Loading...
HomeMy WebLinkAboutReimbursement Agreement with Legacy Church for Sewer Service ReconfigurationE IDIAN~-- Public IDAHO Works Department TO: Mayor Tammy de Weerd Members of the City Council FROM: Ashley Newbry, E.I.T. Staff Engineer DATE: August 5, 2013 Mayor Tammy de Weerd City Council Mem6erfr Keith Bird Brad Hoaglun Charles Rountree David Zaremba SUBJECT: REIMBURSEMENT AGREEMENT WITH MGT LEGACY CHURCH FOR THEIR SEWER SERVICE RECONFIGURATION I. RECOMMENDED ACTION A. Move to: 1. Approve the Reimbursement Agreement for a sewer service reconfiguration with MGT Legacy Church 2. Authorize the Mayor to sign the agreement. II. DEPARTMENT CONTACT PERSONS Ashley Newbry, Staff Engineer Clint Dolsby, Asst. City Engineer Warren Stewart, PW Engineering Manager Tom Barry, Director of Public Works 489-0385 489-0341 489-0350 489-0372 Pnge 1 of 3 III. DESCRIPTION A. Back rground Currently, a timeworn sewer main runs south to north through the backyards of residents between Meridian Road and NW ls~, from Cherry Lane to Elm Avenue. Because of the poor condition and location of this utility, the City desires to abandon the sewer main within the next few years. At this time, the main serves the MGT Legacy Church building, which was constructed directly over the sewer mainline. Additionally, MGT Legacy Church desires to expand their existing facility. Due to development regulations, they will not be able to construct the building addition until the main has been abandoned beneath their existing building and proposed addition. IV IMPACT A. Strate ig c Im acct: MGT Legacy Church has obtained five bids for the construction necessary to move their sewer connection from beneath the building to the Meridian Road sewer main. City Staff recommends that the City enter into a reimbursement agreement with MGT Legacy Church to encow•age them to disconnect from the sewer main beneath their building. This action will facilitate the church building expansion and City sewer mainline needs. B. FiscalIm~: Project Cost: Reimbursement Agreement $19,938.00 Project Funding: Sewer Line Replacements (3590-95000) $19,938.00 V. VI. ALTERNATIVES A. The City could choose not to sign the Reimbursement Agreement with MGT Legacy Church, leaving the organization to fund their sewer reconfiguration. This could be a major impediment to their ability to move forward with the additional and would also prevent the City from abandoning the mainline in need of replacement. TIME CONSTRAINTS Council's approval within this fiscal year will allow this project to occur. Funding has been allocated from the FY2013 budget. If postponed, MGT Legacy Church may not be able to abandon their connection to the sewer main beneath their building. This would hold up the Church's construction and the City's mainline replacement. Page 2 of 3 VII. LIST OF ATTACHMENTS A. Reimbursement Agreement Approved for Council Agenda: to Prrge 3 of 3 REIMBURSEMENT AGREEMENT FOR CONNECTION TO WATER AND SEWER SERVICE: 1507 N. MERIDIAN ROAD This REIMBURSEMENT AGREEMENT FOR CONNECTION TO WATER AND SEWER SERVICE is made this 13th day of August, 2013, by and between the City of Meridian, a municipal corporation organized under the laws of the State of Idaho, whose address is 33 East Broadway Avenue, Meridian, Idaho (hereinafter "City"), and MGT Legacy Church Incorporated, a corporation organized under the law of the State of Idaho, whose address is 1507 N. Meridian Road, Meridian, Idaho (hereinafter "Customer") (collectively, "Parties"). WHEREAS, Customer is the owner of parcel number 89453000117, located at 1507 N. Meridian Road, Meridian, Idaho, in Ada County, Idaho (hereinafter "Subject Property"); WHEREAS, the City is authorized by Idaho Code section 50-332 to operate and maintain a domestic sewer system, and the City does exercise such authority, including by the adoption and enforcement of Title 9, Chapter 4, Meridian City Code; and WHEREAS, in or about June 2013, in conjunction with an Ada County Highway District road construction project on Meridian Road, the City of Meridian installed a sewer line adjacent to Customer's eastern property line; and WHEREAS, to improve efficiency and long-term viability of sewer service to the subject property and eliminate use of aging and improperly routed infrastructure, both Parties desire Chat Customer connect the building at Subject Property to the new sewer line on Meridian Road; and WHEREAS, Customer obtained five bids for the connection of the building at Subject Property to the new sewer line on Meridian Road, and the lowest bid for such work was Verl Roberts Construction; NOW, THEREFORE, for good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged and agreed, and in consideration of the mutual promises and covenants herein contained, and in consideration of the recitals above, which are incorporated herein, the Parties agree as follows: I. COMMITMENTS BY CITY. A. SEWER STUB. City shall install a stub from the City sewer system to Subject Property in order to facilitate connection of the building to the City sewer line along Meridian Road. B. CITY SEWER HOOKUP. 1. CUSTOMER TO IHRE CONTRACTOR. By 5:00 p.m. on Wednesday, August 14, 2013, Customer shall hire Verl Roberts Construction (2982 S. Sugar Plum, Eagle, Idaho) to, in accordance with the regulations of the Building Services Division of the City of Meridian Community Development Department, the City of Meridian Public Works Department, and any and all ocher applicable rules or laws, complete the work enumerated on the bid attached hereto as Exhibit A. REIMBORSEMENT AGREEMENT FOR CONNECTION OF W ATER AND SEWF,R SERVICE, 1507 N. MER1Dwv ROAD PAGE 1 of 6 2. CITY TO REIMBURSE CUSTOMER. Within fourteen (14) days of receipt of invoice from Customer and W-9 form completed and signed by Customer, provided that such work is completed and City has received such W-9 and invoice by 5:00 p.m. on Monday, September 16, 2013, City shall reimburse Customer for the amount invoiced, not to exceed $19,938.00, which payment shall constitute City's total remuneration for alt costs related to this Agreement. 3. BUILDBVG PERMITS. Customer specifically agree that it will obtain, or ensure that Verl Roberts Construction obtains, all necessary permits from the Building Services Division of the City of Meridian Community Development Department prior to initiating work under this agreement. Any fees applicable to required permits shall apply. C. PROVISION of SEWER SERVICES. At all times relevant hereunder, Ciry shall provide sewer services to the Subject Property, subject to the terms and conditions of this Agreement and any and all applicable laws and City ordinances. City shall bill Customer monthly for sewer usage according to the metering, accounting, and billing system in place under Meridian City Code and the policies and practices of the City of Meridian. D. TAXES. As reimbursement payments made pursuant to this Agreement do not constitute income to Customer, City will not issue IRS Form 1099 to Customer. IL COMMITMENTS BY CUSTOMER. A. PAYMENT FOR CITY SERVICES. Upon connection to the City's sewer system, Customer shall pay to City all applicable fees and costs for services provided, including, but not limited, to use fees, as such aze calculated and billed by City as set forth herein and established by law or City policy or ordinance. The exclusive remedy for any disputes, objections, or appeals regarding such fees and costs shall be with the Boazd of Adjustment, under the procedures set forth in Meridian City Code. B. OPERATION AND MAINTENANCE. Upon connection to the City's sewer system, Customer shall be solely responsible for any and all costs related to operation and maintenance of all portions and functions of the sewer system between the sewer line and the building served by the City sewer system. III. GENERAL PROVISIONS. A. TIME IS OF THE ESSENCE. The Parties acknowledge and agree that time is strictly of the essence with respect to each and every term, condition, and provision of this Agreement, and that the failure to timely perform any of the obligations hereunder shall constitute a breach and default hereunder by the Party so failing to perform. B. DEFAULT. Any failure to perform the terms and conditions of this Agreement, or any portion thereof, shall be a default hereunder. In the event of a default, the non-defaulting parry may serve a written Notice of Default upon the defaulting party by the method set forth herein. Except in case of an imminent or realized threat to the public health, safety, or welfare, the defaulting party shall have thirty (30) days following delivery of such notice to cure or correct the default before the non- defaultingparry may seek any remedy as provided herein. Notwithstanding any other provision of REIMBURSEMENT AGREP.MEN'r FOR CONNECTTON OF WATER AND SEWER SERVICE 1507 N. ML+RIUTAN ROAD Pace 2 of 6 this Agreement, this provision shall be binding upon the Parties and upon any and all successors in interest thereof. C. NoTicES. Any notice desired by the Parties or required by this Agreement shall be deemed delivered after deposit in the United States Mail, postage prepaid, addressed as follows: City: City of Meridian Public Works Department Director 33 E. Broadway Ave. Meridian, Idaho 83642 Customer: MGT Legacy Church Incorporated Attn: Rev. Ralph W. Lowe 1507 N. Meridian Road Meridian, Idaho 83642 Either Party may change its address for the purpose of this section by delivering to the other Party written notification of such change, establishing a new address for noticing purposes, in accordance with the requirements of this section. D. BINDING UPON SUCCESSORS. Except as otherwise specifically provided herein, this Agreement shall be binding upon any and all owners of the Subject Property, any and all subsequent owners thereof, and each and every other person acquiring an interest in the Subject Property. Nothing herein shall, or shall be construed to, in any way prevent the sale or alienation of the Subject Property, or any portion thereof, except that any sale or alienation shall occur subject to the provisions of this Agreement, and any successive owner or owners shall be both benefited and bound by the conditions and restrictions herein expressed. E. SF.VERABII,ITY. If any provision of this Agreement is held invalid by a court of competent jurisdiction, such provision shall be deemed to be excised herefrom and the invalidity thereof shall not affect any other provision or provisions contained herein. F. ATTORNEY TEES. Should any litigation be commenced between the parties hereto concerning this Agreement, the prevailing party shall be entitled, in addition to any other relief as maybe granted, to court costs and reasonable attorney fees as determined by such court. This provision shall be deemed to be a separate contract between the Parties and shall survive, inter alia, any default, termination, or forfeiture of this Agreement. G. FuvAL AGREEMENT. This Agreement sets forth all promises, inducements, agreements, conditions, and understandings between City and Customer relative to the subject matter hereof, and there are no promises, agreements, conditions, or understandings, either oral or written, express or implied, between City and Customer, other than as are stated herein. Except as otherwise specifically provided herein, no subsequent alteration, amendment, change, or addition to this Agreement shall be binding upon the Parties unless set forth in writing and duly executed by both Parties or their successors in interest. H. NoN-wAtvER. Failure of either Party to promptly enforce the strict performance of any term of this Agreement shall not constitute a waiver or relinquishment of any Parry's right to thereafter enforce such term, and any right or remedy hereunder maybe asserted at any time after either parry becomes entitled to the benefit thereof, notwithstanding delay in enforcement. All rights and remedies herein enumerated shall be cumulative and none shall exclude any other right or remedy REIMBURSEMENT AGREEMENT FOR CONNECTTGN OF WATER AND SEWER SERVICE ] 507 N. MERIDIAN ROAD PAGE 3 of 6 allowed by law. Likewise, the exercise of any remedy provided for herein or allowed by law shall not be to the exclusion of any other remedy. I. COMPLIANCE WITH LAWS. Throughout the course of this Agreement, the Parties shall comply with all applicable laws, ordinances, and codes of Federal, State, and local governments. This Agreement shall be governed by and construed and enforced in accordance with the laws of the State of Idaho, and the ordinances of the City of Meridian. The City's ordinances appertaining to the regulation, control, and use of its sewer and water systems, and any prospective amendments to and/or recodifications thereof, are specifically and without limitation incorporated into this Agreement as if set forth fully herein. J. ADVICE OF ATTORNEY. Each party warrants and represents that in executing this Agreement, it has received independent legal and financial advice from its attorney and/or financial advisor, or has had adequate opportunity to seek such advice. K. APPROVAL REQUIRED: This Agreement shall not become effective or binding until approved by the City Council of the City of Meridian. IN WITNESS WHEREOF, the parties hereto have executed this Agreement on this 13th day of August, 2013. MG LEGACY CHURCH: . ~ '- Ralph .Lowe ~ ----~ ~ Puma saa or CITY OF MERIDIAN: BY: STATE OF IDAHO ) ss: County of ~) ~ ~ _ I HEREBY CERTIFY that on this I 'day of 5 ~ ,~ before the undersigned, a Notary Public in the State of Idaho, personally appeared RALPH W. LOWS, proven to me to be the person who executed the said instrument, and acknowledged to me that she executed the same. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal, the day and year in this certificate first above written. Notary Pu is for Idaho < Residing at ~ ~ 47 ~ `~ ,Idaho My Commission Expires: / ~ ~ ~ ~ p'C~~~ A uCU r Tammy de rd, Mayor E IDIA IDAHO s C' ~" ~^ SF.Ai, ~ F ~ yT VA FR ~~rdr THE ~$~46 Holman, City Clerk REIMBURSEMENT AGREEMENT FOR CONNECTION OF WATER AND SEWER SERVICE 1507 N. MERIDIAN ROAD PAGE 4 OF 6 EXHIBIT A BID FROM VERL ROBERTS CONSTRUCTION REIMBURSBMENP AGREEMENT FOR CONNECTION OF WATER AND SEWER SERVICE 1507 N. MERIDIAN ROAD PAGE 5 OF 6 4-24-13 Revised bid 7-15-13 Legacy church basement sewer reconnection. 1507 N Meridian. Interior: Saw & remove carpeted concrete in basement floor, regrade & run 60 ft of new sewer pipe to exterior of building. ProCect basement from spread of dust & debris during work. All removal & replacement of basement materials must be hand carried in & out, Basebd needs to be removed where carpet is removed & replace, Exterior: Work to be accessed from & on adjoining property. Existing driveway to be removed & repoured. Do to depth of sewer(14 or 15 ft) at new tap, work should be done with a tracldioe to load trucks & excavate deep. Do to depth trench shoring is required. Have had 3 normal bidders look & decline to get involved. Saw cutting & basement concrete removal. A-Core 900.00 Carpet removal & replacement, Majestic Flooring 2,412.00 Baseboard removal & replacement. 110 ft 250.00 Basement protection & clean up, materials 40, labor 10 C~30 340.00 Plumbing, excavation, demolition, bacldill & compaction by Bob Inselman Plumbing & excavation 7,182.00 Basement concrete replacement materials 360.00 Concrete labor 16hrsCa 30 480.00 Drain grate for new driveway to existing drain pipe 385.00 Fine grade materials & concrete for new driveway 1,525.00 Prep labor 16t?a 30 480.00 Labor to set & pour $ 2.55 for 1025 sq ft. 2,614.00 General Contrator labor for bidding & supervision 40@30 1,200.00 Contractor markup 10% 1,810.00 Total bid 19,938.00 Bid submitted by Verl Roberts Construction RGT 1997 2982 S Sugar Plum Eagle Id 83616 Fax 84.6-8219 Ce11866-2132