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HomeMy WebLinkAboutCC 6 REIMBURSE IRWD 10-19-87DATE: OCTOBER lZ, 1987 Xx ter- Corn TO: FROM: SUBJECT: WILLIAN HUSTON, CI~ ~NAGER DEPA~Rll~ENT OF PUBLIC WORKS/ENGINEERING DIVISION REINBURSEMENT AGREEMENT Will( IRVINE RANCH WAllER DISll~ICT RELATING TO CONSTRUCTION OF DISTRICT FACILITIES IN JA~4BOREE RON) BEll~EEN I-5 FREEWAY AND IRVINE BOULEVARD. RECOMMENDATION That the City Council District (IRWD). approve a Reimbursement Agreement with Irvine Ranch Water BACKGROUND The City will open bids October 27, 1987 for construction of Jamboree Road between I-5 freeway and Irvine Boulevard. IRWD needs to construct facilities in the project area amounting to 5,260 feet of domestic water line, 5,600 feet of reclaimed water line, and 340 feet of sewer line. The primary segment of the sanitary sewer was installed previously by IRWD under a separate contract. For purposes of coordination, IRWD staff and the City staff agree that the District's work should be included in the City's construction contract and the proposed agreement provides for that. The City would be reimbursed by IRWD for the actual cost, presently estimated to be $490,000. The agreement has been approved as to form by the City Attorney. Bob Ledendecker Director of Public Works/City Engineer BL/REW/mv Ronal d E. Wol fo~Y Engineering Sen~/ices Manager REIMBURSEMENT AGREEMENT BETWEEN IRV~NE RANCH WATER DISTRICT AND THE CITY OF TUSTIN FOR THE CONSTRUCTION OF DOMESTIC WATER, RECLAIMED WATER AND SEWER FACILITIES WITHIN ASSESSMENT DISTRICT NO. 85-1 PROJECT NOS. 12560, 12570 AND 31045 This Agreement is made and entered into this __day of , 1987 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". WI TN ESS ETH: WHEREAS, as part of its Assessment District 85-1 ("AD 85-1"), 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 85-1, District desires to construct domestic water, reclaimed water, and sewer pipelines and appurtenances at Jamboree Boulevard from I-5 Freeway to Irvine Boulevard in the City of Tustin, 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 4,465 feet of 16-inch diameter, 635 feet of 12-inch diameter and 160 feet of lO-inch diameter d~mestic water pipelines ("DOMESTIC WATER FACILITIES"), l?g feet of 16-inch diameter, §,l§? feet of 12-inch diameter and 264 feet of 4-inch diameter reclaimed water pipelines, as depicted on Exhibit "B" attached hereto and incorporated by reference herein, and 340 feet of 15-inch diameter sewer pipeline as depicted on Exhibit "C" attached hereto and incorporated by reference by herein, which are all collectively referred to as the DOMESTIC AND RECLAIMED WATER AND SEWER FACILITIES; WHEREAS, the parties have determined that it would be more efficient for CITY to construct the DOMESTIC AND RECLAIMED WATER AND SEWER FACILITIES rather than for the District to do so; and WHEREAS, DISTRICT has determined that the DOMESTIC AND RECLAIMED WATER AND SEWER 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 AND SEWER 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 AND SEWER 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 completion, the construction of the DOMESTIC AND RECLAIMED WATER AND SEWER FACILITIES and the DISTRICT agrees to cooperate with the CITY with respect to the construction and schedules for completion of the DOMESTIC AND RECLAIMED WATER AND SEWER FACILITIES. SECTION 2. CITY agrees that the DOMESTIC AND RECLAIMED WATER AND SEWER FACILITIES 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 AND SEWER FACILITIES shall be included in the CITY'S JAMBOREE ROAD IMPROVEMENTS and the DOMESTIC AND RECLAIMED WATER AND SEWER 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 AND SEWER FACILITIES shall be subject to the approval of DISTRICT prior to award of the construction contract for the DOMESTIC AND RECLAIMED WATER AND SEWER 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 AND SEWER FACILITIES is $4g0,000 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 OISTRICT approval if and to the extent any of the DOMESTIC AND RECLAIMED WATER AND SEWER 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 AND SEWER FACILITIES would increase the cost thereof, such increased costs shall be borne by 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. ~,thin thirty (30) days following receipt 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 AND SEWER FACILITIES. Within sixt~ (60) days of DISTRICT'S acceptance as provided in Section 8 of the DOMESTIC AND RECLAIMED WATER AND SEWER FACILITIES, a final accounting of the actual costs of all items associated with surveying, compaction testing, permits, construction, administration, CITY, excluding DISTRICT agrees accounting, the accounting, and legal costs {the "Costs") shall be made by the total cost of the preparation of this agreement. to pay to CITY within thirty (30) days of said final 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 the proceeds of existing bonds 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 other 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 AND SEWER FACILITIES, and DISTRICT shall be entitled to inspect the construction of the DOMESTIC AND RECLAIMED WATER AND SEWER 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 AND SEWER FACILITIES which appears not to'conform to the Plans and Specifications. The determination as to conformity of the DOMESTIC AND RECLAIMED WATER AND SEWER 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 AND SEWER FACILITIES to the Plans and Specifications. The CITY shall require its contractor to construct the DOMESTIC AND RECLAIMED WATER AND SEWER FACILITIES so that the DOMESTIC AND RECLAIMED WATER AND SEWER FACILITIES conform to the Plans and Specifications. CITY agrees to assume full responsibility for certifying or obtaining certification of the compaction of backfill material over the DOMESTIC AND RECLAIMED WAlER AND SEWER FACILITIES. SECTION 8. b~STRICT agrees to accept the DOMESTIC AND RECLAIMED WATER AND SEWER FACILITIES when the DOMESTIC AND RECLAIMED WATER AND SEWER 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 ~ime of completion and acceptance of the DOMESTIC AND RECLAIMED WATER AND SEWER FACILITIES, CITY agrees to furnish DISTRICT with "as-built" mylars, three (3) copies 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 AND SEWER FACILITIES subject to reimbursement, the DOMESTIC AND RECLAIMED WATER AND SEWER 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 AND SEWER 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 WATER AND SEWER 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 AND SEWER FACILITIES to guarantee the DOMESTIC AND RECLAIMED WATER AND SEWER 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 the responsibility that the DOMESTIC AND RECLAIMED WATER AND SEWER 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 AND SEWER 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 all othe, warranties, expressed or implieu, from CITY's contractor or material manufacturers with respect to the DOMESTIC AND RECLAIMED WATER AND SEWER 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 AND S~WER FACILITIES. This section sets forth the entire guarantee and warranty of CITY with respect to the DOMESTIC AND RECLAIMED WATER AND SEWER FACILITIES. The expressed or implied warranties of other persons, with respect to the DOMESTIC AND RECLAIMED WATER AND SEWER 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 AND SEWER 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 of any acts performed by DISTRICT, its officers, agents, or employees, with respect to the design and construction of the DOMESTIC AND RECLAIMED WATER AND SEWER FACILITIES; or (ii) following DISTRICT'S acceptance of the DOMESTIC AND RECLAIMED WATER AND SEWER 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. ~ITY shall cause its contractors to provide performance and payment bonds for the construction of the DOMESTIC AND RECLAIMED WATER AND SEWER 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 AND SEWER FACILITIES, provide DISTRICT a certificate of insurance in a form attached hereto as Exhibit "D" and incorporated bv 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, the DOMESTIC AND RECLAIMED WATER AND SEWER 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 permitted 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 g2715 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 ~he 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 following the request for such approval. SECTION lB. Notwithstanding any term or provision of this Agreement, CITY and DISTRICT acknowledge that pursuant to an agreement dated March 5, 1973, 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 AND SEWER 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 E 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 City all rights, title and interest in and to those DOMESTIC WATER FACILITIES, including appurtenances and easements, which are constructed within Parcel 2 and which serve only Parcel 2 (the "Parcel 2 Facilities") 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, 9, 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 APPROVED AS TO FORt4. BOWIE, ARNESON, KADI, & DIXON Legal Counsel, [rvine Ranch Water District MAYOR CITY OF TUSTIN Dated By. Dated ATTEST: By. City Clerk APPROVED AS TO FORM: Dated City Attorney for City of Tustin By Lois E. a~rby Deputy City Attorney City of Tustin 0986A lO IRVINE BR'YAN BLVD. DOME£TI¢ AVENUE ASA'. · ~aw¥ EXHIBIT A ! IRVINE A,T.& $.F. R.R. BRYAN AVENUE SEWER ~-~/~/~/~- ¢ CITY OF TU~r~N Ch~TIFICATE OF ~URANCE A~) DESIGNATIf~N 0F NAMED ADDle. TO: CITY OF T~-~-rlN IRVINE RANCH WAT~a~ DIS~I~ICT 300 Centennial Way 18802 Bardeen TUstin~ California 92680 Irviner California 92715 NA~ AND ADngESS OF I~;SURED CON~ACIuR NAME AND ADD~ESS OF INStg~%NCE AGENCY ~ype of Insurance This is to certify that the policies of insurance listed below have been issued to the insured named above, are in force at this time, that the City of Tustin and the Irvine Ranch Water District are named additional insureds thereon as respects claims arising in connection with the hereinabove named pr~ect and that such insurance shall be primary with respect to any other insurance in force purchased by the City of Tustin or the Irvine Ranch Water District. Self-Insured Retention Deductible, Insurance Policy Policy or Exclusion Limits of Liability in Thousands Co. No. Exp.Date for Underlying Each 0CCurrance Aqqre~ate G~Nf~AL LIABILITY Ccmpr ehansive form Premises-operations Explosion & col/apse ~azard Underground hazard PrOduct s/c~mpleted Operations hazard Contractual insurance Broad fora Ixoperty Independent contractors Personal Injury AU~ILE LIABILITY C~,,F.' ehensive, form Hired C~bined Umbr ella fora Other than umbrella form LIABILIT~ Bodily Injury $ $ Property Damage $ $ Bodily rnju~ $ $ & Property Damage Combined $ Bodily Injury $ $ (each person) Bodily Injury $ $ each Occurrence Pro rt Dama e $ Bodily Injury ~ Proper ty Damage Combined $ B~dily Injury & i Property D~age Combined $ $ $ Statutory (each accident) It is certified that a waiver of subrogation is hereby issued to the City of Tustin and the Irvine Ranch Water District as pertains to the terms of all Workers' Compensation Insurance. The issuing company will give thirty (30) days written notice to the City of Tustin and the tIrvine Ranch Water District prior to modification or canoellatior~ ~he Insurance Company(les) Agent(s) for service of process are listed on the next pege. Date Issue: NO MODIFICATIONS MAY BE MADE TO ~IS FORM. Authorized Representative of above-nm~ed insurance company(les) HI8I T D - I Insurance Oan~any Agent for of Process ~n Califo£nta Insurance Cc:mi:any ~ Street Number C.i. LT and S~te Telel::l'~one Number Irmurance Ccmlxmy Name b-'~eet Nmi~t City and State Telel:iaone Nm~be~: S~eet ~t City and Stat:e '~e.l. el:l~ne Nt~abet Agent for Service of ~rocess Street Number City and State Telephone Numar Agent for Sezvice of Process Street Number City and State Tele~hone Number Agent for Service of Process Street NL~ber City and State Telephone Number JGa.-se :R:12/0 9/86 (2b) LFJ.-lw:R: 8/12/87 ix/