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HomeMy WebLinkAbout6176RESOLUTION NO. 6176 A RESOLUTION APPROVING AN AGREEMENT WITH ARMCO, INC. CONCERNING WARRANTY REPAIR WORK AND AUTHORIZING EXECUTION THEREOF BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, COLORADO, that: SECTION 1 The Settlement Agreement dated March 31 , 1988, attached hereto as Exhibit 1, by and between the City of Pueblo, a Municipal Corporation and Armco, Inc., on Ohio Corporation, having been approved as to form by the City Attorney, is hereby approved and the President of the City Council is authorized and directed to execute the Agreement for and on behalf of the City and the City Clerk is directed to affix the seal of the City thereto and attest to same. INTRODUCED: April 25 , 1988 By PITKE SALARDINO Councilman ATTEST: APPROVED: C' Clerk Pre ident of the City Council SETTLEMENT AGREEMENT THIS SETTLEMENT AGREEMENT is made and entered into this 31st day of March, 1988 by and between City of Pueblo, a municipal corporation ( "City") and Armco Inc., an Ohio corporation ( "Armco "). WHEREAS, Armco was the manufacturer of certain aluminized steel pipe ( "Pipe ") installed pursuant to a contract between City and Pascal Construction Co., as Contractor for S &G Project No. 7201 -408 CBD Storm Sewer Separation System Phase B ( "Project "); WHEREAS, Armco and City entered into an agreement dated July 13, 1981 which provided a procedure for Pipe repairs in the event corrosion or deterioration of Pipe required such repairs or replacement; and WHEREAS, City and Armco are desirous of cooperating in certain necessary repair work of Pipe ( "Repair Work"). NOW, THEREFORE, in consideration of the mutual premises set forth herein the parties agree: 1. City will retain a consulting engineer satisfactory to City to prepare plans, specifications and contract documents and provide construction supervision for the necessary repair of Pipe. 2. Armco's consultant, Mr. C. E. Morris, will provide suggested invert paving details for consideration and evaluation by City's consulting engineer. 3. Prior to the retention of any consultant or the performance of any Repair Work by City, Armco shall have the right to review and approve the scope of services, work or materials and costs as described in the proposals, plans, specifications and all contract documents to be entered into by City with consulting engineers, contractors and suppliers in connection with Repair Work. Armco's approval of proposals, plans, specifications and contracts shall not be deemed an approval of the adequacy of the design or Repair Work. Armco shall have absolute discretion in granting such approvals. Except for the reimbursement obligation as provided in Paragraph 4 hereof, Armco assumes no liability whatsoever to any party for the plans, specifications, contract documents, services, work or materials related to Repair Work. 4. Upon the approval by Armco of the scope of consultant work and costs referred to in Paragraph 3, the City may contract for such work and incur costs. After approval by Armco of the scope of the plans, specifications and contract documents for the Repair Work and costs for same, City may similarly contract for the Repair Work and incur costs of same. Periodically, but not more frequently than monthly, the City shall submit to Armco requests for reimbursement and approved costs incurred and paid by the City. Reimbursement of such periodic requests shall be made by Armco within 30 days of the date of request. After final completion of all approved Repair Work and submittal of a request for final reimbursement, Armco shall pay to City the balance of all approved costs incurred. 5. Upon completion of agreed Repair Work and final reimbursement by Armco in accordance with Paragraph 4 hereof, City will execute and deliver to Armco a General Release identical to Exhibit A attached hereto. 6. The parties acknowledge that by the execution of this Agreement or the performance of obligations thereunder, neither party admits any liability with respect to Project, Repair Work, Pipe or the Agreement dated July 13, 1981 between Armco and City. IN WITNESS WHEREOF, the parties affix their hands and seals as of the date and year above written. (SEAL) By: Approved as to form: CITY OF PUEBLO, A MUNICIPAL CORPORATION B sident of City Council r" Cit y •,' GENERAL RELEASE , �J9 �jr The City of Pueblo, Colorado ( "City "), for and in considera- tion of the full and faithful performance of Armco's obligations under a certain Settlement Agreement dated March 31, 1988 by and between City and Armco Inc. which full and faithful performance is hereby acknowledged has remised, released and forever discharged and by these presents does for it, its administrators, successors and assigns, remise, release and forever discharge the said Armco Inc., Contech Construction Products Inc., their subsidiaries and affiliates, their officers, directors, employees, agents, succes- sors and assigns ( "Releasees ") of and from all, and all manner of action and actions, cause and causes of action, suits, debts, dues, sums of money, accounts, reckonings, bonds, bills, specialties, covenants, contracts, warranty, controversies, agreements, promises, variances, trespasses, damages, judgments, executions, claims and demands whatsoever, in law, or in equity, which against the said Releasees, the undersigned City ever had, now has or which its administrators, successors and assigns hereafter can, shall or may have for, upon or by reason of obligations under the Settlement Agreement dated March 31, 1988, the Agreement dated July 13, 1981 by and between Armco Inc. and City or Armco - supplied Pipe described therein and any related matter, cause or thing whatsoever from the beginning of the world to the day of the date of these presents. This release may not be changed orally. IN WITNESS WHEREOF, this General Release is executed in multiple original copies this 13th day of April, 1989. ATTEST:- CITY OF PUEBLO, COLORADO ( By dt4� C y Clerk City Manager [S E A L) COUNTY OF PUEBLO ) ) ss. STATE OF COLORADO ) Subscribed and sworn to before me this 13th day of April, 1989 by Lewis A. Quigley , the City Manap_er of the City of Pueblo, Colorado on behalf of City. My commission expires: August 18, 1991. [S. E_ A L] Notary Public EXHIBIT A GENERAL RELEASE The City of Pueblo, Colorado ( "City"), for and in consideration of the full and faithful performance of Armco's obligations under a certain Settlement Agreement dated March , 1988 by and between City and Armco Inc. which full and faithful performance is hereby acknowledged has remised, released and forever discharged and by these presents does for it, its administrators, successors and assigns, remise, release and forever discharge the said Armco Inc., Contech Construction Products Inc., their subsidiaries and affiliates, their officers, directors, employees, agents, successors and assigns ( "Releasees ") of and from all, and all manner of action and actions, cause and causes of action, suits, debts, dues, sums of money, accounts, reckonings, bonds, bills, specialties, covenants, contracts, warranty, controversies, agreements, promises, variances, trespasses, damages, judgments, executions, claims and demands whatsoever, in law, or in equity, which against the said Releasees, the undersigned City ever had, now has or which its administrators, successors and assigns hereafter can, shall or may have for, upon or by reason of obligations under the Settlement Agreement dated March , 1988, the Agreement dated July 13, 1981 by and between Armco Inc. and City or Armco- supplied Pipe described therein and any related matter, cause or thing whatsoever from the beginning of the world to the day of the date of these presents. This release may not be changed orally. IN WITNESS WHEREOF, this General Release is executed this day of March, 1988. ATTEST: CITY OF PUEBLO, COLORADO BY: Authorized Representative (SEAL) State of ) County of ) Signed and acknowledged before me this day of March, 1988 by , the of the City of Pueblo, Colorado on behalf of City. Notary Public OFFICE OF THE CITY ATTORNEY 127 Thatcher Building PUEBLO, COLORADO 81003 MEMORANDUM TO: Lewis Quigley, City Manager FROM: Thomas J. Florczak, Assistant City Attorney, DATE: April 11, 1989 l))) RE: CBD Separation Project, Phase B As you may recall, Phase B of the downtown sewer separation project was constructed during 1980, and shortly thereafter, the pipe supplied by Armco was observed rusting. On July 31, 1981, Council approved an agreement with Armco, whereby the parties agreed to keep an eye on the pipe's condition and Armco would warrant the pipe for 10 years. In 1987 it became apparent that repairs would be necessary and Armco and the City eventually reached agreement concerning the repairs to be performed, which was approved by City Council on April 25, 1988. According to Tom Cvar, Armco has performed its obligations under the second agreement, reimbursing the City for the full cost of engineering and construction of the pipe repairs. It is therefore appropriate for the enclosed release to be executed. Please execute all three of the enclosed copies and transmit one copy to Marian Mead for filing with Resolution No. 6176, one copy to Tom Cvar, and one to me for transmittal to Armco's attorney. Thank you for your attention to this matter. TJF /jp Enclosures �CQ City of Pueblo THOMAS E. JAGGER City Attorney 127 West, First National Bank Bldg. PUEBLO, COLORADO 81003 MEMORANDUM TO: Members of the City Council and the City Manager FROM: Thomas J. Florczak, Assistant City Attorney DATE: April 11, 1988 RE: Phase B - Central Business District Sewer Separation Armco Pipe The enclosed resolution approves an Agreement with Armco, Inc., the manufacturer of aluminized corrugated storm sewer pipe used in the Central Business District Sewer Separation in 1980. During the one year warranty inspection, rust was discovered which caused the City concern about the long -term integrity of the pipe. In July of 1981 the City and Armco entered an agreement extending the warranty for 10 years and providing for periodic inspection to evaluate its deterioration and degree of repairs which would be necessary. The public works department and Armco have subsequent- ly reached agreement, in principal, as to the nature of required repair work. The enclosed agreement, therefore, provides for Armco to reimburse the City for the actual reasonable engineering and construction expenses in effecting the repairs. At the conclusion of the repair work, all further responsibility of Armco for the pipe will cease and the release, attached to the enclosed Agreement, will be executed. Please note that Exhibit A to the Agreement is not to be signed at this time. TJF /jp xc: (w /encls) Tom Cvar