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HomeMy WebLinkAboutResolution 2024-088 Approving and Authorizing the Mayor to Sign a PIPA with TKC Marana MARANA RESOLUTION NO. 2024-088 RELATING TO PUBLIC WORKS; APPROVING AND AUTHORIZING THE MAYOR TO SIGN A PUBLIC IMPROVEMENT PARTICIPATION AGREEMENT WITH TKC MARANA, LLC FOR THE CONSTRUCTION OF A TRAFFIC SIGNAL AND ROADWAY IMPROVEMENTS AS PART OF THE TANGERINE ROAD WIDENING PROJECT PHASE 2A WHEREAS the Town has entered into a design contract with Psomas, Inc. ("Psomas") for the design of the Tangerine Road widening project Phase 2A, Town of Marana Project No.ST098(the"Road Project"),and has selected Borderland Construction Company, Inc. ("Borderland") as the Construction Manager at Risk ("CMAR") for the Road Project; and WHEREAS TKC Marana, LLC ("TKC") owns approximately 15.8 acres of land located southeast of the Interstate 10 and Tangerine Road traffic interchange bearing Pima County Assessor's Parcel numbers 218-49-006D and 218-49-007D and referred to in this Agreement as the "Subject Property"; and WHEREAS TKC has constructed a convenience store with fuel sales on the Subject Property, for which TKC needs a traffic signal and certain roadway improvements (the "Maverik Improvements"); and WHEREAS Town staff has negotiated an agreement with TKC to assure payment of all costs associated with the construction of the Maverik Improvements as part of the Road Project; and WHEREAS the Mayor and Council of the Town of Marana feel it is in the best interests of the citizens of Marana to enter into the public improvement participation agreement for the construction of the Maverik Improvements as part of the Road Project. NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE TOWN OF MARANA, that the public improvement participation agreement with TKC Marana, LLC for the construction of the Maverik Improvements as part of the Road Project, in substantially the form provided in the agenda materials associated with this Council agenda item, is hereby approved, and the Mayor is authorized to sign it for and on behalf of the Town of Marana. Resolution No.2024-088 -1 - IT IS FURTHER RESOLVED that the Town Manager and staff are hereby directed and authorized to undertake all other and further tasks required or beneficial to carry out the terms, obligations,conditions and objectives of the agreement. PASSED AND ADOPTED by the Mayor and Council of the Town of Marana, Arizona, this 1st day of October, 2024. 1127-7 ----- Mayor Ed H ea ATTEST: APPROVED AS TO FORM: 0 iar - David L. Udall, Town Clerk Ja,e `airall, Town Attorney 111. ..... ANNOMBNOMMOMMMIMMIMM MARANA AZ ESTABLISHED 1977 Resolution No.2024-088 - 2 - PUBLIC IMPROVEMENT PARTICIPATION AGREEMENT TOWN OF MARANA,ARIZONA This Public Improvement Participation Agreement (this "Agreement") is made and entered into by and between TKC MARANA,LLC,an Arizona limited liability company("TKC"), and the TOWN OF MARANA,an Arizona municipal corporation("Marana").TKC and Marana are sometimes collectively referred to in this Agreement as the"Parties,"either of which is sometimes referred to as a"Party." RECITALS A. Marana has entered into a design contract with PSOMAS,INC. ("Psomas")for the design of the Tangerine Road widening project Phase 2A,Town of Marana Project No. ST098 (the "Road Project"). Additionally, Marana has selected BORDERLAND CONSTRUCTION COMPANY, INC. ("Borderland")as the Construction Manager at Risk("CMAR")for the Road Project. B. TKC owns approximately 15.8 acres of land located southeast of the Interstate 10 and Tangerine Road traffic interchange bearing Pima County Assessor's Parcel numbers 218-49-006D and 218-49-007D and referred to in this Agreement as the"Subject Property." C. TKC has constructed a convenience store with fuel sales on the Subject Property, for which TKC needs a traffic signal and certain roadway improvements (the "Maverik Improvements"). D.The Parties believe that the most economical and least disruptive way to accomplish the prompt construction of the Maverik Improvements for and on the Subject Property is for the Parties to arrange to have it done by Borderland in connection with the construction of the Road Project. E. Borderland has provided the Parties with a proposed price of$369,465.07 for construction of the Maverik Improvements.A true and correct copy of Borderland's proposal is attached to and incorporated in this Agreement as Exhibit A.Additionally,Psomas has provided the Parties with a proposed price of $10,552.00 for design costs for the roadway improvements and KITTELSON & ASSOCIATES,INC. has provided the Parties with a proposed price of$5,000 for design costs for the traffic signal. F. The purpose of this Agreement is to facilitate Marana's completion of the Maverik Improvements for and on the Subject Property as part of the Road Project with funding provided by TKC. AGREEMENT NOw, THEREFORE, based on the foregoing recitals, which are incorporated here as the intention of the Parties in entering into this Agreement,the Parties agree as follows: 1. Depiction of the Maverik Improvements for and on the Subject Property.The Maverik Improvements depiction attached as Exhibit B show the nature and extent of the work to be done 8/28/2024 1:18 PM TKC MARANA TANGERINE ROAD PIPA -1 - by Borderland pursuant to this Agreement,which Marana and Borderland shall incorporate into the Road Project design. 2. Grant of right of entry and temporary construction easement. TKC hereby grants Marana and Borderland a right of entry and temporary construction easement over the Subject Property, to accommodate completion of the Maverik Improvements located on the Subject Property. 3.TKC's obligation to pay costs for the Maverik Improvements as described in Exhibit A.TKC shall pay all costs associated with the completion of the Maverik Improvements for and on the Subject Property. Marana and TKC agree that the construction costs for the Maverik Improvements are anticipated to be $369,465.07, as itemized and attached to this Agreement as Exhibit A. Marana and TKC agree that the design costs for the Maverik Improvements are anticipated to be$15,552.00. 4. Cash deposit to secure TKC's obligations under this Agreement. TKC's obligations under this Agreement, including without limitation TKC's obligations under paragraph 3 above, shall be secured by a cash deposit to Marana in the amount of $385,017.07, referred to in thie Agreement as "TKC's Cash Deposit." TKC shallprovide TKC's Cash Deposit to the Town ZVV` "3O(�AV�,41f+ EffcQ; efl tenF+ti+,� l_�r om ,,+ 7� �, 1�jllZo1�'l Y 5. Reconciliation and final payment.No later than 30 days after substantial completion of the Maverik Improvements for and on the Subject Property, Marana shall provide to TKC an itemized statement of Marana's costs for the Maverik Improvements for and on the Subject Property and a check or invoice representing the difference between Marana's costs and TKC's Cash Deposit. If TKC's Cash Deposit was insufficient to cover TKC's obligations under this Agreement,TKC shall pay Marana the balance of the costs for the Maverik Improvements for and on the Subject Property as set forth in the invoice within 30 days after the itemized statement and invoice are provided to TKC.Any amounts unpaid after 30 days shall accrue simple interest at the rate of 10% per year until paid in full. 6. Recording.This Agreement shall not be recorded. 7. Notices. All notices shall be in writing and shall be sufficiently given and served upon the other Party by electronic mail,receipt of which has been acknowledged by the other Party,or by hand delivery,first class mail,registered or certified,return receipt requested,postage prepaid, or by reputable overnight courier service and addressed as follows: TKC: TKC MARANA,LLC Attention: Kevin Kiernan P.O. Box 979 Telluride, CO 81435 Marana: TOWN OF MARANA c/o Marana Legal Department 11555 West Civic Center Drive Marana,AZ 85653 8. Governing law.This Agreement shall be governed by and interpreted in accordance with the laws of the State of Arizona,and any lawsuit to enforce any provision of this Agreement or to obtain any remedy with respect to this Agreement shall be brought in the Pima County Superior 8/28/20241:18 PM TKC/MARANA TANGERINE ROAD PIPA -2- Court, and for this purpose the Parties expressly and irrevocably consent to the jurisdiction of the Pima County Superior Court. 9. Court costs and reasonable attorneys'fees to prevailing Party in dispute.If a Party fails to perform any of its obligations under this Agreement, or if a dispute arises concerning the meaning or interpretation of any provision of this Agreement,the prevailing Party shall be entitled to its reasonable attorneys'fees and costs determined pursuant to A.R.S.§12-341.01. 10. Exhibits. Any exhibit attached to this Agreement shall be deemed to have been incorporated in this Agreement by reference with the same force and effect as if fully set forth in the body of this Agreement. 11. Cancellation for conflicts.This Agreement is subject to A.R.S. §38-511,which provides for cancellation of contracts in certain instances involving conflicts of interest. 12. Counterparts. This Agreement may be executed in any number of counterparts. Each counterpart shall be deemed an original,but all counterparts shall constitute but one agreement. 13. Effective Date of Agreement. The date of this Agreement (the "Effective Date") shall for all purposes be the date of the Mayor's signature on this Agreement. TKC: Marana: TKC,MARANA LLC,an Arizona corporation TOWN OF MA A,an Arizona municipal corporati By: \ v\t•-• By: h Ed Honea,Mayor Its: �`-w."S . I A, Date: /0( 2 l 2 ei Date: � - ` ATTEST: Davi . dall,Town Clerk APP D AS TO FO M: r- J airall,Town Attorney 8/28/2024 1:18 PM TKC/MARANA TANGERINE ROAD PIPA -3- STATE OF ) )ss. County ofk1u�6G'�L➢ ) { (] The fpgoing instrument wap acknowledged before me thist day of C2024, by `I Lv ." I`-A: of TKC ARANA, LLC, an Arizona limited liability company,on behalf of the LLC. (Seal) REBECCA METZ Notary Pu is Notary Public State of Colorado Notary ID#19994022769 My Commission Expires 09-26-2027 8/28/2024 1:18 PM TKC/MARANA TANGERINE ROAD PIPA -4- Exhibit A to TKC/MARANA TANGERINE ROAD PIPA CONSTRUCTION MANAGER AT-RISK (CMAR) - PRE-CONSTRUCTION SERVICES PIPA - COST SUMMARY Town of Marana Marana Project Number: ST098 TANGERINE RD PHASE 2A (MAVERIK OFFISTE IMPROVEMENTS- REIMBURSEMENT ITEMS ONLY) Updated: March 5,2024 CONSTRUCTION AMOUNT CONSTRUCTION COSTS: I. Cost of Construction $ 272,419.44 II. CMAR Contingency $ 13,620.97 SUBTOTAL $ 286,040.41 (Direct Construction Cost) INDIRECT CONSTRUCTION COSTS: III. General Conditions $ 10,450.00 IV. Overhead $ 23,837.83 V. General Liability Insurance $ 984.83 VI. Payment and Performance Bonds $ 3,288.24 SUBTOTAL (Indirect Construction Cost) $ 38,560.90 SUBTOTAL (Direct Construction Cost+Indirect Construction Cost) $ 324,601.31 VII. Construction Fee $ 22,102.65 SUBTOTAL $ 346,703.96 (Direct Cons. Cost+Gen Cond+Overhead+Insurance+Bonds+Fee) VIII. Arizona Gross Receipts Tax $ 22,761.11 ESTIMATED TOTAL CMAR COST (Future Anticipated GMP Amount) $ 369,465.07 OTHER PROJECT COSTS: IX. Owner's Contingency $ - ESTIMATED TOTAL CONTRACT COST $ 369,465.07 (if constructed simultaneously with Tangerine Rd Phase 2A project) For supporting documentation-see also: Attachment#1 -Schedule of Values ST098-Tangerine Road Phase 2A PIPA COST SUMMARY CMAR Pre-Construction Services Page 1 of 4 Exhibit A to TKC/MARANA TANGERINE ROAD PIPA CONSTRUCTION MANAGER AT-RISK(CMAR) - PRE-CONSTRUCTION SERVICES ATTACHMENT #1 - SCHEDULE OF VALUES TANGERINE RD PHASE 2A (MAVERIK OFFISTE IMPROVEMENTS- REIMBURSEMENT ITEMS ONLY) Updated: March 5, 2024 Line Item Unit Extended Item Description Unit Quantity No. No. Cost Amount 1 - I. COST OF CONSTRUCTION -LINE ITEMS - 2 MAVERIK OFFSITE IMPROVEMENTS (to be constructed simultaneously with Tangerine Rd Phase 2A project) 3 2020029 Removal of Bituminous Pavement SY 3,374.00 $ 3.85 $ 12,989.90 4 2050001 Grading For Roadway Pavement SY 2,202.00 $ 1.90 $ 4,183.80 5 3020001 Cement Treated Subgrade SY 2,202.00 $ 3.25 $ 7,156.50 6 3020011 Cement For Subgrade Treatment TON 88.00 $ 228.50 $ 20,108.00 7 3030003 Aggregate Base CY 353.00 $ 55.49 $ 19,587.97 8 4040111 Tack Coat TON 0.50 $ 1,130.00 $ 565.00 Seal Coat,Single Coat,SealMaster TRMSS, 9 4040126 SY 2,202.00 $ 1.16 $ 2,554.32 Roadway, New Pavement 10 4060001 Asphaltic Concrete No. 1 TON 364.00 $ 107.92 $ 39,282.88 Asphaltic Concrete No. 2 11 4060004 TON 364.00 $ 116.96 $ 42,573.44 (Non Terminal Blend) 12 7010007 Construction Area Elements LS 1.00 $ 7,200.00 $ 7,200.00 13 7310030 Pole (Type G) EA 1.00 $ 4,900.00 $ 4,900.00 14 7310050 Pole (Type R) EA 1.00 $ 13,000.00 $ 13,000.00 15 7310215 Pole Foundation (Type G) EA 1.00 $ 1,215.00 $ 1,215.00 16 7310235 Pole Foundation (Type R) EA 1.00 $ 3,300.00 $ 3,300.00 17 7310435 Mast Arm (55 FT.) (Tapered) EA 1.00 $ 9,500.00 $ 9,500.00 18 7310535 Mast Arm (20 FT.) (Tapered) EA 2.00 $ 1,800.00 $ 3,600.00 (Luminaire) 19 7330045 Traffic Signal Face (Type F) EA 6.00 $ 690.00 $ 4,140.00 20 7330057 Traffic Signal Face (Type R) EA 4.00 $ 690.00 $ 2,760.00 Traffic Signal Face 21 7330200 EA 2.00 $ 480.00 $ 960.00 (Pedestrian) (Man/Hand) Traffic Signal Mounting Assembly 22 7330305 EA 6.00 $ 125.00 $ 750.00 (Type II) Traffic Signal Mounting Assembly 23 7330320 (Type V) EA 2.00 $ 620.00 $ 1,240.00 Traffic Signal Mounting Assembly 24 7330330 (Type VII) EA 3.00 $ 780.00 $ 2,340.00 25 7330500 Pre-empt Beacon EA 1.00 $ 600.00 $ 600.00 26 7330510 Pre-empt Sensor EA 1.00 $ 3,200.00 $ 3,200.00 27 7350100 Loop Detector(6'X6') EA 1.00 $ 1,200.00 $ 1,200.00 28 7350205 Loop Detector (6'X 50') (Quad) EA 2.00 $ 1,600.00 $ 3,200.00 ST098-Tangerine Road Phase 2A Att#1-Schedule of Values CMAR Pre-Construction Services Page 2 of 4 Exhibit A to TKC/MARANA TANGERINE ROAD PIPA Borderland CONSTRUCTION MANAGER AT-RISK (CMAR) - PRE-CONSTRUCTION SERVICES ATTACHMENT #1 - SCHEDULE OF VALUES TANGERINE RD PHASE 2A (MAVERIK OFFISTE IMPROVEMENTS- REIMBURSEMENT ITEMS ONLY) Updated: March 5,2024 Line Item Unit Extended Item Description Unit Quantity No. No. Cost Amount 29 7350210 Loop Detector(6'X70') EA 1.00 $ 1,700.00 $ 1,700.00 30 7350405 Post (Type I) EA 2.00 $ 1,580.00 $ 3,160.00 (Pedestrian Push Button) 31 7360050 Luminaire EA 2.00 $ 925.00 $ 1,850.00 Internally Illuminated 32 7360200 EA 1.00 $ 6,200.00 $ 6,200.00 Street Name Sign Pole Mounted Sign & Bracket 33 7360201 EA 1.00 $ 490.00 $ 490.00 (Left Turn on Green Arrow Only) 34 9010001 Mobilization LS 1.00 $ 2,286.72 $ 2,286.72 35 9080001 Concrete Curb (Std. Dtl. 209) (Type 1) LF 245.00 $ 30.32 $ 7,428.40 Concrete Wedge Curb 36 9080010 LF 125.00 $ 27.03 $ 3,378.75 (Median- Detail C3) 37 9080150 Concrete Median Pavement SF 315.00 $ 13.06 $ 4,113.90 38 9080203 Concrete Sidewalk (6") _ SF 384.00 $ 8.44 $ 3,240.96 39 9080287 Curb Access Ramp (Detail Al) EA 2.00 $ 3,362.43 $ 6,724.86 40 9080290 Curb Access Ramp (Detail A4) EA 1.00 $ 6,183.52 $ 6,183.52 41 9080402 Concrete Header LF 209.00 $ 33.28 $ 6,955.52 42 9240170 Contractor Quality Control LS 1.00 $ 4,000.00 $ 4,000.00 43 9250001 Construction Survey and Layout LS 1.00 $ 2,600.00 $ 2,600.00 44 - COST OF CONSTRUCTION-LINE ITEMS SUBTOTAL $ 272,419.44 45 - II. CMAR CONTINGENCY - UNFORESEEN CONDITIONS/MATERIAL 46 299.001 OR FUEL INCREASES LS 1.00 $ 13,620.97 $ 13,620.97 (5%OF COST OF CONS.) 47 299.100 CMAR CONTINGENCY-LINE ITEMS SUBTOTAL $ 13,620.97 48 - SUBTOTAL A. (DIRECT CONSTRUCTION COSTS) $ 286,040.41 49 - INDIRECT CONSTRUCTION COSTS - 50 - III. GENERAL CONDITIONS - 51 - MAVERIK OFFSITE IMPROVEMENTS - Percentage of Direct Cost for 52 300.001 LS 1.00 $ 10,450.00 $ 10,450.00 Tangerine Road Phase 2A 53 300.100 SUBTOTAL B. (III. GENERAL CONDITIONS) $ 10,450.00 54 - SUBTOTAL C. (DIRECT COSTS+GENERAL CONDITIONS) $ 296,490.41 ST098-Tangerine Road Phase 2A Att#1-Schedule of Values CMAR Pre-Construction Services Page 3 of 4 Exhibit A to TKC/MARANA TANGERINE ROAD PIPA Borderland CONSTRUCTION MANAGER AT-RISK (CMAR) - PRE-CONSTRUCTION SERVICES ATTACHMENT #1 - SCHEDULE OF VALUES TANGERINE RD PHASE 2A (MAVERIK OFFISTE IMPROVEMENTS- REIMBURSEMENT ITEMS ONLY) Updated: March 5, 2024 Line Item Unit Extended Item Description Unit Quantity No. No. Cost Amount 55 400.100 IV. CMAR OVERHEAD(8.04%of Subtotal C) LS 1.00 $ 23,837.83 $ 23,837.83 56 - SUBTOTAL D. (DIRECT COSTS+ GENERAL CONDITIONS+OVERHEAD) $ 320,328.24 57 700.100 VII. CONSTRUCTION FEE LS 1.00 $ 22,102.65 $ 22,102.65 (6.90%of Subtotal D) 58 500.100 V. GENERAL LIABILITY INSURANCE LS 1.00 $ 984.83 $ 984.83 (0.2876%of Subtotal D+VIII+V) 59 600.100 VI. PAYMENT&PERFORMANCE BONDS LS 1.00 $ 3,288.24 $ 3,288.24 60 - SUBTOTAL E. (SUBTOTAL D+ VII+ V+ VI) $ 346,703.96 61 800.100 VIII.TOWN OF MARANA SALES TAX(10.1%at 65%of Subtotal E) $ 22,761.11 62 ESTIMATED TOTAL CMAR COST $ 369,465.07 (Future Anticipated GMP Amount) 63 - IX. OWNER'S CONTINGENCY - 64 900.001 N/A-Excluded - - $ - $ - 65 900.100 SUBTOTAL F. 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