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1283 - Ordinance - ILA with Kitsap County RE Contruction of the Port Orchard By-PassORDINANCE NO. 1283 AN ORDINANCE OF THE CITY OF PORT ORCHARD, WASHINGTON AUTHORIZING THE MAYOR TO SIGN INTERLOCAL AGREEMENT BETWEEN KITSAP COUNTY AND THE CITY OF PORT ORCHARD REGARDING CONSTRUCTION OF THE PORT ORCHARD BYPASS WHEREAS, the City of Port Orchard and Kitsap County are desirous of a joint venture in the construction of a certain project known as the Port Orchard Bypass consisting of the construction of a bridge and road improvements lying partly within the limits of the City of Port Orchard and partly within the limits of Kitsap County; and WHEREAS, both the City of Port Orchard and Kitsap County will provide funding for construction of the project; and WHEREAS, the Port Orchard City Council did at their regular meeting of April 24, 1984 did by unanimous decision approve the Mayor to sign the Interlocal Agreement between Kitsap County and the City of Port Orchard Regarding Construction of the Port Orchard Bypass. NOW, THEREFORE, be it ordained by the Port Orchard City Council that the Mayor of the City of Port Orchard is hereby authorized to sign the Interlocal Agreement Between Kitsap County and the City of Port Orchard Regarding Construction of the Port Orchard Bypass. PASSED by the City Council and APPROVED by the Mayor of the City of Port Orchard on this 23rd day of July, LESLIE J/ W ATHERILL, MAYOR ATTEST: G. Lloyd, Cit erk APPROVED AS TO FORM: ty Attorney INTERLOCAL AGREEMENT BETWEEN KITSAP COUNTY AND THE CITY OF PORT ORCHARD REGARDING CONSTRUCTION OF THE PORT ORCHARD BYPASS WHEREAS, Kitsap County, hereinafter "County", is empowered to construct and maintain roads and bridges within the County; and WHEREAS, the City of Port Orchard, hereinafter "City", is similarly empowered to construct and maintain roads and bridges within the city limits of Port Orchard, and WHEREAS, County and City are desirous of cooperating in the construction of a certain project known as the Port Orchard Bypass, hereinafter "Project", said project consisting of the construction of a bridge and certain road improvements lying partly within the limits of the City of Port Orchard and partly within the limits of Kitsap County; and WHEREAS, both County and City will provide funding for the construction of the Project; and WHEREAS, the parties hereto recognize that County has the expertise to manage this Project and can do so at less expense than an independent consultant; and WHEREAS, mutual benefits will accrue to the parties hereto and the people which each serves if City and County cooperate in the construction of said Project; and WHEREAS, the Interlocal Cooperation Act, RCW 39.34, further authorizes the parties hereto to enter into this agreement; and WHEREAS, the City Council of the City of Port Orchard and the Kitsap County Board of Commissioners have heretofore, at regular, open public meetings, resolved that each entity may enter into this contract; NOW, THEREFORE, in consideration of the mutual covenants herein contained, County and City agree as follows: Section 1. Duration. This agreement shall be in effect until the completion of the Project or upon repayment in full of the General Obligation Bonds referred to in Section 5 herein, whichever occurs later. Section 2. Administration. This agreement shall be administered by the City of Port Orchard City Engineer and the Director of the Kitsap County Department of Public Works. Section 3. Purpose. The purpose of this agreement is to provide for the joint funding and construction of a project commonly known as the Port Orchard Bypass by the City of Port Orchard and Kitsap County Section 4. Lead agency. City shall be the lead agency for this Project. Section 5. Funding. Local funds for this joint undertaking will be provided as follows: a. County will provide funding in the amount of Three Million Dollars ($3,000,000.00) through the issuance of General Obligation Bonds. County and City will share interest and principle payments on said Bonds as follows: (1) The County shall pay in their entirety the first two thirds of the principal and interest payments coming due on said debt, with such payments being currently projected to encompass the years 1985 through 1997, together a partial payment in the 1998 as set forth below. (2) The City shall pay in their entirety the last third of the principal and interest payments coming due on said debt, with the first such payment currently projected to be the partial payment in 1998 as set forth below, with full payments each year thereafter. (3) City and County acknowledge that pursuant to this division of principal and interest payments between the parties one joint principal and interest payment by the parties will be required and that the year of said joint payment is currently projected to be 1998. City and County further acknowledge that each party's share of such joint payment will be based on the party's agreement set forth above that County shall be responsible for two thirds (2/3) and City shall be responsible for one third (1/3) of said debt. b. All cost overruns whose total is within five percent (5%) of the original construction contract price shall be paid from the original Bond sale as directed in paragraph 5(a) of this agreement. After completion of the project and/or termination this agreement, any surplus funds will be applied towards bond redemption. Section 6. Site plan and development. The physical layout of the Project shall be as set forth in the plans and specifications for the Port Orchard Bypass developed by Entranco, subject to any pending or future final engineering revisions as may be necessary. A copy of said plans and specifications is attached hereto, marked 2. "Appendix A", and incorporated herein by this reference thereto as is fully set forth herein. County shall be responsible for providing final records and "as built" plans to the City after the completion of the Project. Section 7. Project Management. City shall be responsible for the advertising and awarding of all contracts pertaining to this Project. The parties agree that the Kitsap County Department of Public Works, hereinafter Department, shall be hired for the management of this Project. The Department shall be responsible for the supervision of all construction work during the course of this Project. The Project Director responsible for such supervision shall be Mel Yingling of the Department, or such other person as may be designated by the Director of the Department. The Department shall also specifically be responsible for the following during the course of the construction of the Project: a. Geometric control, including all construction staking and layouts. b. Inspection and control during the course of construction to insure compliance with and enforcement of all provisions in contracts entered into by City with regard to this Project. C. Quality and quantity control regarding the construction work and placement of materials in the course of construction, including timely measurement and computation of materials used and services provided. d. Coordinating with City for all necessary sampling and testing of materials used in the course of construction. The County shall perform or contract for the necessary quality control. e. Coordinating with City, if and when necessary, for City provided and hired soils engineering services. f. Providing such other services as may be needed during the course of construction. The Department shall provide the above services on an actual cost basis, and shall be reimbursed for such services pursuant to Section 9 herein. 3. Section 8. Documentation. County shall maintain and provide City with detailed and sufficient books and records pertaining to the planning and construction of the Project, together with such books and records as may be necessary to assure the Project's compliance with federal and state construction requir'ements. Each party shall have full and complete access to the books and records of the other at any and all reasonable times. Section 9. Construction funds. Subsequent to the aforementioned issuance of General Obligation Bonds in the amount of Three Million Dollars (t3,000,000.00), County shall, through the Kitsap County Treasurer, invest the proceeds from those bonds pursuant to law. Any interest earned as a result of the investment of those proceeds shall be applied either towards the costs of construction of this Project or towards the retirement of the debt incurred by County as a result of the issuing of the aforementioned bonds, all as may be decided by County and City. During the course of construction, County shall submit to City monthly estimates regarding the percentage of work completed on the Project in the preceding month, together with a breakdown and itemization of items included in such estimates. For all other items, County shall submit to City a billing detailing the cost for that item as it becomes due and payable. City shall monthly request of the Kitsap County Treasurer an amount sufficient to issue pay warrants for such estimates and billings and also for City staff services provided pursuant to Section 11, and the Kitsap County Treasurer shall promptly cause such funds to be transferred to City from the proceeds of the aforementioned General Obligation Bonds. Such transferred funds shall be kept and maintained by City in a separate account opened specifically for this Project's funds, and City shall, in a timely fashion, issue pay warrants drawn on that account for the monthly progress payments for engineering and construction items. Payments for all other items and billings by the County shall also be by pay warrants drawn on that account and shall be due within thirty (30) 4. days after submission of the billing to the City. County shall provide City with a quarterly report of investment activity with respect to the construction funds account. Section 10. Engineering services. City shall be responsible for hiring a soils engineering firm for this Project. Pay vouchers for such engineering services shall be drawn on the construction fund account. Section 11. City engineer. City shall provide the services of the Port Orchard City Engineer as necessary when so requested by the County to facilitate the County's supervision of construction during the course of this Project. The City staff shall provide services on an actual cost basis. The City shall be reimburse for such services pursuant to Section 9 herein. Section 12. Change orders. County shall be responsible for negotiating with the contractors on this Project as to any proposed change orders. County shall subsequently present such change orders to the Port Orchard City Engineer for his signature and approval. The Port Orchard City Engineer shall have the sole authority to approve such change orders on behalf of City, which approval shall not be unreasonably withheld. Section 13. Cost overruns. If and when cost overruns total five percent (5%) or more of the overall budget, County shall notify and consult with City as to possible cost saving measures during the balance of the Project's construction. The City Council of Port Orchard and the Board of Commissioners of Kitsap County shall make the final decision as to participation in the funding of cost overruns by City and County, respectively. Section 14. Hold harmless. County agrees to indemnify and hold harmless the City and its agents and employees from and against all claims, damages, losses and expenses, including reasonable attorney fees in case it shall be necessary to file an action, arising out of the County's performance of this agreement, to the extent such claims, damages, losses or expenses are caused by County's negligent act or omission. City agrees to indemnify and 5. hold harmless the County and its agents and employees from and against all claims, damages, losses and expenses, including reasonable attorney fees in case it shall be necessary to file an action, arising out of the City's performance of this agreement, to the extent such claims, damages, losses or expenses are caused by City's-negligent act or omission. Section 15. Insurance. a. The City's and County's Insurance policy's shall contain general requirements or endorsements as follows: 1. Kitsap County is named as an additional named insured as respects this contract from the City and such insurance as is carried by the City is primary in any loss from the City. The City of Port Orchard is named as an additional named insured as respects this contract from the County and such insurance as is carried by the County is primary in any loss from the County. 2. In the event of nonrenewal, cancellation or material change in the coverage provided, thirty (30) days written notice will be furnished to County from to City or to City from the County prior to the date of nonrenewal, cancellation, or change; such notice shall be sent to the Kitsap County Risk Manager, 614 Division Street, Port Orchard, Washington 98366 by the City and City Clerk, City of Port Orchard, 216 Prospect Street, Port Orchard, Washington 98366 by the County. b. Both the City and County shall have Comprehensive General Liability Insurance with limits of not less than: 1. Bodily Injury Liability 2. Property Damage Liability t500,000 Each Occurrence W 0,000 Aggregate $200,000 Each Occurrence W 0,000 Aggregate 3. Professional Liability t500,000 Each Occurrence C. Both the City and County shall have Automobile Liability Insurance with limits of not less than: 1. Bodily Injury $500,000 Each Occurrence t500,000 Aggregate 2. Property Damage t200,000 Each Occurrence �200,000 Aggregate This insurance shall include for Owned Automobiles, Hired 6. Automobiles and Non -Owned Automobiles. d. Any and all insurance provided by both the County and City shall be licensed to do business within the State of Washington. e. Failure to comply with this section can result in termination of this contract. Section 16.: Ownership and maintenance. Subsequent to the completion of this Project City shall retain sole ownership and control of that portion of the Project lying within the city limits of the City of Port Orchard, and County shall retain sole ownership and control of such portions of the Project lying without the city limits of the City of Port Orchard and within the limits of Kitsap County. Each party shall be responsible, after the completion of this Project, for maintaining such portions of the Project over which they retain sole ownership and control. Section 17. Effective date. This agreement shall be effective upon subscription by the City and County. Section 18. Integration. This agreement constitutes a complete integration of the terms and conditions agreed upon between the parties and can only be amended by an instrument in writing executed by both parties. Section 19. Termination. This agreement shall terminate upon completion of the Project or upon repayment in full, pursuant to Sections 5 and 9 herein, of the debt incurred by virtue of the County's issuance of the general obligations bonds referred to in Section 5 herein, whichever occurs later. Section 20 Construction and interpretation. This joint cooperative undertaking shall be liberally construed to accomplish the purposes for which it was entered into. Section 21. Notices. All communication, notices, bills or other correspondence regarding this agreement and Project shall be addressed as follows: KITSAP COUNTY CITY OF PORT ORCHARD C/o Director of Public Works c/o City Engineer 614 Division Street 216 Prospect Street Port Orchard, Washington 98366 Port Orchard, Washington 98366 7. DATED this 3Ld of 1984. ATTEST: U L11'iLL lY• U[l LY lL Y.ta Cle k of the Board DATED this �- of ATTEST: �2 City -Clerk BOARD OF COUNTY COMMISSIONERS KITSAP COUNTY, WASHINGTON Chai-'an/ V Commissioner Ccmmi..ioner 1984. PORT ORCHARD CITY COUNCIL For-Orchar )Iashington Mayor / 0