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HomeMy WebLinkAboutItem #06 Approval of Lake Olympic Townhouses Lift Station & Service Agmnt.be GenteT of Good L,� OC a AGENDA ITEM COVER SHEET Meeting Date: March 5, 2013 Item # Reviewed By Contact Name: Charles K. Smith, P.E. Department Director: Charles K. Smi h Contact Number: 407 - 905 -3159 City Manager: Robert Frank Subject: Lake Olympic Townhouses Lift Station & Gravity Collection System Service and Maintenance Agreement; District 2 Commissioner Wilson Background Summary: The Lake Olympic Townhouses Association (HOA) has a private sanitary sewer collection and pumping (lift) station that collects and conveys the homeowners' wastewater flow into the City's collection system. Historically, the City has provided emergency support to the HOA during utility system failures and for routine maintenance of the station. In addition, Utility staff would make repairs to the station and obtain reimbursement from the HOA for any hard costs. Both the Utilities Department and the HOA wish to formalize a maintenance relationship through the acceptance of an Agreement. A second Agreement for the City to provide maintenance and emergency repair service for the HOA's water system will follow, based on results of this action. In May and June of 2012, Utilities Department staff performed an onsite inspection of the HOA's water and wastewater systems, with results provided in the attached "Utilities Systems Onsite Evaluation — Lake Olympic Townhomes — June 2012" report. The investigation found two areas in the collection system in need of repair (root removal); as well as critically necessary repairs and numerous recommended upgrades to the lift station. The repairs to the collection system will be completed by City staff after acceptance of the Agreement, with the HOA being responsible for restoration associated with the collection system repairs. Other critical repairs and pump #2 shall be, if possible, nursed out for thirty six (36) months. The Agreement establishes the terms of the services provided by the City, parties' responsibilities, and a monthly maintenance fee of $406.20. The Agreement provides indemnification for the City as a result of third party actions, and maintains that the City's responsibility for costs shall not exceed $500 for the first thirty six (36) months. Issue: Should the City, through a formal Agreement, agree to provide long -term maintenance of the Lake Olympic Townhouses' private lift station for a monthly fee? Recommendations Motion to accept the "Service and Maintenance Agreement (Lake Olympic Townhomes Lift Station and Gravity Sewer Collection System ", and authorize the Mayor to execute the Agreement. Attachments: - Service and Maintenance Agreement (Lake Olympic Townhomes Lift Station and Gravity Sewer Collection System) Utilities System Onsite Evaluation — Lake Olympic Townhomes — June 2012" Report Memo to File: Lake Olympic Townhomes Liftstation and Gravity Collection System Annual Maintenance Service Cost Financial Impact: The monthly fee of $406.20 covers both the manpower and estimated equipment and appurtenance costs to maintain the HOA systems. An initial period of thirty six (36) months provides time for the City to collect sufficient fees to cover costs greater than $500 experienced after the initial thirty six (36) months. Attached is a Memo to File: Lake Olympic Townhouses Lift Station & Gravity Collection System Annual Maintenance Service Cost, which provides a breakdown of service costs and anticipated future rehab expenses. Type of Item: (please mark with an 'Y) Public Hearing For Clerk's Dept Use Ordinance First Reading Consent Agenda Ordinance Second Reading Public Hearing Resolution Regular Agenda _ Commission Approval Discussion & Direction Original Document/Contract Attached for Execution by City Clerk Original Document/Contract Held by Department for Execution Reviewed by City Attorney N/A Reviewed by Finance Dept. o N/A Reviewed by ( ) N/A 2 I MAINTENANCE i ift Station & Grav THIS SERVICE AND MAINTENANCE AGREEMENT (this "Agreement ") is made, dated and effective as of ' 2013 (the "Effective Date "), by and between the CITY OF OCOEE, whose address is 150 North Lakeshore Drive, Ocoee, Florida, 34761 -2258 (the "City"), and LAKE OLYMPIC TOWNHOUSES ASSOCIATION, a Florida not - for - profit corporation, whose mailing address is c/o Southwest Property Management, 13350 W. Colonial Drive, Suite 330, Winter Garden, Florida 34787 -3967 (the "Association "). RECITALS: WHEREAS, the Association, on behalf of its members, operates, manages and maintains that certain lift station and related improvements described on Exhibit "A" attached hereto and by this reference made a part hereof (the "Lift Station Improvements "); and WHEREAS, the Association, on behalf of its members, also operates, manages and maintains those certain gravity sewer collection system and related improvements described on Exhibit "B" attached hereto and by this reference made a part hereof (the "Gravity System Improvements "); and WHEREAS, the Association, on behalf of its members, has agreed to cause the rehabilitation of pump #1 and the incorporation of emergency call out capability within the Lift Station Improvements, and has agreed to assume all costs the for applicable work, prior to entering into this Agreement (the "Association Repairs "); and WHEREAS, the City has agreed, subject to the terms hereof, to operate, manage and maintain the Lift Station Improvements and Gravity System Improvements. NOW, THEREFORE, in consideration of the mutual promises and agreements contained herein the parties hereto agree as follows: 1. Recitals. The foregoing recitals are true and correct and are incorporated herein by reference. 2. Repairs, The Association agrees to complete the Association Repairs and acknowledges that the City Utilities Director shall have the right to inspect and approve the Association Repairs before the obligations of the City under the terms of this Agreement shall become effective. 3. Maintenance, The City agrees to operate, manage, maintain, repair, and /or reconstruct, as the City and its assigns may deem necessary, the Lift Station Improvements and Gravity System Improvements, all in accordance with applicable codes and ordinances. The Association hereby grants to the City an easement and such other rights over, across on and above the Association's common property that may be necessary for the City to accomplish the foregoing. The easement shall be perpetual unless terminated in accordance with paragraph 6 of this Agreement. 4. Standard of Care. In connection with its exercise of its obligations under Section 3 above the City shall (i) use the same standard of care used by the City in connection with City owned and operated lift stations and gravity sewer collection system lines, and (ii) be liable for any damage caused by the City or its representatives as determined by the City in its sole and absolute discretion in the same manner and to the same extent as the City would be liable in connection with damage caused by the City or its representatives in the course of operation, management, maintenance, repair and /or reconstruction of City owned and operated lift stations and gravity sewer collection system lines. Any such liability for damages shall survive the termination of this Agreement with respect to damages which arose prior to the effective date of such termination. S. Exclusion of Liability. The City shall not be held liable or responsible for any damages to the Lift Station Improvements or Gravity System Improvements, which are caused by a third party that is not a representative of the City. The City shall also not be responsible for costs associated with any maintenance failure exceeding Five Hundred and no /100 Dollars ($500.00) for the first thirty six (36) months of this Agreement. 6. Maintenance Fee. (a) In exchange for the services provided by the City pursuant to this Agreement, the Association shall pay to the City a monthly fee in the amount of $406.20 (the "Maintenance Fee "). The Maintenance Fee may be included on the City's monthly utility bill sent to the Association or set forth on a separate monthly bill provided by the City. The Maintenance Fee shall be paid in the manner set forth in Section 173 -4(B) of the Ocoee City Code, and shall be subject to all of the procedures, requirements, remedies for non- payment, and other provisions applicable to the City's water and sewer fees, including an annual three percent (3 %) increase, as set forth in Chapter 173 of the City Code, all of which are expressly incorporated herein by this reference. (b) After five (5) years, and every five (5) years after such point, the City may review actual maintenance costs of the Lift Station Improvements and Gravity System Improvements, and if determined to be necessary, may increase the Maintenance Fee by providing written notice of such increase to the Association at least nine (9) months prior to date on which the increased Maintenance Fee shall become effective. 7. Term and Termination. The term of this Agreement shall begin on the Effective Date and be for one (1) year. This Agreement shall automatically renew for successive one -year terms unless and until terminated pursuant to this paragraph. Either party hereto may terminate this Agreement by providing the other party with written notice thereof at least six (6) months prior to the end of any then - current one -year term. 8. Notice. Any notice delivered with respect to this Agreement shall be in writing and deemed to be delivered (whether or not actually received) when (i) hand delivered to the person(s) hereinafter designated, or (ii) when deposited in the United States Main, postage prepaid, certified mail, return receipt requested, addressed to a party at the address set forth opposite the party's name below, or at such other person or address as the applicable party shall have specified, from time to time, by written notice to the other party delivered in accordance herewith: Association: Lake Olympic Townhouses Association C/O Southwest Property Management 13350 W. Colonial Drive, Suite 330 Winter Garden, Florida 34787 -3967 Copies to: Neil Saydah, Esq. Saydah Law Firm 2572 W. State Road 426, Suite 2032 Oviedo, Florida 32765 -8389 City: City of Ocoee Attn: City Manager 150 North Lakeshore Drive Ocoee, Florida 34761 -2258 Copies to: Scott A. Cookson Shuffield Lowman & Wilson 1000 Legion Place, Suite 1700 P.O. Box 1010 Orlando, Florida 32802 9. No Partnership or Joint Venture. It is understood and agreed that nothing contained in this Agreement shall be deemed or construed as creating a partnership or joint venture between the parties or any third party, or cause any party to be responsible in any way for the debts or obligations of the other party. 10. Right to Enter Into This Agreement. Each party warrants and represents, with respect to itself, that neither the execution of this Agreement or the performance of its obligations under this Agreement shall violate any legal requirement, result in or constitute a breach or default under any indenture, contract, or other commitment or restriction to which it is a party or by which it is bound. Each party also warrants and represents, with respect to itself, that the execution of this Agreement and the performance and obligations under this Agreement shall not require any consent, vote or approval which has not been obtained, or at the appropriate time shall not be given or obtained. Each party agrees that it has or will continue to have throughout the term of this Agreement the full right and authority to enter into this Agreement and to perform its obligation under this Agreement. 11. No Construction Against Drafter. Each of the parties have been represented by legal counsel who has had ample opportunity to and has participated in the drafting of this Agreement. Therefore, this Agreement shall not be construed more favorably or unfavorably against any party. 12. Waiver. No consent or waiver, express or implied, by either party to this Agreement or of any breach or default by another in the performance of any obligations shall be deemed or construed to be consent or waiver to or of any other breach or default by that party. 13. Waiver of Jay Trial. The parties expressly waive the right to a jury trial. 14. Attorney's Fees. In the event that either party finds it necessary to commence an action against the other party to enforce any provision of this Agreement or because of a breach by the other party of any terms hereof, the prevailing party shall be entitled to recover from the other party its reasonable attorney's fees, paralegal fees and costs incurred in connection therewith, at both trial and appellate levels, including bankruptcy proceedings, without regard to whether any legal proceedings are commenced or whether or not such action is prosecuted to judgment. 15. Entire Agreement, This Agreement contains all the terms and conditions agreed upon by the parties hereto and no other agreement, oral or otherwise, regarding the subject matter shall be deemed to exist or bind either of the parties hereto. 16. Amendments. No amendment, modification or other change in this Agreement shall be binding upon the parties unless in writing and executed by all the parties hereto. 17. Applicable Law, This Agreement and the provisions contained herein shall be construed, controlled and interpreted according to the laws of the State of Florida, with venue in the Circuit Court in and for Orange County, Florida. 18. Time is of the Essence. Time is hereby declared of the essence to the lawful performance of the duties and obligations contained in this Agreement. 19. Further Documentation. The parties agree that at any time following a request therefore by another party, each shall execute and deliver to the other party such further documents and instruments, in form and substance reasonably necessary to confirm and /or effectuate the obligations of each of the parties hereunder. 20. No Third Party Beneficiary, This Agreement is not a third party beneficiary agreement, and shall not in any way whatsoever create any rights on behalf of any third party. 21. Captions, Captions of the Sections and Subsections of this Agreement are for convenience and reference only, and the words contained therein shall in no way be held to explain, modify, amplify or aid in the interpretation, construction or meaning of the provisions of the Agreement. 22. Severability. If any word, sentence, phrase, paragraph, provision, or portion of this Agreement is for any reason held invalid or unconstitutional by any court of competent jurisdiction, such portion shall be deemed a separate, distinct, and independent provision and such holding shall not affect the validity of the remaining portion hereof so long as the purpose and intent of this Agreement can still be achieved. 23. Counters This Agreement may be executed in any number of counterparts, each of which shall be deemed to be an original but all of which together shall constitute one and the same instrument. IN WITNESS WHEREOF, the parties have executed this Agreement as of the date and year set forth above. ATTEST: Beth Eikenberry, City Clerk (SEAL) FOR USE AND RELIANCE ONLY BY HELD THE CITY OF OCOEE, FLORIDA; 2012 APPROVED AS TO FORM AND LEGALITY this day of .2012 SHUFFIELD LOWMAN & WILSON as City Attorney ASSOCIATION: LAKE OLYMPIC TOWNHOUSES ASSOCIATION, a Florida not -for- profit corporation By: Print Name: Title: CITY: CITY OF OCOEE S. Scott Vandergrift, Mayor APPROVED BY THE OCOEE CITY COMMISSION AT A MEETING ON UNDER AGENDA ITEM NO. [See attached sheet] EXHIBIT "A" Lift Station Improvements The Lake Olympic Townhouses' sanitary sewer collection and conveyance system is comprised of a gravity collection system (manhole and mains), a lift station, and force main. The collection system receives wastewater flow from the townhouses through service laterals, and conveys wastewater flows to the lift station, which in turn pumps the flows utilizing the HOA's force main to the City -owned force main system. For the purpose of this Agreement, the service laterals, including the connection to the main, are not considered as part of the gravity collection system. For identification, location and sizes of the collection system and onsite force main see EXHIBIT "B" attached, and part of the "Service and Maintenance Agreement — (Lake Olympic Townhomes Lift Station & Gravity Collection System) ". The townhouses' lift station receives wastewater flow from the collection system and impounds the flow in a four foot (4') diameter concrete well (wet well). Upon sufficient flow being collected, one of two 20 h.p. submersible pumps alternately lift -pumps the flow through its separate discharge piping. The pumped flow is routed through a single concrete vault containing a check valve and isolation valve for each of the piping /pump combinations. Both the wet well and vault are equipped with cast -in concrete aluminum hatches. After leaving the vault, both pumps' piping merges at a wye where the force main begins. Note the townhouses' force main does not include an isolation valve, thus the station cannot be taken off line for reasonable repairs, nor does it include the typical force main bypass mechanical connection. The operation of the pumps in the wet well is controlled by four float sensors that monitor depth of the impounded flow. Floats are: pump shut -off, lead pump on, lag pump on and high water alarm. The sensors are read by analog controllers located in an electrical panel next to the wet well. The panel includes mechanical on /off switches, power phase monitors, flashing warning lights, power relays and other miscellaneous electrical elements. The station is not equipped with an alarm call out /notification system. The lift station's components have been field- verified in the below table: Lift Station #6 — 650 Olympic Circle /900 White Road Notes :0. I I I : 1 (The "Gravity System Improvements") [See attached sheet] 3 -it'ry Sows' FwcenW" (Typical) Sanitary Liftstatior Sanflary Se Collectron S (Typical) Sanitary Sewer Manhole (Typical) DIQS: 1. This is not a survey and is for ge illustration only. 2. Sewer Laterals to structures, n agreement, have not been depicte PROJECT: figure - , — ,� r' n E E fake Olympic Townhouses 7 i iffcfnfinn Fnr —main nnrl rmvity Ca \A /or ('nllonfinn Rvctamc r M ayor S. Scott Vandergrift City Manager Robert Frank City of Ocoee Utilities System Onsite Evaluation Lake Olympic Townhomes June 2012 Commissioners Gary Hood, District 1 Rosemary Wilsen, District 2 Rusty Johnson, District 3 Joel F. Keller, District 4 Narrative: The City of Ocoee Utilities Department and the Lake Olympia Townhomes Home Owners' Association (herein referred to as HOA) have begun discussions regarding the City either taking ownership of, or providing maintenance service for, the HOA's onsite utilities. The HOA's onsite utilities being discussed are the potable water lines and service, sanitary sewer gravity collection system, and the sanitary sewer conveyance system. Integral to completing the discussion is the establishment of the operational and maintenance conditions of the onsite utilities. Therefore, the Utilities Department has undertaken a non - destructive inspection (mid May 2012 thru June 2012) of the HOA's onsite utilities. The following are the department's findings and recommendations: Potable Water System: Historically, the water system has experienced numerous system failures, with the majority of the failures affecting the service lines which feed the buildings. Field investigation of the water mains revealed that they are "class" PVC in fair condition. Over time, numerous in -line isolation valves became lost and unusable. Using best available information, staff was able to discover and expose eight (8) inline valves that will provide the ability to reduce the areas affected by main failures. The water services are very poor with different combinations of materials and configurations. The service lines do not have isolation valves, making it impossible to only shut down a single failed service. Recommendation: The main lines appear to be in acceptable condition with no replacement recommended at this time. It is strongly recommended that each service line at the main have an isolation valve cut into the service. It is also recommended that the HOA adopt a systematic schedule to replace all services from the main to meters. Sanitary Sewer Gravity Collection System: Utilities staff has no historical experience with the collection system, but was able to inspect the gravity lines with a camera. Generally, the lines and the manholes appear to be in good shape, with the exception of a massive root intrusion located between unit 617 and unit 624, which may affect 10 to 20 feet of pipe (City crews placed green marking paint on the sidewalk above the area of concern). A copy of the inspection video is available upon request. Recommendation: The HOA should begin immediate removal of the roots from the identified length of sewer main, and follow the removal with a second televised (camera) inspection. In the event that City of Ocoee Utilities Department • 1800 A.D. Mims Road • Ocoee, Florida 34761 Phone: (407) 905 -3159 ■ Fax: (407) 877 -5899 • www.ocoee.org damage has occurred from the roots that will lead to pipe failure, the lines should be repaired by either replacement or slip form method. Affected tree roots or trees adjacent to the pipe should be removed. Sanitary Sewer Conveyance System: The conveyance system is comprised of a lift station that pumps wastewater into the second part of the conveyance system, the force main piping. Utilities staff has not experienced any failures with the force main piping and was unable to perform a non - destructive inspection. The lift station is in very poor condition and does not meet acceptable operational service levels. Both pumps appear to be near the end of their service life, with pump #1 making audible grinding sounds when operated. The electrical panel is obsolete and is not equipped with emergency call -out capability. The station's top elevation is relieved more than two feet below the surrounding grade, causing the station to collect runoff and debris. Staffs historical experience has been that the station experiences ongoing failures which on occasion have led to wastewater overflows. Attached is an equipment and replacement cost summary for the lift station. Recommendation: The lift station is in poor condition and will require substantial upgrades. Pump #1 should be replaced immediately and pump #2 should be rehabilitated or replaced shortly thereafter the replacement of pump #1. The electrical panel should be replaced and its replacement should accommodate emergency call out capabilities. Not immediately required, but recommended, is to raise both of the lids to the lift station and valve vault. Finally, smaller in magnitude but important to operation, is that a bypass connection and a station isolation valve should be added to the lift station. M ayor S. Scott Vandergrift City Manager Robert Frank --- .,t r+.._ . MEMORANDUM TO: Job File FROM: Charles K. Smith, P.E. Utilities Director DATE: RE: August 6, 2012 Commissioners Gary Hood, District 1 Rosemary Wilsen, District 2 Rusty Johnson, District 3 Joel F. Keller, District 4 Lake Olympic Townhouses Lift Station & Gravity Collection System Annual Maintenance Service Cost The Lake Olympic Townhouses Association ( "HOA ") has requested that the City of Ocoee Utilities Department provide third -party maintenance service for their gravity sewer collection system and onsite lift station ( #6). The following is a summary of the services and costs the City would experience, to develop a monthly service fee. The summary assumes the HOA replaces one of the existing lift station 20 HP pumps, rehabilitates the second pump and covers the hard cost to equip the station with emergency call out capability, upon entering into an agreement. Due to the poor condition of the lift station, the HOA would also be responsible for any hard costs associated with any major maintenance failure for the first thirty six (36) months of any agreement. In the June 2012 report, staff identified an area of concern with the gravity sewer collection system which must also be repaired before the City takes over maintenance service for the gravity system. Note the sewer collection system does not include individual units /building service on the main (8" or greater), or connecting manholes. 1. Weekly inspection of station by Utilities' Lift Station personnel. Service covers the inspection of wet well, floats and electrical panels. Required: Half an hour per week by Lift Station Tech, including equipment and vehicle. Technician at $15.00 /hour $ 7.50 Vehicle and equipment at $35.00 /hour 17.50 Weekly total $ 25.00 Annual Subtotal (x 52 weeks) $1,300.00 City of Ocoee Utilities • 1800 A.D. Mims Road ■ Ocoee, Florida 34761 Phone: (407) 905 -3159 • Fax: (407) 877 -5899 • www.ocoee.org t 2 Electrician Required: Ten man hours of support per year. Electrician at $30.00 per hour 30.00 Annual Subtotal (x 10 hours) $ 300.00 3 Grease /grit pumping and disposal, twice a year. Required: 1 hour of technician work, plus vacuum truck pumping station and dumping at landfill (East Orange County), per trip (requires 2 trips). Work is associated with other pumping, thus prorated. Technician at $15.00 /hour $ 15.00 Vacuum Truck at $50.00 /hour 100.00 Pumping & Disposal Total $ 115.00 Annual Subtotal (2x per year) $ 230.00 4 Pump Overhaul Required: Replacement or rehabilitation of pumps every twelve years at $5,500 each. Pump Replacement ($11,000/12 years) $ 920.00 Pump Rehab ($4,000/5 years) 800.00 Yearly Cost for Pumps $1,720.00 Annual Subtotal $1,720.00 k , Electrical System Overhaul: Required: Panel Replacement every 20 years. Panel Replacement ($4,000/20 years) $ 200.00 Electrician at $30 /hour (x 8 hours /20 years) 12.00 Yearly Cost for Electrical System Overhaul $ 212.00 Annual Subtotal $ 212.00 • 6. Miscellaneous work and /or replacements such as check valves, wet well painting, gauges, etc. Required: Ongoing material and appurtenances needed to keep station in operation. Materials & Appurtenances 200.00 Annual Subtotal $ 200.00 7. Annual Sewer Gravity Visual Inspection Required: Utilities Inspector to visually investigate the condition of the gravity sewer collection system; staff will camera the lines if necessary. Inspector at $25.00 per hour Annual Subtotal (x 4 hours) 8. Program Management 20% Subtotal of Abovementioned Items 20% for Program Management Total Annual Total: Monthly Payment: 25.00 $ 100.00 $4,062.00 812.40 $4,874.40 $4,874.40 $ 406.20 Every five (5) years, the City will reevaluate the costs that it realizes. If an adjustment (whether in the form of an increase or decrease) is necessary, the City will present its findings to the Lake Olympic Townhouses Association and both parties must reach an agreement on the cost adjustment.