HomeMy WebLinkAboutContract 39119-TA1CITY SECRETARY
CONTRACT NO, R I 1
TAKEOVER AGREEMENT
This akeover Agreement (the "Agreement") is made and entered into this K) '
day of ) erm^A �q, , 2010 by and between AMERICAN SAFETY CASUALTY
INSURANCE COMPANY (the "Surety") and THE CITY OF FORT WORTH, TEXAS (the
"Owner").
RECITALS
WHEREAS, Dirtco, L.P. d/b/a Styles Contracting ("Former Contractor") and the
Owner entered into a contract ("Original Contract") to furnish all labor and materials and
perform all work for:
Job Title: HMAC Surface Overlay (2009-08)
Project #: C293-541200-207620132783
City Secretary #: 39119
Bond #: ASB512264
(The "Project") in accordance with the terms and provisions of the Original Contract,
including all contract documents forming a part of the Original Contract;
WHEREAS, as required by law and under the terms of the Original Contracts, the
Former Contractor as principal and the Surety made, executed and delivered to the
Owner Performance Bond No. ASB512264 (the "Bond");
WHEREAS, Former Contractor has abandoned the Original Contract and the
Owner has made demand upon the Surety under the Bonds and has called upon the
Surety to fulfill its obligations as surety under the terms of the Bonds;
WHEREAS, the Surety is willing to undertake the completion of those portions of
the Original Contract started but not completed by the Former Contractor in accordance
with the terms of the Bonds and this Agreement provided that in doing so it will receive
the consideration agreed to in accordance with the terms of this Agreement.
NOW, THEREFORE, in consideration of the agreements and undertakings
hereinafter set forth, and for other good and valuable consideration, the receipt and
adequacy therefore being hereby acknowledged, the Owner and the Surety agree as
follows:
AGREEMENT
Performance of the Work and Close-out.
The Surety hereby undertakes to cause the performance of the uncompleted work
as set forth in the Original Contract that has been prepared by the Owner pursuant
to the Original Contract and all associated change orders, if any and in so doing
agrees to be bound by the terms of the Original Contract. Ow
Takeover Agreement
2009-8 New Work
Page 1 of 7
OFFICIAL RECORD
CITY SECRETARY
FT. WORTH, TX
that other work in place undertaken by the Former Contractor and completed by
the Surety pursuant to a separate agreement is acceptable and that final
completion has been achieved with respect to that portion and only that portion of
the Project that the Former Contractor and Surety performed work on. Owner and
Surety here acknowledge that not all work required by the Original Contract has
been undertaken by the Former Contractor and that the balance of the work
required by the Original Contract is the subject of this agreement. Owner has
identified generally the scope of remaining work item and estimated unit quantities
on exhibit "A' attached hereto.
The Owner acknowledges that the Surety, by its execution of this Agreement, is
acting in its capacity as the surety for the Former Contractor in making
arrangements for the performance and completion of the Original Contract, and
not as a completing contractor, and that the Surety is not assuming any obligations
or liabilities beyond those set forth in the Bonds. As to the performance and
completion of the Original Contract, except as otherwise provided in this
Agreement, the Surety is entitled to all of the rights, obligations, title and interest of
the Former Contractor in and to the Original Contract in all respects as if the
Surety were the original party to the Original Contract. The term "Contractor" as
used in the Original Contracts shall be deemed, after the effective date of this
Agreement, to refer to the Surety rather than to the Former Contractor.
2. Completion Contractor.
The Owner acknowledges that the Surety will arrange for the performance of the
work contemplated by this agreement through a completion contractor and will
enter into a completion contract that will subsequently be assigned to Owner.
3. Contract Balances.
The remaining Contract Balance associated with the Project is: $838,974.18 and
the retainage balance is $0.00.
The Owner acknowledges that the amount set out above ("Contract Balance") is
available to complete the Project and is not subject to back charges, set -offs,
liquidated damages or other withholdings as of the date of this Agreement.
The Owner agrees that the Contract Balance is dedicated to and will be applied to
the completion of work contemplated by this Agreement. Owner will pay the
Contract Balance to the Surety or its assignee, in accordance with the terms of this
Agreement and the Original Contract. The Surety agrees to spend its own funds as
may be necessary from time to time to supplement payments for the performance
of the work contemplated by this Agreement. In no event shall the Owner withhold
any of the Contract Balance from the Surety or its assignee by asserting a future
offset or setoff or because of or on account of any claims, liens, suits or demands
by any persons or entities furnishing or alleging to have furnished labor and/or
materials to the project Owner will not offset against or otherwise withhold
payment of any amount of the Contract Balance as a result of, or charge to Former
Takeover Agreement
2009-8 New Work
Page 2 of 7
Contractor, any alleged liquidated and/or actual delay damages caused by any
action or inaction of the Former Contractor, completion contractor or Surety.
Owner further agrees that, except as provided by order of a court of competent
jurisdiction or to the extent otherwise provided by law, it will not acknowledge or
honor any claim or charges against the Contract Balance by any alleged assignee,
successor, creditor, trustee, receiver, or transferee of the Former Contractor or by
any other party or governmental entity making claim to the Contract Balance or
any portion thereof without the written consent of Surety.
Payments from the Owner shall be made payable to American Safety Casualty
Insurance Company and transmitted to the Surety at the following address, unless
and until the Surety notifies the Owner in writing of a change of address or of an
assignment:
American Safety Casualty Insurance Company
c/o Cupples & Associates, PLLC
1331 Gemini, Suite, 201
Houston, TX 77058-2729
4. Assignment.
It is anticipated by the parties that after Surety procures the services of a completion
contractor to perform the remaining work under the contract; that the
Surety/Completion Contractor contract will be assigned by Surety to Owner. Upon
notice of assignment, Owner will coordinate and collaborate with Completion
Contractor in routine fashion to complete the work, all without further involvement of
Surety.
Surety agrees that it will have Completion Contractor furnish payment, performance
and maintenance bonds for the value of the remaining work under the contract and
that Owner will be named as an obligee on said bonds. Completion Contractor will
also furnish all insurance required by the Original Contract.
Providing Owner has received the bonds mentioned above, Owner agrees that
upon the expiration of five days after its receipt of the Notice of Assignment from
Surety, Surety and its original performance bond are released and discharged.
Owner further agrees thereafter to make payment for all work performed directly to
the Completion Contractor. Owner agrees to look to the Completion Contractor
and its surety for completion of the work and all warranties associated with the
work undertaken by the Completion Contractor after receipt of the assignment.
5. Insurance.
The Surety may satisfy the required insurance obligations under the Original
Contract by providing evidence of the required insurance coverage carried by the
Completion Contractor, with the Owner and the Surety being named as insureds
under the policy or policies.
Takeover Agreement
2009-8 New Work
Page 3 of 7
6. The Suretv's Bonds Liabilitv.
Nothing in this Agreement constitutes a waiver of such penal sums or an increase
in the liability of the Surety under the bonds previously furnished. In the event
Surety should expend funds equal to the Penal Sum (as may be amended by a
duly authorized change order) in discharge of its performance bond obligation,
Owner agrees that Surety shall have no further liability or obligation, if any, under
the Performance Bonds, this Agreement, the Original Contract or otherwise to
complete the work, if any. Nothing contained herein shall limit Surety's obligations
under the Maintenance Bonds for the project.
7. Reservation of Suretv's Riqhts.
Surety expressly reserves all prior rights, equitable liens and rights to subrogation
that would be the laborers', materialmen's, or the Former Contractor's under the
Original Contract (except as specifically modified by this Agreement) as well as its
own rights dating back to the execution of the Bonds, including but not -limited to
those rights and remedies that may accrue during the completion of the Original
Contracts. No waiver of such rights is agreed to or intended regardless of any
provisions of this Agreement.
8. Time for Completion. Cooperation and Best Efforts.
Owner and Surety agree that the Completion Deadline and the time to complete
the work contemplated by this Agreement be one hundred sixty (160) calendar
days calculated from the date of a written notice to proceed to be issued by
Owner. Any request for extension of time will be governed by the terms of the
Original Contract.
The Owner and the Surety agree to use their best efforts to cooperate under the
terms of this Agreement for the prompt completion of the performance of the work.
9. No Third Partv Rights.
This Agreement is solely for the benefit of the Owner and the Surety. The Owner
and the Surety do not intend by any provision of this Agreement to create any
third -party beneficiaries of this Agreement, nor to confer any benefit upon or
enforceable rights under this Agreement or otherwise upon anyone other than the
Owner and the Surety. Specifically, the Owner and the Surety acknowledge that
nothing in this Agreement shall extend or increase the rights of any third -party
claimants or the liabilities or obligations of the Surety under the Bonds.
10. Whole Agreement.
This Agreement along with the Original Contract constitutes the whole of the
understanding, discussions, and agreements by and between the Owner and the
Surety. The terms and provisions of this Agreement are contractual and not mere
recitals. The Owner and the Surety acknowledge that there have been no oral,
Takeover Agreement
2009-8 New Work
Page 4 of 7
written or other agreements of any kind as a condition precedent to or to induce
the execution and delivery of this Agreement. Any written or oral discussions
conducted prior to the effective date of this Agreement shall not in any way vary or
alter the terms of this Agreement.
11. Changes.
This Agreement shall not be changed, amended or altered in any way except in
writing and executed by both the Owner and the Surety.
12. Execution.
This Agreement may be executed in one or more counterparts, each of which shall
be deemed to be an original but all of which together shall constitute one and the
same instrument. Facsimile copies will have the same force and effect as
originals.
13. Recitals.
The Recitals contained in this Agreement are incorporated herein by reference and
made a part hereof.
14. Governinq Law and Jurisdiction.
This Agreement shall be governed by and controlled by the laws of the State of
Texas and the parties to this Agreement, in the event of any dispute involving this
Agreement, agree that venue shall lie exclusively in Tarrant County, Texas.
15. Notices.
Any notices, which are required to be given by the terms of this Agreement or the
Bonds, shall be made as follows:
As to the Owner: Department of Transportation & Public Works
Attn: William A. Verkest, P.E., Director
1000 Throckmorton Street
Fort Worth, Texas 76102
City Attorney's Office 4 ,,,4, It,,
Attn: , As'sistant City Attorney
1000 Throckmorton Street
Fort Worth, Texas 76102
As to the Surety: American Safety Casualty Insurance Company
Attn: Robert D'Olympio
100 Galleria Pkwy., Suite 700
Atlanta, GA 30339
Takeover Agreement
2009-8 New Work
Page 5 of 7
With a copy to: James D. Cupples
Cupples & Associates, PLLC
1331 Gemini, Suite, 201
Houston, TX 77058-2729
16. Effective Date.
This Agreement is effective as of the date first written above.
17. Successors and Assiqns.
This Agreement shall be binding upon the parties and their respective successors
and assigns.
18. Invalidity. Illegality or Unenforceability.
In the event that one or more provisions of this Agreement shall be declared to be
invalid, illegal or unenforceable in any respect, unless such invalidity, illegality or
unenforceability shall be tantamount to a failure of consideration, the validity,
legality and enforceability of the remaining provisions contained in this Agreement
shall not in any way be affected or impaired thereby.
19. Construction of Agreement.
The Parties agree that each Party and each Party=s counsel have reviewed and
approved this Agreement, and that each Party has fully understood and voluntarily
accepted each and every provision contained in this Agreement. As such, it is
understood and agreed by the Owner and the Surety that this Agreement shall be
construed without regard to any presumption or other rule requiring construction
against the party causing this Agreement to be drafted.
IN WITNESS WHEREOF, the parties have executed this Agreement on the date
indicated above, and each of the undersigned personally represent and warrant that they
have the full right, power and authority to execute this Agreement on behalf of the
respective parties.
CITY OF FORT WORTH
Fernando Costa
Assistant City Manager
Takeover Agreement
2009-8 New Work
Page 6 of 7
AMERICAN SAFETY CASUALTY
INSURANCE CO.
Robe=Olympio
Surety & Property Claim Manager
OFFICIAL RECORD
CITY SECRETARY
FT. WORTH, TX
Recommended:
William A. Verkest, P.E., Director
Transportation & Public Works Department
Approved as to Form and Legality:
1
Assistant City Attorney
ATTEST:
Marty Hendrix
City Secretary
Date: \\\ w\\o
No M&C Required -
Authorized by contract executed per
dot'L � c -- Z36q / gpva T -zy-o f
Ell
5
OFFICIAL RECORD
CITY SECRETARY
Takeover Agreement FT. WORTH, TX
2009-8 New Work t .
Page 7 of 7
PROJECT: City of Fort Worth, Texas City Project No. 01327, TPW Project No. C293-541200-207620132783,
City Secretary No. 39119, DOE No. 6277, M&C No. C-23691
Remaining Work Items
and Units
HMAC Surface Overlay (2009-8) at Various Locations in the City
of Fort Worth, Texas
ITEM #
DESCRIPTION
ORIGINAL
REMAINING
QUANTITY
QUANTITY
1
Project Designation Sign
2 Ea.
-0-
2
Utility Adjustment
Lumpsum
.864884
3
Remove and Replace
5000 LF
959.94 LF
Concrete Curb & Gutter
4
New Concrete Curb & Gutter
550 LF
550 LF
5
Remove and Replace 6-Inch
3000 SF
754.39 SF
Concrete Driveway
6
Remove and Replace 6-Inch
100 SF
100 SF
Exposed Aggregate
Concrete Driveway
7
New 6-Inch Concrete
100 SF
100 SF
Driveway
8
Remove and Replace 4-Inch
100 SF
-17.7 SF
Concrete Sidewalk
9
Remove and Replace 4-Inch
100 SF
79.80 SF
Exposed Aggregate
Sidewalk
10
New 4-Inch Concrete
100 SF
100 SF
Sidewalk
11
Remove Existing Wheelchair
150 SF
150 SF
Ramp and Install Standard 4-
Inch ADA Wheelchair Ramp
(with detectable warning
Dome -Tile surface)
12
New 4-Inch ADA Wheelchair
175 SF
175 SF
Ramp (with detectable
warning Dome -tile surface)
13
Remove and Replace
200 SY
53.71 SY
Existing Concrete Valley
Gutter
14
New Concrete Valley Gutter
330 SY
260.25 SY
15
Remove and Replace 5-Ft
1 Ea.
0.00 Ea.
Storm Drainage Inlet Top
16
Remove and Replace 10-Ft
1 Ea.
1 Ea.
Storm Drainage Inlet Top
17
6-Inch Perforated Subdrain
100 LF
100 LF
Pipe
18
8- I n c h P a v e m e n t
66000 SY
42547.06 SY
Pulverization
EXHIBIT "A"
PAGE 1 OF 2
ITEM #
DESCRIPTION
ORIGINAL
REMAINING
QUANTITY
QUANTITY
19
Cement Modification
860 Ton
599.98 Ton
6 Ibs/sy)
�nclassified
20
Street
50 CY
50 CY
Excavation
21
Crushed Limestone
50 CY
50 CY
22
Asphalt Pavement and Base
300 CY
94.67 CY
Repair
23
HMAC Pavement Level -Up
500 Ton
500 Ton
24
Pavement Wedge Milling 2-
10500 LF
2303.08 LF
Inch to 0-Inch Depth, 5.0 Ft
Wide
25
Butt Joint Milling
15 Ea.
6 Ea.
26
2-Inch Surface Milling
5300 SY
5300 SY
27
Crack Sealing of Existing
12500 LF
4009 LF
Pavement
28
HMAC Surface
89000 SY
65181.12 SY
12-Inch
Course Type "D" Mix
29
Removal and Replacement
1 Ea.
1 Ea.
of 30-Ft HMAC Speed
Cushion with Stripping
30
Removal and Replacement
1 Ea.
1 Ea.
of 40-Ft HMAC Speed
Cushion with Stripping
31
Water Valve Box Adjustment
50 Ea.
50 Ea.
I with Steel Riser
32
Water Valve Box Adjustment
2 Ea.
2 Ea.
with Concrete Collar
33
Water Meter Box Adjustment
2 Ea.
2 Ea.
34
Manhole Adjustment with
54 Ea.
54 Ea.
Steel Riser
35
Manhole Adjustment with
1 Ea.
-2 Ea.
Concrete Collar
36
Painting House Addresses
45 Ea.
22 Ea.
37
St. Augustine Grass Sod
600 SY
600 SY
38
Bermuda Grass Sod
600 SY
600 SY
39
Re -Mobilization
3 Ea.
2 Ea.
PAACTNEAmerican SafetylDirtco, L.RCity of Fort Worth - 2009-8\ExAfina1.wpd
EXHIBIT "A" PAGE 2 OF 2