HomeMy WebLinkAboutSewer & Water Service Agreement Fernwood at Cleveland Phase III & Title Sheet – Cleveland Wood Dev., Co., LLC
ELIZABETH A. MARADIK GARY A. GILOT JORDAN V. GATHERS JOSEPH R. MOLNAR
1316 COUNTY-CITY BUILDING
227 W. JEFFERSON BOULEVARD
SOUTH BEND, INDIANA 46601-1830
PHONE 574/ 235-9251
FAX 574/ 235-9171
CITY OF SOUTH BEND JAMES MUELLER, MAYOR
BOARD OF PUBLIC WORKS
February 23, 2021
Mr. Bill Loudin
Cleveland Woods Development Co., LLC
2010 West Ave.
Mishawaka, IN 46545
bloudin@comcast.net
RE: Sewer and Water Service Agreement for Cleveland Woods Development
Dear Mr. Loudin:
At its February 23, 2021 meeting, the Board of Public Works approved the above
referenced agreement which outlines the terms for the public sewer and water main extension
for the Fernwood Phase III project.
Enclosed please find the original of the agreement for your signature. Please sign and
return the original agreement to lhensley@southbendin.gov. Please retain a copy for your
records.
If you have any further questions regarding this matter, please call this office at (574) 235-9251.
Sincerely,
/s/ Anne Fuchs
Anne Fuchs, Clerk
Enclosures
AF/lh
SEWER AND WATER SERVICE AGREEMENT
This Sewer and Water Service Agreement (“Agreement”) is made on this ____ day of
_____, 2021 by and between Cleveland Woods Development Co., L.L.C., an Indiana limited
liability company with an address of 2010 Went Avenue, Mishawaka, IN 46545 (“Owner”), and
the City of South Bend, an Indiana municipal corporation(“City”), acting by and through its Board
of Public Works (“Board”).
WHEREAS, Owner’s project site is located within Fernwood at Cleveland Subdivision
Phase 2 and 3.
WHEREAS, in connection with the needs of Owner’s project, Owner has extended,
relocated, or made, or plans to extend, relocate, and make additions to existing water and sanitary
sewer systems to serve said replat as shown on the Exhibit A, attached and incorporated hereto
(the "Dedicated Improvements"), and desires certain commitments from City; and
WHEREAS, the Dedicated Improvements that Owner plans to complete is further
described in Exhibit B, attached and incorporated hereto (the "Engineer’s Estimate"), and
WHEREAS, the Owner acknowledges that it has installed public water main and sanitary
sewer in previous phases (Fernwood-Phase I and Fernwood-Phase II), which have not been
dedicated to the City, but Owner desires to dedicate such improvements to the City along with the
remaining work set forth as Fernwood-Phase III and outlined in Exhibit A; and
WHEREAS, the engineering design for said Dedicated Improvements has been, or will
be, accomplished by competent professional engineers registered and licensed in the State of
Indiana; and
23rd.
February
NOW, THEREFORE, in consideration of the obligations, terms and conditions contained
herein, and the above recitals which are incorporated into this Agreement, the adequacy of which
the parties expressly acknowledge, Owner and the City agree as follows:
1.Recitals
The parties hereto acknowledge and agree that the foregoing recitals are incorporated
herein as a part of this Agreement.
2.Construction Inspection
The Owner has provided the City with Exhibit A, which depicts drawings of the Dedicated
Improvements, which the City acknowledges conforms to the City’s standards. The Owner shall
allow the City to inspect the Dedicated Improvements during construction to ensure conformance
to the agreed standards set forth in Exhibit A, in particular with regard to area planning
requirements, adequacy of design, and quality of construction. The Owner shall contact the City’s
Engineering Department at least two (2) business days in advance to arrange for the attendance of
a City inspector at key milestones throughout work. Key milestones shall include but not limited
to: mandrel deflection testing, sanitary sewer taps, and water main taps. The Owner agrees to
perform any necessary adjustments as reasonably requested by the City to ensure the Dedicated
Improvements are constructed in accordance with Exhibit A.
3.Permits
It shall be Owner’s sole responsibility and expense to obtain any and all permits associated
with the construction and installation of the Dedicated Improvements and to comply with all
applicable laws.
4.Engineer’s Estimate
The Owner has provided an Engineer’s Estimate (See Exhibit B, incorporated herein by
reference and attachment) for the cost to construct the remaining portion of the water main portion
of the Dedicated Improvements, including but not limited to, excavation, pipe materials, valves,
hydrants, and all other appurtenant materials, supplies and equipment, permit fees, backfill and
bedding, pavement, curbs, sidewalks, signs, and restoration of the areas within the proposed
R.O.W.
5.Performance Bond
Owner shall provide the City with a performance bond for an amount equal to one hundred
twenty–five percent (125%) of the construction cost as set forth on Exhibit B, covering all work
to be performed as described as Fernwood-Phase III in Exhibit A to this Agreement. Owner’s
failure to provide the performance bond as prescribed herein shall cause this Agreement to be
immediately terminated and of no effect, without the requirement of notice. The performance
bond shall be provided concurrently with the execution of this Agreement and attached as Exhibit
C.
6.Maintenance Bond
Within ten (10) days of the City’s acceptance of the Dedicated Improvements, Owner shall
provide the City with a maintenance bond equal to ten percent (10%) of the construction cost,
covering all work performed and to be performed pursuant to this Agreement as outlined in Exhibit
A as Fernwood-Phase III, and such bond shall remain in effect for three (3) years after dedication
as described in Section 8 below.
7.Term
Except as otherwise provided herein, this Agreement shall continue for a period of sixteen
(16) months from the Effective Date of this Agreement, or upon the issuance of the relevant
occupancy permit(s), whichever occurs last.
8.Dedication
Upon completion of the construction of the Dedicated Improvements substantially as
depicted in Exhibit A, the Owner shall also convey an easement and dedicate to the City within
such easement the Dedicated Improvements as public infrastructure. It is understood by the Owner
that no dedication shall be accepted by the City until all required easements have been conveyed,
accepted, and recorded by the City. It is also understood by Owner and the City that water main
and sanitary sewer constructed in previous phases shall be dedicated to the City. The Owner shall
use its best efforts to work with the City to ensure that the Dedicated Improvements are dedicated
to the City in a timely manner.
Additionally, prior to dedication, the following must be satisfied:
a.All parts and labor must meet the standards and requirements stated in the design
specifications as presented to and accepted by the City's Engineering Department.
b.Lien waivers must be received with regard to all workmanship and materials used in
connection with these improvements.
c.The Completion Affidavit must be furnished to Owner by the South Bend, Indiana Board
of Public Works.
d.Owner must provide copies of test reports or cut sheets on all materials supplied.
e.Owner must provide As-Built drawings in accordance with the City of South Bend
Prevailing Specifications for Public Works, which may be found at
https://southbendin.gov/wp-content/uploads/2020/05/Prevailing-Supplemental-
Specifications.pdf
Owner’s failure to comply with this Section 8 shall be a material breach of this Agreement.
9.System Development Charges
Simultaneously with the execution of this Agreement, the Owner shall pay the City a sum
of $16,038.00 (sixteen thousand, thirty-eight dollars and 00/100) for access to the City’s water and
sewer sanitary systems set forth as Exhibit D. For purposes of this section 9 of the Agreement, an
equivalent residential unit (“ERU”) shall mean a single-family residence. For purposes of
customers that are not single-family residences, one ERU shall equal estimated wastewater and
water flows of 310 gallons per day, respectively. No customer will be less than one ERU.
For every new connection to the South Bend Municipal Sewer Works, a capital contribution
of $1,145 shall be collected per ERU. For every new connection to the South Bend Municipal
Water Works, a system development charge of four hundred seventy-five dollars ($475.00) shall
be collected per ERU and additional portion thereof to be connected. All charges shall be paid to
the City at the time the application for connection is filed. For all other types of structures, the
ERU calculation shall be based upon the ratio of Average Daily Flow as computed pursuant to 327
IAC 3-6-11 in relationship to 310 gallons per day. For structures not listed in 327 IAC 3-6-11, the
ERU shall be calculated as the relationship between the Average Daily Flow reported in the sewer
capacity certification for the structure and 310 gallons per day.
For customers with greater than 20 ERUs, the ERU shall be adjusted based upon the Peaking
Factor as computed herein. The Peaking Factor shall be calculated by dividing the Peak Daily
Flow by the Average Daily Flow, both as reported in the sewer and water capacity certifications.
In no event will a Peaking Factor less than 2.0 be used for purposes of the adjustment. The Peaking
Factor divided by 4.0 (the Peaking Factor for residential connections) will be multiplied by the
number of ERUs for purposes of computing the capital contribution owed by the customer. The
City reserves the right to require an additional capital contribution should Owner’s flow rate
exceed the predicted level. Such additional capital contribution will be based on the proportional
share of Owner’s use of the City's water and/or sewer sanitary system.
10.Waiver of Remonstration
Owner agrees to waive its right to remonstrate and hereby consent to annexation. Further,
Owner agrees to execute a petition of annexation upon request by the City.
11.Indemnification
In the event that Owner does not complete the Dedicated Improvements in accordance with
Exhibit A, Owner agrees and undertakes to indemnify and hold the City, and its respective agents,
employees, successors, and assigns, harmless from any liability, loss, costs, damages or expenses,
including attorneys’ fees, which the City may suffer or incur as a result of any claims or actions
which may be brought by any person or entity arising out of this Agreement.
12.Insurance
Owner, or the owner’s contractor, at Owner’s sole expense, shall maintain during the term of
this Agreement, commercial general liability insurance covering the Owner and the Dedicated
Improvements in an amount not less than Five Million Dollars ($5,000,000.00) per occurrence.
Owner agrees to provide to the City a certificate of insurance evidencing such coverage within ten
(10) days of the execution hereof.
13.Assignment
This Agreement may not be assigned by the Owner without the express written consent of the
City which such consent may be withheld for any reason. Any violation of this limitation shall
terminate the City’s obligation and forfeit the Owner’s rights under this Agreement.
14.Material Breach
In the event either party breaches any of the provisions set forth herein, the non-breaching
party shall provide written notice of the breach to the breaching party. Upon receipt of the notice,
the breaching party shall use its good faith efforts to cure the breach as soon as practical. In the
event the breach is not cured within a reasonable amount of time, the non-breaching party may
terminate this Agreement and pursue its legal and equitable remedies. .
15.Governing Law and Jurisdiction
This Agreement shall be construed and interpreted according to the laws of the State of Indiana
and shall be enforced in any court of competent jurisdiction in St. Joseph County, Indiana. It is
further agreed that all provisions of law now or hereafter in effect relating to water and sewer
service by the City shall be applicable to this Agreement.
16.Severability
Wherever possible, each provision of this Agreement shall be interpreted in such a manner as
to be effective and valid under applicable law, but if any provision of this Agreement shall be
prohibited by or invalid under applicable law, such provision shall be ineffective only to the extent
of such prohibition or invalidity, without invalidating the remainder of such provision or the
remaining provisions of this Agreement.
17. Waiver
No provision of this Agreement will be deemed waived, unless such waiver will be in writing
and signed by the party against which the waiver is sought to be enforced. The waiver will not be
construed to be a waiver of any succeeding breach of any such provision, a waiver of the provision
itself, or a waiver of any other provisions of this Agreement. No delay or omission on the part of
either party to exercise or avail itself of any right, power, or privilege that it has or may have under
this Agreement will operate as a waiver of any breach or default.
18.Time
Time is of the essence of this Agreement.
19.Entire Agreement
This Agreement sets forth the entire agreement and understanding between the Owner and the
City as to the subject matter hereof, and merges and supersedes all prior discussions, agreements,
and understanding of any and every nature between them.
20. Corporate Authority
The person signing on behalf of the Owner represents that he/she has been duly authorized to
execute this Agreement on behalf of said Owner.
IN WITNESS WHEREOF, the Owner and the City, through their duly authorized
representatives, have caused this Agreement to be executed as of the day and year first written
above. The parties have read and understand the foregoing terms of this Agreement and do, by
their respective signatures hereby agree to its terms.
(Remainder of page intentionally left blank)
IN WITNESS WHEREOF, the Owner and the City, through their duly authorized
representatives, have caused this Agreement to be executed as of the date first written above. The
parties have read and understand the foregoing terms of this Agreement and do, by their
respective signatures, hereby agree to its terms.
"OWNER" "CITY"
CLEVELAND WOODS CITY OF SOUTH BEND INDIANA
DEVELOPMENT CO., L.L.C.
By:
Printed:
Title:
EXHIBIT A
DEDICATED IMPROVEMENTS
.(160,7+:$7(5:25.6.(1111111111160,766666666666666++++,&/4.*5).(160,7+:$7(5:25.6'Zz͘'/>Kd>/d,͘DZ/<:KZEs͘'d,Z^EE&h,^:K^W,Z͘DK>EZ
BOARD OF PUBLIC WORKS
AGENDA ITEM REVIEW REQUEST FORM
Date February 15, 2021
Name Kyle Silveus
Department
Engineering
BPW Date February 23, 2021 Phone Extension
Review and Approval Required Prior to Submittal to Board
Diversity Compliance
and Inclusion Officer Officer Name
BPW Attorney Attorney Name Clara McDaniels
Dept. Attorney Attorney Name
Purchasing
Check the Appropriate Item Type –Required for All Submissions
Professional Services Agreement Contract Proposal
Open Market Contract Amendment/Addendum Special Purchase, QPA
Bid Opening Bid Award Req. to Advertise Title Sheet
Quote Opening Quote Award Reject Bids/Quotes
Proposal Opening C/O & PCA No. PCA
Chg. Order, No. Traffic Control Resolution
Other: Agreement Ease./Encroach
Required Information
Company or Vendor Name Four Horsemen Ventures, LLC
New Vendor Yes If Yes, Approved by Purchasing
No
MBE/WBE Contractor MBE
WBE Completed E-Verify Form Attached Yes
No
Project Name Belle Terre Water Extension Agreement
Project Number DP19-049
Funding Source N/A
Account No. N/A
Amount N/A
Terms of Contract
Purpose/Description Outlines the terms for a public water main extension in Bracken Fern Court.
For Change Orders Only
Amount of
Increase
Decrease
$
($ )
Previous Amount $
Current Percent of Change:
Increase
Decrease
%
(%)
New Amount $
Total Percent of Change:
Increase
Decrease
%
(%)
Time Extension Amount:
New Completion Date:
PREVIOUSLYCONSTRUCTEDAIDINNA TSTATE OFNo. PE19900163R
E
GI
SEREDONLASSEFORPIINEG
EER
N
O:\Projects\2020\20-0148 Robert Loudin - Fernwood III\CAD\_Civil\Drawings\Plans\1146FDP.dwg, 10/6/2020 9:18:23 AM
EXHIBIT B
ENGINEER’S ESTIMATE
Description Quantity Unit Unit Price Cost
Water Main
1 Mobilization/Demobilization 5%%$24,305.00 $1,215.25
2 Remove Existing Watermain 263 LFT $5.00 $1,315.00
3 HMA Pavement Patching 17 TON $110.00 $1,870.00
4 Concrete Curb Removal/Replacement 20 LFT $25.00 $500.00
5 Water Main, 8" D.I.346 LFT $45.00 $15,570.00
6 Gate Valve & Box, 8" D.I.2 EA $650.00 $1,300.00
7 12" x 8" Tapping Sleeve with Valve 1 EA $3,000.00 $3,000.00
8 8" DI Cap 1 EA $250.00 $250.00
9 Testing 1 LS $500.00 $500.00
TOTAL $25,520.25
Performance Bond Amount (125%)$31,900.31
Cleveland Road Development, LLC.
Fernwood Phase Three (Re-plat)
Remaining Water Utility Construction Cost Estimate
9 Lots
December 15, 2020
Page 1 of 1
EXHIBIT C
PERFORMANCE BOND
EXHIBIT D
SYSTEM DEVELOPMENT CHARGE
Estimate Provided On:11/9/2020
Estimate Provided By:C. Brach
Values Unit Type
Single Family Homes # of Unit Types 11 houses
Estimated Flow (gpd) for Single Family Homes 310 per house
Estimated Total Flow for Single Family Homes 3410 gpd
Estimated Total Flow for Fernwood Phase III 3410 gpd
ERU calculation 11.000 ERU
ERU rounddown 11 ERU
Sewer SDC Calculation ($1145 per ERU)
Water SDC Calculation ($475 per ERU)
Estimated Amount Due for Fernwood Phase III
Estimated 10% Discounted Total (Payment in full)
**Estimate is based on projected uses and calculations provided by owner/consultant**
12,595.00$
5,225.00$
(4) For multifamily structures (e.g., apartments, condominiums, mobile home communities), each individual unit shall be
one (1) ERU. For all other types of structures, the ERU calculation shall be based upon the ratio of Average Daily Flow as
computed pursuant to 327 IAC 3-6-11 in relationship to three hundred ten (310) gallons per day. For structures not listed in
327 IAC 3-6-11, the ERU shall be calculated as the relationship between the Average Daily Flow reported in the sewer
capacity certification for the structure and three hundred then (310) gallons per day.
(5) For customers with greater than twenty (20) ERUs as calculated pursuant to subsection (4) of this section, the ERU shall
be adjusted based upon the Peaking Factor as computed herein. The Peaking Factor shall be calculated by dividing
the Peak Daily Flow by the Average Daily Flow, both as reported in the sewer capacity certification. In no event will a
Peaking Factor less than 2.0 be used for purposes of the adjustment described in this subsection. The Peaking Factor
divided by 4.0 (the Peaking Factor for residential connections) will be multiplied by the number of ERUs for purposes of
computing the system development charge owed by the customer. The City Board of Works may execute a contract
with the customer authorizing an increase to the initial System Development Charge based upon actual usage data
that is collected after connection.
17,820.00$
16,038.00$
Estimate for System Development Charges
Fernwood Phase III
South Bend, IN
(1) For purposes of this section "ERU" shall be defined as an equivalent residential unit which means a single family
residence. For purposes of customers that are not single family residences, one (1) ERU shall equal estimated wastewater
flows of three hundred ten (310) gallons per day. No customer will be less than one (1) ERU. There will be no partial ERU's.
The City shall round down to the closest applicable ERU calculation at all times.
(3) System development charges per ERU shall also be collected from existing customers undertaking activities
producing a permanent increase in wastewater flow of greater than three hundred ten (310) gallons per day. This
subsection shall not apply to an existing customer who has, by contract, purchased reserved capacity from the City so
long as the customer's flows remain within the reserved capacity. A permanent increase shall be deemed to have
occurred when the average flow rate for six (6) consecutive months exceeds the current flow rate by at least three
hundred ten (310) gallons per day.
Per the Ordinance of the Common Council of the City of South Bend, System Development Charges are summarized
below from Sections 17-79 and 17-80:
(2) Except as provided in Subsections (5) and (6) of this section, for every new connection to the South Bend Municipal
Sewer Works, a system development charge of one thousand one hundred forty-five dollars ($1,145.00) shall be
collected per ERU and additional portion thereof to be connected. All charges shall be billed by the City at the time the
application for service is filed.
Sec. 17-79. - System Development Charge for Wastewater inside and outside City limits.
(2) Except as provided in Subsections (5) and (6) of this section, for every new connection to the South Bend Municipal
Water Works, a system development charge of five hundred dollars ($500.00) shall be collected per ERU and additional
portion thereof to be connected. All charges shall be billed by the City at the time the application for service is filed.
(3) System development charges per ERU shall also be collected from existing customers undertaking activities
producing a permanent increase in water flow of greater than three hundred ten (310) gallons per day. This subsection
shall not apply to an existing customer who has, by contract, purchased reserved capacity from the City so long as the
customer's flows remain within the reserved capacity. A permanent increase shall be deemed to have occurred when
the average flow rate for six (6) consecutive months exceeds the current flow rate by at least three hundred ten (310)
gallons per day.
(a) The property owner may pay all charges in full prior to time the installation work is commenced. Prepayment of
expenses in advance under this section shall entitle the owner to a ten (10 ) percent discount of the total charge.
Sec. 17-85. - Methods of payment; prepayment with discount; installment plan.
(6) Where a prospective customer seeks to connect a new structure on property which replaces a prior structure of a
similar use what was located on the same property and which was connected to the South Bend Municipal Sewer
Works, no system development charge will be collected. For instance, if the prior structure was a single family structure
and the new structure is to be used as a multi-family structure, a system development charge, as contemplated herein
this section, shall be charged. The Board of Public Works shall make the final determination of whether the new property
structure is a similar use to the prior property structure for the purposes of this subsection.
(4) For multifamily structures (e.g., apartments, condominiums, mobile home communities), each individual unit shall be
one (1) ERU. For all other types of structures, the ERU calculation shall be based upon the ratio of Average Daily Flow as
computed pursuant to 327 IAC 3-6-11 in relationship to three hundred ten (310) gallons per day. For structures not listed in
327 IAC 3-6-11, the ERU shall be calculated as the relationship between the Average Daily Flow reported in the water
capacity certification for the structure and three hundred ten (310) gallons per day.
(5) For customers with greater than twenty (20) ERUs as calculated pursuant to subsection (4) of this section, the ERU shall
be adjusted based upon the Peaking Factor as computed herein. The Peaking Factor shall be calculated by dividing
the Peak Daily Flow by the Average Daily Flow, both as reported in the water capacity certification. In no event will a
Peaking Factor less than 2.0 be used for purposes of the adjustment described in this subsection. The Peaking Factor
divided by 4.0 (the Peaking Factor for residential connections) will be multiplied by the number of ERUs for purposes of
computing the system development charge owed by the customer. The City Board of Works may execute a contract
with the customer authorizing an increase to the initial System Development Charge based upon actual usage data
that is collected after connection.
(6) Where a prospective customer seeks to connect a new structure on property which replaces a prior structure of a
similar use what was located on the same property and which was connected to the South Bend Municipal Water
Works, no system development charge will be collected. For instance, if the prior structure was a single family structure
and the new structure is to be used as a multi-family structure, a system development charge, as contemplated herein
this section, shall be charged. The Board of Public Works shall make the final determination of whether the new property
structure is a similar use to the prior property structure for the purposes of this subsection.
Sec. 17-80. - System Development Charge for Water inside and outside City limits.
(1) For purposes of this section "ERU" shall be defined as an equivalent residential unit which means a single family
residence. For purposes of customers that are not single family residences, one (1) ERU shall equal estimated water flows
of three hundred ten (310) gallons per day. No customer will be less than one (1) ERU. There will be no partial ERU's. The
City shall round down to the closest applicable ERU calculation at all times.