HomeMy WebLinkAbout63-08 RESOLUTIONRESOLUTION NO. 63-08
•
A RESOLUTION _ APPROVING AN AGREEMENT WITH
ARKANSAS WESTERN GAS COMPANY IN THE AMOUNT OF
$397,000.00 FOR RELOCATION OF GAS LINES AND
APPURTENANCES TO ALLOW CONSTRUCTION OF
IMPROVEMENTS TO MOUNT COMFORT ROAD.
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 an agreement with the Arkansas Western Gas Company in the
amount of $397,000.00 for relocation of gas lines and appurtenances to allow
construction of improvements to Mount Comfort Road.
PASSED and APPROVED this 18± day of March, 2008.
APPROVED:
By:
D
N COODY, Mayor
ATTEST:
By:
.................
SY OF S,c
rhe
to.
: FAYETTEVILLE :
:4. :>a
ys.9,5,kANSP�J�` .
�, ....1T0t4%%`
SONDRA E. SMITH, City Clerk/Treasurer
•
AWG #26058
ARKANSAS WESTERN GAS COMPANY
UTILITY CONSTRUCTION/RELOCATION AGREEMENT
Property Developer: City of Fayetteville
Address: 113 West Mountain Street
Fayetteville, AR 72701
Job Location: Zion Road
THIS AGREEMENT, made and entered into this 1 Ytk day of Nl&rdlet , 2008,
by and between City of Fayetteville , act ng by and through its duly authorized
representative, hereinafter referred to as the "Developer," and ARKANSAS WESTERN GAS
COMPANY, acting by and through its duly authorized representative, hereinafter referred to as
the "Owner."
WITNESSETH:
WHEREAS, THE "Developer" proposes to make certain improvements at the location
designation as shown above; and as part of the necessary work of such improvements, `Owner"
must adjust or relocate certain of its existing facilities, and in connection with such adjustment,
or relocation, "Developer" shall participate in the costs of such work to the extent herein agreed
upon, and
WHEREAS, the proposed improvement necessitates the adjustment and/or relocation of
certain facilities of "Owner" as described in the following description of work.
Install pipe with all necessary appurtenances to relocate for the proposed Mount Comfort Road
improvements as planned and presented in the design plans provided by the City of Fayetteville
for the Mount Comfort Road Bond Project No. 06035.1500. City of Fayetteville will reimburse
95.95% of the actual cost of all materials, contract labor, company labor, equipment hours
including Engineering and Inspection costs to Arkansas Western Gas Company.
And, such adjustment, relocation or construction being shown in detail in "Owner's" plans,
sketches, estimate of cost, and specifications (when applicable) which are attached hereto and
made a part hereof; and
WHEREAS, the "Developer" desires to implement the herein described utility
adjustments or relocations and approve the proposed utility construction of "Owner" by entering
into an agreement with said "Owner."
NOW, THEREFORE, IT IS HEREBY AGREED:
1. Where applicable hereunder by reason of new utility occupancy or crossing of
"Developer's" property, "Developer" hereby grants to "Owner" a right-of-way license and
permission to install and operate utility facilities on or across "Developer's" properties as shown
on the approved plans or sketch maps attached hereto and made a part hereof, and to execute
such easements or right-of-way grants as may be necessary to evidence and record such right of
"Owner."
Page 1 of 3
2. Where applicable hereunder by reason of new construction on existing utility rights of
way, "Owner" hereby grants to "Developer" the nght to use for his purposes the lands within the
project limits on or across which "Owner" holds a valid property interest antedating
"Developer's" nghts which were subsequently acquired in the same lands, and which property
rights "Owner" shall retain so long as "Owner" (or "Owner's" successors or assigns) continues
such use and occupancy and does not abandon, and thereby release, such property interest to
"Developer" through facility removal in making said adjustments or by subsequent facility
removal for "Owner's" convenience; and the "Developer" hereby agrees that "Owner," by
granting said right and by said continued joint use and occupancy, does not waive any future
claim for reimbursement for adjustment cost as may be eligible for reimbursement by reason of
such prior property interest, nor does "Owner" waive any other legal or property right held under
the Law or Constitution of the State or the United States.
3. In the event that future construction, reconstruction, expansion, relocation,
rehabilitation, betterment, maintenance, or other work on the facilities owned and operated by
either the "Developer" or the "Owner" in the area jointly occupied or used under either or both
the above provisions of this Agreement will disturb, detrimentally affect, interfere, or be
inconvenient to the facilities or responsibilities of either party, the parties hereto shall reach
agreement in writing as to locations, extent, and methods of such work before the work is
undertaken. In a case of emergency, and where immediate action is necessary for the protection
of the public and to minimize damage to or loss of investment in the property of the "Developer"
or the "Owner" either party hereto may, at its own responsibility and risk, make any necessary
emergency_repairs,and shall_notify_the other_party_hereto of_such action_as_soon _as _practicable
4. "Owner" shall inform "Developer," in writing, three days or more in advance of the
date work is to be started, and shall keep the "Developer " informed of progress and activity
related to the work being performed, and shall furnish written notice when the work is
completed.
5. "Developer" agrees that the cost of the utility adjustment and/or construction provided
for hereunder shall be paid to "Owner" as follows. "Owner" agrees that "Developer" will only
pay actual cost of adjustment should actual cost be less than $ 397,000.00 . If actual cost
exceeds $ 397,000.00 , the "Developer" will pay the actual cost. Exhibit "A" is cost estimate
as submitted to City of Fayetteville.
6. "Owner" shall accept as full payment for work hereunder the amount developed or
accumulated as eligible actual and related indirect costs in accordance with "Owner's"
accounting procedure, which is the Uniform System of Accounts prescribed by the Arkansas
Public Service Commission. "Owner" further agrees to retain said cost records and accounts for
inspection and audit for a period of not less that one (1) year from the date of final payment.
7. "Owner" shall be responsible for any and all hazards to persons, property, and traffic,
and shall save the "Developer" harmless in all respects from any and all losses, damages, or
injuries caused by any negligent act or omission by "Owner's" employees or agent performing
work under this Agreement or future maintenance or servicing work on facilities constructed
under this Agreement; and "Owner" shall, in completing said work, perform clean up and
restoration of appearances of the work area including disposal of surplus materials and debris, so
as not to leave the work area in an unsafe or unsightly condition.
Page 2 of 3
8. If requested by "Owner" in writing, "Developer" shall make intermediate progress
payments in amounts not exceeding ninety percent (90%) of eligible billed costs, and no more
often than monthly intervals, for work hereunder upon receipt of statements in two (2) copies for
periodic and unpaid costs, provided the herein estimated reimbursable amount is $2,000.00 or
more, and that no such intermediate payment shall be construed as final settlement for any item
included in any intermediate billing.
9. "Owner" shall, within six (6) months after completion of the adjustment and
acceptance thereof by the "Developer," prepare and submit to "Developer" a detailed complete
(including intermediate billings, if any) and final bill in two (2) copies and covering the total cost
for the adjustment of "Owner's" facilities.
10. The "Developer," upon receiving from "Owner" the final billing documents
complete as listed next above, shall pay "Owner" for the eligible actual cost, less all prior
payments, if any, for making the adjustments in "Owner's" facilities as agreed herein.
"Developer" shall pay "Owner" within thirty (30) days after such billing documents are received.
If "Developer" fails to pay within said time, the amount due shall bear interest at the rate of 10
percent per annum until paid. "Developer" shall have the right to inspect and audit the books of
account of "Owner" during normal business hours of "Owner" at any time within the time limit
set forth in Paragraph 6 to determine the correctness of "Owner's" billing. "Owner" agrees to
refund any and all amounts paid in payments found in the audit to exceed the total amount
eligible for work hereunder.
11. It is mutually-agreed-by_the-parties-hereto_that_the provisions of this Agreement
pertaining to relative property rights, right-of-way occupancy permission, access for servicing
when applicable and joint use of rights of way shall continue in full force and effect from the
date of execution, and shall be perpetually binding upon each party's legal representatives,
successors or assigns.
IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed
in duplicate by their duly authorized representatives the date first herein above written.
"OWNER" "DEVELOPER"
ARKANSAS WESTERN GAS COMPANY City of Fetteville
Its: Senior Vice -President
Its: , ayor
Attest: Attest:
Its: Secretary
4Aa
Its:
Page 3 of 3
City Clerk
=U• 13
• FAYETTEVILLE:
`;�9sy'9RKANSP�J;
Ron Petrie
Submitted By
City of Fayetteville
Staff Review Form
City Council Agenda Items
or
Contracts
3/18/2008
City Council Meeting Date
Engineering
Division
Action Required:
jt5
31/005
ra 3'a$
, ka"5a5
WGrVI
a2P4'Y
Operations
Department
A resolution approving an Agreement with Arkansas Western Gas Company in the amount of $397,000 for relocation
of gas lines and appurtenances required to allow construction of improvements to Mount Comfort Road
397,000.00
Cost of this request
4520.9520.5809.00
Account Number
06035.1540
Project Number
Budgeted Item
X
24,737,669.83
Category / Project Budget
4,962,615.18
Funds Used to Date
$ 19,775,054.65
Remaining Balance
Budget Adjustment Attached
Transportation Bond Improvements
Program Category / Project Name
Street Improvements
Program / Project Category Name
2006A Sales Tax Construction
Fund Name
2q S
Date
`he-/ (1/4,
City Attorney Date
Finance and Internal Service Director
Mayor
Comments:
3 -3 -at
Date
7%42
Date
Previous Ordinance or Resolution #
Original Contract Date:
Original Contract Number:
(Received in Mayor's Office ENTERED
34
City Council Meeting of March 18, 2008
CITY COUNCIL AGENDA MEMO
To: Mayor and City Council
Thru: Gary Dumas, Director of Operations
From: Ron Petrie, City Engineer
Date: February 26, 2008
Subject: A resolution approving an Agreement with Arkansas Western Gas
Company in the amount of $397,000 for relocation of gas lines and
appurtenances required to allow construction of improvements to Mount
Comfort Road
RECOMMENDATION:
Staff recommends approval of an Agreement with Arkansas Western Gas Company in
the amount of $397,000.00 for relocation of Arkansas Westem Company facilities along
Mount Comfort Road.
BACKGROUND:
Mount Comfort Road Improvements are a part of the Transportation Improvement Bond
Program Major intersection improvements are planned at the I540/Shiloh Drive
Intersection, along with widening of Mount Comfort to 4 lanes from I-540 to Rupple
Road. Relocation of utility lines is required on the entire length of the project.
DISCUSSION:
Arkansas Westem Gas Company (AWG) owns a 4 -inch high pressure transmission main
located on the south side of Mount Comfort Road, along with various other distribution
lines that are in conflict with proposed improvements to Mount Comfort Road. These
lines are located within Arkansas Western Gas Company easements; therefore, AWG is
requesting reimbursement for the cost of relocating the lines and appurtenances.
•
As part of the agreement, the City will provide right of way and/or easements to replace
the existing easements owned by AWG. AWG will relocate all of their lines and
appurtenances and will bill the City for the actual cost of the work after it is completed.
BUDGET IMPACT:
The contract amount of $397,000 .will be paid from the Transportation Improvement
Bond Funds. The total project budget for Mount Comfort Road Improvements is
$11,663,000.
1
RESOLUTION NO.
A RESOLUTION APPROVING AN AGREEMENT WITH
ARKANSAS WESTERN GAS COMPANY IN THE AMOUNT OF
$397,000.00 FOR RELOCATION OF GAS LINES AND
APPURTENANCES TO ALLOW CONSTRUCTION OF
IMPROVEMENTS TO MOUNT COMFORT ROAD.
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 an agreement with the Arkansas Western Gas Company in the
amount of $397,000.00 for relocation of gas lines and appurtenances to allow
construction of improvements to Mount Comfort Road.
PASSED and APPROVED this 18th day of March, 2008.
APPROVED: ATTEST:
By: By:
DAN COODY, Mayor SONDRA E. SMITH, City Clerk/Treasurer
AM Arkansas Westem Gas
10 Company
A subsidiary of Southweslern Energy Company
January 23, 2008
Mr. Chris Brown, Engineering Design Manager'
City of Fayetteville, Engineering Division
113 West Mountain Street
Fayetteville, AR 72701
RE: Mount Comfort Road Bond Project No. 06035.1500
Arkansas Westem Gas Co. Pipeline Relocation
Mr. Brown,
1001 Sain Street
P.O. Box 13288
Fayetteville, Arkansas 72703-1002
(479) 521-5400 FAX: (479) 582-4747
www.awgonline.com
Please find attached the estimated costs and an affidavit for the above referenced project.
Arkansas Western Gas Company is requesting 95.95% reimbursement as determined
from the enclosed retired pipe tabulation sheet.
Construction can begin sixty (60) days after the work order is received and following
acquisition of the Mount Comfort Road Right of Way and General Utility Easement for
us to relocate our facilities to. Construction for relocation can be completed ninety (90)
days later.
Should you have questions, comments or require additional information, please do not hesitate to
contact our office at your earliest convenience!
Respectfully,
James F. Koch, Sr. Engineer
Arkansas Western Gas Co.
Email. James_Koch@SWN.COM
Phone: (479) 582-8267
Enclosures: Cost Estimate
Retired pipe tabulation sheet
Affidavit
ARKANSAS WESTERN
GAS COMPANY
OPINION OF PROBABLE COST
AWG JOB #26058
Mt. Comfort Road -1-540 Interchange to Rupple Road
Fayetteville, AR
I
Item
Quantity
Unit
Unit
Price I
Total
I
MATERIALS
1
4-112" 0.156 wall F.B.E. Pipe
6,800
L.F.
$8.00
$54,400.00
2
17# Magnesium Anode
25
Each
$75.00
$1,875.00
3
4" Plastic Pipe
20
L.F.
$5.00
$100.00
4
2" Steel Pipe
240
L.F.
$5.00
$1,200.00
5
2" Plastic Pipe - Proposed
120
L.F.
$1.00
$120.00
6
4" Weld x Weld Valve
2
Each
$750.00
$1,500.00
7
2" Ball Valve
2
Each
$250.00 $500.00
8
1" Ball Valve
2
Each
_J
$150.00 j $300.00
9
2" High Volume Tee
6
Each
$60.00 $360.00
10
3/4" Plastic Pipe
3,000
L.F.
$0.50 1 $1,500.00
11
Relocate / Replace Meter Risers
32
Each
$250.00 $8,000.00
12
Miscellaneous Fittings
1
L.S.
$5,000.00 $5,000.00
13
Replace / Relocate DMLS
4
Each
$750.00
$3,000.00
14
Replace / Relocate SMLS
7
Each
$400.00
$2,800.00
Sub
-Total
$80,655.00
Stores Expenses
20.00%
$16,131.00
Total Matenals
Cost
$96,786.00
CONTRACT LABOR
15 Install 4-1/2" Steel Pipe
6,800
!
$25.00
$170,000.00
16 Install 4" Plastic Pipe
20
$20.00 I
$400.00
17
Install 2" Plastic / Steel Pipe
360
L.F.
$15.00 I
1
$5,400.00
Sub -Total
$175,800.00
COMPANY LABOR
18
Director of Construction
120
Hours
$35.50
$4260.00
19
Superintendent
360
I Hours
$29.75
$10,710.00
20
Inspector
360
Hours
$24.25
$8,730.00
21
Crew Leader
360
Hours
$21.10
$7,596.00
J 22
Lineman
360
Hours
$20.00
$7,200.00
23
Serviceman
80
Hours
$20.00
$1,600.00
24
Mileage
3,500
Miles
$0.690
$2,415.00
Sub -Total
$42,511.00
General Overhead 8.3% + Payroll Overhead
41.5%
49.8%
$21,170.48
Total
$63,681.48
EQUIPMENT
25
Tractor Backhoe
160
Hours
$17.00
$2,720.00
26
2 -Ton Truck & Trailer
160
Hours
$17.00
$2,720.00
27
1/2 -Ton Pickup
800
Hours
$17.00
$13,600.00
Sub
-Total
$19,040.00
Engineering Design & Investigation
1
I
$5,000.00
$5,000.00
TOTAL (Materials, Cormack
Labor, Company Labor,
Eautpment.
am, ADM / NPOES, Engineering)
$360,307.48
1 OVERHEAD
CHARGE
15.0%
$54,046.12
i
TOTAL OPINION OF PROBABLE
COST
$414,353.60
TOTAL ESTIMATED REIMBURSEMENT bCly TY OF FAYETTEVILLE
95.95%
$397,573.62
TOTAL ESTIMATED COST to ARKANSAS WESTERN GASI
4.05%
$16,779.98
AWG Reimbursement Calculation =
7.108
L.F
100 =
7,408
L.F,
x
95.95%
ARKANSAS WESTERN GAS COMPANY
OPINION OF PROBABLE COST
AWG JOB #26058
Mt. Comfort Roacl -1-540 Interchange to Rupple Road - Fayetteville Contract No. 1 & No. 2
Fayetteville, AR
PRIVATE RIGHT OF WAY / REIMBURSEABLE
SIZE - YEAR - TYPE OF PIPE
SHEET #
1" 59W
2" 60W
2" 94W
2" 94P
4" BOW
4" 94W
TOTALS
060-047 to 060-049
60
- 120
60
60
760
6048
7108
TOTALS_
60 1 120 1 60 1
60 1
760 1 6048 1 7108
CITY RIGHT OF WAY / NON REIMBURSEABLE
SIZE - YEAR - TYPE OF PIPE
SHEET #
1" 59W
2" 60W
2" 94W
T 94P
4" 80W
4" 94W
TOTALS
060-047 to 060-049
60
180
60
0
300
TOTALS
0 1 60 1 180 1
60 1
0 1 0 1 300
11 REIMBURSEMENT PERCENTAGE
FOOTAGE RETIRED ON PRIVATE R/W 7108 LF
FOOTAGE RETIRED ON HIGHWAY R/W 300 LF
TOTAL FOOTAGE RETIRED 7408
95.95%
AFE#26058
AFFIDAVIT
I, Charles V. Stevens, Senior Vice President of Arkansas Western Gas Company
of Fayetteville, Washington County, Arkansas, swear and on oath state:
That the original natural gas pipelines belonging to Arkansas Western Gas
Company and located in Section 1, Township 16N Range 31W and
Section 6, Township 16N Range 30W, located in the City of Fayetteville,
Washington County Arkansas within their Mount Comfort Road Bond
Project No. 06035.1500 improvement limits were installed on private right
of way according to executed right of way grant or verbal agreement with
property owner of that date.
Dated. this .7 day of�p,�,t� , 2008
Sub
By: Cia
Charles V. Stevens
Senior Vice President
rib gd and sworn to before me, a Notary Public, this cctil" day of
2008
' OFFICIAL SEAL
MARY ELAINE SMITH
NOTA RY PUBUC-ARKANSAS
MADISON COUNTY
MY COMMISSION EXPIRES: 01-01-15
My Commission Expires:
SILL
otary Public
1!
(3.21.08) Clarice Pearrnan - Res. 63-08 - Page 1
From:
To:
Date:
Subject:
Attachments:
Clarice Pearman
Petrie, Ron
3.21.08 2:59 PM
Res. 63-08
63-08 Arkansas Western Gas Company.pdf
CC: Audit
Ron:
Attached is a copy of the above resolution passed by City Council regarding an agreement with AWG. I will forward to you
via interoffice mail two of three signed agreements. Please let me know if there is anything else needed for this item. Have
a good weekend.
Thanks.
Clarice
Clarice Buffa ohead-Pearman, C.A.M.C., C.M.C.
City Clerk/Trasurer Division
113 West Mountain
Fayetteville, \R 72701
479-575-8309
cpearman@cl.fayetteville.ar.us