HomeMy WebLinkAbout2021-11-02 - Washington State Department of Transportation, DOT, Proj 2019-08, Kenroy Elementary Safe Routes to S - General Agreements / General Service Agreements - 2019-08
23 Wenatchee Ave, Suite 223, Wenatchee, WA 98801 P: 509.663.2711 www.kpg.com
Exhibit A
Scope of Work – Supplement No. 3
City of East Wenatchee
Kenroy Elementary Safe Routes to School
Project Number SRTS-5906(001)
KPG Project Number 19068A
October 5, 2021
Introduction and Background
The project as described in the original scope of work has progressed to the 60% design level and
includes the minor project scope changes which have been approved by WSDOT and are defined
in the current WSDOT STIP. The project currently has NEPA CE approval and is ready to progress
to the RW Phase.
x Current design detail provided by the 60% Plans provides the basis scoping for the RW
Phase as defined in Task 6A and Task 6B of this supplemental scope of work.
x Additional stormwater design and coordination work has been identified that is necessary
for completion of the project and is defined in Task 9A of this supplemental scope of work.
x The geotechnical report identified soil properties that do not meet the requirements for
use of WSDOT standard illumination foundations. Task 9B has been added to provide for
structural foundation design.
x The project duration has been extended to target construction in 2023. Additional work
associated with project management for the extended project duration has been defined in
Task 1 of this supplemental scope of work.
The scope of work is supplemented to include the following additional work:
TASK 1 – PROJECT MANAGEMENT
Consultant Responsibilities:
1. Provide an additional 12 months of contract administration and management, including:
billing, accounting, auditing, and monthly progress reports.
2. Provide an additional 12 months of project coordination and management of design
schedule, including internal resource management, subconsultant management, and
prioritization of resources.
3. Facilitate an additional 12 months of client coordination meetings.
Assumptions:
1. Assume an additional 12 months of contract duration.
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23 Wenatchee Ave, Suite 223, Wenatchee, WA 98801 P: 509.663.2711 www.kpg.com
(NEW) TASK 6A – RIGHT OF WAY ACQUISITION (Subconsultant)
Objective: Tierra Right of Way Services Ltd. will perform acquisition services in accordance with
Federal, State, and local laws, including the Uniform Act, WSDOT Right of Way Manual, Local Agency
Guidelines manual, and Chapter 8.26 RCW.
Subconsultant Responsibilities:
1. Project Kickoff - Facilitate a right of way phase kickoff meeting. Tierra will use WSDOT LAC
FHWA approved templates as indicated in Tierra’s subconsultant scope of work.
2. Title Review - Conduct initial review of title reports to assess potential complications at
closing and potential conflicts from utility encumbrances, etc., that may pose obstacles or
delays to the acquisition closing process.
3. Valuation - Using an appraisal service, finalize a Right of Way Funding Estimate (ROWFE)
and Administrative Offer Summaries (AOS) appraisal reports.
4. Encroachments - Identify any possible encroachments that will need to be addressed prior
to the project being WSDOT Certified. Tierra agents will work the project team and with
property owners to resolve.
5. Negotiations – Tierra agents will perform and oversee property negotiations for up to 17
parcels. The offer package documents will be presented in person if possible. An out-of-
area owner will be contacted by telephone and by certified mail. Tierra will:
x Review parcel maps, title reports, and prepare each file electronically and
physically.
x Prepare 17 document packages for City review, and upon approval, promptly
present document package for the required real property interests.
x Document package will include AOS, conveyance instruments, exhibits, and other
related acquisition documents using WSDOT/City approved forms.
x Tierra will contact the property owners and meet the owner in person to present
and to discuss the project. After the package is presented to each property owner,
Tierra will attempt to make three in-person meetings with a property owner and
five follow up conversations, which will be via email or phone conversation, to
complete negotiations.
x Prepare file for closing.
x Prepare and maintain diaries.
x Prepare and provide status updates bi-weekly or per the request of the City/KPG.
x Upon receipt of signed conveyance documents, Tierra will forward the documents
to the City/KPG.
x Agent QA files for submittal to Project Manager.
6. Project Management – Tierra will:
x Report acquisition status bi-weekly
x Provide project management in coordination with City staff
x Monitor project budget and schedule
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23 Wenatchee Ave, Suite 223, Wenatchee, WA 98801 P: 509.663.2711 www.kpg.com
x Oversee Appraisal process, monitor budget and schedule
x QC offer packages prior to submitting to City/KPG for approval
x QC files prior to submittal to the City at completion
x Assist the City with the WSDOT Certification process.
Assumptions:
1. No narrative appraisal reports will be needed, if any are needed, an amendment will be
needed to support a supplemental scope of work.
2. Tierra’s schedule goal will be to have all rights of way acquired within nine (9) months from
the notice to proceed.
3. A maximum of three documented attempts in person and a maximum of five additional
attempts will be over the telephone, via email, and/or mail to successfully acquire each
parcel.
4. Whenever possible, owners residing locally will be presented their offers in person. Tierra
will mail offers to owners located outside of a 50-mile radius from the project area.
5. There are no more than two principal owners of any parcel and that both are
geographically located very near to each other.
6. Any delay in the project or City deliverables, design, or design changes will delay Tierra’s
project schedule.
7. If any additional parcels or work is required that is not identified in this scope of work, an
amendment for supplemental scope of work will be needed.
8. Any vesting clouds discovered after title review may cause significant delays on conveyance
recording.
9. If occupants (personal property or persons) are identified during the interview stage, Tierra
will interview that occupant at the earliest possible time and inform the City of the
presence of a displacement. An amendment for supplemental scope of work will be
needed if relocation services are needed.
10. The Tierra scope of work under this task does not include title, escrow, or recording fees,
survey, development of legal descriptions, or exhibits.
City Responsibilities:
1. Assist with obtaining contact information for the property owners and occupants
2. Upon receipt of the title review memorandum from Tierra, the City will decide which
encumbrances need to be cleared. This may involve a discussion of risk as related to
existing Deeds of Trust and/or other monetary encumbrances.
3. Provide conveyance documents and the pertinent detail for said documents the City
prefers to use.
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23 Wenatchee Ave, Suite 223, Wenatchee, WA 98801 P: 509.663.2711 www.kpg.com
Deliverables:
1. Summary/synopses of title report review.
2. Final Right of Way Funding Estimate (ROWFE).
3. Administrative Offer Summaries (AOS) appraisal reports.
4. List summary of right of way encroachments and resolutions.
5. 17 document packages for negotiation using WSDOT approved forms.
6. Prepare files for closing
7. Diaries
8. Bi-weekly status updates
9. Agent QA files
10. Tierra will work with the title/escrow Company to obtain release documentation from the
encumbrances of public record that are not acceptable to provide clear title to the
property being acquired
11. Tierra will provide up to three (3) attempts in person and five (5) follow up conversations
via email or telephone. General acquisition/negotiation communications with owner.
12. Attend conference calls with KPG/City as needed/requested.
13. Complete parcel files, including necessary records of all ROW Acquisition services.
(NEW) TASK 6B – RIGHT OF WAY ACQUISTION (KPG Design Support)
Objective:Provide engineering and design assistance to attend meetings with property owners,
communicate the design, answer design questions, generate figures, explore design alternatives,
and manage the overall effort to support completion of the right of way process.
Consultant Responsibilities:
1. Attend meetings with property owners (either in person and on site or virtual),
communicate and explain design elements and provide other design and engineering
related information as needed to support the right of way process.
2. Make design revisions, develop alternatives, and produce simple figures as needed to
support the right of way process.
3. Provide subconsultant management and provide overall coordination with City, property
owners, WSDOT, and other agencies as needed to complete the right of way process.
Assumptions:
1. Assume no more than one (1) meeting per effected parcel.
2. Assume no more than one (1) figure per effected parcel.
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23 Wenatchee Ave, Suite 223, Wenatchee, WA 98801 P: 509.663.2711 www.kpg.com
City Responsibilities:
1. City will facilitate coordination with property owners, tenants, and WSDOT, as necessary to
complete right of way acquisition and WSDOT certification of the right of way.
2. Review right of way documents and provide comments.
3. Provide direction and facilitation of approvals on issues that require City approval and
input.
Deliverables:
1. Meeting materials, notes, and other documentation as needed.
2. Design updates and figures as needed.
(NEW) TASK 9A – PROJECT CIVIL DESIGN COORDINATION
Objective: Provide planning level basin delineation, modeling, and multiple alternatives for
conveyance and infiltration as necessary to coordinate this project with regional stormwater
planning efforts.
Consultant Responsibilities:
1. Delineate regional stormwater basin that influences the project area.
2. Provide planning level modeling of the regional basin.
3. Generate planning level flow rates & volumes.
4. Review downstream conveyance options as they relate to regional plans.
5. Generate multiple regional design alternatives and present to the City.
6. Evaluate alternatives and assist City with stormwater decision making.
7. Document the design work and coordination.
Assumptions:
1. This work is to coordinate the stormwater design with regional plans to ensure
compatibility. The stormwater design for this project will not attempt to address regional
stormwater needs and will be limited to the requirements of the project area only.
City Responsibilities:
1. Review materials and provide direction.
Deliverables:
1. Technical memo documentation of work performed.
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23 Wenatchee Ave, Suite 223, Wenatchee, WA 98801 P: 509.663.2711 www.kpg.com
(NEW) TASK 9B – PROJECT STRUCTURAL DESIGN (Subconsultant)
Objective: WSDOT Standard Plan J-28.30 provides standard construction details for luminaire
foundations for luminaires and soils that meet the specific requirements of the design detail.
Geotechnical exploration and analysis revealed existing soil conditions that do not comply with the
minimum requirements specified in Standard Plan J-28.30. Special foundations are required that
are designed for the existing soil conditions. Subconsultant services have been added under this
supplement to provide structural design for illumination.
Subconsultant Responsibilities:
1. The Subconsultant will provide structural engineering design and calculations to support
the development of the design drawings to be produced by KPG. The specific
subconsultant scope or work includes:
x Review of Standard Plan J-28.30 and related standard plans and specifications.
x Review of Geotechnical Report.
x Review of specified luminaires.
x Development of calculations to determine required foundation size and reinforcing.
x Specification and documentation of changes to standard foundation design.
x Coordination and review of drawings produced by KPG to ensure foundation design
has been incorporated accurately.
Assumptions:
1. The following work is excluded from the Subconsultant’s scope of work:
x Luminaire pole and base plate connection design.
x Geotechnical Engineering.
x Surveying.
x Site visits.
x Construction documents, drawings, or specifications.
x Construction phase engineering assistance.
Deliverables:
1. Subconsultant deliverables include stamped structural calculations and redlined drawings
and specifications to be drafted and incorporated into the construction documents by KPG.
EXHIBIT DPRIME CONSULTANT COST COMPUTATIONS - Supplement No. 3Client:City of East WenatcheeProject:Kenroy Elementary Safe Routes to SchoolKPG PROJECT NUMBER: 19068ADATE:October 5, 2021PrincipalEngineering MgrSr. EngineerConstruction MgrProject EngineerSenior Const InspectorArchitecture Technician IIEngineering TechnicianSurvey Crew II Office AdminSr. Const Mgr Aviation MgrUrban Design MgrProject SurveyorProject Land. Arch.Design EngineerArchitecture Technician IConstruction Inspector ISurvey MgrSenior Project EngineerSr. Resident EngineerSr. CAD TechnicianCAD TechnicianTechnicianSurvey TechnicianTransportation PlannerLandscape Technician274$246$203$ 179$153$ 127$117$99$ 215$92$ Hours Fee1.1 Contract Administration, Invoicing, and Progress Reports44 8 1,084.00$1.2 Project Coordination & Schedule Management1616 2,864.00$1.3 Client Coordination Meetings1616 2,864.00$0003600000440 6,812.00$6A.1 Right of Way Acquisition - Tierra Right of Way00000000000 -$6B.1 Field Meetings to Support RW Acquisition44044 6,836.00$6B.2 Design Alternatives and Figures to Support Acquisition84048 7,552.00$6B.3 Management and Coordination of the Acquisition Process84048 7,552.00$0 0 0 20 120 0 0 0 0 0 140 21,940.00$9A.1 Delineate regional stormwater basin88 1,224.00$9A.2 Stormwater modeling 2810 1,582.00$9A.3 Flow rates and volumes2810 1,582.00$9A.4 Review of potential downstream conveyance options21618 2,806.00$9A.5 Generate multiple regional stormwater alternatives21618 2,806.00$9A.6 Evaluation of alternatives and finalize216182,806.00$9A.7 Documentation of the process21618 2,806.00$0 0 0 12 88 0 0 0 0 0 100 15,612.00$9B.1 Structural Design (Pacific Engineering)0-$00000000000 -$000682080000428044,364.00$Geotechnical - HWA Geosciences -$Cultural Resources - Plateau Archeological Investigations -$Survey Field Work - SCE Inc. -$Right of Way - Tierra Right of Way 148,943.69$Structural Design - Pacific Engineering 2,663.76$Subtotal 151,607.45$Subconsultant Markup (0%) -$151,607.45$Title Reports -$Mileage at current IRS rate -$-$195,971.45$(New) Task 6A - Right of Way Acquisition (Subconsultant)Task Total(New) Task 9B - Project Structural Design (Subconsultant)Task TotalTask No.Task DescriptionPrime Consultant Labor Hour Estimate - Supplement No. 3Total Hours and Labor Fee Estimate by TaskTask 1 - Project ManagementTask Total(New) Task 6B - Right of Way Acquisition (KPG Design Support)Task TotalTotal Reimbursable ExpenseTotal Estimated BudgetTotal Prime Consultant Labor Hours and FeeSubconsultants(New) Task 9A - Project Civil DesignTotal Subconsultant ExpenseReimbursable Direct Non-Salary CostsSubtotalPage 1 of 1
Tierra Right of Way Services, Ltd.
Leslie Findlay, Designated Broker
8685 Martin Way East, Suite 203 ● Lacey, Washington 98516 ● Phone: 206.363.1556
Right of Way ● Cultural Resources ● Environmental Planning
Toll Free: 800.887.0847 ● www.tierra-row.com
September 17, 2021
Josh Fedora, PE
KPG
23 S. Wenatchee Ave, Suite 223
Wenatchee, WA 98801
Re: City of East Wenatchee, Kenroy Elementary - Safe Routes to Schools
Right of Way Acquisition Services
Dear Josh,
Tierra Right of Way Services, Ltd. (Tierra) is pleased to submit the proposal and cost estimate for the
performance of right of way acquisition services in accordance with federal, state, and local laws,
including the Uniform Act, Washington State Department of Transportation Right of Way Manual,
the Local Agency Guidelines, and Chapter 8.26 RCW.
Due to the labor shortage of experienced professionals in the industry, the pricing contained herein is
valid for 90 calendar days only. Tierra looks forward to working with your team to complete this
project.
Sincerely,
Leslie Findlay, SR/WA, R/W-RAC
Right of Way Operations Manager | Designated Broker, Pacific Northwest
360-870-0190
KPG, City of East Wenatchee, Kenroy Elementary – Safe Routes to Schools
Right of Way Acquisition Services
19WR00-415.01
2
SCOPE OF WORK
KPG has requested that Tierra Right of Way, Ltd. (Tierra) provide a scope of work and fee to
assist in acquiring the real estate interests for the City of East Wenatchee Kenroy Elementary -
Safe Routes to Schools Improvement Project. Tierra will perform acquisition services in
accordance with Federal, State, and local laws, including the Uniform Act, WSDOT Right of
Way Manual, Local Agency Guidelines manual, and Chapter 8.26 RCW.
Our scope and fee include, but is not limited to, the following tasks:
x PROJECT KICKOFF – Tierra to attend kick off meeting to obtain further project
background. Tierra will use WSDOT LAC FHWA approved templates which
are located at: http://www.wsdot.wa.gov/LocalPrograms/ROWServices/LPA-
forms.htm. Other project meetings to be scheduled as needed.
x TITLE – KPG or the City will provide the necessary title commitments, which is
necessary to confirm ownerships before offers and negotiations are conducted and
prior to recording any conveyance documents. Tierra will conduct initial review of
report to assess potential complications at closing and potential conflicts from
utility encumbrances, etc., that may pose obstacles or delays to the acquisition
closing process. This information will be shared with the city in the form of a
summary/synopses and Tierra will work with the escrow company to resolve any
further action necessary.
x VALUATION – Tierra will contract with Pacific Appraisal and Associates to
produce a Right of Way Funding Estimate (ROWFE) for the proposed project
impacts and Administrative Offer Summaries (AOS) appraisal reports. We do
not anticipate any narrative appraisal reports will be needed, if any are, an
amendment to this scope and fee would be required.
x ENCROACHMENTS – Tierra with KPG will identify any possible
encroachments that will need to be addressed prior to the project being WSDOT
Certified. Tierra agents will work with property owners to resolve.
x NEGOTIATIONS – Tierra agents will perform and oversee property
negotiations for up to 17 parcels. The offer package documents will be
presented in person if possible. An out-of-area owner will be contacted by
telephone and by certified mail.
o Tierra will:
▪ Review, parcel map(s), title report(s) and prepare each file electronically and
physically.
▪ Prepare 17 document packages for City review, and upon approval,
promptly present document package for the required real property
interests.
▪ Document package to include AOS, conveyance instruments, exhibits and
other related acquisition documents using WSDOT/City approved forms.
KPG, City of East Wenatchee, Kenroy Elementary – Safe Routes to Schools
Right of Way Acquisition Services
19WR00-415.01
3
o Offer Presentation: Tierra will contact the property owners and meet the
owner in person to present to discuss the project. After the package is
presented to each property owner, Tierra will attempt to make three “in-
person” meetings with a property owner and five follow up conversations,
which will be via email or phone conversation, to complete negotiations.
o Prepare file for closing.
o Prepare and maintain diaries.
o Prepare and provide status updates bi-weekly or per the request of the City/KPG.
o Upon receipt of signed conveyance documents, Tierra will forward the
documents to the City/KPG.
o Agent QA files for submittal to Project Manager.
x PROJECT MANAGEMENT
o Tierra to report acquisition status bi-weekly.
o Provide project management in coordination with City staff.
o Monitor project budget and schedule.
o Oversee Appraisal process, monitor budget and schedule.
o QC offer packages prior to submitting to KPG/City for approval.
o QC files prior to submittal to the City at completion.
o Assist the City with the WSDOT Certification process.
x PROJECT SCHEDULE – It is anticipated that the project will go to construction in the
spring of 2023. Our goal is to have all rights of way acquired within nine (9) months from
the notice to proceed.
Tierra Deliverables:
x Tierra work with the title/escrow Company to obtain release documentation
from the encumbrance(s) of public record that are not acceptable to provide
clear title to the property being acquired.
x Prepare 17 acquisition files for negotiations, utilizing WSDOT approved forms.
x Provide up to three attempts in person and five follow up conversations via email
or telephone. General acquisition/negotiation communications with owner.
x Attend conference calls with the KPG/City as needed.
x Complete, QC’d parcel files, including necessary records of all ROW Acquisition services.
x Provide status reports bi-weekly or as requested.
KPG/City will provide Tierra with the following prior to the commencement of any activities:
x Any contact information for the property owners and occupants.
x Upon receipt of the title review memorandum from Tierra, the City will decide
which encumbrances need to be cleared. This may involve a discussion of risk as
related to existing Deeds of Trust and/or other monetary encumbrances.
x WSDOT approved Right of Way Plan sheets.
x Final signed legal description and parcel map exhibits for each parcel.
x Provide conveyance documents and the pertinent detail for said documents the
City prefers to use.
and
KPG, City of East Wenatchee, Kenroy Elementary – Safe Routes to Schools
Right of Way Acquisition Services
19WR00-415.01
4
x Provide the project schedule updates.
x Parcel title reports.
The deliverable hours and cost provided contain the following assumptions:
x All mileage expenses will be invoiced to the Client at the IRS established rate. Actual
mileage may be more or less than what is estimated herein.
x A maximum of three documented attempts in person and a maximum of five additional
attempts will be over the telephone, via email, and/or mail to successfully acquire each
parcel.
x Whenever possible, owners residing locally will be presented their offers in person. Tierra
will mail offers to owners located outside of a 50-mile radius from the project area.
x There are no more than two principal owners of any parcel and that both are
geographically located very near to each other.
x Any delay in KPG/City deliverables, design or design changes will delay Tierra's project
schedule.
x Any changes in plans that impact the acquisition area after appraisal has commenced will
result in a price increase from the appraiser and a delay in the project schedule.
x If any additional parcels or work is required that is not identified in this scope of work, an
amendment will be required.
x Any vesting clouds discovered after title review may cause significant delays on conveyance
recording.
x If occupants (personal property or persons) are identified during the interview stage, Tierra
will interview that occupant at the earliest possible time and inform the City of the presence
of a displacement. The City agrees to additional charges for relocation services should this
occur and an amendment to the scope and contract will be required.
x Any change in the client’s main point of contact, project manager, or other related
leadership position will likely result in increased fees due to changes in management and
communication styles, changes in agreed to reporting, changes in forms, and the new
project team member not fully understanding the scope of work contracted for.
x Price does not include title, escrow or recording fees, survey, the development of legal
descriptions, or exhibits.
x Due to the labor shortage of experienced professionals in the industry, the pricing
contained herein is valid for 90 calendar days only.
x COVID-19 safety protocols will be adhered to.
KPG, City of East Wenatchee, Kenroy Elementary – Safe Routes to Schools
Right of Way Acquisition Services
19WR00-415.01
5
CONSULTANT FEE DETERMINATION - SUMMARY OF PROJECT COSTS
Labor Classification Hours
Direct
Salary OH Fixed Fee Total Total Amount
Project Management, 17 Acq.
Direct Rate
136.91%30.00%
Billing Rate
Division Manager 2 $ 69.72 $ 95.45 $ 20.92 $ 186.09 372.18$
ROW Division Manager 24.00 $ 59.23 $ 81.09 $ 17.77 $ 158.09 3,794.18$
Project Manager 170.00 $ 52.88 $ 72.40 $ 15.86 $ 141.14 23,994.14$
Senior Right of Way Agent 640.00 $ 45.67 $ 62.53 $ 13.70 $ 121.90 78,014.59$
Adm. Project Coordinator 75.00 $ 27.00 $ 36.97 $ 8.10 $ 72.07 5,404.93$
Right of Way Technician 170.00 $ 25.00 $ 34.23 $ 7.50 $ 66.73 11,343.68$
1081 122,923.69$
Direct Reimbursables
17 AOS's
Travel (Mileage): 500 Miles 0.56$ 280.00$
Postage 32 Each 7.50$ 240.00$
Pacific Appraisal 17 Each 1,500.00$ 25,500.00$
Direct Reimbursables Subtotal:26,020.00$
Total Maximum Amount Payable 148,943.69$
Task Order Total Maximum - Rounded 148,943.69$
City of East Wenatchee, Kenroy Elementary - Safe Routes
Tierra Right of Way Services, Ltd.
September 14, 2021
Tierra Right of Way Services, Ltd.
1575 E River Road, Ste 201
Tucson, AZ 85718
Subject: Acceptance FYE 2020 ICR Audit Office Review
Dear Keith Ganske:
20 Indirect Cost Rate (ICR) of 136.91% of direct labor (rate includes
0.24% Facilities Capital Cost of Money). This rate will be applicable for WSDOT
Agreements and Local Agency Contracts in Washington only. This rate may be subject
to additional review if considered necessary by WSDOT. Your ICR must be updated on
an annual basis.
Costs billed to agreements/contracts will still be subject to audit of actual costs, based
on the terms and conditions of the respective agreement/contract.
This was not a cognizant review. Any other entity contracting with your firm is
responsible for determining the acceptability of the ICR.
If you have any questions, feel free to contact our office at (360) 705-7019 or via email
consultantrates@wsdot.wa.gov.
Regards;
ERIK K. JONSON
Contract Services Manager
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June 9, 2021
Rich Hendrickson, Principal
Pacific Engineering & Design, PLLC
200 S Columbia St, Ste 300
Wenatchee, WA 98801-6139
x Re: Pacific Engineering & Design, PLLC
Safe Harbor Indirect Cost Rate
Dear Mr. Hendrickson:
Washington State has received approval from our local Federal Highway Administration (FHWA)
Division to continue administering the “safe harbor” indirect cost rate program on engineering and
design related service contracts, as well as for Local Public Agency projects.
We have completed our risk assessment for Pacific Engineering & Design, PLLC. We conducted our
assessment based on the documentation provided by the firm. The reviewed data included, but was not
limited to, a description of the company, basis of accounting, accounting system and the basis of indirect
costs. Based on our review, your firm is eligible to use the Safe Harbor rate. You have opted to use the
Safe Harbor rate, rather than provide a FAR-compliant rate at this time.
We are issuing the Safe Harbor Indirect Cost Rate of 110% of direct labor with a field rate, where
applicable, of 80% of direct labor for Pacific Engineering & Design. The Safe Harbor rate is effective
on June 9, 2021.
Pacific Engineering & Design has agreed to improve Internal Controls and timekeeping processes to be
able to develop an Indirect Cost Rate Schedule in the future in accordance with the Federal Acquisition
Regulations (FAR), Subpart 31. The WSDOT Internal Audit Office has provided guidance and
information related to FARs and the AASHTO Audit Guide. You may use the Safe Harbor Rate of
110%, or 80% for field office situations, for agreements entered prior to June 9, 2024. For agreements
entered after this date, please contact the WSDOT Consultant Services Office (CSO) or our office for
guidance.
The Safe Harbor Rate will not be subject to audit. Please coordinate with CSO or your Local Programs
contact if you have questions about when to apply the Safe Harbor rate to your agreement.
If you have any questions, please contact Steve McKerney or me at (360)705-7003.
Sincerely,
Schatzie Harvey, CPA
Agreement Compliance Audit Manager
cc: Steve McKerney, Director of Internal Audit
Larry Schofield, MS 47323
File
Sincerely,
Schatzie Harvey,CPA