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HomeMy WebLinkAbout02/03/2015 05H YPAL Facility Improvement Agreement with Washington Fruit and Produce CompanyBUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No. 5.H. For Meeting of: February 03, 2015 IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII ITEM TITLE: Resolution ratifying an agreement with Washington Fruit & Produce Company for development and improvement of the Yakima Police Athletic League Facility (YPAL Building) SUBMITTED BY: Joe Caruso, Code Administration Manager (509) 575-6257 Randy Pitney, Building Superintendent SUMMARY EXPLANATION: The 2014 Strategic Plan included an update to the Yakima Police Athletic League facility at Miller Park as part of the City's Partnership Development. The YPAL facility is currently known as Washington Fruit Community Center. Washington Fruit & Produce Company desires to contribute up to $250,000, payable at the rate of $50,000 per year commencing January 1, 2014 for improvements and renovations. The City matching commitment pursuant to the Agreement is up to $250,000 payable at the rate of $50,000 per year, for a total commitment of $500,000 toward completion of the project. The City and Washington Fruit & Produce Company had executed the agreement on February 10, 2014. The attached Resolution approves and ratifies the agreement as and from such date. Resolution: X Other (Specify): Contract: X Start Date: January 1, 2014 Item Budgeted: Yes Funding Source/Fiscal Impact: Strategic Priority: Partnership Development Insurance Required? No Mail to: Washington Fruit & Produce Company c/o Roderick Plath, President/Chairman, P.O. Box 1588, Yakima, WA 98907 Phone: Ordinance: Contract Term: 5 years End Date: January 15, 2018 Amount: $250,000 APPROVED FOR SUBMITTAL: RECOMMENDATION: City Manager Approve the Resolution to authorize this agreement. ATTACHMENTS: Description Upload Date Type Resolution - WA Fruit & Produce 1/22/2015 Resollution Exhibit A - Contract WA Fruit 1/22/2015 Ex hil b lit A RESOLUTION RESOLUTION NO. R -2015 - approving, ratifying and authorizing the City manager's execution of an agreement between the City of Yakima and Washington Fruit and Produce Company for improvement of Yakima Police Athletic League (YPAL) facility. WHEREAS, the City of Yakima (City) owns and operates the Yakima Police Athletic League (YPAL) facility in accordance with applicable Federal, State and Local regulations; and WHEREAS, Washington Fruit has previously agreed to contribute and pay the City the sum up to $250,000 from funds authorized by its board toward the costs of design and construction improvements, which "Agreement between the City of Yakima and Washington Fruit & Produce Co. for Development and Improvement of the Yakima Police Athletic League Facility" is dated and effective February 10, 2014 and is attached hereto as Exhibit "A" and incorporated herein by this reference; and WHEREAS, pursuant to such agreement, the City has agreed to contribute and pay the sum up to $250,000 toward the costs of design and construction improvements; and WHEREAS, such funds together shall be paid to the City in annual installments of $50,000 commencing on or before January 15, 2014, and on or before January 15 of each succeeding year, with the last payment payable on or before January 15, 2018; and WHEREAS as a condition of the donation of funds for improvement of the YPAL building by Washington Fruit, herein, Washington Fruit is granted the right to name the improved and renovated facility, subject to final acceptance and approval of the City Council, therefore; BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF YAKIMA: Section 1. The "Agreement between the City of Yakima and Washington Fruit & Produce Co. for Development and Improvement of the Yakima Police Athletic League Facility" attached hereto and incorporated as Exhibit "A," is hereby approved and ratified as and from the date of execution of such agreement. Section 2. The City Manager's execution and administration of the Agreement described in Section 1 above is hereby authorized and ratified as and from the date of execution thereof; now, therefore, ADOPTED BY THE CITY COUNCIL this 3rd day of February, 2015. ATTEST: Micah Cawley, Mayor Sonya Claar Tee, City Clerk AGREEMENT BETWEEN THE CITY OF YAKIMA AND WASHINGTON FRUIT & PRODUCE CO. FOR DEVELOPMENT AND IMPROVEMENT OF THE YAKIMA POLICE ATHLETIC LEAGUE FACILITY THIS AGREEMENT is entered into by and between the City of Yakima and Washington Fruit & Produce Company for the development and improvement of the Yakima Police Athletic League facility located adjacent to Miller Park, as set forth below. I. RECITALS A. City of Yakima (hereafter called "City") is a municipal corporation of the State of Washington with City Hall located at 129 North 2nd Street, Yakima, Washington 98901. B. Washington Fruit & Product Co. (hereafter called "Washington Fruit") is a corporation duly formed and existing under the laws of the State of Washington with corporate offices located at 401 North 1st Avenue, Yakima, Washington 98902, and mailing address of P.O. Box 1588, Yakima, Washington 98907. C. City is the owner of a building and facilities known as the Yakima Police Athletic League Building ("YPAL Building") located on a parcel of land 12,340 square feet in area, commonly known as 602 North 4th Street, Yakima, Washington, adjacent to Miller Park, a public park. The legal description of the parcel containing the YPAL Building is: City of ,Yakima: Lot 1, Block 64, also one-half of vacated "F" Street accruing thereto. Situate in City of Yakima, Yakima County, State of Washington. Yakima County Assessor's Parcel No. 191318-32479 D. The Yakima Police Athletic League ("YPAL") is a nonprofit corporation duly formed and existing under the laws of the State of Washington to provide alternative recreational, educational and athletic activities under the supervision of police officers and community volunteers. YPAL conducts such activities within the YPAL Building and property, and is funded by community donations, grants and fundraisers conducted throughout the year. E. The YPAL Building is 10,472 square feet in area, and was constructed in 1975. The YPAL Building is in need of renovation, including but not limited to, replacement of windows and siding, renovation of classroom/conference rooms, construction of new restrooms, remodeling of offices, reception area and cafe, and renovation of assembly areas and hallways. 1 F. Washington Fruit desires to contribute up to $250,000, payable at the rate of $50,000 per year commencing January 1, 2014, for construction of certain designated improvements and renovations described below. Likewise, City desires to match such contributions up to $250,000, payable at the rate of $50,000 per year commencing January 1, 2014, for such purposes. G. Washington Fruit and City desire to enter into an Agreement for the use of such funds, to describe the improvements and renovations to be accomplished, and to provide for the administration of such projects and funds. II. AGREEMENT NOW, THEREFORE, in consideration of the mutual covenants, conditions and promises herein, and for the mutual benefit to the parties hereto, the parties agree as follows: 1. Description of Improvement Phases. The improvements and renovations to the YPAL Building shall consist of the following generally described project phases (hereafter "Improvements"), with estimated costs: A. Phase 1 — Replace Windows and Siding. Estimated construction costs: Construction Cost Subtotal: $49,431 Design Contingency @ 30%: 14,829 Subtotal: $64,260 General Contractor's Overhead and Profit ("OH & P"): $ 9,639 TOTAL Phase 1 Construction Costs: $73,899 Washington State Sales Tax @ 8.2%: $ 6,060 TOTAL with Taxes: $79,959 2 B. Phase 2 — Renovate Classroom/Conference Rooms. Estimated construction costs: Construction Cost Subtotal: $125,916 Design Contingency @ 30%: 37,775 Subtotal: $163,691 General Contractor's Overhead and Profit ("OH & P") @ 15%: $ 24,554 TOTAL Phase 2 Construction Costs: $188,244 Washington State Sales Tax @ 8.2%: $ 15,436 TOTAL with Taxes: $203,680 C. Phase 3 — New Restrooms. Estimated construction costs: Construction Cost Subtotal: $55,825 Design Contingency @ 30%: 16,748 Subtotal: $72,573 General Contractor's Overhead and Profit ("OH & P") @ 15%: $10,886 TOTAL Phase 3 Construction Costs: $83,458 Washington State Sales Tax @ 8.2%: $ 6,844 TOTAL with Taxes: $90,302 D. Phase 4 — Remodel Offices/Reception/Cafe. Estimated construction costs: Construction Cost Subtotal: $57,260 Design Contingency @ 30%: 17,178 Subtotal: $74,438 General Contractor's Overhead and Profit ("OH & P") @ 15%: $11,166 3 TOTAL Phase 4 Construction Costs: $85,604 Washington State Sales Tax @ 8.2%: $ 7,020 TOTAL with Taxes: $92,623 E. Phase 5 — Assembly Room/Hallways. Estimated construction costs: Construction Cost Subtotal: $ 8,092 Design Contingency @ 30%: 2,428 Subtotal: $10,520 General Contractor's Overhead and Profit ("OH & P") @ 15%: $ 1,578 TOTAL Phase 5 Construction Costs: $12,098 Washington State Sales Tax @ 8.2%: $ 992 TOTAL with Taxes: $13,090 TOTAL ESTIMATED ALL PHASES, including taxes: Estimated "soft costs"* @ 20% of Construction Costs: (*Architect/engineer fees, printing, permits, etc.) $479,655 $ 88,661 TOTAL ESTIMATED PROJECT COSTS: $568,316 2. Obligations of Washington Fruit. Washington Fruit shall perform the following duties: A. Washington Fruit shall contribute and pay the City the sum up to $250,000 from funds authorized by its board toward the costs of design and construction of the Improvements. Such funds shall be paid to City in annual installments of $50,000 commencing on or before January 15, 2014, and on or before January 15 of each succeeding year, with last payment payable on or before January 15, 2018. Such funds shall be deposited in an account or accounts 4 of the City appropriate for the administration of such funds. Thereafter, such funds, together with funds contributed by City as set forth in Section 3 below, will be expended by City to accomplish the purposes of this Agreement. B. Washington Fruit, at Washington Fruit's election, may assist the City in planning, design and site development of the Improvements, and confer with the City as desired by Washington Fruit in regard to any outstanding matters relating to use, maintenance and repair of the completed Improvements. C. Washington Fruit understands and agrees that design and construction of the Improvements shall be deemed a public works project of the City, subject to laws and procedures governing public works projects, including but not limited to, bidding laws and payment of prevailing wages, as applicable. 3. Obligations of City. The City shall provide the following services and perform the following duties: A. City shall contribute the sum up to $250,000 from funds authorized by its City Council toward the costs of design and construction of the Improvements. Such funds shall be paid by City in annual installments of $50,000 commencing on or before January 15, 2014, and on or before January 15 of each succeeding year, with last payment payable on or before January 15, 2018. Such funds shall be deposited in an account or accounts of the City appropriate for the administration of such funds. Thereafter, such funds, together with funds contributed by Washington Fruit as set forth in Section 2 above, will be expended by City to accomplish the purposes of this Agreement. B. City, in consultation with Washington Fruit, and subject to the provisions of Section 3 (C) below, shall be responsible for the design of the Improvements, including designation of location of the Improvements within the YPAL Building and property. City, in consultation with Washington Fruit, shall be responsible for developing and implementing all plans for construction of the Improvements, including but not limited to, implementing such construction in phases as necessary or appropriate to accommodate financing of such project. C. City shall construct the Improvements as a public works project and manage the construction site. City shall be responsible for 5 compliance with construction and design standards regarding accessibility for the handicapped pursuant to applicable codes. D. Upon completion of the Improvements, the finished facilities, amenities and fixtures shall be owned, operated and maintained by the City; shall be incorporated into the City's public property; and will meet the standards set by City. E. City shall manage all funds allocated, collected, paid and received pursuant to this Agreement, and shall maintain such funds in an appropriate account or accounts, to be expended by City to accomplish the purposes of this Agreement. City shall manage such account or accounts in accordance with its existing procedures and standards. City shall provide periodic reports or statements of account and expenditure to Washington Fruit as requested, and shall provide a final statement of account and expenditure upon completion and final acceptance of the Improvement project. 4. Scheduling of Construction — Funding — Budgeting. It is the intention and desire of the parties that funds sufficient to accomplish the construction of each Phase will be in hand or committed prior to commencement of construction of each Phase. The City shall have final authority to determine when such construction shall commence and how such construction shall progress. City shall budget the construction funds in accordance with its budgeting procedures and applicable standards. To this end, if requested by Washington Fruit, the parties will meet and confer as necessary and appropriate prior to issuance of the City's Preliminary Budget to discuss the anticipated construction schedule for the next budget year and the funds to be budgeted for such construction. 5. Prepayment of Annual Funds — Additional Funds. Either party may prepay any annual contribution, or any portion thereof, in order to accomplish construction of any Phase within an agreed timeframe or to cover cost overruns for any Phase. In the event of prepayment of any annual contribution, or portion thereof, the amount of such prepayment shall be credited against the total $250,000 committed by each party pursuant to this Agreement, with such credit applied against the final annual payment unless otherwise agreed. Either party may also contribute funds in excess of its total commitment of $250,000, and such excess funds may be provided through donation and/or grants from the contributing party, or donations and/or grant funds dedicated to the project contributed by third parties and governmental agencies. Such excess contributions of the parties and donations and/or grants from third parties and governmental agencies shall be documented and considered components of this Agreement. 6 6. Use, Maintenance and Property Insurance. Except as otherwise insured by contractor(s) during construction, such Improvements and the YPAL Building and property shall be owned, maintained and insured by City in accordance with standards and procedures of the City. 7. Name of YPAL Building. As a condition for the donation of funds for improvement of the YPAL Building by Washington Fruit herein, Washington Fruit is granted the right to name the improved and renovated facilities, subject to final acceptance and approval of the City Council. 8. Duration. The term of this Agreement shall commence upon execution hereof and shall remain in effect through completion and final acceptance by City of all Phases described in Section 1 of this Agreement. Notwithstanding the above, this Agreement may be terminated earlier by either party pursuant to the provisions of Section 21 below. 9. Administration. This Agreement shall be administered by the City Manager or his designee. 10. Independent Contractor. Washington Fruit and the City understand and expressly agree that Washington Fruit and the City are each independent contractors in the performance of each and every part of this Agreement. Nothing contained herein shall be interpreted as creating a relationship of servant, employee, partnership, or agency between Washington Fruit and the City and/or any officer, employee or agent of Washington Fruit and the City. 11. No Third Party Rights. This Agreement is entered into for the sole benefit of the parties. It shall confer no benefits or rights, direct or indirect, on any third parties. No person or entity other than the City and Washington Fruit may rely upon or enforce any provision of this Agreement. 12. Indemnification and Hold Harmless. A. Each party hereto agrees to maintain responsibility and assume liability in the performance of this Agreement for its own wrongful and/or negligent acts or omissions, and those of its officers, agents or employees to the fullest extent allowed by law. B. City specifically agrees that it will indemnify and hold harmless Washington Fruit, its board members, officers, employees, volunteers, insurers and agents from any claims, demands, damages, lawsuits and actions arising out of any injury or Toss, or claim of injury or loss, arising out of the construction, use, maintenance or repair of the 7 Improvements, the YPAL Building and facilities, caused by the sole negligence or intentional wrongful acts of City, its elected and appointed officials, officers, contractors, volunteers and employees. C. The provisions of this Section shall survive the termination or expiration of this Agreement. D. Nothing contained in this Section or this Agreement shall create a liability or a right of indemnification in any third party. 13. Nondiscrimination. During the performance of this Agreement, the parties shall not discriminate in violation of any applicable federal, state and/or local law or regulation on the basis of age, sex, race, creed, religion,, color, national origin, marital status, disability, honorably discharged veteran or military status, pregnancy, sexual orientation, and any other classification protected under federal, state, or local law. This provision shall include but not be limited to the following: employment, upgrading, demotion, transfer, recruitment, advertising, layoff or termination, rates of pay or other forms of compensation, selection for training, and the provision of services under this Agreement. 14. Compliance With Law. The parties to this Agreement shall comply with all applicable federal, state and local laws, rules and regulations in carrying out the terms and conditions of this Agreement. 15. No Insurance. It is understood the City does not maintain liability insurance for Washington Fruit or its employees, volunteers and contractors. It is understood that Washington Fruit does not maintain liability insurance for the City or its employees, officers, volunteers and contractors. 16. Waiver of Breach. A waiver by either party hereto of a breach of the other party hereto of any covenant or condition of this Agreement shall not impair the right of the party not in default to avail itself of any subsequent breach thereof. Leniency, delay or failure of either party to insist upon strict performance of any agreement, covenant or condition of this Agreement, or to exercise any right herein given in any one or more instances, shall not be construed as a waiver or relinquishment of any such agreement, covenant, condition or right. 17. Dispute Resolution. The City and Washington Fruit agree to meet to discuss any outstanding issues related to the development of the Improvements and the performance of this Agreement in order to resolve any disputes through cooperation and negotiation. In the event any dispute cannot be resolved through cooperation and negotiation, the parties agree to submit such dispute to a mediator, mutually acceptable to both parties. Each party shall bear and pay its own expenses and costs of mediation, including attorneys' fees, and the parties will each pay one-half of the mediator's fee. If such dispute is not resolved through mediation, the parties may seek redress through any court with 8 jurisdiction, and the substantially prevailing party therein shall be entitled to recover its costs of suit together with its reasonable attorneys' fees. 18. Integration. This Agreement contains all of the terms and conditions agreed on by the parties. No other understandings, oral or otherwise, regarding the subject matter of this Agreement, are deemed to exist or to bind either of the parties. 19. Modifications. The parties may modify this Agreement but no proposed changes or modifications shall have validity or become binding on either party unless such changes or modifications are in writing and executed by both parties. 20. Severabilit A. If a court of competent jurisdiction holds any part, term or provision of this Agreement illegal or invalid in whole or in part, the validity of the remaining provisions shall not be affected, and the parties' rights and obligations shall be construed and enforced as if the Agreement did not contain the particular provision held invalid. B. If any provision of this Agreement is in direct conflict with any statutory provision of the State of Washington, that provision which may conflict shall be deemed inoperative and null and void insofar as it may conflict, and shall be deemed modified to conform to such statutory provision. 21. Termination — Effect of Termination — Modification. The parties may terminate this Agreement only according to the following provisions: A. Pre -Construction. 1. Engineer's Estimate. The parties shall meet and confer to review the Engineer's Estimate for the cost of each Phase of the Improvements. If such cost exceeds the total funds contributed by the parties, the parties, or either of them, may terminate this Agreement. Such termination shall be by written notice of termination delivered to the other party at the address given in Section 21 below. Upon the effective date of termination, the balance of funds contributed by each party for that Phase shall be remitted and paid to the contributing party, less that party's share of proportionate costs and expenses incurred in the design, implementation and work performed pursuant to this Agreement prior to the effective date of termination. In the alternative, the parties may revise the scope of improvements to fit within the budget of funds on hand and proceed to bidding and construction with the modified scope of improvements, or may contribute excess funds to accomplish the original scope of improvements. 9 2. Prior to Requests for Bids. Either party may terminate this Agreement any time prior to publication of Requests for Bids for the construction of the Improvements. Such termination shall be by written notice of termination delivered to the other party at the address given in Section 21 below. Upon the effective date of termination, the balance of funds contributed by each party shall be remitted and paid to the contributing party, less that party's share of proportionate costs and expenses incurred in the design, implementation and work performed pursuant to this Agreement prior to the effective date of termination. B. After Award of Construction Contract(s). Neither party shall have the right to unilaterally terminate this Agreement after award of any contract for construction of any Phase of the Improvements. After completion of such Phase, either party may unilaterally terminate this Agreement as to remaining Phases. Upon the effective date of termination, the balance of funds contributed by each party shall be remitted and paid to the contributing party, less that party's share of proportionate costs and expenses incurred in the design, implementation and work performed pursuant to this Agreement prior to the effective date of termination. C. Mutual Agreement of the Parties. This Agreement may be terminated by mutual agreement of the parties at any time. 22. Construction Management. Construction of the Improvement Project, and each Phase, will be managed by City, and contractor(s) performing the work will be bonded in accordance with City public works contracting procedures. 23. Notices. Unless otherwise stated herein, all notices and demands are required in written form and sent to the parties at their addresses as follows: TO: CITY OF YAKIMA Tony O'Rourke, City Manager (or successor) City of Yakima 129 North Second Street Yakima, WA 98901 TO: WASHINGTON FRUIT & PRODUCE CO. Roderick Plath, President/Chairman P.O. Box 1588 Yakima, Washington 98907 10 24. Governing Law — Venue. This Agreement shall be governed by and construed in accordance with the laws of the State of Washington. Venue for any action arising out of the implementation, performance or breach of this Agreement shall lie in Yakima County, State of Washington. 25. Filing. Copies of this Agreement shall be filed with the City Clerk of Yakima. CITY OF YAKIMA , City Manager Date Signed CITY CONTRAC r NO: RESOLUTION NO: WASHINGTON FRUIT & PRODUCE COMPANY By: Roderick Plath, President/Chairman /74).0) Date Signed By: (- Clifford Plath, Secretary /. Z///r Date Signed 11