HomeMy WebLinkAbout12/28/10 Board of Public Works Claims ReviewCLAIMS REVIEW MEETING DECEMBER 28 2010 393
A Claims Review Meeting of the Board of Public Works was convened at 11:05 a.m. on
Tuesday, December 28, 2010, by Board President Gary A. Gilot with Board Member Donald E.
Inks and Board Attorney Cheryl Greene present.
ADDITIONS TO THE AGENDA
Mr. Gilot informed the Board of five (5) additions to the agenda including Termination of
Agreements, an Agreement with AT &T, a Release of Mortgage, a side letter to the
Memorandum of Understanding with I" Source, and a Clarification of the Studebaker
Demolition Area A, Phase IV Change Order,
APPROVE CLAIMS
Mr. Inks stated that a request to pay claims has been received by the Board; each claim is fully
supported by an invoice; the person receiving the goods or services has approved the claims; and
the claims have been filed with the City Fiscal Officer and certified for accuracy.
Mr. inks stated the following claims were submitted to the board for approval:
Name Amount of Claim Date
City of South Bend $1,142,568.51 12/20/2010
City of South Bend $3,824,266.73 12/22/2010
Therefore, Mr. Inks made a motion that after review of the expenditures, the claims be approved
as submitted. Mr. Gilot seconded the motion, which carried.
APPROVAL OF AGREEMENTS RELATED TO THE PURCHASE OF THE 11T SOURCE
PARKING GARAGE
Attorney Dick Nussbaum stated all of the agreements he has added to the agenda were related to
the original Memorandum of Understanding with I" Source and Host Hotels of December 3,
2010 regarding the purchase of the I St Source parking garage. Mr. Nussbaum informed the Board
that the documents include a purchase agreement that relates to the obligations of the parties for
the purchase of the I" Source Parking Garage; three (3) Escrow Agreements set up for -the
$6,500,000 to go into escrow with Meridian Title; two (2) Terminations of Conveyance
Agreements that terminate previous Conveyance of Public Improvements Agreements with Ist
Source and Host Hotels; and a side letter that clarifies the rating of Doubletrec Hotel as an
"upscale" hotel rather than it's previous rating in the Memorandum of Understanding as an
"upper upscale" hotel. He noted the Redevelopment Commission approved the documents this
morning at their Redevelopment Commission meeting and passed a Resolution to authorize Mr.
Inks to sign as agent for the Board. Therefore, any draws on the Escrow accounts will be
required to use certain draw forms and will not require a Board meeting; Mr. Ink's signature will
be adequate. Mr. Nussbaum stated that only a change in terms or an interpretation would need to
come before the Board. Attorney Cheryl Greene asked if it would be beneficial for the Board to
authorize Mr. Nussbaum to act as agent to the Board to sign in the case of Mr. Ink's absence. Mr.
Nussbaum agreed it would probably be a good idea in the unlikely event that Mr. Ink's was not
available. Mr. Nussbaum stated that none of the documents change the provisions of the
Memorandum of Understanding; they only implement the terms and conditions. Ms. Greene
stated that the Redevelopment Commission will hold title to the garage, and the Board of Works
acts only as its agent. Mr. Nussbaum noted any issues related to improvements to the garage
should go through the Board of Works, as the experts in that field. Mr. Gilot made a motion the
Board approve all of the Agreements as outlined by Mr. Nussbaum, and authorize Mr. Inks to
sign on behalf of the Redevelopment Commission with Mr. Nussbaum as a back -up to Mr. Inks.
Mr. Inks seconded the motion, which carried.
The following Agreements related to the Memorandum of Understanding for the purchase of the
1st Source parking garage were approved:
Type
Business
Descri ption
Garage Purchase
I" Source Corporation
City to Purchase 1st Source
Agreement
and Host Hotels &
Garage
Resorts, L.P.
Escrow
15 Source Corporation
1St Source Bank Building
Agreement
and Meridian Title
Improvements
Corporation
Escrow
Host Hotels & Resorts,
Hotel Atrium Improvements
Agreement
L.P., 1St Source
Project at the I" Source Bank
Corporation and
Building
CLAIMS REVIEW MEETING DECEMBER 28 2010 394
APPROVAL OF AGREEMENTS
The following Agreements were submitted to the Board for approval:
Type
Meridian Title
Description
Amount
Corporation
Agreement
Escrow
Host Hotels & Resorts,
Hotel Improvements Project at
Agreement
L.P., and Meridian Title
the I" Source Bank Building
Park Dept. Locations for
Co oration
Consent
1St Bank Center Limited
Consent by the City to the
Each Location
Partnership
Building Owner to Waive
Services on
Installed
Technical Default in their
Bond
Termination of
Host Hotels & Resorts,
Termination of Agreement of
Agreement for
L.P., successor to Rahn
October 22, 1979, to be Able
Conveyance of
Properties 11
to Enter into a New
Public
Agreement
Documents
Company, Inc.
Termination of
1St Source Corporation,
Termination of Agreement of
Agreement for
F /K/A FBT Bancorp,
October 22, 1979, to be Able
Conveyance of
Inc.
to Enter into a New
Public
Portage Ave. upon Payoff of
Agreement
Documents
Development
Side Letter for
lst Source Corporation &
Confirmation of the
Memorandum of
Host Hotels & Resorts,
Agreement o f the Parties to
Understanding
L.P.
include Doubletree Hotel as an
"Upscale" Hotel
APPROVAL OF AGREEMENTS
The following Agreements were submitted to the Board for approval:
Type
Business
Description
Amount
Motion/
Second
Agreement
SBCGlobal
TI Data Line for Six Various
Various
Gilot/Inks
Services d /b /a
Park Dept. Locations for
Amounts for
AT &T Global
ExecuTime Time Clocks to be
Each Location
Services on
Installed
Monthly
behalf of
Payments /36
Indiana Bell
Month Contract
Telephone
Company, Inc.
Release of
Corporation for
Release Mortgage of 1431
N/A
Inks / Gilot
Mortgage
Entrepreneurial
Portage Ave. upon Payoff of
Development
Indebtedness Assigned to the
City of South Bend
CLARIFICATION OF CHANGE ORDER N0. I - STUDEBAKER AREA A DEMOLITION —
PHASE IV — PROJECT NO. 109 -032
Board Attorney Cheryl Greene clarified that the effective date of the Change Order previously
approved on December 6, 2010 was intended not only to comply with the directive issued by the
Department of Labor, but also intended to be consistent with state law governing public works
projects. Board members discussed the conflict between meeting the deadline imposed by the
Department of Labor to issue a change order and state law requirements that a change order
should not be issued before commencement of actual construction. The Board also recognized
that the Contractor had been stopped from commencing any construction activities pending
resolution of the dispute over the Davis -Bacon classification and wage rates.
Upon a motion by Mr. Gilot, seconded by Mr. Inks and carried, the Board ratified, confirmed
and approved the Change Order as clarified, to reflect an effective date consistent with state law,
and confirmed the Change Order is effective upon commencement of construction activities
pursuant to reinstatement of the previously - suspended Notice to Proceed. The Board further
authorized legal counsel to work with the Project consultant, DLZ, and the City Engineer to take
all actions necessary to reinstate the previously suspended Notice to Proceed upon a
determination that all required documentation had been duly updated to reflect a delay
occasioned pending final direction from the Department of Labor concerning the Davis -Bacon
classification and wage rates.
CLAIMS REVIEW MEETING
DECEMBER 28, 2010 395
ADJOURNMENT
There being no further business to come before the Board, upon a motion made by Mr. Gilot,
seconded by Mr. Inks and carried, the meeting adjourned at 11:50 a.m.
ATTEST:
t
Linda M. Martin, Clerk
BOARD OF PUBLIC WORKS
Gary A. G110t, President~ -
Dohald E. nks, Member
Carl P. Littrell, Member