ORDINANCE NO. 210222
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Estimating revenue in the amount of $678,027.00; authorizing a $5,307,000.00 construction contract with Pyramid Excavation and Construction, Inc., for the Sewer Separation: 31st and Broadway project; authorizing a maximum expenditure of $5,770,027.00; and recognizing this ordinance as having an accelerated effective date.
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WHEREAS, on November 5, 2020, Ordinance No. 200906 was passed to appropriate $5,802,000.00 from the Unappropriated Fund Balance of the Sewer Fund, to authorize a $4,628,973.00 Construction Contract ("Contract") with Blue Nile Contractors, Inc., for the Sewer Separation: 31st and Broadway project; to authorize a maximum expenditure of $5,092,000.00, and to authorize a $710,000.00 Design Professional Services Amendment No. 2 to Contract No. 1403 with Tetra Tech, Inc., for a total contract amount of $1,760,000.00; and
WHEREAS, on February 9, 2021, Blue Nile Contractors, Inc. signed a Voluntary Letter of Default issued to North American Specialty Insurance Company ("Surety"), in which Blue Nile Contractors, Inc. indicated that it was unable to perform the Contract, and thus it was in default of the Contract; and
WHEREAS, the City and Surety entered into a tender agreement whereby the City agreed to release Blue Nile Contractors, Inc., of its obligations; and
WHEREAS, Surety has tendered to City a completion contractor, Pyramid Excavation and Construction, Inc. ("Completing Contractor"); and
WHEREAS, the Completing Contractor will perform the work described in the Contractor Agreement for a sum of $5,307,000.00; and
WHEREAS, the Surety will pay to City the sum of $678,027.00, representing the additional cost of performing the work with the Completing Contractor; NOW, THEREFORE,
BE IT ORDAINED BY THE COUNCIL OF KANSAS CITY:
Section 1. That the revenue in the following account of Fund No. 8110, the Sewer Fund, is hereby estimated in the following amount:
21-8110-800000-581160 Contr. in Aid of Construction...
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