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HomeMy WebLinkAbout04142009 City Council PacketSpecial City Council Meeting April 14, 2009 City Council Chamhers Beginning at S: 00 p.m. The City of Seward, Alaska Special City Council Me April 14, 2009 5:00 p.m. Council Chambers Clark Corbridge 1. Call to order Mayor 2, Pledge of allegiance Term Expires 2009 3. Roll call Willard Dunham 4. Citizens' comments on any subject except those items Council Member scheduled for public hearing. [Those who have signed in will Term Expires 2010 be given the first opportunity to speak. Time is limited to 2 minutes per speaker and 30 minutes total time for this agenda Robert Valdatta item.] Council Member Term Expires 2009 5. Approval of agenda Tom Smith 6. Public Hearings Council Member Term Expires 2009 A. Resolutions Requiring A Public Hearing Betsy Kellar Council Member 1. Resolution 2009-023, Authorizing the City Manager to Proceed Term Expires 2009 with The Acquisition of Lots SS and RR of Forest Acres Subdivision in Seward, Alaska, for $75,000, for the North Forest Jean Bardarson Acres Levee/Road Project, and Appropriating Funds ................5 Council Member Term Expires 2010 '7, New Business Marianna Kei1 A. Resolutions Council Member Tenn Expires 2010 1. Resolution 2009-024, Approving A Contract Between The City Of Seward And Peninsula Construction, Inc. For The Japp Creek Phillip Oates Relocation Project In An Amount Not To Exceed $305,365 Plus A City Manager 10% Contingency, And Appropriating Funds ...........................23 Jean Lewis 8. Council comment City Clerk Cheryl Brooking 9. Citizens' comments City Attorney 10. Council and administration response to citizens comments 11. Adjournment City of Seward, Alaska Council Agenda April 14, 2009 SPECIAL MEETING REQUEST Pursuant to Seward City Code 2.10.030 (2), this is to serve as the written notice calling a Special Council Meeting on April 14, 2009 at 5:00 p.m. for the purpose of: Resolution 2009-023, Authorizing the City Manager to Proceed with The Acquisition of Lots SS and RR of Forest Acres Subdivision in Seward, Alaska, for $75,000, for the North Forest Acres Levee/Road Project, and Appropriating Funds. Resolution 2009-024, Approving A Contract Between The City Of Seward And Peninsula Construction, Inc. For The Japp Creek Relocation Project In An Amount Not To Exceed $305,365 Plus A 10% Contingency, And Appropriating Funds. Signed this 10`h day of April, 2009. J"'L w~ ~I7iL~ City Manage Upon this request the City Clerk will give due and proper notice as required by SCC 2.10.032 (No business shall be Transacted other than stated above.) Z SEV1lARD CITY COUNC~~ NOTICE OF SPECIAL MEETING April 14, 2009 NOTICE IS HEREBY GIVEN that the Seward City Council will conduct a special meeting on the following item of business on April 14, 2009. Resolution 2009-023, Authorizing the City Manager to Proceed with The Acquisition of Lots SS and RR of Forest Acres Subdivision in Seward, Alaska, for $75,000, for the North Forest Acres Levee/Road Project, and Appropriating Funds. (public hearing Resolution 2009-024, Approving A Contract Between The City Of Seward And Peninsula Construction, Inc. For The Japp Creek Relocation Project In An Amount Not To Exceed $305,365 Plus A 10% Contingency, And Appropriating Funds. Essential terms and conditions of purchase agreements and all pertinent copies of public hearing documents are available for review at the city clerk's office. The public hearing will commence at 5:00 p.m. or as soon thereafter as business permits, in the City Council Chambers, City Hall, 410 Adams Street, Seward. All interested persons are invited to attend the meeting and participate in the discussion; or written comments may be sent to the City of Seward, c/o City Clerk, P.O. Box 167, Seward, AK 99664, or e-mailed to clerk(c~cityofseward.nel. Posted: Friday, April 10, 2009 City Hall Harbormaster's Office Post Office 3 SEWARD CITY COUNCIL NOTICE OF PUBLIC HEARING AND SPECIAL MEETING April 14, 2009 NOTICE IS HEREBY GIVEN that the Seward City Council will conduct a public hearing on the following item of business at a special meeting on April 14, 2009. Resolution 2009-023, Authorizing the City Manager to Proceed with The Acquisition of Lots SS and RR of Forest Acres Subdivision in Seward, Alaska, for $75,000, for the North Forest Acres Levee/Road Project, and Appropriating Funds. Essential terms and conditions of purchase agreements and all pertinent copies of public hearing documents are available for review at the city clerk's office. The public hearing will commence at 5:00 p.m. or as soon thereafter as business permits and the special meeting has commenced, in the City Council Chambers, City Hall, 410 Adams Street, Seward. All interested persons are invited to attend the meeting and participate in the discussion; or written comments may be sent to the City of Seward, c/o City Clerk, P.O. Box 167, Seward, AK 99664, or e-mailed to clerk(a~cityofseward.net. Published: In the Anchorage Daily News Saturday, April 4, 2009 and the Seward Phoenix Log Tuesday, Apri19, 2009 (PO # 101750) Posted: City Hall Harbormaster's Office Post Office y Sponsored by: Oates CITY OF SEWARD, ALASKA RESOLUTION 2009-023 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, AUTHORIZING THE CITY MANAGER TO PROCEED WITH THE ACQUISITION OF LOTS SS AND RR OF FOREST ACRES SUBDIVISION IN SEWARD, ALASKA FOR $75,000, AND APPROPRIATING FUNDS, FOR THE NORTH FOREST ACRES LEVEE/ROAD PROJECT WHEREAS, the City of Seward completed Phase i of the west Forest Acres levee in 2002, and began the process of acquiring permits for Phase II, known as the North Forest Acres Levee/Road Project (the "Project"); and proposed acquisition is a crucial component necessary to move forward with the construction of the Project; and WHEREAS, the City of Seward spent many years developing the design and location for a levee/road to benefit the people of Seward; and WHEREAS, in 2008 the Seward City Council accepted the alignment of the Project as described in the Finding of No Significant Impact and authorized the administration to pursue environmental permitting and to negotiate with property owners to acquire easements, rights-of--way and/or ownership of parcels of land affected by the Project; and WHEREAS, the US Army Corps of Engineers issued a permit in 2009 to the City of Seward to construct the Project in accordance with the conditions of the permit; and WHEREAS, at the direction of the City, appraisals were made of the fair market value of the parcels of land, all of which are undeveloped parcels of land, and each appraisal received an appraisal review; and WHEREAS, the owner of the land described in this resolution ("Property") desires to sell the Property; and WHEREAS, to allow the construction to occur within the timeframe requested by the Corps of Engineers, the City finds that it is in the public interest to pay more than fair market value for the Property in consideration of the timeliness of a closing of the sale and for other terms as set forth in the agreement presented at this meeting; and WHEREAS, Seward City Code Section 7.05.120 permits the acquisition of real property by negotiation; and WHEREAS, the essential terms and conditions contained in the form of purchase and sale agreement have been available for public inspection for 10 days in the office of the City Clerk. CITY OF SEWARD, ALASKA RESOLUTION 2009-023 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF OF SEWARD, ALASKA that: Section 1. The City Council finds it is in the best interest of the City of Seward to purchase Property by negotiation for the North Forest Acres Levee/Road Project subject to conditional teens contained in the agreement presented at this meeting. Section 2. The City Manager is hereby authorized to proceed with the acquisition of land commonly described as lots RR and SS of Forest Acres Subdivision in Seward, Alaska (the "Property"), and to execute the purchase and sale agreement for a purchase price of $75,000.00 in substantially the form as presented at this meeting, and any other necessary legal documents to acquire fee simple title to the Property and to take all such action necessary under the agreement to complete the purchase. Section 3. City Council finds that the subdivision requirements of Seward City Code'fitle 16 do not apply to the City's purchase of the Property because, among other things, the Property will be owned by the City, is being purchased for the Project, and subdivision development requirements are not necessary or desirable for the Project. Section 4. Funds in the amount of $75,000 are hereby appropriated from the North Forest Acres Levee/Road Project fund balance account 666-6664-5910 to be paid at closing in accordance with the agreement presented at this meeting. Section 5. This resolution shall take effect thirty (30) days following passage and posting. PASSED AND APPROVED by the City Council of the City of Seward, Alaska, this 14th day of April 2009. THE CITY OF SF.WARD, ALASKA Clark Corbridgc, Mayor AYES: NOES: ABSENT: ABSTAIN: ATTEST: b COUNCIL AGENDA STATEMENT Meeting Date: April 14, 2009 Through: Phillip Oates, City Manager '. From: Kristin Erchinger, Finance Director !/ Subject: Acquisition of Parcels "RR" and "SS" for North Forest Acres Levee/Road Proiect BACKGROUND & JUSTIFICATION The City of Seward has received all required permits to proceed with construction of the North Forest Acres Project. The City's acquisition of property for the project was contingent on final receipt of all necessary permits (including the U.S. Army Corps of Engineers permit, the Fish & Habitat permit, the DOT Access "approval to construct"). As a condition of obtaining the U.S. Army Corps of Engineers permit, the City was required to purchase specific properties for compensatory mitigation purposes. These two parcels ("RR" and "SS" of Forest Acres Subdivision) are two of the nine parcels which Counci] has authorized the administration to negotiate for purchase, in Resolutions 2007-041 passed on April 23, 2007, Resolution 2008-096 passed on September 22, 2008, and Resolution 2008-135 passed on December 8, 2008. In accordance with Council's direction, the City engaged the services of HDR Alaska to conduct property and right-of- way acquisition negotiations with affected property owners. HDR solicited property appraisals from MacSwain Associates LLC for all affected properties, as well as a the services of a third-party "technical reviewer" (Statewide Appraisal Services), to evaluate the appropriateness of the appraisal methodology, analytical consistency, internal logic, accuracy of mathematical calculations, and compliance with the Uniform Standards of Professional Appraisal Practices, and the Uniform Appraisal Standards for Federal Land Acquisitions. This second layer of review was performed in order to ensure that the determinations of market value would stand the test of scrutiny. Parcel RR has a Kenai Peninsula Borough ("KPB") assessed value of $41,900 and an appraised value of $35,000. Parcel SS has a KPB assessed value of $33,100 and an appraised value of $25,000. The City has negotiated a purchase price of $75,000 for the two parcels, equal to the assessed value on both parcels. The compensatory mitigation process requires complete purchase of these parcels, and requires that upon recording of the properties, restrictive covenants be placed on these properties. The City Council will be asked to address the issue of restrictive covenants in Resolution 2009-022. The administration recommends purchase of these properties in order to proceed with construction of the North Forest Acres Levee/Road. CONSISTENCY CfIECKLLST Yes No N/A 1. Comprehensive Plan X 3.8.1.3 -Mitigate Flood Hazards -Secure funding to implement the comprehensive flood mitigation plan for Resurrection River and Japanese Creek. 3.8.1.4 -Investigate land trades and other mechanisms for acquisition ofpotentially hazardous lands (relative to floods and saturated soils) Strategic Plan X Page l1-Secure funding to implement comprehensive flood mitigation plan for...Japanese Creek. Page 16 - Develop a flood mitigation project to protect the runway from flooding. CITY OF SEWARD, ALASKA RESOLUTION 200&023 PAGE TWO FISCAL NOTE The City of Seward has been awarded a grants from the State of Alaska which can be used to purchase properties for the North Forest Acres Levee/Road Project. At this time, no additional appropriation is anticipated. Finance Department: o/Ce1sGa~ ~ RECOMMENDATION Council approve Resolution 2009- ~`~aJ approving a purchase agreement for Parcels RR and SS of Forest Acres Subdivision, in the amount of $75,000, and appropriating funds. U CITY OF SEWARD REAL ESTATE PURCHASE AGREEMENT THIS AGREEMENT is between KEITH A. BAILEY and JEANNETTE P. BAILEY, herein referred to as "SELLER", whose mailing address is PO Box 173, Seward, AK 99664- 0173, and the CITY OF SEWARD, a municipal corporation of the State of Alaska, hereinafter referred to as the "PURCHASER", with address of 410 Adams Street, Seward, Alaska 99664. For and in consideration of the mutual promises set forth below, SELLER and PURCHASER agree as follows: 1. PURCHASE AND SALE OF REAL PROPERTY. Subject to City of Seward Resolution No. ,dated ,SELLER shall sell to PURCHASER, that certain real property, hereinafter referred to as the "Property", more particularly described as: LOTS "RR" and "SS", FOREST ACRES SUBDIVISION, according to Plat No. S- 17, Records of the Seward Recording District, Third Judicial District, State of Alaska subject to taxes and assessments not in default or arrears, and further subject to reservations, restrictions, and easements of record. 2. ADMINISTRATIVE SETTLEMENT PRICE. The total purchase price of: SEVENTY-FIVE THOUSAND DOLLARS ($75,000), payable in full at closing, includes all compensation which may be due the SELLER in connection with PURCHASER's acquisition of the Property. 3. CONDITIONS TO PURCHASE. The obligations of the PURCHASER and SELLER to close on the purchase of this Property shall be subject to the following conditions and understandings: (a) The purchase is subject to approval of the City of Seward City Council. (b) There is no litigation or other claim which has any probability or reasonable likelihood of success, that challenges or controverts the PURCHASER'S action to acquire the Property.. (c) At completion of testing, if any, the Property is found to be suitable for City of Seward purposes and free of hazardous materials: and (d) This original agreement is executed by SELLER and delivered to the office of the Seward city clerk by 4:00 p.m., April 3, 2009. Real Estate Purchase Agreement; Bailey to City of Sewazd RES 013 and 024 Page 1 of 5 4. RELEASE OF ALL CLAIMS. For and in consideration for the compensation paid, SELLER furthermore agrees to release any and all claims SELLER has against PURCHASER or PURCHASER'S successors, heirs, and/or assigns, arising out of or relating to the acquisition of SELLER'S Property. This release shall include the release of any and all claims for any issues pertaining to trespass, condemnation blight, and inverse condemnation, for costs and attorney's fees or for any other claims pertaining to the planning, improvement construction, or acquisition of SELLER'S property. This release is to be broadly construed to effectuate its intent that any and all claims that have been raised or could have been raised by SELLER relating to the acquisition of the Property are released. 5. LEASES. SELLER warrants and represents that the only persons or entities other than SELLER who have oral or written leaseholds or other possessory interest in the Property are set forth in the following space and that an accurate copy of the written lease or statement of terms of an oral lease is attached hereto: NONE Any lessee deposits held by SELLER shall be transferred to PURCHASER at closing. 6. TITLE. SELLER represents that SELLER owns fee title to the Property free and clear of all encumbrances except those of record. At closing, SELLER shall convey marketable title to the Property to the PURCHASER subject only to covenants and easements of record, none of which affect the marketability of the SELLER's title and which are acceptable to PURCHASER. PURCHASER may obtain a policy of title insurance insuring the title of the PURCHASER in the full amount of the purchase price, and the premium for said policy shall be paid by PURCHASER. ENCUMBRANCES AND ASSESSMENTS. Rights reserved in Federal Patents, Territorial or State Deeds, Zoning Regulations, benign easements and subdivision covenants, if any, shall not be deemed as encumbrances to be discharged. The property shall be delivered to PURCHASER at time of closing free of all mortgages, liens, judgments, and any taxes or assessments in default or arrears. The amount of any such encumbrances which are now known liens on the property shall be paid by SELLER. 8. PRORATING. Taxes and assessments shall be prorated as of the date of closing. 9. CLOSING COSTS. Closing costs including costs of the preparation and recordation of documents required for closing shall be paid by PURCHASER. Parties shall be responsible for their respective attorney fees and costs at closing. 10. CLOSING AND ESCROW. The closing of this transaction shall be held at the earliest practical date consistent with the terms and conditions herein. However, closing shall be held on or before May 15> 2009.. Such closing shall be processed by First American Title in Seward. A copy of this agreement shall be deposited with the escrow agent by PURCHASER. This agreement shall serve as the escrow instructions. Real Estate Purchase Agreement; Bailey to City of Seward RES 013 and 024 Page 2 of 5 jb At closing: (a) SELLER shall execute and deliver to the escrow agent a Statutory Warranty Deed conveying the Property to the PURCHASER. (b) PURCHASER shall deliver to the escrow agent in municipal or cashier's check, the purchase price, and closing fees, less any SELLER costs to clear title. (c) All other conditions precedent to closing shall have been performed. 11. POSSESSION. SELLER shall deliver possession of the Property to the PURCHASER as of the date of closing. Any personal property left on the Property 90 days after the execution of this Agreement shall be deemed abandoned by the SELLER, unless otherwise agreed. 12. RISK OF LOSS. Risk of loss due to fire, earthquake, acts of God, or other calamity shall rest on the SELLER until closing and the PURCHASER has the option to rescind this agreement if such event shall occur or close the transaction as provided hereafter. If the PURCHASER chooses to proceed with the closing, the SELLER agrees to reduce the total purchase price and the amounts due to the SELLER at closing by the amount of the loss. Such loss shall be determined in accordance with such reasonable methods of valuation as may be agreed upon between the parties at the time of such loss. 13. HAZARDOUS WASTES/MATERIALS. SELLER represents and warrants the following: (a) SELLER and Property are in full compliance with all laws, regulations, rules and legal requirements of the federal, state and local municipalities regarding environmental protection and site remediation as of the date of execution of this Agreement. (b) No actions, suits, claims or other proceedings have commenced either regarding the disposal, discharge or release of hazardous material at or from the Property or alleging a violation or noncompliance with any environmental law. (c) There are no underground storage tanks. 14. WAIVER OF ALASKA STATUTE 34.70. The parties agree that AS 34.70 [Disclosures in Residential Real Property Transfer] does not apply to this transaction and waive the applicability of AS 34.70. 15. AGENTS, COMMISSIONS AND PROFESSIONAL ADVICE. Neither party is represented by a real estate broker or other person to whom a commission is owed in connection with this transaction. Each party has consulted with, or has had an opportunity to consult with, the party's own independent advisors, including experts, attorneys and tax advisors. Other provisions of this agreement notwithstanding, each party shall bear its own costs under this section. Real Estate Purchase Agreement; Bailey to City of Seward RES 013 and 024 Page 3 of 5 16. AUTHORITY. SELLER acknowledges that this agreement has been negotiated and executed by representatives of PURCHASER in the good faith belief that such actions and this agreement are in accordance with the laws and ordinances affecting government acquisition of property. In the event this Agreement has not been authorized at the time of its execution by representatives of the City of Seward, it shall be interpreted as an exclusive option to purchase in accordance with the terms hereof which option may be exercised by approval of this agreement by the City Council of the City of Seward within the period allowed for closing hereof. 17. DEFAULT BY SELLER. Ii the SELLER shall be unable to deliver a marketable title to the Property, the PURCHASER has the option of either (a) closing the transaction notwithstanding such state of title or, (b) with respect to liens or encumbrances which can be liquidated or discharged by the payment of a sum of money, paying off and causing to be discharged said liens or encumbrances, deducting the sum required therefore from the SELLER'S proceeds and thereafter closing the transaction. 18. ENTIRE AGREEMENT. This document and its attachments contain the entire Agreement between the parties. It may not be modified except in writing and signed by the parties. 19. TIME. Time is of the essence of this agreement and performance in accordance with the terms and conditions hereunder shall be given the highest possible priority by the parties hereto. This agreement is void if not accepted and delivered by SELLER by 4:00 pm on April 3, 2009. 20. SURVIVAL AND SUCCESSION. The terms and conditions of this Agreement shall survive the completion of the transaction that is the subject of this Agreement and shall be binding upon the heirs, successors or assigns of the parties hereto. 21. FURTHER ASSURANCES. Whenever requested to do so by the other party, SELLER or PURCHASER promptly and expeditiously shall execute, acknowledge and deliver any and all such conveyances, assignments, confirmations, satisfactions, releases, instruments of further assurance, approvals, consents and any and all further instruments and documents as may be reasonably necessary, expedient, or proper in order to complete any and all conveyances, transfers, sales, and assignments herein provided, and to do any and all other reasonable acts and to execute, acknowledge and deliver any and all documents reasonably requested in order to carry out the intent and purpose of this Agreement, including but not limited to subdividing and platting the land containing the Property. 22. GOVERNING LAW AND VENUE. This Agreement shall be governed by, construed under, and enforced in accordance with the State of Alaska. Venue shall be in the Alaska Superior Court in Anchorage, Alaska. 23. FOREIGN PERSON. SELLER represents and warrants that SELLER is not a "foreign person" as defined in Section 1445 of the Internal Revenue Code of 1986, as amended, and the Income Tax Regulations adopted thereunder. Real Estate Purchase Agreement; Bailey to City of Seward RES 013 and 024 Page 4 of 5 1Z 24. GRANT OF LICENSE. SELLER agrees that PURCHASER may enter upon the Property during the period that this Agreement is effective to make any and all examinations, investigations, surface and subsurface investigations, audits, reviews, inspections, tests, surveys and appraisals and to conduct and carry out any and all engineering studies and operations that PURCHASER may desire, at PURCHASER'S sole cost and expense. This license for entry includes the right of PURCHASER or its agents and contractors to install utilities and construct access roads over the rights-of-way portions of the Property, beginning on the effective date of this Agreement. In the event that Closing does not occur, the PURCHASER, in PURCHASER'S sole discretion, may either (1) remove all improvements from and restore the rights-of-way portions of the Property to substantially their original condition or (2j leave any roads constructed and utilities installed in place and leave the rights-of-way portions of the Property in reasonably clean and useable condition. SELLER: KEITH A. BAILEY DATE: ~l t JE~,NNETTE .BAILEY I DATE: ~ ..3 /~ 9 PURCHASER: CITY OF SEWARD '! BY: rn'°"~`i«,r-cre^„sr~° 1~tr'iS~n EFG~u'r~ TITLET~City Managger DATE: /¢j3J0~1 3~~8~rn ATTEST: ~" G~ ~r JEAN LEWIS, CMC CITY CLERK DATE: 4 -3 -G `~ ~ e° c~° ~+i~~ ~ ~i ea em ° ® e ua m S p,~'~3 °~` a Ra Sze BE- ~9.° i }°,~~.e Real Estate Purchase Agreement; Bailey to City of Sewazd RES 013 and 024 Page 5 of 5 13 12¢soiuiior, a®®q - a~ - 8ai lei d Resot ufiora ~o®9 ° a ~ - J7.~b ~ie~i v~ C.~vt,~a.,+s Kenai Peninsula Borough Page 1 of 2 Kenai Peninsula Borough, Alaska Assessing Department Property Info r'arcel Prin: View Tax Record NEh11 1mprOVerT12 nt5 Assessment. History Sear~E~ es Parcel Number Address FLdA?CtF06`t5 Welcome Page P rr+~ierty Sea rch Contact Us Help Return to KPB I-tome Login / Logout Pat'C~l _° R'~ `~I ~€. i ~' owner _' ~ - _- -- _ _- 28 of 99 2009 NOTICE VALUES ARE NOT CERTIFIED AND ARE SUBJECT TO APPEAL. CERTIFIED VALUES FOR 2009 WILL NOT BE AVAILABLE UNTIL JUNE 1, 2009. 2009 Parcel Tax Address Notice Data as Assess Number Account Total of Year Value 14506303 2505 SPRUCE ST, SEWARD $41,900 02/28120092009 Owner Information Owner Name BAILEY KEITH A & JEANNETTE Owner Address PO BOX 173 SEWARD AK 99664-0173 Transfer Date 12/30/1989 Document # 0 Deed Book/Page 56 683 Taxing Unit 40 Parcel Address 2505 SPRUCE ST, SEWARD Deeded .8600 Acreage Location /Description Parcel Type Property Class Code 100 Residential Vacant 2009 Notice Land Value 2009 Notice Imp. Value 2009 Notice Total Value Prior Land Value Prior Imp. Value Base MAP SW03 Legal Desc. T 1 N R 1 W SEC 34 Seward Meridian SW 000001 FOREST ACRES SUB LOT RR Assessment Information $41,900 $0 $41,900 $33,500 $0 hrip://ak-kenai-property.governmax.com/propertymax/GRM/tab~arcel_v0701. asp?t_nm=b... 4/6/2009 I S ,~, I ~ o o II ;x n a 1 T 2 in y c D F y A FO4NRK AVC h K O PIN F. ST F D 0 4 (IRK ST Y R+ACLE ST C F.Unx 6T lti :vli ~,. .4?RUCL Si vJ U,AlO PIS pN 0 V~ O ti ~~ 0 7~ 5~ t S t~ d^ ,irb, ,^ L41af~Ff SY \~ l~~ 0 I ~-0 C:. i~ - - ,,- _ - , MacSwain Associates LLC 4401 Business Park Blvd., Suite 22 Anchorage, Alaska 99503 Telephone: 907-561-1965 Fax: 907-561-1955 November 7, 2008 William J. IvTelson William J. Nelson & Associates PE 155 Bidarka Street Kenai, Alaska 99611-7741 Re: City of Seward North Forest Acres Levee/Road Project #M-2000-0052 Lot "RR", Forest Acres Subdivision I 2505 Spruce Street, Seward, Alaska RES 024 (Bailey) Dear Mr. Nelson: As requested, we prepared a Self-Contained appraisal report that analyzes the above- referenced property affected by the City of Seward's proposed North Forest Acres Levee/Road Project. The purpose of the appraisal is to estimate the market value of property rights acquired for full acquisition. The report is prepared to comply with requirements of the Uniform Standards of Professional Appraisal Practice (USPAP) and the Uniform Appraisal Standards for Federal Land Acquisitions (UASFLA). We understand that the City of Seward will use the report as the basis for compensating the property owner. Based on the data, reasoning, and analysis, the market value of the property rights acquired, as of October 8, 2008, is estimated at $35,000. Market Value of Acquisition $35,000 The information contained in the appraisal report is specific to the client's needs and intended I use. We hope the report assists your evaluation of the property. If you have any questions regarding this appraisal report, please contact our office. Respectively submitted, Ste ~ bSwain, MAI State of Alaska Certificate No. 42 R b Conn State of Alaska Certificate No. 334 RES 024 (Batley) 11 MacSwain Associates LLC I ~ rirricyiaAL Kry,YVKl JUMMARY Project Name: North Forest Acres Levee/Road Project #M-2000-0052 Parcel No. RES 024 -- J ~ PROJECT & OWNER INFORMATION Nam f O e o wner: Keith A. and Jeannette P. Bailey Owncr Address: P.O. Box 173, Seward, Alaska 99664-0173 Telephone Number: (907) 224-3685 Parcel Location: West. side of Spruce Street (unimproved), west of Willow Street (unimproved), Seward, Alaska ' Parcel Address: 2505 Spruce Street, Seward, Alaska Legal Description: Lot "RR", Forest Acres Subdivision Zoning: RR, Rural residential Current Use: Vacant Highest and Best Use; Residential Rights Appraised: Fee simple estate Inspection Date: October 8, 2008 Date of Value: October 8, 2008 -~ PARCEL DESCRIPTION SUMMARY Parcel Area: 37,462 SF Area of Acquisition: 37,462 SF Remainder: 0 SF Area of Parcel Subject to PLO or Section Line Easement: None ~ ACQUISITION SUMMARY 1. Market Value Before Acquisition: Land $35,000 _ Site Improvements $0 ~ $35,000 2. Less Acquisition Value as Part of the Whole: Land $35,000 Site Improvements $0 - $35,000 3. Remainder Value as Part of the Whole: - L $0~ 4. Estimated Market Value of Remainder: Land $p Site Improvements $0 SO 5. Damages Incurable (If Any): $0 6. Special Benefits (If Any): $0 7. Acquisition Value as Part of the Whole N/A 8. Net Damages: + N/A 9. Cost To Cure: + N/A 10. Permits (Driveway Temporary Construction): i- N/A 11. Easements: + N/A 12. PLO or Section Line Easements: + N/A 13. Other: + N/A 14. Market Value of Acquisition: (sum of shaded boxes) _ $35,000 Date: November 7. 2008 n.a.,o.-e,r n.,. e.e.., .~....~.....:_ ,.R., __~ „_,_ ,.__ _ - RES 024 (Bailey) -_-r__ __ _~ . ......... ......,,, .. ,...y ~ .~.. wau awv ~.v,u, '~ Kenai Peninsula Borough Property Info parcel Pnot view Tax Record News Improvements Assessment History Searches Parcel Numher ~vrzer Address b<UnCI'lOrtS Welcome Page ~''r'De'~f\; 5earrh Contact Us Help Return to KPB Home Login / Logout Pareei Page 1 of 2 Kenai Peninsula Borough, Alaska Assessing Department r~ -~1 ~~, „~i ~.. ~'i Owner - -~ 30 of 99 2009 NOTICE VALUES ARE NOT CERTIFIED AND ARE SUBJECT TO APPEAL. CERTIFIED VALUES FOR 2009 WILL NOT BE AVAILABLE UNTIL JUNE 1, 2009. 2009 Parcel Tax Address Notice Data as Assess Number Account Total of Year Value 14506312 2509 SPRUCE ST, SEWARD $33,100 02128(20092009 Owner Information Owner Name BAILEY KEITH A & JEANNETTE Owner Address PO BOX 173 SEWARD AK 99664-0173 Transfer Date 1 2/3 011 9 8 9 Document # 0 Deed Book/Page 56 683 Location /Description Taxing Unit 40 Base MAP SW03 Parcel Address 2509 SPRUCE ST, SEWARD legal Desc. T 1N R 1W SEC Deeded .8300 34 Seward Acreage Meridian SW 0000017 REST ACRES SUB LOT SS Parcel Type Property Class Code 100 Residential Vacant 2009 Notice Land Value 2009 Notice Imp. Value 2009 Notice Total Value Prior Land Value Prior Imp. Value Assessment Information $33,1 DO_ $0 $33,100 $26,500 $0 http: //ak-kenai-property. governmax, c orn/propertym~ax/GRM/tab~arcel_v0701. asp?t_nm=b... 4/6/2009 O 7 Z ~: P TL S_ O y'( EP ~ C _ r~ tpc ~• y ~~~ LOTTOHW OOn s- J'h . 55 ' ,. 7 v C Q y J Y y Q 2 1V 4 Sb ST:] ~ CSH SY ` O ~ f m C Q w Y q C 4 v. z e ~ u 4 7 V aoa m - a c n -T- 1000 k t`i~ `° ._ _ __ ~I _ ______ ._. _. _... _.._ .P ___._. _...~ ~~ I // (~ / / Ka i ~ t~ ti 9 .. f 1 ^0 ! 1 , 1 ~ ~ 1 11{r. 1 ,f I ~J ~' MacSwain Associates LLC 4401 Business Park Blvd., Suite 22 Anchorage, Alaska 99503 Telephone: 907-561-196.1 Fax: 9D7-561-195 November 7, 2008 William J. Nelson William J. Nelson & Associates PE 155 Bidarka Street Kenai, Alaska 99611-7741 Re: City of Seward North Forest Acres Levee/Road Project #M-2000-0052 Lot "SS", Forest Acres Subdivision 2509 Spruce Street, Seward, Alaska RES 013 (Bailey) Dear Mr. Nelson: As requested, we prepared aSelf-Contained appraisal report that analyzes the above- referenced property affected by the City of Seward's proposed North Forest Acres Levee/Road Project. The purpose of the appraisal is to estimate the market value of property rights acquired for full acquisition. The report is prepared to comply with requirements of the Uniform Standards of Professional Appraisal Practice (USPAP) and the Uniform Appraisal Standards for Federal Land Acquisitions (UASFLA). We understand that the City of Seward will use the report as the basis for compensating the property owner. Based on the data, reasoning, and analysis, the market value of the property rights acquired, as ~ of October 8, 2008, is estimated at $25,000. Market Value of Acquisition $25,000 The information contained in the appraisal report is specific to the client's needs and intended use. We hope the report assists your evaluation of the property. If you have any questions regarding this appraisal report, please contact our office. Respectively submitted, Steve MacSwain, MAI State of Alaska Certificate No. 42 RES 013 (Bailey) a1 b Conn ate of Alaska Certificate No. 334 MacSwain Associates LLC ~ APPRAISAL REPORT SUMMARY Project Name: North Forest Acres Levee/Road Project #M-2000-0052 Parcel No. RES 013 ~ PROJECT & OWNER INFORMATION Name of Owner: Keith A. and Jeannette P. Bailey Owner Address: P.O. Box 173, Seward, Alaska 99664-0173 Telephone Number: (907) 224-3685 Parcel Location: West side of Spruce Street (unimproved), south of Poplar Street (unimproved), Seward, Alaska Parcel Address: 2509 Spruce Street, Seward, Alaska Legal Description: Lot "SS", Forest Acres Subdivision Zoning: RR, Rural residential Current Use: Vacant Highest and Best Use: Residential Rights Appraised: Fee simple estate Inspection Date: October 8, 2008 Date of Value: October 8, 2008 i ~ PARCEL DESCRIPTION SUMMARY Parcel Area: 37,331 SF Area of Acquisition: 37,331 SF Remainder: 0 SF Area of Parcel Subject to PLO or Section Line Easement: None ~ ACQUISITION SUMMARY 1. Market Value Before Acquisition: Land $25,000 Site Improvements $0 $25,000 2. Less Acquisition Value as Part of the Whole: Land $25,000 Site Improvements $0 - $25,000 3. Remainder Value as Part of the Whole: - $0 !; 4. Estimated Market Value of Remainder: Land $0 Site Improvements $0 $p 5. Damages Incurable Qf Any): $0 6. Special Benefits (If Any): $0 7. Acquisition Value as Part of the Whole N/A 8. Net Damages: + N/A 9. Cost To Cure: + N/A 10. Permits (Driveway Temporary Construction): + N/A 11. Easements: + N/A 12. PLO or Section Line Easements: + N/A 13. Other: + N/A 14. Market Value of Acquisition: (sum of shaded boxes) = 525,000 Date: November 7, 2008 Prepared By: Steve MacSwain, MAI and Rob Conn RES 013 (Barley) ~ a~ Sponsored by: Oates CITY OF SEWARD, ALASKA RESOLUTION 2009-024 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA, APPROVING A CONTRACT BETWEEN THE CITY OF SEWARD AND PENINSULA CONSTRUCTION, INC. FOR THE JAPP CREEK RELOCATION PROJECT IN AN AMOUNT NOT TO EXCEED X305,365 PLUS A 10% CONTINGENCY, AND APPROPRIATING FUNDS WHEREAS, the City of Seward issued a request for proposals for the Japp Creek Relocation Project ("Project") on March 26, 2009, with said project representing the first phase of construction of the North Forest Acres Levee/Road Project; and WHEREAS, this project involves clearing and grubbing approximately 1.5 acres; excavating approximately 2,000 cubic yards of material in order to re-route 900' of Japp Creek; providing temporary site access along Fir Street; constructing temporary bridge access across Japp Creek with minimal disruption to existing habitat; backfilling the old channel; constructing a new stream bank utilizing and preserving existing vegetation, and constructing said bank in accordance with very specific root wad, vegetative mat, and brush layering construction techniques as described in the technical specifications, aimed at maximizing and preserving fish habitat; and ensuring that the Project complies with the Fish Habitat Permit FH 08-V-0129 and U.S. Army Corps of Engineers Permit POA-2000-52-M 1; and WHEREAS, the City received seven responsive and responsible proposals which were scored by athree-member scoring team according to the following evaluation criteria: contractor experience with similar relevant projects (20%); conformance to proposal instructions (5%); firm's available resources, including equipment, personnel and licenses (5%); references on projects of similar scope and magnitude (30%); litigation history (] 0%); and bid price (30%); and WHEREAS, as a result of the proposal scoring process, the scoring team recommends the City award a contract to Peninsula Construction, Inc. which received 98 points out of a possible 100 points, with a bid price of $305,365; and WHEREAS, the City considers that entering into a contract with Peninsula Construction, Inc. for the purposes of relocating Japp Creek as phase I of the North Forest Acres Levee/Road Project, is in the public interest and will promote the public purposes of the City; and WHEREAS, the administration recommends including a contingency not to exceed ten percent to the contract with Peninsula Construction, Inc. for the purpose of paying for unanticipated additional project costs, which will only be utilized upon prior written approval of the city manager. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SEWARD, ALASKA that: ~3 CITY OF SEWARD, ALASKA RESOLUTION 2009-024 Section 1. The City Manager is hereby authorized to enter into a contract, in accordance with the terms and conditions and in substantial form as attached hereto, with Peninsula Construction, Inc. for the Japp Creek Relocation Project for the North Forest Acres Levee and Access Road, as specified in the request for proposals dated March 26, 2009, for an amount not to exceed $335,90]. Section 2. Funding in the amount of $305,365 plus a ten percent contingency of $30,536 for a total of $335,901 is hereby appropriated from the NRCS .]app Creek Levee/Road grant account no. 666-6661-4680-0100 to the contracted services account no. 666-666]-5390. Section 3. This resolution shall take effect immediately upon adoption. PASSED AND APPROVED by the City Council of the city of Seward, Alaska, this 14`h day of April, 2009. THE CITY OF SEWARD, ALASKA Clark Corbridge, Mayor AYES: NOES: ABSENT: ABSTAIN: ATTEST: Jean Lewis City Clerk (City Seal) a~- COUNCIL AGENDA STATEMENT Meeting Date: April 13, 2009 Through: Phillip Oates, City Manager '~ From: Kristin Erchinger, Finance Director Subject Award of Contract for Tapp Creek Relocation Project BACKGROUND & JUSTIFICATION Following the 1995 flood of Resurrection River and Japanese Creek ("Japp Creek"), FEMA sponsored amulti-agency task force to develop a comprehensive flood mitigation plan for flood risks associated with waterways on the north end of Seward. As a result of the task force work, a final report was issued in 1998, identifying five key projects which, when implemented together, would protect Seward by mitigating the effects of future flood events in this area. The sole project which has yet to be completed from this task force, is construction of the North Forest Acres Levee/Road: The Japp Creek Relocation Proj ect represents the first phase of the North Forest Acres Levee/Road project. This project involves clearing and grubbing approx. 1.5 acres, excavating 2,000 cubic yards of material in order to re-route approximately 900' of Japp Creek, providing temporary access along Fir Street which must be cleared in order to provide access to the creek relocation site, constructing a temporary bridge across Japp Creek, backfilling the old channel, constructing a new stream bank, and ensuring compliance with the Fish Habitat Permit and the U.S. Army Corps of Engineers Permit. The challenge of this prof ect involves construction of the stream bank in accordance with specific root wad, vegetative mat, and brush layering construction techniques that were described in the technical specifications of the request for proposals. This technique is necessary in order to maximize the preservation of existing vegetation, to create root and brush elements within the creek to maximize fish habitat, and to ensure the stability of the stream bank to protect from erosion. The proposals were weighed in favor of contractors with this type of construction experience and scope. The City of Seward issued a request for proposals on March 26, 2009. A pre-bid conference was held on April 1, 2009, and bids were opened on April 9, 2009. The City received seven responsive and responsible proposals. Proposals were scored based on the following evaluation criteria: contractor experience with similar relevant projects (20%); conformance to proposal instructions (5%); fum's available resources, including equipment, personnel and licenses (5%); references on projects of similar scope and magnitude (30%); litigation history (10%); and bid price (30%) The results of the proposals, and the bid prices received, were as follows, and a copy of the tabulation sheet is attached: Contractor Pro osal Points Bid rice Peninsula Construction, Inc. 98 $305,365 Alaska Trailblazin ,Inc. 91 $397,225 Metco, Inc. 90 $289,365 North Star Pavin 73 $472,326 Alaska Excavating, LLC 71 $298,630 Timberline Excavation 70 $319,300 Drennon Construction & Consulting 6l $471,002 as CITY OF SEWARD RESOLUTION 2009- u~~ PAGE TWO The scaring team consisted of the project engineer, Bill Nelson, finance director Kristin Erchinger, and harbormaster Kari Anderson. As a result of the proposal tabulation process, the scoring team recommends award of the contract to Peninsula Construction, Inc. This firm has had experience with projects of similar scope and relevant experience, including other riverbank restoration projects including Anchor River Campground rehabilitation (State of Alaska DNR), Slikok Creek Culvert Replacement (Kenai Watershed Forum), Theodore River Restoration (Chevron), Soldotna Creek Kenai River Trai] Handicap Access & Soil Erosion, Kenai River Trail Improvements (State of Alaska DNR), Anchor River Restoration and Revegetation Project (State of Alaska DNR), Ship Creek Stream Bank Restoration (Fort Richardson), and numerous other stream bank restoration projects, some of which utilized the same root wad, vegetative mat, and brush layering techniques required for the Japp Creek Relocation Project. This City has had a good experience working with this firm most recently on the Spring Creek Water Tank Restoration Project (2007, $494,875) and the North Seward Water System Improvements Project (2005, $348,382). This project istime-sensitive due to the fact that the only time the contractor is able to do in-water work, in accordance with agency permits, is from May I S through July 15, providing a very narrow window in which to complete the project. The contract requires specific coordination with federal and state agencies, to comply with permitting requirements. In addition, liquidated damages are assessed to the extent the contractor fails to substantially complete the project within 90 days of the Notice to Proceed ($100 per day damages), and to fully complete the project within 120 days of Notice to Proceed ($200 per day damages). A copy of the Japp Creek Relocation proposal packet is available for review in the City Clerk's office. CONSISTENCY CHECKLIST Yes No N/A 1. Comprehensive Plan X 3.8.1.3 -Mitigate Flood Hazards -Secure funding to implement the comprehensive flood mitigation plan for Resurrection River and Japanese Creek. 2. Strategic Plan }{ Page 11 -Secure funding to implement cotnpreltensive flood mitigation plan for...Japanese Creek. Page 16 - Develop a flood mitigation project to protect the runway from flooding. FISCAL NOTE The City of Seward has been awarded grants from the National Resource Conservation Service and the State of Alaska, which are available for this project and will pay for the entirety of the Japp Creek Relocation Project, without need of additional appropriation. Finance Department: ~~~ ~itt~tf,,,Qy, RECOMMENDATION ~,,~}, Council approve Resolution 2009-f~ approving a contract with Peninsula Construction, Inc. for the Japp Creek Relocation Project, and appropriating funds. ab Japp Creek Relocation Summary of Questionaire Points Proposals evaluated 418109 Item Description Percent Bidder Drennon Bidder North Star Bidder 1Nefco Bidder kTrailBlazin Bidder Penin. Constr Bidder Timberlcre Bidder AkExcavat. 20.1.1 F~cperience 20% 1D 15 15 20 20 10 10 20.12 Presentation 5% 5 5 5 5 5 5 5 20.1.3 Ava~able Resources 5% 3 5 5 5 5 3 2 20.1.4 References 30°.G 15 20 25 30 30 15 15 20.1.5 litigation Hisfory 10°~ 10 10 1D 90 10 10 iD Bid Score 30% 1 B 1 B 39 2T 28 27 29 Total Score 1DD% 81 73 90 91 98 70 71 Evaluators: Kris Erchinger, City of Seward ~ .f/~a_ti~ ~t Kart Anderson, City o1 Seward L.. Bill Nelson, WJNA, Engineers ~ 7 a -o i 0 cn N 0 0 cn -~ z C N rn ^o E m c--' cn 0 z D Ll] Cf2 O CJ cn 0 N [A Cal .A C T'I A "O O N PROJECT MANUAL PART 1 BIDDING AND CONTRACT DOCUMENTS Japp Creek Relocation CONTRACT THIS CONTRACT is dated as of the this day of ~~ in the year 2009 by and between: City of Seward (hereinafter called OWNER) PO Box 167 Seward, Alaska 99664 and, (hereinafter Called CONTRACTOR) OWNER AND CONTRACTOR, in consideration of the mutual covenants hereinafter set forth, agree as follows: a. WORK CONTRACTOR shall complete all Work as specified or indicated in the Contract Documents. The Project, for which the Work under the Contract Documents may be the whole or only a part, is generally described as follows: JAPP CREEK RELOCATION FOR NORTH FOREST ACRES LEVEE AND ACCESS ROAD b. ENGINEER The Project is being coordinated by Wm. J. Nelson & Associates who is hereinafter called Engineer and who will assume all duties and responsibilities and will have the rights and authority assigned to ENGINEER in the Contract Documents in connection with completion of the Work in accordance with the Contract Documents. c. CONTRACT TIME & LIQUIDATED DAMAGES The CONTRACTOR hereby agrees to commence work under this CONTRACT within 10 days of the issuance of Notice to Proceed by the Owner, to complete in-water work by July 15, 2009, to be substantially complete within 90 days of Notice to Proceed and to fully complete the project within 120 days of Notice to Proceed. Liouidated Damages. OWNER and CONTRACTOR recognize that time is of the essence and that OWNER will suffer financial loss if the Work is not substantially complete within the time specified above, plus any extensions thereof allowed in accordance with Contract Documents. They also recognize the delays, expense and difficulties involved in proving in a legal proceeding the actual loss suffered by OWNER if the Work is not substantially complete on time. Accordingly, instead of requiring any such proof, OWNER and CONTRACTOR agree that as liquidated damages for delay (but not as a penalty) CONTRACTOR shall pay OWNER One Hundred dollars ($10D.00) for each calendar day that expires after the time specified above unbl the Work is substantially complete. Further, should the contractor fail to fully complete the project 120 calendar days of Notice to Proceed, Contractor Owner I-1 a~ PROJECT MANUAL PART 1 BIDDING AND CONTRACT DOCUMENTS ]app Creek Relocation Contractor will be assessed liquidated damages of $200.00 per calendar day until construction completion is satisfied. d. CONTRACT PRICE The Contract price shall be an amount equal to the sum of the established unit price bid for each separately identified item listed on the Basic Bid Schedule times the estimated quantity of that item however, Owner shall pay Contractor for performance of the Work, in accordance with the Contract Documents, an amount equal to the sum of the established unit price bid for each separately identified item listed on the Basic Bid Schedule, times the actual quantity of that item that is constructed and accepted. The Contract price, based on the established unit prices for the Basic Bid Schedule, and the estimated quantities is: (Written in Words) e. PAYMENT PROCEDURES The Contractor shall submit to the Engineer an Application for Payment, on the forms furnished, supported by such data as the Engineer may require substantiating the Contractor's right to payment, for Work done during the preceding calendar month. The Engineer will, within seven (7) days after receipt of the Application for Payment, either approve a Partial Payment Estimate and present it to the Contractor for signature or notify the Contractor in writing his reasons for withholding approval. Approved Partial Payment Estimates shall be received by the Owner within (5) days after execution by the Contractor. The Owner will process Partial Payment Estimates and make payment to the Contractor within fifteen (15) days after Owner approval of the Partial Payment Estimate. If the Owner fails to make payment to the Contractor within forty-five (45) days of receipt of the Partial Payment Estimate, the Contractor may, upon seven (7) days written notice to the Owner and Engineer, suspend the Work. The Contractor shall take every precaution to prevent any damage or unreasonable deterioration of the Work during the time it is suspended. rt lama c. nc v..nu ..w .. completed and accented. However, if the Owner at any time after fifty percent (50%) of the Work has been completed determines that satisfactory progress is maintained, the Owner may continue to hold the retainage to date and authorize progress payment to the Contractor in full for Work performed beyond the fifty percent (50%) stage of completion. After ninety-five percent (95%) of the Work has been satisfactorily completed, the Owner ~~ reduce the retainage to two percent (2%) of the earnings to date. The Owner shall pay interest on retainage withheld. No interest shall accrue and no interest shall be paid on sums which are withheld as provided for hereinafter. 1.Withhalding: In addition to retainage, the Owner may withhold from a progress payment for any of the following reasons: A. Defective work: Claims by Subcontractors, suppliers, laborers, or the Alaska Department of Labor; Claims made directly against the Owner alleging an act or omission on the part of the Contractor, Subcontractors, or their agents in connection with the Work. Contractor Owner I-2 ~~ PROJECT MANUAL PART 1 BIDDING AND CONTRACT DOCUMENTS Japp Creek Relocation 8. Damage to the Owner: Reimbursements for Work done by the Owner because of any failure to carry out the Work in accordance with the Contract Documents; C. Liquidated Damages: Progress payments shall not be construed as an acceptance or approval of any part of the Work covered thereby and they shall in no manner relieve the Contractor of responsibility for defective workmanship or material. The estmates upon which progress payments are based are not represented to be accurate estimates, and all quantities shown therein are subject to correction in the final estimate. If the Contractor uses such estimates as a basis for making payment to Subcontractors, Contractor does so at Contractor's risk. and C'nntrartpr shall bear all Ipss that may result: The making of progress payment under the Contract, either before or after the date set for completion of the Work, shall not operate to invalidate any of the provisions of the Contract or to release the Surety. Z• Payment of Claimants Any claim received by the Owner against the Contractor or Subcontractors from any worker, laborer, supplier, subcontractor, or the Alaska Department of Labor will be forwarded to the Contractor by certified mail as soon as practical following receipt by the Owner. Thirty days after the Contractor's receipt of the said notice, the Owner shall be authorized by the Contractor to pay the claim from the earnings of the Contractor unless the Contractor has notified the Owner and Engineer in writing by certified mail that the said claim is contested or proof that it has been paid. Only upon receipt of such notice is the Owner's authority to pay the claim revoked. Revocation of authority to pay a claim shall not prohibit the Owner from paying any claim, levy or attachment under compulsion of law. Sums withheld pursuant to disputed claims will not be paid to the claimant except where compelled by legal authority. Such sums may be paid to the Contractor upon the filing of a statement by the Contractor and Contractor's Surety on the form furnished by the Engineer stating that: (i) the Contractor contests the validity of the claim; (2) that the Surety acknowledges responsibility for the payment of the claim in the event it is valid and; (3) that the Contractor and the Surety specifically agree to hold the Owner harmless for making payment to the Contractor of the sums withheld. In the event that the Contractor revokes authority to pay a claimant as provided herein and refuses to execute the said statement referenced above, the Owner may institute an interpleader action in Superior Court, Third Judicial District, and all Court costs and attorney's fees incurred by the Owner shall be paid by the Contractor or the Surety. Claimants are not intended beneficiaries of this Article and shall have no recourse against the Owner for any failure to pay claims from sums withheld from the Contractor. 3. Final Payment upon acceptance of the Work, the Owner will accept a request for the Final Payment. The retainaae shall be held by the Owner for a oeriod of not less than 90 day following the Final Acceotance for the Work. No Final Payment shall be made until the Contractor has filed with the Engineer, prior to acceptance of the Work, a notarized Certificate of Compliance in the form substantially as follows: Contractor Owner I-3 ~~ PROJECT MANUAL PART 1 BIDDING AND CONTRACT DOCUMENTS Japp Creek Relocation I (we) hereby certify that all Work has been performed and materials supplied in accordance with the Contract Documents for the above Work, that all payroll taxes have been paid, and that all claims for material and labor and other services performed in connection with these Contract Documents have been satisfied. Three releases also necessary before final payment: i. Project Completed -Contractor's Affidavit of Payment of Debts and Claims ii. Project Completed -Contractor's Affidavit of Release of Liens iii. Project Completed -Consent of Surety Company to Final Payment. There shall be deducted from the final payment any sums withheld pursuant to payment of claims. 4. Correction of Work after Final Payment Neither the final payment nor any progress payment shall relieve the Contractor of responsibility for faulty materials or workmanship and he shall remedy any defects due thereto and pay for any damage resulting there from which appear within a period of one year from the Final Acceptance Date. The Owner shall give notice of observed defects with reasonable promptness. The Contractor shall initiate corrective action within five (5) days after written notification from the Owner, CONTRACTOR'S REPRESENTATIONS In order to induce OWNER to enter into this CONTRACT, CONTRACTOR makes the following representations: CONTRACTOR has become familiar with the nature and extent of the Contract Documents, Work locality, and with all local conditions and Federal, State and local laws, ordinances, rules and regulations that in any manner may affect cost, progress or performance of the Work. CONTRACTOR agrees that Contractor has exercised Contractor's own judgment regarding the interpretation of subsurface information and that if awarded the CONTRACT, will make no claim against the OWNER or the ENGINEER if, in carrying out the Work, Contractor finds that the actual subsurface conditions encountered do not conform to those indicated by previous borings, test excavations, or other subsurface investigations, CONTRACTOR has made or caused to be made examinations, investigations, tests and studies of any reports and related data in addition to those provided as Contractor deems necessary for the performance of the Work at the Contract Price, within the Contract Time and in accordance with the other terms and conditions of the Contract Documents; and no additional examinations, investigations, tests, reports or similar data are or will be required by CONTRACTOR for such purposes, CONTRACTOR has correlated the results of all such observations, examinations, investigations, tests, reports and data with the terms and conditions of the Contract Documents. CONTRACTOR agrees to remedy all defects appearing in the work or developing in the materials furnished and the workmanship performed under this CONTRACT for a period of 1 year after the date of acceptance of the Work by the OWNER and further agrees to Indemnify and save the OWNER harmless from any costs encountered in remedying such defects. Contractor Owner I-4 3~ PROJECT MANUAL PART 1 BIDDING AND CONTRACT DOCUMENTS Japp Creek Relocation CONTRACTOR has given Engineer written notice of all conflicts, errors or discrepancies that Contractor has discovered in the Contrail Documents and the written resolution thereof by ENGINEER is acceptable to CONTRACTOR. 9• CONTRACT DOCUMENTS The Contract Documents which comprise the entire agreement between OWNER and CONTRACTOR are included with this CONTRACT, made a part hereof and consists of the following: 1• Project Manual -Consisting of the following; PART 1 -Bidding and Contract Documents A• Invitation to Bid B• Project Directory C• Bid Proposal D• Addendum Acknowledgment E• Alaska Business and Contractor's License F• Contractor's Certificate of Insurance G• Non-Collusion Affidavit H• Corporate Acknowledgment I• Contrail J• Contractor's Affidavit of Payment of Debts and Claims K• Contractor's Affidavit of Release of Liens L. Bid Bond M. Performance Bond N. Labor and Material Payment Bond 0. Application for Payment Form PART 2: Special Provisions, including Municipality of Anchorage Standard Specifications, 2009 Edition, as modified herein. PART 3: Modifications to the Technical Specifications PART 4: Fish Habitat Permit FH 08-V-0129 PART 5: Drawings Consisting of sheets numbered 1, 2, 3, 4, and 5 dated March 26, 2009 inclusive with each sheet bearing the general title of: Japp Creek Relocation for North Forest Acres Levee and Access Road PART 6: All requirements of Taws, ordinances, regulations, licenses and taxes. PART 7; Any modifications, including change orders, duly delivered and executed after execution of this CONTRACT. There are no Contract Documents other than those listed above. The Contract Documents may only be altered, amended or repealed by a Modification. h. MISCELLANEOUS Contractor Owner I-5 3a PROJECT MANUAL PART 1 BIDDING AND CONTRACT DOCUMENTS Japp Creek Relocation Terms used in this CONTRACT which are defined in Contract Documents shall have the meanings indicated in the Contract Documents. No assignment by a party hereto of any rights under or interests in the Contrail Documents will be binding on another party hereto without the written consent of the party sought to be bound; and specifically but without limitation, moneys that may become due and moneys that are due may not be assigned without such consent (except to the extent that the effect of this restriction may be limited by law), and unless specifically stated to the contrary in any written consent to an assignment no assignment will release or discharge the assignor from any duty or responsibility under the Contract Documents. OWNER and CONTRACTOR each binds themselves, their partners, successors, assigns and legal representatives in respect to all covenants, agreements and obligations contained in the Contract Documents. IN WITNESS WHEREOF, the parties hereto have executed, or caused to be executed by their duly authorized officials, this CONTRACT in two counterparts each of which shall be deemed an original on the date first above written. OWNER: City of Seward BY: NAME: TITLE: (SEAL) STATE OF ALASKA ) )ss. THIRD JUDICIAL DISTRICT ) THIS IS TO CERTIFY that on this day of , 2009, being personally known to me or having produced satisfactory evidence of identification, appeared before me and acknowledged the voluntary and authorized execution of the foregoing instrument on behalf of said Owner. NOTARY PUBLIC FOR ALASKA My Commission Expires: Contractor Owner I-6 PROJECT MANUAL PART 1 BIDDING AND CONTRACT DOCUMENTS Japp Creek Relocation CONTRACTOR: BY: _ NAME: TITLE: (SEAL) STATE OF ALASKA ) THIRD JUDICIAL DISTRICT )~~ THIS IS TO CERTIFY that on this day of - 2009, (title) of personally known to me or havin being appeared before me and acknow edged the voluntary and adutho ed execlut onl of the foregoing instrument on behalf of said Corporation, NOTARY PUBLIC FOR ALASKA My Commission Expires: Contractor. Owner I-7 ~~ April 2009 May 20D9~ `apr~~ 209 SMTWTFS SMTWTFS 1 2 3 4 1 2 5 6 7 B 910 it 3 4 5 6 7 8 9 12 13 14 15 16 1718 10 11 12 13 14 16 16 19 20 21.22 23 24 25 17 18 19 20 21 22 23 26 27 26 29 30 31 25 26 27 28 2930 Wednesd~ Thursday '. Friday Monda Tuesday. __ i -- A n~ki` ~ ~ n _ 112:OOpm PACAB Meeting 13~ - --- _ 14 1 1~ _~_v _ _ ~ CC Mtg 1 S:OOpm Sp CC Mtg 2 OOpm ~~~ ~ ~ ; '~ ~ ~~ Sp. City Council ~~~ ~ - Meeting ! 6:30pm Historic Preservation ~ Meeting -- - CC WS ~ 6:30pm'~YIorl~~esSH~7 ~ 9:OOam Social Security Evaluations Rep T~_ - _- - T City Council Meeting Nanci Richey 1 4/10/2009 12:17 PM 35P May 20Q9 May 2009. June 2009 'S M T W T F S S M,T W T F S 3 4 5 6 7 6 9 7 8 910111213 10 11 12 13'14 15 lfi 14 15 16 17 18 19 20 17 18 19 20 21 22 23 21 22 23 24 25 26 27 24 2526 27 28 29 30 28 29 30 31 -- ..~~~i~u~ Thursday ---_ __ ._ _ L ~ r --_ T_ _ Fnd~ - -- --- - - - - -- 1-___ --- _ May - `-- -_ __ -- - - ---- _- - - -- - -- - - - --- _ _ --- - - --- 6 7 ~. ._ - KPB J~ 12.OOpm PACAB Meeting ! 7.30pm P&Z Meetng - - - f -- - - _ _ p ~_ -- __ 6:00 m SMIC Feasihility l 11 Study with PACAB 7:OOpm City Council Meeting ----- _ - --_ -~~- 11:30am 14 - 1 i ---- - - -- L-- - __ _- 18 1 9 -21 i 6:30pm;78t~ykyrgtS~ir i P ~~~> ~~~`*~ --- _ 12:00 m , - ~ 9:OOam Social Security ~, d . ~ ~',~ Rep 6:30pm Historic Preservation l Meeting -- -- --- --- - - 27 -- -- --- 25 --- 26_~ - - -- _ -28i _-_ - _ 2 7:Oi)pm City Council ~6:OOpm CC WS Budget - Meeting Close Out With Auditors Nanci Richey 2 4/10/2009 12:17 PM 3b