Res 2024-113 approving a developer participation agreement with Palace Way Partners, LLC, providing for the city to participate in the cost of extending wastewater infrastructure to provide additional capacity to the airport and fire training facility

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concerning workers compensation and construction retainage. The parties agree and understand that all contractors, employees, volunteers and personnel furnished or used by the Developer in the installation of the Improvements shall be the responsibility of the Developer and shall not be deemed employees or agents of City for any purpose. 2.1.4 Performance Bond. Developer will execute a performance bond to ensure completion of the Improvements. The bond must be executed by a corporate surety in accordance with the Chapter 2253 of the Texas Government Code. 2.1.5 Warranty. The contract with the contractor will provide for at least a one- year warranty against defects in materials and workmanship. This warranty obligation shall be covered by any performance or payment bonds required of the contractor under the terms of the construction contract and this Agreement. 2.1.6 Completion and Acceptance. The date of completion shall be the date on which the City accepts the Improvements in accordance with the City's applicable ordinances, standards and processes and provides notice of such acceptance in writing to the Developer.Prior to the City's acceptance of the Improvements,Developer shall,among other applicable requirements,provide to the City a one-year warranty from the contractor against defects in materials and workmanship in the Improvements and a notarized affidavit stating that all bills for labor, materials, and incidentals incurred have been paid in full, that any claims from manufacturers, materialmen and subcontractors have been released, and that there are no claims pending of which Developer has been notified. 2.2 Cost Participation 2.2.1 Cost Participation Amount. The City is cost participating in the Improvements in an amount not to exceed $450,000 for 50% of the project costs as itemized in Exhibit "A." The Developer will be responsible for paying the remainder of the costs for the Improvements. 2.2.2 Limits of Participation. Except as to the costs attributable to the oversizing of the Improvements requested by the City, the City's cost participation shall not exceed 30 percent of the Developer's total contract price for the Improvements. 2.2.3 Application for Payment. The Developer shall submit a written application for City participation payment after the City's acceptance of the Improvements. The application for payment to the City shall be for the lesser of the amount of the actual costs associated with the City's portion of the Improvements or the City's participation amount as stated in paragraph 2.2.1. The application for payment shall be in a form acceptable to City and must include a breakdown of actual costs of the Improvements with supporting documentation, including all payment receipts and any other documentation reasonably requested by the City to support the City's expenditure of public funds. 2.2.4 City Payment. Subject to all applicable ordinances, standards and processes, the City will pay its participation funds in one payment within 30 days after receipt of a complete (as determined by the City) written application for participation payment from Developer.