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HomeMy WebLinkAboutContractCAG-21-053 Project No. 99025Z REIMBURSEMENT AGREEMENT FOR DUCT CONSTRUCTION THIS REIMBURSEMENT AGREEMENT FOR DUCT CONSTRUCTION ("Agreement") is made and entered into this 19th day of March , 20 21 (the "Effective Date") by and between MCIMETRO ACCESS TRANSMISSION SERVICES CORP., a Delaware corporation ("Utility"), d/b/a Verizon Access Transmission Services, having a business address at 600 Hidden Ridge, Irving, Texas 75038, and CITY OF RENTON, WA ("Reimbursor"), having an address at 1055 South Grady Way, Renton, WA 98057. The signatories to this Agreement shall be referred to individually as a "Party" and collectively as the "Parties". RECITALS Pursuant to RCW 35.99.070, Reimbursor has requested that Utility purchase, construct, and install (collectively, as applicable, "construct") underground conduit or duct ("Duct") for Reimbursor's ownership and use within Reimbursor's public right-of-way (the "Project") in connection with work to be performed by Utility. Utility shall only install Duct for Reimbursor ("Reimbursor Duct") in mutually agreed locations where Utility is also constructing Duct for its own use and subject to the terms of this Agreement. 2. Reimbursor has determined that the Reimbursor Duct work constitutes a purchase from a single source of supply. 3. Reimbursor will pay Utility for work it performs in support of the Project as further set forth in this Agreement including its Exhibits A and B attached hereto (the "Payment"). NOW THEREFORE, in consideration of the foregoing and of the mutual promises and covenants herein contained, the Parties agree as follows: Utility may, in its sole discretion, determine whether it will construct Reimbursor Duct in each particular location requested by Reimbursor. Utility will construct Reimbursor Duct using the same quality of materials and engineering standards Utility uses in constructing its own Duct. 2. Reimbursor agrees that: (a) Exhibit A, attached hereto and made a part hereof, represents the scope of work for the Project. (b) Consistent with Section 4 below, Reimbursor shall bear all actual costs ("Costs") incurred by Utility, as set forth in Exhibit B hereto relating to the incremental cost to Utility of constructing the Reimbursor Duct. Categories of such incremental Costs, include, but are not limited to, labor, materials, construction, damages, administrative overhead, taxes, travel expenses, railroad right -of- way access and flagging fees, permit fees, legal fees and other reasonable out of pocket expenses. (c) It waives any and all delay damage claims against Utility made by Reimbursor or any employee, representative agent, contractor or beneficiary of Reimbursor. The Reimbursor Duct shall be a single two-inch Duct placed by Utility adjacent and parallel to the Utility's Duct and within same bore alignment for the route authorized under permit numbers or other specific descriptors. (d) Upon completion of work and receipt of the Payment, ownership and title to the Reimbursor Duct will automatically pass from Utility to Reimbursor with no further action required on the part of either Party, or this Agreement and proof of payment by Reimbursor shall act as proper documentation thereof. (e) Reimbursor may not access or use the Reimbursor Duct for any purpose until Utility receives the Payment. (fj Reimbursor shall be responsible for placing tracer wire and access points (manholes/handholes/vaults) for the Reimbursor Duct. (g) Reimbursor's use of the Reimbursor Duct shall be restricted to non-commercial governmental use for a period of seven (7) years from receipt of the Payment, upon which date this Agreement terminates and is no further force or effect. (h) If Utility determines, in its sole discretion, to not complete construction of a particular route, Utility shall transfer to Reimbursor title to any Reimbursor Duct already constructed, shall provide Reimbursor with reasonable access points to the already constructed Reimbursor Duct, shall have no further obligation with respect to the remainder of the route, and any amounts to be paid by Reimbursor to Utility under this Agreement shall be adjusted on a pro rata basis. (i) Utility reserves all rights under applicable law. (�) Utility warrants that upon delivery, the Reimbursor Duct constructed as part of the Project will not be obstructed and shall meet the specifications set forth in Exhibit A; otherwise, Utility is providing the Reimbursor Duct and all other work and materials associated with the Project on an "as is," "where is" basis, with no warranties of any kind, including, without limitation, implied warranties of merchantability or fitness for a particular purpose. (k) Utility shall not be required to place Duct in the ground or on structures that do not meet Utility's engineering standards or where Reimbursor cannot provide sufficient documentation that it has secured necessary property rights, easements or other right-of- way rights for Utility to place its facilities in the designated location. (� Utility may recover from Reimbursor reasonable attorneys' fees and costs from any and all actions Utility brings to collect amounts owed by Reimbursor under this Agreement. 3. Reimbursor may, at its own expense, inspect construction Utility performs in connection with the Project. 4. The total cost of the Project is estimated not to exceed the amount set forth in Exhibit B hereto. Utility will charge Reimbursor only for its Costs incurred for the Project. Reimbursor acknowledges and agrees that this amount is an estimate and shall not be construed as limiting the amount Utility is to be reimbursed by Reimbursor under this Agreement. Utility shall provide notice to Reimbursor when Utility becomes aware that Costs will exceed the estimate by more than ten percent (10%), at which time Reimbursor may elect to terminate the Agreement pursuant to Section 9. 2 In the event either Party terminates this Agreement pursuant to Section 9 below or Reimbursor directs Utility in writing to stop work on the Project, Reimbursor shall be responsible to Utility for Costs incurred by Utility prior to receipt of such termination or stop work notice and Project wind -down costs incurred by Utility. Following completion of the Project, Utility shall make an accounting of final, unpaid, actual Costs of the Project and provide Reimbursor with a copy of the accounting and an itemized invoice therefor. Utility may invoice Reimbursor monthly for progress payments for materials and labor. Payment on a progress payment will be made in the next pay cycle of the Renton Finance Department after receipt of invoice (pay cycles are bi-weekly). 7. Reimbursor shall perform no work within ten (10) feet on either side of the Reimbursor Duct in the Project area until the Project has been completed or as otherwise mutually agreed by Reimbursor and Utility. If any such work is performed, Utility has a right to have an inspector on site during such work, and Utility's inspector may order Reimbursor, its employees, agents, representatives and contractors (for purposes of this Section 7, collectively, "Reimbursor") to immediately stop work if such work is placing Utility's facilities in imminent harm, and Reimbursor shall immediately comply with such order. Until the Project has been completed or as otherwise mutually agreed by Reimbursor and Utility, Reimbursor shall give written notice to Utility at least forty-eight (48) hours, excluding Saturday, Sunday and legal holidays, in advance of commencement of any work in the immediate Project area. The notice shall be given to those individuals listed in the contacts section of Exhibit A. In the event of an emergency, Reimbursor shall provide telephonic notice to MCI at 1-800-MCI-WORK upon Reimbursor's discovery of the emergency. The obligations of Utility are subject to force majeure, and Utility shall not be in default of this Agreement if any failure or delay in performance is caused by strike or other labor problems; accidents; acts of God; fire; flood; adverse weather conditions; material or facility shortages or unavailability; lack of transportation; the imposition of any governmental codes, ordinances, laws, rules, regulations or restrictions, including, without limitation, the necessity of obtaining permits or environmental assessments or environmental approvals; condemnation or the exercise of rights of eminent domain; war, civil disorder or acts of terrorism; or any other cause beyond the reasonable control of Utility. 9. Utility shall indemnify, defend, and hold harmless Renton, from and against any and every Third -Party action, claim, cost, damage, death, expense, harm, injury, liability, or loss of any kind, in law or in equity, to persons or property, including reasonable attorneys' and experts' fees and/or costs incurred by Renton in its defense, arising out of or related to, directly or indirectly, to Utility's Work or abandonment of Facilities, or from the existence of Utility's Facilities, and the products contained in, transferred through, any signals or emissions from the Facilities, released or escaped from the Facilities, including the reasonable costs of assessing such damages and any liability for costs of investigation, abatement, correction, cleanup, fines, penalties, or other damages arising under any Laws, including, but not limited to, Environmental Laws, and any action, claim, cost, damage, death, expense, harm, injury, liability, or loss, to persons or property which is caused by, in whole or in part, and only to the extent of, the willfully tortious or negligent acts or omissions of Utility or its agents, contractors (of any tier), employees, representatives or trainees related to Utility's granted Agreement privileges. "Renton" means the City of Renton, and its elected officials, agents, employees, officers, representatives, consultants (of any level), and volunteers. The terms of this section shall not require Utility to indemnify Renton against and hold harmless Renton from claims, demands or suits based upon Renton's negligent or willful conduct, and provided further that if the claims or suits are caused by or result from the concurrent negligence of (a) the Utility's agents, officers, or employees and (b) Renton, this provision with respect to claims or suits based upon such concurrent negligence shall be valid and enforceable only to the extent of Utility's negligence or the negligence of Utility's agents or employees except as limited in this Agreement. 10. Insurance: Utility shall procure and maintain for the duration of the Agreement, insurance, or provide evidence of self-insurance, against all claims for injuries to persons or damages to property which may arise from or in connection with the exercise of the privileges granted by Agreement to Utility. Utility shall provide to Renton an insurance certificate, and/or a certificate of self-insurance, together with a blanket additional insured endorsement on the general liability policies, including Renton as an additional insured as their interest may appear under this Agreement upon Utility's acceptance of this Agreement, and such insurance certificate shall evidence the following coverages: a. Commercial general liability insurance, including but not limited to, blanket contractual, property damage, premises -operations, explosion, collapse and hazard, underground hazard (XCU) and products completed hazard, with limits of one million dollars ($1,000,000) for each occurrence for bodily injury and property damage and two million dollars ($2,000,000) general aggregate; b. Commercial automobile liability for owned, non -owned and hired vehicles with a combined single limit of one million dollars ($1,000,000) each accident for bodily injury and property damage; c. Worker's Compensation within statutory limits consistent with the Industrial Insurance laws of the State of Washington; and d. Pollution liability with a limit not less than one million dollars ($1,000,000) for each occurrence, and two million dollars ($2,000,000) in the aggregate, for pollution condition arising out of or resulting from the use and occupancy of the premises and the operations conducted thereon. Additional Insured: Renton, its officers, officials, employees, and volunteers shall be included as an additional insured as their interest may appear under this Agreement on the commercial general liability and commercial automobile liability insurance, as respects work performed by Utility and the blanket additional insured endorsement shall be included with on the certificate of insurance or certification of self-insurance. Utility's insurance shall be primary insurance with respect to Renton. Any insurance maintained by Renton shall be in excess of Utility's insurance and shall not contribute with it. Utility shall give Renton thirty (30) days prior written notice by certified mail, return -receipt requested, of suspension, cancellation, or material change in coverage. Survival: The indemnity and insurance provisions shall survive the termination of this Agreement and shall continue for as long as Utility's Facilities remain in or on the Agreement Area or until the Parties execute a new Agreement that modifies or terminates these indemnity or insurance provisions. 11. Either Party may terminate this Agreement prior to its termination date as set forth in Section 2.g upon written notice to the other Party: (i) upon completion of all existing Reimbursor Duct construction efforts; (ii) at any time in the event no Reimbursor Duct construction efforts are underway; (Ili) within ten (10) days of any notice by Utility notice to Reimbursor of a 10% exceedance under Section 4; or (iv) in the event a Party breaches the terms of this Agreement and such breach is not cured within thirty (30) days of receipt of written notice to the Party from the other Party of the details of such breach. 12. The terms of this Agreement shall be binding upon and inure to the benefit of the Parties and their respective successors and assigns. 13. IN NO EVENT SHALL EITHER PARTY BE LIABLE TO THE OTHER PARTY, ITS EMPLOYEES, SUBCONTRACTORS, AND/OR AGENTS, OR ANY THIRDPARTY, FOR ANY INDIRECT, INCIDENTAL, SPECIAL, CONSEQUENTIAL OR PUNITIVE DAMAGES, OR LOST PROFITS, FOR ANY CLAIM OR DEMAND OF ANY NATURE OR KIND, ARISING OUT OF OR IN CONNECTION WITH THIS AGREEMENT OR THE PERFORMANCE OR BREACH THEREOF. 14. The direct damages that a Party may be liable for to the other Party under this Agreement shall not exceed the total amount paid to Utility under the Agreement. 15. Utility shall maintain accounts and records, which properly reflect all direct and indirect costs expended on the Project. Utility agrees to provide access to and copies of any records related to this Agreement as required by Reimbursor to audit expenditures and charges and/or to comply with the Washington State Public Records Act (Chapter 42.56 RCW). 16. Reimbursor represents to Utility that, pursuant to RCW 35.99.070, Section 4, the value of the work at issue is not considered a public works construction contract and, therefore, prevailing wages are not required. 17. This Agreement together with its Exhibits constitutes the entire agreement between the Parties and supersedes all contemporaneous or prior agreements between the Parties, whether written or oral, with respect to the subject matter of this Agreement. This Agreement may not be modified, supplemented or amended unless any such modification, supplement or amendment is incorporated into the Agreement via valid amendment signed by the authorized representatives of each Party. This Agreement may be executed in counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same instrument. Execution and exchange of signatures via facsimile or Adobe Acrobat portable document file (.PDF file extension) shall have the same force and effect as execution and exchange of originals. Each Party warrants that it has the full right and authority to enter into this Agreement. All necessary approvals and authority to enter into this Agreement have been obtained and the person executing this Agreement on behalf of each Party has the express authority to do so and, in so doing, to bind such Party hereto. IN WITNESS WHEREOF, the Parties have executed this Agreement as of the day and year first above written. for Reimbursor CITY OF RENTON, WA for Utility MCIMETRO ACCESS TRANSMISSION 3 Eilt77/�To !`llTl7l C�L� By:— — — By Name: Armondo Pavone Mayor Na ATTEST: Titl Jason A. Seth, City Clerk Date: 3_19_2021 Federal Tax ID#: 91-6001271 Telephone: (425) 430-7291 l 141 REN rp Date Email address for City's contact person (Justin T. Johnson): JTJohnson(c-u,Rentonwa.gov Billing Contact: Name: Justin T. Johnson Address: 1055 South Grady Way Renton, WA 98057 0 Exhibit A BACKGROUND. The City of Renton, WA has requested 1- 2" high -density polyethylene conduit be installed within the same pathway that MCI conduit is being installed. The exact start and end points will be determined in the field with the city identifying these locations. SCOPE AND SPECIFICATIONS OF WORK. Install 2-inch conduit with pull -rope and tracer wire adjacent to MCImetro Access Transmission Services Corp. conduit and within same bore alignment along I I6th. Ave. SE between Puget Dr. SE and SE 188th. St. In between these start and end points there will be multiple (bore pits) where the City conduit will have stubs buried below the surface. These stub locations and the start and end point locations will be identified on asbuilt drawings that MCI will provide to the City after construction has completed. Utility: MCImetro Access Transmission Services Corp. Engineer• Brad Landis Engr IV Spec-Ntwk Eng & Ops Kirkland, WA 98034 425.636.6036 (0) brad. landis0,,vcrizon.corn Manager: Louise Popelka Sr Mgr-NtwkEng & Ops Bellevue, WA 98008 425.603.2092 (0) louise.popelka(averizon. com Agreements-, George Reid Irving, TX 972.444.5343 geor eg reidgverizon.com 7 Page: 01 verizonbusirleSS OUTSIDE PLANT CONSTRUCTION INCREMENTEAL COST ESTIMATE (ACTIVE APPROVED ) 05111 /2020 Project/AFE #: 99025Z Revision: 4 Date Prepared: 08/27/2019 Title CITY OF RENTON WA SDA Engineer: BRAD LANDIS Site Code: STTLWA Manager: LOUISE POPELKA Investigation#: 7899-2019 City: SEATTLE Disposition: Refund State: WA Footage Impact: 11,900 DESCRIPTION OF WORK The City of Renton. WA has reached out to us requesting that we install a single 2" conduit within certain areas and along planned pathways of our new One Fiber build. The City has an underground policy so placing new cables aerially is not an option. Currently the City is looking us adding a single 2" conduit along 116th Ave SE between Puget Dr SE and SE 188th St., totaling roughly 11,900 ft. The City may want a 2" conduit at other locations as well but at this time this has been specifically identified. Once engineering has begun more exact locations of the start and stop points of the City conduit can be identified, with input from the City. Eng. Start: Eng. Complete: SCHEDULE Const. Start: Const. Complete: 03/03/2020 SUMMARY OF ESTIMATED COSTS A): ENGINEERING: $0.00 B): INSPECTION SERVICES: $0.00 C): FURNISHED MATERIALS: $17,850.00 D): CONTRACTOR UNIT PRICE SCHEDULE: $94,902.50 E): SPLICING LABOR: $0.00 F): TOTAL: Construction Manager: Date: $112, 752.50 Cl\f1101 I D Page: 02 OUTSIDE PLANT CONSTRUCTION INCREMENTAL COST ESTIMATE (ACTIVE APPROVED ) 05/11 /2020 Project/AFE #: 99025Z CITY OF RENTON WA SDA Revision: 4 INTERNAL - REF DESCRIPTION: QTY: U/M: UNIT $: EXT. $: CONTRACT - REF DESCRIPTION: 0 QTY: Ulm: 0 UNIT $: 0 EXT. $: 0 ENGINEERING Sub TOTAL: 0 0 $0.00 B) INSPECTION SERVICES INTERNAL - REF DESCRIPTION: QTY: U/M: UNIT $: EXT. $: EXTERNAL - REF DESCRIPTION: 0 QTY: U/M: 0 UNIT $: 0 EXT. $: 0 0 0 INSPECTION SERVICES Sub TOTAL: $0.00 C) FURNISHED MATERIALS REF DESCRIPTION: QTY: U/M: UNIT $: EXT. $: Conduit 11900 ft. 1.50 $17,850.00 FURNISHED MATERIALS Sub TOTAL: $17,850.00 D) CONTRACTOR UNIT PRICE SCHEDULE REF DESCRIPTION: QTY: U/M: UNIT $: EXT. $: Directional bore 10 % Construction Contingency 11900 If 1 LS 7.25 8627.50 $86,275.00 $8,627.50 CONTRACTOR UNIT PRICE SCHEDULE Sub TOTAL: $94,902.50 E) SPLICING LABOR REF DESCRIPTION: QTY: U/M: UNIT $: EXT. $: SPLICING LABOR Sub TOTAL: $0.00 9