HomeMy WebLinkAboutOrdinances Book 14, Page 1, No Ordinance NumberAN ORDINANCE PROVIDING FOR AND AUTHORIZING'THE EMPLOYMENT OF
BURNS & McDONNELL ENGINEERING C014PANY OF KANSAS CITY, MISSOURI IN
ESTABLISHING A GENERAL VALUATION OF ALL ELECTRIC PROPERTIES WITHIN
THE CITY LIMITS OF THE CITY OF PADUCAH, KENTUCKY NOW OWNED BY KENTUCKY
UTILITIES COMPANY, AND AUTHORIZING AND DIRECTING THE CITY MANAGER TO
ENTER INTO A CONTRACT FOR SAME WITH SAID COMPANY AND SETTING FORTH
THE TERMS AND CONDITIONS OF SUCH CONTRACT
BE IT ORDAINED BY THE BOARD OF COMMISSIONERS OF THE CITY OF
PADUCAH, KENTUCKY:
SECTION 1. That Burns & McDonnell Engineering Company of Kansas
City, Missouri shall be employed by the City of Paducah, Kentucky to
establish a general valuation of all electric properties within the
limits of said city now owned by Kentucky Utilities Company, and
that the City Manager be, and he is hereby, authorized and directed
to execute and deliver on behalf of the city a contract of employment
with said Company in words and figures as follows:
"CONTRACT FOR PROFESSIONAL SERVICES
"THIS CONTRACT made and executed in duplicate originals
this day of 1959, by and between the City of
Paducah, Kentucky, a municipal corporation hereinafter called
the City, party of the first part, and Burns & McDonnell
Engineering Company of Kansas City, Missouri, hereinafter
called the Company, party of the second part.
W I T N E S S E T H:
"That in consideration of the mutual covenants herein
contained, the City hereby employs the Company to perform
the professional services hereinafter outlined and agrees to
pay for such services as hereinafter set out; and party of the
second part accepts such employment and agrees to all terms
and conditions herein.
"The services which the Company agrees to perform are:
111. Establish a general valuation of all electris
properties within the city limits of Paducah now
owned by the Kentucky Utilities Company.
112 Consideration shall be given to both estimated
original cost and reproduction cost of all properties
fused and useful' in furnishing electric service with-
in the City.
2
!t3. An economic analysis shall be prepared to determine
whether it is to the advantage of the City to acquire
these properties at the estimated valuation.
'14. The analysis shall be predicated on three possible
sources of a power supply, namely:
(a) Purchase all requirements from the TVA.
(b) Construct a generating station and produce the
City's requirements.
(c) Purchase power and energy wholesale from the
Kentucky Utilities Company.
'T5. Estimates shall be made for a fifteen year period of
future power and energy requirements, predicated on
possible power sources as described in Paragraph 4.
"The above services shall be undertaken in close cooperation
with the City's legal staff.
"Results of the studies shall be summarized in report form
and fifty copies of the completed report including exhibits,
estimates, and recommendations presented to the City; all of
which will be submitted and delivered to the City if possible
by February 15, 1959, and in no event not later than I=Iarch 1, 1959.
"Members of the staff of the Company shall be available for
consultation with the officers and officials of the City and its
legal staff for a period not to exceed seven (7) months from the
date of presentation of the aforesaid reports.
"The fee to be paid by the City to the Company for the pro-
fessional services herein outlined shall be based on the following
formula:
(a) All salaries and wages at the direct cost to the Company.
(b) All direct and indirect overhead at 6000 of (a)
(c) Profit at 250 of (a) plus (b).
(d) All expenses incurred by members of the staff of the
Company while engaged on the project at the actual
cost to the Company.
"Che total fee computed in accordance with the preceding
formula is guaranteed by the Company not to exceed the sum of
Seven Thousand Nine Hundres Dollars 07,900.00).
"IN WITNESS WHEREOF the parties of the first and second
parts have hereunto set their hands and seals on the date
first above written.
CITY OF PADUCAH, KENTUCKY
Party of the First Part
Seal attached and B
attested by y
City Manager
Attested & Witnessed by
6
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BURNS & NcDONNELL ENGINEERING COMPANY
Party of the Second Part
By
Title
SECTION 2. This ordinance shall be introduced and remain on file
for public inspection for at least one week in the completed form in which it
shall be put upon its final passage, and if adopted shall be in full force
and effect ten days thereafter.
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Introduced by the Board of Commissioners January 13, 1959
Passed by the Board of Commissioners January 20, 1959
Recorded by Sarah Thurman, City Clerk, January 20, 1959.