Agenda 09/14/2010 Item #16K 3
Agenda Item No. 16K3
September 14, 2010
Page 1 of 14
EXECUTIVE SUMMARY
Recommendation to approve a contract with James Lalumiere of PDI, for expert
consulting services in the amount of $87,500 for the case styled John Carlo. Inc. v. Collier
County. Florida, Case No. 07-311-CA (Immokalee Road Improvement Project No. 66042)
(Fiscal Impact $87,500).
OBJECTIVE: That the Board of County Commissioners approve a contract with James
Lalumiere of PDI, for expert consulting services in the amount of $87,500 for the case sytled
John Carlo. Inc. v. Collier County. Florida, Case No. 07-311-CA, (Immokalee Road
Improvement Project No. 66042).
CONSIDERATIONS: On February 5, 2007, John Carlo, Inc., filed a lawsuit against Collier
County alleging damages for delay, breaches of implied covenants and express terms of the
contract, and refusal to pay for construction items, John Carlo is claiming damages in this
lawsuit in the amount of approximately $4.488,922.47. Plaintiff has amended its Complaint t6
increase the number of claims against Collier County. The parties have mediated the case, but
were not able to reach a settlement. As with all construction cases, this case is complex,
involving multiple claims, and includes numerous witnesses. Several hours have been spent on
discovery. Additional depositions are currently being scheduled. Arbitration is scheduled for
November 29,2010, and trial is scheduled to begin in February, 2011.
Pursuant to the County Purchasing Policy, Board approval is needed for the County Attorney's
Office to enter into a contract over $50,000 for expert consulting services in litigation matters.
Attorneys and staff have chosen expert consultant Mr. James Lalumiere of PDI to assist the
County in its defense of the claims in this action. Attached to this Executive Summary is the
proposed contract listing the consultant's scope of services in this lawsuit through trial.
FISCAL IMPACT: Funds in the amount of $87,500 will come from Transportation. Source of
funds are Gas Taxes.
GROWTH MANAGEMENT IMPACT: There is no growth management impact associated
with this Executive Summary.
LEGAL CONSIDERATIONS: This item is legally sufficient for Board action. JWH
RECOMMENDATION: That the Board of County Commissioners approve a contract with
James Lalumiere of PDI, for expert consulting services in the amount of $87,500 for the case
sytled John Carlo. Inc. v. Collier County, Florida, Case No. 07-311-CA, (Immokalee Road
Improvement Project No. 66042).
PREPARED BY: Jacqueline Williams Hubbard, Litigation Section Chief
Agenda Item No. 16K3
September 14, 2010
Page 2 of 14
COLLIER COUNTY
BOARD OF COUNTY COMMISSIONERS
Item Number:
Item Summary:
16K3
Recommendation to approve a contract with James Lalumiere of POI, for expert consulting
services in the amount of $87,500 for the case styled John Carlo, Inc. v. Collier County,
Florida, Case No. 07-311-CA (Immokalee Road Improvement Project No. 66042) (Fiscal
Impact $87,500).
9/14/20109:00:00 AM
Meeting Date:
Prepared By
Jacqueline W. Hubbard
Assistant County Attorney
Date
County Attorney
County Attorney Office
8117/201011:01:20 AM
Approved By
Jacqueline W. Hubbard
Assistant County Attorney
'Date
County Attorney
County Attorney Office
8/17120102:46 PM
Approved By
Norm E. Feder, AICP
Administrator - Transportation
Date
Transportation Division
Transportation Administration
8/18/2010 10:27 AM
Approved By
Najeh Ahmad
Director - Transportation Engineering
Date
Transportation Division
Transportation Engineering &
Construction Management
8125/20106:51 PM
Approved By
Lisa Taylor
Management/Budget Analyst
Date
Transportation Division
Transportation Administration
8/26120109:51 AM
Approved By
Steve Carnell
Director - Purchasing/General Services
Date
Administrative Services
Division
Purchasing & General Services
8/27/20104:57 PM
Approved By
Jeff Klatzkow
County Attorney
Date
8/31/201011:07 AM
Approved By
OMS Coordinator
Date
County Manager's Office
Office of Management & Budget
9/1/20103:21 PM
Approved By
Susan Usher
Management/Budget Analyst, Senior
Date
Office of Management &
Budget
Agenda Item No. 16K3
September 14, 2010
Page 3 of 14
Office of Management & Budget
9/4/201010:20 AM
Approved By
Mark Isackson
Office of Management &
Budget
Management/Budget Analyst, Senior
Date
Office of Management & Budget
9/6/2010 11 :44 AM
I
Agenda Item No. 16K3
September 14, 2010
Page 4 of 14
AGREEMENT
for
PROJECf DEVEWPMENT INTERNATIONAL (pOI), INC.
THIS AGREEMENT, made and entered into on this day of September,
2010, by and between Project Development International, Inc. (PO!), authorized to do
business in the State of Florida. whose business address is 557 Park Street, Dunedin,
Florida, 34698, hereinafter called the "Contractor" (or "Consultant") and Collier County,
a political subdivision of the State of Florida, Collier County, Naples, hereinafter called
the "County":
WITNESSETH:
1. COMMENCEMENT. The Contractor shall conunence the work related to the
Immokalee Road Project (lMR.002) as of the date of this Agreement and/or the issuance of a
Purchase Order associated with this Agreement.
2. STATEMENT OF WORK. The Contractor shalI provide the following
scope of services, including, but not limited to: Examination of documents; formal and
informal discovery; development of resolution strategy; negotiation; technical and
expert witness testimony; litigation support including document control; preparation of
exhibits for trial; settlement documentation; and procurement of other experts as
needed, through mediation and/ or arbitration and trial of this case. This Agreement
contains the entire understanding between the parties and any modifications to this
Agreement shall be mutually agreed upon in writing by the Contractor and the County
project manager or his designee, in compliance with the County Purchasing Policy and
Administrative Procedures in effect at the time such services are authorized.
3. THE CONTRACT SUM. The County shall pay the Contractor for the
performance of this Agreement an estimated maximum amount of Eighty Seven
Thousand Five Hundred Dollars and no cents ($87,500.00), inclusive of a written report,
in accordance with PDI's Proposal letter of November 30, 2009 (Exhibit A). Further
efforts and work scope will be performed only at the written direction of Collier
County, Florida. POI invoices twice per month and services will be provided and
invoiced on an hourly basis in accordance with POI's 2010 Fee Schedule (Exhibit B).
Payment for performance, as well as travel and reimbursable expenses, will be made
upon receipt of a proper invoice and upon approval by the Office of the County
Attorney and the Transportation Department, and in compliance with Chapter 218, Fla.
Stat., otherwise known as the "Local Government Prompt Payment Act." POI reserves
the right to cease work and not to testify on delinquent accounts. In addition to
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Agenda Item No. 16K3
September 14, 2010
Page 5 of 14
invoices rendered and interest thereon, the County shall pay any and all legal fees and
costs incurred by POI in collecting its account. Deposition time and attendance at any
formal or informal hearing for the purposes of mediation, arbitration, or litigation may
be billed on a minimum either (8) hour per day basis. In the event PDI is called as a
witness by any party or by the County, to testify with respect to any matter about which ,
it has obtained information while performing services under this Agreement, the
County shall pay PDI its fees for its time and preparation in accordance with the Fee
Schedule attached. POI will credit or not bill for deposition payment received from
other parties.
TRAVEL AND REIMBURSABLE EXPENSES
Travel and Reimbursable Expenses must be approved in advance in writing by the
County. Travel expenses shall be reimbursed as per Section 112.061, Fla. Stat.
Reimbursements shall be at the following rates:
Milea~ $0.445 Der mile
Breakfast $6.00
Lunch $11.00
Dinner $19.00
Airfare Actual ticket cost limited to tourist or
coach class fare
Rental car Actual rental cost limited to compact or
standard.size vehicles
Lodging Actual cost of lodging at single
occupancy rate with a cap of no more
than $150.00 J)eI' nig;ht
Parking; Actual cost of parking;
Taxi or Airport Actual cost of either taxi or airport
Umousine limousine
Reimbursable items other than travel expenses shall be limited to the following:
telephone long-distance charges, fax charges, photocopying charges and postage.
Reimbursable items will be paid only after Contractor has provided all receipts.
Contractor shall be responsible for all other costs and expenses associated with activities
and solicitations undertaken pursuant to this Agreement.
4. SALES TAX Contractor shall pay all sales, consumer, use and other
similar taxes associated with the Work or portions thereof, which are applicable during
the performance of the Work.
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Agenda Item No. 16K3
September 14, 2010
Page 6 of 14
5. NOTICES. All notices from the County to the Contractor shall be deemed duly
served if mailed or faxed to the Contractor at the following Address:
Project Development International, Inc.
557 Park Street
Dunedin, Florida 34698
Telephone: 800-PDI-7888
Telephone: 727.734-8589
Facsimile: 727-736-1913
All Notices from the Contractor to the County shall be deemed duly served if mailed or
faxed to the County to:
Collier County Government Center
Purchasing Department - Pur~sing Building
3301 Tamiami Trail, East
Naples, Florida 34112
Attention: Steve Carnell, Purchasing/ GS Director
Telephone: 239-252-8371
Facsimile: 239-252-6584
The Contractor and the County may change the above mailing address at any time
upon giving the other party written notification. All notices under this Agreement must
be in writing.
6. NO PARTNERSHIP. Nothing herein contained shall create or be construed
as creating a partnership between the County and the Contractor or to constitute the
Contractor as an agent of the County.
7. COMPUTER PROGRAMS. POI reserves the right to use certain
proprietary computer programs to which it has access. These computer programs may
be owned by PDI or leased or otherwise available to PDI. PDI may rent the use of these
programs and pass along these charges. Such charges shall not entitle the County to
any knowledge of the computer programS in any part or their entirety.
8. NO IMPROPER USE. The Contractor will not use, nor suffer or permit any
person to use in any manner whatsoever, County facilities for any improper, immoral
or offensive purpose, or for any purpose in violation of any federal, state, county or
municipal ordinance, rule, order or regulation, or of any governmental rule or
regulation now in effect or hereafter enacted or adopted. In the event of such violation
by the Contractor or if the County or its authorized representative shall deem any
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Agenda Item No. 16K3
September 14, 2010
Page 7 of 14
conduct on the part of the Contractor to be objectionable or improper, the County shall
have the right to suspend the contrad of the Contractor. Should the Contractor fail to
correct any such violation. conduct, or practice to the satisfaction of the County within
twenty-four (24) hours after receiving notice of such violation, condud, or practice, such
suspension to continue until the violation is cured. The Contractor further agrees not to
commence operation during the suspension period until the violation has been
corrected to the satisfaction of the County.
9. TERMINATION. Should the Contractor be found to ,have failed to perform his
services in a manner satisfactory to the County as per this Agreement, the County may
terminate said agreement for cause; further the County may terminate this Agreement
for convenience with a thirty (3D) day written notice. The County shall be sole judge of
non-performance.
PDI shall not be held liable for any delay or failure to perform the work described in the
Agreement if such delay or failure is caused directly or indirectly by fire, flood, ..
explosion, other casualty, strike, labor disturbance, state of war, insurrection, riot,
government regulations, either existent or future restrictions, appropriations, or any
other cause beyond the control of POI.
10. NO DISCRIMINATION. The Contractor agrees that there shall be no
discrimination as to race, sex, color, creed or national origin.
11. INSURANCE.
The Contractor shall provide insurance as follows:
A. Commercial General Uability: Coverage shall have minimum limits of
$1,000,000 Per Occurrence, Combined Single Limit for Bodily Injury Liability and
Property Damage Liability. This shall include Premises and .Operations; Independent
Contractors; Products and Completed Operations and Contractual Liability.
B. Business Auto Liability: Coverage shall have minimum limits of $500,000 Per
Occurrence, Combined Single Limit for Bodily Injury Liability and Property Damage
Liability. This shall include: Owned Vehicles, Hired and Non-Owned Vehicles and
Employee Non-Ownership. I
C. Workers' Compensation: Insurance covering all employees meeting Statutory
Umits in compliance with the applicable state and federal laws.
The coverage must include Employers' Liability with a minimum limit of
$500,000 for each accident.
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Agenda Item No. 16K3
September 14, 2010
Page 8 of 14
~l Requirements: Collier County Government shall be listed as the Certificate
Holder and included as an Additional Insured on the Comprehensive General liability
Policy. A copy of the Insurance Certificate is attached (Exhibit q.
Current, valid insurance policies meeting the requirement herein identified shall be
maintained by Contractor during the duration of this Agreement. Renewal certificates
shall be sent to the County ten (10) days prior to any expiration date. There shall be a
thirty (30) day notification to the County in the event of cancellation or modification of
any stipulated insurance coverage.
Contractor shall insure that all subcontractors comply with the same insurance
requirements that he is required to meet. The same Contractor shall provide County
with certificates of insurance meeting the required insurance provisions.
12. . INDEMNIFICATION. To the maximum extent permitted. by Florida law, the
Contractor/Vendor/Consultant shall indemnify and hold harmless Collier County, its
officers and employees from any and all liabilities, damages, losses and costs, including,
but not limited to, reasonable attorneys' fees and paralegals' fees, to the extent caused
by the negligence, recklessness, or intentionally wrongful conduct of the
Contractor/Vendor/Consultant or anyone employed or utilized by the
Contractor/Vendor/Consultant in' the performance of this Agreement. 1bis
indemnification obligation shall not be construed to negate, abridge or reduce any other
rights or remedies which otherwise may be available to an indemnified party or person
described in this paragraph.
This section does not pertain to any incident arising from the sole negligence of Collier
County.
13. CONTRACT ADMINISTRATION. This Agreement shall be administered
on behalf of the County by the County Attorney Office and Transportation Department
14. CONFLIeI' OF INTEREST. Contractor represents that it presently has no
interest and shall acquire no interest, either direct or indirect, which would conflict in
any manner with the performance of services required hereunder. Contractor further
represents that no persons having any such interest shall be employed to perform those
services.
15. COMPONENT PARTS OF TIllS CONTRACT. This Contract consists of
the attached component parts, all of which are as fully a part of the contract as if herein
set out verbatim: Contractor's Proposal letter - Exhibit A; 2010 Hourly Fee Schedule -
Exhibit B; and Exhibit C . Insurance Certificate.
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Agenda Item No. 16K3
September 14, 2010
Page 9 of 14
16. SUBJECT TO APPROPRIATION. It is further understood and agreed by
and between the parties herein that this agreement is subject to appropriation by the
Board of County Commissioners.
17. PROHmlTlON OF GIFTS TO COUNTY EMPLOYEES. No organization or
individual shall offer or give, either directly or indirectly, any favor, gift, loan, fee,
service or other item of value to any County employee, as set forth in Chapter 112, Part
Ill, Florida Statutes, Collier County Ethics Ordinance No. 2004-05, and County
Administrative Procedure 5311. Violation of this provision may result in one or more of
the following consequences: a) Prohibition by the individual, firm, and/ or any
employee of the finn from contact with County staH for a specified period of time; b)
Prohibition by the individual and { or firm from doing business with the County for a
specified period of time, including but not limited to: submitting bids, RFP, and/or
quotes; and, c) immediate termination of any contract held by the individual and/or
!inn for cause.
18. IMMIGRATION LAW COMPLIANCE. By executing and entering into
this agreement, the Contractor is formally acknowledging without exception or
stipulation that it is fully responsible for complying with the provisions of the
Immigration Reform and Control Act of 1986 as located at 8 V.S.C. 1324, et seq. and
regulations relating thereto, as either may be amended. Failure by the Contractor to
comply with the laws referenced herein shall constitute a breach of this agreement and
the County shall have the discretion to unilaterally tenninate this agreement
immediately.
19. OFFER EXTENDED TO OrnER GOVERNMENTAL EN I fIlES. Collier
County encourages and agrees to the successful proposer extending the pricing, terms
and conditions of this solicitation or resultant contract to other governmental entities at
the discretion of the successful proposer. .
20. AGREEMENT TERMS. If any portion of this Agreement is held to be void,
invalid, or otherwise unenforceable, in whole or in part, the remaining portion of this
Agreement shall remain in effect.
21. ADDmONAL ITEMSISERVICES. Additional items and{ or services may
be added to this contract upon satisfactory negotiation of price by the Contract Manager
and Contractor.
22. DISPUfE RESOLUfION. Prior to the initiation of any action or
proceeding permitted by this Agreement to resolve disputes between the parties, the
parties shall make a good faith effort to resolve any such disputes by negotiation. The
negotiation shall be attended by representatives of Contractor with full decision.making
authority and by County's staff person who would make the presentation of any
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Agenda Item No. 16K3
September 14, 2010
Page10of14
settlement reached during negotiations to County for approval. Failing resolution, and
prior to the commencement of depositions in any litigation between the parties arising
out of this Agreement, the parties shall attempt to resolve the dispute through
Mediation before an agreed-upon Orcuit Court Mediator certified by the State of
Florida and pursuant to the Construction Industry Mediation Rules of the American
Arbitratioll Association currently in effect. A Request for Mediation shall be filed, in
writing, with the other party to the Contract. The request may be made concurrently
with the filing of legal or equitable proceedings, which shall be stayed pending the
outcome of mediation which must be completed within sixty (60) days from the date
that a request for mediation is submitted to the other party, unless otherwise agreed to
by written agreement of the parties. The statute of limitations of any claim shall be
tolled form the date mediation is requested until completed. To the extend the parties
cannot mutually select a mediator, within fifteen (15) days from the date a Request for
Mediation has been submitted, either party can request the American Arbitration
Association to appoint a mediator with construction experience to serve as mediator.
The mediation shall be attended by representatives of Contractor with full decision.
making authority and by County's staff person who would make the presentation of
any settlement reached at mediation to County's board for approval. Should either
party fail to submit to mediation as required hereunder, the other party may obtain a
court order requiring mediation under Section 44.102, Fla. Stat.
All disputes for collection of monies due under this Agreement shall be limited to FOr s
entitlement to the charges by POI under this Agreement exclusive of any counter, cross,
or offsetting claims by the County. The following claims shall not be a part of any
action against POI in any dispute for collection of monies under this Agreement: cross
claims or offsetting claims of any kind, by the County or any other person or party
hereto, for losses or damages, regardless of whether such claim arises out of or relates to
services performed by PDI under this Agreement.
Any suit or action brought by either party to this Agreement against the other party
relating to or arising out of this Agreement must be brought in the appropriate federal
or state courts in Collier County, Florida, which courts have sole and exclusive
jurisdiction on all such matters.
23. KEY PERSONNEUPROTECT STAFFING: The proposer's personnel and
management to be utilized for this project shall be knowledgeable in their areas of
expertise. The County reserves the right to perform investigations as may be deemed
necessary to insure that competent persons will be utilized in the performance of the
contract. Selected firm shall assign as many people as necessary to complete the project
on a timely basis, and each person assigned shall be available for an amount of time
adequate to meet the dates set forth in the Project Schedule. Firm shall not change Key
Personnel unless the following conditions are met: (1) Proposed replacements have
substantially the same or better qualifications and/ or experience. (2) that the County is
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Agenda Item No. 16K3
September 14, 2010
Page 11 of 14
notified in writing as far in advance as possible. Finn shall make commercially
reasonable efforts to notify Collier County within seven (7) days of the change. The
County retains final approval of proposed replacement ~nnel.
IN WITNESS WHEREOF, the Contractor and the County, have each, respectively,
by an authorized person or agent, hereunder set their hands and seals on the date and year
first above written.
Al1~"':
Dwight E. Brock, Oerk of Courts
BOARD OF COUNTY COMMISSIONERS
COLUER COUNTY, FLORIDA
By:
By:
Fred W. Coyle, Chairman
(SEAL)
Dated:
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:tb-t{,~ k !k.lli~
First Witness
INTERNATIONAL,
"-. .,'... ;,..
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Valerie K. Trelles
trype/print~tnessruunet
tJ~tI~
Second Witness
By: i ~:~ ~
( James E. Lalumiere --
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Elaine H. Hepbu~n
tTypejprint witness namet
Approved as to form and
legal sufficiency:
~
Jacqueline W. Hubbard
Litigation Section Chief
O4-COA.() 1 0301415
8
Agenda Item No. 16K3
September 14, 2010
Page 12 of 14
Office of the County Attorney
Collier County
3301 East Tamlaml Trail
Naples. FL 34112-4902
Attn: Ms. Jacqueline Williams Hubbard, Esq.
Re: John Carlo, Inc. V. Collier County
Immokalee Road Project
55'1 PIlk $NeI. tu.iiI, A. _I'" m. 734.1581-11I.134."
18r.'/'J'I.'I!6.1913 I ....,lIluII.Il..
no.... IIrIII1lis I RIo.... 1 SriIgII
November 3D, 2009
Dear Ms. Hubbard:
It was a pleasure to visit with you last week. Please refer to our Disputes Anatysis
System primer available on our webSite, www.PdiUsa.com. for a description ,of our
phased analysis approach to a typical construction claim. We would be happy to
discuss any oUhis information with you at any time.
We are hereby furnishing you with a not-to-exc:eed price .proposal to provide an Interim
Phase assessment, in accordance with our Disputes Analysis System, for the above
referenced case. The following generally described documents. among others, will be
reviewed to complete this Interim Phase assessment for the referenced case:
1. Project Correspondence;
2. John Cario Subcontractor Files;
3. John Cano Daily Reports;
4. Project Progress Photographs;
5. John Carlo Change Orders;
6. John Carlo Requests for lnfonnation:
7. Project progress meeting minutes:
8. Project Schedule Data and reports;
9. Ongoing legal pleadings and filings; and
10. Project Cost Data.
POI, has received copies of the generally described documents listed above. They are
contained within the ten bankers boxes as well as electronic files we have received to
date.
POI will provide an Jnterim Phase assessment in accordance with the activities
described in POI's Disputes Analysis System primer, and based on the project
documentation referenced in this Proposal. Please note that this Interim Phase
assessment includes a detailed schedule analysis, the creation of an as-built Project
schedule summary, further detailed analyses of all identifted technical issues, and a
Project oost analysis to the extent pennitted by the availabtlityof John Carlo cost data
detail. We currently have in our possession a ~y of a JCI 853 page Job Cost Detail
EXHlsrr
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Guiding your projects from the ground up.
I
.
. . .
. Ag~nda Item. No: ,161\3
September 14, 2010
Page 13 of 14
-
I ',' t. K I J ;, I I C) N A I
Ms. Jacqueline Williams Hubbard, Esq.
November 30, 2009
Page 2 'of 2
Report dated 7/24109.
Assistance requested by' Counsel during the .time period from the start of the Interim
Phase assessment to the date of delivery of the Interim Phase assessment Report,
which is outside the scope of work described herein will be identified a8 such and
invoiced .in addition to the seMces'desaibed .in this'Proposalln accordance with POI's
2009 Fee Schedule. POt hereby offers to perform the services de$cribed herein ~n
accordance with our 2009 Fee ,SeheeJule for a not.to-exceed amount. of $87,500.00,
inclusive of a written Interim 'Ph$Se Report
As always, POI will.omy invoice for actual time spent and expenses incurred in
accordance wtth our 2009 Hourty Fee Schedule (copy enclosed). Actual time and
expenses may be less than estimated. POI's pri<::e proposal contemplates the
production of a written Interim Phase.Report presentation. POI's offer is inclusive of
time and expenses for attendance at threemeetip9a to be held in Naples, FL, incSuSive
of a meeting to review POI's Interim Phase.findlngS. Please nOte that POt offe~ a 5%
discount for man hour service charges for 15 day invoice turnaround as detailed in our
2009 Fee Schedule.
Please feel free to contact our Dunedin offices at any time should you have any
questions or oomments regarding any or aU of this information. We have also enclosed
a draft oopy of our standard Agreement fonn for your perusal. We can provide
executable originals at your request. Thank you once again for your interest in POI
srrviceS. We look forward to working with you in the near future.
*E truly your&,
{:.
: ames E. lalumiere
President
.i
enclosures
cc: Mr. Paul Ullom, Esq.
JEUeht
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AGREEMENT
PROJI!CT DEVELOPMENT INTERNATIONAL, INC.
2010 Hourly Fee Schedule
PrincipaL......... .n..n........ ............... ........ ........ ................. .......
Senior Consultant,,,,.....,..... ...."... ,."..................................,... ."
Project Manager.............. .... ...n.................. ..... ._nn.................
Scheduling Analyst......... ...... ....... .... ..........n......... .............,...
Senior Analyst..................... .............. .................... .................
Project Analyst.................... ........ ............................ ...............
Research Associate....... ............. ... .n..... m.............. ...............
Technical Assistant....... ........................................................
Computer System Services............ ........ ............. .......... .........
....**
Agenda Item No. 16K3
September 14, 2010
Page 14 of 14
$250.00
$185.00
$170.00
$150.00
$130.00
$105.00
$85.00
$55.00
$50.00
Houny rates do not include costs of travel, film, videotape and eqt.ipment, reproduction, excea supplies,
special hendllng, tel.x, facsimile, outside consultants. and similar reimbursable costs, which if any, are
passed through at cost. Deposition and testimony time msy be billed on a minimum eight (8) hour per
day basis. Firm travel is charged at full service hourly rates whon necessarily incurred during regular
business hours. Regular business hours are defined as the hours of 8:00 AM through 5:00 PM, Monday
through Friday, U.S. Eastern Standard Time. Firm travel Is billed at one-half the applicable eervloe
hourly rate when Incurred at all other times. All attempts will be made by POI personnel to maximize the
usefulness of all travel time through the performance of meaningful work on behalf of the Client during
such time.
POI will allow Client to pay ninety...five percent (95%) of the stated manhour service fees invoiced by POI,
plus one hundred percent (100%) of any approved relmburaable ex-pen.." as full and sufficient payment
of the current Invoice If payment is received by POI by the fifteenth calendar day following POI's current
Invoice Date. Any and all reimbursable expenses Included as pert of POI's invoice are not eligible for
the five percent (5%) discount applied to manhour services. A service retainer may be required to
engage POI services.
EXHIBIT
I-B-
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roject Development International
Page 70f7