R-11-04-28-12C3 - 4/28/2011RESOLUTION NO. R -11-04-28-12C3
WHEREAS, the City of Round Rock wishes to enter into a Reimbursement Agreement with
Atmos Energy Corporation ("Atmos") for the relocation of gas pipelines owned by Atmos in
connection with the Red Bud Lane Phase IV Project, Now Therefore
BE IT RESOLVED BY THE COUNCIL OF THE CITY OF ROUND ROCK, TEXAS,
That the Mayor is hereby authorized and directed to execute on behalf of the City said
Reimbursement Agreement with Atmos Energy Corporation, a copy of same being attached hereto as
Exhibit "A" and incorporated herein for all purposes.
The City Council hereby finds and declares that written notice of the date, hour, place and
subject of the meeting at which this Resolution was adopted was posted and that such meeting was
open to the public as required by law at all times during which this Resolution and the subject matter
hereof were discussed, considered and formally acted upon, all as required by the Open Meetings Act,
Chapter 551, Texas Government Code, as amended.
RESOLVED this 28th day of April, 2011.
ALAN MCGRAW, Mayor
City of Round Rock, Texas
ATTEST:
)0444)1_-. (Atvt7k-
SARA L. WHITE, City Secretary
O:\wdo x\S CClnts\01121104\MUNI CI PAL\00219968. DOC/rmc
EXHIBIT
REIMBURSEMENT AGREEMENT ■ All
This Reimbursement Agreement ("Agreement') made this day of April, 2011, by
and between ATMOS ENERGY CORPORATION, a Texas and Virginia corporation,
having a business address at 5420 LBJ Freeway, Suite 1800, Dallas, Texas 75240
("Atmos") and the CITY OF ROUND ROCK, a Texas home -rule municipal
corporation, having a business address at 221 East Main Street, Round Rock, Texas
("CORR").
WITNESSETH:
WHEREAS, CORR is proposing to construct a concrete fence along a portion of
CR 122 (the "Project"); and
WHEREAS, Atmos has a gas lines that are in conflict with the CORR's project;
and
WHEREAS. CORR has requested that Atmos relocate or cause to be relocated
their gas lines to accommodate the proposed improvements; and
WHEREAS, Atmos has agreed to the relocation it facilities as shown on the
plans attached hereto as Exhibit "A" and made a part hereof ("Relocation Services") and
has prepared a good faith cost estimate set forth on Exhibit "B" attached hereto and made
a part hereof ("Estimate"); and
WHEREAS, CORR agrees to reimburse Atmos for 50% of the actual expenses
incurred by Atmos related to the Relocation Services requested by CORR.
NOW, THEREFORE, in consideration of mutual promises contained herein, the
parties agree as follows:
1. Atmos agrees to provide the Relocations Services to install approximately 800
feet of 6 -inch poly II gas main, and abandon in place approximately 775 feet
of existing 6 -inch poly II gas main. The starting date will be fixed by mutual
agreement of the parties hereto and Atmos shall use commercially reasonable
efforts to complete the Relocation Services in accordance with the Schedule,
subject however, to delays caused by persons or events outside the reasonable
control of Atmos.
2. The actual cost of the relocation is estimated to be $140,362.20. CORR agrees
to reimburse Atmos 50% of the actual costs of the Relocation Services, an
amount estimated to be $70,181.10. Atmos shall submit. to CORR a detailed
written report itemizing the total costs incurred, including all supporting
information documenting all amounts incurred for which reimbursement is
claimed and verifying that the Relocation Services are in accordance with the
requirements of this Agreement and that any change orders increasing the cost
for the Relocation Services above the threshold described below were
submitted and approved by CORR prior to incurring such additional costs.
Upon Completion of the Relocation Services, Atmos shall present CORR with
a detailed invoice of the actual Relocation Services performed and CORR
agrees to make, within thirty (30) days from the date of the properly detailed
invoice, a one-time reimbursement payment of the actual costs. In the event,
after actual solicitation of bids, the estimated costs of the Relocation Services
exceed the Cost Estimate by 10% or more, then, prior to incurring such
additional expense, Atmos shall submit the additional costs to CORR for
approval, which approval shall not be unreasonably withheld, delayed, or
conditioned. Any request for approval made by Atmos in writing and not
specifically approved or disapproved within 5 business days shall
automatically be deemed approved by CORR. Neither enhancement nor
betterment costs shall be reimbursed by CORR.
3. The obligation of CORR to make a cost reimbursement payment under this
Agreement does not constitute a general obligation or indebtedness of CORR
for which CORR is obligated to levy, pledge or collect any form of taxation.
4. The parties agree to exercise all due caution while causing any work to be
done near the gas line in order to prevent damages to the gas line.
5. Not withstanding any other provisions of this Agreement, in no event shall
either party be liable to the other for any indirect, consequential or incidental
damages, including but without limitation, loss of revenue, loss of customers
or loss of profits arising from the Agreement and the performance or non-
performance of obligations hereunder.
6. Atmos agrees to indemnify and hold harmless CORR, its agents and
employees, against and from any and all liability, loss and expense and shall
defend all claims, resulting from the loss of life or damage or injury to persons
or property directly or indirectly resulting from the work performed by Atmos
to the extent such loss, damage or injury, is caused by the negligence or
willful misconduct of Atmos or its agents or arises out of or in connection
with the Relocation Services. As a necessary condition for such indemnity to
be enforceable against Atmos:
(i) Atmos shall be notified in writing promptly of any and all
claims, liability, loss and expense for which CORR seeks
indemnification from Atmos, and
(ii) Atmos shall have sole control of the defense of any and all
claims, liability, loss and expense and all negotiations for
their settlement of compromise.
7. This Agreement shall be enforceable in Round Rock, Williamson County,
Texas, and if legal action is necessary by either party with respect to the
enforcement of any or all of the terms or conditions herein, exclusive venue
for the same shall lie in Williamson County, Texas. This Agreement shall be
governed by and construed in accordance with the laws and court decisions of
the State of Texas.
8. No party may assign its rights and obligations under this Agreement without
the prior written consent of the other party, which consent shall not be
unreasonably withheld, conditioned, or delayed. Notwithstanding the
foregoing, it is understood that Atmos intends to contract the Relocation
Services work to a general contract, which will in turn may subcontract all or
part of the Relocation Services.
9. This Agreement shall be binding upon and inure to the benefit of the parties to
this Agreement and their respective heirs, executors, administrators, personal
representatives, legal representatives, successors and assigns, subject to the
provisions of Section 8.
10. In case any one or more of the provisions contained in this Agreement shall be
held to be invalid, illegal, or unenforceable in any respect, such validity,
illegality, or unenforceability shall not affect any other provisions of the
Agreement, and this Agreement shall be constructed as if such invalid, illegal,
or unenforceable provision had never been contained in the Agreement.
Effective date of agreement as of date of approved by the City Council:
CITY OF ROUND ROCK ATMOS - ERGY CORP 1 RATION
By: By:
Alan McGraw, Mayor
ATTEST:
By:
Sara White, City Secretary
APPROVED AS TO FORM:
By:
Stephan L. Sheets, City Attorney
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Project Cost Estimate
CR 122 Gas Main Relocation to eliminate conflict with proposed concrete fence
Config # / 1480615
Williamson County, Texas
• Atmos Labor: $5,000.00
Design & Inspection of Work
• Contractor Labor: $70,200.00
Bore, Vac Truck, Shoring Equip, Traffic Control
• Material: $4,000.00
Pipe & Fittings
• Overheads: $39,600.00
@ 50%
• Interest Carrying Cost $21,562.20
@ 18.15%
Total Cost $140,362.20
Approximately 800 ft of 6 -inch IP Poly II will be relocated along Cr. 122 to eliminate conflict.
Installing approx. 800 ft. of 6 -inch IP Poly II Pipe.
Abandon approx. 775 ft of 6 -inch IP Poly II Pipe
The City of Round Rock would be responsible for half the cost, $70,181.10
After project is complete, the final cost will be based on the actual cost and a true -up will be
performed at that time.
ROUND ROCK, TEXAS
PURPOSE. PASSION. PROSPERITY
Agenda Item No. 12C3.
City Council Agenda Summary Sheet
Agenda Caption:
Consider a resolution authorizing the Mayor to execute a Reimbursement Agreement with
Atmos Energy Corporation for the relocation of gas lines required by the Red Bud Lane
Phase IV Project.
Meeting Date: April 28, 2011
Department: Infrastructure Development and Construction Management
Staff Person making presentation: Tom Word, P.E.
Chief of Public Works Operations
Item Summary:
This agreement with Atmos Energy Corporation (Atmos) will facilitate the relocation of a gas line along the west side
of Red Bud Lane. This agreement will commit the City to fund 50% of the relocation.
The Red Bud Lane Phase IV Project provided for the reconstruction of Red Bud Lane from County Road 123 south to
Woodland Lane. The construction contract included corridor fencing along the single-family lots in Forest Bluff
Subdivision on the west side of Red Bud Lane from south of County Road 123 to north of Forest Ridge Boulevard.
The roadway reconstruction is substantially complete. However, when the corridor fencing portion of the project
was commencing, a gas line was discovered to be in conflict with the fencing. The City contacted Atmos during the
design of the project in an effort to determine if the project would potentially conflict with existing gas
infrastructure. However, it appears that Atmos did not notice the proposed corridor fencing.
Upon execution of this agreement, Atmos will forthwith work on relocating approximately 800 feet of the gas line. It
is anticipated that the gas line relocation would be completed in 30 — 45 days. The corridor fencing is anticipated to
be completed 45 - 60 days thereafter, and its completion will bring an end to the entire project.
Strategic Plan Relevance:
26.0 - Construct major elements of the transportation and mobility system as approved by Council in the Master
Transportation Plan.
Cost: $70,180.10
Source of Funds: Round Rock Transportation Development Corporation Construction
Date of Public Hearing (if required): N/A
Recommended Action: Approval
EXECUTED
DOCUMENT
FOLLOWS
REIMBURSEMENT AGREEMENT
This Reimbursement Agreement ("Agreement') made this 20` day of April, 2011, by
and between ATMOS ENERGY CORPORATION, a Texas and Virginia corporation,
having a business address at 5420 LBJ Freeway, Suite 1800, Dallas, Texas 75240
("Atmos") and the CITY OF ROUND ROCK, a Texas home -rule municipal
corporation, having a business address at 221 East Main Street, Round Rock, Texas
("CORR").
WITNESSETH:
WHEREAS, CORR is proposing to construct a concrete fence along a portion of
CR 122 (the "Project"); and
WHEREAS, Atmos has a gas lines that are in conflict with the CORR's project;
and
WHEREAS. CORR has requested that Atmos relocate or cause to be relocated
their gas lines to accommodate the proposed improvements; and
WHEREAS, Atmos has agreed to the relocation it facilities as shown on the
plans attached hereto as Exhibit "A" and made a part hereof ("Relocation Services") and
has prepared a good faith cost estimate set forth on Exhibit "B" attached hereto and made
a part hereof ("Estimate"); and
WHEREAS, CORR agrees to reimburse Atmos for 50% of the actual expenses
incurred by Atmos related to the Relocation Services requested by CORR.
NOW, THEREFORE, in consideration of mutual promises contained herein, the
parties agree as follows:
1. Atmos agrees to provide the Relocations Services to install approximately 800
feet of 6 -inch poly II gas main, and abandon in place approximately 775 feet
of existing 6 -inch poly II gas main. The starting date will be fixed by mutual
agreement of the parties hereto and Atmos shall use commercially reasonable
efforts to complete the Relocation Services in accordance with the Schedule,
subject however, to delays caused by persons or events outside the reasonable
control of Atmos.
2. The actual cost of the relocation is estimated to be $140,362.20. CORR agrees
to reimburse Atmos 50% of the actual costs of the Relocation Services, an
amount estimated to be $70,181.10. Atmos shall submit to CORR a detailed
written report itemizing the total costs incurred, including all supporting
information documenting all amounts incurred for which reimbursement is
claimed and verifying that the Relocation Services are in accordance with the
requirements of this Agreement and that any change orders increasing the cost
for the Relocation Services above the threshold described below were
submitted and approved by CORR prior to incurring such additional costs.
Upon Completion of the Relocation Services, Atmos shall present CORR with
12-1(-v4 1>i3,-12.13
a detailed invoice of the actual Relocation Services performed and CORR
agrees to make, within thirty (30) days from the date of the properly detailed
invoice, a one-time reimbursement payment of the actual costs. In the event,
after actual solicitation of bids, the estimated costs of the Relocation Services
exceed the Cost Estimate by 10% or more, then, prior to incurring such
additional expense, Atmos shall submit the additional costs to CORR for
approval, which approval shall not be unreasonably withheld, delayed, or
conditioned. Any request for approval made by Atmos in writing and not
specifically approved or disapproved within 5 business days shall
automatically be deemed approved by CORR. Neither enhancement nor
betterment costs shall be reimbursed by CORR.
3. The obligation of CORR to make a cost reimbursement payment under this
Agreement does not constitute a general obligation or indebtedness of CORR
for which CORR is obligated to levy, pledge or collect any form of taxation.
4. The parties agree to exercise all due caution while causing any work to be
done near the gas line in order to prevent damages to the gas line.
5. Not withstanding any other provisions of this Agreement, in no event shall
either party be liable to the other for any indirect, consequential or incidental
damages, including but without limitation, loss of revenue, loss of customers
or loss of profits arising from the Agreement and the performance or non-
performance of obligations hereunder.
6. Atmos agrees to indemnify and hold harmless CORR, its agents and
employees, against and from any and all liability, loss and expense and shall
defend all claims, resulting from the loss of life or damage or injury to persons
or property directly or indirectly resulting from the work performed by Atmos
to the extent such loss, damage or injury, is caused by the negligence or
willful misconduct of Atmos or its agents or arises out of or in connection
with the Relocation Services. As a necessary condition for such indemnity to
be enforceable against Atmos:
(i) Atmos shall be notified in writing promptly of any and all
claims, liability, loss and expense for which CORR seeks
indemnification from Atmos, and
(ii) Atmos shall have sole control of the defense of any and all
claims, liability, loss and expense and all negotiations for
their settlement of compromise.
7. This Agreement shall be enforceable in Round Rock, Williamson County,
Texas, and if legal action is necessary by either party with respect to the
enforcement of any or all of the terms or conditions herein, exclusive venue
for the same shall lie in Williamson County, Texas. This Agreement shall be
governed by and construed in accordance with the laws and court decisions of
the State of Texas.
8. No party may assign its rights and obligations under this Agreement without
the prior written consent of the other party, which consent shall not be
unreasonably withheld, conditioned, or delayed. Notwithstanding the
foregoing, it is understood that Atmos intends to contract the Relocation
Services work to a general contract, which will in turn may subcontract all or
part of the Relocation Services.
9. This Agreement shall be binding upon and inure to the benefit of the parties to
this Agreement and their respective heirs, executors, administrators, personal
representatives, legal representatives, successors and assigns, subject to the
provisions of Section 8.
10. In case any one or more of the provisions contained in this Agreement shall be
held to be invalid, illegal, or unenforceable in any respect, such validity,
illegality, or unenforceability shall not affect any other provisions of the
Agreement, and this Agreement shall be constructed as if such invalid, illegal,
or unenforceable provision had never been contained in the Agreement.
Effective date of agreement as of date of approved by the City Council:
CITY OF ROUND ROCK ATMOS ERGY CORP 1 RATION
By: 0 ni)
Alan McGraw, Mayor
ATTEST:
By: Zi . 1kV,
Sara White, City Secretary
APPROVED AS TO FORM:
L. Sheets, City Attorney
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FOREST BLUFF TRL
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Project Cost Estimate
CR 122 Gas Main Relocation to eliminate conflict with proposed concrete fence
Config # / 1480615
Williamson County, Texas
• Atmos Labor: $5,000.00
Design & Inspection of Work
• Contractor Labor: $70,200.00
Bore, Vac Truck, Shoring Equip, Traffic Control
• Material: $4,000.00
Pipe & Fittings
• Overheads: $39,600.00
@ 50%
• Interest Carrying Cost $21,562.20
@ 18.15%
Total Cost $140,362.20
Approximately 800 ft of 6 -inch IP Poly II will be relocated along Cr. 122 to eliminate conflict.
Installing approx. 800 ft. of 6 -inch IP Poly II Pipe.
Abandon approx. 775 ft of 6 -inch IP Poly II Pipe
The City of Round Rock would be responsible for half the cost, $70,181.10
After project is complete, the final cost will be based on the actual cost and a true -up will be
performed at that time.