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HomeMy WebLinkAboutSR - RTFY - R25590B - Entrada del PaseoContract No. R25590B PALM DESERT REDEVELOPMENT AGENCY STAFF REPORT REQUEST: RATIFY THE EXECUTIVE DIRECTOR'S APPROVAL OF THE CONTRACT FOR EXTENSION OF ELECTRIC DISTRIBUTION LINE RULE NO. 15 AT ENTRADA DEL PASEO WITH THE SOUTHERN CALIFORNIA EDISON COMPANY SUBMITTED BY: MISSY WIGHTMAN, PROJECT COORDINATOR CONTRACTOR: SOUTHERN CALIFORNIA EDISON 36100 CATHEDRAL CANYON DR. CATHEDRAL CITY, CA 92234 DATE: 25 JANUARY 2007 CONTENTS: CONTRACT FOR EXTENSION OF ELECTRIC DISTRIBUTION LINE RULE NO. 15 Recommendation: By Minute Motion, that the Agency Board ratify the Executive Director's approval of the contract for extension of electric distribution line at Entrada del Paseo with the Southern California Edison Company. Executive Summary: By approval of the staff recommendation, the Agency Board will ratify an agreement approved and executed by the Agency's Executive Director for the extension of an electric distribution line at Entrada del Paseo. The new construction of the future development of the La Spiga Restaurant and the Phase Two Civil Improvements will require an extension of the electric service from the existing system in place. Discussion: The Palm Desert Redevelopment Agency has been continuously developing the 12- acre site known as Entrada del Paseo. To date, approximately half of the site has been developed and four major construction projects will soon be under way concurrently. The Henderson Community Building has already begun construction, and the design for several acres of landscaping surrounding this site is nearing completion. The Phase Two Civil Improvements are scheduled to begin towards the end of this month to create additional site access to the Henderson Community Building and to La Spiga, the new fine dining restaurant in the back corner of the property near the intersection of Painters' Staff Report Ratify the Executive Director's Approval of the Contract for Extension of Electric Distribution Line Rule No. 15 at Entrada del Paseo with the Southern California Edison Company Page 2 25 January 2007 Path and the Palm Valley Storm Channel. These civil improvements will also create a building pad that the Agency is obligated to construct. In order to prepare the site for development, the electric distribution lines need to be extended from the original system built at the Entrada del Paseo site. Southern California Edison issued an invoice to complete these line extensions for a total paid in full of $1,414.75. Agency staff proposes to extend these electric distribution lines now, so that the site work can move ahead as scheduled. These executed documents are hereby presented to the Agency Board for ratification. Submitted by: 4&KZ- Missy an Project Coordinator Department Head: Dave Yrigoyen Director of Redevelopment/Housing Carlos 40e , Executive Director OW" gy RDA ON 1-a5- 0r1 VERIFIED BY Original on file with City Clerk's Office Lauri Aylaian Redevelopment Manager Approval: Paul S. Gibson, Director of Finance GArda\Melissa Wightman\La Spiga\Civil\Staff Report- SCE Ratification. doc CONTRACT FOR EXTENSION OF ELECTRIC DISTRIBUTION LINE RULE NO. 15 PARTIES This contract for Extension of Electric Distribution Line ("Contract") is issued this 15th day of DECEMBER 2005. The Parties to the Contract are: 6FFMi f PALM DESERT 9EMQjWJK-5NT A60JOY and Southern California Edison Company ("Edison"). Applicant and Edison are referred to individually as "party' and collectively as "Parties". 2, RECITALS Applicant has requested Edison, pursuant to Edison's Rule No. 15, Distribution Line Extensions, to Install an electric distribution line extension ("Line Extension") to the location or locations described as follows: 72557 S 72559 HIGHWAY 111 . PALM DESERT, CA 92200 SCE AI# 6-2206 (Hereinafter referred to as "Project") 3. AGREEMENT 3.1 Responsibilities of Applicant Construction Applicant shall, in accordance with Edison's specifications and timing requirements for the Project: • Perform route clearing, tree trimming, trenching, excavating, and backrilling and compacting; • Furnish imported backflll material and dispose of trench spoil as required: ° Furnish, install and transfer ownership to Edison any substructures, conduit, and protective structures required other than the conduit portion of cable in -conduit; • Obtain any necessary construction permits for all work performed by Applicant under this Contract - If Applicant elects to have Edison perform any part of this work, Applicant shall pay to Edison, as specified herein and before the start of construction, Edison's estimated -installed cost thereof. Rights of Way Applicant hereby grants to Edison the rights of way and easements for the Line extension over the shortest, most practical, available, and acceptable route within Applicant's property for the purpose of making delivey of electric service hereunder_ Such easement shalt include the right of access and right to trim trees as necessary. Where formal rights of way, easements, land leases, or permits are required by Edison for installation of facilities on or over Applicant's property, or the property of others, Applicant understands and agrees that Edison shall not be obligated to install the Line extension for the Project unless and until any necessary permanent rights of way, easements, land leases, and permits, satisfactory to Edison, are granted.to or obtained for Edson without cost to or condemnation by Edison. I00 'd HZ� ZOZ 090H XVd Sd 1d3a SNINNVId 3OS Wd H N HUNIVULOOZ Advances Applicant shall contribute or advance, before the start of construction, the refundable and non- refundable amounts as set forth in Appendix A to this Contract. This includes the costs for . substructures and conduits, which Edison had previously installed at its expense in anticipation of the current Line Extension. Any necessary riser conduit, conduit covering, and miscellaneous riser material required for the Line Extension shall be furnished or paid for by Applicant and shall be installed by Edison. All contributions and advances by Applicant are taxable and shall include an Income Tax Component of Contribution (ITCC) at the rate provided in Edison's Preliminary Statement. ITCC will be either refundable or non-refundable depending on whether the corresponding contribution or advance is refundable or non-refundable. Joint Applicants, The total contribution or advance from joint Applicants will be apportioned by Edison among the members of the group in such manner as Applicants mutually agree. 3.2 Responsibilities of Edison Construction Edison shall install, own, operate, and maintain the Line Extension to serve the Project. Edison will install only those facilities that, in Edison's judgment, will be used within a reasonable time to serve permanent loads. Refunds Edison shall make refunds to Applicant in accordance with the provisions of Rule No. 15. 3.3 Ownership of Facilities Title to and ownership of the Line Extension shall vest in Edison. Applicant does hereby agree that upon completion and acceptance by Edison of any Applicant -installed facilities, title to each and every component part thereof shall immediately pass to Edison free and clear of all liens and encumbrances. 3.4 Service Facilities Service extensions shall be installed pursuant to Edison's Rule No. 16, Service Extensions. 3.5 Street Lighting Facilities Street lighting and Line Extensions within the Project solely for service to street lighting equipment shall be installed in accordance with the appropriate street light tariff schedule. Street light revenues are not applicable toward allowances or refunds for Line Extensions. Electroliers shall be located at points determined by the governmental agency having jurisdiction over streets to be dedicated to that agency or by Applicant for privately owned and maintained streets open to and used by the general public. 3.6 Non -Refundable Discount Option In lieu of contributing the total refundable amount, Applicant has the option of contributing, on a non-refundable basis, a percentage of such refundable amount as set forth in Appendix A to this Contract. Applicant has or has not chosen this option as indicated by signature on Appendix A. 3.7 Refunds The total refundable amount shall be subject to refund, without interest, in accordance with the provisions of Rule No. 15, which include the following: Residential. Refunds will be made on the basis of any new customer permanent load connected to 2 the Line Extension, which produces additional revenues to Edison. The refund will be deducted from the total refundable amount, and the remaining amount subject to refund will represent that portion of the Line Extension cost not supported by revenues. Non -Residential. Refunds will be made on the basis of Applicant or any new customer permanent load connected to the Line Extension, which produces additional revenues to Edison. Edison shall be responsible to review Applicant's actual net revenue for the first three years from the date Edison is first read to serve. Applicant shall be responsible for notifying Edison if new, permanent load is added the fourth through tenth year from the date Edison is first read to serve. Such review shall determine if additional net revenue justifies refunds to Applicant. Unsupported Extension Cost. When any portion of a refundable amount has not qualified for a refund at the end of twelve (12) months from the date Edison is first ready to serve, Applicant will pay to Edison an ownership charge on the remaining refundable balance. The difference between the total refundable advance and any refunds made or eligible to be made to Applicant shall serve as the basis of a monthly ownership charge ("base"). Monthly ownership charges are calculated by multiplying the base times the Customer -financed added facilities percentage in Rule No. 2. Monthly ownership charges are distinct from the refundable amount and will normally be accumulated and deducted from refunds due to Applicant. This provision does not apply to individual residential Applicants. The monthly ownership charges herein shall automatically increase or decrease if the California Public Utilities Commission should subsequently authorize a higher or lower percentage rate for the monthly ownership charges, effective on the date of such authorization. Refund Period. The total refundable amount is subject to refund for a period of ten (10) years after the Line Extension is first ready to serve. Any unrefunded amount remaining at the end of the ten- year period shall become property of Edison. 3.8 Payment Adjustments Contract Compliance. If, after six (6) months following the date Utility is first read to serve residential loads for which allowances were granted, one (1) year for non-residential loads, Applicant fails to take service, or fails to use the service contracted for, Applicant shall pay to Edison an additional contribution, based on the allowances for the loads actually installed. Excess Facilities. If the load information provided by Applicant results in Edison's having installed facilities which are in excess of those needed to serve the actual loads, and Edison elects to reduce such excess facilities, Applicant shall pay to Edison its estimated total costs to remove, abandon, or replace the excess facilities, less the estimated salvage of any removed facilities. 3.9 Reimbursement to Applicant Where mutually agreed upon by Edison and Applicant, Applicant, may perform Edison's work or install facilities normally installed by Edison. Such work shall be in accordance with Edison's specifications and timing requirements. Edison shall reimburse Applicant Edison's estimated installed cost of such facilities and work by applying a credit toward Applicant's advance. Any amount not so credited shall be reimbursed to Applicant upon acceptance of the work and facilities by Edison. 3.10 Delays in Construction Force Majeure. Edison shall not be responsible for any delay in the installation or completion of the facilities by Edison resulting from the late performance of Applicant's responsibilities under this Contract, shortage of labor or material, strike, labor disturbance, war, riot, weather conditions, governmental rule, regulation or order, including orders or judgments of any court or commission, delay in obtaining necessary land rights, act of God, or any other cause or condition beyond the control of Edison. Resources. Edison shall have the right, in the event it is unable to obtain sufficient supplies, materials, or labor for all of its construction requirements, to allocate materials and labor to construction projects, which it deems, in its sole discretion, most important to serve the needs of its customers. Any delay in construction hereunder resulting from such allocation shall be deemed to be cause, beyond Edison's control. Contract Revision. If Applicant does not commence installation of any facilities which are Applicant's responsibility or Edison is prevented from commencing the installation of the facilities for causes beyond its reasonable control within one year form the effective date of the Contract, Edison may, in its discretion, revise its cost estimate and recalculate the refundable and/or non-refundable amounts set forth herein. Edison will notify Applicant of such increased costs and give the option to either terminate this Contract or pay Edison the additional charges. 3.11 Contract Termination If at any time during the term of this Contract, Edison is not the sole supplier of electrical requirements for the Project, this Contract may be terminated. Upon termination of the Contract, Applicant agrees to forfeit that portion of the advance paid to Edison for its expenses covering any engineering, surveying, right of way acquisition and other associated work incurred by Edison. If such expenses are greater or less than the refundable and/or non-refundable advance, Applicant shall pay to Edison, or Edison shall refund the balance to Applicant, without interest, as the case may be. 3.12 indemnification Applicant shall, at its own cost, defend, indemnify, and hold harmless Edison, its officers, agents, employees, assigns, and successors in interest from and against any and all liability, damages, losses, claims, demands, actions, causes of action, costs including attorney's fees and expenses, or any of them, resulting from the death or injury to any person or damages to any property caused by Applicant or its contractor and employees, officers or agents of either Applicant or its contractor, or any of them, and arising out of the performance or nonperformance of their obligations under this Contract. 3.13 Assignment of Contract Applicant may assign this Contract, in whole or in part, only if Edison consents in writing and the party to whom the Contract is assigned agrees in writing, to perform the obligations of Applicant hereunder, Assignment of the Contract shall not release Applicant from any of the obligations under this Contract unless otherwise provided therein. 3.14 Joint and Several Liability Where two or more individuals or entities are joint Applicants under this Contract, all Applicants shall be jointly and severally liable to comply with all terms and conditions herein: 3.15 Warranty Applicant warrants that all work and/or equipment furnished or installed by Applicant or its contractor shall be free of defects in workmanship and material. The warranty period shall begin from the date of final acceptance by Edison and extend for one (1) year. Should the work develop defects during that period, Edison, at its election, shall either (a) repair or replace the defective work and/or equipment, or (b) demand that Applicant repair or replace the defective work and/or equipment and, in either event, Applicant shall be liable for all costs associated with such repair and/or replacement. Applicant upon demand by Edison, shall promptly correct, to Edison's satisfaction and that of any governmental agency having jurisdiction, any breach of any warranty. 3.16 Contract Effective Date M Y EN This Contract shall not be effective unless it is (1) executed and delivered by Applicant to Edison . together with payment required hereunder within ninety (90) days of the date in Paragraph 1 of this Contract and (2) accepted by Edison. This Contract shall then be effective on the date executed by Edison and shall take effect without further notice to Applicant. 3.17 Commission Jurisdiction This Contract is subject to the applicable provisions, of Edison's tariffs, including Rule IVo. 15, filed and authorized by the'Callfomia Public Utilities Commission. This Contract shall, at all times, be subject to such changes or modifications by the Public Utilities Commission of the State of California, as said Commission may, from time to time, direct In the exercise of its jurisdiction. 3,18 Completion Date The completion date requested by Applicant is X 0q _ 01 . 07 SIGNATURE CLAUSE The signatories hereto represent that they have been appropriately authorized to enter Into this Contract on behalf of the party for whom they sign. APPLICANTStSI CORPORATION, PARTNERSHIP, OR DBA: eFPf-eF PALM DESERT 9,�PL-viz-�P,/1F-sN i M; aNGY NAME OF AUTHORIZED INDIVIDUAL: Carlos L. Ortega, SIGNATURE: v `�` - TITLE: V Executive Director MAILING ADDRESS: 73510 FRED WARING DRIVE. PALM DESERT CA 92260 TELEPHONE: 760-346-0611 ADDITIONAL SIGNATURES FOR JOINT APPLICANTS NAME OF AUTHORIZED INDIVIDUAL: SIGNATURE: TITLE: MAILING ADDRESS: TELEPHONE: Z00 'd t6ZI- ZOZ 09L 'oN XV9 5 Sd d,d3Q SNINNVId 30S Wd IZ:iO Idd/ZI/NVULOOZ NAME OF AUTHORIZED INDIVIDUAL: SIGNATURE: TITLE: MAILING ADDRESS: TELEPHONE: APPORTIONMENT OF ADVANCE AMONG JOINT APPLICANTS, SOUTHERN CALIFORNIA EDISON COMPANY NAME OF AUTHORI ED INDIVIDUA FRANK JASSO SIGNATURE:n., 0'!� TITLE: PLANNING SUPERVISOR DATE EXECUTED: DATE EDISON FIRST READY TO SERVE: WORK ORDER NO. 6979-2380 6-2206 ASSOCIATED WORK ORDER NOS. Form No, 16-330 G950424.03 1112001 s E00'd HZfi ZOZ 09L'ON XVd Sd IM DNINNVId 93S Wd IZ:M Iad/ZI/ WADOZ