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HomeMy WebLinkAbout26-3 Resolution No. 26-3 RESOLUTION AUTHORIZING EXECUTION OF A FOURTH EXTENSION OF PURCHASE AGREEMENT WITH STEWART SPREADING, INC. FOR THE REMOVAL AND DISPOSAL OF WATER TREATMENT LIME RESIDUALS BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that pursuant to Elgin Municipal Code Section 5.02.020B(9)the City Council hereby finds that an exception to the requirements of the procurement ordinance is necessary and in the best interest of the city; and BE IT FURTHER RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that Richard G. Kozal, City Manager, and Kimberly A. Dewis, City Clerk, be and are hereby authorized and directed to execute a Fourth Extension of Purchase Agreement on behalf of the City of Elgin with Stewart Spreading, Inc., for the removal and disposal of water treatment lime residuals, a copy of which is attached hereto and made a part hereof by reference. s/David J. Kaptain David J. Kaptain, Mayor Presented: January 14, 2026 Adopted: January 14, 2026 Omnibus Vote: Yeas: 9 Nays: 0 Attest: s/Kimberly Dewis Kimberly Dewis, City Clerk FOURTH EXTENSION OF PURCHASE AGREEMENT THIS FOURTH EXTENSION OF PURCHASE AGREEMENT (hereinafter referred to as the "Extension Agreement" is hereby made and entered into this 14th day of January , 2026, by and between the City of Elgin, Illinois, a municipal corporation(hereinafter referred to as the "City"), and Stewart Spreading, Inc., an Illinois corporation(hereinafter referred to as"Contractor"). WHEREAS, the City and Contractor hereto have previously entered into an agreement dated October 27, 2021 (hereinafter referred to as "Original Agreement"), wherein the City engaged the Contractor to remove lime residue from lagoons located at the South McLean site and lagoons located at the Airlite Water Treatment Plant (hereinafter referred to as the "Project");and WHEREAS,the term of the Original Agreement terminated on December 31,2022 WHEREAS, the Original Agreement further provides that the parties may agree to enter into subsequent one-year extension agreements under the same terms and conditions as provided for in the Original Agreement, subject to an annual price adjustment based upon the Consumer Price Index (CPI)published on January 1 of each year; and WHEREAS, the Original Agreement provided for a maximum payment by the City of $4,130,000 for all work performed through December 31, 2022;and WHEREAS, the parties entered into a First Extension of Purchase Agreement, dated April 26, 2023, which extended the Original Agreement for a term commencing on January 1, 2023 and terminating on December 31,2023 (the"First Extension Agreement"); and WHEREAS, the parties entered into a Second Extension of Purchase Agreement. dated March 6, 2024,which extended the Original Agreement for a term commencing on January 2024 and terminating on December 31,2024(the"Second Extension Agreement");and WHEREAS, the parties entered into a Third Extension of Purchase Agreement, dated February 12, 2025, which extended the Original Agreement for a term commencing on January 1,2025 and terminating on December 31,2025 (the"Third Extension Agreement"); and WHEREAS, the Illinois Prevailing Wage Act (820 ILCS 130/1 et seq.) (the "Act") was amended effective January 1, 2024 to provide that the services to be provided by Contractor under the Original Agreement are considered public works that are subject to the requirements of the Act,thereby necessitating an increase in the contract price; and WHEREAS, the parties have determined it to be in their mutual best interests to extend the term of the Original Agreement for an additional one-year term upon the same terms and conditions of the Original Agreement, subject to the additional services and price adjustment provided for herein;and 1 WHEREAS, the parties hereto have determined and agree that the total maximum payment for the work performed and services described in this Fourth Extension Agreement shall be in an amount of$3,107,010; and WHEREAS, the changes provided to the Original Agreement in this Fourth Extension of Purchase Agreement are germane to the Original Agreement as signed and this Fourth Extension of Purchase Agreement is in the best interest of the City and authorized by law. NOW, THEREFORE, for and in consideration of the mutual undertakings provided herein, and other good and valuable consideration,the receipt and sufficiency of which is hereby mutually acknowledged,the parties hereto agree as follows: 1. The above recitals are incorporated into and made part of this Fourth Extension Agreement as if fully recited herein. 2. The parties agree to extend the term of the Original Agreement for an additional one-year term, which shall be deemed to have commenced on January 1, 2026, and which shall terminate on December 31, 2026, under the same terms of the Original Agreement except as expressly provided for in this Fourth Extension Agreement. 3. Attachment A of the Original Agreement, under the heading "Stewart Spreading, Inc.will be responsible for:," is hereby amended to read as follows: "Stewart Spreading, Inc., shall provide certain additional services to include: a. If there is need, removal of lime residual from the decant ponds and will maintain the decant ponds located at the McLean Lagoons site, up to$40,986 per year for time and materials; b. Approved lagoon site maintenance and/or lagoon improvements shall be provided on a time and materials basis." 4. Attachment A of the Original Agreement, under the heading "Contract Rates," is hereby amended by adding a new provision thereto to read as follows: "Anything to the contrary in this Agreement or Attachment A thereto notwithstanding, the total amount that the City shall pay Stewart Spreading, Inc., for any work performed during the term of the Fourth Extension Agreement, said term being January 1, 2026 to December 31, 2026, shall not exceed the total amount of $3,107,010.00. The detailed basis of the fee schedule associated with the work performed under the Fourth Extension Agreement shall be as follows: • Airlite- Water Treatment Plant $0.0799 per gallon transferred from the Airlite 2 lagoons to the McLean lagoons. • McLean Lagoons - $115.175 per Dry Ton for Lime removed and land applied from South McLean Boulevard Lagoons and the McLean temporary storage lagoon for Airlite Lime. • McLean Lagoons - $183.737 per Dry Ton for Lime removed and landfilled from the South McLean Boulevard Lagoons and the McLean temporary storage lagoon for Airlite Lime." 5. That except as amended by this Fourth Extension Agreement the Original Agreement shall remain in full force and effect. 6. That in the event of any conflict between the terms of the Original Agreement, as amended by the First Extension Agreement, the Second Extension Agreement and the Third Extension Agreement, and the provisions in this Fourth Extension Agreement, the provisions of this Fourth Extension Agreement shall control. 7. This Fourth Extension Agreement may be executed in counterparts, each of which shall be an original and all of which shall constitute one and the same agreement. This Fourth Extension Agreement may be executed electronically, and any signed copy of this this Fourth Extension Agreement transmitted by facsimile machine,email, or other electronic means shall be treated in all manners and respects as an original document. The signature of any party on a copy of this Fourth Extension Agreement transmitted by facsimile machine, email, or other electronic means shall be considered for these purposes an original signature and shall have the same legal effect as an original signature. IN WITNESS WHEREOF, the undersigned have entered into and executed this Fourth Extension Agreement as of the date and year first written above. CITY OF STEWART SPREADING, INC. By: �3 : / ('ity Manager Its(inse title)Business Deve op cnt Manager Attest: Attest: City Clerk President& ecretary , SpRe *,� ie aPGO�aPOR4 icyC-s • I SEAL _ t 2005 '"4'4"Iu ru�N Legal Dept\Agreement\Stewart Spreading Inc-Extension Agr No 4-1 I-24-25-clean.docx 3