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HomeMy WebLinkAboutItem 08 - Wall Street ImprovementsM MEMO TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: BRUNO RUMBELOW, CITY MANAGER 6 � MEETING DATE: SUBJECT RECOMMENDATION: DECEMBER 19, 2006 COST PARTICIPATION CONTRACT — WALL STREET IMPROVEMENTS City Council consider approving a Cost Participation Contract with Grapevine Station, LLC and Triple "T" Farms, Ltd. for the joint public/private partnership in the construction of Wall Street Improvements and a 16" waterline at an estimated cost to the City of $368,614.00, authorize the City Manager to execute said contract, and take any necessary action. FUNDING: Funding Source Account Amount Award Percent Wall St Per St Fee 178-21513-000 $97,609.00 $97,609.00 10.29% Utility Bonds 95 200-48930-534-1- $66,169.00 $66,169.00 6.98% 000020WA Utility Bonds 96 200-48930-534-2- $204,836.00 '$204,836-00 21.59% 000007WA Private Developer N/A $580,021.00 61.14% TOTAL $948,635.00 $368,614.00 100.00% Budget Amount Award Percent Engineering $22,500.00 $22,500.00 2.37% Construction $829,682.00 $304,827.00 87.46% Contingency $96,453.00 $41,287.00 10.17% TOTAL $948,635.00 $368,614.00 100.00% 0:\agenda\2006\12-19-06\Wall Street Dev Contract Memo BACKGROUND INFORMATION: The development of Grapevine Station and Grapevine Crossing, located respectively on the south and north side of Wall Street at the Texan Trail intersection, necessitates the widening of Wall Street adjacent to their frontage, a length of approximately 635 linear feet. Since the roadway is on the City's Thoroughfare Plan, the City is obligated to participate in the roadway widening costs in an amount equal to 1/3 of the total project cost, excluding engineering. The City's 1/3 cost for the roadway widening is estimated to be $97,609.00. The developer's cost for roadway widening is estimated to be $195,217.00. In addition, the City currently has a 50 year old 16" waterline adjacent to the existing pavement of Wall Street. The widening of Wall Street will result in the old water line being located beneath the new pavement. In light of the age of the pipe, this is not a desirable situation. The City will fund the engineering and construction of a new 16" waterline to replace the segment of the old 16" pipe along Wall Street and crossing Texan Trail. The cost for the 16" waterline replacement is estimated to be $271,005.00. The developer's cost for water and wastewater improvements is $384,804.00. The City's total estimated cost is $368,614.00 and the Developers total estimated cost is $580,021.00. The total project will be undertaken by the developer and his contractor and inspected by the City. Payment of the City's share of the total project cost will be made at the completion and acceptance of the project. Staff recommends approval. JSL 0:\agenda\2006\12-19-06\Wall Street Dev Contract Memo STATE OF TEXAS § COUNTY OF TARRANT § COST PARTICIPATION CONTRACT CITY OF GRAPEVINE § WHEREAS, Grapevine Station, LLC, a Texas Limited Liability Corporation and Triple "T" Farms, Ltd., a Texas Limited Partnership, hereinafter referred to as "Owners," are the owner of tracts of land in the City of Grapevine, Tarrant County, Texas, a Texas home -rule City, hereinafter referred to as "City", which tracts of land ("Subject Property") are more specifically described as Lot 1, Block 1, Grapevine Corners Addition and Lot 1, Block 4, Grapevine Station Addition, City of Grapevine, Tarrant County, Texas, incorporated herein for all purposes; and WHEREAS, Development of Subject Property generates a volume of traffic which necessitates the construction of street improvements ("the Project") on Wall Street extending from the Texan Trail intersection west for a distance of approximately 635 feet to provide principal access to subject property; and WHEREAS, the City's approved Thoroughfare Plan identifies Wall Street as a two (2) lane collector roadway from Main Street to Texan Trail; and WHEREAS, the City, pursuant to its ordinances, acknowledges a degree of responsibility to participate in the construction of the Project to accommodate the traffic volumes projected in the Thoroughfare Plan for this corridor; and WHEREAS, the construction of the Project shall be undertaken by Grapevine Station, LLC, (hereinafter referred to as the "Owner"), in order to market the property as long-term investment property, and the "City" with the City providing $ 368,614.00 in funding from utility bonds and periphery street fees received for Wall Street and the "Owner" providing the balance of the funds necessary to construct the Project; and WHEREAS, the design and construction of the Project shall be undertaken by the "Owner" at their sole cost; and WHEREAS, for the purposes of this Cost Participation Contract, the City and the "Owner' agree that the "Total Cost" shall be defined as the final construction cost of the Project including: Construction, Material Testing, and ten percent (10%) contingencies, estimated to be $ 948,635.00; and WHEREAS, the "Owner' and City agree that the scope of the Project shall consist of the installation of street improvements, including pavement, curb and gutter, underground storm drainage, curb inlets, approximately 1,222 LF of 16" water line, water line adjustments and wastewater line adjustments as needed as well as other appurtenances incidental to the pursuit of said construction, and O:\contract\Wall St and Water Contract 12-19-06 WHEREAS, the "Owner" and City agree that the City's participation in the funding of the Project is estimated to be $ 368,614.00 and is comprised of 1/3 of the roadway improvements cost and the entire cost of design and construction for the 16" water line; and WHEREAS, State law provides the opportunity for cities to participate with private development in the construction of public improvements; and WHEREAS, the "Owner" agrees that the participation in the cost of the Project is estimated to be $ 580,021.00 representing the balance of the estimated Total Cost of the Project; and WHEREAS, the "Owner" agrees that the contracting for the construction of said Project shall be by the "Owner"; and WHEREAS, the "Owner" and City agree the contract for the construction of the Project shall be exclusively between the "Owner" and the contractor and that the City shall have no contractual relationship with the contractor within the scope of the "Owner" contract for the construction of this Project, and WHEREAS, the "Owner" agrees that the construction contractor shall be required to provide a performance, payment and maintenance bonds. Said performance and payment bonds shall be issued by an approved surety company holding a permit from the State of Texas to act as surety (and acceptable according to the latest list of companies holding certificates of authority from the Secretary of the Treasury of the United States), shall be issued in the name of the City, and shall be issued in the full amount of the cost to construct the Project; and Said maintenance bond shall be issued by a an approved surety company holding a permit from the State of Texas to act as surety (and acceptable according to the latest list of companies holding certificates of authority from the Secretary of the Treasury of the United States), shall be issued in the name of the City of Grapevine, shall be issued in an amount of twenty-five percent (25%) of the total construction cost of the Project, and shall extend for a period of two years from the date of acceptance of the Project by the City; and WHEREAS, the "Owner" agrees that the contractor shall provide insurance for the Project as stipulated by the City in amounts meeting the City's minimums for Public Construction Projects; and WHEREAS, the "Owner" agrees that said insurance shall name the City of Grapevine and the State of Texas as additional insured; and O:\contract\Wall St and Water Contract 12-19-06 K WHEREAS, the City agrees to provide its share of the funding to "Owner, upon the City's acceptance of the Project; and NOW, THEREFORE, the parties to this Contract, the City and the "Owner", do enter into this Cost Participation Contract, for good and valuable consideration, the receipt and sufficiency of such consideration being hereby acknowledged, and in the mutual promises and mutual benefits that flow to each party, do hereby contract, covenant, warrant, and agree as follows: Section 1. That all matters stated in the preamble above are found to be true and correct and are incorporated into the body of this Cost Participation Contract as if copied verbatim in their entirety. Section 2. That the "Owner" hereby agrees to construct roadway and waterline improvements as herein described to provide adequate traffic capacity to serve the proposed development of Subject Property. The Project shall comply with City ordinances and State of Texas requirements. Section 3. The "Owner" hereby agrees, at its sole cost, to employ a civil engineer registered in the State of Texas to prepare and seal the construction plans of the roadway improvements prior to construction. Section 4. The "Owner' hereby agrees, at its sole cost, to contract with said registered civil engineer to provide Construction Phase Engineering Services to the City during the construction of the Project. Section 5. That the "Owner' and City agree to construct the Project and to share in the Total Cost of the Project, as established in this Cost Participation Contract. The City shall make payment to the "Owners" upon completion of the Project and acceptance by the State. Section 6. Indemnity Provisions. The "Owner" shall waive all claims, fully release, indemnify, defend and hold harmless the City and all of its officials, officers, agents, consultants and employees in both their public and private capacities, from any and all liability, claims, suits, demands or causes of action, including all expenses of litigation and / or settlement which may arise by injury to property or person occasioned by error, omission, intentional or negligent act of "Owner", its officers, agents, consultants and employees arising out of or in connection with this Contract, or on or about the property, and "Owner" will, at its own cost and expense, defend and protect the City and all of its officials, officers, agents, consultants and employees in both their public and private capacities, from any and all such claims and demands. Also, "Owner" agrees to and shall indemnify, defend and hold harmless the City and all of its officials, officers, agents, consultants and employees in both their public and private capacities, from and against any and all claims, losses, damages, causes of action, suit and O:\contract\Wall St and Water Contract 12-19-06 3 liability of every kind, including all expenses of litigation, court costs and attorneys' fees for injury to or death of any person or for any damage to any property arising out of or in connection with the construction under this Contract on or near the Subject property. This indemnity shall apply whether the claims, suits, losses, damages, causes of action or liability arise in whole or in part from the intentional acts or negligence of "Owners" or any of their officers, officials, agents, consultants and employees, whether said negligence is contractual, comparative negligence, concurrent negligence, gross negligence or any other form of negligence. The City shall be responsible only for the City's primary negligence. The provisions above in this Section 6 shall apply only to errors, omissions, and acts occurring during the construction of the Project and not afterwards. Provided, however, that nothing contained in this Contract shall waive the City's defenses or immunities under Section 101.001 et seq. of the Texas Civil Practice and Remedies Code or other applicable statutory or common law. Section 7. Indemnity Aqainst Design Defects..Approval of the City Engineer or other City employee, official, consultant, employee, or officer of any plans, designs or specifications submitted by the "Owner" under this Contract shall not constitute or be deemed to be a release of the responsibility and liability of the "Owner", their engineer, contractors, employees, officers, or agents for the accuracy and competency of their design and specifications. Such approval shall not be deemed to be an assumption of such responsibility or liability by the City for any defect in the design and specifications prepared by the consulting engineer, his officers, agents, servants, or employees, it being the intent of the parties that approval by the City Engineer or other City employee, official, consultant, or officer signifies the City's approval of only the general design concept of the improvements to be constructed. In this connection, the "Owners" shall, for a period of one (1) year following the City's acceptance of the Project, indemnify and hold harmless the City, its officials, officers, agents, servants and employees, from any loss, damage, liability or expense on account of damage to property and injuries, including death, to any and all persons which may arise out of any defect, deficiency or negligence of the engineer's designs and specifications incorporated into any improvements constructed in accordance therewith, and the "Owners" shall defend at his own expense any suits or other proceedings brought against the City, its officials, officers, agents, servants or employees, or any of them, on account thereof, to pay all expenses and satisfy all judgements which may be incurred by or rendered against them, collectively or individually, personally or in their official capacity, in connection herewith. Section 8. Approval of Plans The "Owner" and City agree that approval of plans and specifications by the City shall not be construed as representing or implying that improvements built in accordance therewith shall be free of defects. Any such approvals shall in no event be construed as representing or guaranteeing that any improvement built in accordance therewith will be designed or built in a good and workmanlike manner. Neither the City nor its elected officials, officers, employees, contractors and/or agents shall be responsible or liable in damages or otherwise to O:\contract\Wall St and Water Contract 12-19-06 4 anyone submitting plans and specifications for approval by the City for any defects in any plans or specifications submitted, revised, or approved, in the loss or damages to any person arising out of approval or disapproval or failure to approve or disapprove any plans or specifications, for any loss or damage arising from the non-compliance of such plans or specifications with any governmental ordinance or regulation, nor any defects in construction undertaken pursuant to such plans and specifications. Section 9. Upon completion of the construction of the Project, the Project and all appurtenances thereto shall become the property of and shall be maintained by the City (subject to the warranties of the contractor performing the work). Section 10. Notwithstanding anything in this Contract, nothing herein waives any right of immunity available to the City under applicable law. With respect to any indemnity provided for herein from "Owner" to City, "Owner" do not assume any liability for damages above and beyond what is recoverable against the City itself based on immunity or damage limits applicable to the City. Section 11. This Contract shall not be assignable without the express written consent of City and "Owners." Executed this Day of , 2006. OWNER: CITY OF GRAPEVINE, TEXAS Grapevine Station, LLC By: Gary H. Hazlewood STATE OF O:\contract\Wall St and Water Contract 12-19-06 5 Bruno Rumbelow, City Manager APPROVED: City Attorney COUNTY OF Before me, a notary public, on this day personally appeared , known to me to be the person whose name is subscribed to the foregoing document and acknowledged to me that he executed the same for the purposes and consideration therein expressed. Given under my hand and seal of office this day of 2006. Notary Public Signature Notary Public Printed or Typed Name My commission expires: STATE OF COUNTY OF Before me, a notary public, on this day personally appeared , known to me to be the person whose name is subscribed to the foregoing document and acknowledged to me that he executed the same for the purposes and consideration therein expressed. Given under my hand and seal of office this day of , 2006. Notary Public Signature Notary Public Printed or Typed Name My commission expires: O:\contract\Wall St and Water Contract 12-19-06 0 Z W W LL C) C) CN ,-; I 61 ism I il W; . . . . . . . . ....