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HomeMy WebLinkAboutRes1992-173 . . . Sponsored by: Schaefermeyer CIlY OF SEWARD, ALASKA RESOLUTION NO. 92-173 A RESOLUTION OF THE CIlY COUNCIL OF THE CIlY OF SEWARD, ALASKA, TERMINATING FOR CONVENIENCE THE CONTRACT BETWEEN THE CIlY OF SEWARD AND ALASKA BOILER & HEAT EXCHANGER SERVICE, INC., DBA AB&H CONSTRUCTION WHEREAS, on September 2, 1992, the City of Seward entered into a contract with Alaska Boiler & Heat Exchanger Service, Inc. dba AB&H Construction (AB&H), for the removal and disposal of sludge from the Lowell Point Sewage Lagoon; and WHEREAS, the City gave notice to the contractor to proceed on September 9, 1992; and and WHEREAS, the contract required substantial completion as of October 16, 1992; WHEREAS, the Contractor has failed to prosecute and complete the work in a timely fashion; and WHEREAS, the Contractor has given notice of a claim and alleged that the failure to complete the work is due to changed conditions at the site; and WHEREAS, there is an immediate need to proceed with the work, including the removal of sludge from the Lagoon, in order to prepare the site for further construction planned during the winter; and WHEREAS, further construction is required to bring the City's sewage treatment facilities into compliance with state and federal regulations in 1993, as ordered by the Alaska Department of Environmental Conservation and the United States Environmental Protection Agency; and WHEREAS, the contract provides, as specified in Article 14.4.1, that the performance of the work may be terminated by the City in accordance with this section, in whole or in part, whenever, for any reason, the Contracting Officer shall determine that such termination is in the best interest of the City; and WHEREAS, the contract provides that in arriving at the amount due the contractor in the event of a termination for convenience, there shall be deducted any claim which the City may have against the contractor; and . . . CITY OF SEWARD, ALASKA RESOLUTION NO. 92-173 WHEREAS, the contract further provides, as specified in Article 14.4.6, that where the work has been terminated by the City, said termination shall not affect or terminate any rights of the City against the contractor or his surety then existing or which may thereafter accrue because of such default; and WHEREAS, the Contracting Officer has determined under all the circumstances that a termination of the contract for the convenience of the City is in the best interest of the City; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, that: Section 1. The performance of the work by AB&H under the contract for removal and disposal of sludge from Lowell Point Sewage Lagoon shall be terminated. Section 2. The Contracting Officer is directed to effect the termination immediately by delivering to the contractor a notice of termination, specifying that termination is for the convenience of the City, and that the contractor's work is fully terminated effective immediately upon receipt. Section 3. This resolution shall take effect immediately upon its adoption. PASSED AND APPROVED by the City Council of the city of Seward, Alaska, this 16th day of October, 1992. THE CITY OF SEWARD, ALASKA AYES: NOES: ABSENT: ABSTAIN: Bencardino, Crane, Krasnansky, Sieminski, Swartz, White None None None . . . CITY OF SEWARD, ALASKA RESOLUTION NO. 92-173 A TIEST: APPROVED AS TO FORM: Perkins Coie, Attorneys for the city of Seward, Alaska (City Seal) ~~Nl~ Fred B. Arvidson City Attorney