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HomeMy WebLinkAboutResolution No. 738RESOLUTION NO. A RESOLUTION OF THE BOARD OF DIRECTORS OF THE REDEVELOPMENT AGENCY OF THE CITY OF AZUSA APPROVING AN AGREEMENT FOR PAYMENT OF INFRASTRUCTURE COSTS FOR THE CENTENNIAL SQUARE REDEVELOPMENT PROJECT SITE, DATED SEPTEMBER 4, 1990 WHEREAS, Agency staff and the Developer of Centennial Square have met and resolved ambiguous language in the Disposition and Development Agreement (DDA) by and between the Agency and the Developer in regard to who should pay for specific infrastructure costs necessary to implement the Centennial Square project; and WHEREAS, Agency staff and the Developer have established a procedure for the Developer to contract for those infrastructure costs the Agency is responsible for providing; and WHEREAS, Agency staff and the Developer have also reached agreement as to the procedure for the Agency to reimburse the Developer for the costs the Developer incurs in providing infrastructure improvements that the Agency is responsible for providing; and WHEREAS, the agreement reached between Agency staff and the Developer is in keeping with the spirit of the DDA in regard to which party should pay for what infrastructure improvements; and WHEREAS, the agreement for the payment of infrastructure costs will get work started on utility relocations and other improvements in the site prior to the close of escrow and will also result in more speedy construction once the site is conveyed to the Developer. NOW. THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE REDEVELOPMENT AGENCY OF THE CITY OF AZUSA AS FOLLOWS: SECTION 1. The Board of Directors of the Redevelopment Agency of the City of Azusa hereby approves an agreement between the Agency and the Developer titled, "Agreement for payment of infrastructure costs for the Centennial Square Redevelopment Project Site," dated September 4, 1990 and authorizes the Chairman to execute said agreement on behalf of the Agency in substantially the same form as attached hereto as "Exhibit All. SECTION 2. The Secretary shall certify the adoption of this Resolution. PASSED, APPROVED AND ADOPTED this 4th day of September, 1990 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Board of Directors of the Redevelopment Agency of the City of Azusa, at a regular meeting thereof, held on the 4th day of September, 1990 by the following vote of the Directors: AYES: DIRECTORS: DANGLEIS, STEMRICH, NARANJO, ALEXANDER, MOSES NOES: DIRECTORS: NONE ABSENT: DIRECTORS: NONE 'Secre£ary 0 0 AGREEMENT FOR PAYMENT OF INFRASTRUCTURE COSTS FOR THE CENTENNIAL SQUARE REDEVELOPMENT PROJECT SITE WHEREAS, Agency staff and the Developer of Centennial Square under the February 6, 1989 Disposition and Development Agreement (DDA) between the City of Azusa Redevelopment Agency and DeRosa Centennial Associates met on August 8, 1990 to clairify ambiguous language in the DDA pertaining to who will pay for various infrastructure improvements necessary for the project's implementation; and WHEREAS, Agency staff and the Developer came to an agreement at their August 8, 1990 meeting as to who should pay for what infrastructure costs and the procedure to be followed for payment of these costs; and WHEREAS, during said meeting, Agency staff and the Developer came to an agreement to deposit $50,000 into escrow on behalf of the Developer as a means of returning to the Developer the $50,000 liquidated damages deposit filed with the Agency by the Developer. NOW, THEREFORE, the parties hereto agree as follows: SECTION 1: Subject to the terms of this agreement, the Agency agrees to pay all reasonable third party engineering design and construction costs associated with the following: 1. Upgrading off-site water lines that must be installed to accomodate fire flows for the project that are required by the Fire Department. Lateral connections to meters or fire hydrants are not included. 2. The construction of storm drains, inlet structures and street crowns outside the curb/gutter boundary of the project site to accomodate adequate off-site drainage. 3. Relocation of on-site utility systems for sewer and gas that will be necessary to accomodate new Building C. 4. The entire cost of demolition of existing curbs, gutters and sidewalks around the project site and fifty percent (50%) of the costs associated with installation of new sidewalks. 5. Installation of new curbs and gutters along San Gabriel Avenue. Agreement for payment of infrastructure costs in Centennial square Page 2 6. Undergrounding of phone and electric utilities north across Foothill Boulevard to the property line. 7. Undergrounding of the telemetry line at the north boundary of the project site within the easement established on the north 15 feet of the property. 8. Demolition of the existing north/south alley in the project site and demolition of that portion of Santa Fe Avenue, and associated median islands, that lies within the project site. SECTION 2: The Developer shall cause the above work to be performed, at the Agency's expense. Prior to awarding a contract for said work, the Developer shall obtain at least three bids and submit the bid documentation to the Agency for review prior to authorizing the work. The Agency shall have five (5) working days after receipt of the bid documentation to select the bid which should be awarded a contract for the above work. If the Agency fails to approve a contract within five (5) working days of receipt of the bid documentation, the Developer may authorize a contract for the work to the lowest responsible bidder and the Agency shall be deemed to have authorized said contract. SECTION 3. When obtaining bids for the above work, the Developer shall have the contractors call out in their bids, whenever possible, unit costs for said work, such as cost per square foot or per linear foot. The Developer's bid documents shall clearly delineate and segregate those work elements to be funded in whole or in part by the Agency. In addition, the Developer's bid documents for Agency paid work shall indicate that contractors performing this work will be required to comply with Sections 1776, 1777.5 and 1777.6 of the State Labor Code in regard to the employment of apprentices and payment of prevailing wages to workers employed to perform said work. SECTION 4. In order to expedite construction of the project, the Developer will obtain bids for the work described in this agreement immediately after execution of this agreement and shall then proceed in an expeditious manner, after the Agency bid review described above, to award contracts for the work so the P Agreement for payment of infrastructure costs in Centennial Square Page 3 0 work may be completed as soon as possible, even if the Developer has not yet closed escrow to purchase the project site from the Agency. The only exception to this shall be the work to be performed under Item 8 of Section 1 of this agreement. For the work to be performed under Item 8 of Section 1, the Developer shall obtain bids for the work and award a contract, with the understanding among all parties, including the contractor, that this work will not be performed until the Azusa City Council acts to vacate the alley and portion of Santa Fe Avenue addressed in Item 8 of Section 1, with the vacation to most likely occur in November 1990. SECTION 5. The Developer shall pay the contractors performing the work described in this agreement and the Agency shall reduce the sales price of the project site through escrow in an amount up to one hundred ten percent (110%) of the cummulative total of the work described in this agreement in order to cover the cost of any possible change orders. If the actual cost of the work to be performed falls below the amount by which the Agency reduced the sales price of the project site, the Developer agrees to reimburse the Agency for the difference. If actual costs exceed the cost estimate by more than 110 percent, the Agency shall pay the difference to the Developer directly. SECTION 6. The Developer may hire the Engineering firm of its choice to prepare design plans for the work described under this agreement without resorting to competitive bidding. However, the Agency reserves the right to limit its financial exposure for payment of this engineering work to a maximum of six percent (6%) of the cost of the work for which the design plan is being prepared, unless prior agreement is reached with the Agency to have the Agency pay more than the established percentage. The Developer shall submit documentation to the Agency to verify the actual cost of said design work, even if the work costs less than the six percent maximum established in this section. SECTION 7. In the event that the Agency is unable to convey the project site to the Developer as outlined in the DDA, the Agency agrees to indemnify and pay the Developer for the actual costs incurred by the Developer for work that has been completed under this agreement. Agreement for payment of infrastructure costs for Centennial Square Page 4 SECTION 8. In addition to the construction costs listed in Section 5 of this agreement, the Agency shall deposit into escrow for the Developer the amount of $50,000 as a means of returning the Developer's $50,000 liquidated damages deposit that was posted with the Agency. SECTION 9. Payment for any infrastructure costs not mentioned in this agreement shall be made by the party responsible for said payment as dictated by the DDA between the Agency and the Developer. APPROVED AND ADOPTED by the City of Azusa Redevelopment Agency on September 4, 1990. CITY OF AZOSA REDEVELOPMENT AGENCY By: Eug a Moses, Chairman Attest Adolph Olis, Secretary DEROSA By: ASSOCIATES James A. DeRosa APPROVED AS TO FORM By: x A,a Peter M. Thorson Agency Counsel