents of Concern adversely affects the performance of Engineer's services under this Agreement,then the Engineer shall have the option of (1) accepting an equitable adjustment in its compensation or in the time of completion,or both;or(2)terminating this Agreement for cause on seven days notice. F. Owner acknowledges that Engineer is performing professional services for Owner and that Engineer is not and shall not be required to become an "owner," "arranger," "operator," "generator," or "transporter" of hazardous substances, as defined in the Comprehensive Environmental Response,Compensation,and Liability Act(CERCLA),as amended,which are or may be encountered at or near the Site in connection with Engineer's activities under this Agreement. 6.11 Indemnification and Mutual Waiver A. Indemnification by Engineer: To the fullest extent permitted by Laws and Regulations, Engineer shall indemnify and hold harmless Owner, and Owner's officers, directors, members, partners, agents, consultants, and employees, from losses, damages, and judgments (including reasonable consultants' and attorneys' fees and expenses) arising from third-party claims or actions relating to the Project, provided that any such claim, action, loss, damages, or judgment is attributable to bodily injury, sickness, disease, or death, or to injury to or destruction of tangible property (other than the Work itself), including the loss of use resulting therefrom,but only to the extent caused by any negligent act or omission of Engineer or Engineer's officers, directors, members, partners, agents, employees,or Consultants. B. Percentage Share of Negligence: To the fullest extent permitted by Laws and Regulations, a party's total liability to the other party and anyone claiming by, through, or under the other party for any cost, loss,or damages caused in part by the negligence of the party and 9 in part by the negligence of the other party or any other negligent entity or individual,shall not exceed the percentage share that the party's negligence bears to the total negligence of Owner, Engineer,and all other negligent entities and individuals. 6.12 Records Retention A. Engineer shall maintain on file in legible form,for a period of five years,or such length of as required under applicable State and Federal statutes and regulation, whichever is longest, following completion or termination of its services, all Documents, records (including cost records), and design calculations related to Engineer's services or pertinent to Engineer's performance under this Agreement. Upon Owner's request, Engineer shall provide a copy of any such item to Owner at cost. 6.13 Miscellaneous Provisions A. Notices: Any notice required under this Agreement will be in writing, addressed to the appropriate party at its address on the signature page and given personally, by registered or certified mail postage prepaid, or by a commercial courier service. All notices shall be effective upon the date of receipt. B. Survival: All express representations, waivers, indemnifications, and limitations of liability included in this Agreement will survive its completion or termination for any reason. C. Severability: Any provision or part of the Agreement held to be void or unenforceable under any Laws or Regulations shall be deemed stricken, and all remaining provisions shall continue to be valid and binding upon Owner and Engineer,which agree that the Agreement shall be reformed to replace such stricken provision or part thereof with a valid and enforceable provision that comes as close as possible to expressing the intention of the stricken provision. D. Waiver: A party's non-enforcement of any provision shall not constitute a waiver of that provision, nor shall it affect the enforceability of that provision or of the remainder of this Agreement. E. Accrual of Claims: To the fullest extent permitted by Laws and Regulations, all causes of action arising under this Agreement shall be deemed to have accrued, and all statutory periods of limitation shall commence upon discovery of all information necessary to bring a cause of action arising under this Agreement. ARTICLE 7— DEFINITIONS 7.01 Defined Terms A. Wherever used in this Agreement (including the Exhibits hereto) terms (including the singular and plural forms) printed with initial capital letters have the meanings indicated in the text above, in the exhibits,or in the following definitions: 1. Addenda—Written or graphic instruments issued prior to the opening of bids which clarify, correct, or change the bidding requirements or the proposed Construction Contract Documents. 10 2. Additional Services—The services to be performed for or furnished to Owner by Engineer in accordance with Part 2 of Exhibit A of this Agreement. 3. Agreement—This written contract for professional services between Owner and Engineer, including all exhibits identified in Paragraph 8.01 and any duly executed amendments. 4. Application for Payment—The form acceptable to Engineer which is to be used by Contractor during the course of the Work in requesting progress or final payments and which is to be accompanied by such supporting documentation as is required by the Construction Contract. 5. Basic Services—The services to be performed for or furnished to Owner by Engineer in accordance with Part 1 of Exhibit A of this Agreement. 6. Change Order—A document which is signed by Contractor and Owner and authorizes an addition,deletion,or revision in the Work or an adjustment in the Construction Contract Price or the Construction Contract Times, or other revision to the Construction Contract, issued on or after the effective date of the Construction Contract. 7. Change Proposal—A written request by Contractor, duly submitted in compliance with the procedural requirements set forth in the Construction Contract, seeking an adjustment in Construction Contract Price or Construction Contract Times, or both; contesting an initial decision by Engineer concerning the requirements of the Construction Contract Documents or the acceptability of Work under the Construction Contract Documents; challenging a set-off against payments due; or seeking other relief with respect to the terms of the Construction Contract. 8. Constituent of Concern—Asbestos, petroleum, radioactive material, polychlorinated biphenyls(PCBs), hazardous waste,and any substance, product,waste,or other material of any nature whatsoever that is or becomes listed, regulated, or addressed pursuant to (a) the Comprehensive Environmental Response, Compensation and Liability Act, 42 U.S.C. §§9601 et seq. ("CERCLA"); (b) the Hazardous Materials Transportation Act, 49 U.S.C. §§5501 et seq.; (c)the Resource Conservation and Recovery Act,42 U.S.C. §§6901 et seq. ("RCRA"); (d) the Toxic Substances Control Act, 15 U.S.C. §§2601 et seq.; (e) the Clean Water Act, 33 U.S.C. §§1251 et seq.; (f)the Clean Air Act,42 U.S.C. §§7401 et seq.; or(g)any other federal,State,or local statute,law,rule,regulation,ordinance,resolution, code,order,or decree regulating, relating to,or imposing liability or standards of conduct concerning,any hazardous,toxic,or dangerous waste,substance,or material. 9. Construction Contract—The entire and integrated written contract between the Owner and Contractor concerning the Work. 10. Construction Contract Documents—Those items designated as "Contract Documents" in the Construction Contract,and which together comprise the Construction Contract. 11. Construction Contract Price—The money that Owner has agreed to pay Contractor for completion of the Work in accordance with the Construction Contract Documents. 12. Construction Contract Times—The number of days or the dates by which Contractor shall: (a) achieve milestones, if any, in the Construction Contract; (b)achieve Substantial Completion; and (c)complete the Work. 11 13. Construction Cost—The cost to Owner of the construction of those portions of the entire Project designed or specified by or for Engineer under this Agreement, including construction labor, services, materials, equipment, insurance, and bonding costs, and allowances for contingencies. Construction Cost does not include costs of services of Engineer or other design professionals and consultants; cost of land or rights-of-way, or compensation for damages to property; Owner's costs for legal, accounting, insurance counseling,or auditing services; interest or financing charges incurred in connection with the Project;or the cost of other services to be provided by others to Owner.Construction Cost is one of the items comprising Total Project Costs. 14. Constructor—Any person or entity (not including the Engineer, its employees, agents, representatives, and Consultants), performing or supporting construction activities relating to the Project,including but not limited to Contractors,Subcontractors,Suppliers, Owner's work forces,utility companies,other contractors,construction managers,testing firms,shippers,and truckers,and the employees,agents,and representatives of any or all of them. 15. Consultants—Individuals or entities having a contract with Engineer to furnish services with respect to this Project as Engineer's independent professional associates and consultants;subcontractors;or vendors. 16. Contractor—The entity or individual with which Owner enters into a Construction Contract. 17. Documents—Data, reports, Drawings, Specifications, Record Drawings, building information models, civil integrated management models, and other deliverables, whether in printed or electronic format, provided or furnished in appropriate phases by Engineer to Owner pursuant to this Agreement. 18. Drawings—That part of the Construction Contract Documents that graphically shows the scope,extent,and character of the Work to be performed by Contractor. 19. Effective Date—The date indicated in this Agreement on which it becomes effective, but if no such date is indicated, the date on which this Agreement is signed and delivered by the last of the parties to sign and deliver. 20. Engineer—The individual or entity named as such in this Agreement. 21. Field Order—A written order issued by Engineer which requires minor changes in the Work but does not change the Construction Contract Price or the Construction Contract Times. 22. Laws and Regulations; Laws or Regulations—Any and all applicable laws, statutes, rules, regulations, ordinances, codes, and orders of any and all governmental bodies, agencies, authorities,and courts having jurisdiction. 23. Owner—The individual or entity named as such in this Agreement and for which Engineer's services are to be performed. Unless indicated otherwise, this is the same individual or entity that will enter into any Construction Contracts concerning the Project. 12 24. Project—The total undertaking to be accomplished for Owner by engineers, contractors, and others, including planning, study, design, construction, testing, commissioning, and start-up, and of which the services to be performed or furnished by Engineer under this Agreement are a part. 25. Record Drawings—Drawings depicting the completed Project,or a specific portion of the completed Project, prepared by Engineer as an Additional Service and based on Contractor's record copy of all Drawings, Specifications, Addenda, Change Orders, Work Change Directives, Field Orders, and written interpretations and clarifications, as delivered to Engineer and annotated by Contractor to show changes made during construction. 26. Reimbursable Expenses—The expenses incurred directly by Engineer in connection with the performing or furnishing of Basic Services and Additional Services for the Project. 27. Resident Project Representative—The authorized representative of Engineer assigned to assist Engineer at the Site during the Construction Phase. As used herein, the term Resident Project Representative or"RPR" includes any assistants or field staff of Resident Project Representative. The duties and responsibilities of the Resident Project Representative, if any,are as set forth in Exhibit D. 28. Samples—Physical examples of materials, equipment, or workmanship that are representative of some portion of the Work and that establish the standards by which such portion of the Work will be judged. 29. Shop Drawings—All drawings, diagrams, illustrations, schedules, and other data or information that are specifically prepared or assembled by or for Contractor and submitted by Contractor to illustrate some portion of the Work.Shop Drawings,whether approved or not, are not Drawings and are not Construction Contract Documents. 30. Site—Lands or areas to be indicated in the Construction Contract Documents as being furnished by Owner upon which the Work is to be performed,including rights-of-way and easements,and such other lands furnished by Owner which are designated for the use of Contractor. 31. Specifications—The part of the Construction Contract Documents that consists of written requirements for materials,equipment,systems,standards,and workmanship as applied to the Work, and certain administrative requirements and procedural matters applicable to the Work. 32. Subcontractor—An individual or entity having a direct contract with Contractor or with any other Subcontractor for the performance of a part of the Work. 33. Substantial Completion—The time at which the Work (or a specified part thereof) has progressed to the point where, in the opinion of Engineer,the Work (or a specified part thereof) is sufficiently complete, in accordance with the Construction Contract Documents,so that the Work(or a specified part thereof)can be utilized for the purposes for which it is intended.The terms"substantially complete"and"substantially completed" as applied to all or part of the Work refer to Substantial Completion thereof. 13 34. Supplier—A manufacturer, fabricator, supplier, distributor, materialman, or vendor having a direct contract with Contractor or with any Subcontractor to furnish materials or equipment to be incorporated in the Work by Contractor or a Subcontractor. 35. Total Project Costs—The total cost of planning,studying, designing,constructing,testing, commissioning, and start-up of the Project, including Construction Cost and all other Project labor, services, materials, equipment, insurance, and bonding costs, allowances for contingencies,and the total costs of services of Engineer or other design professionals and consultants,together with such other Project-related costs that Owner furnishes for inclusion, including but not limited to cost of land, rights-of-way, compensation for damages to properties, Owner's costs for legal, accounting, insurance counseling, and auditing services, interest and financing charges incurred in connection with the Project, and the cost of other services to be provided by others to Owner. 36. Work—The entire construction or the various separately identifiable parts thereof required to be provided under the Construction Contract Documents. Work includes and is the result of performing or providing all labor, services, and documentation necessary to produce such construction; furnishing, installing, and incorporating all materials and equipment into such construction;and may include related services such as testing,start- up, and commissioning, all as required by the Construction Contract Documents. 37. Work Change Directive—A written directive to Contractor issued on or after the effective date of the Construction Contract, signed by Owner and recommended by Engineer, ordering an addition,deletion,or revision in the Work. B. Day: 1. The word "day" means a calendar day of 24 hours measured from midnight to the next midnight. ARTICLE 8— ATTACHMENTS AND SPECIAL PROVISIONS 8.01 Attachments Included: A. Attachment A,Scope of Work. B. Attachment B, Payments to Engineer for Services and Reimbursable Expenses. C. Attachment C, Insurance. D. Attachment D, Project Schedule 14 (NOTE TO USER: If an exhibit is not to be included in the specific agreement,indicate "not used"after that exhibit in the list above.] 8.02 Total Agreement A. This Agreement, (together with the exhibits included above) constitutes the entire agreement between Owner and Engineer and supersedes all prior written or oral understandings. This Agreement may only be amended, supplemented, modified, or canceled by a written instrument duly executed by both parties. Amendments should be based whenever possible on the format of Exhibit K to this Agreement. 8.03 Designated Representatives A. With the execution of this Agreement, Engineer and Owner shall designate specific individuals to act as Engineer's and Owner's representatives with respect to the services to be performed or furnished by Engineer and responsibilities of Owner under this Agreement. Such an individual shall have authority to transmit instructions, receive information, and render decisions relative to this Agreement on behalf of the respective party whom the individual represents. 8.04 Engineer's Certifications A. Engineer certifies that it has not engaged in corrupt, fraudulent, or coercive practices in competing for or in executing the Agreement. For the purposes of this Paragraph 8.04: 1. "corrupt practice" means the offering, giving, receiving, or soliciting of anything of value likely to influence the action of a public official in the selection process or in the Agreement execution; 2. "fraudulent practice" means an intentional misrepresentation of facts made (a) to influence the selection process or the execution of the Agreement to the detriment of Owner,or(b)to deprive Owner of the benefits of free and open competition; 3. "coercive practice" means harming or threatening to harm,directly or indirectly, persons or their property to influence their participation in the selection process or affect the execution of the Agreement. 8.05 Conflicts of Interest and Confidential Information A. Engineer acknowledges that he and his employees will comply with the most recently adopted edition of the Standards of Professional Conduct of the American Society of Civil Engineers. In addition to adhering to the Standards of Professional Conduct, Engineer agrees to the following terms in the conduct of its business relationship with Owner: 1. Engineer shall not undertake to provide engineering services to a client other than Owner if the relationship with the other client will be directly adverse to the interests of Owner, unless Engineer first consults with and receives the written authorization of Owner. 2. Engineer shall not share or otherwise make use of any information relating to the engineering services provided to Owner or any information obtained through its relationship with Owner without the first obtaining the authorization of Owner. It is the intention of the Owner that this obligation is ongoing and continues in effect following completion of the project. 15 B. In the event that Engineer fails in any of its obligations under subsection A., Owner may take one or more of the following actions to protect its interests: 1. Suspend the performance of the agreement until Engineer provides assurances that it intends to adhere to the said Standards of Professional Conduct; 2. Terminate this Agreement upon giving three days written notice of Engineer's failure to adhere to the terms of subsection A; 3. Debar Engineer from future work for Owner for a period of not less than 6 months. Engineer shall not circumvent debarment by performing such future work as a sub-consultant for another Engineer. 4. Pursue any other remedy available from a court of law or equity,including, but not limited to, injunctive relief or monetary damages. C. Engineer shall include in every subcontract identical language to this Paragraph 8.05 and Engineer shall be responsible enforcing the terms of this Section against any of its subcontractors. Any violation of this Section by a subcontractor shall subject Engineer to the remedies available to Owner for Engineer's failure to adhere to the requirements of this Section. 8.06 The Equal Business Opportunity Clause A. Engineer agrees to make good faith efforts to meet the goals of this agreement by making available opportunities for MBEs(AABEs, HBEs,and ABEs)and FBEs for utilization in the work set forth within this agreement,and shall take the following actions as part of its good faith efforts: a. Notification to MBEs and FBEs that the Engineer has subcontracting opportunities available and maintenance of records of the MBEs and FBEs responses. b. Maintenance by the Engineer of a file of the names and addresses of each MBE and FBE contracted and action taken with respect to each such contract. c. Dissemination of the Engineer's EBO policy externally by informing and discussing it with all management and technical assistance sources, by advertising in news media, and by notifying and discussing it with all subcontractors and suppliers. d. Specific and continuing personal (both written and oral) recruitment efforts directed at MBE and FBE Engineer organizations, MBE and FBE assistance organizations. e. Sub-division of the contract into economically feasible segments as practice to allow the greatest opportunity for participation by MBEs and FBEs. f. Increasing where possible the number of aggregate purchase items so as to eliminate the requirement of front-end purchases of material for as many MBE and FBE subcontractors as possible. g. Adoption of the Equal Business Opportunity Plan submitted with its response to the Invitation for Bids or Request for Proposals obligations under this agreement, as approved by the Equal Business Opportunity Officer. 16 h. Submission of monthly reports on the forms and to the extent required by the Equal Business Opportunity Officer,to be due on the last day of each month following the award of the work set forth in this agreement. B. The Engineer further agrees that its breach of the EBO provisions contained herein shall subject it to any or all of the following penalties: a. Withholding of ten percent(10%)of all future payments under the involved eligible project until it is determined that the Engineer is in compliance; b. Withholding of all future payments under the involved project until it is determined that the Engineer is in compliance. c. Refusal of all future bids or offers for any eligible project with the City of Mansfield or any of its departments or divisions until such time as the Engineer demonstrates that there has been established and there shall be carried out of all the EBO provisions contained herein; d. Cancellation of the eligible project. 8.07 Governmental Funding A. In the event any grants or funding, including loans, from any governmental source may become available,the Engineer agrees to comply with such regulations or restrictions as may be required by the terms of such grants or funding. 8.08 Force Majeure A. A party is not liable for failure to perform the party's obligations if such failure is as a result of Acts of God(including fire,flood,earthquake,storm,hurricane or other natural disaster),war,invasion, act of foreign enemies, hostilities (regardless of whether war is declared), civil war, rebellion, revolution, insurrection, military or usurped power or confiscation, terrorist activities, nationalisation, government sanction, blockage, embargo, labor dispute, strike, lockout or interruption or failure of electricity or telephone service. No party is entitled to terminate this Agreement as a result of inability to perform caused by one or more of the previously listed occurrences. B. If a party asserts Force Majeure as an excuse for failure to perform the party's obligation,then the nonperforming party must prove that the party took reasonable steps to minimize delay or damages caused by foreseeable events, that the party substantially fulfilled all non-excused obligations, and that the other party was timely notified of the likelihood or actual occurrence of an event described in the Section. 17 IN WITNESS WHEREOF,the parties hereto have executed this Agreement,the Effective Date of which is indicated on page 1. Owner: City of Port Athur Engineer: EJES, Inc By: By: gaLLA_Iia?cyl.,.‹0 Print name: Ron Burton Print name: Edwin Jones,Sr P.E. Title: City Manager Title: Owner/CEO Date Signed: Date Signed: 11/11/2025 Engineer License or Firm's Certificate No.: Engineering License:82682 State of: Texas Address for Owner's receipt of notices: Address for Engineer's receipt of notices: PO Box 1089 6161 Savoy Drive,STE.830 Port Arthur,Tx 77641 Houston,TX 77036 Designated Representative(Paragraph 8.03.A): Designated Representative(Paragraph 8.03.A): Title: City Manager Title: Owner/CEO Phone Number: 409-983-8105 Phone Number: 281-272-1612 E-Mail Address: Ron.burton@portarthurtx.gov E-Mail Address: Ejones@ejesinc.com 18 N111 INCORPORATED ATTACHMENT Lead Service Line Inventory Scope Of Work (SOW) This Scope of Work is incorporated in the agreement between EJES INC., and The City of Port Arthur, Texas . Deliverables: The "Works," as defined in the Agreement, comprise the deliverables stated in this SOW for each phase. Goal: Define and execute a plan to comply with the revised Lead and Copper Rule, including developing an inventory, categorized by customer address,for The City of Port Arthur with fully known SL material information. Available in Subconsultant 120Water Platform and ArcGIS-compatible format(via 120Water- Esri Connector), provide Service Line Inventory (SLI) Verification, and water quality lead and copper sampling services. 1. Scope of Work: - Assessment: Survey and assess the number of lead service lines in the community. The EJES,INC team will conduct a thorough review of the submitted data, to ensure all data fields are understood and data integrity is maintained. Our team will manage all appropriate data sources into a single service line inventory dataset. The final dataset in this stage will include service line locations and material type categorizations for each identified service line in the distribution network, as well as all associated location and service line attributes. - Planning: Develop a strategy and schedule for inventory investigation & replacement of lead service lines. EJES, INC team will host an introductory meeting to establish the cross-functional Program Team and confirm roles and responsibilities. The session will also establish the program approach including success metrics and project timelines,and the cadence of program reviews, client updates to meet project goals and expectations. - Community Outreach: Conduct educational campaigns to inform the public about the risks of lead and the steps being taken. EJES, INC will manage the required direct mailings to homes & business with information of the program. EJES, INC will provide guidance to the City of Port Athur to engage with local community organizations, schools, and health care providers to ensure a comprehensive outreach. - Coordination: EJES, INC will work with local governments, utility companies, and residents to facilitate the replacement process. 2. Program Management: - Project Oversight: Providing day-to-day management and coordination of lead service line replacement efforts. EJES, INC will define scope, timelines, and deliverables to contracted subconsultants performing the lead service line investigation and replacement. EJES, INC will outline tasks required for identifying and cataloging lead service lines, including field surveys, data collections, and analysis with set milestones and deadlines for each phase of the program. EJES, INC will assist in ensuring quality control and that contractors are adhering to the schedule and budget. - Data Management: EJES, INC will establish guidelines on how data will be collected and manage records of where lead service lines are located and replaced and maintain compliance Page 11 INCORPORATEDR1171 with reporting requirements. Based on the City of Port Arthur historical data records of Lead Service Lines (LSLs)within the system, The City of Port Arthur may then choose to use a data science driven selection approach to identify a statistically driven selection of locations for physical field verification. Our team will use the verification results as the basis for lead service line probability predictions. - Regulatory Compliance: EJES, INC will ensure the City of Port Arthur's Lead Service Line program complies with federal (e.g., EPA Lead and Copper Rule), state, and local regulations. EJES, INC will coordinate with state agencies for quality assurance of deliverables before submission. 3. Funding Sources: - Grants & Loans: EJES, INC will assist the City of Port Arthur in applying for funding through programs developed by state or federal grants, or through loans (e.g., from the Drinking Water State Revolving Fund). EJES, INC will work with the City of Port Arthur to gather the required information needed to ensure that the application is comprehensive and complete for submission. Lead Service Line Inventory Developmen: There are 7 separate phases to developing a full Lead Service Line Inventory(LSLI). They are: 1) Program Start and Customer Alignment 2) Data Investigation and Submission 3) Data Analysis 4) Preliminary Findings and Software Alignment 5) Software Import and Training 6) LSLI Verification Strategy 7) LSLI Verifications Further information on each of these phases can be found below. Phase 1: Program Start and Customer Alignment I The purpose of this program stage is for the EJES Team and The City of Port Arthur teams to initiate the Service Line Inventory (SLI) program and align on program expectations: • Customer Kick-Off Meeting:the EJES Team will host an introductory meeting to establish the cross-functional Program Team and confirm roles and responsibilities. The session will also establish the program approach including success metrics and project timelines, and the cadence of program reviews, client updates, and any additional The City of Port Arthur goals and expectations. • Deliverable(s): Document containing metrics, timelines, and roles and responsibilities. Phase 2: Data Investigation and Submission I The purpose of this program stage is for the EJES INC. Team to identify, review, document, and collaboratively understand the existing data source(s) and systems. • Data Investigation Call with EJES Team: The EJES Team will schedule a guided review meeting with The City of Port Arthur to identify sources of data the EJES Team can use to Page 12 7111r1 INCORPORATED build out a preliminary lead service line inventory. Common data sources include: o GIS records o Billing system records o Work order system record o Paper reports, tap cards, as-builts, etc. o Recent capital projects • Data Request: After the Data Investigation Call, the EJES Team will submit a formal data request to The City of Port Arthur. The data request will outline the specific sources of data the EJES Team will need to analyze in order to identify all service locations, identify or rule-out sources of lead, and prioritize and strategize for lead service line inventory and replacement efforts. • Data Submission: EJES will review all submitted data sources. Once all data is submitted, the EJES Team will determine the best analysis approach to bring the data together into a single data set that reflects all service line locations and associated attributes. o ESRI Partnership Solution: If The City of Port Arthur will have the ability to visualize data in ArcGIS Online (AGOL), EJES and Subconsultant 120water will set up The City of Port Arthur specific AGOL environment for data submission. Our team will update the AGOL environment with preliminary inventory findings and continued inventory updates from the Subconsultant 120water platform, as The City of Port Arthur progresses through their lead service line inventory program. • Deliverable(s): Data requests, data analysis plan options Phase 3: Data Analysis I The purpose of this program stage is to combine all submitted data to develop a preliminary, location-based lead service line inventory that includes EPA complaint service line material categorizations for all identified service lines. The aim is to use existing client data to identify locations and use the data to rule out potential sources of lead. • Initiate Analysis: Our team will conduct a thorough review of the submitted data, to ensure all data fields are understood and data integrity is maintained. • Build Records-Based Inventory: Our team will clean and combine all appropriate data sources into a single service line inventory dataset. The final dataset in this stage will include service line locations and material type categorizations for each identified service line in the distribution network, as well as all associated location and service line attributes. • Note: Should The City of Port Arthur have records of Lead Service Lines (LSLs)within the system, The City of Port Arthur may then choose to use a data science driven selection approach to identify a statistically-driven selection of locations (less than 400 service connections) for physical field verification (not included in scope). Our team will use the verification results as the basis for lead service line probability predictions. This approach may require additional investment from EJES's field services partner to execute potholing/hydrovacing/home inspections. • Deliverable(s): Dataset containing the information described above in this phase. Phase 4: Preliminary Findings and Software Alignment I The purpose of this program stage is to deliver the results of the preliminary inventory and gather any additional feedback from the client to support inventory development—both in terms of reviewing the inventory itself and ensuring our team's platform sets the client up for success in long-term inventory management. • Preliminary Findings Session: Our team will meet with The City of Port Arthur to deliver the preliminary inventory findings. The session will cover a discussion of service line locations, material type associations, and the number of service lines. Page 13 INCORPORATED o Data Verification: Using the findings, our team will work with The City of Port Arthur to determine if additional data is required to inform the inventory. o Software Alignment: During the session, EJES and subconsultant 120water will propose the methodology for customizing the 120water platform to meet The City of Port Arthur needs (e.g., customization data fields, location and service line identifiers, prioritization set-up, etc.). • Additional Data Incorporation: If The City of Port Arthur submits additional data to be incorporated into the lead service line inventory, our team will process the data and integrate the new information into the preliminary inventory. • Deliverable(s): Report of preliminary inventory findings, configuration documentation Phase 5: Software Import and Training I The purpose of this program stage is to introduce The City of Port Arthur to their data in the software, and train The City of Port Arthur team on how best to use the software for continued inventory management. • Software Configuration: Setup and configure 120water platform software account and setup user(s) account(s) • Inventory Software Import: Import the prepared data (and/or) use client's existing records into the 120water software. o Note: If The City of Port Arthur does elect to use the Lead Service Line Probability Finder(predictive model), our team will run the model to assess service lines that have the highest probability of containing lead.The preliminary inventory will need to contain sufficient data on SL locations in order to run the model. If the preliminary inventory does not contain the necessary data, our team will determine the best path to getting enough observations with The City of Port Arthur. • Software Training: The Subconsultant 120water team will train The City of Port Arthur user(s) on the 120water software platform using The City of Port Arthur's data. During this session, our team and the client will discuss current data systems and processes and provide guidance on using subconsultant 120water platform for long-term LSL management • AGOL Training: the subconsultant 120water team will also train The City of Port Arthur users on the use of The City of Port Arthur specific 120Water-AGOL environments. • Deliverable (s): Supporting documentation from training sessions Phase 6: Lead Service Line Inventory Verification Strategy I The purpose of this program stage is to strategize with The City of Port Arthur on how best to proceed with verifying the material types of service lines that are categorized as Unknown in the lead service line inventory. • Establish the Prioritization Team: Our team will meet with the client to determine the key decision-maker who will own the prioritization and scheduling • Hold Prioritization and Verification Workshop: Our team and the Prioritization Team will work through inventory findings, prioritization metrics, geographic considerations, neighborhood information, and other details to define the method for organizing ongoing inventory efforts. In addition, both teams will discuss and strategize verification methods that are best suited to support inventory efforts. Additional our team offerings include: o Customer LSLI Postcard or Letter Survey Campaigns o Lead Check Swab Kits + Customer LSLI Postcard Survey Campaigns o Physical Field Validation Checks Page 14 Mir I % C O R P O R A T E 0 o Sampling • Initiate and Continue Inventory Efforts: The City of Port Arthur will continue leveraging subconsultant 120water software to keep the LSLI updated. • Continuous Inventory Review: Review the LSLI for compliance throughout the inventory process to ensure the lead service line inventory meets state and federal requirements • Deliverable(s): Validation plan document Phase 7: Lead Service Line Inventory Verification I The purpose of this program stage is to execute on the strategies decided upon during the Verification Strategy phase. The City of Port Arthur team will use EJES team to execute the chosen Verification Strategies or perform those methods internally. In either case the subconsultant 120water Platform will serve as the database of record for all Service Line material updates, and the Platform will deliver that data back to The City of Port Arthur's GIS via the 120Water-Esri Connector. • Deliverable(s): data produced by the platform. Page 15 c as �O X O E' I- Y c -t 0 0 o a O• 0 0 0 o O o o• h CO J Q co o 0 a0 o N •o 0 0 •0 0 o a a) U d O M R co- V 69 m <a EA M r C EA EA 69 EA b9 EA EA EA J a) cn a) N E J a) (6 4 OOOOO _I• oO O O OO O oO a3O O CD O O O O O O c CC O Lc) O (C) 6 x) o O o o O 69 M O` 69 69 cn Le E N M N a- a- sr- N r- CO re COC °c a) IE -/ w a) E C I- f- U) O N U Z LL c WQQC °R0 0 NN N 0 U _ r N o N GC • l N co �- 0" N MOD + O O OO C .0 O E 'O V a W CA a w E c ° c - mac < U. 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E a) N a Y9 d 2 m E a) C o O o 3 E O a7 a O •` L L L a)oEUm5 .5 a ❑ a a` a 2cno_ ao_ z r N cr) to (0 r ao O) Attachment C AC�® DATE(MM/DD/YYYY) CERTIFICATE OF LIABILITY INSURANCE 5/6/2025 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER,AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED,the policy(ies) must have ADDITIONAL INSURED provisions or be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER CONTACT NAME: Dallas Certificates Hotchkiss Insurance Agency, LLC PHONE FAX 4120 International Parkway (A/C.No.Ext):800-899-3750 (A/c,No):972-512-7799 Suite 2000 ADDRESS: certs@hiallc.com Carrollton TX 75007 INSURER(S)AFFORDING COVERAGE NAIC# INSURERA:Travelers Indemnity Company 25658 INSURED EJESINC-01 INSURER B:Travelers Casualty and Surety Company 19038 EJES, Inc. 12801 N Central Expwy Suite 700 INSURER C:Travelers Property Casualty Co of Amer 25674 Dallas TX 75243 INSURER D:Phoenix Insurance Company 25623 INSURER E:Travelers Indemnity Company of CT 25682 INSURER F: COVERAGES CERTIFICATE NUMBER:1248751303 REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES.LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. INSR TYPE OF INSURANCE ADDL SUBR POLICY EFF POLICY EXP LIMITS LTR _ANSI) D/WVD POLICY NUMBER (MM/DYYYY) (MM/DD/YYYY) A X COMMERCIAL GENERAL LIABILITY 680-3N18127A-25-47 5/13/2025 5/13/2026 EACH OCCURRENCE $1,000,000 CLAIMS-MADE X OCCUR DAMAGE TO RENTED PREMISES(Ea occurrence) $1,000,000 MED EXP(Any one person) $5,000 PERSONAL&ADV INJURY $1,000,000 GEN'L AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE $2,000,000 POLICY X jra X LOC PRODUCTS-COMP/OP AGG $2,000,000 OTHER: Total PerProject Agg $6,000,000 D AUTOMOBILE LIABILITY BA-7R800171-25-47-G 5/13/2025 5/13/2026 COMBINED SINGLE LIMIT $1,000,000 (Ea accident) X ANY AUTO BODILY INJURY(Per person) $ OWNED SCHEDULED BODILY INJURY(Per accident) $ AUTOS ONLY AUTOS HIRED NON-OWNED PROPERTY DAMAGE $ AUTOS ONLY AUTOS ONLY (Per accident) C X UMBRELLA LIAB X OCCUR CUP-3N184210-25-47 5/13/2025 5/13/2026 EACH OCCURRENCE $10,000,000 EXCESS LIAB CLAIMS-MADE AGGREGATE $10,000,000 DED X RETENTION$1 a non $ E WORKERS COMPENSATION UB-6P945077-25-47-G 5/13/2025 5/13/2026 X PER OTH- AND EMPLOYERS'LIABILITY Y/N STATUTE ER ANYPROPRIETOR/PARTNER/EXECUTIVE E.L.EACH ACCIDENT $1,000,000 OFFICER/MEMBEREXCLUDED? N N/A (Mandatory in NH) E.L.DISEASE-EA EMPLOYEE $1,000,000 If yes,describe under DESCRIPTION OF OPERATIONS below E.L.DISEASE-POLICY LIMIT $1,000,000 B Professional Liability 107091064 5/13/2025 5/13/2026 Each Claim Limit $5,000,000 Aggregate Limit $5,000,000 Deducitble 25,000 DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES (ACORD 101,Additional Remarks Schedule,may be attached if more space is required) The general liability policy includes a blanket additional insured endorsement,[CGD381 09/15]that provides additional insured status for ongoing and completed operations to the certificate holder only when there is a written contract between the named insured and the certificate holder that requires such status. The general liability policy includes a special endorsement with Primary and Noncontributory wording as required by written contract(CGD381 09/15) The general liability policy includes a blanket additional insured endorsement(CGD379 02/19)specific to Owner,Manager or Lessor of Premises,Lessor of Leased Equipment,State or Political Subdivisions-Permits Related to Premises and State or Political Subdivisions-Permits Related to Operations. The general liability policy includes a blanket waiver of subrogation endorsement when required by written contract-per(CGD379 02/19) The general liability policy includes a blanket notice of cancellation to certificate holders endorsement,providing for 30 days'advance notice if the policy is See Attached... CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN ACCORDANCE WITH THE POLICY PROVISIONS. City of Port Arthur,TX 444 4th Street AUTHORIZED REPRESENTATIVE Port Arthur,TX 77640 ©1988-2015 ACORD CORPORATION. All rights reserved. ACORD 25(2016/03) The ACORD name and logo are registered marks of ACORD AGENCY CUSTOMER ID: EJESINC-01 LOC#: ACCORD ADDITIONAL REMARKS SCHEDULE Page 1 of 1 AGENCY NAMED INSURED Hotchkiss Insurance Agency,LLC EJES, Inc. 12801 N Central Expwy Suite 700 POLICY NUMBER Dallas TX 75243 CARRIER NAIC CODE EFFECTIVE DATE: ADDITIONAL REMARKS THIS ADDITIONAL REMARKS FORM IS A SCHEDULE TO ACORD FORM, FORM NUMBER: 25 FORM TITLE: CERTIFICATE OF LIABILITY INSURANCE cancelled by the company other than for non-payment of premium, 10 days'notice after the policy is cancelled for non-payment of premium. Notice is sent to certificate holders with mailing addresses on file with the agent or the company. The endorsement does not provide for notice of cancellation if the named insured requests cancellation-per(ILT400 05/19) The auto policy includes a blanket additional insured endorsement when required by written contract per(CAT437 02/16) The auto policy includes a blanket waiver of subrogation endorsement when required by written contract-per(CAT340 02/15) The auto policy includes a special endorsement with Primary and Noncontributory wording,(CAT474 02/16). The auto policy includes a blanket notice of cancellation to certificate holders endorsement,providing for 30 days'advance notice if the policy is cancelled by the company other than for non-payment of premium,10 days'notice after the policy is cancelled for non-payment of premium. Notice is sent to certificate holders with mailing addresses on file with the agent or the company. The endorsement does not provide for notice of cancellation if the named insured requests cancellation-per(ILT405 05/19) The workers compensation policy includes a blanket waiver of subrogation endorsement when required by written contract-per(WC 42 03 04(B). The workers compensation policy includes a blanket notice of cancellation to certificate holders endorsement,providing for 60 days'advance notice if the policy is cancelled by the company other than for non-payment of premium, 10 days'notice after the policy is cancelled for non-payment of premium. Notice is sent to certificate holders with mailing addresses on file with the agent or the company. The endorsement does not provide for notice of cancellation if the named insured requests cancellation-per WC 99 06 47(A) The umbrella will follow the underlying general liability,automobile,and employers liability coverage forms,subject to the policy terms and conditions. The professional liability policy includes blanket waiver of subrogation wording on formt-per(PTC-1001 11/08) Re:Texas Water Development Board for Lead and Copper Removal Program Certificate holder continued:The City of Port Arthur,TX,its officials,employees and officers ACORD 101 (2008/01) ©2008 ACORD CORPORATION. All rights reserved. The ACORD name and logo are registered marks of ACORD D. the dates of the alleged events;and E. the reasons for anticipating a Claim, any Claim subsequently made against any Insured arising out of such Potential Claim will be deemed to have been made on the date such notice was received by the Company. All notices under this section must be sent or delivered to the Company set forth in ITEM 3 of the Declarations and will be effective upon receipt. IX. RELATED CLAIMS All Claims or Potential Claims for Related Wrongful Acts will be considered as a single Claim or Potential Claim ,whichever is applicable.All Claims or Potential Claims for Related Wrongful Acts will be deemed to have been made the date: A. the first of such Claims for Related Wrongful Acts was made; or B. the first notice of such Potential Claim for Related Wrongful Acts was received by the Company, whichever is earlier. X. SUBROGATION In the event of payment under this policy, the Company is subrogated to all of the Insured's rights of recovery against any person or organization to the extent of such payment and the Insured will execute and deliver instruments and papers and do whatever else is necessary to secure such rights. The Insured will do nothing to prejudice such rights. Section X. SUBROGATION does not apply if the Insured, prior to the date a Wrongful Act is committed, has waived its right of recovery for Damages that result from such Wrongful Act. Xl. RECOVERIES All recoveries from third parties for payments made under this policy apply, after first deducting the costs and expenses incurred in obtaining such recovery: A. first, to the Company to reimburse the Company for any Deductible amount it has paid on behalf of any Insured; B. second, to the Insured to reimburse the Insured for the amount it has paid which would have been paid hereunder, but for the fact that such amount is in excess of the applicable limit hereunder; C. third, to the Company to reimburse the Company for the amount paid hereunder; and D. fourth,to the Insured in satisfaction of any applicable Deductible paid by the Insured, provided that such recoveries do not include any recovery from insurance, suretyship, reinsurance, security or indemnity taken for the Company's benefit. XII. ACQUISITIONS If, during the Policy Period, the Named Insured acquires or forms an entity that performs Professional Services, coverage will be provided for such acquired or formed entity and its respective Insured Persons for Wrongful Acts committed after the Named Insured acquires or forms such entity. Coverage for such entity will end 90 days after the acquisition or formation of such entity, or the end of the Policy Year, whichever is earlier, unless the Company has agreed to provide such coverage by endorsement. Policy Number: 107091064 PTC-1001 Ed. 11-08 Printed in U.S.A. Page 4 of 7 ©2008 The Travelers Companies, Inc.All Rights Reserved COMMERCIAL AUTO THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. BLANKET ADDITIONAL INSURED - PRIMARY AND NON-CONTRIBUTORY WITH OTHER INSURANCE This endorsement modifies insurance provided under the following: BUSINESS AUTO COVERAGE FORM PROVISIONS 2. The following is added to Paragraph B.5., Other 1. The following is added to Paragraph A.1.c., Who Insurance of SECTION IV — BUSINESS AUTO Is An Insured, of SECTION II — COVERED CONDITIONS: AUTOS LIABILITY COVERAGE: Regardless of the provisions of paragraph a. and This includes any person or organization who you paragraph d. of this part 5. Other Insurance, this are required under a written contract or insurance is primary to and non-contributory with agreement between you and that person or applicable other insurance under which an organization, that is signed by you before the additional insured person or organization is the "bodily injury" or "property damage" occurs and first named insured when the written contract or that is in effect during the policy period, to name agreement between you and that person or as an additional insured for Covered Autos organization, that is signed by you before the Liability Coverage, but only for damages to which "bodily injury" or "property damage" occurs and this insurance applies and only to the extent of that is in effect during the policy period, requires that person's or organization's liability for the this insurance to be primary and non-contributory. conduct of another "insured". Policy Number: BA-7R800171-24-47-G CA T4 74 02 16 ©2016 The Travelers Indemnity Company.All rights reserved. Page 1 of 1 Includes copyrighted material of Insurance Services Office,Inc.with its permission. COMMERCIAL AUTO THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. BLANKET WAIVER OF SUBROGATION This endorsement modifies insurance provided under the following: AUTO DEALERS COVERAGE FORM BUSINESS AUTO COVERAGE FORM MOTOR CARRIER COVERAGE FORM The following replaces Paragraph A.5., Transfer of required of you by a written contract executed Rights Of Recovery Against Others To Us, of the prior to any "accident" or "loss", provided that the CONDITIONS Section: "accident" or "loss" arises out of the operations 5. Transfer Of Rights Of Recovery Against Oth- contemplated by such contract. The waiver ap- ers To Us plies only to the person or organization desig- We waive any right of recovery we may have nated in such contract. against any person or organization to the extent Policy Number: BA-7R800171-24-47-G CA T3 40 02 15 ©2015 The Travelers Indemnity Company.All rights reserved. Page 1 of 1 Includes copyrighted material of Insurance Services Office,Inc.with its permission. COMMERCIAL AUTO THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. BLANKET ADDITIONAL INSURED This endorsement modifies insurance provided under the following: BUSINESS AUTO COVERAGE FORM MOTOR CARRIER COVERAGE FORM The following is added to Paragraph c. in A.1., Who between you and that person or organization, that is Is An Insured, of SECTION II — COVERED AUTOS signed by you before the "bodily injury" or "property LIABILITY COVERAGE in the BUSINESS AUTO damage" occurs and that is in effect during the policy COVERAGE FORM and Paragraph e. in A.1.,Who Is period, to name as an additional insured for Covered An Insured, of SECTION II — COVERED AUTOS Autos Liability Coverage, but only for damages to LIABILITY COVERAGE in the MOTOR CARRIER which this insurance applies and only to the extent of COVERAGE FORM, whichever Coverage Form is that person's or organization's liability for the conduct part of your policy: of another"insured". This includes any person or organization who you are required under a written contract or agreement Policy Number: BA-7R800171-24-47-G CA T4 37 02 16 ©2016 The Travelers Indemnity Company.All rights reserved. Page 1 of 1 Includes copyrighted material of Insurance Services Office,Inc.with its permission. O X �agwaaap M -- p C• 1- a JagwanoN m ,-i j i Jagop0 m - t Jagwaldas M --- a! C Q a 1sany ,, - J Nv '''' Ain( O N 16 aunt to E Awl ;.,0, III - O a! Judy 161E11 ra ++ »e t CU _I (n O Ajenjgaj L /uenuef PI N ---- +�•+ �agwa�ap fB et cy JagwanoN o - - - L aagop0 II 1611111 - Jagwa;das t a, ssn8ny - 1111 . < N Apr - --� .1... 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