HomeMy WebLinkAboutResolution - 999 - Release & Assignment - SWPSC - Transmission Pole Failures - 12/17/198133 1
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RESOLUTION
RESOLUTION 999 - 12/17/81
(See Reso. 838, 6/1.8/81
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the Mayor of the City of Lubbock BE and is hereby authorized and
directed to execute for and on behalf of the City of Lubbock a Release and
Assignment between the City of .Lubbock and Southwestern Public Service Company,
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 i7tb day of D��ember ,1981.
r
4BLL McALISTER, MAYOR
,ATTEST:
Evelyn Ga fg , City a ary-Treasurer
-APPROVED AS TO CONTENT:
_�
Carroll McDonald, birector of
Electric Utilities
APPROVED AS TO FORM:
David W. Reagan, As i nt City Attorney
RESPLUTION 999 - 12/17/81
�/• �!TY FFC,FFT.ARY TREASURER
t (See Reso 838, 6/18/81)
THE STATE OF TEXAS §
COUNTY OF LUBBOCK §
RELEASE AND ASSIGNMENT
This Release and Assignment, executed by the City of Lubbock
(City) and Southwestern Public Service Company (Company)
WITNESSETH:
I.
On or about March 11, 1976, the City entered into an agree-
ment with Hicks and Ragland Engineering Company, Inc. (Hicks/Ragland)
regarding construction of the Holly Plant to Co-op Substation 138
KV Transmission Line as is shown by the original contract.
II.
Hicks/Ragland thereafter consulted with and relied upon the
advice, services, and expertise of Dr. C.V.G. Vallabhan of Lub-
bock, Texas regarding portions of the construction contract with
the City and particularly the concrete supports designed and
furnished for poles hereinafter described.
III.
On or about November 26, 1980 two large transmission poles
included in the construction contract referred to and denominated
as poles 19 and 20 fell to the ground. In addition, the struc-
tural integrity of poles 17, 34, 37, 40 and 43 was thereafter
questioned because of the failure of the concrete supports for
such transmission poles.
IV.
Following such fall and discovery of instability of the
support foundations of the poles, the City asserted its claim
against Hicks/Ragland contending that its losses occasioned by the
construction failures referred to were caused by errors in the
design or other engineering work furnished by the engineer'Hicks/
Ragland with respect to the concrete supports for such poles; and,
V.
WHEREAS, the City and Buck entered into that certain remedial
agreement, copy of which is attached hereto and marked Exhibit A;
and,
VI.
WHEREAS, said remedial agreement has been in all things ful-
filled and carried out; and,
VII.
, WHEREAS, the sums of money recited in said remedial agreement
(Exhibit A) having been fully paid and the damages of Southwestern
Public Service Company having been fully paid, the City of Lubbock
and Southwestern Public Service Company each desire to release
Hicks and Ragland Engineering Company, Inc. of any and all claims
or liability arising by virtue of the failures described in Para-
graph III hereof and the agreement hereinabove described, and
further desire to assign to the said Hicks and Ragland Engineering
Company, Inc., their successors and assigns any and all rights and
claims of any kind whatsoever which they or either of them might
have or have had against the said Hicks and Ragland Engineering
Company, Inc. and/or Dr. C.V.G. Vallabhan on account of the losses
caused by the failures above described;
VIII.
WHEREAS, Southwestern Public Service Company, Inc. having
sustained damages as a result of the failures hereinabove described
and having received payment in the amount of $8,311.71 for such
damages, Southwestern Public Service Company, Inc. desires to
release the City of Lubbock of any and all claims or liability
arising by virtue of the failures hereinabove described.
NOW, THEREFORE, KNOW ALL MEN BY THESE PRESENTS, that for and
in consideration of the mutual covenants and agreements herein and
other good and valuable consideration, we the undersigned hereby
agree:
A. The City of Lubbock and Southwestern Public Service
Company, Inc. each does hereby fully and forever release and
discharge the said Hicks and Ragland Engineering Company,
Inc., their servants, agents, employees and liability carrier,
of and from any and all liability of whatsoever nature in any
way arising out of the hereinabove described transmission pole
foundation support failures and said remedial agreement herein-
above referred to, it being our intention only to release said
Hicks/Ragland from any and all liability with respect to such
failures and the losses occasioned thereby, without releasing
Dr. C.V.G. Vallabhan.
B. Southwestern Public Service Company, Inc. does
hereby fully and forever release and discharge the said City
of Lubbock, its servants, agents, and employees, of and from
any and all liability of whatsoever nature in any way arising
out of the hereinabove described transmission pole foundation
support failures and the losses occasioned thereby, without
releasing Dr. C.V.G. Vallabhan.
C. The City of Lubbock and Southwestern Public Service
Company, Inc. do hereby transfer and assign to Hicks and
Ragland Engineering Company, Inc., their successors and
assign.all of our right, title and interest in and to any and
all causes of action or claims which we have or have had
against Hicks and Ragland Engineering Company, Inc. and/or.
C.V.G. Vallabhan of Lubbock, Texas, arising only out of the
hereinabove described transmission pole foundation support
failures and said remedial agreement with full right to main-
tain an action and to settle, compromise or reassign such
cause of action and to give a release in our names in full
discharge of liability thereunder.
D. Any action taken by assignee under this assignment
may be in the name of the City of Lubbock and/or Southwestern
Public Service Company but shall be at the sole expense of
assignee who shall indemnify assignors as to any loss or
expense occasioned by such action taken by assignee.
Executed this 17th day of December 1981.
ATTEST:
BY C.l�
Eve yn"Ga ga, C'
Secretary -Treasure
APP VED AS TO CONTENT:
c
Carro 1 McDonald, Director
of Electric Utilities
APPROVED AS TO FORM:
4�� C- ?�
Jo n C. Ross, Jr.
City Attorney
ATTEST:
THE CITY 0 UBBO
r
BY
cALISTER, MAYOR
SOUTHWESTERN PUBLIC SERVICE COMPANY
.BY BY
STATE OF TEXAS § .cl773
COi'\TY OF LUBBOCK
REMEDIAL ASREEZ1Et7
This Remedial Agreement entered•'into by and between the City of Lubbock,
herein called "City", and J. k'. Buck Construction Co., Inc., herein called
"Contractor".
WITNESSETH
hnEREAS, the City and the Contractor entered into a contract on the 8th
Cay of May, 1980, for :.he construction of a 138 KV transmission line from the
Holly Plant to Co-op Substation; and
WHEREAS, on November 26, 1980, two large transmission poles erected pur-
sUant to the aforementioned contract and identified in said contract as poles
619 and #20 fell to the ground; and
WHEREAS, subsequent investigation of these transmission pole failures
revealed that a question existed also as to the structural integrity of trans-
m-ssion poles V17, 34, 37, 40 and 43; and
k*HEREAS, the consulting engineers retained by City on this construction
project have prepared estimates on the cost of rhe necessary remedial work to
complete this construction contract in accordance with its original terms; and
WHEREAS, the consulting engineers have recommended that due to the com-
plexity and scope of the remedial work necessary to complete this contract in
accordance with its original terms that this remedial agreement be entered into
between the parties so that the scope of the remedial work could be properly
stated as well as the terms and conditions that pertain thereto; and
WHEREAS, the City has called to the Contractor's attention the terms of
.the•contract previously entered into between the parties dated May 8, 1980, and
specifically Art. II, Secs. 3 and 6; and Art. V, Sec. 1, together with all
other terms of the contract covering defects in the work from whatever cause
under the contract; and
k'Y.EREAS, both parties to .this Agreement agree with the need to undertake
the remedial work which is the subject matter of this Agreement; and
k''dEREAS, both parties to this Agreement agree that the terms of the
original contract covering defects in work will be followed in undertaking the
remedial work which is the subject matter of. -this Agreement subject to the
specific terms herein set forth.
EXHIBIT A
t
IOW THEREFORE, for and in consideration of the mutual covenants and pro-
mises of the parties herein contained, and all other good and valuable con-
sideration herein set forth, the parties hereto do agree as follows:
1. Repairs
(a) Contractor shall undertake to make the necessary repairs to the
238 KV transmission line from Holly Plant to Co-op Substation as
set forth in Exhibits A and B attached hereto and made a part of
this contract for all purposes.
(b) If during the repair procedures as set forth above, it becomes
evident that additional repairs are necessary to complete the
remedial work, then in such event the parties hereto will
determine at such time the resolution of such additional work
and if such will be for additional compensation.
2. Cost
It is agreed between the perties that the total cost to undertake the
repairs set forth in Exhibits A and B only, are as follows•
(a) Exhibit A - $ 89,050.00
(b) Exhibit B - $ 19,745.00
It is further agreed that Contractor shall undertake said work for
the total price of $108,795.00, payable at Lubbock, Texas, as herein
provided.
3. Third Party
(a) It is agreed and understood by both parties hereto that all
monies to be paid Contractor for Contractor's work in effecting
the repairs as set forth in Exhibits•A and B are to be paid to
Contractor only after receipt by City of said funds from Hicks
& Ragland Engineering Co., Inc.
(b) It is further understood that the City will not be liable to the
Contractor for payment of monies under this contract until such
time as it has received the funds set forth in paragraph V2 of
this Agreement.
(c) It is further understood between the parties that the Contractor
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will not commence work on the remedial repairs set forth in
Exhibits A and B until such time as the Contractor has been
officially notified in writing that it is in receipt of the
funds set forth in paragraph P2 of- this Agreement and that said
funds are being held in escrow for'Contractor.
4. Payment
Upon receipt of the monies by City from Hicks and Ragland Engineering
Company, or their insurance company, as aforementioned, and the
execution of this Agreement by Contractor, the City agrees to pay
Contractor for his work in effecting the remedial repairs set forth
in said Exhibits A and B, the monies set forth in paragraph 742 of
this Agreement as follows:
(a) $29,115.00 to be paid Contractor immediately upon receipt
of said funds by City.
(b) $74,240.25 to be paid Contractor in accordance with the
provisions for partial payment set forth in the original
contract between the parties dated May 8, 1980, at Art.
ill, Sec. 1, save and except that the retainage under this
Agreement shall be only 5% of the total cost of this contract
as set forth in paragraph V2 hereof.
(c) $5,439.75 - this sum shall represent the retainage that
City shall hold until such time as the work undertaken by
Contractor has been accepted by City at which time this
money shall be paid to Contractor.
5. Original Contract
Save and except as herein set forth, the terms of the original con-
tract between the parties shall govern the. relationship between the
parties hereto and said original contract dated May 8, 1980, is
hereby referred to as if fully set forth herein. It is expressly
agreed that this Agreement is not in any manner a replacement or
novation of said original contract between the City and Contractor,
but is an addition setting forth the manner in which such remedial
work is to be preformed.
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6. t.�arran ty
The same warranty shall run in favor of City on the repair Mork which
is the subject matter of this Agreement, as is set forth in the
original contract between the parties in Art. II, Sec. 6.
This Agreement shall become eff tive the'day and year below written.
EXECUTED this day of ✓-- , 1951.
ATTEST:
l
Evelyn Gaffga, tity c -Treasurer
APPROVED AS TO CONTENT: ,
Carroll HcDonald, Director of Utilities
Sales and Service
APPROVED AS TO FORM:
LL e
Jon C. Ross, Jr., CityjAttorney
ATTEST:
CITY OF LUBBOCK, TEXAS
BY
BILL McALISTER, MY OR
J. W. BUCK CONSTRUCTION CO., INC.
BY
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