HomeMy WebLinkAboutRes2022-075 AK Tree Services Add'l Appropriation Sponsored by: Bower
CITY OF SEWARD,ALASKA
RESOLUTION 2022-075
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD,
ALASKA, AUTHORIZING THE CITY MANAGER TO APPROPRIATE
ADDITIONAL FUNDING IN THE AMOUNT OF $300,000 FROM
ELECTRIC RESERVES TO THE CONTRACT WITH AK TREE
SERVICE, LLC TO COMPLETE TRANSMISSION RIGHT-OF-WAY
CLEARING ON NASH ROAD AND TO REMOVE "DANGER" TREES
ALONG TARGETED SECTIONS OF THE SEWARD HIGHWAY
WHEREAS,the Electric Department entered into a contract with AK Tree Service in June
2021 via Resolution 2021-069 for up to 16 months to complete transmission right-of-way clearing
along the Seward Highway near Moose Pass (MP 20 to MP 22.5) and in other targeted sections
around Seward to improve service reliability and safety; and
WHEREAS,in 2021,AK Tree Service completed the transmission right-of-way clearing
work on the Seward Highway near Moose Pass(MP 20 to MP 22.5); and
WHEREAS, in 2022,AK Tree Service has completed transmission right-of-way clearing
on the Seward Highway between Grouse Lake Subdivision and the Bear Creek Fire Hall,including
clearing work on the backside of Old Mill Subdivision; and
WHEREAS, AK Tree Service has completed approximately 50 percent of the
transmission clearing work identified on Nash Road with existing funding nearly exhausted; and
WHEREAS,the Electric Department in 2022 would like AK Tree Service to complete the
right-of-way clearing on Nash Road so that infrastructure construction work on Nash Road can
begin as quickly as possible in spring 2023; and
WHEREAS,the Electric Department in 2022 would also like to remove"danger"trees in
targeted sections of transmission right of way along the Seward Highway,including sections where
the Alaska Department of Transportation is conducting highway improvement work.
NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY
OF SEWARD,ALASKA that:
Section 1. The City Manager is hereby authorized to appropriate additional funding to the
existing contract with AK Tree Service to complete right-of-way clearing along the Nash Road
transmission line corridor and to remove targeted"danger"trees along the Seward Highway.
Section 2. Funding in the amount of$300,000 is hereby appropriated from the 2022 budget
from Electric reserves account no. 15000-0000-3400 to contracted services account no. 15000-
3004-7009.
CITY OF SEWARD, ALASKA
RESOLUTION 2022-075
Section 3. This resolution shall take effect immediately upon adoption.
PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 13t1
day of June, 2022.
T E OF SKA
risty Terry, ayor
AYES: Osenga, McClure, Casagranda, DeMoss, Calhoon, Wells, Terry
NOES: None
ABSENT: None
ABSTAIN: None
ATTEST:
renda J. Ballo , MMC
City Clerk
(City Seal 1; "S•'..,
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City Council Agenda Statement
Meeting Date: June 13, 2022 nip
To: City Council
Through: Janette Bower, City Manager
From: Rob Montgomery, General Manager- Electric
Agenda Item: Resolution 2022-075: Authorizing the City Manager to Appropriate
Additional Funding in the Amount of$300,000 from Electric Reserves to the
Contract with AK Tree Service, LLC, to Complete Transmission Right-of-Way
Clearing on Nash Road and to Remove "Danger" Trees Along Targeted
Sections of the Seward Highway
Background and justification:
In late June 2021, the Electric Department entered into a 16-month contract with AK Tree Service to
conduct transmission right-of-way clearing along the Seward Highway near Moose Pass, with the
primary or worst sections of right of way being between MP 20 and MP 22.5. AK Tree Service was
able to complete this work in late fall of 2021.
For 2022, AK Tree Service was assigned clearing work on the Nash Road transmission corridor—in
anticipation of future infrastructure replacement work—and along Seward Highway between Grouse Lake
Subdivision and Bear Creek Fire Hall. In addition, the Electric Department assigned AK Tree Service
work to take down "danger" trees in targeted sections of the transmission corridor along the Seward
Highway, particularly near Moose Pass where the Alaska Department of Transportation is conducting
highway improvement work.
AK Tree Service has completed the work along the Seward Highway near Bear Creek and nearly 50
percent of the clearing work necessary on Nash Road. However, with budgeted funds nearly
exhausted, the Electric Department would like to have an additional $300,000 appropriated so that AK
Tree Service can complete Nash Road work and the work to take down danger trees along the Seward
Highway. This will ensure infrastructure construction work on Nash Road can begin as soos as possible
in 2023 and that the removal of danger trees will help service reliability in the winter of 2022-23.
Comprehensive and Strategic Plan Consistency Information
This legislation is consistent with (citation listed):
Comprehensive Plan: 3.7.1.4 "Continue to upgrade and expand utilities to meet existing needs and
encourage future development."
Strategic Plan:
Other:
Certification of Funds
Total amount of funds listed in this legislation: $ 300,000
This legislation (✓):
Creates revenue in the amount of: $
X Creates expenditure in amount of: $ 300,000
Creates a savings in the amount of: $
Has no fiscal impact
Funds are (✓):
Budgeted Line item(s): 15000-3004-7009
X Not budgeted
Not applicable
Unassigned Fund Balance and Available Unrestricted Cash Balance Information
Fund (✓):
General SMIC X Electric Wastewater
Boat Harbor Parking Wat F1 Healthcare
Motor Pool Other
Unassigned Fund Balance*: $ 5,711,659.69 *unaudited numbers
Available Unrestricted Cash Balance*: $ 9,078,060.72
Finance Director Signature: S
Attorney Review,/ Administration Recommendation
RxYes x Adopt Resolution
Not applicable Other:
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PROFESSIONAL SERVICES CONTRACT
RIGHT-OF-WAY CLEAR LNG SERVICES
CITY OF SEWARD
SEWARl),ALASKA
THIS original CONTRACT made on the 29th of June,2021 between the CITY OF SEWARD.ALASKA (the"City").
acting by and through the City Manager or other City authorized representative(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 parries,hereby
covenants and agrees to famish all equipment, material, and labor required to complete the 1VORK according to the
attached STATE1VIElVT OF WORK. The Contractor further agrees to be bound by all representations of the Contraclor in
the Contract and take all necessary steps to remain in compliance with all such representations.
The Contractor hereby agrees that the time and materiars,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 wort:
to be done under this Contact no later than October 31, 2022 and in all respects to complete the Contract to the
satisfaction of the City.
The Contract payment shall not exceed five-hundred thousand dollars(S500,000) for all items over a 16-month perind
beginning in July 2021 and concluding in October 2022. 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 priorwritten approval ofthe 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 an 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) Broad lrorm Gcneral
Liability Extensions or equivalent; (E) Deletion of all Explosion, Collapse and Underground (XCU) Exclusions, if
npplicablc,(F)Per Contract nggres4ic,
The Contractor shall procure and maintain through contract life Motor Vehicle Liability Insurance,including applicable
Rio-Fault coverages,with limits of liability not less than$1,000,000 per occurrence combined single limit Bodily Injury
and Property Damage. 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 employees and volunteers, all boards, commissions and/or
authorities and their board members, employers, 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.
Workers Compensation Insurance, Commercial general Liability Insurance and Motor Vehicle Liability Insurance, as
described above, shall include an endorsement stating the f0110%ving: "Thirty(30) days Advanced Written Notice of
Cancellation,or Non-renewal,or Amendment shall be sent to: City of Seward,Engineering Departmcn,P.O.Boa 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-Df--Way Clearing Page I of 2
a. One(1)copy 0CCertificate of Insurance for Worker's Compensation Insuraacc;
b. one(1)copy of Certificate of Insurance for Commercial General 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 or the above cuvcrages expire during the term of this contract,the Contractor shall deliver renewal cenilicates Undlor
Polices to the City of Seward at least ten(10)days prior to the expiration date.
To the fullest extent permitted by law,AK Tree Service,LLC agrees to defend,indemnify and hold harmless the City of
Seward, 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 way
connected or associated with this contract.
The Contractor further covenants and agrees that all of the work and labor shall be done and performed in the best and most
workmanlike manner and that all material and labor shall be in strict and entire conformity in every respect with Use governing
standards and practices of the industry and if any Work shall be rejected by the Contracting Offrcrr as defective or unsuitable,
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 complete
satisfaction of the City,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 Contractor
and 1101 specifically provided for herein,will be allowed by the Contracting Officer,nor shall the Contractor do any work
or furnish any material not covered by this Contract,unless such work is ordered in writing by the Contracting Officer. Tn
no event shall the Contractor assert any claims against the City by reason of verbal directions or instructions given by the
Contracting 011icer or his representatives,nor will the City be liable for any material furnished or used,or for any work or
labor done,unless the rnalcrials,work,or labor are required by the Contract or on written order first being given by the
Contracting Officer. Any such work or materials wbich may be done or famished by the Contractor without written order
Cost being given shall be at the Contractor's own risk,cost,and expense and the Contracturhemby covenants and agrees to
make no claim for compensation for work or materials done or famished without such written order.
The Contractor may not assign or subcontract performance of this Contract,without written approval by the City. The
Contractor is an independent contractor and is not an employee or agent of the City.
Claims by the City resulting from Contractor's failure to comply with the terms of and specifications of this Agreement
default hereunder may be to by City by withholding the amount of such claims from compensation,otherwise due Contractor for work performed or to be performed_ City shall notify Contractor of any such failure,default
or damage therefrom as scan as practicable alter discovery of such event by written notice. Nothing provided herein shall
be deemed as constituting an exclusive remedy on behalf of City,nor a waiver of any other rights hereunder at law or in
equity.
The venue of any legal action between the parties arising as a result of this Agreement shall be laid in the Third Judicial
District of the Superior Court of the State of Alaska,at Seward,Alaska unless a non-waivable federal or state law requires otherwise.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 right
hereunder by City, unless in writing and signed by the parties sought to be bound,shall discharge or invalidate such
covenants or provisions or affect the right of die City to enforce the same or any other provision in the event of any
subsequent breach or default
The tcmns,conditions and covenants contained in this Agreement shall apply to, inure to the benefit of, and bind the
parties and their respective successors.
This Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof,and all prior
negotiations and understandings are superseded and replaced by this Agreement and shall be of no fwthcr force and effect.
No modification of this Agrec racnt sball be of any force or effect unless reduced to writing,signed by both parties and,
expressly made a part of this Agreement.
Seward Electric—Right-of-Way Clearing page 2 of 3
IN WITNESS WHEREOF the Parties
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Seward Electric—Mightof-«ray Clearing Page 3 of 3