Loading...
BP Pipeline Utility Relocation Reimbursement Agreement_Phase 1 SW Arterial Project Copyright 2014 City of Dubuque Consent Items # 25. ITEM TITLE: BP Pipeline Utility Relocation Reimbursement Agreement Phase I - SW Arterial Project SUMMARY: City Manager recommending approval for the City Manager to execute a Phase 1 Design Utility Relocation Reimbursement Agreement with BP Pipelines (North America) Inc. for the relocation of a petroleum distribution pipeline impacted by the Southwest Arterial and the future East Grading Project. RESOLUTION Approving a Phase I Design Utility Relocation Reimbursement Agreement with BP Pipelines (North America) Inc. for the Relocation of a Petroleum Distribution Pipeline Associated with the East Grading Project and the Continued Development and Advancement of the Southwest Arterial Project SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Adopt Resolution(s) ATTACHMENTS: Description Type BP Pipeline Utility Relocation Reimbursement City Manager Memo Agreement-MVM Memo Staff Memo Staff Memo Resolution Resolutions Draft Agreement Supporting Documentation THE CITY OF Dubuque DUB E i" Masterpiece on the Mississippi 2007.2012.2013 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Southwest Arterial Project BP Pipeline Utility Relocation Reimbursement Agreement-Phase 1 Design Iowa DOT Project No. HDP-2100 (667)-71-31 DATE: February 1, 2017 Assistant City Engineer Bob Schiesl recommends City Council approval for the City Manager to execute a Phase 1 Design Utility Relocation Reimbursement Agreement with BP Pipelines (North America) Inc. for the relocation of a petroleum distribution pipeline impacted by the Southwest Arterial and the future East Grading Project. I concur with the recommendation and respectfully request Mayor and City Council approval. Mic ael C. Van Milligen MCVM:jh Attachment cc: Crenna Brumwell, City Attorney Cindy Steinhauser, Assistant City Manager Teri Goodmann, Assistant City Manager Robert Schiesl, Assistant City Engineer Gus Psihoyos, City Engineer THE CITY OF Dubuque AII11-America CiI.ty UB E1 Masterpiece on the Mississippi 2007-2012-2013 TO: Michael C. Van Milligen, City Manager Gus Psihoyos, City Engineer FROM: Robert Schiesl, Assistant City Engineer DATE: February 1, 2017 RE: Southwest Arterial Project BP Pipeline Utility Relocation Reimbursement Agreement - Phase 1 Design Iowa DOT Project No. HDP-2100 (667)--71-31 INTRODUCTION The purpose of this memorandum is to seek City Council approval and authorize the City Manager to execute a Phase 1 Design Utility Relocation Reimbursement Agreement with BP Pipelines (North America) Inc. (BP) for the relocation of a petroleum distribution pipeline impacted by the Southwest Arterial and the future East Grading project. BACKGROUND Through the continued collaborative partnership between the Iowa DOT staff and the City, the Memorandum of Understanding (MOU), was signed on August 9, 2013, and the Transfer of Roadway Jurisdiction (TOJ), was signed on November 7, 2016. Following the execution of the MOU and TOJ, the City is continuing as the lead agency for the multiple project development phases for completing the Southwest Arterial and is responsible for completing the following improvement projects: Project Description Status Final Engineering Design Underway Right-of-Way Property Acquisition Completed BHE Gas Pipeline Utility Relocation Completed BP Gas Pipeline Utility Relocation Summer 2017 North Cascade Road Reconstruction Completed English Mill Road Reconstruction Underway Military Road Reconstruction Summer 2017 As outlined in the MOU and TOJ, the City is responsible for the relocation of impacted utilities. Prior to beginning the East Grading project, the City needs to relocate an existing in-service 10" petroleum distribution pipeline which is owned and operated by BP. The BP pipeline is located on its own private easements upon land acquired by the City for the Project. Relocation Reimbursement Agreement Upon reviewing the Iowa Department of Transportation (Iowa DOT) Federal-aid Participation in Utility Relocations, it has been determining the BP utility relocation is eligible. However, due to the federal regulatory requirements, it was determined that a more efficient way of completing the associated relocation work would be to separate the work into two (2) phases. The Phase I - Engineering Design will include completing both preliminary and final engineering to establish re-alignment segments for the existing in-service 10" pipeline. Upon completing the preliminary engineering evaluation, BP shall perform final engineering to establish itemized quantities and prepare a detailed estimate of probable cost for the actual construction relocation. The Phase I - Engineering Design will not be considered eligible for federal-aid funding. Upon completing the Phase I - Engineering Design phase, the City and BP will enter into a Supplemental Agreement to perform and complete the Phase II - Utility Construction Relocation. The Phase II construction relocation will be federal-aid eligible. Phase 1 - Eligible Engineering Costs BP will be using in-house staff resources and contracted consultant services to complete the following work and operational services: a. Engineering and Administration Services for the work proposed at the preliminary and final design stages. b. Engineering and Administration Services for soliciting competitive bid proposals from qualified contractors to complete the relocation work. c. Contract with the lowest responsible, responsive bidder for contract labor to complete the relocation work. Reimbursement Costs BP shall initially pay all costs associated with the Phase I - Engineering Design as covered by the agreement. Upon reasonable satisfactory progress as the work is underway, BP shall provide an itemized monthly progress payment for all expenditures incurred which are eligible for reimbursement. Upon receiving invoices from BP, the City will pay BP for said eligible reimbursement costs. BUDGETIMPACTS The estimate of probable cost for the utility relocation Phase 1 Design is as follows: Description Estimated Cost Phase 1 - Engineering Design $ 134,000 BP Contingency (15%) 20,190 BP Administrative and General Overhead (15%) 23,219 Total Project Cost Estimate 178 009 2 The anticipated project funding is summarized as follows: Fund Description Fund Amount Local Funding - City (50%) $ 89,005 Local Funding - County (50%) 89,004 Total Project Funding lin 009 Dubuque County has been a long-time partner on the Southwest Arterial project and the City intends to meet with County representatives on February 13th to request they consider participating (50%) in the BP Phase 1 Design Utility Relocation Reimbursement Agreement costs. RECOMMENDATION I recommend that the City Council authorize the City Manager to execute a Phase 1 Design Utility Relocation Reimbursement Agreement with BP Pipelines (North America) Inc. (BP) for the relocation of a distribution pipeline impacted by the Southwest Arterial and the future East Grading project. ACTION TO BE TAKEN The City Council is requested to authorize the City Manager to execute a Phase 1 Design Utility Relocation Reimbursement Agreement with BP Pipelines (North America) Inc. (BP) for the relocation of a distribution pipeline impacted by the Southwest Arterial and the future East Grading project. Prepared by Robert Schiesl, Assistant City Engineer cc: Jenny Larson, Budget Director Ken Yanna, Kent Ellis, Roget Walton, Iowa DOT Chandra Ravada, ECIA F:\Projects\Southwest Arterial\Utility Coordination - Relocation\BP Pipeline\Council and Staff Documents 3 RESOLUTION NO. 41-17 RESOLUTION APPROVING A PHASE DESIGN UTILITY RELOCATION REIMBURSEMENT AGREEMENT WITH BP PIPELINES (NORTH AMERICA) INC. FOR THE RELOCATION OF A PETROLEUM DISTRIBUTION PIPELINE ASSOCIATED WITH THE EAST GRADING PROJECT AND THE CONTINUED DEVELOPMENT AND ADVANCEMENT OF THE SOUTHWEST ARTERIAL PROJECT Whereas, the City is proceeding with the proposed East Grading Project "(hereafter Project) in accordance with its plans and specifications, which the City has designed as part of the Southwest Arterial Project; and Whereas, prior to the City commencing work on the Project, the City needs to have an existing in-service 1 0" petroleum distribution pipeline relocated; and Whereas, the 1 0" petroleum distribution pipeline is owned and operated by the BP Pipelines (North America) Inc. (hereafter BP) and located on its own easements upon land acquired by the City for the Project shall be relocated in accordance with a Phase 1 Design Utility Relocation Reimbursement Agreement (hereafter Agreement); and Whereas, it has been determined that the utility relocation to be completed by BP shall be separated into a Ph·ase I -Engineering Design and a future Phase II -Utility Construction Relocation; and Whereas, BP shall initially pay all costs to relocate and adjust its facilities as covered by the Agreement; and Whereas, upon reasonable satisfactory completion the City will pay BP for said eligible reimbursement costs as covered by the Agreement. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA, THAT: Section 1. That said Agreement between the City of Dubuque and BP Pipelines (North America) Inc. is hereby approved. Section 2. That the City Manager be authorized and directed to execute three copies of said Agreement between the City of Dubuque and BP Pipelines (North America) Inc. for the relocation of the petroleum distribution pipeline associated with the Project and the continued development and advancement of the Southwest Arterial Project. Passed, approved and adopted this 6th day of February, 2017. ~[)&J Roy· Attest: 5~ Trish L . Gleason, Assistant City Clerk 5 Exhibit A - The Work 1) This estimate is for the ~1250 foot relocation of the 10-inch Whiting-Dubuque pipeline shown on PP05 of AECOM's drawings prepared for the City of Dubuque. 2) This estimate assumes relocation will be necessary due to proposed crossing angle and the significant cuts/fills proposed for the SW A. 3) THIS ESTIMATE IS FOR DEFINE STAGE (FEL AND DESIGN) ONLY, with a total project cost estimate to be developed as part of FEL. Pipelines Estimating Workbook_Rev0 Stage Summary 2/6/2017 PRISM#35175SAP#O2-0094H Estimate For:Select to Define Location:Dubuque, IA CODE TOTAL % CAPITAL REVEX $ANALYSIS A APPRAISE S SELECT D DEFINE 154,790 154,790 100.0% E EXECUTE O OPERATE TOTAL CAPITAL 154,790 154,790 100.0% TOTAL REVEX 154,790 100.0% Estimate Range based on Confidence Range Factors:154,790 Total (high-side) =195,809 23,219 Total (low-side) =160,208 178,009 Confidence Range =Total BP CostPlus+10% Minus -10%GRAND TOTAL TOTAL Southwest Arterial - Knepper Ln DESCRIPTION 178,009 3rd Party Cost BP Overheads Total 3rd Party PROJECT TOTAL bp February 14, 2017 Robert Schiesl City of Dubuque City Hall, 50 W. 13th St Dubuque, lA 52001 BP Pipelines (North America) Inc. 30 South Wacker Dr Suite 900 Chicago, IL 60606 Re: City of Dubuque and BP Pipelines (North America) Inc. Reimbursement Agreement Dear Mr. Schiesl, Please find enclosed the Executed City of Dubuque and BP Pipelines (North America) Inc. Reimbursement Agreement. Laur. o hewer Contract Right-of-Way Agent AGENCY REIMBURSEMENT AGREEMENT WORK: Southwest Arterial FEL Engineering Review (No materials or construction) LOCATION : Sec . 03, 10, & 11 -88N-2E Dubuque County, Iowa Knepper Lane relocation -PP05 BP REFERENCE : 4000-766, 765 , 764, 763, & 762 TPR: 6486 THIS AGREEMENT, made and entered into this ,fL/~ dayof-K--=--eh'--· _. __ _ 2017 ("Effective Date"), by and between BP Pipelines (North America) Inc., a Maine corporation, whose address is 30 S. Wacker Dr . Suite 900, Chicago, IL 60606 (hereinafter referred to as "BP") and City of Dubuque, whose address is 50 W. 13th Street, Dubuque, Iowa 52001 (hereinafter referred to as "CITY"). WITNESSETH: WHEREAS, CITY desires to construct a highway connecting Highway 20 to Highway 61, and WHEREAS, said construction activities will require certain adjustments and alterations of existing facilities of BP (hereinafter referred to as "BP Pipeline Facilities"), and WHEREAS, it is to the best interests of BP and CITY for BP to make the necessary adjustments, removals, and/or relocation of its existing facilities, and/or provide other related services, as specified herein, with BP's regular construction and maintenance forces , or by a contractor paid under a contract let by BP, and WHEREAS, CITY will pay, or reimburse BP for, One Hundred Percent (100%) of all costs and expenses ("Cost") incurred for the adjustments, removals, and/or relocation of the Pipeline Facilities, and/or other related services, as specified herein, whether such Cost is incurred directly by BP or others on behalf of or at the request of BP . NOW THEREFORE, FOR AND IN CONSIDERATION OF THE MUTUAL COVENANTS HEREIN RECITED, BP AND CITY DO HEREIN AGREE AS FOLLOWS: Section I BP, with its regular engineering group and personnel, or using a contractor or subcontractor , all at their standard schedule of wages, benefits and working hours , will provide engineering and design services for the adjustment/relocation of the pipeline facilities as indicated on said Exhibit "A" (the "Work") attached hereto and made a part hereof. The preliminary estimated Cost of the Work is one hundred seventy eight thousand nine dollars and 00/100 ($178,009 .00), as set forth in the attached Exhibit "B" ("Estimated Cost"). 2 Section II a) CITY shall reimburse any and all actual Costs related to the Work. b) BP will submit a final invoice to CITY upon completion of the Work with supporting documents as reasonably requested by CITY. CITY shall pay this amount to BP within thirty (30) calendar days after CITY receives BP’s invoice and all requested supporting documents. BP accounts, and the accounts and records of any contractor or sub-contractor involved in carrying out the W ork, shall be kept in such manner that they may be readily audited and actual Costs determined, and such accounts shall be available for audit by auditors of CITY for a period of three (3) years from date final payment has been received by BP. Section III BP shall perform the Work in accordance with the plans and specifications as shown in Exhibit “A”. Section IV BP shall have no obligation to start the Work until written notice has been provided by CITY that the Work has been agreed to, approved by and authorized by CITY, a satisfactory starting date has been mutually agreed upon by both CITY and BP, and CITY has located and identified all utilities and other facilities in any area in which the Work is to be performed (“Utilities”) that are not covered by the applicable One Call system. Prior to starting the Work, CITY shall cooperate with BP in obtaining or causing to be obtained, in a form acceptable to BP any right, permit, permission, easement and access rights required for BP to perform the Work, at the sole Cost of CITY. CITY shall, if requested by BP, survey and stake all easements and access rights that pertain to the Work. Once written notice has been provided, BP will use reasonable efforts to endeavour to complete the Work in a timely manner, subject to force majeure and other delays outside of BP’s control. Section V BP, its contractor and sub-contractors, if any, shall not discriminate against any employee or applicant for employment, to be employed in the performance of this contract, with respect to his hire, tenure, terms, conditions or privileges of employment, or any matter directly or indirectly related to employment, because of race, color, religion, sex, handicap, national origin or ancestry. Section VI CITY HEREBY AGREES TO INDEMNIFY AND HOLD HARMLESS BP, ITS AFFILIATED COMPANIES AND ITS AND THEIR RESPECTIVE OFFICERS, DIRECTORS, AGENTS, EMPLOYEES AND CONTRACTORS FROM AND AGAINST ANY AND ALL LIABILITIES, CLAIMS, LOSSES, FINES, DAMAGES, COSTS AND EXPENSES (INCLUDING COSTS AND EXPENSES OF DEFENSE), WHICH ARE CAUSED IN WHOLE OR IN PART BY OR ARISE OUT OF ANY ACT 3 OR OMISSION OF CITY, ITS EMPLOYEES, AGENTS OR CONTRACTORS IN THE PERFORMANCE OF THE WORK OR ANY DUTY, OBLIGATION OR SERVICE PURSUANT TO THIS AGREEMENT; EXCEPT, HOWEVER, THIS INDEMNITY SHALL NOT APPLY TO THE EXTENT OF THE GROSS NEGLIGENCE OR WILLFUL MISCONDUCT OF COMPANY, ITS EMPLOYEES, AGENTS OR CONTRACTORS. IF ANY PROVISION OF THIS INDEMNITY IS DETERMINED BY A COURT OF COMPETENT JURISDICTION TO BE INVALID OR UNENFORCEABLE, THE REMAINING PROVISIONS OF THIS INDEMNITY WILL REMAIN IN EFFECT TO THE MAXIMUM EXTENT PERMITTED BY LAW. NOTWITHSTANDING ANYTHING IN THIS AGREEMENT TO THE CONTRARY, NEITHER PARTY HERETO SHALL BE LIABLE TO THE OTHER PARTY FOR CONSEQUENTIAL, INCIDENTAL, EXEMPLARY OR PUNITIVE DAMAGES (INCLUDING, BUT NOT LIMITED TO, LOST PROFITS, LOSS OF PRODUCTION OR OTHER DAMAGES ATTRIBUTABLE TO BUSINESS INTERRUPTION) ARISING IN CONNECTION WITH THIS AGREEMENT. Section VII The term of this Agreement shall commence on the Effective Date and continue for a period of one year. The term of this Agreement shall not be extended unless an authorized representative of CITY and BP agree in writing to extend the term. If the Work is not completed within the one year term, or any agreed upon extension of the term, through no fault of BP, BP shall have the option to not perform or complete the Work. Section VIII Without limitation or waiver of any of BP’s rights elsewhere set forth in this Agreement, BP reserves the right, with cause, to stop the Work at any time and in addition thereto to immediately terminate this Agreement without liability. Section IX This Agreement constitutes the entire agreement, and supersedes all other prior agreements and understandings, both written and oral, among the parties, with respect to the subject matter of this Agreement. This Agreement may be amended, modified, or supplemented but only in writing signed by an authorized representative of both BP and CITY Section X The provisions of this Agreement are solely for the benefit of the parties to this Agreement and no provision of this Agreement should be deemed to confer upon any other party any remedy, claim or right. Section XI If any term or provision of this Agreement shall be found to be invalid , illegal or otherwise unenforceable, the same shall not affect the other terms or provisions hereof or the whole of this Agreement, but such term or provision shall be deemed modified to the extent necessary to render such term or provision enforceable, and the rights and obligations of the parties shall be construed and enforced accordingly, preserving to the fullest permissible extent the intent and agreements of the parties as set forth herein. Section XII This Agreement shall be construed in accordance with the laws of the United States and the state where the Work is to be performed, without regard to such state's conflicts of law rules. IN WITNESS HEREOF, the parties hereto separately and severally have caused this AGREEMENT to be executed in their respective names by and through their duly authorized representatives, as of the day and year first above written . WITNESS: WITNESS: -Tri~yCierk By:~~~~~~~r-~~~----- Name : CeRt!!-/~1 J1l,11.e/ Please print Title: &t~~t:/e~ CITY OF DUBUQUE f?-..---, By: ____ -.,~---------------------- Name: Michael C. Van Milligen Please print Title: City Manager City of Dubuque, Iowa 4