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HomeMy WebLinkAbout160-04 RESOLUTION• RESOLUTION NO. 160,04 A RESOLUTION TO APPROVE A SETTLEMENT WITH BENHAM COMPANIES, INC. IN WHICH BENHAM PAYS $50,000.00 IN SATISFACTION OF ADDITIONAL EMPLOYEE TIME AND SUPPLIES NEEDED FOR THE DICKSON STREET ENHANCEMENT PROJECT WHEREAS, without admitting liability, The Benham Companies, Inc has agreed to pay Fifty Thousand Dollars ($50,000.00) to settle "all currently known claims" including the additional City of Fayetteville employee time and resources needed to complete the Dickson Street Enhancement Project; and WHEREAS, this agreement "does not release any potential claims or causes of action from problems, defects, deficiencies or mistakes ... which are not now known by the City of Fayetteville. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS - Section 1: That the City Council of the City of Fayetteville, Arkansas hereby approves the Release attached as Exhibit "A" to release presently known claims against The Benham Companies, Inc. for its payment to the City of Fayetteville of Fifty Thousand Dollars, ($50,000.00) and authorizes the Mayor to sign this Release. PASSED and APPROVED this 5th day of October, 2004. ATTEST: By: ....RK/TR''..,'. f <^i . '/3_ :FAYETTEVILLE: %,13'' :5 ANSPSSe1411, N SONDRA SMITH, City Clerk By: APPROVED: DAN COODY, Mayor • • RELEASE For and in consideration of the payment to the City of Fayetteville, Arkansas, of the sum of Fifty Thousand Dollars ($50,000.00), the City of Fayetteville releases The Benham Companies, Inc. from any claim by the City of Fayetteville related to additional costs for materials and the additional time spent by the City of Fayetteville employees performing work that should or might not have been necessary had The Benham Companies, Inc. done a more complete and accurate job for the Dickson Street Enhancement Project. The Benham Companies, Inc. and the City of Fayetteville agree this Release is a compromise of disputed claims and is not an admission of liability by Benham. This Release covers all currently known claims that The City of Fayetteville now has against Benham, but does not release any potential claims or causes of action from problems, defects, deficiencies, or mistakes for which Benham could be liable and which are not now known by the City of Fayetteville. The City of Fayetteville reserves the right to demand payment (and file suit if necessary) for any such "hidden defects", problems, mistakes, etc from the responsible party regardless of this Release. DAN COODY Mayor SONDRA SMITH City Clerk NAME OF FILE: CROSS REFERENC Item # Date • Resolution No. 160-04 Document • 1 09/22/04 memo to mayor & City Council 2 draft resolution 3 Staff Review Form 4 memo to Tim Conklin 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 • /6SS /d/s/off/ City Council Meeting of October 5, 2004 / 40_6 7 gemAd,✓4 t$yyt lG4 t/C 5€11/eint CITY COUNCIL AGENDA MEMO To: Mayor and City Council Thru: Hugh Earnest, Chief Administrative Officer From. Tim Conklin, Community Planning and Engineering Services Director'2• Date: September 22, 2004 Subject: 1. Approval of a resolution to approve a settlement with Benham Companies, Inc. in the amount of $50,000.00 for the engineering services provided for the Downtown Dickson Street Enhancement Project. RECOMMENDATION Staff recommends approval of the resolution and settlement in the amount of $50,000.00 with Benham Companies. BACKGROUND The City Council approved a contract agreement with Benham Companies on December 13, 1998 in the amount of $530,227 62 for the concept and design stage of the Downtown Dickson Street Enhancement Project. The construction of the project was substantially complete on December 5, 2003. DISCUSSION / The Engineenng Division was required to provide engineering & inspection resources above typical levels due to the condition of the construction plans. Benham Companies has agreed to reimburse the City for these expenses. In addition to the $50,000.00, Benham Companies has agreed to forgive $9,250.44 that the City has been invoiced for work by Benham Companies that occurred during construction. BUDGET IMPACT There will be no budget impact for this request. • • RESOLUTION NO. A RESOLUTION TO APPROVE A SETTLEMENT WITH BENHAM COMPANIES, INC. IN WHICH BENHAM PAYS $50,000.00 IN SATISFACTION OF ADDITIONAL EMPLOYEE TIME AND SUPPLIES NEEDED FOR THE DICKSON STREET ENHANCEMENT PROJECT WHEREAS, without admitting liability, The Benham Companies, Inc. has agreed to pay Fifty Thousand Dollars ($50,000.00) to settle "all currently known claims" including the additional City of Fayetteville employee time and resources needed to complete the Dickson Street Enhancement Project; and WHEREAS, this agreement "does not release any potential claims or causes of action from problems, defects, deficiencies or mistakes ... which are not now known by the City of Fayetteville. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FAYETTEVILLE, ARKANSAS: Section 1: That the City Council of the City of Fayetteville, Arkansas hereby approves the Release attached as Exhibit "A" to release presently known claims against The Benham Companies, Inc. for its payment to the City of Fayetteville of Fifty Thousand Dollars, ($50,000.00) and authorizes the Mayor to sign this Release. PASSED and APPROVED this 5th day of October, 2004. APPROVED: ATTEST: By: SONDRA SMITH, City Clerk By: R AFT DAN COODY, Mayor STAFF 'VIEW FORM - FINANCIAL OBLIGATIO. X AGENDA REQUEST CONTRACT REVIEW GRANT REVIEW For the Fayetteville City Council Meeting of: October 5, 2004 FROM: Ron Petrie Name Engineering Design Services Community Planning & Engineering Division Department ACTION REQUIRED: 1. Approval of a Resolution to approve a settlement with Benham Companies, Inc. in the amount of $50,000.00 for the engineering services provided for the Downtown Dickson Street Enhancement Project. COST TO CITY: SD,.cDCX) 7 $ 173, 164.00 Dickson Street Enhancement ♦♦''(( Category/Project Budget Program Category / Project Name Cost of this request 4470.9470.5809.00 $ 155,782.30 Street Improvements Account Number Funds Used to Date Program / Project Category Name 98097.20 $ 17,381.70 Sales Tax Project Number Remaining Balance Fund Name BUDGET REVIEW: X Budgeted Item 1E-23 udget Manager Date Budget Adjustment Attached CONTRACT/GRANT/LEASE REVIEW: Accounting Manager (14 City Attoflley &wag ltd 943 tog Date Internal Auditor Date °1 [23(61 Date Purchasing Manager Date ST • RECOMME .. y_ Staff recommentjs approval of the Resolution and Settlement. Received in Mayor's Office Department Director Finance & Internal Services Dir. Date Cross Reference: Previous Ord/Res#: Date Orig. Contract Date: Orig. Contract Number: New Item: Yes No FAYETTEt LLE THE CITY OF FAYETTEVILLE, ARKANSAS City Clerk Division DEPARTMENTAL CORRESPONDENCE • 113 West Mountain Fayetteville, AR 72701 Telephone: (479) 575-8323 Fax: (479) 718-7695 c i ty_c l e rk®c i. fa yettev i l l e. a r. u s To: Tim Conklin CPES Director From: Clarice Buffalohead-Pearma City Clerk Division Date: October 11, 2004 Re: Resolution No. 160-04 The City Council passed the above resolution October 5, 2004, approving the settlement with Benham Companies, Inc. I have attached a copy of the resolution and release. This resolution 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