HomeMy WebLinkAboutRES 09-321 RESOLUTION NO. 09-321
BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF BEAUMONT:
THAT the City Manager be and he is hereby authorized to execute a Reimbursement
Agreement with Entergy Texas, Inc.,for the relocation/removal of overhead electrical lines
within the limits of the Calder Street Project.
PASSED BY THE CITY COUNCIL of the City of Beaumont this the 13th day of
October, 2009.
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Mayor Becky Ames -
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REIMBURSEMENT AGREEMENT BY AND BETWEEN
ENTERGY TEXAS, INC. AND THE CITY OF BEAUMONT
ENTERED THIS& DAY OF /11g1/&-1,P)/�� , 20
This Reimbursement Agreement by and between Entergy Texas, Inc. ("ETI") and the
City of Beaumont ("City") is entered this 112 day of�l t>e�,��r , 20 o c .
WHEREAS, ETI is an electric utility providing transmission and distribution service in
Southeast Texas;
WHEREAS, City is a municipality engaged in drainage improvements along Calder
Avenue and has requested ETI relocate its electric facilities in order to accommodate Phase II of
the City's project ("Calder Project");
WHEREAS, ETI has agreed to relocate its electric facilities, subject to City's agreement
to make payment for such work as evidenced by the terms and conditions of this Reimbursement
Agreement ("Agreement");
NOW, THEREFORE, for and in consideration of the mutual covenants set forth herein,
ETI and City hereby agree as follows:
1. ETI agrees that it shall conduct the engineering work, design work, procurement
of materials, construction and relocation of certain electrical facilities ("ETI Project") to
accommodate the Phase II of the Calder Project as more fully described in the attached Exhibit
"A", Project Executive Summary.
2. City shall reimburse ETI for all costs, including but not limited to, materials costs,
labor costs, labor costs adders, costs associated with third party vendors and consultants, costs
associated with the procurement of real property rights, costs associated with securing all
necessary approvals, taxes, capital suspense charges, and overheads (said costs hereinafter
"Reimbursable Costs"). As of the date of this Agreement, the Reimbursable Costs (hereinafter
"Project Estimate") are estimated to be TWO MILLION FIVE HUNDRED SIXTEEN
THOUSAND AND NO/100s DOLLARS ($2,516,000.00 DOLLARS). It is understood that
many variables, known and unknown, may impact this Project Estimate significantly. However,
irrespective of a change in the Project Estimate, City agrees that all costs actually expended by
ETI associated with the Project shall be considered Reimbursable Costs. It is expressly
understood that ETI may, from time to time, modify its Project Estimate, based upon its most
current information regarding the Project. ETI shall notify City of the modified Project Estimate.
3. City shall be invoiced at the completion of each of the Jobs of Phase II of the
Project, with each .lob being described in Exhibit "A". For invoicing and payment purposes, City
and Company expressly acknowledge that each individual Job as described in Exhibit "A" shall
be considered a separate and independent service pursuant to Section 2251.021 of the Texas
Government Code. It is expressly understood and agreed by the parties that the various Jobs to
be conducted under Phase 2 may be redesignated to fall within other Job numbers or may be
subdivided further. Redesignation of the portions of the work in a specific Job number shall
occur without the necessity of an amendment to this Agreement. Payments shall continue to be
paid by City until such time as ETI is reimbursed in full for all Reimbursable Costs. The City
shall have the right, at all reasonable times for up to two (2) years after completion of the Project,
and upon prior reasonable notice to ETI, to audit Reimbursable Costs it has paid. Any audit shall
be permitted to occur at the offices at which the records are maintained. The City shall be
allowed to review ETI's internal costs, subject to certain restrictions as outlined below, and
invoices received by ETI from third party vendors/providers ("Backup Information"). Any audit
requested by City shall be limited to confirming the amounts billed by vendors/providers to ETI
and expenses incurred by ETI related to Reimbursable Costs. City acknowledges that ETI may
be bound by contractual terms of confidentiality which may require ETI to obtain express
consent by the vendor/provider prior to releasing pricing information contained within the
contracts. ETI will request the vendor's/provider's consent, but cannot guarantee the consent or
conditions under which review may be granted. City understands and acknowledges that it may
be required to execute a confidentiality agreement in a form acceptable to ETI and/or the vendor
from whom additional information shall be sought. City understands and acknowledges that it
will be responsible for all costs associated with the audit.
4. City shall remit payment via check to ETI to the following account:
Entergy Texas, Inc.
Post Office Box 8107
Baton Rouge, LA 70891-8107
Time for payment shall be governed by Section 2251.021 of the Texas Government Code. If
City fails to make payments in accordance with the terms set forth herein, ETI, in its sole
discretion, may immediately cease all activity on the Project. ETI shall resume activity on the
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Project within 30 days of the date that full payment of all outstanding invoices is received,
subject to the availability of ETI crews and equipment.
5. It is expressly understood that City shall be responsible for making timely
payments of invoices irrespective of the completion of the Project or the Calder Project.
6. ETI reserves the right to terminate this Agreement for any of the following
reasons: (1) the Public Utility Commission of Texas or any other administrative agency or
judicial body takes any action that, in the opinion of ETI, modifies, alters or amends any of the
terms and conditions of this Agreement or affects the intent of this Agreement that ETI fully
recover the Reimbursable Costs, or results in an adverse affect to ETI, (2) there is an occurrence
that adversely affects City's financing of the Calder Project, or (3) City fails to comply with any
material terms of this Agreement. Termination of this Agreement shall be effective upon receipt
by City of twenty-four (24) hours' advance written notification from ETI of ETI's desire to
terminate the Agreement. In the event of termination, City shall remain responsible for all
Reimbursable Costs incurred by ETI through the effective date of termination. In addition, City
shall be responsible for any additional charges, including but not limited to, cancellation charges,
demobilization charges, charges associated with the ordering and purchasing of materials
incurred by ETI, irrespective of termination. To the fullest extent allowed by law, City
releases ETI for any and all damages, losses, claims and causes of action, including but not
limited to any City damages, including special, consequential and indirect damages,
resulting from ETI's termination of this Agreement.
7. City shall have the right to cancel the Project at any time. Cancellation shall be
effective upon receipt by ETI of twenty-four (24) hours' advance written notification from City
of City's desire to cancel the Project. In the event of cancellation, City shall remain responsible
for all Reimbursable Costs incurred by ETI through the effective date of cancellation. In
addition, City shall be responsible for any additional charges incurred following the effective
date of cancellation, including but not limited to, cancellation charges, demobilization charges,
charges associated with the ordering and purchasing of materials incurred by ETI, irrespective of
cancellation.
8. It is expressly understood that this Agreement confers no ownership rights or
interest to City in the facilities to be constructed by ETI pursuant to this Agreement.
9. All notices, requests, consents and other communications hereunder shall be in
writing and shall be dispatched by nationwide overnight courier service, such as (without
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limitation) FedEx, or by United States Certified Mail, Return Receipt Requested, postage
prepaid, addressed to the parties as follows:
ETI: ENTERGY TEXAS, INC. CITY: CITY OF BEAUMONT
P.O. Box 2951 (77704) P.O. Box 3827 (77704)
350 Pine Street (77701) 801 Main Street, Suite 300
Beaumont, Texas Beaumont, Texas 77701
Attn: Sam Bethea Attn: Kyle Hayes
Telephone: (409) 981-3824 Telephone: (409) 880-3780
Facsimile: (409) 981-2317 Facsimile: (409) 880-3 1 12
Notices under this Agreement shall be deemed given upon the earlier of the date of delivery or
the date upon which delivery is refused. Any changes in the names or addresses shall be through
notice in conformity with the requirements of this provision.
10. Except as expressly allowed above, no waiver, addition, deletion, or modification
of any provision contained in this Agreement shall be binding unless in writing and signed by
authorized representatives of both parties. Once an Amendment is made, it shall be deemed
incorporated as of its effective date, unless expressly stated to the contrary in the Amendment.
11. The failure of either party to insist upon or enforce, in any instance, strict
performance by the other of any of the terms of this Agreement or to exercise any rights herein
or therein conferred shall not be construed as a waiver or relinquishment to any extent of its
rights to assert or rely upon any such terms or rights on any future occasion.
12. It is agreed that if any clause or provision of this Agreement is by the courts held
to be illegal or void, the validity of the remaining portions and provisions shall not be affected,
and the rights and obligations of the parties shall be enforced as if this Agreement did not contain
such illegal or void clauses or provisions.
13. The provisions of this Agreement that by their nature continue shall survive any
termination or cancellation of this Agreement, including all obligations or rights that exist as a
result of an event or the failure of an event prior to or at the time of expiration or termination of
this Agreement.
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14. By its execution of this Agreement, City represents and warrants that it has
secured all necessary approvals to enter this Agreement.
ENTERED THE DATE FIRST ABOVE WRITTEN. ��
CITY OF BEAUMIONT ENTERGY TEX INC.
By: ` By. `
Printed Name: �Tt L Printed Name: Y, F oyV\-1, ULD
Title: 46 1"4wu / Title: Pr es cke,4, (�— c n
Witness: An" 4 Witness:
Witness: Witness:
Ly
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EXHIBIT "A" —Project Executive Summary
Calder Avenue Drainage Project Line Reconstruction - Phase 2 (MLK to IH-10)
City of Beaumont, Texas
The City of Beaumont has proposed a multi-stage drainage project to run from the Neches River
west on Elizabeth Street to the intersection of Main at Calder, and then west on Calder and old
Calder to the intersection of Phelan Boulevard west of Lucas ("Calder Project"). The Calder
Project includes the installation of two 10 X 14 drainage boxes, side-by-side, the length of the
Calder Project. In order to facilitate the construction, Entergy Texas, Inc. has been asked to
remove all overhead lines during construction and relocate or replace them with underground
lines once the Calder Project construction is completed in each section as defined below.
This series of jobs will cover the second phase of the construction (from the intersection of
Calder and MLK Boulevard to the intersection of Calder and IH-10). The Entergy Texas, Inc.
project ("ET1 Project") will remove all overhead lines along Calder from MLK to IH-10, while
making all reasonable efforts to maintain service to all existing customers. The ETI Project will
also relocate the overhead lines to underground lines after the construction has been completed in
each block. Due to the planned removal of the 4kV trunk feeder along Calder, the feeder will be
relocated to Broadway and converted to 13.2kV.
All conduits necessary to relocate or replace ETI's facilities, including primary and secondary
conducts, shall be furnished and installed by the City of Beaumont at its sole cost and expense
and shall meet all ETI specifications and requirements.
The ETI Project associated with Phase 2 shall be conducted as follows:
Phase 2, Job l —From 15t Street to 3`1 Street
Phase 2, Job 2 —From 4"h Street to 7th Street
Phase 2, Job 3 —From 8th Street to 10th Street
Phase 2, Job 4—From 1Oh Street to the IH-10 eastbound service board
Phase 2, Job 5 — Removal of the fiber optic cable and support from poles from 1st Street west to
10"' Street and south along the west side of 10th Street to the second pole north of Laurel
Phase 2, Job 6 — Several 13kV feeder extension projects on Broadway from the area west of 3""
Street and from 5"' Street to 11"' Street
Phase 2, .lob 7 — Several projects to install primary underground wire in existing contractor-
installed conduits at the Calder Street URD crossings
Phase 2, Job 8 - The 13.2kV feeder trunk along the south side of Calder from just west of 10th
Street to the east side of Interstate 10 will be removed. This will be replaced with a new
13.2kV feeder trunk which will be constructed from 10h Street and Liberty to the new
underground dips on the south side of the intersection of Calder and l I"' Street. The new
feeder trunk will be installed along the north side of Liberty from 14"' Street east to 1 l`h
Street and then to the underground dip poles on the side of Calder.
It is expressly understood and agreed by the parties that the various Jobs to be conducted under
Phase 2 may be redesignated to fall within other Job numbers or may be subdivided further.
Redesignation of the portions of the work in a specific Job number shall occur without the
necessity of an amendment to this Agreement.
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