TT0427 CONSTRUCTIONPROJECT_AGREEMENT_ACI-NOR-10 J. GUTIERREZ SIGNED.PDF
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MARICOPA ASSOCIATION OF GOVERNMENTS
ARTERIAL LIFE CYCLE PROGRAM
PROJECT AGREEMENT
Northern Parkway: Dysart and El Mirage Overpasses
Project Agreement No. 22-ACI-NOR-10-03-H
RTP Project # ACI-NOR-10-03-H
MAG TIP Project # MMA20-113CZ, MMA21-113CZ, MMA22-113CZ
This Agreement (Agreement) by and between the Maricopa Association of Governments (MAG)
and Maricopa County, a body politic acting through the Maricopa County Department of Transportation,
will become effective on the day that it is executed by the MAG Executive Director. MAG and Maricopa
County are referred to in this Agreement each individually as a “Party” and collectively as the “Parties.”
RECITALS
A.
MAG is the regional planning agency for Maricopa County. MAG is governed by a regional
council, which includes the mayor or chief executive of each member agency (Regional Council). Pursuant
to state law, MAG has developed, and the necessary parties have approved, a twenty-year comprehensive,
performance based, multimodal and coordinated Regional Transportation Plan (RTP) in the County. The
arterial street component of the RTP includes major arterial streets and intersection improvements (Arterial
Street Improvements) with a revenue allocation.
B.
In November 2004, the voters of Maricopa County approved a transaction excise tax for the
purpose of implementing the RTP. Federal Highway Administration (FHWA) Surface Transportation Block
Grant Program (STBGP) and Congestion Mitigation and Air Quality (CMAQ) Funds are also allocated to
the MAG region and administered by the Arizona Department of Transportation (ADOT) and are eligible
to be used to implement the RTP.
C.
MAG is required by state law to adopt a program that provides for life cycle management
for the funding and programming of the Arterial Street Improvements (Arterial Life Cycle Program). On
February 24, 2021 the Regional Council approved the Arterial Life Cycle Program (ALCP) Policies and
Procedures, and on June 23, 2021 the Regional Council approved the Fiscal Year 2022 ALCP. The February
24, 2021 Policies and Procedures, as they may from time to time be amended by the MAG Regional Council
(henceforth, the “Policies and Procedures”), are incorporated into this Agreement as fully as if set forth in
this Agreement. Copies of the Policies and Procedures are available from MAG. Capitalized terms that are
not defined in this Agreement have the meaning set forth in the Policies and Procedures
D.
Funds for ALCP are administered by ADOT through its Regional Arterial Road Fund
(RARF) sub-account for arterial streets, and through allocations of FHWA STBGP and CMAQ Funds that
are allocated to the MAG region and administered by ADOT. Funds will be disbursed by ADOT once
federal requirements are satisfied, as applicable, and upon the presentation of an invoice approved or
reviewed with concurrence by MAG as provided in this Agreement.
E.
The ALCP includes an arterial capacity improvement project on Northern Parkway at the
Dysart and El Mirage Overpasses. The Project is described in greater detail in the Project Overview (Project
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Overview) submitted by Maricopa County, dated August 30, 2021 and on file in the offices of Maricopa
County and MAG. The regional share in this agreement and the Project Overview are subject to change in
the annually adjusted ALCP.
F.
The Project will be designed and constructed in accordance with the standards adopted by
Maricopa County.
G.
When applicable, the regional reimbursement schedule will reflect the current ALCP in
which Regional Funds are first programmed. The current funding schedule for the Project is as follows:
Type of Work
Fiscal Year
of Work
Regional
Reimbursement
Type of
Reimbursement
Funds
Fiscal Year for
Reimbursement
Construction
2021
$6,125,000
STBGP-MAG
2021
Construction
2022
$12,672,676
STBGP-MAG
2022
Total Programmed for Reimbursement
$18,797,676
H.
The regional reimbursement, when applicable, will be expressed in the current year dollars.
Adjusted costs will be incorporated into the ALCP and by reference into this Agreement. Cost adjustments,
for inflation and as otherwise specifically provided in the Policies and Procedures, do not require a
modification of this Agreement.
I.
The Parties are authorized to enter into this agreement by the provisions of Arizona Revised
Statutes Section 28-6301 et seq.
AGREEMENTS
NOW, THEREFORE, for good and sufficient consideration, the receipt and sufficiency of which
is hereby acknowledged, the Parties agree as follows:
A.
Purpose. The purpose of this Agreement is to identify and define the responsibilities of Maricopa
County and MAG for the design, construction and financing of the Project, as established in the
ALCP.
B.
Responsibilities of the Parties.
1.
MAG’s Responsibilities. MAG agrees to:
a.
Administer the ALCP, pursuant to the Policies and Procedures as approved by the
MAG Regional Council;
b.
Provide to Maricopa County the required format for submitting requests for
payment, invoices, progress reports, and backup documentation;
c.
Review and approve invoices for projects to be reimbursed with Regional Area Road
Funds or review and concur with invoices for projects to be reimbursed with federal
funds, subject to the terms of this Agreement;
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d.
Submit the approved Request for Payment form to ADOT for payment by ADOT
to Maricopa County. The payments from ADOT to Maricopa County will be based
on the reimbursement amounts and schedule as noted in the Recitals, Section G.
The basis for payment to Maricopa County shall be reimbursement for costs in
conformance with the ALCP and the Policies and Procedures.
2.
Maricopa County’s Responsibilities. Maricopa County agrees to:
a.
Be responsible for all project costs and submit invoices to MAG for reimbursement.
Maricopa County will: 1) be responsible for the completion of all surveys, design,
plans and specifications, including contractor selection documents; 2) conduct
contractor selection process(es), award contract(s) for construction pursuant to the
applicable laws, and provide necessary construction management and inspection; 3)
if necessary, purchase or condemn right of way required for the completion of the
Project; 4) be responsible for all utility relocations, and 5) review and approve
invoices from its contractors and subcontractors before submitting an invoice to
MAG;
b.
Abide by the Policies and Procedures as approved by the MAG Regional Council
throughout the completion of the Project;
c.
Be responsible for meeting all applicable project development requirements for the
Project;
d.
Obtain appropriate indemnifications and insurance from all contractors and
subcontractors involved in the Project;
e.
Be responsible for all Project costs in excess of the maximum amount of the regional
funds allocated for the Project, shall any Regional Funds be allocated in the future.
The amount of funds to be paid to Maricopa County pursuant to this Agreement will
not exceed the Allocated Regional Funds. The allocated regional funds are expressed
in current year dollar amount in which the Regional Funds are first programmed.
The Regional Funds may be adjusted annually for inflation pursuant to the procedure
set forth in the Policies and Procedures and the current Regional Council-approved
ALCP;
f.
Provide invoices and progress reports to MAG pursuant to the project schedule
provided in the Project Overview;
g.
Otherwise comply with all requirements of this Agreement; and
h.
Have Maricopa County’s authorized representative, the County’s Transportation
Director or designee, sign, approve and submit invoices to MAG.
C.
Records and Audit Rights. Maricopa County’s work and accounting records (hard copy, as well as
computer readable data), and any other supporting evidence deemed necessary by MAG to
substantiate charges and claims related to this Agreement shall be open to inspection and subject to
audit and/or reproduction by authorized representatives of MAG, the Arizona Department of
Transportation and the Auditor General of the State of Arizona (Auditors), as applicable, to the
extent necessary to adequately permit evaluation and verification of the performance and cost of the
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work, and to conduct and prepare all audits and reports required by law. Auditors shall be afforded
access, at reasonable times and places, to all of Maricopa County’s records and personnel, pursuant
to the provisions of this Section, throughout the term of this Agreement, and for a period of five (5)
years after last or final payment.
D.
Term and Termination. The Agreement is valid through the payment of the final invoice for
completion of construction, as noted in the regional reimbursement schedule of the Recitals, section
G, subject to change based on the current Regional Council-approved ALCP unless terminated
earlier as specifically provided herein.
1.
Termination by MAG. MAG reserves the right to terminate this Agreement in the event that
MAG determines, in its reasonable discretion, that local or regional funds are not available
to meet Maricopa County’s financial responsibilities in regard to the Project or in the event
of an act of God or act of war or terror that makes continuation of work pursuant to this
Agreement no longer in the public interest. MAG will give sixty (60) days advance notice of
such termination, unless such notice is impracticable, in which case MAG will provide such
notice as is practicable under the circumstances. In the event of such termination, MAG will
recommend to ADOT that it reimburse Maricopa County as provided in this Agreement,
for work satisfactorily performed to the date of termination.
MAG also reserves the right to terminate this Agreement in the following circumstances: 1)
no Material Project Reimbursement Request (MPRR) has been submitted to MAG for a
period of at least eighteen (18) months from the date of the last Project Reimbursement
Request (PRR) or the effective date of this Agreement, whichever is later; 2) no Substantial
Project Reimbursement Request (SPRR) has been submitted to MAG for a period of thirty
(30) months from the date of the last PRR or the effective date of this Agreement, whichever
is later; 3) in the event of a Substantial Project Change, or 4) if Maricopa County fails to
observe or perform any of the material covenants, conditions or provisions of this
Agreement to be observed or performed by Maricopa County, where such failure shall
continue for a period of thirty (30) days after Maricopa County receives written notice of
such failure from MAG, however, such failure shall not be a default if Maricopa County has
commenced to cure the default within such 30-day period and thereafter is diligently
pursuing such cure to completion, but the total aggregate cure period shall not exceed ninety
(90) days unless the Parties agree in writing that additional time is reasonably necessary under
the circumstances to cure such default. In the event that Maricopa County fails to perform
any of its material obligations under this Agreement and is in default pursuant to this Section,
MAG, at its option, may terminate this Agreement. Further, upon the occurrence of any
default and at any time thereafter, MAG may, but shall not be required to, exercise any
remedies now or hereafter available to it at law or in equity.
2.
Termination by Maricopa County. Maricopa County reserves the right to terminate this
Agreement in the event that Maricopa County determines, in its reasonable discretion, that
local funds are not available to meet Maricopa County’s financial responsibilities in regard to
the Project or in the event of an act of God or act of war or terror that makes continuation
of work pursuant to this Agreement no longer in the public interest. Maricopa County will
give sixty (60) days advance written notice of such termination, unless such notice is
impracticable under these circumstances, in which case Maricopa County will provide such
notice as is practicable. If MAG fails to observe or perform any of the material covenants,
conditions or provisions of this Agreement to be observed or performed by MAG, where
such failure shall continue for a period of thirty (30) days after MAG receives written notice
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of such failure from Maricopa County, however, such failure shall not be a default if MAG
has commenced to cure the default within such thirty (30)-day period and thereafter is
diligently pursuing such cure to completion, but the total aggregate cure period shall not
exceed ninety (90) days unless the Parties agree in writing that additional time is reasonably
necessary under the circumstances to cure such default. In the event MAG fails to perform
any of its material obligations under this Agreement and is in default pursuant to this Section,
Maricopa County, at its option, may terminate this Agreement. Further, upon the occurrence
of any default and at any time thereafter, Maricopa County may, but shall not be required to,
exercise any remedies now or hereafter available to it at law or in equity.
3.
Termination by Mutual Consent. The Parties may terminate this Agreement by mutual
consent in the event that they determine that such termination is in furtherance of the goals
of the Arterial Life Cycle Program and is in the best interests of the Parties.
4.
In the event of termination pursuant to this Section “D,” Maricopa County agrees that it will
leave the Project in condition that is safe for use by the public.
E.
Availability of Funds. Each Party's obligations under this Agreement are conditioned upon the
availability of funds, appropriated or allocated, for the payment of such obligation. No liability shall
accrue to MAG in the event MAG declines to review and/or approve invoices for payment on the
basis that funds are not available for payment of such invoices and MAG terminates the Agreement
in accordance with section D.1.
F.
Indemnification. Each Party to this Agreement (Indemnitor) agrees to defend, indemnify and hold
harmless the other Party, and such Party’s officers, officials, employees, agents, and directors
(collectively, the Indemnitee) from and against any and all claims, demands, losses, liabilities, causes
of action and costs (including expert witness fees, attorney’s fees and costs of defense and appellate
appeal) (collectively, Claims), which may be imposed upon, incurred by or asserted against the
Indemnitee, attributable (directly or indirectly) to, or arising in any manner by reason of, the
negligence, error, or omission of any agent, officer, servant, or employee of the Indemnitor, or
anyone for whom Indemnitor may be legally liable, in the performance of this Agreement.
G.
Conflict of Interest. This Agreement is subject to termination for conflict of interest, pursuant to
the provisions of A.R.S. § 38-511.
H.
Ownership of Improvements upon Termination. Upon the expiration or other termination of this
Agreement, ownership of the Project and the improvements constructed under this Agreement shall
be vested in Maricopa County or as otherwise provided in any IGA relevant to the Project.
I.
General Provisions.
1.
INCORPORATION OF RECITALS. The Recitals are acknowledged by the Parties to be
substantially true and correct, and hereby incorporated as agreements of the Parties.
2.
ENTIRE AGREEMENT. This Agreement constitutes the entire understanding of the
Parties and supersedes all previous representations, written or oral, with respect to the
services specified herein. This Agreement may not be modified or amended, except by a
written document, signed by authorized representatives of each Party.
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3.
OFFICIAL COPIES. Upon date of execution by the MAG Executive Director, Maricopa
County shall receive a signed copy of the agreement within 14 days of execution.
4.
ARIZONA LAW. This Agreement shall be deemed to be made under, shall be construed
in accordance with, and shall be governed by the laws of the State of Arizona, without
reference to choice of law or conflicts of laws principles thereof.
5.
MODIFICATIONS. Except as otherwise specifically provided in this Agreement, any
amendment, modification or variation from the terms of this Agreement shall be in writing
and shall be effective only after written approval of all Parties.
6.
ATTORNEY'S FEES. In the event either Party brings any action for any relief, declaratory
or otherwise, arising out of this Agreement, or on account of any breach or default of this
Agreement, the prevailing Party shall be entitled to receive from the other Party reasonable
attorneys' fees and reasonable costs and expenses, as determined by the arbitrator or court
sitting without a jury, which shall be deemed to have accrued on the commencement of such
action and shall be enforceable, whether or not such action is prosecuted to judgment.
7.
NOTICES. All notices or demands required to be given, pursuant to the terms of this
Agreement, shall be given to the other Party in writing, delivered in person, deposited in the
United States mail, postage prepaid, registered or certified mail, return receipt requested or
deposited with any commercial air courier or express service at the addresses set forth below,
or to such other address as the Parties may substitute by written notice, given in the manner
prescribed in this Section.
If to Maricopa County:
Intergovernmental Relations Branch Manager
Maricopa County Department of Transportation
Transportation Planning Division
2901 W. Durango Street
Tel: (602) 506-1630
Fax: (602) 506-4882
If to MAG:
Executive Director
Maricopa Association of Governments
302 No. First Avenue
Suite 300
Phoenix, Arizona 85003
Tel: (602) 254-6300
Fax: (602) 254-6490
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A notice shall be deemed received on the date delivered, if delivered by hand, on the second
day after its deposit with any commercial air courier or express services or, if mailed, three
(3) working days (exclusive of United State Post Office holidays) after the notice is deposited
in the United States mail as above provided, and on the delivery date indicated on receipt, if
delivered by certified or registered mail. Any time period stated in a notice shall be computed
from the time the notice is deemed received. Notices sent by facsimile transmission shall
also be sent by regular mail to the recipient at the above address. This requirement for
duplicate notice is not intended to change the effective date of the notice sent by facsimile
transmission. E-mail is not an acceptable means for meeting the requirements of this section
unless otherwise agreed in writing.
8.
FORCE MAJEURE. Neither Party shall be responsible for delays or failures in performance
resulting from acts beyond their control. Such acts shall include, but not be limited to, acts
of God, riots, acts of war, epidemics, governmental regulations imposed after the fact, fire,
communication line failures or power failures.
9.
ADVERTISING. No advertising or publicity concerning MAG using any contractor’s or
subcontractor’s services shall be undertaken without prior written approval of such
advertising or publicity by MAG's Executive Director.
10.
COUNTERPARTS. This Agreement may be executed in one or more counterparts, and
each originally executed duplicate counterpart of this Agreement shall be deemed to possess
the full force and effect of the original.
11.
CAPTIONS. The captions used in this Agreement are solely for the convenience of the
Parties, do not constitute a part of this Agreement and are not to be used to construe or
interpret this Agreement.
12.
SEVERABILITY. If any term or provision of this Agreement shall be found to be illegal or
unenforceable, then notwithstanding such illegality or unenforceability, this Agreement shall
remain in full force and effect, and such term or provision shall be deemed to be deleted.
13.
AUTHORITY. Each Party hereby warrants and represents that it has full power and
authority to enter into and perform this Agreement, and that the person signing on behalf
of each has been properly authorized and empowered to enter this Agreement. Each Party
further acknowledges that it has read this Agreement, understands it, and agrees to be bound
by it.
14.
E-VERIFY.
a.
Warrant of Compliance. Pursuant to the provisions of A.R.S. §41-4401, each Party
warrants to the other that the Party and the Party’s subcontractors are in compliance
with all Federal Immigration laws and regulations that relate to its employees and
with the E-Verify Program under A.R.S. §23-214(A).
b.
Breach of Warranty. A breach of this warranty by a Party or any of its subcontractors
will be considered a material breach of this Agreement and may subject the breaching
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party to penalties up to and including termination of this Agreement or any
subcontract.
c.
Right to Inspect. Each Party retains the legal right to inspect the papers of any
employee who works on this Agreement or any subcontractor to ensure compliance
with the warranty given above.
d.
Random Verification. Either Party may conduct a random verification of the
employment records of the other and any of the Party’s subcontractors to ensure
compliance with this warranty.
e.
Federal Employment Verification Provisions – No Material Breach. A Party will not
be considered in material breach of this Agreement if it establishes that it has
complied with the employment verification provisions prescribed by 8 USCA
§1324(a) and (b) of the Federal Immigration and Nationality Act and the E-Verify
requirements prescribed by A.R.S. §23-214(A).
f.
Inclusion of Article in Other Contracts: The provisions of this Article must be
included in any contract either Party enters into with any and all of its contractors or
subcontractors who provide services pursuant to this Agreement.
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IN WITNESS WHEREOF, the Parties hereto have caused these presents to be executed by their duly
authorized officers. (The order for obtaining the signatures is as follows: the appropriate representative of
Maricopa County, the MAG General Counsel, and the MAG Executive Director).
Date
Date
Date
Date
Approved as to form:
By:
MAG General Counsel
MAG:
Maricopa Association of Governments, an
Arizona non-profit Corporation
By:
Eric J. Anderson
Executive Director
Maricopa County
Recommended By:
Jurisdiction of Maricopa County, a Body Politic
and Corporate of the State of Arizona
Jesse Gutierrez
Deputy Director Transportation
Approved By:
_____________________________________
Its: Jack Sellers, Chairman, Board of Supervisors
(BOS)
ATTEST:
Juanita Garza
Clerk of Maricopa County Board
Approved as to form:
By:
Attorney of Maricopa County BOS
DocuSign Envelope ID: 1BA86EAC-7BDD-469D-88A4-B313971F8F98
10/5/2021
Certificate Of Completion
Envelope Id: 1BA86EAC7BDD469D88A4B313971F8F98
Status: Completed
Subject: Please DocuSign: Project Agreement ACI-NOR-10-03-H_8.30.21.pdf
Source Envelope:
Document Pages: 9
Signatures: 1
Envelope Originator:
Certificate Pages: 4
Initials: 0
Kimberly Richards
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Time Zone: (UTC-08:00) Pacific Time (US & Canada)
2901 W Durango
Phoenix, AZ 85009
Kimberly.Richards@maricopa.gov
IP Address: 156.42.6.1
Record Tracking
Status: Original
10/5/2021 8:09:20 AM
Holder: Kimberly Richards
Kimberly.Richards@maricopa.gov
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Jesse Gutierrez
jesse.gutierrez@maricopa.gov
Deputy Director
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Signed: 10/5/2021 8:16:05 AM
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Electronic Record and Signature Disclosure created on: 3/26/2020 9:58:51 AM
Parties agreed to: Jesse Gutierrez
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