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HomeMy WebLinkAboutMO # 1939199271 MUNICIPAL ORDER NO. 1939 A MUNICIPAL ORDER APPROVING AND AUTHORIZING THE EXECUTION OF AGREEMENT REGARDING THE CONDITIONAL APPROVAL OF. TRANSFER STATION CONSTRUCTION COMPLETION WHEREAS, the City of Paducah's (the "City") Solid Waste Division is responsible for the collection of residential and commercial waste within the City limits of Paducah; and WHEREAS, on January 19, 2016, City and Freedom Waste Service, LLC, is a Kentucky limited liability company ("Freedom"), entered into an Agreement for Transfer, Transport, and Disposal of Municipal Solid Waste (the "Agreement"), whereby City contracted with Freedom for long-term transfer station services, the transport and disposal of all municipal solid waste, and a safe and accessible citizen drop-off area for the deposition of recyclable products; and WHEREAS, under the Solid Waste Agreement, Freedom agreed to design, construct, operate, maintain, and replace, at its sole cost and expense, a Transfer Station on the Transfer Station Site, in accordance the Approved Plans on or before the Construction Completion Date and the Service Date of August 1, 2016; and - WHEREAS, the Construction Completion Date and the Service Date for the Transfer Station on the Transfer Station Site did not occur on or before August 1, 2016 and Freedom is requesting that City approve Construction Completion and establish the Construction Completion Date and the Service Date for the Transfer Station as set forth in Section 2.2.1., of the Solid Waste Agreement as of October 26, 2016; and WHEREAS, City is willing to conditionally approve Construction Completion and accept October 26, 2016, as the Construction Completion Date and the Service Date, subject to the terms and conditions contained in the Agreement Regarding the Conditional Approval of Transfer Station Construction Completion, to which Freedom is agreeable. NOW, THEREFORE, IT IS HEREBY ORDERED as follows: SECTION 1. Authorization. The Board of Commissioners of the City of Paducah hereby approves and the Mayor of the City of Paducah, Kentucky, is hereby authorized and directed to execute the Agreement Regarding the Conditional Approval of Transfer Station Construction Completion in substantially the form attached hereto as Exhibit A and made part hereof. SECTION 2. Effective Date. This Order shall be in full force and effect on and after the date as approved by the Board of Commissioners of the City of Paducah, Kentucky. 476 VA (Mayor ATTEST: jwmlry,�A14NIaait� Tammara Sanderson, City Clerk Adopted by the Board of Commissioners, October 25, 2016 Recorded by Tammara S. Sanderson, City Clerk, October 25, 2016 \mo\agree-transfer station approval 477 Exhibit A to the Municipal Order AGREEMENT REGARDING THE CONDITIONAL APPROVAL OF TRANSFER STATION CONSTRUCTION COMPLETION THIS AGREEMENT REGARDING THE CONDITIONAL APPROVAL OF TRANSFER STATION CONSTRUCTION COMPLETION (this "Agreement") made and entered into on this day of , 2016 (the "Effective Date") by and between by and between the CITY OF PADUCAH, KENTUCKY, a municipal corporation and body politic of the Commonwealth of Kentucky, P.O. Box 2267, Paducah, Kentucky 42002-2267, (hereinafter referred to as the "City") and FREEDOM WASTE SERVICE, LLC, a Kentucky limited liability company, with local offices located at 3426 State Route 45 South, Mayfield, Kentucky 42066 (hereinafter referred to as "Contractor"). All defined terms not otherwise defined herein shall have the same meaning as defined in the Agreement for Transfer, Transport, and Disposal of Municipal Solid Waste dated January 19, 2016. WITNESSETH: WHEREAS, upon the successful completion of the City's sealed bidding procedure and on January 19, 2016, City and Contractor entered into an Agreement for Transfer, Transport, and Disposal of Municipal Solid Waste, which agreement was amended by the First Amendment to the Agreement dated September 20, 2016 (the "Solid Waste Agreement"), whereby City contracted with Contractor for long-term transfer station services, the transport and disposal of all municipal solid waste, and a safe and accessible citizen drop-off area for the deposition of recyclable products; and WHEREAS, under the Solid Waste Agreement, Contractor agreed to design, construct, operate, maintain, and replace, at its sole cost and expense, a Transfer Station on the Transfer Station Site, in accordance the Approved Plans on or before the Construction Completion Date and the Service Date of August 1, 2016; and WHEREAS, the Construction Completion Date and the Service Date for the Transfer Station on the Transfer Station Site did not occur on or before August 1, 2016 and Contractor is requesting that City approve Construction Completion and establish the Construction Completion Date and the Service Date for the Transfer Station as set forth in Section 2.2.1., of the Solid Waste Agreement as of October 26, 2016; and WHEREAS, City is willing to conditionally approve Construction Completion and accept October 26, 2016, as the Construction Completion Date and the Service Date, subject to the terms and conditions contained herein, to which Contractor is agreeable. NOW, THEREFORE, in consideration of the foregoing premises, and other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, and intending to be legally bound hereby, the parties hereto agree as follows: Section 1. Conditional Approval of Construction Completion of Transfer Station. 1.1. Subject to the terms and conditions as hereinafter provided, City hereby approves Construction Completion and establishes the Construction Completion Date and the Service Date for the Transfer Station as set forth in Section 2.2.1. of the Solid Waste Agreement as of October 26, 2016. Section 2. Obligations of Contractor. Contractor expressly acknowledges and agrees that the approval of City as set forth in Section 1 above is conditioned upon the following obligations being fully satisfied by Contractor: 2.1. Contractor promises to pay to City, within three (3) days from the date of 478 this Agreement, delay liquidated damages in the amount of $22,000.00, for 22 days of delay from September 26h through and including October 18th, to which the City has agreed to accept as delay liquidated damages through and including October 18, 2016. Delay liquidated damages shall cease accruing as of October 19, 2016, provided; however, each and every obligation of Contractor is fully satisfied to the satisfaction of the City Manager and/or City Engineer. In the event, Contractor fails to timely perform each and every obligation as contained herein, delay liquidated damages shall be reinstated, commencing on October 19, 2016 and continuing to accrue until the Contractor's obligations have been completed to the satisfaction of the City Manager and/or City Engineer. The delay liquidated damages shall be in the amount of $1,000.00 per day for each day of such delay. The City may invoice the Contractor for such liquidated damages on a weekly basis, and such invoices will be due and payable by the Contractor within ten (10) days following receipt of the invoice. 2.2. City and Contractor expressly acknowledge and agree that the "punch list" items described below (Section 2.2.1, 2.2.2, and 2.2.3.) have not been completed as of the Construction Completion Date and the Service. Contractor agrees to the timely completion of the following "punch list" items to the satisfaction of the City Manager and/or City Engineer. 2.2.1. Within thirty (30) days from the date of this Agreement, Contractor shall complete the following: • Install 8" D.I.P. Water Main; • Install fire hydrant (See Detail 5, Sheet C8.2.); • Install proposed water service line; • Install water main line termination and water mainstub (See Details 6 & 7, Sheet C8.2.); • Install water meter; • Install sanitary sewer lateral with cleanout (See Detail 4, Sheet C8.2.); • Complete water main crossing sewer (See Detail 8, Sheet C8.2.); and • Install proposed sanitary sewer lift station. 2.2.2. Within thirty (30) days from the date of this Agreement, Contractor shall replace a certain portion of the HDPE pipe used in the construction of the Transfer Station which has collapsed. The collapsed portion is identified on Exhibit A attached hereto and made a part hereof. The HDPE pipe shall be replaced with RCP pipe as required by the Approved Plans. The Approved Plans required that RCP pipe be used in the construction of the Transfer Station, however, HDPE was used instead. City is willing to accept HDPE pipe, provided, that Contractor agrees to replace any further failures of the HDPE pipe with RCP pipe within thirty (30) days of the collapse. 2.2.3. After the completion of the relocation of the 6" high pressure gas main by Atmos Energy, or its designees, and upon asphalt material becomes available for construction, Contractor shall complete the heavy duty asphalt payment as required by the Approved Plans. Section 3. Reaffirmation of the Agreement. Except for the modifications set forth herein, all other terms and provisions of the Solid Waste Agreement entered into between the parties are expressly acknowledged, reaffirmed, and ratified by all parties hereto. All parties hereby agree to perform in strict accordance with the terms and provisions as set forth under the Solid Waste Agreement. Section 4. Miscellaneous Provisions. 4.1. Successors and Assigns. This Agreement shall be fully binding upon the parties hereto and their successors, and assigns as of the date hereof. 4.2. Future Amendments. The Solid Waste Agreement nor this Agreement may not be altered, amended, .modified, terminated, waived, released, or discharged, except in a writing signed by the parties or their successors or assigns. 479 4.3. Counterparts. This Agreement may be executed in any number of counterparts and by different parties hereto on separate counterparts each of which, when so executed, shall be deemed an original, but all such counterparts shall constitute one and the same agreement. 4.4. Applicable Law. The provisions of this Agreement are entered into and are to be performed in the Commonwealth of Kentucky. The City and Contractor agree that the laws of the Commonwealth of Kentucky shall govern the rights, obligations, duties and liabilities of the parties to this Agreement and shall govern the interpretation of this Agreement. Any legal action arising from or relating in any way to this Agreement shall have venue exclusively in the state courts of McCracken County, Kentucky. IN WITNESS WHEREOF, the parties have respectively caused this Agreement to be executed on the day and year first above written. [SEE FOLLOWING PAGES FOR SIGNATURES.] CONTRACTOR: FREEDOM WASTE SERVICE, LLC In Title: CITY: CITY OF PADUCAH, KENTUCKY LI -A Title: 480 Exhibit A to the Agreement Attached Hereto b/'4 481 y ti� { � t• F C5- Al i� � "".,% ; . i �. � ✓ r } ,1 � �"' %4 PSC ��? xw`' � t}'�+� � �t� J , � r 1 lyres,. �., ��"� •sn" R w: r ',�12^ a''�P — 1�"'i ., � r �• r L �. - f� tea► !N r �.� f r � �X ► i � T I� F �^ `� � � ; r� �e 4'fn3 ga i G rJr -_' cy ' f •1l ���`�, 'fit'"���w <' � � ` ;;�'��" L� -� �.#�i � �'' �y N - "AIM 483 q.4.