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Eclipse EngineeringECLIPSE ENGINEERING INC. June 23, 2006 Mr. Fred Leistiko, Airport Manager Kalispell City Airport — S27 P.O. Box 1997 Kalispell, MT 59903 Re: Proposal for Structural Engineering Services 100-foot Hexagon Canopy Kalispell City Airport, Kalispell, Montana Fred, We are pleased to provide this proposal for structural engineering services on the above referenced project. We have based our proposal on our review of the preliminary plan sketch prepared by you. The drawings show a one-story canopy structure in the shape of a hexagon to provide covered parking/storage for six small aircraft. The total square footage is approximately 7,715 square feet. Our Scope of Services includes two phases: construction documents and construction administration. The construction document phase includes the following and will be completed for the lump sum fee of $5,000.00. The construction administration phase is considered services produced after the construction documents are finalized. This phase will be billed on an hourly basis according to our current fee schedule shown on the attached Agreement for Professional Services. This phase is not included in the lump sum amount listed above. In addition, reimbursable expenses will be billed as shown in the following table. 229 EAST FRONT, MISSOULA, MT 59802 PHONE: (406) 721-5733 FAX: (406)721-4988 WWW.ECLIPSE-ENGINEEP-ING.COM Scope of Services Construction Documents Engineering design of the roof framing, and the foundation. Design of these elements includes all beam sizes, joists, columns, footings, and all other structural items needed for adequate support of the structure. 2. Engineering design of the lateral force resisting system including braced frames, moment resisting steel frames (if needed), foundation walls, and anchors to the foundation. 3. AutoCAD drafting of the roof framing plan, foundation plan, lateral force resisting system plan, and all other plans necessary to complete the construction documents. 4. AutoCAD drafting of structural details and wall sections that are necessary to complete the construction documents. 5. An architectural sub -consultant to produce roofing, flashing, eave, fascia and miscellaneous details to complete the drawings as well as a code review to satisfy the building department. 6. General structural notes. 7. Two sets of certified calculations with the State of Montana civil engineering seal. 8. Two sets of certified plans with the State of Montana civil engineering seal. It is intended that you will reimburse us to provide additional sets of plans for certification, if necessary. 9. Our scope of services includes structural and architectural design. We are not qualified to provide electrical engineering, mechanical engineering, civil engineering, or other non-structural/non- architectural services and we assume that you will retain such services from other consultants to complete the design of the building as required by local code. 100-foot Hexagon Canopy Kalispell City Airport Page 2 of 6 The liability extends to only the first building constructed. For each additional building constructed we shall be compensated $2,500.00 or hold no liability for such additional buildings: Our Repetitive Building Liability Fee is in addition to our Construction Documents fee, any other additional services, and the Construction Administration hourly fees described above. Construction Administration These services will include, but are not limited to, the following: 1. Structural engineering support during the construction phase --including consultation with you and the general contractor. 2. The structural review of fabricator's shop drawings. 3. Site observations including time for travel and mileage (from Missoula, MQ, Construction observation reports based on each site observation. 4. Meetings with you or the contractor during the construction phase. 5. Clarification Items to you or the general contractor. 6. Review and response to structural items on the Building Department's plan checklist (if any) and modifications to structural items on construction documents that must be resubmitted to satisfy the building department —if applicable. 7. As always, if an error or omission by us is discovered on the drawings after they have been completed, we shall correct it with revised drawings, a memo or an addendum for no additional fee. Reimbursable Expenses Expense Item $/Unit Postage actual cost Plans: Bond (24 x 36) $2.50/copy Bond (30 x 42) $4.50/copy Vellum $3.00/copy Mylar $6.00/copy Lodging (per diem) (reference Agreement for Professional Services Meals (per diem) for per diem values) Parking actual cost Car Rental actual cost Airfare actual cost Mileage $0.55/mile 100-foot Hexagon Canopy Kalispell City Airport Page 3 of 6 The terms and conditions under which these services are offered will be in accordance with the attached Agreement for Professional Services. If this proposal meets with your approval, please sign the form of agreement and return a copy to our office. We will meet any reasonable time frame your project dictates. This proposal is valid for ninety (90) days. We appreciate the opportunity to submit this proposal and look forward to providing services for you on this project. Sincerely, Eclipse Engineering, c. T L eistiko Principal Engineer Client Statement of Agreement The aforementioned scope of engineering services are consistent with the needs of my proposed project and I hereby authorize Eclipse Engineering to proceed with the services for the Construction Document Phase for a lump sum fee of 5,000.00. The construction administration phase is considered services produced after the construction documents are finalized. This phase will be billed on an hourly basis according to our current fee schedule shown on the attached Agreement for Professional Services. This phase is not included in the lump sum amount listed above. Client Kalispell City Airport Signature Date Printed Name Title 100•foot Hexagon Canopy Kalispell City Airport Page 4 of 6 The Agreement This agreement is made by and between Eclipse Engineering, Inc., of 229 East Front, Missoula, Montana, 59802, hereinafter referred to as EE, and the above listed client hereinafter referred to as CLIENT. This agreement between the parties consists of these terms and the attached proposal and any exhibits or attachments noted in the proposal. Together, these elements will constitute the entire agreement, superseding any and all prior negotiations, correspondence, or agreements either written or oral. Any changes to this agreement must be mutually agreed to in writing. Standard of Care Services provided by EE under this agreement will be conducted in a manner consistent with the level of care and skill ordinarily exercised by members of the engineering profession practicing contemporaneously under similar conditions in the locality of the project. CLIENT shall examine and respond to EE's submissions; and give prompt written notice to EE whenever CLIENT observes or otherwise becomes aware of any defect in the work. Basis of Fees for Professional Services CLIENT agrees to pay EE a Jump sum and/or hourly rates for the scope of work as described in the attached proposal. Hourly rates shall be as summarized below for all services rendered by principals and employees engaged directly on the Project. These rates are subject to change without notice. Hourly rates for the various categories of employees are summarized as follows: Employee Billable Hourly Rate Troy Leistiko, SE, PE $110/hour Rolf Armstrong, PE $1001hour Nick Burnam, PE $901hour Brian Hanson, PE $901hour Jesse Fortune, PE $901hour Gretchen Iman, PE $901hour Lynn Gmeiner, EIT $90/hour Jennifer Brandt $57/hour Ben Powell $57/hour Additional Services CLIENT agrees to pay EE for additional services based upon the hourly rates as listed above. Additional services include services resulting from significant changes in the scope, extent, or character of the portions of the project designed or specified by Engineer or its design requirements including, but not limited to, changes in size, complexity, Owner's schedule, character of construction, or method of financing; and revising previously accepted studies, reports, Drawings, Specifications, or Contract Documents when such revisions are required by changes in Laws and Regulations enacted subsequent to the Effective Date of the signed agreement or are due to any other causes beyond Engineer's control. 100-foot Hexagon Canopy Kalispell City Airport Page 5 of 6 Reimbursables Per Diem Table -Overnight per diem = $150.001da Lodging $106.00 Meals $44.00 Billing and Payment EE shall submit monthly statements for services rendered and for reimbursable expenses incurred. If CLIENT disputes the amount of the billing, CLIENT will notify the EE in writing within ten (10) calendar days of the receipt of bill of the dispute. In the event of late payment, an interest charge at the rate of 1.5% per month will accrue on the unpaid amount For purposes of this Agreement, Late Payment shall be defined as thirty (30) calendar days from the date of receipt of the approved bill. CLIENT agrees that failure to pay EE within ninety (90) days may be considered a breach of this agreement. Termination CLIENT shall have the right to terminate this agreement at any time by giving written notice to EE. This agreement may be terminated by EE in the event of substantial failure of performance by CLIENT, or if CLIENT suspends the work for more than three (3) months. In the event of termination, EE will be paid for services performed prior to the date of termination. If the agreement is terminated by CLIENT, EE shall also be entitled to reasonable termination expenses, including, but not limited to the cost of completing records, and reports necessary to document job status at the time of termination. Legal Relations EE shall comply with all Federal, State, and Local laws and ordinances applicable to the work to be done. EE hereby agrees to indemnify and hold CLIENT harmless from all claims and liability due to the activities of EE, their agents, employees, or both in performing the work required. Any and all employees of EE engaged in the performance of work or services required by this agreement shall be considered employees of EE only and not of the CLIENT. The CLIENT hereby agrees to indemnify and hold the EE harmless from all claims and liability due to the activities of CLIENT, their agents, employees, or both, in performing the work required. EE is and shall perform this agreement as an independent contractor, and as such, is responsible to the CLIENT only as to the results to be obtained in the work herein specified, and to the extent that the work shall be done in accordance with the terms of this agreement. EE shall have and maintain complete control over all of its employees, subcontractors, agents and operations, being responsible for any required payroll deductions and providing required benefits, such as, but not limited to, worker's compensation with statutory limits, and unemployment insurance. This Agreement applies to and shall be binding on the heirs, personal representatives, successors and assignees of the respective parties. Attorney's Fees and Costs In the event it becomes necessary for either Party of this Agreement to retain an attorney to enforce any of the terms or conditions of this Agreement or to give any notice required herein, then the prevailing Party or the Party giving notice shall be entitled to reasonable attorney's fees and costs. 100-foot Hexagon Canopy Kalispell City Airport Page 6 of 6