HomeMy WebLinkAbout26 - Professional Services Agreements - Mediation Help Association, LLC - Landlord/Tenant Mediation Program
Professional Services Agreement for Landlord/Tenant Mediation Services
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PROFESSIONAL SERVICES AGREEMENT
THIS AGREEMENT is made and entered into this _____ day of ____________, 2026
(“Effective Date”), by and between the CITY OF BOZEMAN, MONTANA, a self-governing municipal
corporation organized and existing under its Charter and the laws of the State of Montana, 121
North Rouse Street, Bozeman, Montana, with a mailing address of PO Box 1230, Bozeman, MT
59771, hereinafter referred to as “City,” and, Mediation Help Association, LLC, with a mailing
address of 280 W Kagy Blvd Box 210, Bozeman, MT 59715 hereinafter referred to as “Contractor.”
City and Contractor may be referred to individually as “Party” and collectively as “Parties.”
In consideration of the mutual covenants and agreements herein contained, the receipt and
sufficiency whereof being hereby acknowledged, the Parties to this Agreement agree as follows:
1. Purpose: City agrees to enter this Agreement with Contractor to perform for City
services described in the Scope of Services attached hereto as Exhibit A and by this reference made
a part hereof.
2. Term/Effective Date: This Agreement is effective upon the Effective Date and will
expire on the 1st day of 2027 unless earlier terminated in accordance with this Agreement.
3. Scope of Services: Contractor will perform the work and provide the services in
accordance with the requirements of the Scope of Services. For conflicts between this Agreement
and the Scope of Services, unless specifically provided otherwise, the Agreement governs.
4. Payment: City agrees to pay Contractor the amount specified in the Scope of
Services. Any alteration or deviation from the described services that involves additional costs
above the Agreement amount will be performed by Contractor after written request by City and will
become an additional charge over and above the amount listed in the Scope of Services. City must
agree in writing upon any additional charges.
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5. Contractor’s Representations: To induce City to enter into this Agreement,
Contractor represents and warrants:
a. Contractor has familiarized itself with the nature and extent of this Agreement, the
Scope of Services, and with all local conditions and federal, state, and local laws, ordinances, rules,
and regulations that in any manner may affect cost, progress, or performance of the Scope of
Services.
b. Contractor has the experience and ability to perform the services required by this
Agreement.
c. Contractor will perform the services in a professional, competent, and timely manner
and with diligence and skill.
d. Contractor has the power to enter into and perform this Agreement.
e. Contractor’s performance of this Agreement must not infringe upon or violate the
rights of any third Party, whether rights of copyright, trademark, privacy, publicity, libel, slander, or
any other rights of any nature whatsoever, or violate any federal, state, and municipal laws.
Contractor agrees City will not determine or exercise control as to general procedures or
formats necessary to have these services meet this warranty.
6. Independent Contractor Status: The Parties agree that Contractor is an independent
contractor for purposes of this Agreement and is not to be considered an employee of City for any
purpose. Contractor is not subject to the terms and provisions of City’s personnel policies handbook
and is not considered a City employee for workers’ compensation or any other purpose. Contractor
is not authorized to represent City or otherwise bind City in any dealings between Contractor and
any third Parties.
Contractor must comply with the applicable requirements of the Workers’ Compensation
Act, Title 39, Chapter 71, Montana Code Annotated (MCA), and the Occupational Disease Act of
Montana, Title 39, Chapter 71, MCA. Contractor must maintain workers’ compensation coverage for
all members and employees of Contractor’s business, except for those members who are exempted
by law.
Contractor must furnish City with copies showing one of the following: (1) a binder for
workers’ compensation coverage by an insurer licensed and authorized to provide workers’
compensation insurance in the State of Montana; or (2) proof of exemption from workers’
compensation granted by law for independent contractors.
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7. Indemnity: For other than professional services rendered, to the fullest extent
permitted by law, Contractor agrees to release, defend, indemnify, and hold harmless the City, its
agents, representatives, employees, and officers (collectively referred to for purposes of this Section
as the City) from and against any and all claims, demands, actions, fees and costs (including
attorney’s fees and the costs and fees of expert witness and consultants), losses, expenses, liabilities
(including liability where activity is inherently or intrinsically dangerous) or damages of whatever
kind or nature connected therewith and without limit and without regard to the cause or causes
thereof or the negligence of any Party or Parties that may be asserted against, recovered from or
suffered by the City occasioned by, growing or arising out of or resulting from or in any way related
to: (i) the negligent, reckless, or intentional misconduct of Contractor; or (ii) any negligent, reckless,
or intentional misconduct of any of Contractor’s agents.
For the professional services rendered, to the fullest extent permitted by law, Contractor
agrees to indemnify and hold the City harmless against claims, demands, suits, damages, losses, and
expenses, including reasonable defense attorney fees, to the extent caused by the negligence or
intentional misconduct of Contractor or Contractor’s agents or employees.
For any labor problems or disputes or any delays or stoppages of work associated with such
problems or disputes, Contractor must indemnify, defend, and hold the City harmless from any and
all claims, demands, costs, expenses, damages, and liabilities arising out of, resulting from, or
occurring.
Contractor’s obligations in this Section must not be construed to negate, abridge, or reduce
other rights or obligations of indemnity that would otherwise exist. The indemnification obligations
of this Section must not be construed to negate, abridge, or reduce any common-law or statutory
rights of the City as indemnitee(s) which would otherwise exist as to such indemnitee(s).
Contractor’s indemnity under this Section must be without regard to and without any right
to contribution from any insurance maintained by City.
Should the City be required to bring an action against Contractor to assert its right to defense
or indemnification under this Agreement or under Contractor’s applicable insurance policies
required below, the City must be entitled to recover reasonable costs and attorney fees incurred in
asserting its right to indemnification or defense but only if a court of competent jurisdiction
determines Contractor was obligated to defend the claim(s) or was obligated to indemnify the City
for a claim(s) or any portion(s) thereof.
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In the event of an action filed against the City resulting from the City’s performance under
this Agreement, the City may elect to represent itself and incur all costs and expenses of suit.
These obligations must survive termination of this Agreement and the services performed
hereunder.
8. Insurance: In addition to and independent from Contractor’s indemnity obligations
under Section 7, Contractor must, at Contractor’s expense, secure insurance coverage through an
insurance company or companies duly licensed and authorized to conduct insurance business in
Montana which insures the liabilities and obligations specifically assumed by Contractor in this
Section. The insurance coverage must not contain any exclusion for liabilities specifically assumed
by Contractor in Section 7.
The insurance must be occurrence-based, and cover and apply to all claims, demands, suits,
damages, losses, and expenses that may be asserted or claimed against, recovered from, or suffered
by City without limit and without regard to the cause. Contractor must furnish to City an
accompanying certificate of insurance and accompanying endorsements in amounts not less than
as follows:
• Workers’ Compensation – statutory;
• Employers’ Liability - $1,000,000 per claim; $2,000,000 per occurrence;
• Commercial General Liability - $1,000,000 per claim; $2,000,000 per occurrence;
• Automobile Liability - $1,000,000 per property damage claim and $1,000,000 per
bodily injury claim; $2,000,000 per accident; and
• Professional Liability - $1,000,000 per claim; $2,000,000 per occurrence.
The above amounts must be exclusive of defense costs. City must be endorsed as an
additional insured on a primary non-contributory basis on the Commercial General, Employer’s
Liability, and Automobile Liability policies. The insurance and required endorsements must be
approved by City and must include no less than a thirty (30) day notice of cancellation or non-
renewal. Contractor must notify City within two (2) business days of Contractor’s receipt of notice
that any required insurance coverage will be terminated or Contractor’s decision to terminate any
required insurance coverage for any reason.
City must approve all insurance coverage and endorsements prior to Contractor
commencing work. Alternative: Contractor must provide City a certificate of insurance prior to
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commencing work. City must approve the limits shown on the certificate prior to commencing
work. City’s approval of the limits does not relieve Contractor of Contractor’s obligation to ensure
the insurance meets the requirements.
9. Waiver of Claims: Contractor also waives any and all claims and recourse against City,
including the right of contribution for loss or damage to person or property arising from, growing
out of, or in any way connected with or incident to the performance of this Agreement except
“responsibility for [City’s] own fraud, for willful injury to the person or property of another, or for
violation of law, whether willful or negligent” as per 28-2-702, MCA.
10. Termination for Contractor’s Fault:
a. If Contractor refuses or fails to timely do the work, or any part thereof, or fails to
perform any of its obligations under this Agreement, or otherwise breaches any terms or conditions
of this Agreement, City may, by written notice, terminate this Agreement and Contractor’s right to
proceed with all or any part of the work (“Termination Notice Due to Contractor’s Fault”). City may
then take over the work and complete it, either with its own resources or by re-letting the contract
to any other third Party.
b. In the event of a termination pursuant to this Section 10, Contractor must be entitled
to payment only for those services Contractor actually rendered.
c. Any termination provided for by this Section 10 must be in addition to any other
remedies to which City may be entitled under the law or at equity.
d. In the event of termination under this Section 10, Contractor must, under no
circumstances, be entitled to claim or recover consequential, special, punitive, lost business
opportunity, lost productivity, field office overhead, general conditions costs, or lost profits
damages of any nature arising, or claimed to have arisen, as a result of the termination.
11. Termination for City’s Convenience:
a. Should conditions arise which, in the sole opinion and discretion of City, make it
advisable to City to cease performance under this Agreement, City may terminate this Agreement
by written notice to Contractor (“Notice of Termination for City’s Convenience”). The termination
must be effective in the manner specified in the Notice of Termination for City’s Convenience and
must be without prejudice to any claims that City may otherwise have against Contractor.
b. Upon receipt of the Notice of Termination for City’s Convenience, unless otherwise
directed in the Notice, Contractor must immediately cease performance under this Agreement and
make every reasonable effort to refrain from continuing work, incurring additional expenses or costs
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under this Agreement and must immediately cancel all existing orders or contracts upon terms
satisfactory to City. Contractor must do only such work as may be necessary to preserve, protect,
and maintain work already completed or immediately in progress.
c. In the event of a termination pursuant to this Section 11, Contractor is entitled to
payment only for those services Contractor actually rendered on or before the receipt of the Notice
of Termination for City’s Convenience.
d. The compensation described in Section 11(c) is the sole compensation due to
Contractor for its performance of this Agreement. Contractor must, under no circumstances, be
entitled to claim or recover consequential, special, punitive, lost business opportunity, lost
productivity, field office overhead, general conditions costs, or lost profits damages of any nature
arising, or claimed to have arisen, as a result of the termination.
12. Limitation on Contractor’s Damages; Time for Asserting Claim:
a. In the event of a claim for damages by Contractor under this Agreement, Contractor’s
damages must be limited to contract damages and Contractor hereby expressly waives any right to
claim or recover consequential, special, punitive, lost business opportunity, lost productivity, field
office overhead, general conditions costs, or lost profits damages of any nature or kind.
b. In the event Contractor wants to assert a claim for damages of any kind or nature,
Contractor must provide City with written notice of its claim, the facts and circumstances
surrounding and giving rise to the claim, and the total amount of damages sought by the claim,
within thirty (30) days of the facts and circumstances giving rise to the claim. In the event Contractor
fails to provide such notice, Contractor must waive all rights to assert such claim.
13. Representatives and Notices:
a. City’s Representative: City’s Representative for the purpose of this Agreement must
be Assistant City Manager, Cola Rowley or such other individual as City must designate in writing.
Whenever approval or authorization from or communication or submission to City is required by
this Agreement, such communication or submission must be directed to City’s Representative and
approvals or authorizations must be issued only by such Representative; provided, however, that in
exigent circumstances when City’s Representative is not available, Contractor may direct its
communication or submission to other designated City personnel or agents as designated by City in
writing and may receive approvals or authorization from such persons.
b. Contractor’s Representative: Contractor’s Representative for the purpose of this
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Agreement must be Bonnie Fedchock or such other individual as Contractor must designate in
writing. Whenever direction to or communication with Contractor is required by this Agreement,
such direction or communication must be directed to Contractor’s Representative; provided,
however, that in exigent circumstances when Contractor’s Representative is not available, City may
direct its direction or communication to other designated Contractor personnel or agents.
c. Notices: All notices required by this Agreement must be in writing and must be
provided to the Representatives named in this Section. Notices must be deemed given when
delivered, if delivered by courier to Party’s address shown above during normal business hours of
the recipient; or when sent, if sent by email or fax (with a successful transmission report) to the
email address or fax number provided by the Party’s Representative; or on the fifth business day
following mailing, if mailed by ordinary mail to the address shown above, postage prepaid.
14. Permits: Contractor must provide all notices, comply with all applicable laws,
ordinances, rules, and regulations, obtain all necessary permits, licenses, including a City of Bozeman
business license, and inspections from applicable governmental authorities, and pay all fees and
charges in connection therewith.
15. Laws and Regulations: Contractor must comply fully with all applicable state and
federal laws, regulations, and municipal ordinances including, but not limited to, all workers’
compensation laws, all environmental laws including, but not limited to, the generation and disposal
of hazardous waste, the Occupational Safety and Health Act (OSHA), the safety rules, codes, and
provisions of the Montana Safety Act in Title 50, Chapter 71, MCA, all applicable City, County, and
State building and electrical codes, the Americans with Disabilities Act, and all non-discrimination,
affirmative action, and utilization of minority and small business statutes and regulations.
16. Web Accessibility and the ADA: Title II of the ADA prohibits discrimination against
people with disabilities in all services, programs, and activities offered or made available by City.
This includes ensuring that City’s communications with people with disabilities are as effective as its
communications with others.
If Contractor’s Scope of Services includes the production of digital content, documents, or
web applications intended to be branded for use by City, Contractor must use the City style guide
when creating a design. As per recommendations found in Section 508 of the Rehabilitation Act, all
digital content, documents, or web applications must also adhere to level A and AA Success
Criteria and Conformance Requirements as defined by the current Web Content Accessibility
Guidelines (WCAG).
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City will not accept digital content that does not comply with WCAG A and AA guidelines. If
City refuses digital content because it is non-compliant with the City style guide, Section 508 of the
Rehabilitation Act, and/or WCAG, Contractor will be required to make the digital content compliant
and redelivered at no additional cost to City.
17. Generative Artificial Intelligence (AI): Contractor must inform the City’s
representative of its intention to utilize Generative AI to fulfill the deliverables or services detailed
in the Scope of Services. City’s representative may, in their discretion, permit or deny Contractor’s
use of Generative AI. If Contractor is permitted to use Generative AI, Contractor agrees to review
any work created by Generative AI for accuracy, bias, and copyright infringement. Contractor agrees
it will never submit any confidential or personal identifiable information acquired through this
Agreement into a Generative AI system. For the purposes of this Section, Generative AI is defined
as a deep learning model that can generate high quality content such as stories or writings, images,
voice replication and music.
18. Nondiscrimination and Equal Pay: Contractor agrees that all hiring by Contractor of
persons performing this Agreement must be on the basis of merit and qualifications. Contractor
must have a policy to provide equal employment opportunity in accordance with all applicable state
and federal anti-discrimination laws, regulations, and contracts. Contractor cannot refuse
employment to a person, bar a person from employment, or discriminate against a person in
compensation or in a term, condition, or privilege of employment because of race, color, religion,
creed, political ideas, sex, age, marital status, national origin, actual or perceived sexual orientation,
gender identity, physical or mental disability, except when the reasonable demands of the position
require an age, physical or mental disability, marital status or sex distinction. Contractor is subject
to and must comply with Title VI of the Civil Rights Act of 1964; Section 140, Title 2, United States
Code, and all regulations promulgated thereunder.
Contractor represents it is, and for the term of this Agreement will be, in compliance with
the requirements of the Equal Pay Act of 1963 and Section 39-3-104, MCA (the Montana Equal Pay
Act). Contractor must report to City any violations of the Montana Equal Pay Act that Contractor has
been found guilty of within 60 days of such finding for violations occurring during the term of this
Agreement.
Contractor must require these nondiscrimination terms of its subcontractors providing
services under this Agreement.
19. Intoxicants; DOT Drug and Alcohol Regulations/Safety and Training: Contractor
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must not permit or suffer the introduction or use of any intoxicants, including alcohol or illegal drugs,
by any employee or agent engaged in services to City under this Agreement while on City property
or in the performance of any activities under this Agreement. Contractor acknowledges it is aware
of and must comply with its responsibilities and obligations under the U.S. Department of
Transportation (DOT) regulations governing anti-drug and alcohol misuse prevention plans and
related testing. City must have the right to request proof of such compliance and Contractor must
be obligated to furnish such proof.
Contractor must be responsible for instructing and training Contractor's employees and
agents in proper and specified work methods and procedures. Contractor must provide continuous
inspection and supervision of the work performed. Contractor is responsible for instructing its
employees and agents in safe work practices.
20. Modification and Assignability: This Agreement may not be enlarged, modified or
altered except by written agreement signed by both Parties. Contractor may not subcontract or
assign Contractor’s rights, including the right to compensation or duties arising hereunder, without
the prior written consent of City. Any subcontractor or assignee will be bound by all of the terms
and conditions of this Agreement.
21. Reports/Accountability/Public Information: Contractor agrees to develop and/or
provide documentation as requested by City demonstrating Contractor’s compliance with the
requirements of this Agreement. Contractor must allow City, its auditors, and other persons
authorized by City to inspect and copy its books and records for the purpose of verifying that the
reimbursement of monies distributed to Contractor pursuant to this Agreement was used in
compliance with this Agreement and all applicable provisions of federal, state, and local law.
Contractor cannot issue any statements, releases or information for public dissemination without
prior approval of City.
22. Non-Waiver: A waiver by either Party of any default or breach by the other Party of
any terms or conditions of this Agreement does not limit the other Party’s right to enforce such term
or conditions or to pursue any available legal or equitable rights in the event of any subsequent
default or breach.
23. Attorney’s Fees and Costs: In the event it becomes necessary for either Party to
retain an attorney to enforce any of the terms or conditions of this Agreement or to give any notice
required in this Agreement, the prevailing Party or the Party giving notice is entitled to reasonable
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attorney's fees and costs, including fees, salary, and costs of in-house counsel including the City
Attorney’s Office staff.
24. Taxes: Contractor is obligated to pay all taxes of any kind or nature and make all
appropriate employee withholdings.
25. Dispute Resolution:
a. Any claim, controversy, or dispute between the Parties, their agents, employees, or
representatives must be resolved first by negotiation between senior-level personnel from each
Party duly authorized to negotiate settlement agreements. Upon mutual agreement of the Parties,
the Parties may invite an independent, disinterested mediator to assist in the negotiated settlement
discussions. The Parties must attempt to resolve by negotiation within 90 days after the claim,
controversy, or dispute has arisen.
b. If the Parties are unable to resolve the dispute pursuant to subsection (a), then such
dispute may only be resolved in a court of competent jurisdiction in compliance with the Applicable
Law provisions of this Agreement. In such a case, all court actions must be commenced within 1 year
after the settlement procedure in subsection (a) has been exhausted.
26. Survival: Contractor’s indemnification must survive the termination or expiration of
this Agreement for the maximum period allowed under applicable law.
27. Headings: The headings used in this Agreement are for convenience only and are not
to be construed as a part of the Agreement or as a limitation on the scope of the particular
paragraphs to which they refer.
28. Severability: If any portion of this Agreement is held to be void or unenforceable, all
other provisions of this Agreement must remain in effect.
29. Applicable Law: The Parties agree that this Agreement is governed by the laws of the
State of Montana.
30. Binding Effect: This Agreement is binding upon and inures to the benefit of the heirs,
legal representatives, successors, and assigns of the Parties.
31. No Third-Party Beneficiary: This Agreement is for the exclusive benefit of the Parties,
does not constitute a third-Party beneficiary agreement, and may not be relied upon or enforced by
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a third Party.
32. Counterparts: This Agreement may be executed in counterparts, which together
constitute this Agreement.
33. Integration: This Agreement and all Exhibits attached hereto constitute the entire
Agreement of the Parties. Covenants or representations not contained herein or made a part
thereof by reference, are not binding upon the Parties. There are no understandings between the
Parties other than as set forth in this Agreement. All communications, either oral or written, made
prior to the date of this Agreement are hereby abrogated and withdrawn unless specifically made a
part of this Agreement by reference.
34. Consent to Electronic Signatures: The Parties have consented to execute this
Agreement electronically in conformance with the Montana Uniform Electronic Transactions Act,
Title 30, Chapter 18, Part 1, MCA.
35. Extensions: This Agreement may, upon mutual agreement, be extended for a period
of up to one year at a time by written agreement of the Parties. In no case, however, may this
Agreement run longer than five (5) years from the effective date of this Agreement.
**** END OF AGREEMENT EXCEPT FOR SIGNATURES ****
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IN WITNESS WHEREOF, the Parties hereto have executed this Agreement the day and year
first above written or as recorded in an electronic signature.
CITY OF BOZEMAN, MONTANA ____________________________________
CONTRACTOR Mediation Help Association, LLC
By________________________________ By __________________________________
Chuck Winn, City Manager Bonnie Fedchock, Owner
APPROVED AS TO FORM:
By_______________________________
Greg Sullivan, Bozeman City Attorney
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Exhibit A
Landlord/Tenant Mediation Program Scope of Services
• Develop and maintain an email account for the Bozeman Landlord Tenant Mediation
Program for inquires and communication and prioritize one (1) business-day response
time on all communications.
• Develop an intake system for non-court ordered party-initiated mediation including but
not limited to a welcome script, an organized way to request and gather the other party’s
contact information and a standardized way to reach out to the other party to inquire as
to if they will be willing to mediate the issue. Two attempts at a request to mediate will
be made.
• Develop an intake system for court referred mediation.
• Create a system for parties to provide relevant or requested documents to mediator ahead
of mediation including but not limited to a lease agreement, brief description of the
dispute and a proposed resolution when appropriate.
• Develop scheduling mechanisms for mediations.
• Conduct mediations online with the ability to caucus with the parties.
• Skillfully conduct mediations pursuant to obtained mediation training, skills and
certifications.
• Memorialize any agreement reached in mediation in a written summary and provide a
copy to both parties. Proposed stipulation agreements may be drafted by counsel
representing the parties for the mediator to review and finalize. For court referred
mediations, produce documentation as required by the referring court. In the interests of
confidentiality, these documents will not be provided to the City.
• Maintain confidentiality of all mediation inquiries and participants.
• Review and provide feedback on City informational materials related to Mediation
Program.
• Collect, maintain and provide to the City the following aggregated data on a quarterly
basis:
o Number of general inquiries received.
o Number of mediations requested.
o Number of unique clients vs repeat clients (broken out by Landlords and Tenants)
o Which party-initiated request: Landlord or Tenant
o Was contact made with other party? If so, did the other side agree to mediation?
o Number of mediations held (broken out between party initiated vs. court referral)
o Average duration of mediation session.
o Average time from intake to resolution (i.e. 3 weeks).
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o Whether or not an agreement was reached in mediation (broken out between
party initiated vs. court referral)
o General issue being mediated (i.e. unpaid rent, repairs, pets, etc.)
o Number of cases in which a party is represented by counsel (broken out by
Landlord and Tenant).
• Work with the City to create short voluntary exit survey following mediation to gather
basic demographics and feedback on process.
• Provide Quarterly Reports to the City including but not limited to the current state of the
program, the quarterly data required in this Scope of Service, and any exit survey
responses obtained during the reporting period. Quarterly reports are due to the City on
October 15, 2026, January 15, 2027, April 15, 2027, and July 15, 2027.
Compensation: The City agrees to pay up to $50,000.00 for this one-year contract for mediation
services. This will be distributed equally over the course of 12 months with payment made by
the City at the end of every month in the amount of $4,166.67 to the Contractor. No monthly
invoice is required by the Contractor; however the submittal of quarterly reports is required prior
to the issuance of payment in October 2026, January 2027, April 2027 and July 2027. In the event
of lack of reporting, no subsequent month will be compensated until the reporting is submitted.
The parties acknowledge and agree that this is a pilot program with unknown time and usage and
that the compensation contemplated is based on an assumption that the Contractor will spend
on average 8 hours per week fulfilling the scope of service. The parties agree to review the data
upon the January 15, 2027, report. In the event the data reflects the demand for the program is
less than anticipated and the data reflects the average hours spent on this contract is five (5)
hours or less a week, the parties agree to renegotiate the compensation structure and/or rate
based on usage.
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