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HomeMy WebLinkAboutOrdinance 46210 ORDINANCE NO. 4 6 21 AN ORDINANCE WAIVING THE REQUIREMENTS OF FORMAL COMPETITIVE BIDDING AND APPROVING A COST -SHARE AGREEMENT WITH TERMINELLA, INC. IN THE AMOUNT OF $8%120.00 FOR UPSIZING APPROXIMATELY 5,200 FEET OF 8-INCH WATER MAIN TO 12-INCH WATER MAIN; APPROVING A PROJECT CONTINGENCY OF $13,368.00; AND APPROVING A BUDGET ADJUSTMENT IN THE AMOUNT OF $102,488.00 FOR SAME. WHEREAS, the Fayetteville Planning Commission has approved the Preliminary Plats for Terminella, Inc.'s proposed Grand Valley Estates and Grand Valley Stables subdivisions, with the recommendation for a cost share agreement to upsize approximately 5,200 feet of 8-inch water main to 12-inch water main, and; WHEREAS, entering into a cost -share agreement with Terminella, Inc. and utilizing their engineer and contractor will avoid the added cost and unnecessary duplication of effort which would arise from the formal competitive bidding process, and; WHEREAS, the City Council finds that such circumstances constitute an exceptional situation where competitive bidding is not feasible or practical. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council of the City of Fayetteville, Arkansas hereby finds thav'such circumstances constitute an exceptional situation where competitive bidding is not feasible or practical, and waives the requirements of formal competitive bidding and approves a cost -share agreement with Terminella,, Inc. in the amount of $89,120.00 for upsizing approximately 5,200 feet of 8-inch water main to 12-inch water main. Section 2. That the City Council of the City of Fayetteville, Arkansas hereby approves a project contingency of $13,368.00. Section 3. That the City Council of the City of Fayetteville, Arkansas hereby approves a budget adjustment in the amount of $102,488.00 for same. PASSED AND APPROVED this 2 1 " day of September 2004. ATTEST: -- CONTRACTU ,L AGREEMENT This Agreement, made and entered into this!3(4 by and between the City of Fayetteville, Arkansas and Terminella, Inc., Witnesseth: WHEREAS, Terminella, Inc., will be hiring a contractor for the construction of two residential subdivisions on the north side of Guy Terry Road east of Howard Porter Road; and WHEREAS, there is an existing 18" water line along Gully Road that the developer will be connecting to. The developer will be extending an 8" main from this point north along Howard Porter road and then east along Guy Terry Road to the project sites to provide water service to the developments; and WHEREAS, it will benefit the City of Fayetteville to upgrade a portion of this 8" water main extension to a 12" main from the point of connection north along Howard Porter Road to the intersection of Guy Terry Road.. This upgrade will continue the creation of a 12" water main grid in this area. NOW, THEREFORE, the City of Fayetteville and Terminella, Inc. agree as follows: Upon the City Council and/or the Mayor approving the Water Main Cost -Share, the City of Fayetteville agrees to: A. Pay for 100% of the actual documented construction costs for the upsizing to a 12" water main along Howard Porter Road. B. Pay a maximum -not -to -exceed cost of $102,488.00 for the afore mentioned water main construction as was provided by Terminella, Inc. and made a part of this agreement. C. Reconsider the costs if the future and actual construction prices exceed the maximum -not -to -exceed amount that was furnished by Terminella, Inc. The contractual agreement shall be required to be reevaluated and re- approved by the Mayor and/or City Council as appropriate prior to proceeding with construction. D. Make all efforts to provide payment to Terminella, Inc. within thirty (30) days after receipt of the invoice(s) but cannot guarantee the thirty day schedule. Terminella, Inc. agrees to: A. Provide the necessary and normal project management, inspection, and testing as necessary for a complete and acceptable water main installation. B. Provide a copy of the invoice(s) from the Contractor and a completed lien waiver executed by the Contractor upon acceptance of the water main installation. C. Not proceed with the proposed construction unless/until the proposed contractual agreement is approved by the City Council and/or the Mayor. It is further understood that the contract for construction is between Terminella, Inc. and his Contractor and that the City has no contractual obligation with either the Contractor or the Engineer. The City's only obligation shall be to participate in a contractual agreement with a not -to -exceed amount of S 102,488.00 for the water main upgrade. IN AGREEMENT WITH ALL THE TERMS AND CONDITIONS ABOVE, WE SIGN BELOW: CITY OF FAYETTEVILLE LZ Terminella, hc. i By: of Fayetteville, Arkansas itdget Adjustment Form • Budget Year Department: Impact Fee Expense - Date Requested Adjustment Number Division: 2004 Program: 9/21 /2004 Project or Item Requested: Project or Item Deleted: $1020488 is requested in the Water Line Improvements None. To recognize $102,488 in the Water Impact Fee account of the Water Impact Fee Cost Sharing Projects Revenue account. capital project. . The funding is required to approve a cost share project with Terminella, Inc. for the construction of water mains. Justification of this Decrease: Currently, $464,089 has been collected for Water Impact Fees since 2003. There is sufficient fund balance remaining to comply with City objectives. increasersuuget tecreasettevenue) Account Name Account Number Amount Project Number Water line improvements 2300 93001 5808 00 102,488 04039 1 Decrease Budget (Increase Revenue) Account Name Account Number Amount Project Number Water Impact Fee Revenue 2300 0930 4421 00 1021488 Approval Signatures Budget Office Use Only Type: A B C D( ) E Requested By Date / �5ger te Bridge[ Mai er Date Department Director Date 4? J w w Date Date of Approval Initial Date Posted to General Ledger Initial Date Posted to Project Accounting Initial Date Entered in Category Log Initial Date NAME OF FILE: Ordinance No. 4621 w/ Agreement & budget adjustment form CROSS REFERENCE: Item # Date Document 1 08/30/04 memo to mayor & City Council 2 draft ordinance 3 letter from Norwest Excavation to Matt Casey 4 copy of One Mile View 5 2nd copy of One Mile View 6 copy of map 7 copy of purchase requisition 8 Staff Review 9 memo to Matt Casey 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 NOTES: • • 4/z/ /of City Council Meeting of September 21, 2004 yG Zi �rwi In CITY COUNCIL AGENDA MEMO�✓�,� lee To: Mayor and City Council Thru: Hugh Earnest, Chief Administrative Officer From: Tim Conklin, Community Planning and Engineering Services Director Date: August 30, 2004 Subject: Proposed Grand Valley Cost Share in the amount of $89,120.00 with a contingency of $13,368.00 with Terminella, Inc. for the upsizing of approximately 5200 feet of 8" water main to a 12" water main. RECOMMENDATION Staff recommends that the City cost -share with Terminella, Inc., the developer, to upsize approximately 5200 feet of 8" water main to a 12" main. By participating in the construction of these improvements, the City will be continuing a 12" grid in the water main system in this area. On February 23, 2004, the Planning Commission approved the Preliminary Plats for Grand Valley Estates and Grand Valley Stables Subdivisions. The proposed developments are located in the Fayetteville Planning Area on the north side of Guy Terry Road east of Howard Porter Road. As a part of this development, the developer will be constructing an off -site water main extension to provide water service to the site. DISCUSSION There is existing 18" water main along Gully Road. As a part of the development, the developer is required to connect to this main and extend an 8" main along Howard Porter Road and Guy Terry Road to the subdivisions and terminate the water main at the east end of their development. This cost -share agreement is to upgrade the main from the point of connection along Howard Porter Road to the intersection with Guy Terry Road. It would benefit the City to cost -share with the developer for the construction of this portion of the planned 12" grid. RM • City Council Meeting of September 21, 2004 Construction estimates have been provided to the City for these improvements by Terminella, Inc. as follows: Developer's Share $171,610.00 City's Share $ 899120.00 15% Contingency(City's Share) $ 13,368.00 Total $2749098.00 BUDGETIMPACT The funds for this water line distribution project will come from the Impact Fee Fund's use of fund balance. The water impact fee methodology "Buy -In Approach" is based partially on the cost of a water line distribution and transmission system of 12" lines and larger. Currently, $464,089 has been collected for Water Impact Fees since 2003. A budget adjustment is attached with this request to fund the proposed project. The final costs to the City will be based upon actual costs as documented by Terminella, Inc.subject to review by the City and may, or may not exceed the submitted estimate. However, the City's share will not exceed the estimate without additional authorization. ORDINANCE NO. AN ORDINANCE WAIVING THE REQUIREMENTS OF FORMAL COMPETITIVE BIDDING AND APPROVING A COST -SHARE AGREEMENT WITH TERMINELLA, INC. IN THE AMOUNT OF $8%120.00 FOR UPSIZING APPROXIMATELY 5,200 FEET OF 8-INCH WATER MAIN TO 12-INCH WATER MAIN; APPROVING A PROJECT CONTINGENCY OF $13,368.00; AND APPROVING A BUDGET ADJUSTMENT IN THE AMOUNT OF $102,488.00 FOR SAME. WHEREAS, the Fayetteville Planning Commission has approved the Preliminary Plats for Terminella, Inc.'s proposed Grand Valley Estates and Grand Valley Stables subdivisions, with the recommendation for a cost share agreement to upsize approximately 5,200 feet of 8-inch water main to 12-inch water main, and; WHEREAS, entering into a cost -share agreement with Terminella, Inc. and utilizing their engineer and contractor will avoid the added cost and unnecessary duplication of effort which would arise from the formal competitive bidding process, and; WHEREAS, the City Council finds that such circumstances constitute an exceptional situation where competitive bidding is not feasible or practical. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1. That the City Council of the City of Fayetteville, Arkansas hereby finds that such circumstances constitute an exceptional situation where competitive bidding is not feasible or practical, and waives the requirements of formal competitive bidding and approves a cost -share agreement with Terminella, Inc. in the amount of $89,120.00 for upsizing approximately 5,200 feet of 8-inch water main to 12-inch water main. Section 2. That the City Council of the City of Fayetteville, Arkansas hereby approves a project contingency of $13,368.00. Section 3. That the City Council of the City of Fayetteville, Arkansas hereby approves a budget adjustment in the amount of $102,488.00 for same. PASSED AND APPROVED this 21" day of September 2004. APPROVED: DAN COODY, Mayor ATTEST: By: SONDRA SMITH, City Clerk E NABHOtj , o Building Integrity 3301 Nonh 2nd • P.O. Box 277 • Rogers, Arkansas 72757 • Ph 479-636-7795 • Fax 479-621-8089 ■ w ..nebholzsom August 12, 2004 Mr. Matt Casey ?fae 57 P.n t {{{ ��� CITY OF FAYETTEVILLE ENGINEERING ` `-tin I(�I 113 West Mountain CiS�S II�J' Fayetteville, AR AUG 1 3 2004 RE: Revised Proposal -----------�{ Grand Valley Stables and Grand Valley Estates, 12" Waterline Extension Dear Mr. Casey: Terminella Inc. has proposed to install an 8" waterline from an existing 18" main to the proposed developments of Grand Valley Stables and Grand Valley Estates on Guy Terry Rd. This new waterline will extend approximately 5200 If from a new connection at the intersection of Howard Porter Rd and Gulley Rd to the Grand Valley Stables subdivision. Northwest Excavation has been contracted by Terminella Inc to perform this work. Our contract with Terminella Inc. for this "off - site" portion of the waterline improvements is $171,610.00 (one hundred seventy-one thousand six hundred ten dollars and no/100). Per a request from the City of Fayetteville, Terminella Inc. has directed Northwest Excavation to provide a proposal to the for "up -sizing" the 5200 If of water line from 8" PVC to 12" PVC. Our price for this up -grade is $89,120.00 (eighty-nine thousand one hundred twenty dollars and no/100) which includes the necessary insurance, taxes, labor, equipment and materials. This price includes the additional costs for up -sizing the proposed 8" offsite water main depicted on the project drawings as per Engineering Services, Inc. (dated April 2004 sheets 1-13 for Grand Valley Stables) to a 12" main. We have based this cost on the following scope of work: Furnish and install 12" x 18" tapping sleeve and valve in lieu of 8" x 18" Furnish and install approx. 5200 If of 12" C-900 PVC water main in lieu of 8" PVC Furnish and install 5 ea 12" butterfly valves in lieu of 8" gate valves Furnish and install 12" DIP fittings in lieu of 8" fittings Provide bonds and insurance as required by the city of Fayetteville Please note that this price excludes. 1. Rock excavation — if rock excavation is necessary, the quantity of rock attributable to the trench dimensions for a 12" waterline in lieu of an 8" waterline will be charged at a rate of $150.00 per cubic yard. 2. Relocation or removal of conflicting existing utilities If you have any questions, please do not hesitate to call. 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Approval of a budget adjustment COST TO CITY: $102,488.00 Cost of this request 2300.9300.5808.00 Account Number Category/Project Budget Water Impact Fee Cost Sharing Projects Program Category / Project Name $ - Water & Sewer Improvements Funds Used to Date 04039,1 Project Number Remaining Balance B�UD^/GE/T VIEW• �i Budgeted Item Budget Mana er Date REVIEW: ing Manager Date 7a W� Q3 City Atto4ney Date Program / Project Category Name Fund Name Budget Adjustment Attached Internal Auditor Purchasing Manager IBM Date STAFF RECOMMENDATION: Staff recommends approval of the budget adjustment, cost share and bid waiver." YReceived in Mayor's Office Q Division Head Date Date epartment Director Fi�&�ervices Dir&�ervices Dir. Date 9WA64 f2l;6f C?Uf,olministrative Officer Date Mayor Date Cross Reference: Previous Ord/Res#: Orig. Contract Date: Orig. Contract Number: New Item: Yes No FAYETTE)ALLE � THE CITY OF FAYETTEVILLE, ARKANSAS City Clerk Division 113 West Mountain Fayetteville, AR 72701 Telephone: (479) 575-8323 DEPARTMENTAL CORRESPONDENCE To: Matt Casey Engineering Division From: Clarice Buffalohead-Pearman� City Clerk Division Date: September 29, 2004 Re: Ordinance No. 4621. The City Council passed the above ordinance, September 21, 2004, waiving the bid requirements allowing a cost -share agreement with Terminella, Inc. for upsizing water main. I have attached a copy of the ordinance and budget adjustment. Also attached is your original purchase requisition and three of four original agreements. This ordinance will be recorded in the city clerk's office and microfilmed. If anything else is needed please let the clerk's office know. Attachment(s) cc: Nancy Smith, Internal Auditor Barbara Fell, Budget & Research