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HomeMy WebLinkAbout10 Donner Lake Tract REVISED Agenda em # NNEF Public Utility Distric! J Memorandum To: Board of Directors From: Neil Kaufman Date: June 18, 2003 Subject: Joint Agreeement with Southwest Gas for Construction of Pipelines in the Donner Lake Tract 1. Why this matter is before the board: Board Authorization is required to enter into an Agreement with Southwest Gas regarding construction of pipelines in the Donner Lake Tract. 2. History: The Board previously authorized staff to advertise for construction of the DONNER LAKE TRACT PIPELINES project. This project was conceived and designed as a joint project between the District and Southwest Gas. The Bid Documents covered the installation of both water and gas pipelines. 3. New information: On June 12, Bids were received and opened for this project. Based on the price prices provided by the Apparent Low Bidder (Herbert Suter Construction), District staff and Southwest Gas agreed to a unit price of$21 per foot to install natural gas piping in the Joint Trench. Additionally, Southwest Gas will pay 15 percent of the cost of performing Rock Excavation while excavating the Joint Trench. Attached for your review is the revised Agreement between the two agencies with the correct prices. 4. Recommendation: I recommend that the Board approve the Joint Agreement between the District and Southwest Gas for construction of the Donner Lake Tract Pipelines project. Attachments: Agreement between the District and Southwest Gas JOINT TRENCH AGREEMENT BETWEEN THE TRUCKEE DONNER PUBLIC UTILITY DISTRICT AND SOUTHWEST GAS CORPORATION This Agreement is entered into on the day of , 2003 between the TRUCKEE DONNER PUBLIC UTILITY District, a local public agency of the State of California, hereafter referred to as the "District," and SOUTHWEST GAS CORPORATION, a California corporation, with its principal place of business located at, Las Vegas, Nevada hereafter referred to as the "Utility." The District and the Utility may be referred to herein as "Party" or the "Parties" This Agreement is entered into with respect to the following facts: RECITALS WHEREAS, the District is in the process of engaging in the Donner Lake Tract Pipelines Project, which includes the trenching for and installation of about 3,000 lineal feet of pipeline and related facilities in the Donner Lake area("Project"); and WHEREAS, the Utility is in the process of trenching for and the installation of natural gas pipeline and related facilities ("Facilities")in the Donner Lake area; and WHEREAS, the District is willing, wherever possible, to dig the trench for its Project deep and wide enough so that the Utility's Facilities can be placed in the same trench as the District's facilities and charge the Utility a fixed price for the actual amount of linear feet of trench space made available to the Utility for its Facilities in accordance with the terms and conditions set forth in this Agreement; and WHEREAS, the Utility desires to install its Facilities in the trench being provided by the District for the Project, wherever possible, and pay the District a fixed price per linear foot of trench made available to the Utility for its Facilities in accordance with the terms and conditions set forth in this Agreement; and NOW THEREFORE, in consideration of the mutual covenants, terms and conditions contained in this Agreement, the Parties,for themselves and for their successors and assigns do mutually covenant and agree as follows: 1. Joint Trench. The District shall make available approximately 3,000 lineal feet of trench in the Donner Lake area for the installation of the both the District's facilities and the Utility's Facilities ("Joint Trench"). The District or its designate will coordinate with the Utility or its designate regarding the installation of all facilities, including the Utility's Facilities within t the Joint Trench. The Utility will be responsible for the construction and installation of its Facilities within the Joint Trench. The Utility is not obligated to use any or all of the Joint Trench, but is obligated to pay the District for every linear foot, or portion thereof, of the Joint Trench in which the Utility actually installs its Facilities. 2. Control of Work. The District shall have the sole authority to control and direct the work of the District's contractor(s) that will be digging the Joint Trench. Any communication the Utility desires with the District's contractor(s) must be conducted through the District and not directly with the District's contractor(s). 3. Permits. The District shall obtain and possess all necessary permits for the Joint Trench, including, but not limited to, permits from the Town of Truckee and the California Water Quality Control Board, Lahontan Region. The District assumes all responsibility for its inspection and compliance with the requirements set forth in all applicable permits, including compliance with backfill, trench integrity and pavement repair requirements. 3. Utility Warranty. The Utility represents, covenants and warrants to the District that it has the rights and permits to place its Facilities in the Joint Trench as requested and as may be shown in any plans and specifications, or in such other location as directed or requested by the Utility. 4. Payment to the District. The Utility agrees to pay the District a fixed price of twenty-one dollars ($21.00) per linear foot of trench space made available for the Utility's main gas lines and related facilities. The Utility shall also pay fifteen (15) percent of the cost of performing rock excavation for the trenches made available for gas mains. Rock excavation shall be as defined in Section 02200, Article 3.7 of the Contract Specifications for the District's Donner Lake Tract Pipelines project. Payment in full is due to the District within thirty (30) days of the Utility's receipt of an invoice from the District, together with reasonable documentation supporting the invoice. In the event that the Utility fails to pay any invoice when due, the District may immediately cease any further work pursuant to this Agreement. 5. Mutual Indemnity. Each of the Parties agrees to defend, indemnify and hold the other Party, its officials, officers, employees, agents and contractors harmless from any liability for bodily injury, death and/or property damage, claim, action, lawsuit, demand, loss, damage, expense or liability of any type arising out of this Agreement or any work performed pursuant to this Agreement, except to the extent that such claims, actions, lawsuits, demands, losses, damages, expenses or liability are caused by the sole negligence of the other Party or its officials,officers,employees, agents and contractors. 6. Entire Agreement. This Agreement contains the entire agreement of the Parties and supersedes any prior written or oral agreements between them concerning the subject matter contained herein. There are no representations, agreements, arrangements, or understandings, oral or written, between the Parties relating to the subject matter contained in this Agreement which are not fully expressed herein. The provisions of this Agreement maybe waived, altered, amended or repealed in whole or in part only upon the written consent of both Parties to this Agreement. 2 7. Necessary Acts, Each Party to this Agreement agrees to perform any further acts and execute and deliver any further documents that may be reasonably necessary to carry out the provisions of this Agreement. & Attorneys' Fees. In the event of any litigation concerning any controversy, claim or dispute between the Parties hereto, arising out of or relating to this Agreement or the breach hereof, or the interpretation hereof, the prevailing Party shall be entitled to recover from the losing Party reasonable attorneys fees and costs incurred therein or in the enforcement or collection of any judgment or award rendered therein. 9. Forum. Any litigation to enforce or interpret the provisions of this Agreement or the Parties' rights and liabilities arising out of this Agreement or the performance hereunder shall be maintained only in the courts in the County of Nevada, California. 10. Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California. This Agreement shall be binding upon the Parties only when signed by both Parties. TRUCKEE DONNER PUBLIC UTILITY DISTRICT DATED: BY: Peter L. Holzmeister, General Manager SOUTHWEST GAS CORPORATION DATED: BY: 3 s hh Agenda Item # �t✓ Memorandum To: Board of Directors From: Neil Kaufman Date: June 12, 2003 Subject: Joint Agreement with Southwest Gas for Construction of Pipelines in the Donner Lake Tract 1. Why this matter is before the board: Board Authorization is required to enter into an Agreement with Southwest Gas regarding construction of pipelines in the Donner Lake Tract. 2. History: The Board previously authorized staff to advertise for construction of the DONNER LAKE TRACT PIPELINES project. This project was conceived and designed as a joint project between the District and Southwest Gas. The Bid Documents covered the installation of both water and gas pipelines. 3. New information: On June 12, Bids were received and opened for this project. District staff is currently evaluating the Bids as indicated under a separate Agenda Item. Based on the Bid Prices provided by the Low Bidder, the District will hold discussions with Southwest Gas regarding the unit costs to Southwest Gas for this project. These discussions will take place during June 16-18. Attached for your review is a Draft Agreement between the two agencies. This agreement is essentially the same agreement that was used for construction of pipelines during the Summer of 2001 with minor changes such as the date and the scope of the construction. I will bring the final Agreement with the pricing to the meeting on June 18. 4. Recommendation: 1) 1 recommend that the Board approve the Joint Agreement between the District and Southwest Gas for construction of the Donner Lake Tract Pipelines project. Attachments: Draft Agreement JOINT TRENCH AGREEMENT BETWEEN THE TRUCKEE DONNER PUBLIC UTILITY DISTRICT AND s SOUTHWEST GAS CORPORATION a i This Agreement is entered into on the day of 2003 between the TRUCKEE DONNER PUBLIC UTILITY District, a local public agency of the State of California, hereafter referred to as the "District," and SOUTHWEST GAS CORPORATION, a California corporation, with its principal place of business located at, Las Vegas, Nevada hereafter referred to as the "Utility." The District and the Utility may be referred to herein as "Party" or the "Parties." This Agreement is entered into with respect to the following facts: RECITALS WHEREAS, the District is in the process of engaging in the Donner Lake Tract Pipelines Project, which includes the trenching for and installation of about 3,000 lineal feet of pipeline and related facilities in the Donner Lake area("Project"); and WHEREAS, the Utility is in the process of trenching for and the installation of natural gas pipeline and related facilities ("Facilities")in the Donner Lake area; and WHEREAS, the District is willing, wherever possible, to dig the trench for its Project deep and wide enough so that the Utility's Facilities can be placed in the same trench as the District's facilities and charge the Utility a fixed price for the actual amount of linear feet of trench space made available to the Utility for its Facilities in accordance with the terms and conditions set forth in this Agreement;and WHEREAS, the Utility desires to install its Facilities in the trench being provided by the District for the Project, wherever possible, and pay the District a fixed price per linear foot of trench made available to the Utility for its Facilities in accordance with the terms and conditions set forth in this Agreement; and NOW THEREFORE, in consideration of the mutual covenants, terms and conditions contained in this Agreement, the Parties,for themselves and for their successors and assigns do mutually covenant and agree as follows: I. Joint Trench. The District shall make available approximately 3,000 lineal feet of trench in the Donner Lake area for the installation of the both the District's facilities and the Utility's Facilities ("Joint Trench"). The District or its designate will coordinate with the Utility or its designate regarding the installation of all facilities,including the Utility's Facilities within t the Joint Trench. The Utility will be responsible for the construction and installation of its Facilities within the Joint Trench. The Utility is not obligated to use any or all of the Joint Trench, but is obligated to pay the District for every linear foot, or portion thereof, of the Joint Trench in which the Utility actually installs its Facilities. 2. Control of Work. The District shall have the sole authority to control and direct the work of the District's contractor(s) that will be digging the Joint Trench. Any communication the Utility desires with the District's contractor(s) must be conducted through the District and not directly with the District's contractor(s). 3. Permits. The District shall obtain and possess all necessary permits for the Joint Trench, including, but not limited to, permits from the Town of Truckee and the California Water Quality Control Board, Lahontan Region. The District assumes all responsibility for its inspection and compliance with the requirements set forth in all applicable permits, including compliance with backfill, trench integrity and pavement repair requirements. 3. Utility Warranty. The Utility represents, covenants and warrants to the District that it has the rights and permits to place its Facilities in the Joint Trench as requested and as may be shown in any plans and specifications, or in such other location as directed or requested by the Utility. 4. Payment to the District. The Utility agrees to pay the District a fixed price of Dollars ($ ) per linear foot of trench space made available for the Utility's main gas lines and related facilities and a fixed price of Dollars ($ ) per linear foot of trench space made available for the Utility's lateral gas lines and related facilities. Payment in full is due to the District within thirty (30) days of the Utility's receipt of an invoice from the District, together with reasonable documentation supporting the invoice. In the event that the Utility fails to pay any invoice when due, the District may immediately cease any further work pursuant to this Agreement. 5. Mutual Indemnity. Each of the Parties agrees to defend, indemnify and hold the other Parry, its officials, officers, employees, agents and contractors harmless from any liability for bodily injury, death and/or property damage, claim, action, lawsuit, demand, loss, damage, expense or liability of any type arising out of this Agreement or any work performed pursuant to this Agreement,except to the extent that such claims, actions, lawsuits, demands, losses, damages, expenses or liability are caused by the sole negligence of the other Party or its officials, officers, employees, agents and contractors. 6. Entire Agreement This Agreement contains the entire agreement of the Parties and supersedes any prior written or oral agreements between them concerning the subject matter contained herein. There are no representations, agreements, arrangements, or understandings, oral or written, between the Parties relating to the subject matter contained in this Agreement which are not fully expressed herein. The provisions of this Agreement maybe waived, altered, amended or repealed in whole or in pare only upon the written consent of both Parties to this Agreement 2 . ......... . . . 7. Necessary Acts. Each Parry to this Agreement agrees to perform any further acts and execute and deliver any further documents that may be reasonably necessary to carry out the provisions of this Agreement. 8. Attorneys' Fees. In the event of any litigation concerning any controversy, claim or dispute between the Parties hereto, arising out of or relating to this Agreement or the breach hereof, or the interpretation hereof, the prevailing Party shall be entitled to recover from the losing Party reasonable attorneys fees and costs incurred therein or in the enforcement or collection of any judgment or award rendered therein. 9. Forum. Any litigation to enforce or interpret the provisions of this Agreement or the Parties' rights and liabilities arising out of this Agreement or the performance hereunder shall be maintained only in the courts in the County of Nevada, California. 10. Governing Law. This Agreement shall be governed by and construed in accordance with the laws of the State of California. This Agreement shall be binding upon the Parties only when signed by both Parties. TRUCKEE DONNER PUBLIC UTILITY DISTRICT DATED: BY: Peter L. Holzmeister, General Manager SOUTHWEST GAS CORPORATION DATED: BY: 3