05-032.00 Clearwater Research: Cable Service Surveysp`corik7ane
Valley
11707 E Sprague Ave Suite 106 ♦ Spokane Valley WA 99206
509.921.1000 ♦ Fax: 509.921.1008 ♦ cityhall@spokanevalley.org
Memorandum.
Date: May 23, 2005
To: Dave Mercier, City Manager
From: Morgan Koudelka, Administrative Analyst 'r' ),O-� r p/I d)-ly
Re: Contract with Clearwater Research to Perform Cable Survey
Two vital parts of the formal cable franchise renewal process are assessing the past performance
of the current cable operator and determining the future cable and technology needs of the
community. In our case, the City would then determine, based on the assessment of past
performance and the evaluation of the technical capacity, if Comeast is capable of meeting the
needs of the community.
Past performance of the cable operator and future cable needs of the community are typically
provided through a survey of residents of the conununity. Spokane Valley is utilizing this
method as well. Two proposals by the City were received for conducting 400 random telephone
surveys of Spokane Valley residents. Moss and Barnett, cable franchise consultants, issued a
separate proposal for this type of survey and determined that the best proposal was from Issues
and Answers Network, inc. out of Virginia. The price was $10,000 plus $3,800 for report and
analysis by Dr. Constance Book.
i also called three firms in the Northwest to determine their backgrounds in conducting cable
surveys. Robinson research and Strategic Research in the Spokane area were inexperienced in
this type of survey. `these two firms had also been much more expensive than the firm chosen to
conduct the community preference survey for Spokane Valley. The firm chosen to conduct that
survey was Clearwater Research. I called Clearwater and they do have experience with this type
of survey and we were satisfied with the previous work Clearwater performed for the City.
Clearwater provided a proposal price of $8,500 to conduct the survey and provide the tabulated
data to the City.
Clearwater has already assisted the City with refining the survey instrument to meet the scope of
work and to be more citizen - friendly.
Cary Driskell drew up a contract based on the model professional services agreement approved
for use by Council. The City and Clearwater have negotiated the terms of the agreement over the
course of the past week, with Cary, Ken Thompson, Dan Cenis, Nina Regor, and 1 involved in
these discussions. The only major discussion centered on section #21 of the agreement.
Clearwater was hesitant to agree to the requirement to register as a business. The firm has
apparently had past issues in Washington State where they had to go to great lengths to prove
ed,5__ 36;�
Clearwater Proposal -1 May 23, 2005
some exemption from tax liability and were concerned that this may lead them down the same
path. After some discussion among staff it was determined that this requirement was a major
component of the model agreement as approved by Council resolution and must be complied
with. Clearwater eventually agreed to the terms of section #21 with some language modification
that essentially states their position as far as location of the business, place of employment, and
the location of the business conducted. This was agreeable to the reviewing parties with the
City, previously listed above.
Two copies have been presented to you for your review. If you agree to the terms of the
agreement as written, please sign both copies and return to me. f will return one copy to
Clearwater and provide one copy to Chris Bainbridge after making a copy for myself.
-2-
I
Clearwater
Research, Inc.
Marketing, Product, and Public Opinion Research Since 197 -7
1845 South Federal Way, Boise, Idaho 83705
(800) 727 -5016 / (208) 376 -33761 FAX: (208) 376 -2008
http: / /www.cleanvater- reseat-cli.com
Inter - office Memorandum
To: Morgan Koudelka
Administrative Analyst
City of Spokane Valley
From: Charles A. Dickinson 64,
Study Director
Clearwater Research, Inc.
Re: Service Agreement
Date: May 19, 2005
Find enclosed two original copies of the service agreement. Please have them
both countersigned and return one of the originals to me and the other original is
for the City.
Contact me if you have any questions or issues.
AGREEMENT FOR PROFESSIONAL SERVICES
Clearwater Research, inc.
THIS AGREEMENT is made by and between the City of Spokane Valley, a code City of the State of
Washington, hereinafter "City" and Clearwater Research, Inc., hereinafter "Consultant," jointly referred to as
"parties."
IN CONSIDERATION of the terms and conditions contained herein the parties agree as follows:
1. Work to Be Performed. The Consultant will provide all labor, services and material to
satisfactorily complete the project.
The project will involve the following tasks and deliverables:
• Finalize and program the questionnaire for Consultant's CATI system
• Review and test the questionnaire and programming
• Conduct 400 interviews
• Prepare data
The 400 interviews will be performed on City of Spokane Valley residents only. The
interviews will be conducted on different days of the week and different times of the day in order to
capture a variety of demographic profiles. Sufficient oversight will exist to ensure that interviews are
based on actual conversation with residents. The sample size will achieve 95% confidence intervals of +/-
4.9%.
The completed data will be delivered to the City in Microsoft Excel format.
A. Administration. The City Manager or designee shall administer and be the primary
contact for Consultant. Prior to commencement of work, Consultant shall contact the City Manager or
designee to review the Scope of Work, schedule and date of completion. Upon notice from the City Manager
or designee, Consultant shall commence work, perform the requested tasks in the Scope of Work, stop work
and promptly cure any failure in performance under this agreement.
B. Representations. The City has relied upon the qualifications of the Consultant in
entering into this agreement. By execution of this agreement, Consultant represents it possesses the ability,
skill and resources necessary to perform the work and is familiar with all current laws, rules and regulations
which reasonably relate to the Scope of Work. No substitutions of personnel shall be made without the written
consent of the City.
Consultant shall be responsible for the technical accuracy of its services and documents
resulting therefrom, and City shall not be responsible for discovering deficiencies therein. Consultant shall
correct such deficiencies without additional compensation except to the extent such action is directly
attributable to deficiencies in City furnished information.
C. Modifications. The City may modify this agreement and order changes in the work
whenever necessary or advisable. The Consultant will accept modifications when ordered in writing by the
City Manager or designee. Compensation for such modifications or changes shall be as mutually agreed
between the parties. The Consultant shall make such revisions in the work as are necessary to correct errors or
omissions appearing therein when required to do so by the City without additional compensation.
Agreement for Professional Services Pagc l of 5
2. Term of Contract. This Agreement shall be in full force and effect upon execution and shall
remain in effect until June 10, 2005 or when all contract requirements have been successfully completed.
Either party may terminate this Agreement by ten (10) days written notice to the other party.
In the event of such termination, the City shall pay the Consultant for all work previously authorized and
satisfactorily performed prior to the termination date.
3. Compensation. The City agrees to pay the Consultant Eight Thousand Five Hundred Dollars
(58,500.00) compensation for everything done under this agreement.
4. Payment. Payments by the City will be made for work performed. Applications for payment
shall be sent to the City Clerk at the below stated address. Payment by the City is due within 30 days of receipt
of the invoice. An invoice for 50% of the total cost (54,250) will be sent to the City at the end of May, 2005.
An invoice for the remaining 50% will be sent to the City upon completion of the project and delivery of the
data set, expected to be June 10, 2005,
The City reserves the right to withhold payment under this agreement which is determined in the
reasonable judgment of the City Manager or designee to be noncompliant with the Scope of Work, City
Standards, City ordinances and federal or state standards. Any interest that may result from wrongful non-
payment by the City (as determined by a Court or other issue resolution body employed by the parties) shall
accrue at 12% per annum. This term replaces the item identified in Exhibit A, page 4, as "Terms ".
Notice. Notice shall be given in writing as follows:
TO THE ITY:
Name: Christine Bainbridge, City Clerk
Phone Number: (509)921 -1000
Address: 11707 East Sprague Ave, Suite 106
Spokane Valley, WA 99206
TO THE CONSULTANT:
Name: Clearwater Research, Inc.
Attn: Charles A. Dickinson
Phone: (208) 376 -3376 (ext. 425)
Address: 1845 South Federal Way
Boise, Idaho 83705
6. Applicable Laws and Standards. The parties, in the performance of this agreement, agree to
comply with all applicable Federal, State, local laws, ordinances, and regulations.
7. Relationship of the Parries. It is understood, agreed and declared that the Consultant shall be
an independent contractor and not the agent or employee of the City, that the City is interested in only the
results to be achieved and that the right to control the particular manner, method and means in which the
services are performed is solely within the discretion of the Consultant. Any and all employees who provide
services to the City under this agreement shall be deemed employees solely of the Consultant. The Consultant
shall be solely responsible for the conduct and actions of all employees under this agreement and any liability
that may attach thereto.
8. Ownership of Documents. All drawing, plans, specifications, and other related documents
prepared by the Consultant under this agreement are and shall be the property of the City.
9. Records. The City or State Auditor or any of their representatives shall have full access to
and the right to examine during normal business hours all of the Consultant's records with respect to all
Agreement for Professional Services Page 2 of 5
matters covered in this contract. Such representatives shall be permitted to audit, examine and make excerpts
or transcripts from such records and to make audits of all contracts, invoices, materials, payrolls and record of
matters covered by this contract for a period of three years from the date final payment is made hereunder.
10. Insurance. During the term of the contract, the Consultant shall maintain in force at its own
expense, the following insurance:
A. Workers' Compensation Insurance in compliance with RCW 51.12.020, which
requires subject employers to provide workers' compensation coverage for all their subject workers and
Employer's Liability or Stop Gap Insurance in the amount of S l 10001000.00;
B. General Liability Insurance on an occurrence basis with a combined single limit of not
less than S 1,000,000.00 each occurrence for bodily injury and property damage. It shall include contractual
liability coverage for the indemnity provided under this contract. it shall provide that the City, its officers,
employees and agents are additional insureds but only with respect to the Consultant's services to be provided
under the contract;
C. Automobile Liability Insurance with a combined single limit, or the equivalent, or not
less than S 1,000,000.00 each accident for bodily injury and property damage, including coverage for owned,
hired or non - owned vehicles that are used in the performance of this agreement; and
D. Professional Liability Insurance with a combined single limit of not less than
S 1,000,000.00 each claim, incident or occurrence. This is to cover damages caused by the error, omission, or
negligent acts related to the professional services to be provided under this contract. The coverage must
remain in effect for at least two (2) years after the contract is completed.
There shall be no cancellation, material change, reduction of limits or intent not to rcnew the
insurance coverage(s) without thirty (30) days written notice from the Consultant or its insurer(s) to the City.
As evidence of the insurance coverages required by this contract, the Consultant shall furnish
acceptable insurance certificates to the City at the time the Consultant returns the signed contract. The
certificate shall specify all of the parties who are additional insureds, and will include applicable policy
endorsements, the thirty (30) day cancellation clause, and the deduction or retention level. Insuring companies
or entities are subject to City acceptance. If requested, complete copies of insurance policies shall be provided
to the City. The Consultant shall be financially responsible for all pertinent deductibles, self - insured
retentions, and/or self - insurance.
11. Indemnification and Hold Harmless. Each party shall indemnify and hold the other, its
officers, employees, agents and volunteers harmless from and against any and all claims, demands, orders,
decrees or judgments for injuries, death or damage to any person or property arising or resulting from any act
or omission on the part of said party or its agents, employees or volunteers in the performance of this
Agreement.
12. Waiver. No officer, employee, agent or other individual acting on behalf of either party has
the power, right or authority to waive any of the conditions or provisions of this agreement. No waiver in one
instance shall be held to be waiver of any other subsequent breach or nonperformance. All remedies afforded
in this agreement or by law, shall be taken and construed as cumulative, and in addition to every other remedy
provided herein or by law. Failure of either party to enforce at anytime any of the provisions of this agreement
or to require at anytime performance by the other party of any provision hereof shall in no way be construed to
Agreement for Professional Services Page 3 of 5
be a waiver of such provisions nor shall it affect the validity of this agreement or any part thereof.
13. Assignment and Deleggation. Neither party shall assign, transfer or delegate any oral] of the
responsibilities of this agreement or the benefits received hereunder without first obtaining the written consent
of the other party.
14. Subcontracts. Except as otherwise provided herein, the Consultant shall not enter into
subcontracts for any of the work contemplated under this agreement without obtaining written approval of the
City.
15. Confidentiality. Consultant may from time to time receive information which is deemed by
the City to be confidential. Consultant shall not disclose such information without the express consent of the
City or upon order of a Court of competent jurisdiction.
16. Jurisdiction and Venue. This Contract is entered into in Spokane County, Washington.
Venue shall be in Spokane County, State of Washington.
17. Cost and Attorney's Fees. In the event a lawsuit is brought with respect to this Agreement,
the prevailing party shall be awarded its costs and attorney's fees in the amount to be determined by the Court
as reasonable. Unless provided otherwise by statute, Consultant's attorney fees payable by the City shall not
exceed the total sum amount paid under this agreement.
18. Entire Agreement. This written agreement constitutes the entire and complete agreement
between the parties and supersedes any prior oral or written agreements. This Agreement may not be changed,
modified or altered except in writing signed by the parties hereto.
19. Anti - kickback. No officer or employee of the City, having the power or duty to perform an
official act or action related to this Agreement shall have or acquire any interest in this Agreement, or have
solicited, accepted or granted a present or future gift, favor, service or other thing of value from any person
with an interest in this Agreement.
20. Severability. if any section, sentence, clause or phrase of this Agreement should be held to
be invalid for any reason by a court of competent jurisdiction, such invalidity shall not affect the validity of any
other section, sentence, clause or phrase of this Agreement.
21. Ausiness Registration Fee. Prior to commencement of work under this
Agreement, Consultant agrees to comply with the City's business registration process. It is
understood that Consultant has no place of business or taxable presence in the City, owns no
property in the City, has no employees in the City, and that all Consultant services under this
agreement will be performed from Consultant's location in :Boise, Idaho.
22. Exhibits. Exhibits attached and incorporated into this agreement are:
Exhibit A, Research Proposal
Agreement for Professional Services Page 4 of 5
IN WITNESS WHEREOF, the parties have executed this Agreement this 'Ia r-d- day ofMay, 2005.
CITY OF SPOKANE VALLEY:
David Mercier, City Manager
ATTEST:
(Christine Bainbridge, City Clerif
CONSULTANT:
'Q a/f' & c --n4.4
DAAl f- C MAY , ;4 V.P.
Tax ID No._ REDACTED
APPROVED AS TO FORM: ,
c ��r'YIi�Q.Cf/
Cary P. Drqskell, Depatytity Attorney
This document contains confidential tax information and
has been redacted pursuant to RCW 82.32.330.
You may petition for a review of our findings pertaining to any
redacted or withheld documents pursuant to Spokane Valley
Municipal Code (SVMC) 2.75.080; and obtain judicial review
pursuant to RCW 42.56.550.
Agreement for Professional Services Page 5 of 5
DATE:
ClearwaterMarketing, Product, and Public Opinion Research Since l 9 72
1845 S. Federal Way, .Boise, Idaho 83705
Research, Inc. (800) 727 -5016 / (208) 376 -3376 / F.k\: (208) 376 -2008
http: / /www.clearwater- reseai-ch.com
Research Proposal
December 6, 2004
CLIENT: Morgan Koudelka
City of Spokane Valley
PHONE: 509- 688 -0186
E -MAIL: mkoudelka @spokanevalley.org
SENT FROM: Charles A. Dickinson, M.A.
VOICE: 208- 376 -3376 x425
FAX: 208- 376 -2008
E -MAIL: cdickinson @clearwater- research.com
PROJECT TITLE: Spokane Valley Cable Assessment
INITIATION DATE: January 2005
COMPLETION DATE: March 2005
This proposal supersedes any prior proposal versions for the same project.
1
f
SCOPE OF WORK
The following proposal provides a general framework of activities necessary to gather,
analyze, and report data relevant to resident perceptions and impressions of cable
service in Spokane Valley. Clearwater Research, Inc., (Clearwater) understands the
importance of collecting timely, relevant, and reliable information to facilitate decision -
making.
We are committed to answering the important research questions posed by our clients
in an empirically honest and straightforward manner.
METHODOLOGY
Clearwater will conduct 400 interviews with non - institutionalized adults over the age of
18 who reside within the service area of cable provider (Comcast) in Spokane Valley.
We will administer a survey that is an average of approximately six (6) minutes in length
via telephone (non -cable subscribers will have a substantially shorter survey than cable
subscribers, thus a combined average of six minutes). All interviews will be conducted
using computer -aided telephone interviewing (CATI) software to manage and monitor
calling, control distribution of sample, consolidate data, and track interviewer activity
and productivity.
Questionnaire Instrument
Project cost estimates assume that Clearwater will only need to finalize and prepare the
questionnaire for data collection. The Clearwater project team will conduct multiple
reviews of the questionnaire for meaning, comprehensibility, flow, and context. The cost
estimates assume that the average interview length will not exceed a combined
average length of six minutes, and there will be no more than two brief open -ended
questions. Project cost estimates also include offering the survey in English only.
Sampling
Clearwater Research will design a probability sample of the target population, non -
institutionalized adults residing within Spokane Valley. One way is to target key zip
codes (such as 99212, 99206, 99016, 99037, and 99216). We can also design a
sampling scheme that will mirror the cable provider as closely as possible. No matter
how the final geography is defined, we will use a 2 -stage cluster sampling method. At
the first stage, a set of households was selected via the telephone numbers randomly
selected from the working banks in the defined geographic area. At the second stage,
one adult will be selected at random from the set of eligible adults living in the
household using the "most recent birthday" method. After introducing the survey to the
person who happened to answer the phone call, the interviewer will ask for the adult (18
years of age or older) in the household who had had the most recent birthday. This
methodology is commonly used for obtaining probability samples for telephone survey
projects.
The overall sample size of 400 will provide 95% confidence intervals of +/- 4.9 %.
2
Data Collection
Clearwater will collect the survey data using our 135 - station CATI system with highly
trained telephone interviewers. The programmed questionnaire will lead interviewers
question -by- question through the survey instrument. CATI allows interviewers to see
and record responses to questions on a computer screen, leading to an easy,
comfortable method of interviewing. The software manages the telephone calling,
controls distribution of sample, consolidates data, and tracks interviewer activity and
productivity. Interviewers are thoroughly briefed prior to data collection and rehearse
the questionnaire before conducting actual interviews.
For this project, we will enforce specific calling rules that ensure numbers will be called
on a variety of days and times up to a maximum of 8 attempts. Upon client approval,
respondents initially refusing to participate will be contacted one additional time to
attempt to gain their participation.
Reporting
In the budget section below, I have provided two costs, one with reporting and one
without reporting. If the reporting option is selected, Clearwater will create an electronic
MS Word report with clear and concise tables and figures. This report will include an
executive summary as well as detailed descriptions of the survey methods, sampling,
data collection procedures, and research findings. Appropriate figures and tables will be
used to illustrate the survey results. In appendices, we will provide a copy of the
questionnaire and a listing of responses to any open -ended questions. We will deliver a
draft copy of the report electronically via e-mail for review and comment. As final
deliverables, Clearwater will provide an electronic MS Word copy of the report and a
bound, color hardcopy of the report.
Business references and staff qualifications available upon request.
K
SUMMARY OF PROCEDURES AND DELIVERABLES
The project will involve the following tasks and deliverables:
• Finalize and program the questionnaire for our CATI system
• Review and test the questionnaire and programming
• Conduct 400 interviews
• Prepare data
• Provide final report detailing survey results, if that option is selected
COST ESTIMATES
Description
Study Design and Administration
Questionnaire design, programming, sample
preparation and loading. Daily administration of study,
included
client contacts, and monitoring.
Data Collection
Interviewer training, conducting 400 telephone
interviews (assumes combined average 6- minute
included
interview with no more than two brief open -ended
questions).
Data Preparation
Data cleaning, delivery of the data set.
included
Data Preparation, Statistical Analysis, Report Writing
Data cleaning and analysis. Report writing. Delivery of
included
the data set and the draft and final written report.
TOTAL COST WITH FULL REPORT
$9,735.00
TOTAL COST WITH NO REPORT, DATA DELIVERY
$8,500.00
ONLY
Conditions of the Cost Estimates
Clearwater attempts to estimate costs as closely as possible. However, there are many
unforeseeable elements to research projects. If conditions vary substantially from those
specified in this proposal, the Project Director will inform the client in writing within two
business days. Together they will arrange for a solution, which may include adjustments
to the study specifications, methodology, reporting, or budget.
Terms
Twenty -five percent of the total cost is required as an advance upon project approval.
Payment is due within 30 days of the invoice date; 1.75% monthly interest (21 % APR)
assessed for late payment.
Timeline
We are dedicated to working with our clients to meet their project timing needs.
Although we cannot commit to a specific timeline until a project contract has been
signed, we can meet the need to have final results before the end of March assuming
we begin data collection at the beginning of February.