HomeMy WebLinkAboutResolution 2023-012 Approving and Authorizing the Mayor to Sign an Agreement for Construction of Water Facilities Under Private Contract Crossroads at Gladden MARANA RESOLUTION NO. 2023-012
RELATING TO WATER; APPROVING AND AUTHORIZING THE MAYOR TO SIGN
AN AGREEMENT FOR CONSTRUCTION OF WATER FACILITIES UNDER PRIVATE
CONTRACT WITH TANGERINE 2021, LLC FOR CROSSROADS AT GLADDEN
WHEREAS, Tangerine 2021, LLC desires for the Town to provide water services
to the land described and depicted in the Final Block Plat for Crossroads at Gladden
Blocks 1 - 8, recorded in the Pima County Recorder's office on December 10, 2021 at
Sequence 20213440123; and
WHEREAS, Town staff has negotiated an Agreement for Construction of Water
Facilities Under Private Contract with Tangerine 2021, LLC for Crossroads at Gladden;
and
WHEREAS, the Mayor and Council find that the terms and conditions of the
agreement are in the best interests of the Town.
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF
THE TOWN OF MARANA, ARIZONA, that the Agreement for Construction of Water
Facilities Under Private Contract with Tangerine 2021,LLC for Crossroads at Gladden in
substantially the form included with the agenda backup material accompanying this
resolution is hereby approved, the Mayor is hereby authorized and directed to sign it for
and on behalf of the Town of Marana, and the Town's Manager and staff are hereby
directed and authorized to undertake all other and further tasks required or beneficial to
carry out the terms, obligations, and objectives of the agreement.
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Resolution No. 2023-012
PASSED AND ADOPTED by the Mayor and Council of the Town of Marana,
Arizona, this 7th day of February 2023.
Mayor Ed Honea
ATTEST: APPROVED AS TO FORM:
�►
David L. Udall, Town Clerk Ja - :irall, Town Attorney
MARANA AZ
ESTABLISHED 1977
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Resolution No.2023-012
TOWN OF MARANA AGREEMENT FOR CONSTRUCTION OF
WATER FACILITIES UNDER PRIVATE CONTRACT
Crossroads at Gladden
THIS AGREEMENT (this "Agreement") is entered into by and between the TOWN OF
MARANA, an Arizona municipal corporation (the "Town"), and TANGERINE 2021, LLC, a
Delaware limited liability company (the "Developer"). The Town and the Developer are
sometimes collectively referred to as the "Parties," each of which is sometimes individually
referred to as a"Party."
RECITALS
A. This Agreement is entered into and authorized pursuant to Title 14 of the Marana
Town Code, as it may be amended from time to time ("Marana Town Code Title 14").
B. The Developer desires for the Town to provide water service to the land described
and depicted in the Final Block Plat for Crossroads at Gladden Blocks 1 —8,recorded in the Pima
County Recorder's office on December 10, 2021 at Sequence 20213440123, which land area is
referred to in this Agreement as the "Crossroads Property."
C. The Developer is the master developer of the Crossroads Property.
D. The Town and the Developer are parties to "The Crossroads at Gladden
Development Agreement," recorded in the Pima County Recorder's office on April 22, 2022 at
Sequence 20221120085 (the "Crossroads at Gladden Development Agreement") and
approved by Marana Resolution No. 2022-039, adopted by the Marana Town Council on April
19, 2022.
E. The Crossroads at Gladden Development Agreement governs development of the
Crossroads Property and requires the Developer to install potable water distribution
infrastructure.
F. As a condition of securing water service from the Town and as more particularly
set forth herein, the Developer is required to install those certain water infrastructure
improvements (the"Crossroads Trail Water Facilities")in accordance with the required plans,
specifications, and materials as outlined and depicted in the "Water Plans for Crossroads Trail,"
Plan No. W-2208-017, sealed by Rick Engineering Company on October 12, 2022 and approved
by the Marana Water Department on November 1,2022(the"Crossroads Trail Water Facilities
Plans").
G. The Town and Gladden Phase II, LLC, a Delaware limited liability company
("Gladden"), are parties to that certain "Gladden Farms II Development Agreement," recorded
on March 10, 2006 in Sequence No. 20060470594, as it may be amended from time to time(the
"Gladden Farms II Development Agreement").
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H. The Gladden Farms II Development Agreement governs development of the
property set forth in the Gladden Development Agreement (the"Gladden Farms II Property")
and Gladden has agreed to install certain water infrastructure improvements (the "Clark Farms
Boulevard Water Facilities") in accordance with the required plans, specifications, and
materials as outlined and depicted in the Water Distribution to Serve Gladden Farms — Clark
Farms Boulevard Plan, Plan No. ENG2111-002, sealed by the Rick Engineering Company on
January 11, 2022 and approved by the Town of Marana Water Department on January 24, 2022,
as amended and sealed by the Rick Engineering Company on August 3,2022 (the"Clark Farms
Boulevard Water Facilities Plans").
I. The Crossroads Trail Water Facilities and the Clark Farms Boulevard Water
Facilities are sometimes collectively referred to herein as the "Water Facilities". The
Crossroads Trail Water Facilities Plans and the Clark Farms Boulevard Water Facilities Plans
are sometimes collectively referred to herein as the "Facilities Plans." The Facilities Plans are
on file with the Marana Water Department.
J. The Developer desires for the Town to take ownership of, operate, and service the
Crossroads Trail Water Facilities.
K. The Town is willing to accept the Crossroads Trail Water Facilities and permit
them to be connected to the Town water system provided they meet Town standards and the work
under the Crossroads Trail Water Facilities Plans is done in accordance with Town requirements.
AGREEMENT
Now, THEREFORE, in consideration of the foregoing premises and the mutual covenants
set forth in this Agreement, the Parties hereby agree as follows:
1. The Water Facilities
1.1. Installation of Clark Farms Boulevard Water Facilities; responsibilities of the
Developer in relation to the Clark Farms Boulevard Water Facilities. The provisions for water
service by the Town to the Gladden Farms II Property is addressed in the Gladden Farms II
Development Agreement. As of the date of this Agreement, Gladden, as developer of the
Gladden Farms II Property, is currently causing the construction and installation of the Clark
Farms Boulevard Water Facilities. Developer and Gladden are related parties and Developer
agrees to cause the completion of the Clark Farms Boulevard Water Facilities if the Clark Farms
Boulevard Water Facilities are not fully completed by Gladden in substantial conformance with
the Clark Farms Boulevard Water Facilities Plans. Developer shall ensure (or shall cause
Gladden to ensure) that the Clark Farms Boulevard Water Facilities conform to the design
standards of the City of Tucson Water Department and the Town of Marana Town Code Title 14
and special specifications and details as approved by the Town and by this reference made a part
of this Agreement. The Clark Farms Boulevard Water Facilities Plans include a plan note
identifying the Clark Farms Boulevard Water Facilities as new water facilities and show any and
all alterations to the existing water system. Construction and installation of the Clark Farms
Boulevard Water Facilities in accordance with the Clark Farms Boulevard Water Facilities Plans,
including without limitation all labor, materials, equipment, supplies, and tools required for the
construction and installation, is referred to in this Agreement as the "Clark Farms Boulevard
Water Facilities Work."
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1.2. Installation of the Crossroads Trail Water Facilities. Developer has designed and
shall cause the installation,at the Developer's own expense,the Crossroads Trail Water Facilities
as depicted in the Crossroads Trail Water Facilities Plans. The Crossroads Trail Water Facilities
shall conform to the design standards of the City of Tucson Water Department and the Town of
Marana Town Code Title 14 and special specifications and details as approved by the Town and
by this reference made a part of this Agreement. The Crossroads Trail Water Facilities Plans
include a plan note identifying the Crossroads Trail Water Facilities as new water facilities and
show any and all alterations to the existing water system. Construction and installation of the
Crossroads Trail Water Facilities in accordance with the Crossroads Trail Water Facilities Plans,
including without limitation all labor, materials, equipment, supplies, and tools required for the
construction and installation, is referred to in this Agreement as the "Crossroads Trails Water
Facilities Work." The Clark Farms Boulevard Water Facilities Work and the Crossroads Trails
Water Facilities Work are sometimes referred to herein collectively as the"Work."
1.3. Work by licensed contractor. Developer shall ensure (or shall cause Gladden to
ensure) that the Work has been, or will be, performed by a contractor properly licensed by the
State of Arizona as determined by the Arizona Registrar of Contractors. In addition to any other
contractor's license classifications required by the Arizona Registrar of Contractors, the
contractor shall hold contractor's license classifications A, A-12 and A-16.
1.4. Payment of connection fees. Before any service connections are made from the
Town's water system to the Water Facilities, the person or entity seeking the service connection
shall pay to the Town the connection fees and any other fees required under Marana Town Code
Title 14.
1.5. Anticipated cost per meter. The person or entity seeking installation of a meter
from the Town shall pay all applicable fees and charges in effect at the time of the meter
installation request. As of the effective date of this Agreement, the Town's fees and charges to
install a five-eighths-inch water meter on the Crossroads Property are detailed below. Note that
larger meters incur higher fees.
1.5.1. Meter Install Fee: $360
1.5.2. Water Infrastructure Impact Fee: $2,331
1.5.3. Water Resource Development Impact Fee: $3,050
1.6. Water Facilities approval by Town. No service connections shall be made from
the Town's water system to the Water Facilities until the Water Facilities have been accepted by
the Town in accordance with Marana Town Code Title 14.
1.7. Developer's certification. Execution of this Agreement certifies that the
Developer has reviewed the Facilities Plans and all other specifications applicable to the Work
and has approved and agrees with the location of all service lines required for the Crossroads
Property and the Gladden Farms II Property.
1.8. Termination for lack of Work. Subject to Force Majeure Events (as defined
below), approval of the Water Facilities Plans shall lapse and this Agreement shall terminate if
the Work has not commenced within one year of the date of this Agreement or if the Work is
discontinued for a period of one year. For purposes hereof, "Force Majeure Events" means
strikes, lockouts, fire or other casualties, significant changes in availability of material or labor
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shortages beyond those existing at the time of this Agreement, governmental regulations or
controls not in existence as of the date of this Agreement, governmental delays, pandemics, acts
of God, or other similar causes beyond the reasonable control of Developer.
2. Engineering and Inspection
2.1. Registered civil engineer. The Developer has caused, or shall cause, a Civil
Engineer registered in the State of Arizona to design, lay out, establish control lines for and
certify the layout of the Work according to the Water Facilities Plans.
2.2. Town inspector's authority. Any inspector authorized by the Town shall have full
inspection authority over the Work.
2.3. Inspection provisions. The Developer shall furnish (or shall cause Gladden to
furnish) the Town's inspector with all facilities reasonably necessary to inspect the Work. The
Work shall be subject to Town inspection at all reasonable times. Defective Work shall be
corrected in a manner satisfactory to the Town's inspector. Inspection by the Town is for the
purpose of ensuring compliance with Water Facilities Plans only. The Town makes no guarantee
as to the safety or engineering soundness of plans prepared by the Developer or any contractor.
2.4. Payment of Town inspector's overtime cost. If scheduling by a contractor
reasonably requires the Town's inspector to work overtime,the Developer or contractor shall pay
the Town for any additional salaries, expenses or employee benefits relating to the overtime. For
purposes of this paragraph, overtime is any time over 40 hours worked in a seven-day work
period, any time over eight hours worked Monday through Friday, and any time worked on
weekends and legal holidays observed by the Town.
3. Preconstruction Procedure for Crossroads Trail Water Facilities
3.1. Request to begin construction. The Developer shall submit a written request to the
Town to begin construction five working days before work on the Crossroads Trail Water
Facilities is to commence.
3.2. Construction permit. This Agreement shall be completed, signed and notarized,
and returned to the Town prior to issuance of a construction permit for the Crossroads Trail Water
Facilities Work.
3.3. Start and completion of the Crossroads Trails Facilities Work. No portion of the
Crossroads Trails Facilities Work shall begin until the Town has issued a construction permit
specifying the starting date and a reasonable time for completion.
3.4. Progress of the Crossroads Trails Facilities Work. The Crossroads Trails
Facilities Work shall be commenced and carried on at such points and in such order as may be
directed by the Town.
3.5. Materials sampling and testing. Materials shall be available for sampling and
testing by the Town prior to being used in the Crossroads Trails Facilities Work. Materials that fail
to meet Town specification shall be removed from the site.
3.6. Permits and approvals. Developer shall, at the Developer's own expense, obtain all
necessary permits and licenses for the Crossroads Trail Water Facilities Work, pay all fees, and
comply with all laws,ordinances,and regulations relating to the Crossroads Trail Water Facilities
Work.
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4. Construction of the Water Facilities
4.1. Developer's availability. The Developer or the Developer's designated
representative (including, without limitation, a designated representative of Gladden) shall be
reasonably available at all times during performance of the Work. The name of the Developer's
and Gladden's designated representative is Dean Wingert. The name of the contractor
performing the Clark Farms Boulevard Water Facilities Work is Borderland Construction
Company. The name of the contractor performing the Crossroads Trail Water Facilities Work
shall be furnished to the Town before the Crossroads Trail Water Facilities Work begins.
Instructions given by the Town to the designated agent shall be deemed to have been given to the
Developer.
4.2. Competence and diligence. The Developer shall retain (and shall cause Gladden
to retain) only competent and efficient laborers, mechanics, or artisans on the Work, and the
Developer shall diligently cause (and shall cause Gladden to diligently cause) the completion of
the Work on or before the completion date given in a notice to proceed.
4.3. Paving. The Developer shall identify and locate (and shall cause Gladden to
identify and locate)all water valves prior to paving and set valve boxes to final grade after paving.
4.4. Alterations to the existing Town water system. The Developer shall, at the
Developer's own expense, make any and all alterations to the existing water system either on-
site or off-site necessitated by paving, drainage, or other improvements caused by the
development of the Crossroads Property and the Gladden Farms II Property.
4.5. Worksite safety. The Developer shall take commercially reasonably measures to
ensure (and shall cause Gladden to take commercially reasonably measures to ensure) that all
contractors and subcontractors performing any portion of the Work comply with all safety
requirements of the Occupational Safety and Hazards Act as set forth by the Federal Government
and as implemented by the State of Arizona. The Developer or its contractors and subcontractors
shall be solely responsible for all fines or other penalties provided for by law for any violations
of the Occupational Safety Hazards Act.
5. Dedication of Crossroads Trail Water Facilities
5.1. Transfer of the Crossroads Trail Water Facilities to the Town. Upon the Town's
final acceptance of the Crossroads Trail Water Facilities Work, the Developer shall at no cost
grant, bargain, sell, convey, transfer, and deliver to the Town the Crossroads Trail Water
Facilities free and clear of all liens, claims, charges, or encumbrances. Notwithstanding
anything to the contrary set forth herein, by virtue of its execution of this Agreement the
Town expressly acknowledges and agrees that the Clark Farms Boulevard Water Facilities
are included in and subject to a Town-supervised Community Facilities District (the
"District" or"CFD") and the Clark Farms Boulevard Water Facilities will be dedicated to
the District and operated by the Town in accordance with the standard CFD process.
5.2. Two-year warranty. The Developer guarantees (and shall cause Gladden to
guarantee)the Work to be free from all failures due to poor workmanship or materials for a period
of two years from the date of the Town's final acceptance of the Work.
5.3. Other conflicting construction prohibited. The Developer shall not construct or
allow(and shall cause Gladden not to construct or allow)the construction of any utility,structure,
00083972.DOCX/55
building, or other improvement that would interfere with the operation or maintenance of the
Water Facilities.
5.4. Developer's obligation to maintain finished grade.The Developer guarantees that
all service lines, meters, and meter boxes on the Crossroads Property will be to finished grade
and that the Developer will remain responsible for raising or lowering said services as required
until the Crossroads Property is fully developed.
5.5. Acceptance by the Town. The Town shall accept title to and take possession of the
Crossroads Trail Water Facilities when the Crossroads Trail Water Facilities Work has been
completed to the satisfaction of the Town. Subject to the Developer's continuing obligations
under this Agreement, the Town shall operate and service the Crossroads Trails Water Facilities
after taking over possession of them under this paragraph.
6. Miscellaneous
6.1. Indemnity. Developer shall indemnify, defend, and hold harmless (or shall cause
Gladden to indemnify, defend, and hold harmless)the Town, its Mayor and Council,officers and
employees,boards, committees and commissions from and against any loss, claim, suit, demand,
cause of action, or liability of any nature, including but not limited to damage to property and
injuries to persons, including death, arising or alleged to have arisen, in whole or in part, out of
any negligent act or omission of the Developer,Gladden,or any contractor, subcontractor, or any
person employed directly or indirectly by any of them in the performance of the Work or in the
operation of the Water Facilities.
6.2. Binding effect. This Agreement shall be binding upon and inure to the benefit of
the heirs, executors, administrators, successors and assigns of the Parties.
6.3. Consent required for assignment. The Developer may not assign this Agreement
without the prior written consent of the Town.
6.4. Cancellation for conflict of interest. This Agreement is subject to A.R.S. § 38-511,
which provides for cancellation in certain instances involving conflict of interest.
6.5. Counterparts. This Agreement may be executed in a number of identical
counterparts. If so executed, each of such counterparts is to be deemed an original for all
purposes, and all such counterparts shall, collectively, constitute one agreement. Signatures
transmitted by facsimile and e-mailed pdf signatures shall be valid as originals.
6.6. Entirety and Amendments. This Agreement embodies the entire agreement
between the Parties and supersedes all prior agreements and understandings,if any,relating to the
transaction described herein, and may be amended or supplemented only by an instrument in
writing executed by the Party against whom enforcement is sought.
6.7. Headings. Headings used in this Agreement are used for reference purposes only
and do not constitute substantive matter to be considered in construing the terms of this
Agreement.
6.8. Time of Essence. It is expressly agreed by the Parties hereto that time is of the
essence with respect to this Agreement.
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[Signature page follows.]
00083972.DOCX/57
IN WITNESS WHEREOF the Parties have executed this Agreement as of the last date set
forth below their respective signatures.
THE"TOWN": THE"DEVELOPER":
TOWN OF MARANA, TANGERINE 2021,LLC,
an Arizona munici a corporation a Delaware limited liability company
By:
By ,
or
Ed Honea, Mayor
Its:iZti5-livAl-0.‘2.-C/
Date: 8 ,70.23 /j /
Date: `/�h). (, 2°2 3
ATTEST:
D L. Udall, Town Clerk
APP' •d , D AS TO ORM:
Jan- . rall, ToWn Attorney
STATE OF ARIZONA )
)ss
County of rtlrrl/I,, )
The foregoing instrument was acknowledged before me on *itl utA 31 ,
2023 by a Vh(vi\ " , }bt ,,g17it( 0 i ) of TANGEMNE 2021, LLC,
a Delaware limited liability company, on its behalf.
(Seal)
Notary Public .(
OFFICIAL SEAL
04 CONNIE JIANG
C, NOTARY PUBLIC-STATE OF ARIZONA
PIMA COUNTY
* " My Comm.Expires January 7,2024
Commission No.576139
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