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HomeMy WebLinkAbout~Master - Performance Bond for Water Plant Clarifier Painting and Repair RESOLUTION NO. 06-484 RESOLUTION EXECUTING RELEASE AND ASSIGNMENT OF CLAIMS IN EXCHANGE FOR PAYMENT OF FULL AMOUNT OF PERFORMANCE BOND ON WATER PLANT CLARIFIER PAINTING AND REPAIR PROJECT FOR THE CITY OF AMES WHEREAS, in 2005, Area Professional Painting and Sandblasting submitted the low bid of $61,052 and was awarded the contract for the Water Plant Clarifier Painting and Repair Project; and, WHEREAS,when the contract was not completed more than a year later,the City sent a notice of default to the contractor and to Western Surety Company, which had provided the performance bond; and, WHEREAS, Western Surety Company has now completed its investigation and obtained estimates for having the project completed by another qualified contractor; and, WHEREAS,because the estimates far exceed the amount of the performance bond,Western Surety has offered to pay the entire amount of the bond to the City; and, WHEREAS,it is staff s recommendation that Council approve the execution ofthe release and assignment of claims in exchange for payment of the full amount of the performance bond from Western Surety company. NOW,THEREFORE,BE IT RESOLVED by the City Council ofthe City of Ames,Iowa, that the execution of the release and assignment of claims in exchange for payment of the full amount of the performance bond from Western Surety Company is hereby approved. ADOPTED THIS 121h day of December, 2006. '�.�1 I • U� `� tom' V�e� Diane R. Voss, City Clerk Ann H. Campbell, Mayor Introduced by: Larson Seconded by: Goodman Voting aye: Doll, Goodman, Larson, Mahayni, Popken, Rice Voting nay: None Absent: None Resolution declared adopted and signed by the Mayor this 12t'day of December, 2006.