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HomeMy WebLinkAbout2009-11-10 - AGENDA REPORTS - PROJ F3016 FIRE STATION 150 (2)CONSENT CALENDAR DATE: SUBJECT: DEPARTMENT Agenda Item: CITY OF SANTA CLARITA AGENDA REPORT City Manager Approval Item to be presented by: November 10, 2009 Kris Markarian FIRE STATION 150, PROJECT F3016 - APPROVE REIMBURSEMENT AGREEMENT Public Works RECOMMENDED ACTION 1. City Council approve the Reimbursement Agreement with Pardee Homes for $313,677 and authorize a 10 percent contingency in the amount of $31,368. 2. Authorize expenditure of $30,000 for construction management services and project administration by staff. 3. Increase Revenue Account 306-4572.006 by $375,045 and appropriate to Expenditure Account F3016306-5161.001 for the total anticipated construction costs. 4. Authorize the City Manager or designee to execute the agreement, subject to City Attorney approval. BACKGROUND On September 19, 2006, the City Council held a Study Session to discuss the findings of a study by Consolidated Fire Protection District of Los Angeles County, also known as Los Angeles County Fire Department, indicating a need for increased fire station resources in the Santa Clarita Valley. During the Study Session, the City Council determined that the City should work with the County Fire Department on the Fire Station Master Plan and future fire station projects. City staff is currently working with Los Angeles County Fire Department (District) to acquire property and construct Fire Station 150 that will be located on Golden Valley Road just east of State Route 14 within the new Golden Valley Ranch development. Design of the station is complete and construction is scheduled to begin early 2010. Pardee Homes (Pardee), the owner of the property, has agreed to dedicate the subject property to the District for a fire station site in exchange for developer fee credit to be applied toward its nearby future development. In connection with this dedication and prior to transfer of the property, Pardee has also agreed to perform certain site work specified by the District in order to deliver a utility -ready graded pad to begin the station construction. To help facilitate timely transfer of the property, the District has requested the City's cooperation to reimburse Pardee for the site work from the City's Fire District Developer Fee Fund 306 balance. These fees are collected specifically for fire station development and construction. Staff is requesting the City Council approve the attached Reimbursement Agreement with Pardee Homes to reimburse Pardee for the cost of the site work. The City and Pardee have jointly reviewed the scope of the specified site work, and based upon contractor bids received by Pardee, both parties have agreed to a lump sum cost. Upon completion of the site work, and provided that the District has accepted the dedication of the property and consummated the transactions contemplated by the District, the City will pay Pardee the agreed amount sum of $313,677. Additionally, staff is requesting a 10 percent contingency amount of $31,368 should unforeseen field conditions warrant additional work by Pardee. Lastly, staff requests the City Council to authorize expenditure of $30,000 for construction management services and project administration efforts by staff to inspect Pardee's work. ALTERNATIVE ACTIONS Other action as determined by the City Council. FISCAL IMPACT Sufficient funds for the subject Reimbursement Agreement are available in Fire District Developer Fee Fund 306 balance. ATTACHMENTS Reimbursement Agreement 2— REIMBURSEMENT AGREEMENT This Reimbursement Agreement (the "Agreement") is entered into as of , 2009, by and between the CITY OF SANTA CLARITA, a municipal corporation (the "City"), and PARDEE HOMES, a California corporation ("Pardee"). The City and Pardee are sometimes referred to herein, individually, as a "Party" and, collectively, as the "Parties". The City and Pardee agree as follows: 1. Recitals. This Agreement is made with reference to the following facts and circumstances: (a) Pardee is the owner of certain real property located within the City, which real property is the subject of Vesting Tentative Tract Map 52414 (the "Project Area"). (b) Pardee and the Consolidated Fire Protection District of Los Angeles County (the "District") are parties to that certain Agreement between the Consolidated Fire Protection District of Los Angeles County and Pardee Homes for Development Impact Mitigation Measures (the "District Agreement"), dated , 2009, a copy of which is attached hereto as Exhibit "A." (c) As more fully set forth in the District Agreement, Pardee desires to mitigate the impact of its proposed development in the Project Area on services provided by the District, and to that end is agreeing to dedicate to the District a legal lot via Metes and Bounds within the Project Area as a fire station site (the "Site") in exchange for developer fee credit to be applied toward the development of the Project Area. (d) As also more fully set forth in the District Agreement, in connection with the dedication of the Site to the District, Pardee is agreeing to perform certain work related to the Site as more particularly described in Section II, paragraph 3 of the District Agreement (the "Site Work"). (e) Pardee desires that the City reimburse Pardee for the cost of the Site Work and the City is willing to agree to such reimbursement on and subject to the terms and conditions set forth in this Agreement. 2. Performance of Site Work. Pardee agrees to perform and complete the Site Work in the manner required by and subject to the terms and provisions of the District Agreement, including, without limitation, in compliance with all applicable legal requirements of the City (collectively, the "Requirements"). Except for reimbursement by the City as provided in this Agreement, Pardee acknowledges and agrees that the performance of the Site Work shall be at Pardee's sole cost and expense and the City shall have no liability or obligation with respect thereto. 3. Prevailing Wages. Pardee, for itself and its contractors, hereby expressly agrees that the Site Work is subject to the California Prevailing Wage Law (Labor Code Sections 1720 et seq.). Pardee, for itself and its contractors, further expressly agrees that the City has satisfied its Reimbursement Agreement 3 obligations under the Prevailing Wage Law to identify the Site Work as being subject generally to the Prevailing Wage Law and specifically to any obligations imposed upon the City under Labor Code Sections 1726 and/or 1781 that are owed to or may be actionable by Pardee and its contractors. Pardee, for itself and its contractors hereby expressly waives any right of action against the City created under Labor Code Sections 1726 and/or 1781, whether known, or unknown, foreseen or unforeseen relating to the Site Work. Pardee further agrees and covenants to require this express waiver in all construction contracts undertaken for the performance of the Site Work and hereby agrees and covenants to defend, indemnify, and hold harmless the City against any claims by any parties arising under Labor Code Sections 1726 and/or 1781 and relating to the Site Work. 4. City Reimbursement. The City and Pardee have jointly reviewed the costs and expenses of the Site Work as based upon contractor bids received by Pardee. The City and Pardee agree that the total costs and expenses of the Site Work is $313,677.00 (the "Reimbursement Amount'). Upon completion of the Site Work in accordance with the Requirements, and provided that the District has accepted the dedication of the Site subject to the terms and provisions of the District Agreement, the City will pay to Pardee the costs and expenses incurred by Pardee in performing and completing the Site Work, but not to exceed the Reimbursement Amount plus 10 percent contingency of $31,368.00 for unanticipated/unforeseen work. Any unanticipated/unforeseen work above the Reimbursement Amount must be approved by the City prior to Pardee starting the work, such approval not to be unreasonably withheld. In this regard, Pardee shall provide the City with an accounting of the actual costs and expenses incurred by Pardee in performing and completing the unanticipated/unforeseen work, together with supporting bills, invoices and other reasonable documentation substantiating such costs and expenses. Notwithstanding the foregoing or anything else in this Agreement to the contrary, Pardee acknowledges and agrees that if, for any reason, the District fails or refuses to accept the dedication of the Site subject to the terms and provisions of the District Agreement, then the City shall be fully released and discharged from its obligation to pay all or any part of the Reimbursement Amount to Pardee and this Agreement shall be of no further force or effect. 5. Miscellaneous. (a) This Agreement contains the entire agreement and understanding of the Parties with respect to its subject matter, and it supersedes all prior or contemporaneous agreements with respect to that subject matter. (b) No part of this Agreement may be amended or waived orally or by a course of conduct, but only by an instrument in writing signed by the duly authorized representatives of the Parties. (c) This Agreement has been freely negotiated and entered into by the Parties, each of which has been represented by legal counsel of its choosing. Accordingly, no part of this Agreement is to be construed against a Party by virtue of its having drafted the same. (d) This Agreement is to be interpreted and enforced in accordance with the internal laws of the State of California, exclusive of the choice of laws provisions thereof. Reimbursement Agreement 2 Ll (e) If litigation is commenced between the Parties for the purpose of interpreting or enforcing this Agreement, the prevailing party in such litigation, as determined by the court, shall be entitled to recover its reasonable attorneys' fees and litigation costs incurred therein. The Parties have caused this Agreement to be duly executed by their respective duly authorized officers or agents as of the date first set forth above. CITY OF SANTA CLARITA PARDEE HOMES Attest: Kenneth Pulskamp City Manager City Clerk Approved as to Form: City Attorney Reimbursement Agreement .31 In Print Name & Tile Print Name & Title 5