Construction Agreement with SRP
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P.O. Box 52025
Mail Station SSW303
Phoenix, Arizona 85072-2025
(602) 236-5900
www.srpnet.com
Engineering and Construction Agreement.doc
Date: 07/18/2024
RE: Proposed SRP/Glendale Well
Engineering and Construction Agreement
Dear: Martin Soma
Attached is the Engineering and Construction Agreement (“ECA”) for the above referenced project for
your review and signature. The design and construction process will begin upon receipt of a signed copy
of the ECA. The estimated cost of our services is $74,970 and by executing the ECA, Glendale authorizes
SRP to invoice Glendale for these services in accordance with the terms set out in the ECA.
The ECA includes Exhibit A, Exhibit B and a sample Authorization to Bill letter. Exhibit A identifies the
scope of work to be performed for the above referenced project. Exhibit B provides a list of activities to
be performed by SRP and their estimated cost. Items to be built by Glendale will have no estimated dollar
amount and are included in the no bid section on Exhibit B. If applicable, an Authorization to Bill letter,
which authorizes SRP to bill Glendale for monthly power usage, will be provided for execution.
SRP will submit invoices to Glendale for the estimated cost of work and work performed pursuant to any
changes to the Scope of Work. Glendale shall provide payment upon the submission of invoices within
one hundred twenty (120) calendar days after receipt of the invoices.
To initiate the project, sign this agreement and return one signed copy of the ECA, including Exhibits A,
B and, if applicable, the completed Authorization to Bill letter (on Glendale’s letterhead), to my attention
at the above address.
We appreciate the opportunity to provide engineering and construction services for your project. If you
have any questions concerning the agreement, please contact Roseanna Navarro at 602-236-3411 or
email at Roseanna.Navarro@srpnet.com. All efforts will be made to work with you in a timely manner.
Sincerely,
Andy Johnson, Manager Engineering
Enclosures
cc: Bob Pane
Director, Water Engineering and Transmission
Engineering and Construction Agreement (Municipality).doc
ENGINEERING AND CONSTRUCTION
AGREEMENT
(Municipal)
This Engineering and Construction Agreement (“AGREEMENT”) is entered into by and between the Salt
River Project Agricultural Improvement and Power District (“District”) and Salt River Valley Water
Users’ Association (“Association”; collectively, “SRP”) and Glendale (“Municipality”) as of this ____
day of____, 202__. SRP and Municipality may be referred to as “Party” or “Parties.”
WHEREAS, Municipality has deemed it necessary or desirable that SRP accommodate certain development
or other needs of Municipality (“Municipality’s Project”) and recognizes that SRP is best capable of
providing such accommodation, AND;
WHEREAS, SRP is capable of providing such accommodation, using its own employees and equipment,
unless otherwise provided herein.
THEREFORE, in consideration of the matters described herein and of the mutual benefits and obligations
set forth herein, SRP and Municipality agree as follows:
1) SRP shall perform the work and services (“Work”) more particularly described in the Scope of
Work (EXHIBIT A), attached hereto, and by this reference incorporated herein.
2) SRP shall complete the Work described in EXHIBIT A in a timely manner, as determined in SRP’s
reasonable discretion, taking into account its business needs, priorities and operational limitations.
In the event SRP is delayed in completing the Work due to an uncontrollable force, as defined in
Paragraph 8 below, the time for completion shall be extended for such time as SRP shall determine,
in its reasonable discretion, is required to account for such delay.
3) SRP shall maintain its customary insurance coverage, through its self insurance program and/or
supplementary contracts of insurance it deems necessary.
4) SRP shall at all times comply with laws applicable to performance of the Work.
5) The estimated cost for completing the Work is provided in EXHIBIT B. Payment to SRP shall be
in accordance with the terms set out in Paragraph 6 below. If applicable, an Authorization to Bill
letter, which authorizes SRP to bill Municipality for monthly power usage, will be provided and
must be completed and executed in conjunction with this AGREEMENT.
6) Taking into account its business needs, SRP and Municipality priorities, Municipality shall pay
SRP for the work, including work performed pursuant to any changes to scope of work. Upon the
submission of invoices and within one hundred and twenty (120) calendar days after receipt of such
invoices.
a. Any bills not paid when due shall be delinquent and shall bear interest at the Wall Street
Journal Prime Rate, on the date the bill was due plus 2% (Wall Street Journal Prime Rate
plus 2%) per annum from the date when the bill was due until the bill is paid (including
any accrued interest) is paid in full.
Engineering and Construction Agreement (Municipality).doc
b. In the event any portion of any bill is disputed, the disputed amount shall be paid under
protest when due and shall be accompanied by a written statement indicating the basis for
the protest. If the protest is found to be valid, Municipality shall be refunded any
overpayment plus interest, accrued at the rate set forth in Paragraph 6(a), prorated by days
from the date payment was credited to Municipality to the date the refund check is mailed.
c. Nothing herein shall limit the rights of SRP to use any other available legal remedy to
effect collection of said amounts.
d. Municipality’s payment obligation hereunder shall not be conditioned upon reimbursement
to Municipality by any third-party funding source.
e. Following Municipality’s receipt of invoice for any subsequent changes to the Scope of
Work, Municipality shall have five business days to notify SRP in writing of any disputed
amount contained in the invoice.
f. Municipality’s failure to render timely payment in accordance with this paragraph shall be
considered a material breach of this Agreement.
7) Any dispute under this Agreement shall first be submitted to each Party’s Project Manager for
resolution. If the matter cannot be resolved by the Project Managers within fifteen (15) business
days, the Parties shall submit the matter to senior officers or representatives that are specifically
authorized to resolve such matter. If the matter cannot be resolved by such senior officers or
representatives, any Party may bring suit upon the matter, provided however, that it is expressly
agreed that the venue shall only be in a federal or state court of competent jurisdiction within
Maricopa County, Arizona.
a. In the event of any future dispute or action arising under this Agreement, the prevailing
Party shall be entitled to recover its reasonable attorneys’ fees and costs incurred therein,
including expert witness fees.
b. Pending the resolution of a dispute, the Parties shall proceed, to the extent legally
permissible, in a manner consistent with this AGREEMENT, and shall make payments
required in accordance with the applicable provisions of this AGREEMENT. Amounts
paid by Municipality under this Subparagraph 7(b) during the pendency of such dispute
shall be subject to refund and adjustment upon a final resolution of any dispute involving
an amount due.
8) No Party shall be considered to be in default in the performance of any of its obligations hereunder
if failure of performance is due to an uncontrollable force. The term “uncontrollable force” shall
mean any cause beyond the control of the Party affected, including but not limited to failure of
facilities, flood, earthquake, tornado, storm, fire, lightning, pandemic, epidemic, war, riot, civil
disturbance or disobedience, labor dispute, action or nonaction by or failure to obtain the necessary
authorizations or approvals from any governmental agency or authority or the electorate, labor or
material shortage, unusual delays in delivery, supply interruptions, delay attributable to the actions
of any governmental or regulatory agency having jurisdiction over the project, sabotage, restraint
by Court order or public authority, or any other factor beyond the reasonable control of a Party, and
which by the exercise of commercially reasonable due diligence such Party shall be unable to
overcome. Nothing herein shall be construed so as to require either Party to settle any strike or
labor dispute in which it is involved. Either Party rendered unable to fulfill any obligation hereunder
by reason of an uncontrollable force shall exercise due diligence to remove such inability.
Engineering and Construction Agreement (Municipality).doc
9) Municipality shall indemnify, hold harmless, release and defend SRP, District and Association and
each and every one of the members of their respective governing bodies, officers, agents and
employees (“Indemnified Parties”) from and against any and all claims, demands, suits, costs of
defense, reasonable attorneys’ fees, witness fees of any type, losses, damages, expenses, fines,
penalties, and liabilities (collectively, “Losses”) for injury to or death of any person or persons,
including employees of SRP or of Municipality or its subcontractors, or damage to property,
including property of SRP or of Municipality or its subcontractors, to which the Indemnified Parties
may be put or subjected by reason of any act or omission on the part of Municipality, any
subcontractor or supplier of Municipality, or any of the directors, officers, partners, members,
managers, agents, servants or employees of Municipality, or of its subcontractors or suppliers.
Municipality’s obligations under this Section shall extend to Losses resulting from or arising out
of the inability of any irrigation structure constructed or modified pursuant to this Agreement to
contain or dispose of water entering the structure from a drainage facility owned, designed,
maintained or operated by the Municipality. Municipality’s obligations under this Section shall
extend to the Indemnified Parties where they, or any one of them, are allegedly concurrently
negligent with Municipality, any subcontractor or supplier of Municipality, or any of the directors,
officers, partners, members, managers, agents, servants or employees of Municipality, or of its
subcontractors or suppliers, in causing or contributing to the liability causing event. Municipality
shall also indemnify and hold harmless (and, upon notice so requiring from SRP, also defend) the
Indemnified Parties for, from and against any and all Losses for contractual claims arising out of
Municipality’s agreements with third parties. Further, Municipality releases SRP from and waives
any claims it may have, now or in the future, related to SRP’s performance hereunder, unless such
claim results from SRP’s sole, exclusive negligence or willful action. Municipality understands
and agrees that Municipality enters upon the property of SRP at Municipality’s own risk.
10) Neither SRP nor Municipality shall have the right to assign any rights or interest created herein,
except that SRP may assign its interest in the Property and associated facilities to an affiliate or
successor-in-interest with 60 day notification to and without consent of Municipality.
11) This AGREEMENT shall be governed in all respects by the laws of the State of Arizona.
12) Nothing contained in this Agreement shall be construed as creating a partnership or joint venture
between the Parties. The covenants, obligations, and liabilities contained in this Agreement are
intended to be several and not joint or collective, and nothing contained herein shall be construed
to create an association, joint venture, agency, trust, or partnership, or to impose a trust or
partnership covenant, obligation, fiduciary duty, or liability between the Parties. Except as
specifically set out in this Agreement, each Party shall be individually responsible for its own
covenants, obligations, and liabilities as provided herein.
13) The parties may terminate this AGREEMENT upon mutual written agreement.
14) SRP reserves the right to fulfill all or any part of SRP’s obligations under this Agreement by
subcontract. Nothing herein shall be construed as establishing any contractual relationship between
SRP’s subcontractor and Municipality.
15) Municipality certifies that by performing the work, SRP is not acting as a contractor for
municipality and that no federal funding subject to Buy America requirements will be used to
reimburse SRP for the actual costs it incurs in performing the work.
16) This AGREEMENT is subject to the provisions of ARIZ. REV. STAT. § 38-511.
Engineering and Construction Agreement (Municipality).doc
17) This AGREEMENT is subject to the provisions of ARIZ. REV. STAT. § 42-17106.
18) The terms, covenants and conditions of this AGREEMENT, inclusive of Exhibit A, Exhibit B and,
if applicable, the executed Authorization to Bill letter, constitute the entire agreement between the
Parties, and no understandings or obligations not expressly set forth in this Agreement shall be
binding upon them. This Agreement may not be modified or amended in any manner unless in
writing and signed by the Parties. This Agreement may be executed in two or more counterparts,
each of which shall be deemed an original, but all of which together shall constitute one and the
same instrument.
19) The undersigned representative of each Party certifies that he or she is fully authorized by the Party
whom he or she represents to enter into the terms and conditions of this Agreement and to legally
bind the Party to it.
In witness, each party has caused the execution of this Agreement by the undersigned, who is vested with
authority to bind such party to the terms and conditions herein.
SALT RIVER VALLEY PROJECT
City of Glendale
AGRICULTURAL IMPROVEMENT
Attest:
AND POWER DISTRICT AND
SALT RIVER VALLEY WATER
USERS’ ASSOCIATION:
By:____________________________
(please print name)
(Seal)
Signature:_______________________
Date:____________________________
Andrew Johnson
07/18/2024
CITY OF GLENDALE
By:
Name: Kevin R. Phelps
Title: City Manager
ATTEST
By:
Name: Julie K. Bower
Title: City Clerk
APPROVED AS TO FORM
By:
Name: Michael D. Bailey
Title: City Attorney
Engineering and Construction Agreement (Municipality).doc
EXHIBIT A
Scope of work for MUNICIPALITY connection to SRP Wellsite
SRP will provide the following as part of this AGREEMENT:
•
Electrical, Civil, and SCADA design and drafting
•
Install MUNICIPALITY conduits, wire and cable
•
Fabricate and install MUNICIPALITY RTU Cabinet
•
Construction as-builts to MUNICIPALITY
•
Butterfly Valves (2)/Limitorque (2)/Tee assembly, mutually agreed upon by both
parties at time of execution of this AGREEMENT
MUNICIPALITY will provide the following as part of this AGREEMENT:
•
Install above and below ground discharge pipe
•
Install MUNICIPAL Flow Meter and MUNICIPAL RTU
•
Work with SRP at startup
•
MUNICIPALITY termination for electrical/SCADA
•
Install Butterfly Valves (2)/Limitorque (2)/Tee assembly
•
MUNICIPALITY shall not install any audio/video recording equipment without
SRP’s written authorization
SECTION I - SRP Design
Item
Item Description
Unit
Quantity
$/Unit
Bid
Net Bid
1
Design
EA
1
27,500
27,500
27,500
a. Electrical
b. Mechanical
c. Civil
SECTION I TOTALS
$27,500
$27,500
SECTION II - SRP Construction
Item
Item Description
Unit
Quantity
$/Unit
Bid
Net Bid
1
Customer Electrical
EA
1
32,000
32,000
32,000
a. Install Customer conduit, wire, and cable
b. Build and install Customer RTU mast
c. Trenching for all Customer conduits inside well property
SECTION II TOTALS
32,000
32,000
SECTION III - No Bid Items
Item
Item Description
Unit
Quantity
$/Unit
Bid
Net Bid
1
Customer Discharge Pipe and Measurement
EA
0
0
0
0
a. Install city mercoids pressure switches, discharge pressure transmitter,
mag meter, water level transducer , and motor operated valves.
b. Install Pipe supports
c. Above ground discharge pipe
d. Below ground discharge pipe
2
City termination- electrical/SCADA
0
0
0
0
SECTION III TOTALS
$0
$0
SECTION I - Design by SRP
$27,500
SECTION II - Construction by SRP
$32,000
SECTION III - No Bid Items
$0
Sub Total
$59,500
Contingency 10%
$5,950
Sub Total
$65,450
A&G 16%
$9,520
Total Estimate
$74,970
EXHIBIT "B"
Cost Summary
Proposed SRP Well 06.0E-16.4N