HomeMy WebLinkAboutContract 39666-TA1A1CITY SECRETARY
CONTRACT NO. 3q 'o ~'o -T~lA1
Amendment to Takeover Agreement
Th is Amendment to Takeover Agreement ("Amendment") is entered into by and between
North American Specialty Insurance Company ("Surety") and the City of Fort Worth, Texas
("Owner"), and is made effective as of the __:L_ day of J~n~~l"j , 20i2-.
WHEREAS, Owner and Surety entered into that certain Takeover Agreement made
effective as of the 24th day of March, 2011 ("Takeover Agreement"), concerning the written
contract between W. R. Hodgson Co., LP ("Principal ") and Owner dated December 8, 2009, in
the original amount of $4,762,729.50 (M&C C-23962) ("Original Contract"), concerning the
construction project known as the Village Creek Reclaimed Water Eastern Delivery System
Distribution Main Part 2 , P257-705140021387, Project No. 00213 , Fort Worth, Texas (the
"Project");
WHEREAS, under Paragraph 5 of the Takeover Agreement, Owner agreed to pay Surety
the sum of $450,160 .87 within thirty (30) days of final completion of the Project by the
completion contractor, Will iam J. Schultz, Inc. d/b/a Circle C Construction Company
("Completion Contractor"), subject to any costs incurred for correcting potential latent defects in
the work performed by Principal;
WHEREAS, Completion Contractor finally completed the Project as of November 28,
20 11, and incurred at least the sums of: (i) $65,000.00 in costs to correct certain latent defects in
Principal's work (i.e., to remove and replace 19 valve vaults due to Principal's failure to install
concrete bases therein which was not known to the parties at the time of the T akeover
Agreement), and (ii) $25,000.00 in additional material costs for certain pipe and turbine meter
materials that were to be supplied by Owner to Completion Contractor; and
WHEREAS, Owner and Surety acknowledge and agree that: (i) these additional costs in
the total amount of $90,000.00 reduce the amount Owner should pay to Surety under Paragraph
5 of the Takeover Agreement and (ii) the last sentence of Paragraph 5 of the Takeover
Agreement should be amended to reflect the amount Owner shall pay to Surety should be
reduced from the original amount of $450,160.87 to t he revised amount of $360,160.87 after said
adjustments.
NOW , T H EREF ORE, in consideration of the agreements and undertakings hereinafter
set forth, and for other good and valuable consideration, the receipt and sufficiency of which
being hereby acknowledged, Owner and Surety agree to amend the Takeover Agreement as
follows:
I. The last sentence of Paragraph 5 of the Takeover Agreement is hereby amended to read:
"In recognition of Surety 's equitable subrogation rights due to losses pa id by Surety
under the Payment Bond, Owner agrees to pay to Surety the revised balance of
$360,160 .87 on or before December 30, 20 11 ."
Amendment to Takeover Agreement -Page 1
01-.)6-12 A09 :4'7 IN
OFFICIAL RECORD
CITY SECRETARY
FT. WORTH, TX
2. The parties acknowledge and agree that all other terms and conditions of the Takeover
Agreement shall remain unchanged and in full force and effect.
IN WITN ESS WHEREOF, the parties have executed this Amendment to Takeover
Agreement and made effective as of the date indicated a bove, and each o f the undersigned
personally represent and warrant that they have the full right, power and authority to execute this
Amendment to Takeover Agreement on beha lf of the respective parties.
OWNER:
C ITY OF FORT WORTH, TEXAS
By: s..:.,4 ~"--
Fernando Costa
Assistant City Manager
Recommended:
{'ifllr-l~
Frank Crumb
Director, Water Department
Dou ack
Assistant City Attorney
Assistant City Secretary
Date: dC\.n lAC\V\.13-, 201'2 ..
No M&C Required -
Authorized by contract executed per
M&C C-23962 approved 12-8-09
Amendment to Takeover Agreement -Page 2
SURETY:
NORTH AMERICAN SPECIAL TY
INSURANCEC PANY
rey Goldberg, Vice Pr
OFF I :.t.l. ~:C ORD
CITY SEC RETARY
FT. WORTH, TX
2. The parties acknowledge and agree that all other terms and conditions of the Takeover
Agreement shall remain unchanged and in full force and effect.
TN WITNESS WHEREOF, the parties have executed this Amendment to Takeover
Agreement and made effective as of 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
Amendment to Takeover Agreement on behalf of the respective parties.
OWNER:
CITY OF FORT WORTH, TEXAS
By:--------------
Fernando Costa
Assistant City Manager
Recommended:
Frank Crumb
Director, Water Department
Approved as to Form and Legality:
Douglas W. Black
Assistant City Attorney
ATTEST:
Ronald P. Gonzales
Assistant City Secretary
Date : JO.h\AC.U·"'f ~. 201 1..
No M&C Required-
Authorized by contract executed per
M&C C-23962 approved 12-8-09
Amendment to Takeover Agreement -Page 2
SURETY:
NORTH AMERICAN SPECIAL TY
INSURANCE C PANY
OFFICIAL RE CORD
CITY ,... ._JARY
F. WORT H, TX
Bi11To
NORTH AMERICAN SPECIALTY INSURANCE COMPANY
475 N. MARTINGALE ROAD
SUITE 850
SCHAUMBURG, IL 60173
C/0 JEFFREY GOLDBERG
City of Fort Worth
Invoice
Date Invoice#
12/19/2011 NAS WRH 716
Terms
Due on receip t
Description Rate Amount
INVOICE PER TAKEOVER AGREEMENT (CITY SECRETARY CONTRACT# 0.00 0.00
39666-TAI) BETWEEN CITY OF FORT WORTH AND NORTH AMERICAN
SPECIALITY INSURANCE COMPANY (NAS)
ORIGINAL CONTRACT AMOUNT FROM ORIGINAL W.R. HODGSON 4,762,729.50 4,762 ,729.50
AGREEMENT
PREVIOUS PAYMENTS MADE BY CITY TO ORIGINAL CONTRACTOR -3,351 ,171.63 -3 ,351 , 171.63
COMPLETION CONTRACTOR'S ORI GINA L PROPOSAL -961 ,397 .00 -961 ,397.00
AMENDMENT TO THE TAKE OVER AGREEMENT -90,000.00 -90,000.00
Village Creek Reclaimed Water Eastern Delivery System DistributionMain Part 2.
P257-705140021387 AMOUNT DUE $360,160.s1