HomeMy WebLinkAboutRes2016-053Sponsored by: Hunt
CITY OF SEWARD, ALASKA
RESOLUTION 2016-053
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING THE CITY MANAGER TO ENTER INTO A
PROFESSIONAL SERVICES AGREEMENT IN AN AMOUNT NOT TO
EXCEED $58,903.00 WITH HARMON CONSTRUCTION, INC. TO
PROVIDE ABATEMENT, DEMOLITION, AND REMOVAL SERVICES
FOR DERELICT CITY -OWNED STRUCTURES LOCATED AT 408
MADISON AND 516 — 522 FIRST AVENUE, AND APPROPRIATING
FUNDS
WHEREAS, in 2012 and 2013 the City took possession through the tax foreclosure
process of Lots 29, 30, 31 and 32, Block 27 and the West'/2 of Lots 19 and 20, Block 30 Original
Townsite of Seward; and
WHEREAS, the intent of the City was to obtain ownership through the foreclosure
process by paying the delinquent taxes, contracting the cleanup of the properties, then selling the
properties to recover the costs incurred and finally placing the properties back on the tax roll; and
WHEREAS, both of these property locations are in derelict condition, extreme eye sores,
and are public safety hazards; and
WHEREAS, over the past few years numerous complaints have been received from the
public regarding the condition of these properties; and
WHEREAS, at the May 23, 2016 meeting the City Manager provided the scoring criteria
and informed the Council of the Request For Proposals (RFP) to provide abatement, demolition
and removal service; and
WHEREAS, two (2) qualified proposals were received from professional contractors;
three (3) staff reviewed and scored the proposals on July 7, 2016; Harmon Construction, Inc.
scored the highest of the proposers with a bid price of $58,903.00; and
WHEREAS, on July 11, 2016 an Intent To Award notice was issued and the City of
Seward Professional Services Agreement was signed by Harmon Construction, Inc. and is
included with this resolution.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SEWARD, ALASKA that:
Section 1. The Council hereby authorizes the City Manager to enter into the Professional
Services Agreement with Harmon Construction, Inc. as attached hereto, in substantial form, in an
CITY OF SEWARD, ALASKA
RESOLUTION 2016-053
amount not to exceed $58,903.00 for abatement, demolition, and removal services.
Section 2. The Council further authorizes the appropriation in an amount not to exceed
$58,903.00 from the General Fund account 01000.1180.7810 for the abatement demolition and
removal contract.
Section 3. This resolution shall take effect immediately.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this
22"d day of August, 2016.
THE CITY OF SEWARD, ALASKA
a' e2Z2 can Bardarson, Mayor
AYES: Keil, Squires, Butts, McClure, Bardarson
NOES: None
ABSENT: Casagranda, Altermatt
ABSTAIN: None
ATTEST:
renda J. Ballou, 0MC
Acting City Clerk
of S
(City pS�0R,9 ••. 'Q
• � SEAL � •
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Agenda Statement
Meeting Date: August 22, 2016
To: City Council qil
Through: Jim Hunt, City Manager
Ron Long, Assistant City Manager
From: Donna Glenz, Planner
Agenda Item: Approving a professional services contract with Harmon Construction for
abatement / demolition and removal services
BACKGROUND & JUSTIFICATION:
In 2012 and 2013 the City of Seward took possession of two separate properties through the tax
foreclosure process. All parcels are City owned and located within the City limits of Seward.
• Site number 1 is located at 516 — 522 First Avenue, Lots 29, 30, 31 and 32, Block 27
Original Townsite of Seward, Tax Parcel ID numbers 14805003 & 14805004.
• Site number 2 is located at 408 Madison, the West % of Lots 19 and 20, Block 30,
Original Townsite of Seward, Tax Parcel ID number 14813010.
The intent of the City has always been to obtain ownership through the foreclosure process by
paying the delinquent taxes, contracting the cleanup of the properties, then selling the properties
to recover the costs incurred and finally placing the properties back on the tax roll. Once the
properties were obtained, the City had difficulties is securing a contractor to complete the demo
and cleanup of these derelict properties. Both of the these property locations are in derelict
condition, extreme eye sores and are public safety hazards, over the past few years the City has
received numerous complaints from the public regarding the unsightly and derelict conditions.
In February 2016 the City was able to hire the Satori Group to perform a hazardous materials
survey of the properties. Once the inspection was performed and the report provided the City
was able to conduct the Request for Proposals (RFP) for the abatement / demolition and removal
services needed. The City Manager provided the scoring criteria and informed the Council of the
RFP to provide the needed services, at the May 23, 2016 Council meeting.
Two (2) qualified proposals were received from professional contractors; three (3) staff
reviewed and scored the proposals on July 7 h; Harmon Construction, Inc. scored the highest of
the proposers with a bid price of $58,903.00. The amount of $58,903.00 was the lowest,
responsive proposal and met the qualifications of the City. Harmon Construction was sent a letter of
intent to award on July 11, 2016 and the City of Seward Professional Services Agreement was
signed by Harmon Construction and is included with this resolution.
INTENT:
Award the Professional Services Agreement for abatement / demo and removal services.
CONSISTENCY WITH CITY PLANS Yes No N/A
Comprehensive Plan (2020, approved by Council August 8, 2005)
• Community Appearance
Improve the appearance of the entire community through
increased ......
1.
• Removal of numerous abandoned and
X
dilapidated buildings by both city and
private property owners (page 9)
• 3.9.2.1 Encourage citizens, as well as the city, to take an active
role in beautifying the community. (page 30).
Strategic Plan (Approved by Council Resolution 99-043):
X
2
• Promote a safe community (Page t s)
3
Seward City Code:
X
Numerous sections of title 9, Health and Safety support this action:
FISCAL NOTE:
The costs incurred for the delinquent taxes, hazardous material inspection, staff time, RFP
advertisement and the abatement, demo and removal and any other costs will be recovered in the
sale of the properties.
Approved by Finance Department:
ATTORNEY REVIEW: Yes No X
RECOMMENDATION:
Council to approve Resolution 2016- 0 5 3 , authorizing the City Manager to enter into the
Professional Services Agreement with Harmon Construction, Inc. as attached hereto, in
substantial form, in an amount not to exceed $58,903.00.
Professional Services Agreement
for Abatement / Demolition, Removal and Dis osal Services
This AGREEMENT, made and entered into this to day of _, 2016 by and
between the CITY OF SEWARD, a home rule municipal corporation located within the Kenai
Peninsula Borough and organized under the laws of the State of Alaska, hereinafter referred to as
the "City" and Harmon Construction, Inc. a construction, firm authorized to do business in
Alaska, with offices located at 802.5 Port Avenue, Seward, Alaska, hereinafter referred to as the
"Contractor."
WITNESSETH
WHEREAS, the City of Seward wishes to enter into a contract with an independent
contractor / firm to provide Abatement / Demolition Removal and Disposal of all structures,
trash and debris from two separate site locations owned by the City of Seward, located in
Seward, Alaska; and
WHEREAS, in response to a request for a proposal, Harmon Construction, Inc.
submitted a proposal asserting it is qualified to perform these services and able to do so in a
timely manner; and
NOW, THEREFORE, in consideration of the mutual promises and covenants contained
herein, the parties agree as follows:
1.0 DEFINITION
1.1 "Agreement" shall mean this Professional Services Agreement, including:
Exhibit A: Contractor's Proposal for Abatement / Demolition
Removal and Disposal Services dated July 1, 2016
Exhibit B: Contractor's Certificate of Insurance
1.2 "Change Order" is an addition to, or reduction of, or other revision approved by
the City in the scope, complexity, character, or duration of the services or other
provisions of this Agreement,
1.3 "City" shall all mean the City of Seward, Alaska.
1.4 "Contracting Officer" shall mean City Planner, Donna Glenz, and include any
successor or authorized representative.
1.5 "Project" shall mean the Abatement / Demolition, Removal and Disposal of all
structures, trash and debris from two separate site locations owned by the City of
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Seward.
2.0 TERM OF AGREEMENT. This Agreement shall take effect upon execution. This
Agreement shall remain in full force and effect until the Project has been completed and
further, until all claims and disputes have been concluded. The work is considered
complete when the City has found acceptable the finished product of all work described
in Contractor's Scope of Services or changes thereto. This Agreement may be amended
only in writing and upon compliance with all applicable statutes, ordinances, and
regulations.
3.0 FEES. The total fees shall not exceed $ 58,903.00. (to be completed based on accepted
proposal)
4.0 SCOPE OF SERVICES. The City and the Contractor have agreed upon the scope of
work described in Exhibit A, to provide professional abatement / demolition, removal and
disposal services based on standard industry practice.
This Scope of Services can only be changed in writing pursuant to Section 26.0 of this
Agreement.
5.0 SCHEDULE FOR COMPLETION. The schedule for completion for all work
described herein shall be as described in Exhibit A.
6.0 PERSONNEL/ORGANIZATION
6.1 Key Personnel. Work and services provided by the Contractor will be performed
by: Lawrence Harmon.
6.2 Changes in Key Personnel. The Contractor shall give the City reasonable
advance notice of any necessary substitution or change of key personnel and shall
submit justification therefore in sufficient detail to permit the City to evaluate the
impact of such substitution on this Agreement. No substitutions or other changes
shall be made without the written consent of the City.
7.0 STANDARD OF PERFORMANCE. The Contractor agrees to provide all required
professional labor, material, equipment, tools, supervision, transportation, disposal costs
and other amenities necessary to complete the project and any additions or changes
thereto. The Contractor accepts the relationship of trust and confidence established
between it and the City by this Agreement. The Contractor covenants with the City to
furnish its best skill and judgment, and to further the interest of the City at all times
through efficient business administration and management. The Contractor shall provide
all services in a competent manner. It is understood that some of the services to be
rendered hereunder require professional judgment and skill. In those cases, the
Contractor agrees to adhere to the standards of the applicable profession.
8.0 TIMELINESS OF PERFORMANCE. Time is of the essence in this Agreement.
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Contractor's failure to meet any such deadlines or required performance may adversely
imperil other contractual obligations of the City. If the Contractor fails to meet the
agreed upon schedule within Exhibit A, the Contractor shall pay as liquidated damages
and not as penalty $200.00 per day for each day after October 1, 2016 the final site
inspection for either site remains unaccepted by the City.
9.0 COMPLIANCE WITH LAWS. The Contractor shall be familiar with and at all times
comply with and observe all applicable federal, state and local laws, ordinances, rules,
regulations, and executive orders, all applicable safety orders, all orders or decrees of
administrative agencies, courts, or other legally constituted authorities having jurisdiction
or authority over the Contractor, the City, or the service which may be in effect now or
during performance of the services.
10.0 INDEMNITY. The Contractor shall indemnify, defend, and hold harmless the City from
and against any claim of, or liability for, negligent acts, errors, and omissions of the
Contractor under this agreement, including attorney fees and costs. The Contractor is not
required to indemnify, defend, or hold harmless the City for a claim of, or liability for,
the independent negligent acts, errors, and omissions of the City. If there is a claim of, or
liability for, a joint negligent act, error, or omission of the Contractor and the City, the
indemnification, defense, and hold harmless obligation of the Contractor, and liability of
the parties, shall be apportioned on a comparative fault basis. In this provision,
"Contractor" and "City" include the employees, agents, and Contractors who are directly
responsible, respectively, to each. In this provision, "independent negligent acts, errors,
and omissions of the City" means negligence other than in the City's selection,
administration, monitoring, or controlling of the Contractor, or in approving or accepting
the Contractor's work or the Contractor's sub -Contractors.
11.0 INSURANCE. The Contractor understands that no City insurance coverage, including
Workers' Compensation, are extended to the Contractor while completing the terms of
this Agreement. The Contractor shall carry adequate (commercially reasonable coverage
levels) insurance covering Workers' Compensation, general public liability, automobile,
and property damage including a contractual liability endorsement covering the liability
created or assumed under this Agreement. The Contractor shall not commence work
under this Agreement or any work on any phase of the Project until the Contractor
provides the City with certificates of insurance evidencing that all required insurance has
been obtained. These insurance policies and any extension or renewals thereof must
contain the following provisions or endorsements:
a. City is an additional insured thereunder as respects liability arising out of or
from the work performed by Contractor of City of Seward.
b. City will be given thirty (30) days prior notice of cancellation or material
alteration of any of the insurance policies specified in the certificate.
c. Insurer waives all rights of subrogation against City of Seward and its
employees or elected officials.
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d. The insurance coverage is primary to any comparable liability insurance
carried by the City of Seward.
Upon request, Contractor shall permit the City to examine any of the insurance policies
specified herein. Any deductibles or exclusions in coverage will be assumed by the
Contractor, for account of, and at the sole risk of the Contractor.
The minimum amounts and types of insurance provided by the Contractor shall be as set
forth in Exhibit B, subject to revision at the City's request in order to provide
continuously throughout the term of the Agreement a level of protection consistent with
good business practice and accepted standard of the industry.
12.0 GOVERNING LAW, The laws of Alaska will determine the interpretation,
performance and enforcement of this Agreement.
13.0 OWNERSHIP OF WORK PRODUCTS. Payment to the Contractor for services
hereunder include full compensation for all work products and other materials produced
by the Contractor and its sub -Contractors pertaining to this Agreement.
14.0 PATENTS, TRADEMARKS, AND COPYRIGHTS. The Contractor agrees to defend,
indemnify, and save the City harmless from and against any and all claims, costs,
royalties, damages and expenses of any kind of nature whatsoever (including attorneys'
fees) which may arise out of or result from or be reasonably incurred in contesting any
claim that the methods, processes, or acts employed by the Contractor or its employees in
connection with the performance of services hereunder infringes or contributes to the
infringement of any letter patent, trademark, or copyright. In case such methods,
processes, or acts are in suit held to constitute infringement and use is enjoined, the
Contractor, within reasonable time and at its own expense, will either secure a suspension
of the injunction by procuring for the City a license or otherwise, or replace such method,
process, etc., with one of equal efficiency.
15.0 NONWAIVER. No failure of the City or Contractor to insist upon the strict perfor-
mance by the other of any of the terms of this Agreement or to exercise any right or
remedy herein conferred shall constitute a waiver or relinquishment to any extent of its
rights to rely upon such terms or rights on any future occasion. Each and every term,
right, or remedy of this Agreement shall continue in full force and effect.
16.0 SAFETYIPERFORMANCE. The Contractor shall perform the work in a safe and
workmanlike manner. The Contractor shall comply with all federal and state statues,
ordinances, orders, rules, and regulations pertaining to the protection of workers and the
public from injury or damage, and shall take all other reasonable precautions to protect
workers and the public from injury or damage.
17.0 SUSPENSION OR TERMINATION.
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17.1 Fault Termination or Suspension. This Agreement may be terminated by either
party upon ten (10) days written notice if the other party fails substantially to
perform in accordance with its terms. If the City terminates this Agreement it will
pay the Contractor a sum equal to the percentage of work completed and accepted
by the City that can be substantiated by the Contractor and the City, offset by any
amounts owed to the City. However, within the ten (10) day Notice of Intent to
terminate the party in default shall be given an opportunity to present a plan to
correct its failure.
17.2 Convenience Suspension or Termination. The City may at any time terminate or
suspend this Agreement for any reason including its own needs or convenience.
In the event of a convenience termination or suspension for more than six (6)
months, the Contractor will be compensated for authorized services and
authorized expenditures performed to the date of receipt of written notice of
termination or suspension. No fee or other compensation for the uncompleted
portion of the services will be paid, except for already incurred indirect costs
which the Contractor can establish and which would have been compensated but
because of the termination or suspension would have to be absorbed by the
Contractor without further compensation.
17.3 Activities Subsequent to Receipt of Notice of Termination or Suspension.
Immediately upon receipt of a Notice of Termination or suspension and except as
otherwise directed by the City or its Representative, the Contractor shall:
a. stop work performed under this Agreement on the date and to the extent
specified in the Notice; and
b. transfer title to the City (to the extent that title has not already been
transferred) and deliver in the manner, at the times, and to the extent directed
by the City's representative, work in progress, completed work, supplies, and
other material produced as a part of, or acquired in respect of the performance
of the work terminated or suspended by the Notice.
18.0 EQUAL EMPLOYMENT OPPORTUNITY. The Contractor shall not discriminate
against any employee or applicant for employment because of race, religion, color,
national origin, or because of age, physical handicap, sex, marital status, change in
marital status, pregnancy, or parenthood when the reasonable demands of the position do
not require distinction on the basis of age, physical handicap, sex, marital status, changes
in marital status, pregnancy, or parenthood. The Contractor shall take affirmative action
required by law to ensure that applicants are employed and that employees are treated
during employment without regard to their race, color, religion, national origin, ancestry,
age, or marital status.
19.0 NO ASSIGNMENT OR DELEGATION. The Contractor may not assign, subcontract
or delegate this Agreement, or any part of it, or any right to any of the money to be paid
under it without written consent of the Contracting Officer.
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20.0 INDEPENDENT CONTRACTOR. The Contractor shall be an independent Contractor
in the performance of the work under this Agreement, and shall not be an employee or
agent of the City.
21.0 PAYMENT OF TAXES. As a condition of performance of this Agreement, the
Contractor shall pay all federal, state and local taxes incurred by the Contractor and shall
require their payment by any other persons in the performance of this Agreement.
22.0 PRECEDENCE AND DIVISIBILITY. The provisions of this Agreement shall fully
govern the services performed by the Contractor. If any term, condition, or provision of
this Agreement is declared void or unenforceable, or limited in its application or effect,
such event shall not affect any other provisions hereof and all other provisions shall
remain fully enforceable.
23.0 ENTIRE AGREEMENT. This Agreement contains the entire agreement between the
parties as to the services to be rendered by the Contractor. All previous or concurrent
agreements, representations, warranties, promises, and conditions relating to the subject
matter of this Agreement are superseded by this Agreement.
24.0 COMPLETION OF WORK TERM OF AGREEMENT. The Contractor shall
perform all work in a timely fashion, and in accordance with the schedules included in
this Agreement and Exhibits.
25.0 CLAIMS AND DISPUTES. Venue for all claims and disputes under this Agreement, if
not otherwise resolved by the parties, shall be in the appropriate Alaska State court in
Anchorage, Alaska.
26.0 CHANGES IN SCOPE OF WORK.
26.1 General. No claim for additional services not specifically provided in this
Agreement will be allowed, nor may the Contractor do any work or furnish any
materials not covered by the Agreement unless the work or material is ordered in
writing by the Contracting Officer. Preparation of Change Orders and design
changes, due to errors and/or omissions by the Contractor, will be done at the sole
expense of the Contractor.
26.2 Chanties in Scope of Work. The City or its representative may, at any time, by a
written Change Order delivered to the Contractor, make changes to the scope of
work, or authorize additional work outside the scope of work.
26.3 Compensation to the Contractor. If any Change Order for which compensation is
allowed under this Article causes an increase or decrease in the estimated cost of,
or time required for, the performance of any part of the work under this
Agreement, or if such change otherwise affects other provisions of this
Agreement, an equitable adjustment will be negotiated. Such an adjustment may
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be:
a. in the estimated cost or completion schedule, or both;
b. in the amount of fee to be paid; and
c. in such other provisions of the Agreement as may be affected, and the
Agreement shall be modified in writing accordingly.
26.4 Any claim by the Contractor for adjustment under this section must be asserted
within fifteen (15) days from the day of receipt by the Contractor of the
notification of change; provided, however, that the City or its representative,
deciding that the facts justify such action, may receive and act upon any such
claim asserted at any time prior to final payment under this Agreement. Failure to
agree to any adjustment shall be a dispute within the meaning of Section 25.0 of
this Agreement.
27.0 LIMITATION OF FUNDS.
27.1 At no time will any provision of this Agreement make the City or its
representative liable for payment for performance of work under this Agreement
in excess of the amount that has been appropriated by the City Council and
obligated for expenditure for purposes of this Agreement.
27.2 Change orders issued pursuant to Section 26 of this Agreement shall not be
considered an authorization to the Contractor to exceed the amount allotted in the
absence of a statement in the change order, or other modification increasing the
amount allotted.
27.3 Nothing in this Section shall affect the right of the City under Section 17 to
terminate this Agreement.
28.0 PRIOR WORK. For the purposes of this Agreement, work done at the request of the
City or its representative before execution of this Agreement shall be deemed to be work
done after its execution and shall be subject to all the conditions contained herein.
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29.0 NOTICES. Any notices, bills, invoices, or reports required by the Agreement shall be
sufficient if sent by the parties in the United States mail, postage paid, to the address
noted below:
Donna Glenz, Lawrence Harmon
Planner President
City of Seward Harmon Construction, Inc.
PO Box 167 PO Box 1650
Seward, Alaska 99664-0167 Seward, Alaska 99664-1650
IN WITNESS WHEREOF, the parties have executed this Agreement.
City of Seward
By: Jim Hunt
Title: City Manager
Date:
ATTEST:
Johanna Kinney, CMG
City Clerk
(City seal)
Harmon Construction
By: �Hart on
Title: President
Date: 2 _A51__ A�
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