HomeMy WebLinkAbout~Master - Ongoing Engagement of Outside Counsel Related to Close-out of the New Water Treatment Plant RESOLUTION NO. 18-636
RESOLUTION APPROVING ONGOING ENGAGEMENT
OF OUTSIDE LEGAL COUNSEL RELATED TO
CLOSE-OUT OF THE NEW WATER TREATMENT PLANT-CONTRACT 2
FOR THE CITY OF AMES
WHEREAS, in the fall of 2017, a contract was awarded for the construction of the new Water
Treatment Plant,and the contract contained specific milestone dates for completion of individual elements
of the project as well as mandatory dates for substantial and final completion; and,
WHEREAS, the contract included a "liquidated damages" provision to compensate the City for
damages incurred as a result of delayed completion,including those damages that are difficult or impossible
to quantify; and,
WHEREAS, the contractor failed to achieve the required milestones, and the engineer has yet to
certify that final completion of the contract has been achieved; and,
WHEREAS, the contractor has essentially stopped work, and at least one subcontractor has filed
notice with the City that they have not been fully paid by the general contractor; and,
WHEREAS, staff is currently withholding$1,095,000 in retainage as allowed by the contract and
under Iowa law; and,
WHEREAS,construction law is a very specialized practice,and the City Attorney and Water Plant
staff have engaged with outside counsel from Simmons,Perrine,Moyer,and Bergman,PLC,to assist in the
negotiations with the general contractor, subcontractors, and their counsel; and,
WHEREAS, funds are coming from the CIP account for construction of the new Water Treatment
Plant,and it is the staff s intent that any Settlement Agreement with the contractor include compensation for
the attorney's fees.
NOW,THEREFORE,BE IT RESOLVED by the City Council of the City of Ames,Iowa,that staff
be directed to continue to engage the services of Simmons, Perrine, Moyer,Bergman, PLC, for assistance
related to the close-out of the new Water Treatment Plant-Contract 2,and to authorize up to an additional
$20,000 for the services of the outside legal services.
ADOPTED THIS 11ffi day of December,2018.
Diane R.Voss, City Clerk John A. Haila,Mayor
Introduced by: Corrieri
Seconded by: Betcher
Voting aye: Beatty-Hansen,Betcher, Corrieri, Gartin,Martin,Nelson
Voting nay: None Absent: None
Resolution declared adopted and signed by the Mayor this 11t'day of December,2018.