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HomeMy WebLinkAboutC39920A Reimbrsmnt Ageement with City of Rancho Mirage for Rehabilitation of Monterey AvenueCONTRACT NO. C39920A STAFF REPORT CITY OF PALM DESERT PUBLIC WORKS DEPARTMENT MEETING DATE:March 26, 2020 PREPARED BY: Ryan Gayler, Project Administrator REQUEST: Approve a reimbursement agreement with the City of Rancho Mirage for the rehabilitation of Monterey Avenue from the Whitewater Bridge to Country Club Drive (Contract No. C39920A, Project No. 752-19). Recommendation By Minute Motion: 1. Authorize the Mayor to execute a reimbursement agreement with the City of Rancho Mirage for the rehabilitation of Monterey Avenue (C39920A). Strategic Plan The proposed action, will further the goals of the Strategic Plan by providing a safe, efficient, and reliable transportation system for residents and visitors. Background Analysis Over the last few years,' Monterey Avenue has developed ruts and potholes in the segment between the Whitewater Channel Bridge and Country Club Drive. The City contracted with LaBelle Marvin, a pavement design consultant, to examine and test the road to determine the best method for repairing the street. Due to the condition of the subgrade and base material, it was determined that the street was at the end of its life cycle and a full rehabilitation is necessary. The Monterey Avenue pavement rehabilitation will completely remove the existing street section and replace it with new base and asphalt materials. The City boundary line`that divides the City of Palm Desert from the City of Rancho Mirage runs 'down the middle of Monterey Avenue in the project limits, so approximately half of the project is in Rancho Mirage. Rancho Mirage has expressed an interest in participating in the rehabilitation of the asphalt concrete. This agreement allows the project to be constructed as a joint project. The attached agreement with Rancho Mirage outlines what is expected of each party with regard to the financial responsibility for the construction activity on Monterey Avenue. The agreement names Palm Desert as the lead agency for the construction of the project, and divides 'the cost of the project so each City is responsible for the improvements that are made within the respective City limits. March 26,,2020 Staff Report Approve Reimbursement Agreement with Rancho Mirage for Monterey Rehab Project Page 2 of 2 The project is scheduled to be under construction this summer. The project will be advertised for bid late March and presented to the City Council in April for consideration of award of the contract. Fiscal Analysis The recommended action has no fiscal impact. Construction costs are estimated $3.25 million with the City of Palm Desert's share being $1.69 million, which will be funded by SB1 and Measure A. LEGAL REVIEW A pp roved as to Form DEPT. REVIE FINANCIAL REVIEW ASSISTANT CITY MANAG 4t ie,,2 Robert W. H r9reaves Tom Garcia, P.E.J et M ..Moore Andy Firestin Cit y Attorne y Director of Public Works erector of Finance Assistant Cit M na er City Manager ,Lauri Aylaian: ATTACHMENTS : 1) Reimbursement Agreement CONTRACT NO. C39920A MONTEREY AVENUE PAVEMENT REHABILITATION PROJECT REIMBURSEMENT AGREEMENT BY AND BETWEEN CITY OF PALM DESERT AND CITY OF RANCHO MIRAGE THIS AGREEMENT ("Agreement") is made and entered into this day of 2020, by and between.the City of Palm Desert ("Palm Desert") and the City of Rancho Mirage ("Rancho Mirage") and is made with reference to the following background facts and circumstances: RECITALS WHEREAS , the City of Palm Desert and the City of Rancho Mirage desire to proceed with the "Monterey Avenue Pavement Rehabilitation Project" (the "Protect "). The Project will study the existing street and determine a preferred solution to rehabilitate and reconstruct the street along the segment of Monterey Avenue detailed in Exhibit "1" ("Project Area"), attached hereto and incorporated herein by this reference; and WHEREAS , the parties agree that it would be inefficient for each party to complete the Project separately, and accordingly, the parties have agreed that Palm Desert will act as lead agency for completion of the Project that will provide benefits to the residents of both cities. and the general motoring public, and Rancho Mirage shall reimburse. Palm Desert for a share of the actual costs of the Project. NOW THEREFORE , in consideration of mutual covenants and subject to the conditions contained herein and other consideration, the value and adequacy of which are hereby acknowledged the parties do agree' as follows: AGREEMENT Section 1. Recitals I The foregoing recitals are true and correct and incorporated herein by this reference. Section 2. Term This Agreement shall,be effective as of the date first set forth above, and shall continue in effect until the City Project is complete, as evidenced by Palm Desert recording of a notice of completion for the Project. 1 Section 3 .Project; Compliance with Laws The Project shall consist of the design and pavement rehabilitation on Monterey Avenue from the north side of the Whitewater Channel to the south side of Country Club Drive, within the cities of Palm Desert and Rancho Mirage. Palm Desert shall serve as the lead agency for the completion of the entire Project in a competent, professional and satisfactory manner in accordance with the standards prevalent in the industry for such services. The Project shall be completed in accordance with all applicable laws, including, the California Labor Code provisions regarding prevailing wages. Palm Desert will advertise, award and administer a contract for the Project in accordance with applicable State laws and Palm Desert policies, procedures and applicable laws. The parties agree to mutually cooperate in order to help ensure that the Project is successfully completed with minimum impact to both parties and the public. Section 4. Reimbursement a. The estimated cost of the Project is $3,250,000. Project costs are to be broken out as follows: ' i. Work items related to the design and reconstruction of the street section, and overhead items such as mobilization and traffic control shall be shared based upon the percentage of asphalt in each jurisdiction (the "Project Costs"). Rancho Mirage's portion of the Project encompasses approximately forty-eight percent (48%) of the asphalt pavement area . Therefore, Rancho Mirage will reimburse Palm Desert for 48% of the Project Costs. ii. The cost for other items of work such as curb ramps or curb and gutter repairs will be the responsibility of the municipality where those improvements take place (the "City Specific Costs"). These certain items will be reimbursed by Rancho Mirage based on the bid item prices provided by the selected contractor. b. Upon completion of the Project, Palm Desert shall certify and provide a final accounting.of the Project Costs and City Specific Costs, including copies of invoices, evidence of payment, and such other information and records necessary to verify the costs of the Project Costs and City Specific Costs. c. Along with the final accounting of the Project Costs and City Specific Costs, Palm Desert shall determine Rancho Mirage's share of the Project Costs and City Specific Costs based upon the methods outlined in Section 4 (a) and present to Rancho Mirage. an invoice for Rancho Mirage's share of the Project Costs and City Specific Costs ("Statement of Rancho Mirage's Costs"). d. Within thirty.(30) days of the receipt of the Statement of Rancho Mirage's Costs ,Rancho Mirage shall pay to Palm Desert the Statement of Rancho Mirage's 2 Costs ,to the extent such costs are undisputed. Rancho Mirage shall submit in writing to Palm Desert any disputes to the Statement of Rancho Mirage 's Costs .As soon as practicable thereafter ,the parties shall endeavor in good faith to resolve any such dispute. Section 5 .Indemnity Palm Desert and Rancho Mirage do hereby mutually agree to indemnify, defend ,save ,and hold harmless the other and their respective officers, agents, servants ,and employees ,of and from any and all liabilities ,claims ,demands ,debts, damages ,suits ,actions ;and causes of action of whatsoever kind, nature, or sort, including ,but not by way of limitation ,for wrongful death, and for the expenses of the defense of said parties, and each of them, and the payment of attorneys' fees in any such action, arising out of, or in any manner connected with any negligent acts, willful misconduct ,or errors or omission of such indemnifying party ,done or performed in connection with such parties' duties and obligations hereunder. Palm Desert shall require contractors performing work for the Project to indemnify ,defend ,and hold harmless ,to the maximum extent allowable by law, Rancho Mirage for that work performed on the Project by contractors. -Section 6. Insurance Palm Desert shall also cause Palm Desert 's contractor (s) to maintain in force, a policy of commercial general liability insurance ,including coverage of bodily injury, death and property damage ,in the amount of at least $1,000,000 single limit per occurrence ,and at least $2,000,000 in the aggregate, and a policy of commercial automobile liability insurance in the amount of at least $1 ,000,000 per occurrence and $2,000 ,000 in the aggregate. Palm Desert shall include as part of its contract specifications and bid documents issued for completion of the Project a requirement that all prime contractors shall name Rancho Mirage as an additional insured. Palm Desert shall provide certificates of insurance and additional insured endorsements which meet the requirements of this section to Rancho Mirage prior to any contractor performing services in the Project area .Palm Desert shall also ensure that all insurers shall agree to provide Rancho Mirage at least 30 days prior written notice before cancellation of any policy required .herein. Section 7. Notice a. All notices or other communications required or permitted hereunder shall be in writing and shall be either personally delivered which shall include delivery by means of professional overnight courier service which confirms receipt in writing (such as FedEx or UPS), sent by telecopier or facsimile ("fax") machine capable of confirming transmission and receipt ,or sent by certified or registered mail, return receipt requested, postage prepaid to the following parties at the following addresses or numbers: 3 If to Palm Desert: City of Palm Desert 73510 Fred Waring Drive Palm Desert, CA 92260 Attention: Public Works Director Telephone: (760) 346-0611 Facsimile: (760) 341-7098 Email: ttc arcia cityofpalmdesert.org If to Rancho Mirage : City of Rancho Mirage 69825 Highway 111 ' Rancho Mirage , CA 92270 Attention : Public Works Director Telephone : (760) 770-3224 Email: iesseeRranchomirageca.gov b. Notices sent in accordance with this paragraph shall be deemed ' as indicated ondelivered upon the next business day following the: (1) date of delivery the written confirmation of delivery (if sent by overnight courier services); (2) the date of the actual receipt (if personally delivered by other means); (3) date of transmission (if sent by telecopier or facsimile machine), or; (4) the date of delivery as indicated on the return receipt (if sent by certified or registered mail, return receipt requested). Notice of change of address shall be given by written notice in the manner detailed in this paragraph. Section 8. General Provisions a. This Agreement contains the entire agreement between the parties and is intended by the parties to completely state the agreement in full. Any agreement or representation respecting the matters dealt with herein or the duties of any party in relation thereto, not expressly set forth in this Agreement, is null and void. b. If any term, provision, condition, or covenant of this Agreement, or the application thereof to any party or circumstance, shall to any extent be held invalid o.r unenforceable, the remainder of the instrument, or the application of such term, provision, condition, or covenant to persons or circumstances other than those as to whom it is held invalid or unenforceable, shall not be affected thereby and each term and provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law. c. This Agreement may be executed in one or more counterparts and when a counterpart shall have been signed by each party hereto, each shall be deemed an original, but all of which shall, constitute one and the same instrument. d. This Agreement may not be modified, in whole or part, except by a written instrument duly executed and attested by the parties hereto or their successors or assigns. 4 e. This Agreement shall be governed by and construed in accordance with the laws of the State of California. All proceedings involving disputes over the terms, provisions, covenants or conditions contained in this Agreement and all proceedings involving any enforcement action related to this Agreement shall be initiated and conducted in the applicable court or forum in Riverside County, California. f. In the event any action, suit or proceeding is brought for the enforcement of, or the declaration of any right or obligation pursuant to this Agreement or as a result of any alleged breach of any provision of this Agreement, the prevailing party in such suit or proceeding shall be entitled to recover its costs and expenses, including reasonable attorney's fees, from the losing party, and any judgment or decree rendered in such a proceeding shall include an award thereof. g. Each of the parties to this Agreement hereby represents that all necessary and appropriate actions of their governing bodies have been taken to make this Agreement a binding obligation of each of the parties hereto. The persons executing this Agreement warrant that 'they are duly authorized to execute this Agreement on behalf of and bind the parties each purports to represent. h. The parties agree and intend that Palm Desert and Rancho Mirage are independent entities and do not intend by this Agreement to create any partnership, joint venture, or similar business arrangement, relationship or association between them, except as may be agreed to expressly by this Agreement. Each party shall perform their services hereunder in an independent capacity and not as an employee or agent of the other party. i. Neither party may assign or transfer its respective rights or obligations under this Agreement without the express written consent of the other party. Any purported assignment or transfer by one party without the express written consent of the other party shall be null and void and of no force or effect. j. Palm Desert agrees to keep all Project contracts and records for a period of not less than three (3) years from the date a notice of completion is filed by Palm Desert for the Project. Palm Desert also agrees that all such files and records shall be made available to Rancho Mirage upon its reasonable request. 5 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by their duly, authorized representatives on this date: CITY OF PALM DESERT: ATTEST: CITY OF PALM DESERT By: By: Rachelle D. Klassen, City Clerk G INA "NESTANDE , MAYOR APPROVED AS TO, FORM: By: Bob Hargreaves , City Attorney CITY OF RANCHO MIRAGE: ATTEST: CITY OF RANCHO MIRAGE By: By: Kristie Ramos , City Clerk Iris Smotrich, Mayor APPROVED AS TO FORM: By: Steven B .Quintanilla , City Attorney N:\RNCH\0007-13 General Matters\DOC\5050 - Reimbursement Agreement Palm Desert (07.24.19).docx 6 EXHIBIT I