ORDER NO.29744 RENEWAL OF CONTRACT WITH HILL COUNTRY ALTERNATIVE DISPUTE RESOLUTION CENTER Came to be heard this the 26th day of June, 2006, with a motion made by Commissioner Letz, seconded by Commissioner Williams. The Court unanimously approved by vote of 3-0-0 to: Approve the Contract as submitted at $17,000 with the only payment to be made as to what is currently budgeted ($12,500), until a budget amendment is approved by the Court ~~~yy 'r' COMMISSIONERS' COURT AGENDA REOUEST PLEASE FURNISH ONE ORIGINAL AND TEN COPIES OF THIS REOUEST AND DOCUMENTS TO BE REVIEWED BY THE COURT. MADE BY: Ed Reaves MEETING DATE: June 26, 2006 OFFICE: Hill Country ADR Center TIME PREFERRED: Early SUBJECT: Renewal Of Contract EXECUTIVE SESSION REQUESTED: (PLEASE STATE REASON) N/A NAME OF PERSON ADDRESSING THE COURT: ED REAVES ESTIMATED LENGTH OF PRESENTATION: 5 MINUTES IF PERSONNEL MATTER -NAME OF EMPLOYEE: N/A Time for submitting this request for Court to assure that the matter is posted in accordance with Title 5, Chapter 551 and 552, Government Code, is as follows: Meeting scheduled for Mondays: 5:00 P.M. previous Tuesday. THIS REQUEST RECEIVED BY: THIS REQUEST RECEIVED ON: All Agenda Requests will be screened by the County Judge's Office to determine if adequate information has been prepazed for the Court's formal consideration and action at time of Court Meetings. Your cooperation will be appreciated and contribute towards your request being addressed at the earliest opportunity. See Agenda Request Rules Adopted by Commissioners' Court. #29744 "HCADRC"CONTRACT STATE OF TEXAS § COUNTY OF KERB § WHEREAS, the Ken County Commissioners Court, hereinafter "COUNTY", a political subdivision of the State of Texas, has the authority, under § 152.002, Texas Civil Practice & Remedies Code, as amended, to contract for alternative dispute resolution services, as defined in Section 152.001, Texas Civil Practice & Remedies Code, as amended, and WHEREAS, the Hill Country Alternative Dispute Resolution Center, hereinafter "HCADRC," a Texas non-profit corporation, has been formed for the purpose of and is engaged in providing alternative dispute resolution services; WHEREAS, HCADRC has contracted with COUNTY to provide these services in said COUNTY and has been doing so since October, 2002, and HCADRC desires to continue this relationship by renewing its contract with COUNTY to provide those services to the citizens of Ken County and the Hill Country region (hereinafter "citizens"); IT IS THEREFORE AGREED THAT: 1. Consideration. In consideration for the services described below to the citizens, HCADRC shall be entitled to (a) utilize space in the Ken County Courthouse for mediation services as approved by the Kerr County Commissioners Court and affected elected officials, and (b) receive a lump sum of $17,000.00 from the COUNTY for its fiscal year October 1, 2005 -September 30, 2006. Such amount shall be disbursed by the COUNTY to HCADRC on or after July 1, 2006, upon written request from HCARDC. 2. Services. HCADRC will provide services to citizens through the Ken County Justices of the Peace courts, the County Court, Ken County Court at Law and the 198a' and 216111 Judicial Districts, other Kerr County courts, as follows: Page 1 of 5 Alternative dispute resolution services to all residents of COUNTY on a low cost basis. 3. IRS classification. HCADRC is atax-exempt non-profit 501(c)(3) corporation. Its IRS EIN is 3 645 063 1 9. 4. Financial and Performance reports. A copy of HCADRC's independent end-of--year financial report of all expenditures and income for the calendar year 2005 is attached. Also attached is a copy of HCADRC's performance review for calendaz yeaz 2005. 5. Term. The Term of this agreement is one yeaz beginning on October 1, 2005, and ending on September 30, 2006, unless eazlier terminated by either party on thirty (30) days written notice. The date of the commencement of the term of said agreement may be modified by agreement of the parties. 6. Use of funds. The moneys paid to HCADRC shall be expended solely for the provision of salaries to employees of HCADRC and operational expenses of HCADRC in COUNTY. 7. Books and records. All books and records of HCADRC shall be open for inspection during normal business hours to any member of the public, the Kerr County Auditor, and such persons or entities as may be given that authority, in writing, by the COUNTY, provided, however, that this clause shall in no way be construed to override the provisions of the Federal Privacy Act or other state or federal law or regulation concerning the disclosure of confidential or privacy matters. 8. Non-exclusion. This contract is not exclusive and COUNTY reserves the right to contract with additional parties for the provision of the aforementioned services to the courts and other Kerr County departments engaged in the providing of alternative dispute services to residents of Ken County. 9. Effective date. This agreement is effective upon approval by Order of the COUNTY. 10. Non-discrimination. HCADRC agrees to operate under a policy of non- discrimination with regard to the provision of said services. Such policy shall prohibit discrimination by HCADRC's employees or principals on the basis of race, sex, age, religion, color, handicap, disability, national origin, language, political affiliation, political belief or other non-merit factor. Any act of discrimination shall constitute a material breach of this contract. Page 2 of 5 11. Sexual hazassment prohibited. HCADRC further agrees to adopt and maintain a policy that prohibits sexual hazassment. Any act of sexual harassment by HCADRC'S employees or principals constitutes a material breach of this contract. 12. Aonlicable laws. HCADRC agrees to comply with any and all applicable laws, local, state, and federal, regazding work hours, safety, wages, social security benefits, discrimination and/or workers compensation. This clause places a duty to meet the requirements of such laws only if the law itself places such a duty on HCADRC. Any act in violation of any of those laws or ordinances shall constitute a material breach of this contract. 13. Default. a. In the event either party shall fail to keep, observe or perform any covenant, agreement, term or provision of this contract to be kept, observed or performed by such party, respectively, and such default shall continue for a period of ten (10) days after notice thereof by the non- defaulting party to the other, then in any such event the non-defaulting party shall be entitled to terminate this contract. b. No delay on the part of either party in exercising any right, power or privilege shall operate as a waiver thereof, nor shall any single or partial exercise of any right, power or privilege constitute such a waiver nor exhaust the same, which shall be continuing. No notice to or demand on either party in any case shall entitle such party to any other or further notice or demand in similaz or other circumstances, or constitute a waiver of the rights of either party to any other or further action in any circumstances without notice or demand. 14. Successors and assigns. This contract shall inure to the benefit of, and be binding upon, the parties hereto and their respective heirs, legal representatives, successors and assigns; provided that HCADRC may not assign this contract without COiJNTY' S prior written consent. 15. Governing law. This contract shall be governed by and construed and interpreted in accordance with the laws of the State of Texas. This contract shall be enforceable in Kerr County, Texas and venue shall also lie in Ken County, Texas. 16. Notices. Any notice or communication hereunder must be in writing, and may be given by registered or certified mail; if given by registered or certified mail, same shall be deemed to have been given and received when a registered or certified letter containing such notice, properly addressed, with postage prepaid, is Page 3 of 5 deposited in the United States mail; and if given otherwise than by registered mail, it shall be deemed to have been given when delivered to and received by the party to whom it is addressed. Such notices or communications shall be given to the parties hereto at the addresses set forth below. Any party hereto may at any time by giving ten (10) days written notice to the other party hereto designate any other address in substitution of the address given below to which such notice or communication shall be given. 17. Severability. If any term, covenant or condition of this contract or the application thereof to any person or circumstance shall, to any extent, be invalid or unenforceable, the remainder of this contract or the application of such term, covenant or condition to persons or circumstances other than those as to which it is invalid or unenforceable, shall not be affected thereby, and each term, covenant or condition of this contract shall be valid and shall be enforced to the fullest extent permitted bylaw. 18. Relationship. The parties hereby agree that this contract is for the provision of the services described herein and hereby renounce the existence of any other relationship. In no event shall COUNTY have any obligation or liability whatsoever with respect to any debts, obligations or liabilities of HCADRC, and HCADRC shall have no authority to bind COUNTY to any contract, matter or obligation. No duties of COUNTY aze delegated to HCADRC by this contract and any provision which is or may be held to be such a delegation shall be of no force or effort. 19. Modification and termination. This contract may be amended, modified, terminated or released only by written instrument executed by COUNTY and HCADRC, except as herein otherwise provided. 20. Total agreement. This contract is a total and complete integration of any and all undertakings existing between the parties hereto and supersedes any prior oral or written agreements, promises or representations between them. The headings of the vazious pazagraphs of this contract are for convenience only, and shall not define, interpret, affect or prescribe the meaning and interpretation of the provisions of this contract. Page 4 of 5 COUNTY By' PaY Tu ey Kerr County Judge Date: (~ ~ ~~ -~~O a ~~ ~ ~ /"~' . 2 ~~~ HCADRC By: Ilse D. Bailey, President, of the HCADRC Board Date: ~'Z NOTICES COUNTY: HCADRC: Ken County Commissioners Court Ed Reaves c/o Ken County Judge Executive Director, HCADRC 700 Main Street 327 Earl Garrett, Suite 108 Kerrville, Texas 78028 Kerrville, Texas 78028 Page 5 of 5 '10:06 AM ozlzalos Cash Basis Hill Country ADR Center Inc Balance Sheet As of December 31, 2005 Dec 31, 05 ASSETS Current Assets CheckinglSavings Bank of the Hills CD Checking Savings Total Bank of the Hills Community Foundation of the HC Total CheckinglSavings Other Current Assets NSF Checks Total Other Current Assets Total Current Assets Fixed Assets Furniture & Equipment Original Cost Furninture & Equipment Total Original Cost Total Furniture & Equipment Total Fixed Assets Other Assets Rent Security Deopsit Total Other Assets TOTAL ASSETS LIABILITIES & EQUITY Liabilities Current Liabilities Other Current Liabilities Note Payable H C Business Machines Total Note Payable Payroll Liabilities Adjustment Overpayment IRS Federal WHT FICA Company FICA Employee 0.00 -1,130.86 6,127.58 4,996.72 8,076.17 _. 13,072.89 0.00 __0.00 13,072.89 7,168.05 7,168.05 7.168.05 7,168.05 250.00 - - ---- 250.00 __ 20,490.94 1, 000.00 1,000.00 0.20 405.99 235.60 235.60 Dec 31, 04 2,500 00 1, 305.59 24,180.88 27,986.47 7,739.51 35,725.98 128.00 128.00 35,853.98 4,168.05 4, t 68.05 4,168.05 4,168.05 250.00 250.00 40,272.03 0.00 -10.00 392.01 229.40 229.40 0.00 Page 1 10:06 AM ozizaios Cash Basis Medicare Company Medicare Employee Total Payroll Liabilities Total Other Current Liabilities Total Current Liabilities Total Liabilities Equity Retained Earnings Net Income Total Equity TOTAL LIABILITIES & EQUITY sill Country ADR Center Inc Balance Sheet As of December 31, 2005 Dec 31, 05 55.11 55.11 987.61 1, 987.61 1, 987.61 1,987.61 39,323.92 -20,820.59 18,503.33 20,490.94 Dec 31, 04 53.65 53.65 948 11 948.11 948.11 948.11 25, 615.14 13, 708.78 39,323.92 40,272.03 Page 2 '10:07 AM Hill Country ADR Center Inc ozl2alos Profit & Loss cash saris January through December 2005 Ordinary IncomelExpense Income Contributions Income County Funding In-Kind United Way Unrestricted Total Contributions Income Fund Raiser Belks Snow Ball Total Fund Raiser Program Fees Mediation Total Program Fees Services Training Mediator Total Services Total Income Expense Advertising Website Upkeep Advertising -Other Total Advertising Bank Service Charges Dues and Subscriptions Insurance Health Liability Insurance Notary Workmen's Compensation Total Insurance Licenses and Permits Miscellaneous Office Supplies Payroll Expenses Salary Total Payroll Expenses Postage and Delivery Printing and Reproduction Jan -Dec OS Jan -Dec 04 31,460 .00 43,040 .00 1,200 .00 1,500 .00 0 .00 637 .50 30 .00 80 .00 32,690.00 45,257.50 0.00 738.75 0.00 2,400.00 0.00 3,138.75 18,228.50 19,427.50 18,228.50 19,427.50 425.00 10,500.00 425.00 10,500.00 51,343.50 78,323.75 852.50 0.00 669.86 171.45 1,522.36 171.45 35.00 16.50 599.59 160.00 599.90 0.00 1,655.00 1,455.00 71.00 140.00 686.00 __ - 665.00 3,011 .90 2,260. 00 0 .00 50. 00 25 .00 0. 00 3,128 .83 1,694 .77 44,925.00 41,991.26 __ - 44,925.00 41,991.26 119.22 332.26 40.00 113.00 Page 1 10:07 AM Hill Country ADR Center Inc 02124/os Profit & Loss cash Basis January through December 2005 Jan -Dec OS Jan -Dec 04 Professional Fees Accounting 1,200 00 1,500.00 Consulting 50.00 0.00 Mediation 390.00 0.00 Office 196.50 0.00 Total Professional Fees 1,836.50 1,500.00 Program Expense Training Conference 230.00 244.00 Training Supplies 283.12 1,107.18 Total Program Expense 513.12 1,351.18 Rent 8,600.00 7,800.00 Repairs Computer Repairs 450.48 0.00 Equipment Repairs 575.00 0.00 Total Repairs 1,025.48 0.00 Return Check 0.00 205.00 Supplies Office 0.00 276.85 Total Supplies 0.00 276.85 Taxes Payroll FICA 2,785.35 2,603.46 Medicare 651.42 608.88 Total Taxes Payroll 3,436.77 3,212.34 Telephone 2,603.29 2,810.04 Travel & Ent Meals 534.87 0.00 Travel 895.52 1,093.71 Total Travel & Ent 1,430.39 1,093.71 Total Expense 72,852.45 65,038.36 Net Ordinary Income -21,508.95 13,285.39 Other Income/Expense Other Income Interest Income 351.70 183.88 Other Income Foundation 336.66 239.51 Total Other Income 336.66 239.51 Total Other Income 688.36 423.39 Net Other Income 688.36 423.39 Net Income -20,820.59 13,708.78 Page 2 EXHIBIT B TO HCADRC CONTRACT Hill Country Alternative Dispute Resolution Center, Inc. 327 Earl Garrett, Suite 108, Kerrville, TX 78028 830-792-5000 Toll Free 888-292-1502 PERFORMANCE REPORT CALENDAR YEAR 2005 During calendar year 2005, the Hill Country Alternative Dispute Resolution Center (HCADRC) held a total of 104 mediations, compared with 105 cases conducted during 2004. Through May of 2006 we have done 50% more mediations (63) than through May of 2005 (41 ). Since 2002, the HCADRC has mediated approximately 400 cases. Each one of the mediations held during 2005 consisted of at least two parties, and we often had more than one party on a side. Altogether we served approximately 250 clients during 2004. About 110 clients were Kerr County residents. During 2005, we mediated a total of 53 cases involving disputes within Kerr County. This included 198~h District Court cases, 216~h District Court cases, Kerr County Court at Law cases, and pre-litigation cases. Volunteer mediators provided a total of 410 mediation hours during 2005 for HCADRC cases. HCADRC trained 11 new volunteer mediators during 2005. The types of Kerr County cases which the HCADRC mediated last year included divorce/custody suits (including paternity, child support and modification actions); Child Protective Service cases; contract disputes; personal injury cases; debt collection cases; real estate cases; partnership dissolution; and will disputes. The HCADRC uses only trained mediators. Our mediators include attorneys, retired judges, and highly qualified individuals from a variety of other professions. Cases may be held at the request of the parties, or by court referral. Successful mediation helps to relieve overcrowding in our courts, and can save the parties a great deal of anguish and expense. The parties tend to be much more satisfied with a settlement that they have helped to craft, and such solutions are more apt to stand the test of time. The funding which the Kerr County Commissioners' Court provided is greatly appreciated. Sincerely, ~~1ti~22~~~~ J. Edward Reaves, Jr. Executive Director May 31, 2006