HomeMy WebLinkAboutResolution - 484 - Agreement - Talon Co - Final Payment, Steam Unit #2 Holly Ave Power Station Work - 04/24/1980RESOLUTION #484 - 4/24/80
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Qq RESOLUTION
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A RESOLUTION AUTHORIZING THE MAYOR TO EXECUTE AN AGREEMENT PROVIDING FOR
CONDITIONS OF RELEASE OF RETAINAGE AND FINAL PAYMENT BETWEEN THE CITY OF
LUBBOCK AND TALON CONSTRUCTION COMPANY.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the Mayor BE and is hereby authorized and direct to execute for and
on behalf of the City of Lubbock an Agreement with Talon Construction Company,
providing for conditions of release of retainage and final payment under the
Contract for Mechanical Construction and Major Equipment Erection, Steam Unit
No. 2, Holly Avenue Power Station, Lubbock Power and Light System, said Agreement
being attached herewith which shall be spread upon the minutes of the Council
and as spread upon the minutes of this Council shall constitute and be a part
of this Resolution as if fully copied herein in detail.
Passed by the City Council this 24th day of April , 1980.
ILL MCALISTER, MAYOR
ATTEST:
Evelyn'-Gd'ffga, City- rcIry-Treasurer
P qk
yarth, Producti n Superintendent,
Lub *"k P6 and Light
APPROVED AS TO FORM:
W. M. McKamie, Assistant City Attorney
RESOLUTION #484 - 4/24/80
AGREEMENT
BETWEEN
THE CITY OF LUBBOCK
AND
TALON CONSTRUCTION COMPANY
STATE OF TEXAS §
COUNTY OF LUBBOCK §
This Agreement entered into this 24th day of April , 1980, by and
between the City of Lubbock, Texas a home -rule municipal corporation, hereinafter
called "CITY", and Talon Construction Company, a business corporation organized
under the laws of the State of Texas, hereinafter called "CONTRACTOR".
WITNESSETH:
In consideration of the mutual covenants hereinafter set forth the parties
hereto do agree as follows:
1. Except as otherwise provided herein, all terms and conditions of
the Contract for Mechanical Construction and Major Equipment
Erection, Steam Unit No. 2, Holly Avenue Power Station, Lubbock
Power and Light System between the CITY and the CONTRACTOR herein-
after called the "Contract" shall remain in full force and effect
and shall not be affected by this Agreement.
2. The CITY agrees to pay to the CONTRACTOR, the sum of $314,082.77
(Three hundred and fourteen thousand eighty-two and 77/100 Dollars)
being the amount retained under the terms of the Contract for
Mechanical Equipment Erection, Steam Unit No. 2, Holly Avenue Power
Station, Lubbock Power and Light System. Such sum represents the
total release of retainage and full final payment by the CITY to the
CONTRACTOR under the aforementioned Contract.
3. The CONTRACTOR agrees that upon receipt from the CIof the amount
specified in paragraph 2 of this Agreement, the CONT CTOR shall
immediately cause to be executed and forwarded to th CITY certain
cashier's checks in the amounts specified herein and made payable
to the payees specified herein:
Payee Amount
George B. Allen & Co. $ 1,i52.80
Summers Southland Supply Co. $ 9,345.00
Bernhard Associates $ ,655.69
Peerless Pump Co. $ 755.85
General Electric $ ,681.00
General Electric $15,030.50;'
City of Lubbock (to be paid upon
settlement of freight charges,
General Electric) $ 1,247.62
4. This Agreement does not constitute, and is not intended to constitute,
an acceptance by the CITY of the work completed or services performed
by the CONTRACTOR under the aforementioned Contract.
IN WITNESS WHEREOF, the CITY and the CONTRACTOR have duly executed this
Agreement as of the day and year first above written.
CITY OF LUBBOCK, TEXAS
B LL MCALIS ER, MA OR
ATTEST:
Evelyn Ga fga, .city S ra -Treasurer
APPRO ED: r
JO W dsworth, Production Su erintendent,
Lubbock Power & Light
APPROVED AS TO FORM:
L6"'
W. M. Mc amie, Assistant City Attorney
ATTEST:
TALON CONSTRUCTION CO.
GJ'Mr
J01". KING, PRESIDE
TALON CONSTRUCTION COMPANY,
HEAVY UTILITY CONSTRUCTION
16600 ADDISON ROAD • 0.'0. BOX SS6 • 214/233-9161
ADDISON, TEXAS 7SO01
April 7, 1980
Mr. john C. Ross
City Attorney
Lubbock, Texas 79457
Re: Holly Avenue Power Plant
City of Lubbock, Texas
Dear Mr. Ross:
Thank you for taking the time to review final payment on the above project.
I appreciate your willingness to consider the proposed method as described
below.
1) My offer for an early settlement will allow the City to deduct
from our final payment $19,833.00 - an amount sufficient to purchase the
material as described on the attached list, Schedule 'A'. (I have taken the
liberty of placing an order for this list of material; the prices are firm and
thus can be confirmed. Copy .of Purchase Orders are enclosed - G.E. not
included.)
2) There are some outstanding G.E. invoices remaining that per-
tain to the turbine generator erection. There is a dispute between ourselves
and G.E. regarding same. We propose that you also withhold a total amount
of $15,030.00 from our final payment to be held in escrow until G.E. and
Talon settle this matter. Schedule 'B' . _.
3) (Peerless Pump) You may also deduct from our finalpayment
$756.00 to cover Peerless invoice No. 22273.
In the event for some reason you cannot legally use the above method of
settlement, we offer for your consideration the following alternate:
Make final payment to Talon in full. Talon will at that time tender to the
City bank cashier checks made payable *to the appropriate suppliers in the
proper amounts. When the City receives material they can pass the cashier
checks on to the supplier.
It is our understanding that you must have this placed on the Council agenda
by April 17 to be considered at the regular Council meeting of April 24.
Mr. John C. Ross
April 7, 1980
Page 2
We trust you will be able to decide on one of the above methods in time
for the meeting on the 24th. Our willingness to settle this contract is
contingent upon an early settlement.
Very truly yours,
TALON CONSTRUCTION COMPANY
J n H. King
President
cc: Tippett & Gee, 502 N. Willis St. , Abilene, Texas 79603
Jay Wadsworth, Lubbock Power & Light, P. O. Box 2000, Lubbock
SCHEDULE 'A'
Valves,
Traps, Etc.
1 Ea.
G.E. #2 Oil Deflector -337D233 -Part #P-8 $
3,681.00
1 Ea.
Boiler Feed Recir Check Valve - 2 a " rig. 12C2
1500 lb. Check
894.00
6 Ea.:
3/4" Bypass Valves - D3J-D4J-DSJ-DST-14-D21J-
DST4 - ($149 ea)
894.00
2 Ea.
1" Before & After Seat Drain Valve,. replacement body
& plug assemblies. Conval diaphragm 15001b. (163 ea),
4 Ea.
Steam Traps DST 1 -DST 14, DST 5, 3/4" 5133 Fg-CV
326.00
1500 w/7/64" Orifice Internal Check and 1500 RF
Flgs ($1,038 ea.)
4,152.00
1 Ea.
PVC 4 (Owner Furnished) Repair parts. %Itek Control
Valve S/2 10530-19
4,676.00
1 Ea.
ES 14B 3"' 3GPW-1. Stockham Globe
680..00
1 Ea.
6" 150 W -U Stockham Gate
885.00
1 Ea.
AS 9 E 300W -U Stockham Gate
780.00
1 Ea.
AS 2E 3" Kunkel #k300M Relief Valve
21093.00
1 Ea.
PVC 3 (Owner Furnished) Repair Parts Valtek Control .
-',772.00
Valve S/2 10530-19
$ 19,833.00
SCHEDULE V
General Electric Invoices
Invoice # 089-66426 issued to Talon for.replacement.of an
overspeed governor $ 6,520.00
Invoice #511050892 issued to the City of Lubbock for
rework on the generator coupling 4,255.80
Invoice #511050891 issued to the City of Lubbock for
rework on the turbine rotor coupling 4.254.70
$ 15,030.50