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HomeMy WebLinkAbout2002-04-22 02-182 ORDERDate: 422-02 Item/Subject: Order, Authorizing the City Manager W Execite an Agreement with Telford Aviation for Improvements W Hangar 1 at Bangor International Airport Responsible Department: Airport Last fall, the City Council authorized the Airport to set aside $200,000 for improvements and renovations W Hangar 1 and to lease additional space in Hangar 1 to Telford Aviation. At that time, the unden-tanding was that Telford would undertake a series of long -needed Improvements to this hangar and that the Airport would credit this leasehold Improvement work against amounts due to the City from Telford at BO% of actual expenditures. Thus, for $200,000 in improvements, Telford would receive $160,000 in credits, our estimate of the on-going value of the improvements to the Airport In addition, the City agreed to reimburse Telford for the full cost of any required asbestos removal from the structure. The attached agreement will formalize the understandings between the parties and allow the City to begin to recognize the costs of the improvements undertaken by Telford. It has been prepared by Me Legal Department and reflects the understandings between the parties and the actions previously taken by the parties. The Business and Economic Development Committee reviewed and has recommended your approval of this agreement. As a part of this review, the Committee also received a briefing from Telford Aviation on Its recent activities and the current status of their operations. Telford continues to expand and grow its business, and we hope W continue W work closely with them on future expansions in the future. Meese also note that as this project has moved forward, It has also been determined that additional life safety improvements are needed to the structure including a sprinkler system and upgraded fire separation. These were not included in the original improvement estimates, and we may come forward In the future with an amendment W this agreement to recognize this additional work. We would, however, request approval of this agreement so that we can move forward with recognizing the work completed to date. Primers �ead Manager's Comments: Recommend approval Gtr' Manager Associated Information: Order, Agreement Budget Approval: finance Director Legal Approval: iry olicitar Introduced for X Passage _ First Reading page_ of Referral o2-la2 Assigedw Councilor Palmer April 22, 2002 CITY OF BANGOR (TITLE.) Order, Authorizing the City Manager to Execute an Agna=ment with Telford Aviation for Improvements to Hangar 1 at Bangor International Airport ORDERED, That the City Manager is hereby authorized to a to the attached agreement with Telford Aviation for Improvements to Hangar I at Bangor International Airport IK CITY COUNCIL April 22. 2002 xotion Made And Seconded for Passage Passed C CLH� 02-182 ORDER Title, Authorizing the C1ry Manager to Msecute as Agreement with Telford Aviatiov for Improvenents to Hangar 1 at Hengar IutereAtfooal Airport Assigned to Councilor i 416P PU/ o2-182 q ICOCYYN:IWILItlBtrtrW1 , This AGREEMENT made this day of, 2002 between the City of Bangor hereinafter referred to as the "Owner' and Telford Aviation, hereinafter referred to as the "Comnctor' The Parties noted above agree as follows: ARTICLE 1. STATEMENT OF WORK In consideration of the promises herein contained the Connector agrees to perform the work as set forth on Exhibit A attached hereto. ARTICLE 2. EXAMINATION OF SITE The Contractor agrees that the contract price spceified herein is based on the Contractors xaminadon of the site and that he will make no claim for additional compensation if the conditions encountered diti from Nose anticipated by such examination. ARTICLE 3. GROUND REPAIR The Contractor shall level, reseed, and place in condition any grounds which are damaged by said Contractor or payment due the Contractor will be withheld. ARTICLE 4. PERMITS, LICENSES AND COMPLIANCE WITH LAW In com section with the work to be performed, the Contractor at his expense, shall procure all necessary permits and licenses and agrees to comply with all laws, ordinances, codes and regulations applicable to the performance of work hereunder. ARTICLE 5. DEFINITIONS (a) The term "Owner' shall mean the City of Bangor. (b) The term "Corrtractor" shall mean the person or fimr entering into this contract to perform work or services for the Owner. (c) The term "days" shall mean calendar days. (d) The term "work" shall include all obligations, duties, requirements, and responsibilities, required for the successful completion of the contract by the Contractor including Semarang of all supervision, labor, materials, equipment and other supplies, in accordance with the terms and conditions set forth herein. Page I of ARTICLE 6. TIME OF COMPLETION AND LIQUIDATED DAMAGES The Contractor agrees to begin work on 2001 and be completed by 2002. ICICLE 7. RESPONSIBILITIES OF CONTRACTOR (a) Obtain any necessary licenses and permits. (b) Provide competent superintendence. (c) Take all precautions necessary to protect persons or property against injury or damage and be responsible for any such injury or damage as a result of his fault or negligerara. Ell Perform the work diligently and without uvnrassarily interfering with other contractors work or other activities of the Owner. ARTICLE 8. CONTRACT AMOUNT For fail and complete performance, Owner agrees to pay Contractor the sum of $200,000.00, payable after completion of the work in accordance with the terms hereof and to the satisfaction of the Owner. Said payment shall be made in the following manner: Contractor shall receive the amount due for payment of the subcontractor responsible for asbestos abatement aad removal upon presentation to Owner of the subcontractor's invoice, proof that Contractor paid the subcontracmr and documentation that the subcontractor completed the abatement and removal of asbestus. The parties acknolwledge that Contractor is inferred to Owner and,when payment is due to Contractor, eighty percent (80%) of any balance of the contract price due the Contractor shall be credited against Contractor's debt to Owner and the remainder of the balance due on the contract shall be remised to Contractor. ARTICLE 9. LABOR, MATERIALS, EQUIPMENT, ETC. The Contractor agrees to furnish all labor, material, supervision, tools, equipment and all other items of expense, except as otherwise specified herein, required to complete this wrount. ARTICLE I0. TAXES Unless otherwise specifically provided elsewhere, the Contractor shall not pay any sales and use taxes on labor, equipment, materials and personal property used or purchased for use in connection with the work. ARTICLE 11. WAIVER OF CLAIMS, LIENS, ETC. The Contractor individually and on behalf of its subcontractors, materialmen and workmen hereby waives and agrees to irWemaify and save harmless the Owner from all attachments, Page 2 af10 02-182 Cp claims and liens against the Ownrr and the Owner's property by reason of labor or materials or both, furnished for the work under this Contract. ARTICLE 12. BONDS In the event this contract exceeds $50,000.00, performance and payment bonds will be required by the City in the amount of 100% of the cost of the project prior to the start of work and the issuance of a purchase order. MvilM vRM1WRIWAV[Na' The Contractor shall arrange insurance for the minimum limits indicated and shall maintain the below listed coverages fluougbout the period of performance. LIMITS a. worlwrs' Compensation Statutory Insurance Employers Liability $100,000. each accident Insurance $500,000. disease -policy unit $100,000. disease -each employee b. Comprehensive General Liability (Public Liability) Insurance including: General Liability $1,000,000. aggregate Products Completed Operations $1,000,000. aggregate Personal & Advertising Injury S 500,000. Each Commence $ 500,000. Fire Damage $ 50,000.anyonefire Medical Expanse $ 5,000. any one person C. Automobile Liability Insurance (owned, hinted & non-owm od): Bodily Injury & $1,000,000 combined Property Damage single limit d. The Contractor shall provide a waiver of my rights of subrogation winch the Contractor my have against the Owner, its agents or its employees. e. Before my of the work is started ander the contract, the Contractor shall file with the Purchasing Department a certificate of insurance containing the following information in respect to all insurance carried: Page 3 of 10 oz -182 /D (1) Name of insurance company, policy number and expiration dale; (2) The coverages required and the limits on each, including the amount of deductible or self-insured retentions (which shall be for the account of the Contractor); (3) A statement indicating fast the Owner shall receive thirty (30) days notice of cancellation or significant modification of my of the policies which may affect the Owners Interest; and (4) The Owner as an additional insured (except Workers' Compensation Insurance). E If any of the vrork performed under the comma includes blasting, excavating, pile driving or caisson work; moving, shoring, undemnving, razing or demolition of any structure or removal or rebuilding of any structural support thereof, or my subsurface or under routs work, the Comprehensive Demand Liability Insurance policy shall include coverage forme explosion, collapse and underground hazards. ARTICLE 14. TITLE AND RISK OF LOSS Title to all completed or partially completed work on the Owners property and to all materials on be incorporated in the work shad at the Owners property shall be in the Owner. M spite of the foregoing, and prior to acceptance of the complete work by the Owner, the Contractor agrees to accept the entire risk of loss or the work being done and materials m be incorporated in the wark stared at the Owner's property from any ease whensoever mail the work bas been completed and accepted by the Owner. ARTICLE 15. INDEMNIFICATION The Contractor shall indemnify, defend and hold harmless the Owner &am and against at claims and actions, and all expenses incidental In such claims or actions, based upon or arising am of damage to property or injuries to parents or other tortious acts cased or contributed to by the Contractor or anyone acting under its direction or control or N it behalf in the course of its performance under this Agreement, provided the Contractor's aforesaid indemnity and hold harmless agreement shall not be applicable to my liability bored upon the sole negligence of the Center. The Contractor hereby expressly agess that it will defend, indemnify and bold the City of Bangor harmless from my and all claims made or asserted by Contractor agent, servants or employees arising out of Connector's activities under this Contract. For this oumme Contractor hereby expressly waives my and all immunity it may have under Maine's Workers QQattammon Act m regard IQ such claims oxide or assmaidb Contractor's employee . The indemnification provided under this paragraph shall extend to and include my and all carts incurred by the City of Bangor to answer, investigate, defend and settle all such claims, including but not limited in me City of Bongoes costs for attorneys fees, expert and other witness fees, the cost ofivvestigahm, and payment in full of my and all judgements rendered in favor of Contractors agents, servants or employees against me City of Bangor in regard to claims made or asserted by such agents, servants or employees. Page 4 of10 02 -lag ARTICLE 16. DEFECTIVE WORK No payment, in whole or in parr, shall be deemed a waiver of my defect in materials or workmanship, and the Owner reserves the right to withhold payment pending inspection of the work Performed by the Contractor. In spite of payment by the Owner the sums due hereunder or More of the Owner to discover or jem defective material and workmanship, the Contractor shall re-execme any work that fails to conform to the requirements of the Contract and appears during the progress of the work, and shall remMy any defects due to faulty materials or workmanship which appear within a period of one year firm the data of completion of the contract. The provisions of this article apply to work done by subcontractors as well as work done by direct employees of the Contractor. ARTICLE 17, CLEANING The Contractor shall, at its own expense, at all times keep the premises free from emulation of debris, waste material and rubbish, and at the completion of the work, he shall remove his tools and equipment and all surplus materials, debris, waste materiel and rubbish and shall leave the premises in areal and closer condition. If the Contractor does not allmd to such cleaning, the Owner shall have the right to have this work done by others and deduct the cost firm the payment due the Connector hereunder. ARTICLE I S. INDEPENDENT CONTRACTOR The Contractor shall a all times be an Independent Contractor in performing the wodr order this Contract including any addition thereon said shall fiunalt all supervision and direction required to complete the work. ARTICLE 19. MATERIALS AND WORKMANSHIP Urdess excepted or directed by the Owner, all material incorporated in the work shall be new. The work shall be performed in a skillfrd used professional manner. Both materials and workmanship shall be subject to the inspection of the Owner, who shall require the Contractor to correct defective workmanship or materials without cost to the Owner. Failure in inspect, or complete work not in accordance with the specifications, shall not relieve the Contractor from correcting all such work at his own expense. ARTICLE 20. PAYMENTS TO CONTRACTOR Upon completion and acceptance of all work by the Owns, the amount due the Contractor under this Contract shall be pvd upon the receipt ofaproperly suppo invoice(s). Said payment shall be as set both in Article 8, above. Prior 0 receiving final payment, the Contractor shall certify and finish lien waivers as satisfactory proof Nat all material and labor costs incurred herein have been fully paid and discharged. page 5 of 10 02-182 iz MANIMPWIF (a) Manufacturers warranties on equipment purchased and installed by the Contractor will be assigned by the Contractor no the Owner for its benefit prior to final payment. (b) In addition to any specific guaranties which may be required by the Technical Specification, the Contractor gueraatces all the work to be performed and all the materials to be famished order the Contract against defects for a period of one (1) year from the later of the date of acceptance, or the doe of completion and me by the Owner. The Contractor shall, as promptly as practicable after written notice, thereof, repaidreplace any defects in materials or workmanship which occur within said guarantee period, and any damage to other work caused by such defects or damage, at its own expense and without any cost to the Owner whatsoever. Repaired or replaced work shall tarty the same warranties and guaranties m the original work. ARTICLE 22. LAWS, ORDINANCES AND WORK RULES The Contractor doll comply with all applicable laws and regulations and shall fully indemnify, save harmless and Formal the Owner, the Owners successors, assigns, agents, customers, and atTrlimes, and agents and employees of all of them against any loss, claim liability damage, and expense arising from the Contractor's aetual or alleged noncompliance with such laws and regulations. ARTICLE 23. CHANGES The Owner may order changes in writing in the drawings and specifications within the general scope of the Order. If the changes involve an increase or decrease is the cost of or time required for performing the work, the Contractor shall so advise the Owner in writing and an equitable adjustment in costs or schedule will be negotiated. As a condition m any increase in the cost of the work, the Contractor shall submit in writing adequately documented costs incurred for any authorized change for review, evaluation and approval by the Owner. ARTICLE 24. TERIdINATION FOR DEFAULT/DAMAGPS FOR DELAYMIAE EXTENSIONS (a) If the Contractor does not prosecute the work in insure completion or fails to complete it within the time specified. The Owner may by written nonce: (I) Terminale the Contractors right to proceed by written notice and have the work completed by other contractors; in which event, the Contractor shall Inc liable for any resulting excess cost to the Owner. Page 6 of 10 02-182 N (2) Authentic due Contractor to continue the work to completion including use of overtirm; in which event, the Contractor shall be Gable for any actual damages sustained by the Owner resulting firm the delay. (b) The CoutractoYs riglst to proceed shall not be terminated for the Contractor charged with damages under (1) above because of my delay in completion of the work due to causes beyond his reasonable control and without its fault or negligence; provided that the Contractor shall notify the Owner in writing within five (5) days from the beginning of such delay of the causes and faces relating thereto. The Ownerr shall consider the facts and ascertain the extent of fire delay, and extend the time for completing the work, when in its judgement the fuels justify such an extension. The decision ofthe Owner shall be binding in all cases. ARTICLE 25. TERMINATION FOR THE CONVENIENCE OF THE OWNER The Owner may terminate this Contract in whole or in part for its convenience by written notice to the Contractor. In such event, the Owner will pay the Contractor its actual, necessary, reasonable and verifiable costs for terminating performance, which shall include that portion of the contract work which has been satisfactorily completed for which payment bas not been made. In no event shall the Owner be liable for cancellation charges in excess of line Convect Price, or unabsorbed shop overhead or anticipatory profit. ARTICLE 26. EQUAL EMPLOYMENT OPPORTUNITY The Contractor agrees not to discriminate against any employee or applicant for employment because of age, ruce,color, religion, sex or national origin. The Contractor shall comply with applicable laws, Executive Orders, and regulations concerning nondiscrimimation in employment, including the Equal Opportunity Clause of Section 202. Executive Order 11246, as amended, which is hereby incorporated by reference. ARTICLE 27. ASSIGNMENT OF CONTRACT This Contract or any part thereof shall not be assigned by the Contractor without written consent of the Owner, or shall the Contractor assign any monies due or to become due to him thereunder, without the prior written consent of fire Owner. ARTICLE 28. GOVERNING LAWS/DISPUTES In spite of any other provision of this Contract, any dispute concerning any question offset or law arising between the Contractor and the Owner shall be decided by a court ofcomperma jurisdiction of the State of Maine in accordance with the laws of the State of Maine. ARTICLE 29. LIENS The Contractor (1) shall indemnify and save homeless the Owner from all claims, demands, causes of action, or suits of whatever noture arising out of services, labor and materials fimished Page 7 of 10 02-182 /l by the Contractor or its subcontractors in the work, and from all laborers', materialsmm's and mecbanic's liens upon the property upon which the work is located arising out of the services, labor and materials famished by the Contractor or any of his subcontractors under the work, and (2) dull keep said property free and clear of all liens, claims, and encumbrances arising from the performance of the work by the Convector or its subcontractors. The Contractor shall have the right to contest the validity or amount of my such lien. If the Connector shall contest the validity or amount of any such lien, then upon the final determination of such questions, any judgement which may be rendered against the Contractor shall be promptly paid and it shall procure the release of such lien. Pending the discharge of my such lien of record and notice thereof to the Owner, the Owner may renin out of any monies then due or to become due the Contractor an amount sufficient to discharge such lien and to reimburse the Owner for any cost or expense incurred in any action m proceeding for the enforcement or removal thereof The Contractor agrees to reimburse the Owner for all monies paid and caucuses incurred by the Owner in discharging such fiery or in connection with any action or proceedings for the removal or enforcement of more. Before receiving final payment for its work the Contractor shall certify and furnish proof satisfactory to the Owner dual all material and equipment embodied in the work and all labor costs incurred thereon have been fully paid and discharged. The Contractor shall include a provision satisfying the requirements of this Article as a part of my and all subcontractors entered into for the wodr m any portion thereof. ARTICLE 30. PROTECTION OF PROPERTY AND PERSONS. The Contractor will adequately protect the Owner's property from injury or loss, mW will take all necessary preraations during the progress of the work to protect all persons and the property of others from injury or damage. The Contractor will assume full responsibility for all its tools and equipment and all materials to be used in connection with the completion of the work. ARTICLE 31. ASSIGNMENT AND SUBCONTRACTS The CONTRACTOR shall not assign his interest in its contract, sublet or subcontract any portionoftheworkwithoutwmtenpermissionofdre Owrar. The Ownerapprovesofthose subcsommors listed on Exhibit B, attached bereto. The Contractor agrees to bind every subcontractor approved by the Owner to all of the terms and conditions of this agreement The Contractor agrees that it is fully responsible to the Owner for the acts and omissions of it subcontractors and of persons either directly or indirectly employed by my subcontractor, m the Contractor is for the acts and omissions of himself and of persons directly employed by it. ARTICLE 32.OTHER WORK It is understood that work not covered by this Contract nay be performed by the Owner or others in the more area that most be occupied by the Contractor. In such event, the Contractor Page 8 of 10 m2-182 'V shall properly comet and coordinate its work with theirs. It is also understood that the Owner may occupy the premises during performance of work by the Contractor hereunder and that such omupancy shall not constitute acceptance of the work by the Owner. ARTICLE 33. SAFETY REGULATIONS The employees of the Connector will observe the Company's general safety rates and the area or departmental safety rules in the area in which they are working which will include the following: a. Smoking- Absolutely no smoking will be permitted except in authorized smoking areas. Any Contractor violating this rale shall be asked to leave the premises and will forfeit payment for work up or that point. b. Personal Protective Equipment- The Contractor will observe all reasonable requirements not be held responsible for furnishing to its employees any items of personal protective equipment which may be necessary for the safe peh rrmvice of the work (safety glasses, hard hats, etc.). C. Excavations and Barricading - The Contractor will be expected to use proper hammering, ropes, warnings signs and other such devices wherever excavating, performing overhead work, hoisting, opening pits or benches or the like is in progress. The Contractor will also keep all aisles and roadways clear, and at no face obstruct passageways to existing emergency equipment such as showers, eye wash fountains, fire blankets, hoses, alarm boxes, extinguishers, shut off valves and switch", etc. d. Unless other arrangements are worked out in advance with local management, the Contractor is expected to supply fire extinguishers, blanked and other fire fighting equipment in or near the work area. e. Good housekeeping conditions will be maintained at all times. The Contractor is responsible for cleanup and disposal of debris, the proper storage of materials, keeping his work smear clean and five oftipping hazards and wherever necessary the daily removal of trash and other were. f The Contractor will not manipulate any switch controls, valva or instruments without the advanced approval of local management. The Contractor will request advance permission before undertaking any work on piping distribution systems, utility lines entering tanks, sewers or vessels and as necessary for any work in or near special or hamrdous operations. ARTICLE 34. CONFLICTING TERMS, CONDITIONS OR SPECIFICATIONS. N the event that one item conflict with another item found in this contract or any other document pertaining to this contract, the item with the most stringent requirements shall prevail. Page 9 of 10 02-182 A47 ARTICLE 35. NOTICES All notices rationed or permitted to be given under this contract or the specifications shall be in writing and shag be deemed to be properly and sufficiently given when deposited in the U.S. mail, postage prepaid, registered or certified, and addressed to the party entidN to receive such notice as set forth below or to such other address as that party shall subsequently designate to the other party by notice given in accordance with this section. CITY CONTRACTOR David N. Pellegrino, Purchasing Agent NAME, Owner City of Bangor Telford Aviation 73 Harlow Street 154 Maine Avenue Bangor, Maine 04401 Bangor, Maine 04401 Notice give in any other manner shall be deemed eHavve only when the written notice is actually received "WR 10 mVNIT!c N:1ddSidai This Contract contains all the terms, conditions and provisions pertaining to the work, there being no other understandings, agreements, warranties either express or "Final, relative to the Contract that are not fully expressed herein. M WITNESS WHEREOF, the parties hereto have caused this agrement to be executed on the day and year first above written. WTTNESS: CITY OF BANGOR (OWNER) BY: Edward A. Burrett City Manager WITNESS: TELFORD AVIATION (CONTRACTOR) Title: Page 10 of 10