Loading...
HomeMy WebLinkAboutItem 06.l Date: August 3, 2020 Item No. CONSTRUCTION AGREEMENT WITH XCEL ENERGY FOR CSAH 70 IMPROVEMENTS Proposed Action Staff recommends adoption of the following motion: Move to approve a Construction Agreement with Xcel Energy for Street and Trail Lighting Facilities for County State Aid Highway 70 Improvements, City Project 20-05. Overview The City and County are partnering to construct improvements along County State Aid Highway (CSAH) 70 from Kenrick Avenue to Cedar Avenue to alleviate congestion, make safety improvements and provide for increasing traffic levels. Xcel Energy will install lighting facilities for roadway and trail segments completed in 2020 (between Hamburg Avenue and Cedar Avenue). Lighting will be owned and maintained by Xcel Energy. A separate agreement with Xcel Energy will be required in 2021 for lighting facilities between Kensington Boulevard and Hamburg Avenue. Primary Issues to Consider • The City is the lead agency for lighting installation; therefore, the total estimated cost (both City and County share) for this work is shown. The County will reimburse the City an estimated $64,249 for this work, consistent with the project’s Joint Powers Agreement. The City’s estimated cost for this work is $40,733. Supporting Information • Xcel Energy Construction Agreement Financial Impact: $104,982.71 Budgeted: Y☒ N☐ Source: Multiple Related Documents: Lakeville 5-year Capital Improvement Plan (2020-2024) Envision Lakeville Community Values: Safety Throughout the Community Report Completed by: Alex Jordan, Assistant City Engineer Northern States Power Company, a Minnesota corporation and wholly owned subsidiary of Xcel Energy Inc. Page 1 of 5 Outdoor Lighting 825 Rice Street St. Paul, MN 55117 Construction Agreement For Street Lighting Facilities The customer identified below ("Customer") and Northern States Power Company, a Minnesota Corporation and wholly owned subsidiary of Xcel Energy Inc. ("Xcel Energy" or "Company") agree to this Construction Agreement for Street Lighting Facilities, including the attached Terms and Conditions, for the following street light facilities: Customer: City of Lakeville Address: 20195 Holyoke Ave City: Lakeville State: MN Zip Code: 55044 Project charges of: One hundred four thousand nine hundred eighty two dollars and 71/100 Dollars: $104,982.71 In accordance with the following terms of payment: Payment due 30 days after construction is completed For Association or City of: City of Lakeville will be billed monthly rate per luminaire after installation Streetlights/Facilities Location: CR 70 (215th St W between Hamburg Ave and Cedar Ave) Rate Code: A30 Pre-Pay Option 50-75W (6,000 Lumens) and 30-40W LED (4,000 Lumens). Current is $5.49 & $4.90. Service consisting of: Pre-Pay Option rate includes electricity and maintenance for 25 years from installation. Installation of Company Owned streetlight facilities consisting of: Designation of Lamps: Install 8 Cobra fixtures on 30' direct buried fiberglass poles and 17 Traditional fixtures on 18' direct buried fiberglass poles. Installation method will be by plow approx. 4,964’ of #6 AL DX in 1½” conduit. If unable to plow City will be billed additional direct bore cost. Restoration is not included in this contract. Number of Luminaries: 8- 50-75W LED (6,000 Lumens) Cobra Fixture Color – Dark Bronze 8- 30’ Direct Buried Fiberglass Pole Pole Color – Dark Bronze 17- 30-40W LED (4,000 Lumens) Traditional Fixture Color – Dark Bronze 17- 18’ Direct Buried Fiberglass Pole Pole Color – Dark Bronze Project charges valid for 60 days from signing of contract. Customer and Xcel Energy agree to the attached terms and conditions for the installation and moving of the facilities identified above. Customer and Xcel Energy agree that the operation of the facilities shall be subject to the General Street Lighting Contract for Operations & Maintenance Services between Customer and Xcel Energy, dated Dated this _________ day of _______ 20 ________ Dated this _________ day of _______ 20 _______ Customer: City of Lakeville Xcel Energy: By: By: Title: Title: Robert J Schommer, Senior Operations Manager – Minnesota as authorized agent for Northern States Power Co. XCEL ENERGY USE ONLY Date: 07/20/20 Div: Newport Xcel Energy Outdoor Project Coordinator: Angela Adesoro Xcel Energy Project Number: SAP Notification #11632835 Customer Charges Paid: By: Title: Northern States Power Company, a Minnesota corporation and wholly owned subsidiary of Xcel Energy Inc. Page 2 of 5 Outdoor Lighting 825 Rice Street St. Paul, MN 55117 TERMS AND CONDITIONS Customer and Company agree to the following terms and conditions: 1. Acceptance. Execution of this Agreement constitutes Customer's acceptance of the express terms of Company’s proposal and the offer contained therein, which are included and incorporated into this Agreement. Any additional or different terms proposed by Customer, or any attempt by Customer to vary in any degree any of the terms in this Agreement in Customer’s acceptance, are hereby objected to and rejected, and (i) such additional or different terms shall not operate as a rejection of the incorporation of the Company's proposal in this Agreement unless such variances are with respect to terms involving the description, quantity, or delivery schedule of the Work to be performed by Company as described in Company’s proposal ("the Work” means the supplying of any labor, materials, or any other work of Company expressly described in Company’s proposal); (ii) such additional or different terms shall be deemed a material alteration hereof; and (iii) Company’s proposal shall be deemed accepted by Customer and incorporated into this Agreement without said additional or different terms. 2. Request for Installation; Rights. Customer requests that Company install outdoor lighting at the location(s) designated on page one and/or as shown on the attached exhibit. Customer grants Company any right, privilege and easement to install, operate and maintain its facilities, including underground facilities, on the property. 3. Installation Requirements. Customer agrees that, prior to Company starting work: (1) the route of Company’s service installation shall be accessible to Company’s equipment; (2) Customer will remove all obstructions from the route at no cost or expense to Company; (3) Customer will clearly mark all septic tanks, drain-fields, sprinkler systems, water wells, owner-installed electric or pipeline facilities, or other Customer-owned facilities in the installation route; and (4) the ground elevation along the route shall not be above or more than four inches below the final grade. Company will contact the appropriate agency to locate 3rd party utility facilities (phone, cable, etc.) on Customer property. Customer agrees Company is not responsible for damage to Customer-owned underground facilities not marked at the time of outdoor lighting service installation. 4. Installation Cost Contribution. Customer agrees to pay an installation cost contribution provided in Project Charges on page one. Customer is responsible for any additional installation costs incurred by Company because of (1) soil conditions that impair the installation of underground facilities, such as rock formations, etc., (2) extensive existing underground facilities, and (3) any existing conditions that exist but did not exist at the time the installation cost was determined, such as new sidewalks, curbing, black top, paving, sod or other landscaping and obstructions along the cable route. 5. Winter Construction Charges. When underground facilities are installed between October 1 and April 15, inclusive, because of failure of Customer to meet all requirements of the Company by September 30, or because the Customer's property, or the streets leading thereto, are not ready to receive the underground facilities by such date, such work will be subject to a Winter Construction Charge when winter conditions of six inches or more of frost exist, snow removal or plowing is required to install service, or burners must be set at the underground facilities in order to install service for the entire length of the underground service. Winter construction will not be undertaken by the Company where prohibited by law or where it is not practical to install underground facilities during the winter season. The charges apply to frost depths of 18” or less. At greater frost depths, the Company may individually determine the job cost. The Company also reserves the right to charge for any unusual winter construction expenses. All winter construction charges are non-refundable and are in addition to any normal construction charges. 6. Schedule; Delays. Quoted shipping and completion dates are approximate and are based on prompt receipt of all necessary information and approvals from Customer and access as required by Company and its contractors or subcontractors (if any) to the site and to the equipment which is the subject of this Agreement. If Company’s performance is delayed by Customer's suspension of work, in whole or in part, or by any act or omission of Customer, the time for performance will be extended by the period of time required by Company to return to the state of performance that existed before the delay. If the delay or suspension continues for sixty (60) days, Company has the right to cancel or renegotiate the Agreement. Customer will pay an equitable adjustment based on a claim submitted by Company for all reasonable costs, damages and expenses incurred by Company incident to the delay or suspension. Northern States Power Company, a Minnesota corporation and wholly owned subsidiary of Xcel Energy Inc. Page 3 of 5 Outdoor Lighting 825 Rice Street St. Paul, MN 55117 7. Changes. The prices for any extras or changes to the scope of the Work or modifications to the payment or performance schedule will be agreed upon in writing before either party will be obligated to proceed with such changes. Performance of any change will not waive any claims for equitable adjustment in price or schedule. 8. Relocating Facilities. Customer agrees to pay the cost of relocating any portion of facilities, including underground facilities, to accommodate Customer or as required due to altering of grade, additions to structures, installation of patios, decks, gardens, sidewalks, curbing, paving, blacktop, sod, landscaping or any other condition which makes maintenance of the Company’s facilities impractical. Company shall notify Customer of such relocations prior to incurring relocation costs. 9. Environmental. Prior to the start of the Work, Customer will provide notice of any hazardous materials or hazardous situations that it is aware of with respect to the facilities where the Work is to be performed or that could affect the Work. In the event Company encounters the existence of asbestos, asbestos containing materials, formaldehyde, lead, or potentially toxic or otherwise hazardous material in the performance of the Work, the discovery thereof shall constitute a cause beyond Company’s reasonable control and Company shall have the right to cease or not commence the Work until the area has been made safe by Customer or Customer’s representative, at Customer’s expense. 10. Restoration. Company will restore any excavation of the boulevard on Customer’s property with existing soil so it is level and clean. Customer is responsible for the final compacting, loam, seeding, sod or watering of the boulevard at Customer’s expense unless otherwise noted on page one of this Agreement. 11. Additional Charges. In addition to the project charges on page one of this Agreement, Company shall be compensated for any added costs of performing the Work attributable to any one or more of the following: (i) any and all extras and change orders and any and all other additional work mutually agreed by Customer and Company; (ii) any and all costs and expenses related to asbestos or other environmental matters, any unforeseen conditions or any changes in the law; and (iii) any and all added costs and expenses of performing the Work attributable to any change by Customer in the criteria or information for the facility or to any delay or breach by Customer or its subcontractors. 12. Operations; Maintenance. Customer requests and authorizes Company to provide illumination and maintain the street lighting facilities under the Terms and Conditions as described in Customer’s General Street Lighting Contract for Operations & Maintenances Services with Company, which shall be effective upon the completion date of the street light installation. 13. Payments. Unless otherwise specified in Company’s proposal, Company may at its option invoice Customer upon completion of the Work or invoice Customer on a monthly basis for construction work performed under this Agreement. Customer shall pay Company all invoiced amounts within thirty (30) days of receipt of invoice. 14. Termination. Customer may terminate the Agreement only upon written notice to Company and payment to Company for all (i) services and Work rendered or performed to the effective date of such termination; (ii) materials, supplies and equipment purchased prior to the effective date of such termination; and (iii) costs incurred by Company as a result of such termination. To the extent that Company uses the materials, supplies, or equipment on other projects or for maintenance purposes, Customer will not be charged for them. 15. Warranties. Company shall perform the Work in a safe and professional manner in accordance with all applicable codes, standards, regulations and laws. Company shall repair, replace or correct to Customer’s satisfaction all faulty or substandard work or defects in materials which appear within ninety (90) days from the date of completion of the Work. Acceptance of the Work or payment by Customer shall not affect this obligation. THE WARRANTIES SET FORTH IN THIS AGREEMENT ARE EXCLUSIVE AND IN LIEU OF ALL STATUTORY OR IMPLIED WARRANTIES (INCLUDING ANY IMPLIED WARRANTY OF MERCHANTABILITY OR ANY IMPLIED WARRANTY OF FITNESS FOR A PARTICULAR PURPOSE). 16. Limitation of Remedies. IN NO EVENT, WHETHER BASED ON CONTRACT, INDEMNITY, WARRANTY, TORT (INCLUDING NEGLIGENCE), STRICT LIABILITY OR OTHERWISE, SHALL COMPANY BE LIABLE TO CUSTOMER FOR SPECIAL, INDIRECT, INCIDENTAL OR CONSEQUENTIAL DAMAGES WHATSOEVER INCLUDING, WITHOUT LIMITATION, LOSS OF PROFITS OR REVENUE. In no event whatsoever shall Northern States Power Company, a Minnesota corporation and wholly owned subsidiary of Xcel Energy Inc. Page 4 of 5 Outdoor Lighting 825 Rice Street St. Paul, MN 55117 Company ever be liable to Customer for any damages or other amounts (including, without limitation, direct or actual damages), whether arising in contract or tort (including, without limitation, negligence) or otherwise, under or in connection with this Agreement or the Work, in an amount, in the aggregate, in excess of the total price paid for the Work; any and all claims for damages in excess of such amount being hereby forever waived and released by Customer; provided, however, that nothing contained in this sentence shall waive or limit any direct damages which Customer may suffer on account of Company’s gross negligence or willful misconduct. 17. Force Majeure. Neither party will be liable to the other for any delay or failure to perform due to any cause beyond its reasonable control, including fire, flood, strike or other labor difficulty, act of God, or act of any governmental authority. The party experiencing the force majeure will notify the other party promptly, and appropriate adjustments will be negotiated. In the event of delay in performance due to force majeure, the date of delivery or time for completion will be extended by a period of time reasonably necessary to overcome the effect of such delay, provided that if such delay continues for 60 days the party not experiencing the force majeure may terminate this Agreement. 18. Document Approval. Company may request that Customer review documents developed by Company for conformity with Customer requirements or specifications. Unless Customer advises Company otherwise in writing within fifteen (15) days after Company’s submission, Company may consider the documents approved and proceed with work. Changes thereafter, made at the direction of Customer, will entitle Company to adjustment by change order. 19. Documentation and Proprietary Information. Customer will provide Company with accurate and complete information in order to permit Company to successfully undertake and complete the Work. Company shall not be prohibited from disclosure or use of proprietary or confidential information or documents necessary for Company to secure or maintain in effect any license or permit, or otherwise to complete the Work. Where Customer information is incomplete or incorrect, resulting in delay or extra work, Company will be entitled to adjustment by change order. 20. Work Product. All reports, drawings, plans, specifications, calculations, studies, software programs, tapes, models and memoranda, if any, assembled or prepared by Company or Company’s affiliates, independent professional associates, agents, consultants, contractors or subcontractors pursuant to this Agreement are instruments of service in respect of the Work, and Company shall retain all ownership and property interest therein, whether or not the Work is completed. Customer may make and retain copies for information and reference in connection with the Work; provided, however, that it is understood and agreed that such documents are not intended to be re-used by Customer or others on extensions of the project or on any other project or any other purpose other than as expressly set forth in this Agreement, and Customer shall not re-use or disclose to any third party all or any portion of such work product without the express prior written consent of Company. 21. Customer Facilities. Company does not assume any responsibility for the adequacy, safety or satisfactory performance of Customer's facilities. Customer shall, to the fullest extent permitted by law, indemnify, defend and hold harmless Company and its officers, directors, agents, employees, and representatives from and against any and all losses, claims, damages, expenses (including attorneys' fees and costs) arising, for any reason whatsoever, out of the failure, non-operation or faulty performance of Customer's facilities (except to the extent of Company’s gross negligence or willful misconduct). 22. Subcontracting. Company may subcontract any portion or all of the Work without the approval of Customer. 23. Independent Contractor. Nothing contained in this Agreement nor any acts of the parties shall be construed to create the relationship of principal and agent, or of limited or general partner, or of joint venture or of any association between or among the parties to this Agreement, except that of owner and independent contractor. 24. Title; Rights of Access. Customer warrants that it has fee simple title to the property. Customer hereby grants to Company the right to enter and improve the real property for the purposes stated herein. 25. Ownership. Customer shall acquire no right, title or interest in any portion of the Work or Company’s equipment or facilities placed in, on, over, through and/or under the real property by Company. The Work constructed and installed by Company on the real property of Customer shall be and mean the personal property of Company, shall not be considered a fixture of the property, shall not attach to the realty, and shall not be alienable or Northern States Power Company, a Minnesota corporation and wholly owned subsidiary of Xcel Energy Inc. Page 5 of 5 Outdoor Lighting 825 Rice Street St. Paul, MN 55117 lienable by Customer or any other party. Further, Company may remove, repair and replace the Work and its component system and equipment at any time without notice in Company’s sole and absolute discretion. 26. Other. It is agreed that failure by Customer or by Company at any time or from time to time to enforce any of the provisions of this Agreement shall not be construed to be a waiver of such provision or of Customer's right or Company’s right, respectively, to thereafter enforce each and every provision hereof. This Agreement contains, with respect to the specific services to be performed by Company, the entire understanding of the parties, and shall supersede any other oral or written agreements and be binding upon and inure to the benefit of the parties' successors and assigns. This Agreement may not be modified in any way without the written consent of both parties. If any provision of this Agreement is determined by a court to be unenforceable, then such provision will be deemed null and void but the remaining provisions shall be enforceable according to their terms. This Agreement shall be construed and interpreted in accordance with the internal laws of the State of Minnesota (as opposed to conflicts of laws provisions) as though all acts and omissions contemplated hereby or related hereto occurred in Minnesota. No course of prior dealing, usage of trade and course of performance shall be used to modify, supplement or explain any terms of this Agreement. Neither Party will assign or otherwise transfer its rights or obligations hereunder, in whole or in part, without the advance written consent of the other. Notwithstanding the above, Company may assign its rights or obligations to any of its affiliates without the written consent of Customer. 27. Governing Law. The Terms and Conditions provided herein and the rights of all the parties hereunder shall be construed under and governed by the laws of the State of Minnesota.