R-89-1384 - 11/21/1989WHEREAS, Transamerica Insurance Company issued a performance
bond, as surety, for River City Excavating, the general contractor
for a certain public works project known as "Bowman Road, Phase II
Street and Drainage Improvements" ( "the Project "), and
WHEREAS, after off -sets for liquidated damages and attorney's
fees in favor of the City, a balance of Fifty -Seven Thousand, Eight
Hundred Four and 45/100 Dollars ($57,804.45) remains due and owing
under the contract for the above - described project; and
WHEREAS, Transamerica Insurance Company, having fulfilled its
obligations under the surety bond, has requested the City to release
the Company from any further claims or liability relating to the
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 a Release which is attached hereto and
incorporated herein for all purposes.
RESOLVED this 21st day of November, 1989.
ATTEST:
NE LAND, City Secretary
C- RS11219H
RESOLUTION NO. I J D 1 F
MIKE ROBINSON, Mayor
City of Round Rock, Texas
DATE: November 17, 1989
SUBJECT: City Council Agenda, November 21, 1989
ITEM: 9G. Consider a resolution authorizing the Mayor to sign a release
for Transamerica Insurance Company from any liability for the
Bowman Road Phase II Project.
STAFF RESOURCE PERSON: Steve Sheets
STAFF RECOMMENDATION: River City Excavating was the general contractor
for the Bowman Road, Phase II Street and
Drainage Improvements project. River City was
unable to complete the project. Transamerica
Insurance Company issued a performance bond,
as surety, for the project, and thereby was
responsible for the completion of the project
and the payment to all unpaid sub - contractors.
A Balance of approximately $67,104.45 is due
and owing under the contract. Transamerica has
agreed to allow the City to retain $9,000.00
as liquidated damages for delay and $300.00
for attorneys fees. Therefore, $57,804.45 is
due and owing to Transamerica Insurance Company.
As consideration for the retainage of the
$9,000.00 as liquidated damages and $300.00 for
attorney's fees, Transamerica Insurance Company
has requested the City to sign a mutual release
for all existing or future liabilities. Staff
recommends payment of $57,804.45 and signing of
release.