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HomeMy WebLinkAboutCC 5 RECLAIMED WTR FAC 12-5-88~ DATEi NO~BER 29, ~988 ~~~ Intel' TO: WILLIAM HUSTON, CITY MANAGER FROM: PUBLIC WORKS DEPARTMENT/ENGINEERING DIVISION SUB~ECTi REIMBURSEMENT AGREEMENT FOR CONSTRUCTION OF DOMESTIC WATER AND RECLAIMED WATER FACILITIES WITHIN ASSESSMENT DISTRICT NO. 86-2 RECOMMENDATION'. That the Tustin City Council approve and authorize the Mayor to execute the reimbursement agreement between Irvine Ranch Water District .and the City of Tustin for the construction of domestic water and reclaimed water facilities within Assessment District No. 86-2. BACKGROUND: The City is in the process of constructing certain infrastructure improvements within the boundaries of Assessment District No. 86-2 which are funded by monies from the Assessment District bond sale. Irvine Ranch Water District (IRWD) is also required to install certain domestic water and reclaimed water facilities within the same area which are not funded by Assessment District No. 86-2 monies. As in past projects throughout the Tustin Ranch development, IRWD is requesting that the City include their work for both domestic and reclaimed water main installations with the City Assessment District contracts. This method has worked successfully on past projects and results in a benefit to both agencies by minimizing the efforts required for coordinating two major construction contracts in the field. The work to be included within the City's contract will include the installation of a 16" domestic water main and 16" and 12" reclaimed water mains in Jamboree Road between Tustin Ranch Road and Santiago Canyon Road. DISCUSSION¢ The attached reimbursement agreement provides the vehicle for IRWD to reimburse the City of Tustin for monies.expended to install the above- mentioned domestic and reclaimed water mains. The City Attorney's office has reviewed and approved this agreement. It is requested that the City Council approve and authorize the Mayor to execute said reimbursement agreement. Bob L~d~ndecker Director of Public Works/City Engineer BL:mv REIMBURSEMENT .AGREEMFNT ~ETWEEN TRVINE RANCH WATER DISTRICT AND THE CITY OF TUSTIN FOR THE CONSTRUCTION OF DOMESTIC WATER AND RECLAIMED WATER FACILITIES IN JAMBOREE BOULEVARD FROM TUSTIN RANCH ROAD TO SANTIAGO CANYON ROAD' WITHIN ASSESSMENT DISTRICT NO. 86-2 PROJECT NOS. 12640, 12795, 13131, 14300, 14310 and 34280 This Agreement is made and entered into this ~day of , 1988 by and between IRVINE RANCH WATER DISTRICT, a California Water District formed and existing pursuant to California Water District Law, hereinafter referred to as "DISTRICT," and the CITY OF TUSTIN, a municipal corporation, hereinafter referred to as "CITY". W I T N E S S E T H: WHEREAS, as part of its Assessment District 86-2 ("AD 86-2"), City proposes to construct certain improvements in the vicinity of Jamboree Road in the City. of Tustin, County of Orange (the "JAMBOREE ROAD IMPROVEMENTS"); and WHEREAS, to serve property within AD 86-2, District desires to construct domestic and reclaimed water pipelines and appurtenances at Jamboree Boulevard from Tustin Ranch Road to Santiago Canyon Road in the City of Tustin, City of Orange and the County of Orange, all of which is within the boundaries of the DISTRICT, the general location of which is depicted on Exhibit "A" attached hereto and incorporated by reference herein; and WHEREAS, such construction will necessitate the construction by. the DISTRICT of approximately 16,650 feet of 16-inch diameter, ("DOMESTIC WATER FACILITIES"), 2,617 feet of 12~in~h diameter and 3,375 f~et of I~ inch reclaimed water pipelines, as depicted on Exhibit "B" attached hereto and incorporated by reference herein, which are all collectively referred to as the DOMESTIC AND RECLAIMED WATER FACILITIES; WHEREAS, the parties have determined that it would be more efficient for CITY to construct the DOMESTIC AND RECLAIMED WATER FACILITIES rather than for the District to do so; and WHEREAS, DISTRICT has determined that the DOMESTIC AND RECLAIMED WATER FACILITIES will be adequate to meet the domestic and reclaimed water needs for the area to be served based on the DISTRICT'S design criteria; and WHEREAS,'DISTRICT is amenable to the construction of the DOMESTIC AND RECLAIMED WATER FACILITIES by CITY at the cost of CITY, which cost is to be reimbursed by DISTRICT after the work is completed and accepted by the DISTRICT; and WHEREAS, except as otherwise provided herein, the DOMESTIC AND RECLAIMED WATER FACILITIES shall be the property of the DISTRICT in accordance with the terms and conditions hereinafter set forth. NOW, THEREFORE, the parties hereto, in consideration of the mutual promises and covenants hereinafter set forth, do agree as follows' SECTION 1. CITY agrees to initiate and pursue to comp)etion, the construction of the DOMESTIC AND RECLAIMED WAIER FACILITIES and the DISTRICT agrees to cooperate with the CITY with respect to the construction and schedules for completion of the DOMESTIC AND RECLAIMED WAIER FACILITIES. SECTION~ 2' CITY agrees that th~ DOMESTIC AND RECLAIMED WATER FAC!L!TIE~ Shall be completed pursuant to DISTRICT approved plans and specifications (the "Plans and Specifications") which shall be supplied by the DISTRICT. SECTION 3. The parties agree that the construction of the DOMESTIC AND RECLAIMED WATER FACILITIES shall be included in the CITY'S JAMBOREE ROAD IMPROVEMENTS and the DOMESTIC AND RECLAIMED WATER FACILITIES shall be bid as a separate item or items that can be deleted. Upon opening of bids by the CITY, CITY shall submit the bid results to DISTRICT for review and approval. CITY agrees that bids received for the construction of the DOMESTIC AND RECLAIMED WATER FACILITIES shall be subject to the approval of DISTRICT prior to award of the construction contract for the DOMESTIC AND' RECLAIMED WATER FACILITIES; and further agrees that in the event DISTRICT does not approve such bids, this Agreement may be terminated by either party.. DISTRICT shall have a period of 15 calendar days for review of the bid results and approval of the successful bidder. Total estimated construction cost for the DOMESTIC AND RECLAIMED WATER FACILITIES is $1,464,000.00 provided, however, the amount to be reimbursed by the DISTRICT shall be based on the actual costs of construction. Upon award of the construction contract, CITY shall provide DISTRICT with one original .. copy of the fully executed contract documents and a copy of the bid forms. CITY shall also promptly furnish DISTRICT with copies of any proposed change orders to such contract, within five (5) working days of initiation of changed conditions to such contract, which shall be subject to DISTRICT approval'if and' to the extent any of the DOMESTIC AND RECLAIMED WATER FACILITIES are affected thereby. SECTION 4. CITY agrees that if any revision during design or construction which is requested by CITY to the Plans and Specifications approved pursuant to Section 3 hereof for the DOMESTIC AND RECLAIMED WATER FACILITIES would increase the cost thereof, such increased costs shall be borne.b_~y.~CITY, and shall not be reimbursed by DISTRICT. The cost of any revisions requested by DISTRICT shall be reimbursed by DISTRICT as provided herein. SECTION 5. Within thirty (30) days following receip~ from CITY of each invoice for a construction progress payment, the DISTRICT shall deposit with CITY the amount of such invoice. Separate accounts shall be kept for all amounts expended'by CITY in relation to the DOMESTIC AND RECLAIMED WATER FACILITIES. ttithin sixty (60) days of DISTRICT'S acceptance as provided in Section 8 of the DOMESTIC AND RECLAIMED WATER FACILITIES, a final accounting of the actual costs of all item~ associated with surveying, compaction testing, permits, construction, administration, accounting, and legal costs (the "Costs") shall be made by CITY, excluding the total cost of the preparation of this agreement. DISTRICT agrees to pay to CITY within thirty (30) days of said final accounting, the total amount of the Costs. SECTION 6. DISTRICT intends to pay Costs from advance from the Capital Reserve Fund to be reimbursed from bond proceeds of Improvement District No. 150 and of Improvement District No. 250 of the District, but if such funds are not available or insufficient'therefor, DISTRICT shall pay the same without offset or reduction from o~her sources within the time frame.set forth above. SECTION 7. DISTRICT shall have sole and absolute discretion as to all aspects of the design of the DOMESTIC AND RECLAIMED WATER FACILITIES, and DISTRICT shall be entitled to inspect the construction of the DOMESTIC AND RECLAIMED WATER FACILITIES as it deems necessary to assure compliance with the Plans and Specifications including shop drawing review and material inspection thereof. DISTRICT will promptly notify CITY of any portion of the work on the DOMESTIC AND RECLAIMED WATER FACILITIES which appears not to conform to the Plans and Specifications. The determination as to'conformity of the DOMESIIC AND RECLAIMED WATER FACILITIES with the Plans and Specifications shall be made in the DISTRICT'S sole and absolute discretion. DISTRICT agrees not to unreasonably withhold its approval as to such conformity of the DOMESTIC AND RECLAIMED WATER FACILITIES to the Plans and Specifications. The CITY shall require its contractor to construct the DOMESTIC AND RECLAIMED WATER FACILITIES so that the DOMESTIC AND RECLAIMED WATER FACILITIES conform to the Plans and Specifications. CITY a.g:[ees to assume full respons-ibility for certifying or obtaining certification of the compaction of backfill material over the DOMESTIC AND RECLAIMED WATER FACILITIES. SECTION 8. DISTRICT agrees to accept the DOMESTIC AND RECLAIMED WATER FACILITIES when the DOMESTIC AND RECLAIMED WATER FACILITIES have been completed by CITY in accordance with all requirements of the Plans and Specifications, including any change orders approved by DISTRICT as provided in Section 3 hereof. At the time of completio,'~ Jnd acceptance of the DOMESTIC AND RECLAIMED WATER FACILITIES, CITY agrees to furnish DISTRICT with "as-built" mylars, three (3) copies each of-blueline "as-built" drawings and three (3) copies of the compaction reports and certificate, and cut sheets. SECTION 9. It is mutually agreed between the parties hereto that notwithstanding the fact that CITY shall accomplish the construction of the DOMESTIC AND RECLAIMED WATER FACILITIES subject to reimbursement, the DOMESTIC AND RECLAIMED WATER FACILITIES to be completed hereunder, together with the necessary franchises, licenses, easements, rights-of-way, and other privileges, shall at all times be subject to the applicable rates, rules and regulations of DISTRICT, as modified or amended from time to time. Except as provided in Section 18, CITY hereby disclaims any interest in the DOMESTIC AND RECLAIMED WATER FACILIITES and does hereby transfer and assign to the DISTRICT any and all right, title, and interest it may have in the DOMESTIC AND RECLAIMED WAIER FACILIITES. Except as provided in Section 18, DISTRICT shall own, operate and maintain the DOMESTIC AND RECLAIMED WATER AND SEWER FACILITIES following acceptance thereof. SECTION 10. CITY will guarantee or cause its contractor for the DOMESTIC AND RECLAIMED WATER FACILITIES to guarantee the DOMESTIC AND RECLAIMED WATER FACILITIES against defects in workmanship and materials for a period of one (1) year from the date of acceptance by CITY, which acceptance shall depend upon acceptance by DISTRICT as provided in Section 8. It is further agreed that the CITY shall assume or cause its Contractor to assume the responsibility that the DOMESTIC AND RECLAIMED WATER FACILITIES shall be brought or restored to full compliance with the requirements of the Plans and Specifications including any test requirements for any portions of the DOMESTIC AND RECLAIMED WATER FACILITIES which during said one (1) year period are found not to be in conformance with the provisions of the Plans and Specifications This guarantee is in addition to any and a]l other warranties, expressed or implied, from CITY's contractor or material manufacturers with respect to the DOMESTIC AND RECLAIMED WATER FACILITIES. The guarantee and obligations under this Section shall in no way be relieved by DISTRICT'S inspection and/or approval of the DOMESTIC AND RECLAIMED WATER FACILITIES'. This section sets Forth the entire guaiar',Lee and warranty of CITY with respect to the DOMESTIC AND RECLAIMED WATER FACILITIES. The expressed or implied warranties of other persons, with respect to the DOMESTIC AND RECLAIMED WATER FACILITIES shall in no way be limited by the guarantee and warranty of the CITY contained in this section. SECTION ll. CITY shall indemnify, defend and hold DISTRICT, its officers, agents, employees, and engineers harmless from any expense, liability or claim for death, injury, loss, damage or expense to person or property which may arise or is claimed to have arisen during construction of the DOMESTIC AND RECLAIMED WATER FACILITIES and prior to acceptance by DISTRICT, as a result of any work or action performed by CITY or on behalf of CITY, save and except in those instances where such expense, liability or claim is proximately caused in whole or in part by any act, omission, or negligence of DISTRICT, its officers, agents, employees or engineers or by any act or omission for which DISTRICT, its officers, agents, employees or engineers are liable without fault. DISTRICT shall indemnify, defend and hold CITY, its officers, agents, and employees, harmless from any expense, liability or claim'for death, injury, loss, or damage to person or property which may arise or is claimed to have arisen either (i) as a result o~ any acts performed by DISTRICT, its officers, agents, or employees, with respect to the design and construction of the DOMESTIC AND RECLAIMED WATER FACILITIES; or (ii) Following DISTRECT'S acceptance of the DOMESTIC AND RECLAIMED WATER FACILITIES with respect to maintenance and operation, save and except in those instances where such expense, liability or claim is proximately caused in whole or in part by any negligence of CITY, its officers, agents, and employees, or by any act or omission For which CITY, its officers, agents, and employees are liable without fault. SECTION 12. CITY shall cause its contractors to provide performance and payment bonds for the construction of the DOMESTIC AND RECLAIMED WATER FACILITIES and to obtain insurance coverage sufficiently broad to insure the matters set forth in this Agreement and to include DISTRICT as an additional insured on all insurance policies-that CiTY requires its contractors to provide. As evidence of such insurance coverage, CITY shall, prior to commencement of construction of the DOMESTIC AND RECLAIMED WATER FACILITIES, provide DISTRICT a certificate of insurance in a form attached hereto as Exhibit "C" and incorporated by reference herein. SECTION 13. DISTRICT shall have the right to terminate this Agreement at any time, subject to the provisions of this section. If at the request or direction of a party other than CITY, including DISTRICT, tile DOMESTIC AND RECLAIMED WATER FACILITIES construction is not accomplished or completed, DISTRICT shall remain obligated for the actual amount 'of the Costs incurred by CITY to the date of termination. SECTION 14. Any Notice or other written instrument required or permiSted by this Agreement to be given to either party shall be deemed received when personally served or twenty-four (24) hours after being deposited in the U.S. Mail, postage prepaid, registered or certified and addressed as follows: DISTRICT: Irvine Ranch Water District 18802 Bardeen Avenue Irvine, CA 92715 Attn: General Manager CITY: The City of Tustin 300 Centennial Way Tustin, CA 92680 Attn: Director of Public Works SECTION 15. This Agreement shall be binding upon and inure to the benefit of the successors and assigns of CITY and DISTRICT. This Agreement constitutes the entire Agreement and supercedes all prior understandings and agreements between the parties with respect to the subjects hereof. This Agreement may only be modified in writing signed by both parties hereto. . . SECTION 16. In the event of any declaratory or other legal or equitable action instituted between CITY and DISTRICT in connection with this Agreement, the prevailing party shall be entitled to recover from the losing party all of its costs and expenses, including court costs and reasonable attorneys' fees. SECTION 17. Any approval required to be given by either party pursuant to this agreement, shall be deemed given if no response to the party's request for such approval is received by the requesting party. within fifteen (15) days follQwing the request for such approval. SECTION 18. Notwithstanding any term or provision of this Agreement, CITY and DISTRICT acknowledge that pursuant to an agreement dated March 5, 1972, among CITY, DISTRICT and The Irvine Company, (the "1972 Agreement") the CITY may, at its option,.provide retail water service to Parcel 2 (as described in the 1973 Agreement) and in such event, DISTRICT shall provide wholesale water supplies to CITY. CITY and DISTRICT further acknowledge that the DOMESTIC AND RECLAIMED WATER FACILITIES to be constructed under this Agreement are within Parcel 2 and that CITY has expressed its intent to provide retail water service to Parcel 2. CITY and 'DISTRICT are currently negotiating an amendment to the 1973 Agreement (the "Amendment") regarding the terms and conditions of the provision of water service to Parcel 2. (The amendment would include a revision of the boundaries of Parcel 2. Parcel 2, as proposed to be revised, is depicted on Exhibit D attached hereto and incorporated herein by this reference.) In consideration of the foregoing, CITY and DISTRICT agree as follows: a) If the Amendment is executed after any of the DOMESTIC WATER FACILITIES are accepted by the DISTRICT as set forth in Section 8, DISTRICT shall transfer to C~ty all rights, title and i'nterest in and ~o those DOMESTIC WATER FACILITIES, including appurtenances and easemeht~, wi, lch a~'e constructed within Parcel 2 and which serve only Parcel 2 {the "Parcel 2 Faci)ities"} and DISTRICT hereby covenants and agrees to execute and deliver to CITY any documents required to complete such transfer of the Parcel 2 Facilities and easements in accordance with the'Amendment. Upon CITY's acceptance of the documents, CITY shall operate the Parcel 2 Facilities, in accordance with the Amendment, and the provisions of Section g shall no longer apply to the operation of the Parcel 2 Facilities. b) If the Amendment is executed prior to the acceptance of any of the DOMESTIC WATER FACILITIES, the provisions of Sections 8, g, and the provisions of Section ll regarding the operation of the DOMESTIC WATER FACILITIES shall no longer apply to the DOMESTIC WATER FACILITIES, which are Parcel 2 Facilities, as defined in {a) above, and the Parcel 2 Facilities shall be owned and operated by CITY in accordance with the Amendment. IN WITNESS WHEREOF, the parties to the Agreement have executed this Agreement on the date hereinabove written. IRVINE RANCH WATER DISTRICT By Dated Ronald E. Young, General Manager ATTEST: By Dated Betty J. Wheeler, Secretary APPROVED AS TO FORM: BOWIE, ARNESON, KADI, & DIXON Legal Counsel, Irvine Ranch Water District By, MAYOR CITY OF TUSTIN Dated By Dated ATTEST: By, City Clerk APPROVED AS TO FORM: ROURKE & WOODRUFF City Attorney for ,City of Tustin Dated By Dated 0530E 10 EXHIBIT "A" 39 '67 81 DOMESTIC AND IRRIGATION WATER PIPELINES JAMBOREE ROAD TUSTIN RANCH ROAD TO SANTIAGO CANYON 'ROAD 3g EXHIBIT "B" ~00 Cencem~al Nay 1E802 ~a~c~en TUsCin, Cali~ornZa 92680 :.-v~ne~.. ~:a~.ifomZa~:~7~. = ,,"T~s ~.s' Co ce~Ci.fy CJ~a~ the po/£cies of iJ~uguce 1£3cec~ below Aave ~fl ~.3sue~ Co the ~J~SU~ na~ &~ve, &~e ~n force at th~ t~e, ~hat the ¢£tV o~ ~stin and the I~vine Ranch W~te~ ~ance ~ f~ce pj~cMs~ ~ tt~ ~l~ of ~$t~J~ ~r,,,tl~ I~ne R~¢~ ~ate~ Limits of Liablli~ in T~us~ Each $ $ $ $ ~e~ensive fora ~iged OMx eJ~a ~onn OChexr chart unJxe.Ll~ LIABILITY (each pez~son) .Bochly Injury. & ;Property 5,~,a 9e $1~cucocy (eacln accident) It ~s ce£c~fieo cnac a waiver o~ suugogac'~on ~s nereoy ~ssueo to the Ci'.y of ~uscln and the -rvune Ranch water Discrlc= as pe:ca~n$ '-o '~te terms of al~ worker_~' Co .mpensacion In?arance, .--ne ~=_su~ng company wxll glve c,%l::y {301 ~ays wr~='.en noc~ce co =ne City o~ Tuscln and r_ne '-r';ine Ranch Wa=er Dis=ric'. 'flor co mociificur_~on or canoellacaon. Issue: .~) MDDIFIg. ATICNS ~AY BE ~AD£ .%ucnor'.ze~ .geuresencac,.ve an aoove-namec ansurance c=n.=~ny(ies) EXHIBIT "C" Insurance Ccm~ny Agem: fo= Secvice Ac]en= ~or ~e~.ce of P~ocess- C.t~, m'~d State Te.l. el:nme t, ume; Acjent: fo= SeEvLce c~ l~ooess and State and T,~I e~e Num:~,e= Acjenc for Sezvice of l~ocess Telet:XZme O:~te se :R: 11/0 9/86 L]~ :lw :a: 8/11/87 EXHIBIT "C"