HomeMy WebLinkAbout16 Attachment 2 -Town of Truckee Amendment 2 to the Memorandum of UnderstandingTOWN OF TRUCKEE
SECOND AMENDMENT TO
MEMORANDUM OF UNDERSTANDING
This Second Amendment modifies the existing Memorandum of Understanding (“MOU”)
between the Town of Truckee (‘Town”) and Truckee Donner Public Utility District
(“TDPUD”), executed on January 7, 2021 in the following ways:
Sections B and C of Exhibit B to the MOU (and First Amendment to the MOU) are
hereby amended to read as follows (revisions are shown in bold underlined text):
A. COST SHARE FOR FUELING STATION CAPITAL INVESTMENT: If by March
31, 2021, TDPUD desires to continue use of the Town’s Fueling Station, TDPUD
shall provide a payment to the Town for the capital investment associated with the
existing 20,000 gallon tank plus a new 20,000 gallon tank. The Town, TDPUD, and
Truckee Fire’s fair share percentages are as follows:
Entity
Total
Estimated
Annual Fuel
Usage
Fair Share
Percentage
Town
90,900 65%
TDPUD
34,780 25%
Truckee Fire
14,342 10%
Total
140,022 100%
The cost of the infrastructure to be shared by the Parties is equal to the sum of the
following:
a. Estimated construction cost of the existing tank ($356,700), depreciated
33% (10 years of a 30 year life), or $238,989
b. Actual design and construction cost of the new 20,000-gallon tank,
currently estimated to be $1,608,207 based on the bid received on
February 15, 2023. The new tank will include four (4) fueling stations, a
canopy over the new fuel tank, and a 1,000-gallon diesel emissions fluid
tank with dispensing appurtenances.
c. Total estimated infrastructure cost = $1,847,196
The actual fair share amount will be based on the actual design and construction
cost of the new fuel tank (including design consultant contract costs, construction
contract costs, construction management costs associated with consultant fees
and Town staff time). The construction cost of the existing tank will remain fixed at
$238,989. TDPUD’s fair share cost for the capital investment is currently estimated
to be $461,799 (25 percent of $1,847,196).
TDPUD shall make an initial payment to the Town of $59,747.25 (25% of the
existing fuel tank cost) on or before April 30, 2021. The second payment will be
due as outlined in Paragraph C below.
B. NEW FUEL TANK CONSTRUCTION: The Town solicited bids to construct the
New Fuel Tank in January 2023. The Town received and opened bids on
February 15, 2023 and determined an apparent low bidder. The Town notified
TDPUD in writing of the results of the bid on February 21, 2023. No more than
30 days of receiving the notice of the bid amount from the Town, TDPUD shall
deposit with the Town an amount equal to 25% of the estimated construction cost
for the New Fuel Tank plus an additional 15% to cover the construction contract
contingency and construction management and inspection costs, currently
estimated to be $402,052.
Within 45 days of receiving TDPUD’s deposit, the Town shall award and enter into
a contract for the construction of the New Fuel Tank. Within 60 days of completion
of the New Fuel Tank, the Town and TDPUD will reconcile any remaining costs or
outstanding invoices.
Town shall cause the construction of the New Fuel Tank to occur and will begin
the use of Renewable Diesel once the New Fuel Tank is operational.
All other terms and conditions of the original Agreement remain unchanged.
TOWN OF TRUCKEE
Dated: __________________ __________________________________
Jennifer Callaway, Town Manager
APPROVED AS TO FORM:
Dated: __________________ __________________________________
Andrew Morris, Town Attorney
TRUCKEE DONNER PUBLIC UTILITY DISTRICT
Dated: __________________ ___________________________________
General Manager
APPROVED AS TO FORM:
Dated: __________________ ___________________________________
Steve Gross, General Counsel