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05. Cooperative Agreement for US Hwy 93 SouthPost Office Box 1997, Kalispell.. Moats 59903-1997 - Telephone (406)758-7720; Fax ( 06)758-783 ] REPORT TO: Mayor and City Council FROM: James C. Hansz, P.E., Director of Public Works SUBJECT: Cooperative Agreement for US 93 South - City Utility Construction. MEETING DATE: December 15, 2003 BACKGROUND: For many years, MDT has been acquiring right of way and designing improvements to US 93 south of Kalispell from Ashley Creels into town at Twelfth Street. This project has finally reached the point where a construction contract will be let in January of 2004. Prior to this, there needs to be in place three agreements between the City and MDT. One of these necessary agreements is the Cooperative Agreement for construction of new City utilities in conjunction with the highway project. Attached is a copy of the US 93 South Cooperative Agreement. There are several important elements to this agreement. • City utility extensions and replacements are formalized with design, construction and funding obligations clearly spelled out to reflect the agreed framework of past efforts competed so far and the remaining joint obligations for the upcoming construction effort. Currently estimated City water and sewer construction costs are very near to those estimated several years ago, $1,852,353.00, In addition to this cost, current MDT policy requires the City to pay an additional 8% for mobilization and 8% for Traffic Control. • Storm drainage improvements will be made larger at City request to accommodate runoff from upstream development. MDT typically has used an unfavorable cost -share formula that places the lion's share of these upgrade costs (up to 751/6) on the City. However, the City successfully negotiated a much more favorable cost -share, 25%. Storm drain costs are estimate at $396,321,00 plus 15% for MDT construction engineering. The construction costs are very near the $395,000,00 amount estimated several years ago. • Traffic signal installations and future installation locations are delineated. • Construction detours are specified and generally involve the temporary use of First Avenues East and West with connections to and from Main Street. Damages to the detour streets will be repaired by MDT. Member 15, 2003 NOT - City US 93 south Cooperative Agreemerd.doc • Landscape enhancements are detailed and include a $100,000.00 contribution of project funding toward the costs of City -specified improvements. Administrative and project funding are specified. The estimated total cost of new City water and sewer improvements, City share of relocated existing utilities, and City share of enlarged storm drainage facilities, including 8% for traffic control, 8% for mobilization, construction engineering and the estimator's additional 10% pre -bid contingency is approximately $2,896,490.00. Public Works and the City Attorney have reviewed the agreement. Many changes were made to simplify and clarify passages. This agreement reflects several years of negotiation along with our final review changes and is now recommended for your approval in order to move MDT contract letting forward. A construction agreement and utility agreement are also required and will be dealt with seperately. RECOMMENDATION: Approve MDT / City Cooperative Agreement for Federal Aid Project NH5- 3(66)109F, ACTION REQUESTED: AT CITYCOLWC[L MEETING OFDECEMBER 15 — MOTION TO APPROVE COOPERATIVEAGREEMEN ' FOR FAP NH5-3(66)109F. FISCAL EFFECTS: Depending on the final result of the MDT bid letting process, expenditures of water, sewer, and storm drainage funds totaling approximately $2,896,490.00. ALTERNATIVES. As suggested by the City Council Respectfully submitted, James..C-'Hansz, P.L. Director of Public Works f Attachment: Cooperative Agreement Deeemher 15, 2003 MDT - City US 93 South Cooperative :greement.doc Chris A. Kukulski City Manager Report compiled December 9, 2003 COOPERATIVE AGREEMENT MONTANA DEPARTMENT OF TRANSPORTATION AND CITY OF KALISPELL FEDERAL AID PROJECT NO. NH 5-3(66)1 Q9F ASHLEY CREEK — KALISPELL This AGREEMENT made and entered into by and between the MONTANA DEPARTMENT OF TRANSPORTATION, hereinafter referred to as "MDT", and the CITY OF KALISPELL, a municipal corporation organized and existing under the laws of the State of Montana, hereinafter referred to as the "the CITY" (whether capitalized or not) is made for the purpose of cooperating together to share resources and more effectively and efficiently provide for the construction, operation, and maintenance of improvements to US Highway 93 between Ashley Creek and 12th Street in Kalispell, hereinafter referred to as "this project'. WITN ESSETH: THAT WHEREAS, both parties desire to reconstruct US 93 from Ashley Creek to Kalispell, to improve safety and operation; and WHEREAS, the CITY desires to improve and extend water and sewer services in areas affected by construction; and WHEREAS, MDT desires to provide for the orderly construction of proposed improvements and proper coordination of all related components; and WHEREAS, the CITY desires to share in the capacity and use of storm drainage systems to be constructed for highway drainage; and WHEREAS, MDT is willing to construct such storm drainage facilities in return for having the CITY operate and maintain them; and WHEREAS, the CITY desires to enhance the project through landscaping above and beyond what is routinely provided on highway projects; and WHEREAS, MDT is willing to construct such enhancement through landscaping in return for having the CITY maintain the landscaping; and WHEREAS, both parities desire to establish an agreement detailing the terms and conditions of a cooperative effort to construct the proposed highway improvements and related items; NOW, THEREFORE, the parties hereto agree as follows, subject to the terms, conditions, and provisions hereinafter set forth and in consideration of the mutual covenants hereinafter contained to effectively cooperate together in the construction, operation, and maintenance of improvements to US Highway 93 from Ashley Creek to Kalispell. CITY WATER AND SEWER EXTENSIONS AND REPLACEMENTS 1) MDT will allow and hereby grants right of use to the CITY for permanent location of water and sewer pipelines and facilities within the US 93 right-of-way, specifically including extensions of these systems to the Cemetery Road area, provided such installations are in Page 1 of 7 accordance with all applicable provisions of current MDT specifications at the time of construction. 2) MDT reserves the right to specify the locations of the water and sewer facilities in such a manner as to provide room for other utility systems desiring to use the right-of-way and to coordinate with the orderly construction of this project. 3) The CITY agrees to replace any existing water, sewer, or storm drain facilities that have an expected remaining life of less than 20 years and to upgrade any such facilities that can be reasonably foreseen to require upgrading within the next 20 years. 4) The CITY may, at its discretion, construct the water and sewer improvements either on its own prior to this project, or in conjunction with the road building portion of this project. �) The CITY will provide for adequate inspection of the water and sewer installations, either by providing qualified personnel to inspect the work and maintaining adequate records in accordance with MDT procedures, or to pay for the cost of such inspection work and record keeping if provided by MDT as a part of this project. 6) The CITY agrees to bear all costs of designing and constructing water and sewer extensions and replacements, including but not necessarily limited to; furnishing materials, construction work, necessary adjustment of any conflicting utility or highway facilities, and inspection/record keeping. 7) The CITY agrees to provide for the proper and timely operation and maintenance of all CITY -owned water and sewer facilities within MDT's right-of-way on this project. 8) MDT agrees to provide appropriate access to the CITY for operation and maintenance, provided the CITY provides suitable traffic control devices and procedures in accordance with current MDT requirements. 9) MDT agrees to perform construction staking for the water and sewer extensions and replacements. t 0) MDT agrees to make a formal request of the city to annex the US Highway 93 right-of-way corridor from Cemetery Road to the existing city limits once the project construction is complete, and the City agrees to annex it. STORM DRAINAGE } MDT will design, construct, and inspect storm drainage facilities of adequate scope and capacity to serve all surface drainage needs of this project. 2) MDT agrees to increase the capacity of storm drainage facilities to be constructed as a part of this project. The new storm drainage facilities will extend 200 feet on either side of the highway centerline to include provision for runoff from adjoining private properties as generated by an area extending back a distance of an additional 200 feet beyond the new highway storm drainage collection area of this project. Total design area is based on an area extending back a distance of 400 feet on either side of the highway centerline. Page 2 of 7 3) The CITY will bear the costs of design and additional materials necessary to provide the increased capacity of the storm drain facilities as noted above. 4) The CITY agrees to provide for all proper and timely operation and maintenance necessary to serve the storm drainage facilities that are to be constructed or utilized as part of this project, including but not necessarily limited to; trunk lines, laterals, inlets, outfall lines to Ashley Creek, and the lift station (including electric costs) for the 18th Street outfall. The City agrees to accept operation and maintenance responsibilities of the storm drainage facility only after the entire project has been completed and accepted by MDT and a formal written notification of such completion has been received by the City. 8) The CITY agrees to limit or detain off --project discharge into the storm drain facilities as required and in such a fashion as to guarantee adequate capacity for the US Highway 93 surface drainage needs of this project. TRAFFIC SIGNALS 1) MDT will design, construct, operate, and maintain warranted traffic signals at the intersections of US Highway 93 with Cemetery Road f Lower Valley Road, and 18th Street as part of the work of this project. The conduit, controller, and poles will be installed for a future signal at Airport Road113th Street. The future signal at Airport Road113th Street will be installed and made operational during the Courthouse Couplet — Kalispell project. 2) MDT will install conduit and junction boxes to facilitate future traffic signals at the intersections of US Highway 93 with 1 st Avenue East and Kelly Road, when and if signals at these locations are warranted. 3) MDT agrees to design, construct, operate, and maintain (at its cost) a permanent signal at the intersection of US Highway 93 with Third Avenue East as part of this project. TRAFFIC DETOURS FOR CONSTRUCTION 1) The CITY agrees to allow MDT to make use of planned traffic detours during construction on the following streets: $ First Avenue East from US 93 to 11th Street $ 11th Street from First Avenue East back to US 93 $ 11th Street from US 93 to First Avenue West $ First Avenue West from 11th Street to 18th Street West $ 18th Street West from First Avenue West back to US 93 2) MDT agrees to repair any damage done to these streets resulting from construction traffic detouring as based on videotaped "before and after" inspections mutually conducted with MDT and the CITY. 3) MDT will provide all necessary traffic control measures required by the current edition of the "Manual of Uniform Traffic Control Devices" for the construction traffic detours when they are in use as a part of this project. Page 3of7 4) The CITY will consider allowing the use of other city streets for detour use provided MDT submits a detour plan for review and approval_ Additional detour routes approved by the City will be subject to inspection, repair, and traffic control per items 2 and 3 described above. ENHANCEMENT (LANDSCAPING) 1) MDT agrees to provide landscaping and related items on this project in accordance with an approved budget and approved enhancement plans. Specifically, this includes the following items: • Item 'I: The CITY has approved a landscaping plan for the project area that includes plantings within MDT's right-of-way. • Item 2: MDT will construct the landscaping items including planting using special topsoil and compost, staking of trees, tree ties, use of tree wrapping paper, placement of cedar mulch, fertilizing, and watering as described in the project special provisions. 2) The CITY will bear the cost of design and plan preparation for the enhancement work desired to be constructed on this project. 3) MDT will provide construction management, inspection, and other services necessary to properly incorporate the approved enhancement plans as part of the construction of this project. 4) MDT will contribute toward the costs of constructing the enhancement work shown on the CITY's plans as noted below under the Project Financing Section. 5) Upon completion and installation of the enhancementwork designed and constructed under this Agreement, the CITY agrees to maintain or cause to be maintained at no cost to MDT all of the agreed to enhancement installed under this Agreement. The CITY's responsibilities for maintenance applies specifically to the enhancement shown on the CITY's plans and not to MDT's standard landscaping for the rest of this project. The CITY will trim around trees and prune trees to maintain a clean area and adequate sight distance. Remove all trees within the clear zone, as determined by current standards, with trunk measurements exceeding 4" in diameter, as measured 3" above the existing ground. All costs associated with this maintenance are the responsibility of the CITY. The CITY agrees to pay for all costs associated with any replanting. ADMINISTRATIVE 1) MDT and the CITY mutually agree to a pro -active, cooperative effort in working together toward successful completion of this project. 2) MDT agrees to let the construction contract, to manage the construction, and to provide construction inspection except as may have hereinbefore been defined with regard to CITY water and sewer facilities. PROJECT FINANCING 1) The CITY agrees to contribute the following amounts toward construction of this project as compensation for the CITY's share of costs related to highway construction, construction of Page 4 of 7 water and sewer replacements/extensions, construction of additional storm drainage capacity, landscaping, right-of-way acquisition, utility relocations, good -will, and other related items on this project. • 25% on all Fire Hydrant resets, adjusts, replacements, or removals as necessitated by the new highway construction. • 25% on all Water Valve resets, adjusts, replacements, or removals as necessitated by the new highway construction. • 25% on all Manhole adjusts, replacements, or removals as necessitated by the new highway construction. • 25% on all water main lowerings as necessitated by the new highway construction. • 100% on all new stubouts from the water and sewer mains as necessitated by the new highway construction. • 100% on all new water and sewer main extensions. • 25% of the cost for storm drain related items. Based on the pre -bid estimate the cities 25% cost share for the storm drain system is approximately $396,320. The following items associated with construction of the new storm drain system will be paid for at a 25% cost share by the city: 0 300 mm RCP IRR. Class 3 pipe 0 450 mm RCP IRR. Class 3 pipe 0 600 mm RCP IRR. Class 3 pipe * 750 mm RCP IRR. Class 3 pipe 0 900 mm RCP IRR. Class 3 pipe 0 1050 mm RCP IRR. Class 3 pipe a Bedding Material (only quantities associated with Storm Drain) o Drop Inlet -Type IV o Median Inlets - Type 2 o Curb Inlets —Type II o Manholes —Type 1 o Manholes — Type 3 o Combination Manholes — Type 3 MH & Type IV D.I. a Combination Manholes — Type 3 MH & Type 11 C.I. a Storm Drain Lift Station • 15% of the city's share of the estimated Storm Drain Costs to cover Construction Engineering. This amount is approximately $59,450 based on the pre -bid estimate. • 10% of the city's share of the estimated Storm Drain Costs to cover contingencies. This amount is approximately $39,630 based on the pre -bid estimate. This contingency amount will only be used as needed. Any remaining contingency funds will be returned to the city. 2) The CITY agrees to provide the cost of mobilization and traffic control costs associated with the water, sewer, and storm drainage facilities construction in accordance with Page 5 of 7 MDT's December 16, 1999 policy. The amount will be calculated as follows: • Mobilization: 8% of the City's cost share for the water, sewer, and storm drainage facilities as defined elsewhere is this agreement. • Traffic Control: 8% of the City's cost share for the water, sewer, and storm drainage facilities as defined elsewhere is this agreement. 3) The CITY will independently cover its costs enumerated herein related to the water/sewer construction inspection and cooperative effort. 4) MDT agrees to contribute up to a maximum ceiling of $100,000,00 in Federal Aid Funds for the construction of enhancement work requested by the CITY that is above what MDT would routinely provide on a highway project. Alt Landscaping for which these funds are to be used must be included in MDT's PS&E package for this project. Any costs above the $100,000.00 maximum ceiling for the landscaping will either be paid for by the CITY, or the cost will be reduced to the ceiling through negotiations with the contractor. 5) MDT will bear the cost of all other project -related expenses not covered by the above four (4) items. HOLD HARMLESS MDT agrees to defend, protect, indemnify and save harmless the CITY against and from all claims, liabilities, demands, causes of action, judgments, and losses resulting from the construction or design done by MDT of the areas covered by the Agreement. This hold harmless/ indemnification clause shall not cover damages which are caused either directly or indirectly by the work done by the CITY pursuant to this Agreement. The CITY agrees to defend, protect, indemnify and save harmless MDT against and from all claims, liabilities, demands, causes of action, judgments, and losses claimed to be due to the CITY's performance of the activities of the Agreement, specifically including any claims that any work (including but not limited to maintenance) was not done in a proper or timely manner. NON-DISCRIMINATION REQUIREMENTS In all work that is done under or because of this Agreement, CITY acknowledges and agrees to comply with the provisions of the "Notice" which is attached hereto and made a part of this Agreement. Page 6 of 7 IN WITNESS WHEREOF, the parties hereto have executed, or caused to be executed by their duly authorized officials, this Agreement in duplicate to be effective on the latest date written below. APPROVED FOR THE CITY City of Kalispell, Montana Date: ATTEST: APPROVED FOR THE STATE Montana Department of Transportation Date: ATTEST: In Date: Date: APPROVED AS TO FORM AND CONTENT By: By: City Attorney Date: By: APPROVED FOR LEGAL CONTENT MDT Legal Counsel MDT Civil Rights B END OF COOPERATIVE AGREEMENT s Page 7 of 7