Res 2006-045 - Laserfiche WebLink

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C. Construction. The "Construction Costs" for the Delivery Facilities will consist of 1) I construction costs payable to the construction contractor, 2) the costs for inspection services during construction, 3) the costs for right-of-way agent services to coordinate construction activities with landowners, and 4) the cost of professional testing services related to the construction. The City will secure bids for construction ofthe Delivery Facilities using a sealed bid process. The City will notify TXI ofthe contractor to which the City intends to award the construction contract, the amount ofthe proposed bid award, and whether the bid award will include oversizing as described in Section 2.02 above. The notice will include a copy of the tabulation of bids (including alternate bids), and an estimate ofthe cost of inspection, landowner coordination and testing services. TXI agrees to pay to the City, within 30 days of the date of this notice, the amount of the proposed bid award (less any amount for oversizing for which the City is responsible under Section 2.02 above) and the estimated cost of inspection, landowner coordination and testing services. The City agrees to use the funds provided by TXI under this paragraph only for the construction, inspection, landowner coordination, and testing services costs. The City will provide a monthly report to TXI of funds expended by the City for Construction Costs. The City will notify TXI of any change orders that result in a change in the Construction Costs, and will provide TXI with an opportunity to review and provide comment regarding such change orders before approval by the City, If TXI requests a change order that increases the Construction Costs, TXI will pay the amount of the increase to the City in a timely manner before the City executes the change order. Upon completion of the Delivery Facilities and final payments by the City, the City will provide a summary ofthe Construction Costs to TXL The summary will be accompanied by a refund if the final amount of costs for which TXI is responsible I is less than the sum of amounts previously paid by TXI to the City, or by an itemized invoice if the final amount of costs for which TXI is responsible is more than the sum of amounts previously paid by TXI to the City. TXI will pay to the City the amount of any such invoice within 30 days of the invoice date. D. Estimate of Engineering, Easement, and Construction Costs; Failure to Complete Delivery Facilities. Prior to receiving any funds from TXI, the City shall provide TXI an estimate in writing of the total Engineering Fees, Easement Costs and Construction Costs (the "Total Cost Estimate"). TXI shall be permitted, in its sole and exclusive discretion to terminate this Contract without liability if it does not approve of the Total Cost Estimate, before giving the City written authorization to proceed. After such written authorization by TXI, the City shall use its best efforts to keep the total amount of such expenses equal to or less than the Total Cost Estimate. In the event that actual total amount of such expenses is more than 50% greater than the Total Cost Estimate, such amount exceeding 50% over the Total Cost Estimate shall be paid by the City and shall not be reimbursed by TXI. In the event the City does not have the ability to fund such excess, TXI may at its option pay such excess and offset it against amounts otherwise due to the City under this Contract until the excess has been offset in its entirety. In the event the City fails to complete the Delivery Facilities to the extent required to deliver Reclaimed Water to TXI at the TXI facility, or the City otherwise does not deliver Reclaimed Water to TXI in breach of this Contract, the City will refund to TXI all of the Engineering Fees, the Easement Costs, and the Construction Costs previously paid by TXI. In the event the City delivers a portion of Reclaimed Water required under this Contract but I ceases to deliver water in breach of this Contract, the City will refund a pro-rated amount of the Engineering Fees, Easement Costs, and Construction Costs, based on the amount of water delivered to the total obligation of water delivery under this Contract. 4 !PJ3PI/O?