Loading...
HomeMy WebLinkAbout09-101 Resolution No. 09-101 RESOLUTION AUTHORIZING EXECUTION OF A TERMINATION AGREEMENT WITH PLOTE CONSTRUCTION, INC. REGARDING THE FRAZIER AVENUE RECONSTRUCTION PROJECT BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,ILLINOIS,that Ed Schock, Mayor, and Diane Robertson, City Clerk, be and are hereby authorized and directed to execute a Termination Agreement with Plote Construction,Inc.on behalf of the City of Elgin for the Frazier Avenue Reconstruction Project,a copy of which is attached hereto and made a part hereof by reference. s/Ed Schock Ed Schock, Mayor Presented: April 29, 2009 Adopted: April 29, 2009 Omnibus Vote: Yeas: 7 Nays: 0 Attest: s/Diane Robertson Diane Robertson, City Clerk TERMINATION AGREEMENT THIS AGREEMENT is made and entered into this 26thday of February , 2009, by and between the CITY OF ELGIN, Illinois, a municipal corporation (hereinafter referred to as the "City"); and PLOTE CONSTRUCTION, INC., an Illinois corporation (hereinafter collectively referred to as "Plote"). WHEREAS,the parties hereto have previously entered into an agreement dated July 5,2007 for a project commonly known as "Frazier Avenue Reconstruction" (hereinafter referred to as "Agreement"); and WHEREAS, the parties hereto have each determined it to be in their best interests to terminate Agreement. NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein,the sufficiency of which is hereby mutually acknowledged,the parties hereto hereby agree as follows: 1. The above recitals are hereby incorporated into and made a part of this Agreement. 2. The Agreement between the parties hereto is hereby terminated, effective immediately, and shall be of no further force or effect. 3. Neither parry hereto shall be entitled to any damages of whatsoever nature for any reason arising out of or in connection with the Agreement or this Termination Agreement,except as specifically provided for herein. 4. As and for total compensation to be paid to Plote pursuant to Agreement and this Termination Agreement,and in complete accord and satisfaction of Agreement and this Termination Agreement,City shall pay to Plote the total sum of$17,864.00 on or before June 1,2009.Plote shall not be entitled to any further sum, damages, reimbursement, or any other compensation of whatsoever nature for any reason. 5. Plote shall hold harmless, defend and indemnify City from and against any and all lawsuits, claims for damages, liens of whatsoever nature, and any and all other liability of whatsoever nature which may arise out of or in connection with either Agreement or this Termination Agreement, including, but not limited to, attorney's fees. In the event that the provisions of this paragraph are invoked by City,counsel for City shall be of City's choosing. The provisions of this paragraph shall survive any termination of Agreement,and shall not be construed or deemed to have been waived by City based on a claim of laches,estoppel or waiver of whatsoever nature. 6. The terms of this Termination Agreement shall be severable. In the event any of the terms or provisions of this Agreement are deemed to be void or otherwise unenforceable for any reason, the remainder of this Agreement shall remain in full force and effect. 7. This Agreement shall not be construed so as to create a joint venture, partnership, employment or other agency relationship between the parties hereto. 8. This Termination Agreement and Agreement are the only agreements between the parties hereto regarding the subject matter hereof. There are no other agreements, either oral or implied, between the parties hereto regarding the subject matter hereof. 9. This Termination Agreement shall be subject to and governed by the laws of the State of Illinois. Venue for the resolution of any disputes or the enforcement of any rights arising out of or in connection with this Agreement shall be in the Circuit Court of Kane County, Illinois. 10. Plote shall provide City with any and all waivers and documents, and shall fully cooperate with City in obtaining and/or preparing and executing any such waivers and/or documents 2 as may be required by City to effect City's purposes pursuant to Agreement or this Termination Agreement. CITY OF ELGIN, an Illinois municipal PLOTE CONSTRUCTION INC., Corporation an Illinois corpo atio B �� B Y y May Its Daniel R. Plote, President Attest: Attest: City Jerk 4y/eber,' 4sst. Secretary F:\Legal DepQAgreemenQTermination Agr-Plote-Frazier Ave Lowering Project.doe 3 CERTIFICATION OF ACTION BY THE JOINT WRITTEN CONSENT OF THE BOARD OF DIRECTORS OF PLOTE CONSTRUCTION INC. The undersigned, being the duly elected Secretary of PLOTE CONSTRUCTION INC. An Illinois corporation, hereby certifies that the following resolutions were adopted pursuant to the provisions of Section 147 . 1 of the Business Corporation Act of the State of Illinois, and said resolutions are still in full force and effect : RESOLVED, that Richard A. Weber, as Assistant Secretary is hereby authorized and empowered to make, execute, deliver and enter into contracts and sign surety bonds on behalf of the Corporation with all governmental agencies including the Illinois Department of Transportation, Illinois State Toll Highway Authority, as well as all Counties, Villages and other units of local government within the State of Illinois, as well as any non- governmental parties . A true record. Jani Plote Secretary Date: January 2, 2009 CERTIFICATION OF ACTION BY THE JOINT WRITTEN CONSENT OF THE BOARD OF DIRECTORS OF PIOTE CONSTRUCTION INC. The undersigned, being the duly elected Secretary of PLOTE CONSTRUCTION INC. An Illinois corporation, hereby certifies that. the following 'resolutions were adopted pursuant to the provisions of Section 147.1 of the Business -Corporation Act of the State of Illinois, and said resolutions are -still in full force and effect' RESOLVED, that Daniel R. Plote, as President is hereby • authorized and empowered to make, execute, deliver and enter into contracts and sign surety bonds on behalf of the Corporation with all governmental agencies including .the Illinois Department of Transportation, Illinois State Toll Highway Authority, as well as all Counties, Villages and.other units of local government within the State of Illinois, as well as any non-governmental parties. A true record. ` anice Plote Secretary Date: January .2, 2009 i f City of Elgin Memorandum Date: May 1, 2009 To: Joe Evers, City Engineer From: Jennifer Quinton, Deputy City Clerk Subject: Resolution Nos. 09-101 through 09-103, Adopted at the April 29, 2009, Council Meeting Enclosed you will find the agreement listed below. Please distribute to the appropriate parties and if needed, retain a copy for your records. If you have any questions please feel free to contact our office 847-931-5660 and we will do our best to assist you. Thank you. • Termination Agreement with Plote Construction, Inc. Regarding the Frazier Avenue Reconstruction Project • Change Order No. 1 and Final in the Contract with Martam Construction, Inc. for 2007 Center Business District Water Main Project • Third Amendment Agreement with TranSystems Corporation for the Central Business District Streetscape Project April 2, 2009 TO: Mayor and Members of the City Council FROM: Olufemi Folarin, City Manager Joseph Evers, P.E., City Engineer SUBJECT: Termination Agreement with Plote Construction Inc. for Frazier Avenue Reconstruction Project PURPOSE The purpose of this memorandum is to provide the Mayor and members of the City Council with information to consider the termination of the agreement with Plote Construction Inc. dated February 26, 2008 for the Frazier Avenue Reconstruction Project. RECOMMENDATION It is recommended that the City Council terminate the agreement and direct staff to prepare the necessary resolution. BACKGROUND At the June 27, 2007 City Council meeting, Council had authorized staff to enter into an agreement with Plote Construction Inc. (Plote) to reconstruct Frazier Avenue. The project included lowering the roadway under the recently reconstructed Metra bridge. The original agreement with Plote had been reduced at the time of award to address budget concerns. The reduction included the removal of water main, field offices and street lighting from Plote's agreement. Plote was ultimately awarded an agreement worth $619,242.25. During the initial phase of construction during the pavement removal and subgrade preparation, Plote's field personnel discovered contaminated material beneath the road. Work was immediately stopped and an environmental consultant was brought in by the City to conduct an evaluation of the limits of contamination. A report, generated on December 4, 2007 by Terracon Consulting Engineers & Scientists, was shared with Plote. The report identified a significant amount of contaminated soil within the profile of the roadway that was proposed to be cut. After meeting with Plote to devise a plan and payment for addressing the contaminated material, staff felt the best course of action, financially, was to terminate the agreement with Plote, repackage the bids and re-bid the project with the contaminated material removal included. Due Termination Agreement for Frazier Avenue Reconstruction Project April 2, 2009 Page 2 to the change in scope of the project by incorporating the removal of the contaminated soil, it was determined that it was in both parties best interests to terminate the agreement. The site has been left exposed to the elements since work stoppage allowing earthen materials to erode down the slope and across Clifford Street currently being used to access the Fox River Water Reclamation District North Plant. Although some remedial measures have been taken,the area continues to be vulnerable to erosion. Because of the steepness of the slope, amount of storm water runoff from surrounding areas, and ineffectiveness of existing remedial measures, staff feels that the most effective action is to move forward with a repackaged version of the Frazier Avenue Reconstruction Project. For staff to continue, it is recommended that the City terminate the contract with Plote. A copy of the termination agreement is attached for your consideration. COMMUNITY GROUPSANTERESTED PERSONS CONTACTED None FINANCIAL IMPACT The project number, account numbers and budget for the Frazier Avenue Project are 339673, 275-0000-791.93-80, 276-0000-791.93-80 and $749,239 respectively. The construction contract awarded to Plote totaled $619,242.25 of which $17,864 has been paid. The engineering agreement and one amendment with Bollinger Lach & Associates totals $118,946 with $45,372.65 remaining. Staff is proposing to repackage the project with the assistance of Bollinger Lach & Associates (BLA) to address the contaminated soils issue. The funds remaining in the purchase order for Plote will be utilized to fund the revised project. There are sufficient funds remaining in the purchase order for BLA for construction inspection services, to repackage the bid documents, provide oversight of contaminated soil removal and to provide assistance to engineering inspection staff during the reconstruction of Frazier Avenue. BLA will redesign, rebid, provide construction layout and to hire a specialist to monitor the contaminated material removal. City inspection staff will be utilized for construction observation with assistance from BLA to complete the inspections of the typical construction items such as curb and gutter, storm sewers and pavements. LEGAL IMPACT The Legal Department has prepared the termination agreement. Termination Agreement for Frazier Avenue Reconstruction Project April 2, 2009 Page 3 ALTERNATIVES 1. The City Council may choose to terminate the agreement with Plote Construction, Inc. 2. The City Council may choose not to terminate the agreement with Plote Construction, Inc. Respectfully submitted for Council consideration. do Attachment City of Elgin Memorandum Date: May 1, 2009 To: Mary Giffort, Paralegal From: Jennifer Quinton, Deputy City Clerk Subject: Resolution No. 09-101, Adopted at the April 29, 2009, Council Meeting Enclosed you will find the agreement listed below. Please retain a copy for your records. If you have any questions please feel free to contact our office 847-931-5660 and we will do our best to assist you. Thank you. • Termination Agreement with Plote Construction,Inc. Regarding the Frazier Avenue Reconstruction Project