Resolution No. 85841 ,.
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WE
RESOLUTION NO. 8584
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
VERNON APPROVING AND AUTHORIZING THE EXECUTION OF A
FIFTH AMENDMENT TO CONTRACT FOR PROCUREMENT,
CONSTRUCTION AND STARTUP BY AND BETWEEN THE CITY OF
VERNON AND MARELICH MECHANICAL CO., INC., DBA
UNIVERSITY MARELICH MECHANICAL & GALLIERA, INC.,
DBA TRICO CONSTRUCTION FOR THE MALBURG GENERATING
STATION PROJECT
WHEREAS, on January 22, 2003, the City Council of the City
of Vernon adopted Resolution No. 8115 approving a Contract for
Procurement, Construction and Startup (the "Contract") with Marelich
Mechanical Co., Inc., dba University Marelich Mechanical & Galliera,
Inc., dba Trico Construction, a Joint Venture, ("Marelich"); and
WHEREAS, on April 21, 2004, the City Council of the City of
Vernon adopted Resolution No. 8435 ratifying the approval of a First
Amendment to the Contract for additional services in the sum of
1$3,009,756 and a Second Amendment to the Contract for additional
services in the sum of $1,891,491; and
WHEREAS, on August 4, 2004, the City Council of the City of
Vernon adopted Resolution No. 8510 approving,a Third Amendment to the
Contract for additional services; and
WHEREAS, on October 6, 2004, the City Council of the City of
Vernon adopted Resolution No. 8549 approving a Fourth Amendment to the
Contract for additional services; and
WHEREAS, on November 3, 2004, the Finance Committee
considered the recommendation of Bruce V. Malkenhorst, the Director of
Finance, dated October 28, 2004, that an amendment to the Contract
with Marelich for additional services in the sum of $1,855,672.00 be
approved and executed; and
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WHEREAS, the City Council of the City of Vernon has
determined that, pursuant to the provisions of subsection (a) of
Section 2.27 of the Vernon City Code, it is in the public interest and
necessity to enter into an amendment to the Contract with Marelich.
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF VERNON AS FOLLOWS:
SECTION 1: The City Council of the City of Vernon hereby
finds and determines that the recitals contained hereinabove are true
and correct.
SECTION 2: The City Council of the City of Vernon hereby
approves the Fifth Amendment to Contract for Procurement, Construction,
and Startup with Marelich, in substantially the same form as the copy
which is attached hereto as Exhibit A and incorporated by reference.
SECTION 3: The City Council of the City of Vernon hereby
authorizes the Mayor and the City Clerk to execute said Amendment for,
and on behalf of, the City of Vernon.
SECTION 4: The City Council of the City of Vernon hereby
directs the City Clerk, or his designee, to send one fully executed
Amendment to:
University Marelich Mechanical
Attn. Jay W. McEntire, Sr. Vice President & General Manager
1000 N. Kraemer Place
Anaheim, CA 92806-2610
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SECTION 5: The City Clerk of the City of Vernon shall
certify to the passage of this resolution, and thereupon and
thereafter the same shall be in full force and effect.
APPROVED AND ADOPTED this 3rd day of November, 2004.
ATTEST:
BRUCE V. MALKENHORST, City Clerk
EONIS C. MA URG, ayor
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STATE OF CALIFORNIA )
) ss
COUNTY OF LOS ANGELES )
I, BRUCE V. MALKENHORST, City Clerk of the City of Vernon, do
hereby certify that the foregoing Resolution, being Resolution No.
8584, was duly adopted by the City Council of the City of Vernon at a
regular meeting of the City Council duly held on Wednesday, November 3,
2004, a-nd thereafter was duly signed by the Mayor of the City of
Vernon.
(SEAL)
BRUCE V. MALKENHORST, City Clerks
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EXHIBIT
0
FIFTH AMENDMENT
TO
CONTRACT FOR PROCUREMENT, CONSTRUCTION. AND STARTUP
This Fifth Amendment to Contract for Procurement, Construction, and Startup for the
Malburg Generating Station Project, Vernon, California (this "Amendment") is made as of
November 3, 2004 by and between The City of Vernon, a municipal corporation (the "City") and
Marelich Mechanical Co., Inc. dba University Marelich Mechanical & Galliera, Inc. dba Trico
Construction, a Joint Venture (the "Contractor"), and is made with reference to the following:
A. The City and the Contractor entered into that certain Contract for Procurement,
Construction, and Startup for the Malburg Generating Station Project dated February 3, 2003, as
amended on September 10, 2003, March 17, 2004, August 4, 2004 and October 6, 2004
(collectively, the "Agreement"), pursuant to which the parties agreed that the Contractor would
provide for the procurement, construction and start-up services for the City's development of a
Combined Cycle Power Plant (the "Project"), on the terms and conditions described in the
Agreement.
B. The City and the Contractor have agreed that it would be in the best interest of the
Project for the Contractor to perform additional work and provide additional materials and
services in connection with the Project under the terms of the Agreement.
C. Paragraph 6 of the Agreement requires that changes to the Project requiring
expenditures in excess of $20,000 be accomplished by an Amendment to the Agreement. The
additional labor and materials required in connection with the Project will exceed $20,000.
Therefore, to comply with the terms of the Agreement, the City and the Contractor desire to enter
into this Amendment to amend the terms of the Agreement as set forth below. Each initially
capitalized term used in this Amendment without definition shall have the meaning ascribed to
such term in the Agreement.
THEREFORE, for valuable consideration, the parties agree as follows:
1. Additional Services Required. The City and the Contractor acknowledge and
agree that the additional services described in Exhibit "A" to this Agreement, a copy of which is
attached hereto and incorporated herein by this reference (collectively, the "Additional
Services"), are required in connection with the Project. The Additional Services constitute work
that was not originally contemplated by the parties, and is now determined by the parties to be
necessary to the Project. This Amendment is entered into solely for the purpose of evidencing
the City's approval of the cost components of the items listed in Exhibit "A". The parties
specifically acknowledge and agree that this Amendment is not intended to and does not
evidence the City's approval or the Contractor's waiver or settlement of any reference to or
description of or claim in regard to a time delay or schedule impact that may be set forth in any
of the Contractor's cost estimates, whether or not listed in Exhibit "A", all of which are subject
to review and evaluation by the City. Contractor hereby waives any claim that the City's
execution of this Amendment or payment of the Additional Cost (as described below) constitutes
the City's express or implied agreement to any reference in any of the Contractor's cost
estimates related to time delays or schedule impacts.
2. Cost of Additional Services. The City and the Contractor agree that the total cost
for all labor and materials for the Additional Services is $1,550,000.00 (the "Additional Cost").
The Additional Cost is payable on the terms of the Agreement, following submission and
approval of documentation as required by the Agreement.
3. Terms of Additional Services. All Additional Services are to be provided in
accordance with the terms of the Agreement, are to meet the standards and specifications and
quality of work provisions set forth in the Agreement, and are to be covered by the same
warranties or guarantees, if any, that are set forth in the Agreement.
4. Approval by the City. This Amendment shall be executed by a duly authorized
representative of the City following approval of the terms of this Amendment by the City in
accordance with City policies and procedures.
2
5. Remainder of Agreement. Except as specifically modified herein, all terms and
conditions of the Agreement are unmodified and remain in full force and effect, and apply to the
Additional Work and Additional Costs as if those services and costs were originally included in
the Agreement.
Executed as of the date first above written.
ATTEST:
Bruce V. Malkenhorst, City Clerk
APPROVED AS TO FORM .
Eric T. Fresch, City Attorney
CITY OF VERNON
Leonis C. Malburg, Mayor
CONTRACTOR
Marelich Mechanical Co., Inc. dba University
Marelich Mechanical & Galliera, Inc. dba Trico
Construction, a Joint Venture
By:
Signature
Date:
Name:
Title:
By:
Signature
Date:
Name:
Title:
3
EXHIBIT A
ADDITIONAL WORK
CE#
Description of Work
Amount
35DR1
Distribution Cable Delta
$782,812
35FR1
Alstom Special Starting Motor Cable
$85,410
35H
Added Lighting Fixtures
$90,123
54
Changes to Water Treatment Skid
$57,742
114
DCN 005 Mechanical Piping Changes
$309,794
114A
Double Contained Ammonia Piping
$62,231
183A
Standby Time for Earth Moving Equipment
$20,027
185E
Maintain Fire Road
$3,719
188A
Rebar Surcharge
$40,162
353
Show -up Time for Stop Notice
$611
357
Changes to the Pipe ID & Marking Tape
$8,994
362R1
Structural Changes
$392,559
Update Tubeside Alignment Tooling Supports - Weld Stiffner
390
Plates
$1,488
$1,855,672
A-1
SUPPORTING
DOCUMENTS
FIFTH AMENDMENT
tcl
CONTRACT FOR PROCUREMENT, CONSTRUCTION, AND STARTUP
This Fifth Amendment to Contract for Procurement, Construction, and Startup for the
Malburg Generating Station Project, Vernon, California (this "Amendment") is made as of
November 3, 2004 by and between The City of Vernon, a municipal corporation (the "City") and
Marelich Mechanical Co., Inc. dba University Marelich Mechanical & Galliera, Inc. dba Trico
Construction, a Joint Venture (the "Contractor"), and is made with reference to the following:
A. The City and the Contractor entered into that certain Contract for Procurement,
Construction, and Startup for the Malburg Generating Station Project dated February 3, 2003, as
amended on September 10, 2003, March 17, 2004, August 4, 2004 and October 6, 2004
(collectively, the "Agreement"), pursuant to which the parties agreed that the Contractor would
provide for the procurement, construction and start-up services for the City's development of a
Combined Cycle Power Plant (the "Project"), on the terms and conditions described in the
Agreement.
B. The City and the Contractor have agreed that it would be in the best interest of the
Project for the Contractor to perform additional work and provide additional materials and
services in connection with the Project under the terms of the Agreement.
C. Paragraph 6 of the Agreement requires that changes to the Project requiring
expenditures in excess of $20,000 be accomplished by an Amendment to the Agreement. The
additional labor and materials required in connection with the Project will exceed $20,000.
Therefore, to comply with the terms of the Agreement, the City and the Contractor desire to enter
into this Amendment to amend the terms of the Agreement as set forth below. Each initially
capitalized term used in this Amendment without definition shall have the meaning ascribed to
such term in the Agreement.
THEREFORE, for valuable consideration, the parties agree as follows:
1. Additional Services Required. The City and the Contractor acknowledge and
agree that the additional services described in Exhibit "A" to this Agreement, a copy of which is
attached hereto and incorporated herein by this reference (collectively, the "Additional
Services"), are required in connection with the Project. The Additional Services constitute work
that was not originally contemplated by the parties, and is now determined by the parties to be
necessary to the Project. This Amendment is entered into solely for the purpose of evidencing
the City's approval of the cost components of the items listed in Exhibit "A". The parties
specifically acknowledge and agree that this Amendment is not intended to and does not
evidence the City's approval or the Contractor's waiver or settlement of any reference to or
description of or claim in regard to a time delay or schedule impact that may be set forth in any
of the Contractor's cost estimates, whether or not listed in Exhibit "A", all of which are subject
to review and evaluation by the City. Contractor hereby waives any claim that the City's
execution of this Amendment or payment of the Additional Cost (as described below) constitutes
the City's express or implied agreement to any reference in any of the Contractor's cost
estimates related to time delays or schedule impacts.
2. Cost of Additional Services. The City and the Contractor agree that the total cost
for all labor and materials for the Additional Services is $1,855,672.00 (the "Additional Cost").
The Additional Cost is payable on the terms of the Agreement, following submission and
approval of documentation as required by the Agreement.
3. Terms of Additional Services. All Additional Services are to be provided in
accordance with the terms of the Agreement, are to meet the standards and specifications and
quality of work provisions set forth in the Agreement, and are to be covered by the same
warranties or guarantees, if any, that are set forth in the Agreement.
4. Approval by the City. This Amendment shall be executed by a duly authorized
representative of the City following approval of the terms of this Amendment by the City in
accordance with City policies and procedures.
MIA
2
5. Remainder of Agreement. Except as specifically modified herein, all terms and
conditions of the Agreement are unmodified and remain in full force and effect, and apply to the
Additional Work and Additional Costs as if those services and costs were originally included in
the Agreement.
Executed as of the date first above written.
CITY OF VERNON
By: o
Leonis C. Malburg, ayor
ATTEST:
Bruce V. Malkenhorst, City Clerk
APPROVED AS TO FORM
/\
Eric T. Fresch Ci y Attorney
CONTRACTOR
Marelich Mechanical Co., Inc. dba University
Marelich Mechanical & Galliera, Inc. dba Trico
Cons tion, a Joint Venture
By: -�L- -
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Date: a?-Lz/®
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a y .
EXHIBIT A
ADDITIONAL WORK
CE#
Description of Work
Amount
35DR1
Distribution Cable Delta
$782,812
35FR1
Alstom Special Starting Motor Cable
$85,410
35H
Added Lighting Fixtures
$90,123
54
Changes to Water Treatment Skid
$57,742
114
DCN 005 Mechanical Piping Changes
$309,794
114A
Double Contained Ammonia Piping
$62,231
183A
Standby Time for Earth Moving Equipment
$20,027
185E
Maintain Fire Road
$3,719
188A
Rebar Surcharge
$40,162
353
Show -up Time for Stop Notice
$611
357
Changes to the Pipe ID & Marking Tape
$8,994
362R1
Structural Changes
$392,559
Update Tubeside Alignment Tooling Supports - Weld Stiffner
390
Plates
$1,488
A-1
$1,855,672