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HomeMy WebLinkAboutRes2021-069Sponsored by: Bower CITY OF SEWARD, ALASKA RESOLUTION 2021-069 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, REPEALING RESOLUTION 2021-057 AND AUTHORIZING THE CITY MANAGER TO ENTER INTO AN AGREEMENT FOR UP TO 16 MONTHS WITH AK TREE SERVICE, LLC FOR EXTENSIVE TRANSMISSION RIGHT-OF-WAY CLEARING WORK FOR AN AMOUNT NOT TO EXCEED $500,000 OVER THE DESIGNATED PERIOD, AND APPROPRIATING FUNDS WHEREAS, the Electric Department has requested to have a 2.5-mile section of transmission right of way along the Seward Highway (MP 20 to MP 22.5) and other targeted sections cleared for service reliability and public safety purposes; and WHEREAS, the work will be contracted for 16 months beginning in July, 2021 and ending October, 2022, or until assigned work is completed, whichever comes first; and WHEREAS, the Electric Department completed a Request for Proposal and selected AK Tree Service, LLC from six submitted bids; and WHEREAS, the bidding companies were graded on price, experience, quality of work, qualifications, references, and additional right-of-way maintenance services; and WHEREAS, the section of transmission right-of-way and other targeted sections are in extremely poor condition with several tall trees already brushing against power lines during windy conditions, thus creating a forest fire hazard, as well as other public safety concerns; and WHEREAS, the section of transmission right-of-way and other targeted sections, in their existing condition, also presents considerable service reliability issues. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA that: Section 1. Resolution 2021-057 which was approved by council on May 10, 2021 and which authorized an agreement with RSR Contracting to complete this work is hereby repealed because the vendor unable to fulfill the contract. Section 2. The City Manager is hereby authorized to enter into a contract with AK Tree Service, LLC for a total not -to -exceed amount of $500,000 over a 16-month period for right-of- way clearing work along transmission line corridors along the Seward Highway (MP 20 to MP 22.5). Section 3. Funding in the amount of $350,000 is hereby appropriated in the 2021 budget from Electric reserves account no. 15000-0000-3400 to contracted services account no. 15000-3004-7009. CITY OF SEWARD, ALASKA RESOLUTION 2021-069 Section 4. The 2022 budget will include $150,000 in contracted services account no. 15000-3004-7009 for the remainder of the contract. Section 5. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 28ih day of June, 2021. WARD,THE CITY OF AYES: DeMoss, McClure, Casagmnda, Seese, Osenga, Baclaan NOES: None ABSENT: Tent' ABSTAIN: None 4a6 i City Clerk City SEAL • OF 1 Agenda Statement Meeting Date: June 28, 2021 To: City Council Through: City Manager Janette Bower From: Rob Montgomery, Electric Department Director Agenda Item: Following a Request for Proposal, the Seward Electric Department recommends entering into a 16-month contract not -to -exceed $500,000 with AK Tree Service, LLC for transmission right-of-way clearing services. BACKGROUND & JUSTIFICATION: The City of Seward Electric Department is responsible for clearing and maintaining approximately 32 miles of high voltage transmission right of way. While most of this right of way is in satisfactory condition, there remains a 2.5-mile section between MP 20 and MP 22.5 of the Seward Highway where the tree and vegetation growth are extensive, and heavy clearing is required. As it exists today, this section creates significant system reliability issues, as experienced in the November 2020 ice storms. They also present significant public safety concerns, particularly the risk of starting a forest fire. Many of the trees in and adjacent to the right of way already brush into the lines during windy conditions. We are fortunate that a forest fire did not occur in 2019 when weather conditions for the region were extremely dry and forest fires were prevalent across the state We intend to use a contractor over the next 16 months beginning in July 2021 to clear this section of the transmission right-of-way and other, smaller sections —including "problem" trees just outside of the right of way. Once completed, ongoing right-of-way maintenance will be much less costly. AK Tree Service, LLC was selected through an RFP process that evaluated each bidder on price, experience, quality of work, qualifications, references, and additional right-of-way maintenance services. INTENT: To improve service reliability and public safety by authorizing the city manager to enter into a contract with AK Tree Service, LLC for right -of --way clearing services along assigned sections of transmission line corridors. CONSISTENCY CHECKLIST: Yes No NIA Comprehensive Plan (1. 3, 3. 7. 3. 1, 3. 7. 3. 2) Continue to upgrade 1. and expand utilities to meet existing needs and encourage future X develo ment. 2 Strategic Plan: The mission of the City of Seward government is to X provide guality leadership and economic wellbeing of its citizens 3. Other (list): X FISCAL NOTE: A not -to -exceed amount of $500,000 over 16 months will be appropriated for this contract. The 2021 budget will be amended to appropriate $350,000 and 2022 budget will factor in $150,000, both from Electric reserve account 15000-0000-3400 to contracted services line item 15000-3004-7009. Approved by Finance Department: ___ ATTORNEY REVIEW: Yes No RECOMMENDATION: Council approve Resolution 2021- 069 , authorizing the city manager to enter into a contract with AK Tree Service, LLC for transmission rights -of -way clearing services with the intent to improve service reliability and public safety in an amount not -to -exceed $500,000 over 16 months beginning in July 2021. CITY OF SEWARD R O. Box 167 410 Adams Street Sct+:trd, AI;Lska 99Q)4 City Manager"s O$tCC 907.2124 4017 907.224.1038lirx i 1Yn iCt'o1 r<s:u_cl.net PROFESSIONAL SERVICES CONTRACT RIGHT- OF-WAY CLEARING SERVICES CITY OF SEWARD SEWARD, ALASKA THIS original CONTRACT made on the 29th of June, 2021 between the CITY OF SEWARD, ALASKA (the " city"). actingbyandthroughtheCityManagerorotherCityauthorizedrepresentative (its "Contracting Officer") and AK Tree Service, LLC, its Successors and assigns (the "Contractor") as follows: The Contractor, for and in consideration of the payment or payments herein specified and agreed to by the parties, hereby covenantsandagreestofurnishallequipment, material, and labor required to complete the WORK according to the attachedSTATEMENTOFWORK. The Contractor further agrees to be bound by all representations of the Contractor in theContractandtakeallnecessarystepstoremainincompliancewithallsuchrepresentations. The- Contractor hereby agrees that the time and materials, not -to -exceed price set forth below, is full compensation for furnishing all equipment, material, and labor which may be required in the prosecution and completion of the whole work to be done under this Contract no later than October 31, 2022 and in all respects t complete the Contract to the satisfactionoftheCity. The Contract payment shall not exceed five -hundred thousand dollars ($500..000) for all items over a 16-month period beginninginJuly2021andconcludinginOctober2022- Payment will be made every two weeks upon receipt and approval of an invoice for work accomplished in accordance with the attached STATEMENT OF WORK. The amounts payable to Contractor shall not exceed the sums identified in this paragraph without the prior written approval of the City,. The Contractor shall procure and maintain during the life of this contract, Worker's Compensation insurance, including Employer's Liability Coverage, in accordance with all applicable statutes of the State of Alaska. The Contractor shall procure and maintain during the life Of this contract, Commercial General Liability Insurance on an Occurrence Basis" with limits of liability not less than S2,000,000 per occurrence and/or aggregate combined single limit, Personal Injury, Bodily Injury and Property Damage- Coverage shall include the following extensions: (A) Contractual Liability; (B) Products and Completed Operations; (C) Independent Contractors Coverage: (D) Bread Farm General Liability Extensions or equivalent; (E) Deletion of all Explosion, Collapse and Underground (XCU) Exclusions, if applicable: (F) Per contract nggregatc. The Contractor shall procure and maintain through contract life Motor Vehicle Liability Insurance, including applicable ND - Fault coverages, with limits of liability not less than $1,000,000 per occurrence combined single limit Bodily Injury andPropertyDamage. Coverage shall include all owned vehicles, all non -owned vehicles, and all hired vehicles. The following shall be Additional Insureds on the General Liability and Motor Vehicle Liability Insurance: The City of Seward, including all elected and appointed officials, all cmployees and volunteers, all boards, commissions and/or authoritiesandtheirboardmembers, employees, and volunteers. This coverage shall be primary to the Additional Insureds, and not contributing with any other insurance or similar protection available to the Additional Insureds, whether other available coverage be primary, contributing or excess. Worker' s Compensation Insurance, Commercial general Liability Insurance and Motor Vehicle Liability Insurance, as describedabove, shall include an endorsement stating the following: "Thirty (30) days Advanced Written Notice of Cancellation, or Nan -renewal, or Amendment shall be sent to. City of Seward, Engineering Department; P. O. Box 167, Seward, AK 99664- The Contractor shall provide the City of Seward at the time contracts are returned for execution, Certificates of Insurance and/or policies, acceptable to the City of Seward, as listed below: Seward Electric — Right -of -Way Clearing Page] of 2 135 a. one (1) copy of Certificate of Insurance for Worker's Compensation Insurance; b. One (1) copy of Certificate of Insurance for Commercial Creneral Liability Insurance; C. One (1) copy of Certificate of Insurance for Vehicle Liability Insurance, c. If so requested, Certified Copies of all policies shall be furnished. If any of the above coverages cxpin; during the term of this CUT1112CI, the Contractor shall deliver renewal certificates and/orPolicestotheCityofSewardat ]cast ten (10) days prior to tic expiration date. To the fullest extent permittcd by law, AK Tree Service, LLC agrees to defend, indemnify and hold harmless the City ofSeward, its elected and appointed officials, employees, insurers and volunteers against any and all liabilities, claims, demands, lawsuits, or losses, including costs and attorney fees incurred in defense thereof, arising out of or in any wayconnectedorassociatedwiththiscontract. The Contractor further covenants and agrees that all of the work and labor shall be done and performed in the best and mostworkmanlikemannerandthatallmaterialandlaborshallbeinstrictandentireconformityineveryrespectwiththegoverningstandardsandpracticesoftheindustryandifanyWorkshallberejectedbytheContractingOfficerasdefectiveorunsuitable, then such Work shall be corrected to the satisfaction of the Contracting Officer, at the cost and expense of the Contractor. The Contractor further covenants and agrees that the tasks outlined in Attachment A will be done to the completesatisfactionoftheCity, and in accordance with the laws of the State of Alaska and the City of Seward. It is specifically understood and agreed that no claim for additional work or materials, done or furnished by the Contractorandnotspecificallyprovidedforherein, will be allowed by the Contracting Officer, nor shall the Contractor do any workorfurnishanymaterialnotcoveredbythisContract, unless such work is ordered in writing by the Contracting Officer, InnaeventshalltheContractorassertanyclaimsagainsttheCitybyreasonofverbaldirectionsorinstruelionsgivenbytheContractingOfficerorhisrepresentatives, nor will the City be liable for any material furnished or used, or for any work orlabordone, unless the materials, work, or labor are required by the Contract or on written order first being given by theContractingOfficer. Any such work or materials which may be done or furnished by the Contractor without written orderfirstbeinggivenshallbeattheContractor's own risk, cost, and expense and the Contractor hereby covenants and agrees tomakenoclaimforcompensationforworkormaterialsdoneorfurnishedwithoutsuchwrittenorder. The Contractor may not assign or subcontract performance of this Contract, without written approval by the City, TheContractorisanindependentcontractorandisnotanemployeeoragentoftheCity. Claims by the City resulting from Contractor's failure to comply with the terms of and specifications of this Agreementand/or default hereunder may be recovered by City by withholding the amount of such claims :%rn compensationotherwisedueContractorforworkperformedortobeperformed. City shall notify Contractor of any such failure, defaultordamagetherefromassoonaspracticableafterdiscoveryofsucheventbywrittennotice. Nothing provided herein shallbedeemedaLsconstitutinganexclusiveremedyonbehalfofCity, nor a waiver of any other rights hereunder at law or inequity. The venue of any legal action between the parties arising as a result of this Agreement shall be laid is the Third JudicialDistrictoftheSuperiorCourtoftheStateofAlaska, at Seward, Alaska unless a non-waivable federal or state law requiresotherwise. This Agreement shall be interpreted in accordance with the laws of the State of Alaska. No failure on the party of the City to enforce any covenant or provision herein contained, nor any waiver of any righthereunderbyCity, unless in writing and signed by the parties sought ro be bound, shall discharge or invalidate suchcovenantsorprovisionsoraffecttherightoftheCitytoenforcethesameoranyotherprovisionintheeventofanysubsequentbreachordefault The terms, conditions and covenants contained in this Agreement shall apply to, inure to the bcnefit of, and bind thepartiesandtheirrespectivesuccessors. This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof, and all priornegotiationsandunderstandingsaresupersededandreplacedbythisAgreementandshallbeofnofurtherforceandeffect. No modification of this Agreement shall be of any force or effect unless reduced to writing, signed by both parties andexpresslymadeapartofthisAgreement. Seward Electric — Right -of -Way Clearing Page ? of 3 136 IN WITNESS WHEREOF the parties hereto have executed this Agreement, effective the day and year firstabovewritten. CITY OF SEWARD, ALASKA City Manager A`l'TCS"I`; Brenda Ballou City Clerk Seal) Attachments: Statement of Work Seward Electric — Right -of -Way Clearing Page 3 of 3 AK Tree Service_ LLC Principal 137