HomeMy WebLinkAboutStaff Report 5.B 2/24/2014 A gentacv Itenw#5 .3
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DATE: February 24, 2014
TO: Honorable Mayor and Members of the City Council through City Manager
' FROM: Dan St J —E; ,, to or; Public Works and Utilities
' Larry Zimme , P: . Capital Projects Manager
SUBJECT: Resolution Authorizing;the City Manager to Execute an Agreement for Partial
Funding of the.Denman Reach Phase 3 Project with the Sonoma County Water
Agency
RECOMMENDATION • '
Itis recommended that the City Council adopt the attached Resolution Authorizing the City
Manager to Execute an Agreement for Partial Funding of the Denman Reach Phase 3 Project
with the Sonoma County Water Agency.
BACKGROUND
There are five properties affected:by the construction of Denman Reach.Phase 3, three of which
are the vacant parcels located'on the west side of Industrial Avenue directly across from the
intersection of Benson Way and Industrial Avenue. Through acquisition of two of the parcels
and,the granting,of temporary`construction and permanent trail easements of the other three
parcels, the project has the potential to complete the terracing.and trail between Corona Road and
the intersection of Industrial Avenue and Petaluma Boulevard'North.
Placing flood terracing within the Petaluma Watershed in concert with the development of a river
and creek front trail system was envisioned in the 1996`River Access,and Enhancement Plan and
was adopted as a policy in the General Plan 2025 in 2008:.Once completed, the three phases
Denman Reach will meet this policy and provide an opportunity to develop a stewardship
program with area businesses,and:residents. Phases 1 and 2 were completed in2005•and are not
discussed:further'within;this,report.
In the fall of 2008,the City submitted a two-part,grant application to the State of California for
land acquisition and continuation of the flood terrace, riparian habitat enhancement and trail
improvements within the Denman Reach: The first grant application was to the California
• Natural Resources Agency's (NRA) River Parkways,Program for land acquisition for up to three
parcels inthesantount of.$1,150;000,which'was partially funded at $850,000. The second
application was to the Department of Water Resources' (DWR) Urban Streams Restoration
Agenda Reviesy
City Attorniy,/'^-" Finance Director City Manage��--\
Program for $993,375, which was fully funded for design and construction. One oldie three
vacant parcels, the 5.84 acre (1375 Industrial Avenue, Richards/Gilson)'parcel was acquired in
September 2013.,Following Council direction to pursue land;acquisition,grants, requests for
additional,funding'resulted in the NRA grant being augmented with an additional$165,262.
bringing the landhacquisition grant'to $1,015,262. Negotiations continue toward the purchase of
the second 2 acre parcel (1335 Industrial Avenue, Gateway Financial/Coyne). A temporary
construction'easement is being=executed for the third vacant parcel. Of the three remaining
parcels, which will not be acquired, one has signed the necessary property rights agreements, and
the other two are in verbal agreement:
The Sonoma County Water Agency (SCWA) Zone 2A committed matching funds of
approximately $362,500 as authorized by Resolution No 2008-199. At its November meeting,
the Zone 2A committee recommended reallocating an additional $150,000 from a smaller project
in the SCWA's FY 14-15 recommended budget to the Denman,project. The proposed action
would approve the funding agreement.with SCWA for the recommended budget of
approximately $512,500. SCWA staff has indicated that the budget augmentation to increase the
funding by $150,000 to $5i2;500'will occur at the same SCWA Board action as the approval of
the Funding Agreement.
The,City Council authorized the execution of a Professional Services Agreement with Questa
Engineering Corporation on December 2, 2013. Environmental clearances have been met and
survey work has begun. Outreach to regulatory agencies,neighboring properties, and interested
persons and groups to solicit design input will begin in March 2014.
The proposed action meets,Council Goals and Priorities as follows:
Goal: Maintain,a(safe Petaluma
Priority: CompleteFlood Control Projects—Denman Reach; Phase 3
DISCUSSION
A draft,,,template funding agreement-with SCWA (Attachment 2) is attached. The final
agreement will be substantially based,on the template draft and will reflect the final approved
funding level, which is anticipatedato.be $512,500. Public Works and Utilities Department staff
are working with the City Attorney tosadapt the template draft tot he of the Phase 3
Project,to address iissues related to the nature of the real property interests being acquired, and
the-respective`rights and obligations of SCWA and the City concerning construction and.
maintenance of the project Authorization is sought from the Council to execute an agreement
with SCWA for the Phase 3 project based on the template draft for the final amount approved'.by
SCWA (uptoi$512,500); subject to approval by the City Manager of the final agreement terms
and confirmation by the:City Attorney that the agreement terms appropriately address the needs
of the project and the City's interests. This delegation of authority to the City Manager will help
advance the project within°deadlines that apply to use of the project funds:
The project=has been found to be consistent with,CEQA through the adoption of a Mitigated
Negative;Declaration and project approval onSepte"mber 10;.2012 (Resolution No. 2012-138
N.C.S.).
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Staff recommends that the City Council approve the funding agreement draft to secure up to
$512,500 in funding from SCWA through Zone 2A, subject to the°SCWA,Board's final action
relative to the additional $150,000 recommended for inclusion by the Zone2A Advisory
Committee.
FINANCIAL IMPACTS
The project is primarily funded by the State Natural Resources Agency, State Department of
Water Resources and SCWA:through.Zone 2A. No General Fund dollars are being used for this
project. City staff will provide management and construction oversight services to complete the
project. The cost allocationspreadgheet within the adopted FY 1`3-14 CIP budget will be
amended to reflect changes with the State Department of Water Resources grant agreement and
the amount final funded through SCWA. The amended CIP will reflect the following budget, and
will be included among the mid-year budget adjustments:
Project Number: C00500208
Existing CIP Budget: $2,213,000
Proposed CIP Budget: $2,521,137
Land Acquisition: $1,015,262
Project Cost(not including land acquisition) $1,505,875
Funding Sources and Status:
State NRA Grant(approved) $ 850,000
State DWR Grant(approved) $ 993,375
SCWA, Zone 2A (approved) $ 362,500
State NRA Grant Amendment (approved) $ 165,262
SCWA, Zone 2A (pending) $ 150,000
Total $2,521,137
ATTACHMENTS
I. Resolution
2. SCWA Draft Funding Agreement
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Attachment I
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RESOLUTION,AUTHORIZING THE CITY;MANAGER
TO EXECUTE AN'A"GREEMENT'FOR PARTIAL FUNDING'OF THE
DEN MAN„REACH.PHASE-3 PROJECT WITH THE
SONOMA COUNTY WATER AGENCY
WHEREAS,'the City of Petaluma has adopted policies calling for the development of
flood terraces and riverfront trail system in the 1996 River Access and Enhancement Plan and
the 2008 General Plan 2025; and
WHEREAS, the. City has approved a capital improvement project in the amount of
$2,213,000 for the implementation of the Denman Reach Phase 3 project; and
WHEREAS, the City of Petaluma has been awarded.an initial grant from the State
Natural Resources Agency in theamount of$850,000 for land acquisition;and,
WHEREAS, the City of Petaluma has been awarded a:grant from the Department of
Water Resources in the amount of'$993,375 for the design and construction of the Denman
Reach Phase 3'project; and,
WHEREAS, the StateiNatural Resources Agency has awarded an additional $165,262
for land acquisition; and,
WHEREAS, the SCWA has:approved $362,500 in'funding for the project; and
WHEREAS, the Zone 2A Committee has recommended to,the SCWA governing board
additional funding:in'the amount,of$150,000 for the implementation of this project,'and
WHEREAS, the project was approved concurrently with the adoption of a Mitigated
Negative Declaration, through Resolution #2012-138 N:C:'S. adopted by the City Council on
September 10, 2012.
NOW, THEREFORE. 'BE 'IT RESOLVED, that the City Council of the City of
Petaluma hereby:
1. Authorizes the City Manager to Execute an.Agreement for Partial Funding of the
Project with'the Sonoma County Water Agency in:an amount Of up to $512,500 based
on the draft included as Attachment 2 to the staff report for this item (which
attachment made apart of thisresolution by reference) subject to approval by the City
Manager of the final agreement terms and confirmation by the City attorney that the
agreement terins, appropriately address the needs of the project and the City's
interests.
The Council approves;,the amendment:to the existing project, Denman_Reach Phase 3
C00500208, to increase the budget from $2,213,000 to $2,521,137 to reflect the
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additional funding that has been committed:to the project since the CIP was approved.
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• Attachment 2 ,
DRAFT
*Agreement for
Funding of Denman Reach Flood Terrace Project Phase,3
This Agreement is between the Sonoma County Water Agency, on behalf of its Zone 2A, a
body corporate and politic of the State of California (hereinafter"Agency"), and City of Petaluma
(hereinafter "City").
RECITALS
A. The Denman Reach Flood Terrace,Project Phase 3 is described in Attachment Aand is hereinafter
referred to as "Project:" Attachment A is an integral part;of this Agreement. Attachment B provides
a location map of parcel owned:by'the Agency within the Project.. Attachment B is an integral part
of this Agreement.
B. City and Agency have evaluated the serious flood and storm damage rwhich occurs to existing
residential and commercial structures within the Project area Agency's,Zone 2A Advisory
Committee recommends that the Project be undertaken and:expedited to help alleviate the potential
damage to existing residential and commercial structures from floodfor storm waters.
C. Funding for,the Project is available from;allocation in the category of"Denman Reach Flood
Terrace, Phase 3,"within Agency's Petaluma Zone 2A fund (Account No 673301-7287) of the
2005/06'budget.
D. Estimated Project costs are shown on Attachment C. Attachment C::is an integral part of this
Agreement: City is requesting;$362,500 from Agency's Zone 2A fund for the design and
construction of the Project during the 2014 construction season.
E.' Agency presently owns certain property on which the Project is'"to be constructed(Agency Property)
and is willing;to•quitclaim the;Agency Property to City upon obtaining;all necessary approvals and
documentation'(including, but not limited to CEQA and General Plan compliance),.and prior to
award of contract; City is willing to accept quitclaim of Agency Property from Agency and will also
acquire, and is willing to retain ownership of, any other property or easements,.wherein said'Project
Will be constructed'andlis willing to`operate;and maintain said,P,roject in perpetuity.,
F. Agency and City do mutually.desire to cooperate in the design, construction and financing=of said
Project.
G. City wishes to expedite desigmand construction of said Project,
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AGREEMENT
City and Agency agree as follows:
1. RECITALS
A. The above recitals are true and correct.
2. COORDINATION
A. City shall coordinateithe:work with Agency's Project Manager. Contact information:
Agency City
Project Manager: Contact: Pamela Tuft
PO Box 11628 202 North McDowell Blvd.
Santa Rosa, CA 95406 Petaluma, CA 94954
Phone: 707=5471.926 Phone: '707-778=44514
Fax: 707-524-3782 Fax: 707-778-4508
Email: @scwa.ca:gov Email: ptiift@ci.petaluma.ca.us
3. CITY'S RESPONSIBILITIES
City shall complete the following'at its cost and expense, except to the extent of Agency funding
provided for in Sections 4`and5 below.
A. General: City-agrees;to perform all work in accordance with the requirements of applicable
federal, state, and local laws.
B. Environmental Documentation: City shall be the Lead Agency for the,Project under the
requirements of the California Environmental Quality Act(CEQA) and has prepared all
appropriate environmental documents. City has provided a copy of the draft
environmental document to Agency during public reviewprocess and a final copy
following the approval of the document and project by the°Petahima City Council.
C. Permits: City shall obtain`any permits that may be,necessary from utilities or regulatory
agencies for construction of the Project:
D. Right-of-Way: Upon obtainingall necessary approvals and documentation (including,but
not limited to CEQA and General Plan compliance) and prior to award of contract;City
shall accept the quitclaim deed for Agency Property.'Example'language is shown in
Attachment E. Attachment E is an integral part of this_Agreement. City shall also acquire
any and all additional land or easements as necessary for the construction of the Project.
E. Desigmand Surveying:City shall design the Project including all design surveying and
construction.staking.
F. DraftPlans'and Specifications: City shall prepare a draft of the Project plans and
specifications and shall submit one set,along with hydrology and:hydraulic calculations, to
Agency for review and comment. The 10-year and 100-year hydraulic grade lines shall be
drawn on the draft Project profile drawing.
G. Final Plans and Specifications: City shall prepare and provide Agency with a final complete
set of all Project construction documents.
H. Insurance and Indemnification: City shall require its contractor to insure and indemnify
Agency and the County of Sonoma using the language identified in Attachment D as the
language for.=insurance and indemnification requirements in the'Bidding Documents and
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shall provide evidence of such,insurance and indemnification to Agency in a form
satisfactory to Agency. Attachment D is an integral parfof'this,Agreement. In addition,
City shall require its consultants, if any, to indemnify, defend and insure Agency and the
County of Sonoma to the same extent City requires its consultants to indemnify, defend, and
insure City.
I. Bidding: City shall let Project to bid.
J. AWard:;Cityshall award construction contract to the lowest responsive and responsible
bidder unless circunistaneesexist that would prevent such award. Such award shall be
made on or before June 30,'2014.
K. Construction: City shall construct.the Project in accordance with the Final Plans and
Specifications,
L. Contract.Administration; City shall administer the contract for construction of the Project.
M. Inspection: City shall inspect the Project.
N. Notice of Completion and'Record Drawings: City shall file;the.Notice of Completion for
• construction and provide a copy to Agency within30;calendar days of its filing. City shall
prepare record drawings showing any changes, deletions; or additions to the Project and
provide a reproducible set to Agency within 45 calendar days of filing the Notice of
Completion.
0. Title: All title to all.Project facilities constructed pursuant to this Agreement shall vest with
City.
P. Operation and Maintenance: City shall operate and maintain Project in perpetuity unless
otherwise agreed and addressed by separate document.
Q. Records: City shall maintain complete and accurate records of all transactions in compliance
with generally accepted'accounting principles for enterprise accounting as promulgated by
the American Institnte.ofCertified Public Accountants aiid the Governmental Accounting
Standards Board. Such records shall be available to Agency at all reasonable times for
inspection and analysis.
R. Statement of Costs:Within 60 days of filing Notice.of.Completion, or within 60 days of
decision to,not award the contract,City shall submit to.Agency a statement of complete
accounting of City's Project costs for the following categories:
1) Design and,othet.pre-construction costs
2) Inspection.and contract administration
3) Construction:costs
4) Change orders
S. Indemnification: City agrees to accept all responsibility for loss or damage'to any person or
entity, including but not,limited to Agency,and to defend, indemnify,hold harmless,
reimburse:and release Agency,its officers, agents,and employees,from and against:any and
all actions,claims,.dainages, disabilities, liabilities and expense, including but not limited to
attorneys' fees•and the cost of litigation incurred in the defense of claims as to which this
• indemnity°applies,or incurred in an action by Agency to enforce the'indemnity provisions
herein,Whether arising from personal injury, property damage or economic loss of any type,
that maybe asserted by,any person or entity, including City,arising out of or in connection
with the performance of City hereunder,!whether or not there is concurrent negligence on
the part of Agency,but, to the extent as may be required bylaw„excluding liability due to
the sole'negligence, active negligence or willful misconduct of Agency. If there is a possible
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obligation to indemnify,City's duty to defend exists;regardless'of whether it is ultimately
determined,that there.is not a duty to indemnify. Agency shall-have the right to select its
own legal counsel at the-expense of-City, subject to City's approval, which approval shall
notbe:unreasonably withheld. This indemnification obligationtiis,not limited in any way by
any.limitatiohon the.amount or type of damages or Compensation payable to or for City or
its:agents'under workers' compensation acts, disability benefit acts, or other employee
benefit acts:
T. Invoices: City shall ihvoiceAgencyfor costs authorized under this Agreement. All invoices
submitted to Agency by City shall be clearly marked with"City-of Petaluma, Funding of
Denrnan-Reach Flood'Terrae Project Phase 3,Project/TaskNo. 7032-2 and Account No.
673301-7287."
4. AGENCY'S'RESPONSIBILTTIES
A. Quitclaim of Property:,Upon obtaining all necessary approvals and documentation
(including, but not-limited to CEQA and General Plan compliance) and prior to award of
contract; Agency shall execute the quitclaim deed for.:Agency Property. Example language is
shown in Attachment E.
B. Initial'Payment: Upon:execution of this Agreement and,receipt of an invoice thereof,
Agency will also deposit with City $72,500,which is to finance 20 percent of Agency's share
of Project's costs.
C. Review of Plans and;Specificatiions: Agency will review and comment on draft Project Plans
and Specifications.
D. Subsequent Payment: Upon award of the constrUctioh.contract,receipt of'ain invoice
thereof, andreceipt of evidence of insurance and`indemnification required in paragraph
3.H, Agency will/deposit with City$290,000, which is'to finance the remaining 80 percent of
Agency's share ofProject's costs.
5. ADDITIONAL REQUIREMENTS
A. Excess Costs: If the,Projectcosts exceed thetotal amount-authorized under this Agreement,
City shall:
1) not award the Project; or
2) fund Project costs in excess of the authorized amounts without additional contribution
from Agency;or
3) request additional funding from Agency. In such event, City shall submit a revised
Project cost;estimate'to Agency's General Manager/Chief Engineer with a written
request,including reasons for cost overruns:
4) Agency is under no obligation to approve such requests. If Agency's General
Manager/Chief'Engineer determines that the revised costs are reasonable and that
additional funds are available in Agency's Zone 2A accounts, Agency may, in its
discretion, amend this Agreement to increase Agency's contribution to Project pursuant
to paragraph 5.B below. If Agency's General Manager/Chief-Engineer does not so
determine, Cityshall proceed pursuant to paragraph 1)5.A.1) or 5.A.2) above.
B. Authority to Amend Agreement:' Changes tolhe Agreement may be authorized only by
written amendment to this Agreement, signed by both parties. Agency's General
Manager/Chief Engineer,and City's Water Resources and Conservation Department
Director are authorized to amend the Agreement provided amendments do not
cumulatively increase the total cost to the Agency by more than$25,000 and do not
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substantially change the,scope:of-work. Agency's Board of Directors must authorize any
amendments or series of amendments that exceed this authority.
C. Contract not Awarded: If contract is not awarded, paragraphs 3.J through 3.P shall not
apply.
D. Refund of Remaining Funds: If the Project cost accounting statement submitted under
paragraph 3.R of this Agreement demonstrates that Project costs are less than the amounts
paid to City,City shall refund difference to Agency within 30 calendar days of submitting
said statement to Agency.
E. No Waiver of Breach: The waiver by Agency of any breath of any term or promise
contained in this Agreement shall not be deemed to be a-waiver of such term or promise or
any subsequent breach of the same or any other term or promise contained in this
Agreement.
F. Construction: To the fullest extent allowed by law,the provisions of this Agreement shall
be construed and given effect in a manner that avoids any violation of statute, ordinance,
regulation, or.law. The parties covenant and-agree:that in the event that any provision of
this Agreement is held by a court of competent jurisdiction to be invalid,void,or
unenforceable, the remainder of the provisions hereof.shall remain in full force and effect
and shall in no way be affected,impaired, or invalidated thereby.
City and Agency-acknowledge that they have each contributed to the making of this
Agreement and that, in the event of a dispute over the.interpretation of this Agreement, the
language of the Agreement will not be construed against one party in favor of the other. City
and Agency acknowledge that they have each had an adequate opportunity to consult with
counsel in the negotiation and preparation of this Agreement.
G. No Third-Party Beneficiaries: Nothing contained-in this Agreement shall be construed to
create and the parties do not intend to create any rights in third.parties.
H. Applicable Law and Forum: This Agreement shall be construed and interpreted according
to the substantive law of California excluding the law of conflicts. Any action to enforce the
terms of this Agreement or for the breach thereof shall be brought and tried in the County of
Sonoma. .
I. Captions: The captions in this Agreement are solely for convenience of reference. They are
not part of this Agreement and shall have no effect on its construction or interpretation.
J. Merger: This writing:is.intended both as the final expression of the Agreement between the
parties hereto with respect to theincluded terms and as a complete and exclusive statement
of.the terms oftthe Agreement, pursuant to Code of Civil Procedure Section 1856. No
modification of this Agreement shall be effective unless and until such modification is
evidenced by a-writing signed by both parties.
K. Time of Essence: Time is and shall be of the essence of this Agreement and every provision
hereof.
L. 'Zone Liability: Work under this Agreement is being performed on behalf of;the residents of
Sonoma County Water Agency's Petaluma Zone 2A ("Zone"). City shall be paid exclusively
from Zone funds. City agrees that City shall make no claim for compensation for City's
services against other funds available to Agency and City expressly waives any right to be
compensated from other funds available to Agency. In addition,City acknowledges that
West's Annotated°California Codes Water Code Appendix Chapter 53-8 provides that
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certain judgments,or claimsaagainst Agency based on c_auses o faction arising from Zone
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activities may be made only from funds of that Zone.
/IN WITNESS:WHEREOF, the parties hereto have executed this Agreement as set,forth,below.
Reviewed as to substance: Reviewed as to substance:
Dan St. John, Department Head Agency's Department Head
Reviewed as to funds: Reviewed as to funds:
William Mushallo, City's Finance Director Agency's • Division Manager
Administrative.Services
Reviewed as to form: Reviewed as to form:,
Eric Danly, City Attorney County'Counsel:
Approved as to form:
Ron Blanquie, City's Risk Manager
City of Petaluma Sonoma-County Water Agency
By: By:
John C. Brown, City Manager Chair, Board of Directors
Attests Attest:
Claire Cooper, City Clerk County Clerk and ex-officio Clerk of the
Board of Directors
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ATTACHMENT A
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Project Description
The Project is located along the Petaluma River, upstream of Corona Road within the Denman Reach,
within the city limits of Petaluma. The Agency owns a parcel mid-stream of the Petaluma River, APN
007-412-026, and is willing to quitclaim the parcel to City for the Project,retaining a permissive
clearing easement as shown in Attachment;E. Three adjacent property owners have indicated an interest
and willingness to participate:in the creation of a flood terrace along the stream edge and the City will
acquire property rights on theirproperty•as necessary to complete the Project.
The Project consists of creating flood terracing adjacent to the Petaluma River to soften and stabilize the
existing incised, steep, and eroding banks; providing improved storm water flow and storage; and
reducing localized flooding, including flooding of inhabited structures along Petaluma Blvd. North
within the unincorporated area of Sonoma County.
The Project will help to alleviate flooding in the industrial and residential:areas surrounding the Project
site The industrial uses are within the city limits of Petaluma along Industrial Avenue. The residential
and commercial uses are withinthe unincorporated area of Sonoma County along.Petaluma Blvd. North.
The Project will be designed to carry the,8,000-cubic-foot-per-second:flow anticipated from a 100-year
frequency storm within the Petaluma watershed, to the extent possible by design, developed to General
Plan densities.
The Project will extend the existing improvements undertaken by'City on four parcels acquired to create
the flood terrace and reduce localized flooding downstream of the Project site and will work in concert
with the City's terracing projectcompleted downstream.
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ATTACHMENT'B.
Location Map
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FOC,O4usr A LOCATION MAP
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ATTACHMENT`C
Summary of Estimated Costs
Item Cost DWR Grant Total
Estimated.Environmental':Costs $15,000 $50,000 $65,000
Estimated Design and Other
Preconstruction Costs
• Right-of-Way $15,000 $15,000
• Design, Permits, Award $45,000 $120,000 $165,000
Subtotal: Estimated Design and Other $75,000 $1.70,000 $245,000
Preconstruction Costs
Estimated Construction.Costs _
• estimated bid amount, contingencies, $225,000 $743,375 $968,375
change orders
• inspection & contract administration $22,500 $80,000 $102,500
• revegetation $40,000 part of const. $40,000
Subtotal: Estimated Construction, Change
Orders,Inspection,;and Contract $287,500 $823,375 $1,110,875
Administration Costs• _ -
Total Amount to be.Funded I $362;500 $993,375 $1,355,875
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ATTACHMENT'D
Wordingifor Construction Contract
Indemnification
Contractor agrees to accept all responsibility for.loss or damage to any person or entity,
and to defend, indemnify; hold harmless and release Sonoma County Water Agency and
the County of Sonoma, their officers;agents, and employees, from-and against any and
all actions, claims, damages, liabilities, or expenses that may be asserted by any person or
entity, including Contractor, arising out of or in connection with the performance of
Contractor hereunder, whether or not there is concurrent negligence on the part of
Sonoma County Water,.Agency or County of Sonoma,but to the"extent as may be
required by law, excluding liability due to the sole negligence; active negligence or
willful misconduct of.Sonoma County Water Agency or County of Sonoma. This
indemnification obligation is,not limited in any way by any limitation on the amount or
type of damages or compensation payable to or for Contractor or its agents under
Workers' Compensation"acts, disability benefit acts, or other employee benefit acts.
Insurance
Contractor shall obtaiitinsurance,acceptable to City of Petaluma from a company or
companies acceptable to City. The required documentation of such insurance shall be
furnished to,Cityat the time Contractor returns the executed,contract. The proper
insurance shall be provided within ten(10) calendar days after the bidder has received the
notice that the contract has been awarded and prior to Cityexecuting the contract and
issuing a notice to proceed. The Contractor shall not commence work nor shall he allow
his employees or subcontractors or anyone to commence work;until all insurance required
hereunder has been submitted and approved and:a notice to proceed has been issued.
Contractor shall maintain and shall require all of its subcontractors to maintain insurance
as desc"ribed below:
A. Workers:Cornpensation-Insurance with statutory limits as required by the
Labor Code;of the State of California. Said policy shall be endorsed with the
following specific language:
This policy shall not be canceled or materially changed without first
giving-thirty (30) days prior written notice to the Sonoma County Water
Agency.
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