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HomeMy WebLinkAbout1985-01-04-R I • RESOLUTION NO. A RESOLUTION AUTHORIZING AND DIRECTING THE MAYOR AND CITY CLERK OF THE CITY OF BATESVILLE, ARKANSAS, TO EXECUTE AN AGREEMENT WITH B & F ENGINEERING, INC. ; AND FOR OTHER PURPOSES. BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF BATESVILLE, ARKANSAS AS FOLLOWS: Section 1: That the City Council of the City of Batesville, Arkansas , hereby authorizes the Mayor and City Clerk of the City of Batesville, Arkansas , to execute an Agreement with B & F Engineering, Inc. , whereby B & F Engineering, Inc. , will provide the City with engineering and other professional services in regard to the City's expansion of its solid waste incineration with heat recovery plant. Section 2: That a copy of said Agreement is attached hereto, marked EXHIBIT "A" and made a part hereof as though fully set out herein word for word. ADOPTED this day of �wv�roon.--� 1985. APPROVED: J M SHT RELL, MAYOR ATTEST: LARRY WILLIAMS, CITY CLERK AGREEMENT BETWEEN OWNER AND ENGINEER FOR PROFESSIONAL SERVICES THIS AGREEMENT made as of the eleventh day of January, in the year Nineteen Hundred and eighty-five by and between The City of Batesville, Arkansas (hereinafter called the OWNER) and B & F Engineering , Inc., 928 Airport Road, Hot Springs , Arkansas (hereinafter called the ENGINEER) . WITNESSETH, that whereas the OWNER intends to expand his Solid Waste Incineration with Heat Recovery Plant ( hereinafter called the Project ) . NOW THEREFORE, the OWNER and the ENGINEER in consideration of their mutual covenants herein agree in respect of the performance of professional engineering services by the ENGINEER and the payment for those services by the OWNER, as set forth below. The ENGINEER will serve as the OWNER'S professional engineering representative in those phases of the Project to which this Agreement applies, and will give consultation and advice to the OWNER during the performance of his services. SECTION I - BASIC SERVICES OF THE ENGINEER: The ENGINEER will perform professional design services in connection with the Project as hereinafter stated which shall include normal civil , structural , mechanical and electrical engineering services and normal architectural design services incidental thereto. 1. 1 PRELIMINARY DESIGN PHASE - The ENGINEER will : 1 . 1 .1 Review with the OWNER his requirements for the Project. 1 . 1 . 2 Advise the OWNER as to the necessity of his providing or obtaining from other sources any additional services or data required for completion of the design and construction of the Project, and act as the OWNER'S representative in connection with any such services. 1 .1 .3 Prepare preliminary design documents consisting of final design criteria , preliminary drawings , outline specifications , and preliminary cost estimates , and 1 assist in preparation of permit applications. 1.2 FINAL DESIGN PHASE - Upon evidence of total project funding, the ENGINEER will : 1 1 1 .2 . 1 On the basis of the approved preliminary design documents, prepare for incorporation in the Contract Documents , detailed drawings to show the character and scope of the work to be performed by Contractors on the Project (hereinafter called the Drawings) , and Instructions to Bidders , General Conditions , Special Conditions and Technical Provisions (all of which are hereinafter called the Specifications) . 1 .2 . 2 Assist the OWNER in securing approval of the Drawings and Specifications from such governmental authorities as have jurisdiction applicable to the Project. 1 .2 .3 Prepare and furnish a revised Cost Estimate for the Project based on the final Drawings and Specifications. 1 . 2 .4 Prepare proposal forms and notice to bidders and assist in preparation of the Contract Documents. 1 .2 .5 Furnish five ( 5 ) copies of the final Drawings and Specifications to the OWNER. 1 .2 .6 Assist the OWNER in obtaining and evaluating bids or negotiating proposals and preparing construction contracts . 1 .2 .7 Consult with and advise the OWNER as to the acceptability of subcontractors , and other persons and organizations proposed by the prime construction contractor ( s ) (hereinafter called CONTRACTOR(S) for those portions of the work as to which such acceptability is required by the bidding documents. 1 .2 .8 The Final Design Phase shall terminate upon commencement of the construction phase or upon completion of negotiations with the CONTRACTOR (S) . 1 .3 CONSTRUCTION PHASE - The Construction Phase will commence with the execution of the first of the prime construction contract(s) to be executed and will terminate upon project completion and performance testing. During the Construction Phase, the ENGINEER will : 1 .3 . 1 Consult with and advise the OWNER and act as his representative in dealings with the CONTRACTOR(S) ; all of the OWNER'S instructions to the CONTRACTOR (S) shall be issued through the ENGINEER. 1 . 3 . 2 Make periodic visits to the site to observe the progress and quality of the executed work and to determine in general if the work is proceeding in accordance with the Contract Documents; he will not be required to make exhaustive or continuous on-site inspections to check the 2 i quality or quantity of work; he will not be responsible for the construction means , methods , techniques , sequences or procedures or the safety precautions and • programs incident thereto; his efforts will be directed toward providing assurance for the OWNER that the completed Project will conform to the requirements of the Contract Documents, but he will not be responsible for the failure of CONTRACTOR(S) to perform the construction work in accordance with the Contract Documents; and during such visits and on the basis of his on-site observations as an experienced and qualified design professional , he will keep the OWNER informed of the progress of the work, will endeavor to guard the OWNER against defects and deficiencies in the work of CONTRACTOR (S) and may disapprove or reject work as failing to conform to the Contract Documents. 1 . 3 . 3 Review and approve shop drawings , diagrams , illustrations , brochures, catalog data, schedules and samples , the results of tests and inspections and other data which any CONTRACTOR is required to submit, but only for conformance with the design concept of the Project and compliance with the information given in the Contract Documents ; and receive and review maintenance and operating instructions, schedules, guarantees, bonds and certificates of inspection which are to be assembled by the CONTRACTOR (S) in accordance with the Contract Documents . 1.3 .4 Issue all instructions of the OWNER to the CONTRACTOR (S) ; prepare routing change orders as required; he may, as the OWNER'S representative, require special inspection or testing of the work; he will act as interpreter of the terms and conditions of the Contract Documents and judge of performance thereunder by the parties thereto and will make decisions on all claims of the OWNER and the CONTRACTOR (S) relating to the execution and progress of the work and all other matters and questions related thereto; but the ENGINEER will not be liable for the results of any such interpretations or decisions rendered by him in good faith. 1 . 3 . 5 Based on his on-site observations as an experienced and qualified design professional and on his review of CONTRACTOR (S) applications for payment and supporting data, determine the amount owing to the CONTRACTOR(S) and approve in writing payment to the CONTRACTOR (S) in such amounts; such approvals of payment shall constitute a representation to the OWNER, based on such observations and review, that the work has progressed to the point indicated and that , to the best of his knowledge , information and belief , the quality of the work is in accordance with the Contract Documents. But by approving an application for payment, the ENGINEER shall not be • deemed to have represented that he has made any 3 examination to determine how or for what purposes any CONTRACTOR has used the money paid on account of the Contract Price. 1 . 3 .6 Conduct an inspection to determine if the Project is substantially complete and a final inspection to determine if the Project has been completed in accordance with the Contract Documents and if each CONTRACTOR has fulfilled all of his obligations thereunder so that the ENGINEER may approve, in writing , final payment to each CONTRACTOR. 1 . 3 .7 The ENGINEER will not be responsible for the acts or omissions of any CONTRACTOR, any subcontractor of any CONTRACTOR(S) , any subcontractors' agents or employees or any other person perfoming any of the work under the construction contract. SECTION II - ADDITIONAL SERVICES OF THE ENGINEER: 2 .1 GENERAL - If authorized in writing by the OWNER, the ENGINEER will furnish or obtain from others additional services of the following types which are not considered normal or customary basic services; these will be paid for by the OWNER as indicated elsewhere in this agreement. • 2 .1 .1 Additional services resulting from significant changes in general scope of the Project or its design including, but not limited to, changes in size, complexity, OWNER'S schedule, or character of construction. 2 . 1 .2 Providing renderings or models for the OWNER'S use. 2 . 1 . 3 Revising previously approved studies, reports, design documents , Drawings or Specifications , when such revisions are due to causes beyond the control of the ENGINEER. 2 . 1 .4 Preparing documents for alternate bids requested by the OWNER for work which is not executed or documents for out-of-sequence work. 2 .1 .5 Furnishing the services of special consultants for other than the normal civil , structural , mechanical and electrical engineering and normal architectural design incidental therto. 4 2 . 1 .6 Additional—or extended services durirrg construction made necessary by (1) work damaged by fire or other cause during construction, (2) prolongation of the construction contract time of any prime construction contract by more than ninety ( 90 ) days , and ( 3 ) default by the CONTRACTOR(S) under any prime construction contract. 2 . 1 .7 Preparing to serve or serving as a witness for the OWNER in any litigation or other proceeding involving the Project. 2 . 1 .8 Additional services in connection with the Project, including services normally furnished by the OWNER and services not otherwise provided for in this agreement. 2 .2 RESIDENT SERVICES DURING CONSTRUCTION If requested by the OWNER or recommended by the ENGINEER and approved in writing by the OWNER, a resident project representative and assistant will be furnished and will act as directed by the ENGINEER in order to provide more extensive representation at the project site during the Construction Phase. Such services will be paid for by the OWNER as indicated in the section on compensation. SECTION III - THE OWNER' S RESPONSIBILITIES - The OWNER will : 3 . 1 Provide full information as to his requirements for the Project. • 3 . 2 Assist the ENGINEER by placing at his disposal all available information pertinent to the Project including previous reports and any other data relative to design and construction of the Project. 3 . 3 Furnish the ENGINEER services or data as required by the ENGINEER, such as core borings, probings and subsurface explorations, hydrographic surveys, laboratory tests and inspections of samples, materials and equipment. 3 .4 Guarantee access to and make all provisions for the ENGINEER to enter upon public and private property as required for the ENGINEER to perform his services under this agreement. • 5 3 .5 Examine all studies , reports , sketches, estimates , Specifications, Drawings, proposals and other documents presented by the ENGINEER and render in writing decisions pertaining thereto within a reasonable time so as not to delay the services of the ENGINEER. 3 .6 Pay for all advertising and related costs incident to obtaining bids or proposals from CONTRACTOR (S) . 3 .7 Provide such legal , accounting and insurance couseling services as may be required for the Project and such auditing service as the OWNER or any agency may require to ascertain how or for what purpose any CONTRACTOR has used the money paid to him under the construction contract. 3 .8 Designate in writing a person to act as OWNER' S representative with respect to the work to be performed under this agreement; and such person shall have complete authority to transmit instructions, receive information, interpret and define OWNER'S policies and decisions with respect to materials , equipment, elements and systems pertinent to the services covered by this agreement. 3 .9 Give prompt written notice to the ENGINEER whenever the OWNER observes or otherwise becomes aware of any defect in the Project. 3 . 10 Pay all cost for approvals and permits from all governmental authorities having jurisdiction over the Project and such approvals and consents from others as may be necessary for completion of the Project. 3 . 11 Furnish, or direct the ENGINEER to provide, necessary additional services as required or provided for in this Agreement. SECTION IV - PERIOD OF SERVICE 4 . 1 The execution of this agreement by both the OWNER and the ENGINEER shall serve as notice from the OWNER to the ENGINEER to proceed with the performance of the services outlined in this Agreement. 4 . 2 If the design and construction of the project is delayed for any reason such that the project is not completed by July 31 , 1987 the various rates of compensation provided for in Section 5 of this Agreement shall be subject to renogotiation. 6 SECTION V - PAYMENTS TO THE ENGINEER - The ENGINEER shall be compensated for work done under this Agreement as follows: 5 . 1 BASIC SERVICES - The OWNER will pay the ENGINEER for basic services rendered under Section 1 on the following basis : Engineer' s cost in accordance with Section 5.4 plus a fixed fee of $5 ,000 .00 . Maximum fee for basic services shall not exceed $40 ,000.00. 5 .2 ADDITIONAL SERVICES - The OWNER will pay the ENGINEER for additonal services rendered by the ENGINEER under Section 2 as follows: Engineer's cost for additonal services in accordance with Section 5 .4 . 5.2.1 Special Consultants - The OWNER will pay the ENGINEER for services of special consultants, the amount billed to the ENGINEER plus 100. 5.2.2 Resident Project Services - If Requested by the OWNER , the OWNER will pay the ENGINEER for resident services during construction on the following basis: Engineer ' s cost in accordance with Section 5 .4 . 5 .3 TIMES OF PAYMENT I 5 . 3 . 1 The OWNER will make prompt monthly payments in response to the ENGINEER'S detailed statements for all categories of service rendered under this Agreement and for reimbursable expenses incurred. The first monthly payment shall be the first month after EDA grant award . 5 . 3 .2 Fixed Fee Compensation for basic services rendered shall amount to the following percentages of the total Fixed Fee payable for all phases of basic services: (1) Preliminary Design Phase-------------350 (2) Final Design Phase-------------------350 (3) Construction Phase-------------------30% TOTAL--------------------------------100% 7 5 .4 BASIS OF FEE DETERMINATION 5 .4 . 1 The Engineer ' s Cost shall be determined from the Engineer' s Payroll Cost. The payroll costs used as a basis for payment shall mean the salaries and wages paid to principals and employees engaged directly on the Project , including but not limited to , engineers , architects , surveymen , designers , draftsmen , specification writers, estimators , other technical personnel , stenographers , typists and clerks; plus the cost of fringe benefits including , but not limited to, social security contributions, unemployment, excise and payroll taxes , workmen' s compensation , health and retirement benefits , bonuses , sick leave, vacation and holiday pay applicable thereto; the Engineer's general overhead cost as determined by an independent Certified Accountant. The general overhead rates may be adjusted at the beginning of each year commencing with the month of January based on the previous year's overhead cost. The Engineer's most recent overhead calculations shall be presented for the Owner' s approval and attached to the Contract as Exhibit "C" . 5 .4 . 2 Base Wage Rates for the respective classifications and other reimbursable expenses shall not exceed the rates listed in Exhibit "B" attached . 5 .4 .3 If the OWNER fails to make any payment due the ENGINEER on account of his services and expenses within thirty ( 30 ) days after receipt of the ENGINEER' S invoice therefore, the amounts due the ENGINEER shall bear interest at the rate of one percent per month from said thirtieth (30th) day, and in addition the ENGINEER may, after giving seven days written notice to the OWNER, suspend services under this Agreement until he has been paid in full all amounts due him on account of his services and expenses. 5 .4 . 4 If this Agreement is terminated upon the completion of the ENGINEER'S services under any phase of the services called for, progress payments to be made to the ENGINEER on account of services rendered shall constitute total payment for services rendered. If this Agreement is terminated during any phase of Basic Services the ENGINEER shall be paid for services rendered to the date of termination. In the event of any termination, the ENGINEER will be paid for all his reasonable expenses resulting from such termination, and for any unpaid reimbursable expenses . 5 .4 . 5 No decuction shall be made from the ENGINEER' S compensation on account of penalty, liquidated damages, or other amounts withheld from payments to the Contractor(s). • 8 SECTION VI - GENERAL CONSIDERATIONS 6 . 1 TERMINATION - This Agreement may be terminated by either party by seven days written notice in the event of substantial failure to perform in accordance with the terms hereof by the other party through no fault of the terminating party. If this Agreement is so terminated, the ENGINEER shall be paid as provided in Paragraph 5.4. 6 . 2 OWNERSHIP OF DOCUMENTS - All documents , including original Drawings , estimates , Specifications, field notes, and data are and remain the property of the ENGINEER as instruments of service. The OWNER may obtain a set of reporducible record prints of drawings and copies of other documents, in consideration of which the OWNER will use them solely in connection with the Project, and not for the purpose of making subsequent extensions or enlargements thereto and he will not sell , publish or display them publicly. Reuse for extensions of the Project, or for new projects , shall require written permission of the ENGINEER, and shall entital him to further compensation at a rate to be agreed upon by OWNER and ENGINEER. 6 .3 ESTIMATES - Since the ENGINEER has no control over the cost of labor , materials or equipment, or over the CONTRACTOR(S) methods of determining prices , or over competitive bidding or market conditions, his estimates of cost for the Project provided for herein are to be made on the basis of his experience and qualifications and represent his best judgement as a design professional familiar with the construction industry, but the ENGINEER cannot and does not guarantee that proposals , bids or the Project construction cost will not vary from cost estimates prepared by him. 6 .4 INSURANCE - The ENGINEER will secure and maintain such insurance as will protect him from claims for damages because of bodily injury including personal injury, sickness or disease, or death of any of his employees or of any person other than his employees , and from claims for damages because of injury to or destruction of tangible property including loss of use resulting therefrom. • 9 6 .5 SUCCESSORS" AND ASSIGNS - The OWNER and the ENGINEER each binds himself and his partners , successors , executors , administrators and assigns to the other party of this Agreement and to the partners , successors , executors , administrators and assigns of such other party, in respect to all covenants of this Agreement; except as above, neither the OWNER nor the ENGINEER will assign, sublet or transfer his interest in this Agreement without the written consent of the other. Nothing herein shall be construed as creating any personal liability on the part of any officer or agent of any public body which may be a party hereto, nor shall it be construed as giving any rights or benefits hereunder to anyone other than the OWNER and the ENGINEER. SECTION VII - SPECIAL PROVISIONS The OWNER and the ENGINEER agree that this Agreement shall be subject to the following special provisions which together with the provisions hereof and the Exhibits and Schedules hereto represent the entire Agreement between the OWNER and the ENGINEER; they may only be altered , amended or repealed by a duly executed written instrument: 7 . 1 All Services Described in Exhibit "A" - General Outline Of Engineering Services as attached to the OWNER'S "Request for Proposal " dated December 21 , 1984 shall be included as basic services under this Contract and shall be a part of Section I of this Contract as if therin included . 7 . 2 All expenses such as telephone, reproduction, travel , per diem , outside services , etc . shall apply to the $40 ,000.00 maximum fee for basic engineering services provided the expenses incurred are related to the services provided under basic services. 7 .3 The ENGINEER shall submit a report not less frequently than quarterly to the OWNER covering the general progress of the job and describing and problems or factors contributing to delay; 7 . 4 The ENGINEER shall assure that a ten per cent (10%) retainage is withheld from all payments on construction contracts until final acceptance by the OWNER and approval by the EDA Regional Office, unless State or local law provides otherwise; 7 .5 The ENGINEER shall comply with all applicable provisions of the Regulations of the United States Department of Commerce (Part 8 of Subtitle 15 of the Code of Federal Regulations) issued pursuant to the Civil Rights Act of 1964 , in regard to nondiscrimination in employment 10 because or race, religion, color , —sex, or national origin; 7 . 6 The following timetable is provided by the ENGINEER, and is accurate to the best of the ENGINEER'S knowledge and belief, and will be adhered to by the ENGINEER, barring circumstances beyond the ENGINEER'S control : DESCRIPTION OF SERVICE TOTAL ELAPSED TIME FROM GRANT APPROVAL Completing Preliminary Plans and Associated Cost Estimates 26 weeks Completing Final Plans , Specifications, and Cost Estimates 40 weeks Securing Required State and Local Approvals 46 weeks Completing Proposed Contract Documents in a Form Sufficient for Soliciting Bids for Construction of the Project 56 weeks IN WITNESS WHEREOF the parties hereto have made and executed this Agreement as of the day and year first above written. OWNER: ENGINEER: CITY OF BATESVILLE B & F ENGINEERING , INC. 170 South Fourth Street 928 Airport Road Batesville, Arkansas 72501 Hot Springs , Arkansas oo� Jim Shirrell , Ma or William F. Fletcher, President �r 11 EXHIBIT A GENERAL OUTLINE OF ENGINEERING SERVICES 1. Preliminary Engineering Studies or Planning Services a. Review of existing information furnished by the Owner. b. Perform necessary topographical surveys and subsurface explora- tions. c. Perform preliminary design and preparation of preliminary drawings , specifications and cost estimates as required for selection of most feasible methods or project alternatives. d. Present alternate methods or projects with recommendations to the Owner for use in selecting the most feasible methods or projects . 2. Preparation of Legal Descriptions for Acquisition a. The Engineer will provide metes and bounds property description and owner of record information for any necessary site acquisitions necessary for the facility. These services will be provided by the Engineer at no additional cost to the owner. 3. Design and Development of Contract Documents a. Develop from the approved preliminaries a detailed design of the alternative selected by the Owner. b. Prepare final drawings, specifications and other contract documents completely describing the material and workmanship required and procedures to be followed for the construction of the project. c. Adjust the preliminary construction cost estimate to agree with final design including changes in the scope of the project. 4. Publishing Advertisement for Bids The Engineer will assist the Owner in preparation of advertisement to be published in the news media for the purpose of securing proposals from bidders. 5. Receipt of Proposals or Bids The Engineer will furnish drawings and specifications for use by the Owner. The Engineer will preside at the bid opening and submit a bid tabulation to the City with a recommendation for award. The Engineer will prepare the contract agreements and conduct the preconstruction conference. k 6. During Construction a. The Engineer will provide inspection and general supervision of construction to check the contractor's work for compliance with the drawings and specifications. b. The general supervision service usually consists of monitoring construction to alert Owner as to need for adjustments in design as dictated by actual field conditions and the preparation of contract amendments for the Owner. c. Inspection services should be adequate to assure that the project is built in- accordance with the plans and specifications. d. Reporting of inspection results should include as a basis for certification of pay estimates not less than the following information. (1) Project Number (2) Project Location (3) Project Description (4) Estimated percentage of construction completion as against percentage of contract time which has elapsed. (5) Listing of contract change orders which have been approved or are pending since the time of last report, change order number, date of approval , brief description of change and contract cost change. (6) General description of overall construction progress giving details as to any factors or problems contributing to construction delay or failure to meet construction schedules. (7) Brief description of construction work being performed at time of inspection. (8) Description of deficiencies noted during inspections. (9) Field measurement results showing total amount of work performed that is acceptable as related to specific locations on plans. (10) Field measurement results showing specific work performed that is not acceptable. (11) Field measurement results showing specific work that was noted as unacceptable during previous inspections and that has been corrected; if not, explain why work has not been corrected. (12) Field measurement results showing actual amounts of materials stored on site to allow correlation with pay estimates. 7. As-Built Plans a. The Engineer will furnish the city two complete sets of as-built construction drawings for the project. 8. Consultation a. The Engineer will be available for consultation during warranty period. Exhibit "B" Summary of Rate Schedule B & F Engineering, Inc. Z. BASE WAGE RATES : B & F Engineering, Inc . Classification (Hourly Rate) Senior Engineer (Principal) 19 . 23 Civil Engineer 16 . 50 Senior Mechanical Engineer Mechanical Engineer 16 . 50 Electrical Engineer 16 . 50 Structural Engineer 16 . 50 Soils Engineer 16 . 50 Sanitary Engineer 16 . 50 Architect (Principal) 22 . 00 Architect 16 .50 Interior Designer 16:50 Landscape Architect 16 . 50 Planner 16 . 50 Estimator 16 . 50 Specification Writer 16 . 50 Draftsman 7 . 00 Construction Inspector 8 . 80 Engineering Technician 8 .80 Clerk 5 . 50 Party Chief (Registered Land Surveyor) 11 . 50 Party Chief (Not RLS) 8 . 00 Instrument Man 6 .50 Rodman/Chainman 5 .50 3-Man Survey Crew (PC, Not RLS) 20 . 00 3-Man Survey Crew (PC is RLS) 23 . 50 4-Man Survey Crew (PC, Not RLS) 25 . 50 4-Man Survey Crew (PC is RLS) 29 .00 2 . OVERHEAD RATES : SEE EXHIBIT C 3 . TRAVEL: $0 . 28 PER MILE 4 . PERDIEM: $50 . 00 PER NIGHT 5 . PRINTING AND REPORDUCTION SERVICES : (a . ) The invoice cost of reproduction work other than that done by B & F Engineering, Inc . (b. ) Fifteen cents (15�) per square foot of blueline prints . (c . ) Twenty-five cents (25C ) per square foot for sepia. (d. ) Ten cents ( lOfi ) per photocopy, for reproductions made by B & F Engineering, Inc . 6 . LONG DISTANCE T. 2PHONE EXPENSES : B & F Engineering ' s actual long distance telephone cost for long distance telephone calls relative to the project. 7 . MISCELLANEOUS EXPENSES : The invoice cost of materials, supplies and services procured by B & F Engineering, Inc . , from outside sources -plus 100 handling and service cost all out-of-pocket expense not included above . Schedule B-1 Exhibit "C" • B S F Engineering, Inc. SCHEDULE OF OPERATING EXPENSES AND OVERHEAD For the Year Ended December 31, 1984 Expenses Directly Indirect Total Chargeable to and General Expenses Professional Services (Overhead) Automobile and truck $ 22,507 $ 12,826 $ 9,681 Bad debts 13,256 13,256 Contract services 76,553 75,650 903 Contributions 4,444 4,444 Depreciation 3,453 3,453 Dues and subscriptions 5,796 5,796 Equipment lease 33,792 33,792 Field supplies 3, 971 2,402 1,569 Freight and postage 2,539 692 1,847 Insurance 35, 736 35,736 Interest 3,692 3,692 Legal and accounting 1,671 1,671 Maintenance and repair 9,037 9,037 Miscellaneous 5,689 2,492 3, 197 Office supplies 7,441 21 7,420 Pension plan 20,236 20,236 Permits and applications 630 630 Program management 5,814 5,814 Rent 37,800 37,800 Reproduction costs 7,380 1, 177 6,203 Salaries 309,478 244, 101 65,377 Taxes - general 4, 142 4,142 Taxes - payroll 23, 919 28,919 Telephone 10, 120 2,349 7,771 Travel and per diem 3,854 3,229 625 Utilities 5, 140 5, 140 Total $ 663, 090 $ 345, 569 $ 317, 521 See accountants compilation report. Schedule B-1 (continued) B & F Engineering, Inc. SCHEDULE OF OPERATING EXPENSES AND OVERHEAD For the Year Ended December 31, 1984 OVERHEAD COMPUTATIONS Total Overhead Indirect and general expenses $ 317,521 Total direct salaries 244, 101 Overhead as a Per Cent of Direct Salaries 130. 08% Per Cent to Direct Overhead Breakdown Amount Salaries Payroll-related overhead: Insurance: Disability $ 1,096 .450 General liability 1,095 .45 Medical 18, 061 7.40 Workmen's compensation 5,588 2.29 Pension plan 20,236 8.29 Taxes - payroll 28,919 11.84 Total Payroll Related $ 74, 995 30.72% All other overhead 242,526 99.36 Total Overhead $ 317,521 130.08% See accountants compilation report.