HomeMy WebLinkAboutCooperative Construction and Reimbursement Agreement with Primeland Development, Co. for Water Line at Ten Mile & McMillanAQA COUNTY RECORDER J. DAVID NAVARRO AMOUNT .00 14
BOISE IDAHO 07/~108 03:~ PIN
D~PUTY Bonnle Oberbillig II I I I II II'I I I II II I I II II I I I u' I I II I'll
RECORDED-REQUEST OF 1~$~$~~~~
Meridlan Ciiy
COOPERATNE CONSTRUCTION
AND
REIMBURSEMENT AGREEMENT
12-INCH WATER MAIN
FROM THE INTERSECTION OF TEN MILE AND MCMILLAN ROADS WEST
APPROXIMATELY 1000 FEET
THIS AGREEMENT made this ~_day of , 2008, by and between
the CITY OF MERIDIAN, a municipal corpora n, her ' after called "CITY," and
Primeland Development Co., LLP, hereinafter called "DEVELOPER":
WITNESSETH:
WHEREAS, DEVELOPER owns land inside the corporate limits of the City of Meridian
and desires to construct approximately 1,000 feet of 12-inch water main, along McMillan
road west of Ten Mile Road, to be owned, operated, and mainta.ined by CITY to serve
DEVELOPER's property, Volterra and Voltena South Subdivisions (shown on Exhibit
"A"), and has requested reimbursement for a portion of the 12-inch water main;
WHEREAS, upon recommendation of the Public Works Department, the City Council of
CITY accepted and approved the proposal of DEVELOPER to construct the said 12-inch
water main system, subject to all conditions hereinafter provided by this Agreement;
NOW THEREFORE, in consideration of the foregoing premises, CITY and
DEVELOPER hereby agree:
A. Preparation of Plans. DEVELOPER has prepared plans and specifications,
drawings, instructions, bid proposal and all other contract documents for the
construction and installation of the 12-inch water main system (hereinafter called
"Project"), shown on preliminary plans (hereinafter called "Exhibit "B"), including
rights-of-way, grades and elevation, and materials used in the construction and
installation of said Project.
B. Final Approval of Plans. Prior to commencement of construction, CITY shall
approve or reject, in its discretion, the Project plans. CITY and DEVELOPER shall
acknowledge in writing the final plans, and said plans shall not thereafter be
modified in any material way unless such modifications are approved in writing
signed by CITY and DEVELOPER.
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C. Solicitation of Bids.
DEVELOPER has solicited bids and published requests for bid proposals for
construction of the Project from at least three (3) properly licensed public work
contractors. DEVELOPER must notify CITY of the bid opening forty eight (48)
hours in advance and provide the opportunity for a CITY representative to attend
the bid opening during normal working hours. DEVELOPER will award the
construction to the lowest responsible bidder after obtaining concurrence from
CITY of low bidder.
D. Contract Terms. DEVELOPER shall provide CITY with a copy of the executed
construction contract(s). All construction contract(s) shall include, at a minimum,
the following provisions:
1. A requirement that the contractor provide payment and performance bonds
naming CITY as an additional beneficiary as required by the Public Works
Contractors License Act, Chapter 19, Title 54 of the Ida.ho Code.
2. A requirement that the successful bidder be licensed as a public works
contractor.
3. A requirement that the construction of the Project shall be in accordance with the
approved designs, plans, and specifications and be Substantially Complete within
six (6) months of the da.te of the issuance of a Notice to Proceed from the City. For
the purposes of this Agreement, the term "Substantially Complete" shall mean that
the Project and all components thereof can be safely used for their intended
purpose(s) despite the fact that some item or items remain uncompleted.
4. A provision that the time for Substantial Completion will only be extended by
(a) acts of God, (b) war, (c) delays caused by CITY, (d) weather, (e) review and/or
approval processes required by outside agencies not otherwise parties to this
Agreement ( fl any request for extension of time approved in writing by CITY.
5. A requirement that the contractor shall maintain liability insurance insuring
against bodily injury or death with limits of not less than One Million Dollars
($1,000,000.00) per person and per occurrence, and property damage with a limit
of One Million Dollars ($1,000,000.00) per occurrence,. Said requirement is
extinguished upon acceptance of Project by City.
6. A provision that the contractor shall indemnify CITY and DEVELOPER from
any and all claims by third persons arising out of the perFormance of the contract.
7. A provision that the contractor shall comply with all applicable laws, rules, and
regulations, and that the contractor shall secure all applicable permits and pay all
applicable fees.
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8. A provision providing at least a one (1) year warranty on the operation and
materials of the Project, which warranty shall be assignable to CITY, to be secured
by the posting of a performance bond in favor of City upon project completion in
the amount of ten percent (10%) of the total Project cost.
E. Conditions Precedent to Execution of Construction Contract(s). Prior to execution
of any construction contract, the following conditions shall be satisfied:
1. DEVELOPER shall obtain written approval from CITY of the form and terms of
such construction contract, which approval may be withheld for any reason,
including but not limited to DEVELOPER's failure to obtain a construction contract
that contains the provisions required by this Agreement, but which approval shall
not otherwise be unreasonably withheld.
2. Any easements required for the Project or the conshuction thereof shall be
deeded to CITY and recorded prior to construction of the Project.
F. DEVELOPER and CITY Resnonsibility for Costs. Because the DEVELOPER will
construct the Project, as shown on Exhibit "B", it is mutually agreed that the cost of
the Project will be subject to actual cost verification by CITY. DEVELOPER shall
fund 100% of the cost of the Project, estimated at $58.815.65 with reimbursement
from the CITY in accordance with the provisions of this Agreement as listed
below.
Contractor 44,814.90
Engineering & Survey 11,200.00
Project Mana~:ement 2.800.75
Total Contract 58,815.65
G. Construction of the Project.
1. DEVELOPER shall install and construct the Project in compliance with and
subject to all conditions provided herein.
2. DEVELOPER shall obtain and/or provide all engineering, surveying, contract
administration, and/or permanent and temporary easements necessary for the
construction of the Project.
3. DEVELOPER shall underta.ke and/or provide all testing, sampling and other
normally conducted measures for quality controUquality assurance regarding any
and all installed systems.
4. CITY shall provide inspection services for the construction of the Project in
accorda.nce with CITY standards.
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H. Change Orders to Construction Contract. DEVELOPER shall obtain the written
approval of CITY before approving any change order to the constntction contract if
(a) the cost of the change order will exceed one percent (1%) of the contract price
or (b) the cumulative total of all previously approved change orders exceeds ten
percent (10%) of the contract price. In the event of a change order, CITY and
DEVELOPER shall execute an amendment to this Agreement to record the amount
of the change order to be reimbursed to DEVELOPER, if any. In the event that a
change order or other amendment to the construction contract results in a cost
savings, CITY and DEVELOPER shall execute an amendment to this Agreement to
reflect how the cost savings will be allocated between CITY and DEVELOPER.
I. Completion of the Project.
1. Upon final completion of the Project, DEVELOPER shall furnish to CITY
written certification that the Project has been completed in accorda.nce with the
approved plans. Within fifteen (15) days after delivery of the certificate of
completion, CITY shall either accept the same or provide a written itemization of
those matters it reasonably finds to be non-conforming with the approved plans, in
which case DEVELOPER shall promptly cause the remediation of all non-
conforming matters.
2. Upon completion of the Project, DEVELOPER shall deliver to CITY
comprehensive as-built drawings for the Project in both a reproducible, printed
format, on both mylar and in electronic files in AutoCAD format.
3. Upon completion of the Project, DEVELOPER shall complete all paperwork
necessary to assign to CITY the contractor's one (1) year warranty of the work and
materials on the Project.
4. Upon completion of the Project, DEVELOPER shall represent and warrant that
the Project is free and clear of all liens and encumbrances not created by or with the
written consent of CITY.
5. Upon completion of the Project, CITY shall issue an approval letter accepting
ownership to DEVELOPER.
Reimbursement to DEVELOPER.
1. Estimated Total Reimbursement. Because the DEVELOPER shall install,
construct and erect domestic water system as shown on Exhibit "B", the CITY shall
reimburse to the DEVELOPER that portion of the cost associated with the
construction that has been determined by CITY to be able to benefit properties other
than the user's, by refunding 40% of the assessment fee collected by CITY in
accordance with the City Ordinances 9-1-12 in effect at the time the Building
Permits are issued for DEVELOPER'S lots within DEVELOPER'S properiy, after
a 5.0% deduction for an administration fee, with the total reimbursement to the
DEVELOPER estimated at 22 349.95.
The CITY will make an audit of this agreement on a quarterly basis, beginning
three months from the date of this agreement, and reimburse the DEVELOPER in
accordance with this agreement from the assessment fees collected during the audit
period for the DEVELOPERS property, Volterra and Voltena South Subdivisions.
K. Term of Agreement. Payments shall continue under this agreement for a period of
10 (ten) years from the da.te of execution of this agreement by CITY, or until
DEVELOPER is reimbursed the amount estimated at 22 349.95 , whichever
occurs first. The City ordinance in effect at the time of execution of this agreement
does not allow the term of this agreement to extend beyond 10 (ten) years. If the
DEVELOPER has not been reimbursed the estimated amount as shown above after
ten (10) years from the date of this agreement, and if the CITY ordinance has been
amended to allow this agreement to be extended beyond a ten year period, then this
agreement may be extended by mutual Agreement of the CITY and the
DEVELOPER. This provision is intended to allow CITY to consider extending this
agreement if allowed by ordinance and does not commit CITY to agree to such an
extension if allowable.
L. Water and Sewer Lines on DEVELOPER's Propertv. As a condition for CITY
entering this Agreement, DEVELOPER has or will request and submit to
inspections by the Public Works Department and/or the Building Department of
CITY whenever a building is to be connected to any and all portions of the Project
constructed and installed on and/or within DEVELOPER's property.
M. Compliance with Laws.
1. In constructing and installing the Project on and/or within its property,
DEVELOPER, at its sole expense, shall comply with any and all laws, orders and
regulations of Federal, State and local authorities and at DEVELOPER's sole
expense shall obtain any and all licenses or permits which may be required for or in
the course of the performance of this Agreement.
2. Upon connection to the City of Meridian water and sanitary system,
DEVELOPER shall abide by all applicable CITY laws, rules and regulations
pertaining to water and sanitary sewer systems.
N. Indemnification and Insurance. DEVELOPER shall include in all contracts
between DEVELOPER and the contractors the indemnification and insurance
requirements as set forth in this paragraph. All contractors shall indemnify and save
and hold harmless CITY and DEVELOPER from and for any and all losses, claims,
actions, judgments for da.mages, and/or injtuy to persons or property and losses and
expenses caused or incurred by contractors, their servants, agents, employees,
guests, and/or business invitees, and not caused by or arising out of tortious conduct
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of CITY or its employees or its DEVELOPER. In addition all contractors shall
maintain, and specifically agrees that it will maintain, throughout the pendency of
this Agreement, liability insurance in which CITY and DEVELOPER shall be
named insured in the minimum amount as specified in the Idaho Tort Claims Act
set forth in Title 6, Chapter 9 of the Ida.ho Code. "The limits of such insurance shall
not be deemed a limitation of the covenants to indemnify and save and hold
harmless CITY and DEVELOPER, and if CITY and DEVELOPER become liable
for an amount in excess of the insurance limits herein provided City and
DEVELOPER covenants and agrees to indemnify and save and hold harmless
CITY from and for all such losses, claims, actions andlor judgments for damages
andlor liability to persons and/or property. DEVELOPER shall provide CITY with
a certificate of insurance or other proof of insurance evidencing DEVELOPER'S
compliance with the requirements of this paragraph by filing such proof of
insurance with the City Clerk. In the event the insurance minimums of the Idaho
Tort Claims Act are changed, CITY shall notify DEVELOPER of such change, and
DEVELOPER shall immediately submit proof of compliance with the changed
limit. City hereby indemnifies and saves and holds harmless DEVELOPER from
and for any and all losses, claims, actions judgments for damages, and/or injury to
persons or property and losses and expenses caused or incurred by CITY, its
servants, agents, employees, and those parties under the control or direction of the
CITY. The duty to indemnify shall also include the duty to defend DEVELOPER at
the CITI" S cost.
O. No Assignn~ent. DEVELOPER shall not assign any portion of this Agreement or
any privilege here under, either voluntarily or involuntarily, without the prior
written consent of the CITY, which consent shall not be unreasonably withheld.
P. Remedies upon Default.
1. Default by DEVELOPER. In addition to such other remedies at law or in equity
that CIT'Y may have, in the event DEVELOPER fails or neglects to perform its
obligations under the terms and provisions of this Agreement in the time and
manner required herein, CITY may withhold any reimbursement due to
DEVELOPER hereunder until such default is conected to the satisfaction of CITY.
2. Default by CITY. ln the event CITY fails or neglects to perform its obligations
under the terms and provisions of this Agreement in the time and manner required
herein, DEVELOPER shall be entitled to all remedies available at law or in equity.
Q. Attorne,~. Should either party find it necessary to employ an attomey for
representation in any action seeking enforcement of any provision of this
Agreement, or to recover damages for breach of this Agreement, or to resolve any
disagreement as to the interpretation of this Ageement, the unsuccessful party in
any final judgment or award entered pursuant to such action shall reimburse the
prevailing party for all reasonable costs, charges and expenses, including attomeys'
fees expended or incurred by the prevailing party in connection therewith and in
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connection with any appeal, and the same may be included in such judgment or
award. This provision shall be deemed to be a sepa.rate contract between the parties
and shall survive any default, termination or forfeiture of this Agreement.
R. Notices. Any notice desired by the parties and/or required by this Agreement shall
be sent via United States Mail, registered or certified mail, postage prepaid, return
receipt requested, and shall be addressed as follows:
CI'TY:
Meridian City Engineer
City of Meridian
660 E. Watertower, Suite #200
Meridian, Ida.ho 83642
with copy to:
City Clerk
City of Meridian
33 E. Idaho Ave.
Meridian, Ida.ho 83642
DEVELOPER:
Primeland Development Co., LLP
3120 W. Belltowere, Ste. 100
Meridian, Idaho 83642
Such notice shall be deemed delivered if and when delivery is accepted or three (3)
days after deposit in the United States Mail. Either party shall have the right to
change its address by delivering to the other party a written notification thereof in
accordance with the requirements of this section.
S. Governin Law. This Agreement shall be governed by and construed in accordance
with the laws of the State of Idaho and the ordinances of the City of Meridian.
T. Exhibits. All exhibits to this Agreement are incorporated by reference and made a
part of this Agreement as if the exhibits were set forth in their entirety in this
Agreement.
U. Entire A.,~reement. This Agreement and the exhibits hereto constitute the full and
entire understanding and agreement between the parties with regard to the
transaction contemplated herein, and no party shall be liable or bound to any other
Pe~Of I" ~
in any manner by any representations, warranties, covenants and agreements except
as specifically set forth herein.
V. Definition of DEVELOPER's Propertv. The term "DEVELOPER's Properiy" in
the Agreement shall mean the parcels shown on Exhibit "A" attached hereto, and
more specifically all of the properiy included in the Voltena and Volterra South
Subdivisions.
W. Binding Effect. This Agreement shall be binding upon and inure to the benefit of
the parties hereto and their heirs, successors and assigns, and shall survive any
transfer by DEVELOPER of DEVELOPER'S Property.
X. Reports and Information. At such times and in such forms as the CITY may
require, DEVELOPER shall furnish to CITY such statements, records, reports, data.
and information as the CITY may request perta.ining to matters covered by this
Agreement.
Y. Audits and Inspections. At any time during business hours and as often as the
CITY may deem necessary, there shall be made available to the CITY for
examination all of DEVELOPER's records with respect to all matters covered by
this Agreement. DEVELOPER shall permit the CITY to audit, examine, and copy
such records, and to make audits of all contracts, invoices, materials, payrolls,
records of personnel, conditions of employment and other data relating to all
matters covered by this Agreement.
Z. Construction and Severabilitv. If any part of this Agreement is held to be invalid or
unenforceable, such holding will not affect the validity or enforceability of any
other part of this Agreement so long as the remainder of the Agreement is
reasonably capable of completion.
IN WITNESS WHEREOF, the parties shall cause this Agreement to be executed by their
duly authorized officers the day and year first above written.
DEVELOPER: Primeland Development Co., LLP
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CITY:
BY: ~~ ~ . ~ l 1, Z~c~
TAMMY de RD, MAYOR Da1Ce
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Attest: ; ~' ~r~, y -~~
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STATE OF IDAHO )
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County of Ada )
On this 30+~ day of JuNE ,2008, before me the undersigned, a
Notary Public in and for said State, personally appeared ~t.~riN F~TGH ~
known or identified to me to be the person whose name is subscribed to the within
instrument, and acknowledged to me that he/she executed the saxne.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the
day and year first above written.
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Notary Pub c For ldaho ;? ~1~T~Ry
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Residing at: Canve-n Cr~u.v--Iv Calolwe~l .1D ~ p~jeL~G
Commission Expire5: I/ l I 12 o i?~ ''.,'j'J- O r
,~~'•~~8 OF 19A~-`~•
STATE OF IDAHO )
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County of Ada )
On this ~~ day of ,2008, before me the undersigned, a
Notary Public in and for said State, p rsonally appeared TAMMY de WEERD and
JACEE HOLMAN, known to me to be the Mayor and City Clerk of the City of Meridian,
Idaho, who executed the within instrument and acknowledged to me that they executed
the same on behalf of the City of Meridian
IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal the
day and year first above written.
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