Resolution No. 2016-004 (12)SIGNATURE ROUTING FORM
CONTRACTOR: C,0M(►10rlLJQgA Vh L_aoA r Nv Gxna�►.l
CONTRACT PURPOSE:
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CONTRACT IS: ❑ FEDERAL ❑ PREVAILING WAGE ❑ COMPETITIVE SELECTION & NOTICED RFP
❑ COMPETITIVE BID & NOTICED INVITATION TO BID
❑ EXEMPT FROM COMPETITIVE PROCESS (APPROVAL ATTACHED)
tR SERVICES ❑ MATERIALS ❑ BUDGETED ❑ NOT BUDGETED
TOTAL CONTRACT VALUE: $ N i o. q 3 Charge Acct. No(s) 055• q 100. L-150 f Zf
Amendment Value $ ❑ Contract is an Amendment to Eden Contract No. (if applicable)
RESPONSIBLE DEPARTMENT PERSON: AIk NOUC PHONE: ext��-
AUTHORIZATION: Approved by Council on ' 214ji
(Check one and attach Resolution No. (if applicable)
supporting documentation)
❑ Approved by City Administrator on
❑ Approved by Finance Director on
ROUTING SEQUENCE: (Please Follow In Order) Initials Date
(1) Responsible Department Person y
Certifies compliance with Competitive Bidding and Purchasing Ordinance, !�
obtains approval from City Council/City Administrator/Finance Director, and obtains
approval as to form from the City Attorney's Office, assembles two (2) originals of contract,
obtains proper signatures from contractor/consultant pursuant to the signature requirements,
obtains insurance & bond documents, notifies IT to remove related RFP/bid notice from the
City's website (if applicable), enters contract into Eden once routing process is complete.
(2) Liability and Claims � �•� l Of
Approves insurance and sureties, if bonds required. I •..7 1
(3) Finance (Purchasing)
Checks compliance with Competitive Bidding & Living Wage Ordinances
and reflected in current budget.
(4) City Attorney
Approves contract as to form. I
(5) City Signatory
Signs document on behalf of City.
(6) City Clerk
Attests signatures, numbers and files contract, enters contract documents
(executed contract, supporting documentation, insurance and bonds, etc.) into Laserfiche,
transmits duplicate original to contractor/consultant, notifies Responsible Department Person,
and notifies any "consultant" of duties to file Form 700, if applicable.
Rev. 6/2017
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PUBLIC UTILITIES DEPARTMENT
4305 Santa Fe Avenue, Vernon, California 90058
Telephone (323) 583-8811 Fax (323) 826-1407
December 4, 2018
Mai-Ly Marsh
AVP, Senior National Title Coordinator/Closer
National Commercial Services
Commonwealth Land Title Company
888 S. Figueroa Street, Suite 2100
Los Angeles, CA 90017
Re: Escrow No. 09170093 — MMarsh (Vernon)
Dear Mrs. Marsh:
In accordance with the Escrow Agreement and the Added Facilities Agreement dated as of
February 2, 2016 with respect to property located at 3200 Fruitland and pursuant to Section 19 of
the Facilities Agreement, the City requests a disbursement from Commonwealth Escrow No.
#09170093-mm in order to pay for Added Facilities Installation Costs and/or Line Extension
Costs from the Reserve Funds.
Subject to Exhibit A of the Facilities Agreement and related to Phase 1, the City requests
disbursement in the amount of $391,610.93 for the following cost incurred to date per table
below:
%15 Eng.
and Admin
Item #
Phase 1
Provider
Cost
Taxes
fees
Subtotal
1
.........
CG Power_........_....._................................__.__..._$88,506.00
$8,408.07
$14,537.11
$111,451_18
..... _._..._Transformers
2
Switches
_ -- -- —..
G&W Electric Company
$92,954.00
$8,830.63
$15,267.69
$117,052.32
...__..........__......._.
3
Service Installs
Petrelli Electric
$141,832.65
1 $21,274.90
$163,107.55
Total
I
1
1
$391,610.93
Excfusivefy Industriaf
Page 2
Please remit the disbursement amount electronically using the following banking information:
Financial Institution: East West Bank
Account Name: Light & Power
Account Number: 80362791
Routing Number: 322070381
Should you need additional information, please let me know.
Sincer ly,
By: —_
Yvette Woodru f-Perez, Aayor
ATTEST:
,�
L - Z--
Maria 1. Ayala, City C1
APPROVED AS FORM:
Brian Byun,
Senior Deputy City A rney
Cc: Mr. Bradley Cohen
Mr. Robert Daviduk
City of Vernon, 4305 Santa Fe Avenue, Vernon, California 90058 — Telephone (323) 583-8811
STAFF REPORT
City Council Agenda Item Report
Agenda Item No. COV-388-2018
Submitted by: Ali Nour
Submitting Department: Public Utilities
Meeting Date: December 4, 2018
SUBJECT
Approval to Submit Request for Disbursement No. 2 to Commonwealth Land Title Company in Accordance with the
rPlanet Earth Los Angeles, LLC Added Facilities Agreement
Recommendation:
A. Find that the proposed action is exempt under the California. Environmental Quality Act ("CEQA'), because it is an
administrative activity that will not result in direct or indirect physical changes in the environment, and therefore does not
constitute a `project" as defined by CEQA Guidelines section 15378; and
B. Authorize the proposed request for Disbursement No. 2, in substantially the same form as submitted herewith, for
electric service delivery in the amount of $391,610.93, and in accordance with the existing Added Facilities Agreement
with rPlanet Earth Los Angeles, LLC.
Backgroud:
rPlanetEarth Los Angeles, LLC ("Customer') is operating a plastic recycling plant in Vernon that requires a much larger
electric service delivery than what is normally delivered to new property developments. The Customer requires an
estimated 19,000 KW of equipment to be served by Vernon Public Utilities ("VPU'). Normally, the utilities bypass the
distribution system and require the transmission system to serve the requested load. Building a new transmission system
substation requires a large footprint on the customer's property which the customer did not have space to spare.
Therefore, in lieu of constructing a new transmission substation, the customer agreed to enter into an Added Facilities
Agreement ("AFA') with the City. The AFA was approved by City Council via Resolution No. 2016-04 on January
19, 2016. The AFA covers additional equipment and services needed to serve the Customer's electrical needs pursuant
to the requirements identified in the City's Electric Service Rate No.2.
In the AFA, parties agreed that the City shall provide design, engineering, procurement, construction, installation,
ownership, and maintenance of the electric facilities as fully described in Exhibit A of the AFA (the cost of which shall
be paid solely by the customer). The customer deposited $2,300,000 to an escrow account established by the City and
the customer, to cover cost incurred by the City to accommodate Phase 1 completion with disbursement of funds
requests to be submitted by the City to the escrow to reimburse all incurred costs. Commonwealth Land Title Insurance
Company is the matually agreed upon escrow agent to whom the customer has delivered funds.
The Added Facilities Installations for rPlanetEarth plant consist of two phases. The total Added Facilities Installation
Cost for Phasel was estimated at $800,000 plus $350,000 estimated for lime extension and all other related services to
accommodate Phase 1 electric services to be reimbursed through the existing escrow account. On July 17, 2018 the
City Council approved the request for Disbursement No. 1 in the amount of $723,155.58 for a portion of Phase 1.
Phase 2 electric services are estimated at $450,000 and will begin once the customer initiates the request and deposits
additional funds into escrow.
The existing escrow funds are to ensure all activities related to delivering Phase 1 are covered as well as other billable
charges such as providing construction services for temporary services, street pole relocations and line extension out of
Leonis Substation.
The Request for Disbursement No. 2 has been reviewed and approved by the City Attorneys Office.
Fiscal Impact:
The proposed request for Disbursement No. 2 in the amount of $391,610.93 covers the additional costs that VPU has
incurred to date for a portion of Phase 1 construction since the first disbursement. Once received, the funds will be
deposited into account number 055.9100.450330 as a reimbursement for costs incurred by the City.
ATTACHMENTS
• 1. Request for Disbursement No. 2
• 2. Added Facilities Agreement with rPlanet Earth Los Angeles, LLC