HomeMy WebLinkAboutA001 - Agreement Pertaining to Payment For Cosxts of the Mortensen Road Storm Sewer Culvert r M
AGREEMENT PERTAINING TO PAYMENT
FOR COSTS OF THE MORTENSEN ROAD
STORM SEWER CULVERT
THIS AGREEMENT, made and entered into effective the 22nd day of
June , 1993, by and between the City of Ames, Iowa (hereinafter called the
"City"), and Everett W. Cochrane and Marjorie Cochrane, their heirs, succes-
sors and assigns (hereinafter called "Developers")
WITNES SETH THAT
WHEREAS, the Developers seek the approval of the City for a plat of
subdivision of land to be called Cochrane's Second Addition; and,
WHEREAS, a condition for approval of the said plat is the construction of
certain public improvements necessitated by the development of the land to be
platted; and,
WHEREAS, one of the said public improvements is a storm sewer culvert
crossing of Mortensen Road; and
WHEREAS, the parties desire to make an agreement for construction and
payment of the costs of said culvert crossing;
NOW, THEREFORE, the parties hereto have agreed and do agree as fol-
lows:
1. The City shall execute instruments for grant of storm sewer easements
to the_City by the Iowa State Board of Regents and by the Iowa State Universi-
ty Alumni Association provided:.
(a) A sum of money equal to one hundred ten percent (110%) of the
estimated construction cost of the culvert crossing as prepared by
Snyder & Associates, engineers, is deposited with the City at the
time of the project authorization by Story County.
(b) In addition to the payment described above, a sum of money equal to
one hundred ten percent (1100) of the estimated engineering design
and inspection fees directly associated with the culvert crossing.
2. It is further agreed that prior to final award of the contract pertain-
ing to the construction of the said culvert crossing, Developers shall pay to the
City such additional amount as shall be needed to equal any increase in cost
between the aforesaid estimate and one hundred ten percent (110%) of the actual
amount of the bid of the apparent lowest responsible bidder for the contract,
plus one hundred ten percent (110%) of the design and inspection fees directly
associated with the culvert crossing.
3. If unforeseen conditions encountered during construction cause an
increase in the culvert construction cost above the amounts provided for above,
an amount equal to such increases in cost shall be paid by Developers to the
City within ten (10) days of billing by the City.
4. Thirty days after the last of said culvert crossing construction has
been completed and accepted by the governing jurisdiction, there shall be a
final payment by Developers to the City or the City to the Developers to adjust
for any differences between the amounts paid and the actual costs of satisfacto-
ry completion of the culvert crossing.
5. At the time of the payment called for under paragraph 1, Developers
shall also give to the City, if called for by the City at that time, an irrevocable
letter of credit, in a form and amount acceptable to the City, to secure pay-
ments called for by paragraphs 2, 3 and 4 of this Agreement. All funds re-
ceived by the City pursuant to paragraphs 1, 2 or 3 shall be invested in
accordance with the City investment policy and interest earned credited to meet
costs pursuant to this agreement.
DEVELOPERS CITY
Everett W. Cochrane ry Curtis, ayor
1 .) ., '; .�� �,�, Attest:
Marjorie- Cochrane
Sandra L. Ryan, City Clerk