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Item 4ECity of Southlake, Texas MEMORANDUM October 7, 2008 To: Shana Yelverton, City Manager From: Robert H. Price, P.E., Director of Public Works Subject: Ratify termination of professional services contract with Graham Associates, Inc for the design of White Chapel Boulevard from SH 114 to Highland Street. Action Requested: Ratify termination of professional services contract with Graham Associates, Inc for the design of White Chapel Boulevard from SH 114 to Highland Street. Background Information: On April 18, 2006, the City Council awarded a professional services contract to Graham Associates, Inc for the final design of White Chapel Boulevard from SH 114 to Highland Street in the amount of $120,242.69. This contract included preparation of construction plans and specifications. Graham Associates was selected as a follow -up to their work on the preliminary design contract awarded April 15, 2003. As the design progressed several questions arose that caused the Staff to reconsider if Graham Associates were the firm best suited for the project. Beginning in June 2008, the Staff and Graham attempted to resolve issues to allow the design to proceed to completion. Ultimately, Staff determined it would be in the best interest of the City if the contract with Graham were terminated under Section 8.1.4 of the contract. This section allows the owner to terminate the contract with 10 days written notice. Time is of the essence in completing the design and preparation of the construction plans to meet the schedule for the new hospital. It is necessary to terminate the existing contract before Staff can select a replacement engineering firm and begin negotiations on a new contract. With this in mind, Staff notified Graham Associates by letter that Section 8.1.4 was being implemented and the contract would terminate no later than October 10, 2008. The Council is being asked to ratify the Staff's action. Graham Associates responded by letter invoking Section 7.1 of the contract to terminate the contract for cause. Copies of both letters are attached. Graham has raised an issue concerning drainage and the capacity of the box culvert under SH 114. This and all other design issues will be satisfactorily resolved in the final design of the project prior to construction. Financial Considerations: Graham Associates has received payment for work accomplished under the contract in the amount of $72,145.61. Terminating the contract will leave $48,097.08 that can be applied to a future design contract to complete the design and preparation of the construction plans. Citizen Input/ Board Review: None Legal Review: The City Attorney has reviewed the Graham Associates contract Alternatives: The Council may ratify termination of the contract with Graham Associates, Inc. or reject Staff's recommendation. Supporting Documents: Termination Letter Graham Associates Letter Location Map Staff Recommendation: Ratify termination of professional services contract with Graham Associates, Inc for the design of White Chapel Boulevard from SH 114 to Highland Street. Staff Contact: Robert H. Price, P.E., Director of Public Works Gordon J. Mayer, Jr., P.E. Deputy Director of Public Works Michael James, P.E. Civil Engineer CITY OF SOUTHLAKE 9 Public Works Administration 1400 Alain Streee I Suite 320 I Southlakc, Texas 16092 I (p)817- 1 (/)817-748-807 September 19, 2008 Mr. Jim Wagnon, P.E. 600 Six Flags Drive. Suite 500 Arlington, Texas 76011 Re: Design of White Chapel Road Improvements SH 114 to Highland Street, Southlake, Texas Dear Mr. Wagnon: The City of Southlake has determined that it is not in its best interest to continue its contract with Graham Associates, Inc. for design of the above referenced project. 'therefore, in accordance with Section 8.1.4 of the contract dated May 2, 2006, the City is terminating this contract. This termination will be effective 10 days after receipt of this letter, but in any case, no later than October 10, 2008. No further work should be performed under the contract after the effective date of the termination. To facilitate termination of the contract, please forward a final invoice for any unpaid charges for review and payment. In addition, please forward an electronic copy, on suitable media, of the project. CAD files and survey point files in a standard format (.dwg, .dgn, .dxf) for our records. This includes files prepared for preliminary design prepared under a previous contract dated April 15, 2003. If you have any questions, please feel free to contact me at (817) 748 -8089 (gMayer( bci.southlake.tx.us or Michael James, City Project Manager at (817) 748 -8101 (mjarnes (&,,ci.southlake.tx.us Sincerely, Gordon J. May Jr., P De u Director o lic Works p tY City Engineer LW G ra h am A Inc. CONSULTING ENGINEERS & PLANNERS September 24, 2008 6 � � Via Registered Mail Gordon J. Mayer, Jr., P,E. Deputy Director of Public Works City Engineer 1400 Main Street, Suite 200 Soutlilake, Texas 76092 SEP 26 2908 DEPT: OF PUBLIC WORKS RE: Design of White Chapel Improvements S.H. 114 to Highland Street, Southlake, Texas Dear Mr. Mayer: I received your September 9, 2008 letter saying that the May 2, 2006 contract for the above - referenced project was terminated. You did not address your authority to do so for a council awarded project. To avoid any future issues as to if this project has been properly cancelled, I, Jimmie M. Wagnon, C.E.O. of Graham Associates, Inc,, being fully authorized to act on behalf of Graham Associates, Inc. terminate this contract under Section 7.1 of the contract documents. Attached are copies of the transmittal of the last information sent to the city which was on 08/28/06 being one set of right -of -way strip maps, three sets of 60% plans, revised estimate, and three sets of right -of -way parcels_ Also sent around August 15, 2006 was a revised schedule, which is enclosed. It should be noted that we received no review comments since that submission. The last billing was in August 22, 2006 and it has been paid. We still have concerns that the traffic on White Chapel and upstream and downstream property owners of the proposed box culvert on White Chapel Blvd. will be affected in a negative economic and public safety manner if the drainage issues created by the TxDOT S.H. 114 storm work is not taken care of. This should be reviewed in a timely manner and affected parties notified. The termination will be effective 30 days after receipt of this letter, no later than October 26, 2008. No further work will be performed under the contract after the effective date of the termination, Graham Associates, Inc. will forward one hard copy and one electronic copy, on suitable media, of the project cad files and survey points. Files are in a format that they exist in the standard day -to -day operations of Graham Associates, Inc. which is GDS format (fgb's). This will include the files prepared for under a previous contract dated April 15, 2003, We Summit Office Park Centerpoint Three Chase Bank 1300 Summit Ave, Suite 419 600 Six Flags Drive. Suite 500 3200 Broadway Blvd Suite 530 Ft Worth. Texas 76102 -4418 Arlington. Texas 76011 -6356 Garland, Texas 75043.1571 (817) 332 -5756 (817) 649 -1914 • Metro (817) 640 -8535 (972) 840 -6671 Fax (817) 336 -6909 FAX (8 17) 633 -5240 FAX (972)- 840 -6671 will work with you to translate these to the next engineer's system format since double translation is not a reasonable thing to do. This would be done on an hourly basis at cost. If you have any questions, please contact me at (817) 640 -8535 or j wagnon @grahamcivil ,c om. Sincerely, (,A) 1-� ?imWagnon, P.E. Chief Executive Officer Graham. Associates, Inc. cc: Bob Price, Director of Public Works, Southlake Shana Yelverton, City Manager, Southlake Attachments Graham Associates, Inc. CONSULTING ENGINEERS & PLANNERS Letter of Transmittal TO: Clayton Redinger, PE Department of Public Works City of Southlake 1400 Main St, Suite 320 Southlake, TX 76092 RE: White Chapel BATE: 8/28/2006 W O. No. 827 -1012 WE ARE ENCLOSING: No. Copies Description 1 Set of Right- of-Way Strip Maps ID For Your Use ElFor Your Approval 0 As Requested MApproved as Noted ReMarks• Clayton, here is a set of the right -of -way strip maps. We are finishing up the individual parcels and will get them to you as soon as we finish them. Signed: John Lesnar, PE CC to: Mark Burckhard, PE 600 Six Flags Dr., Ste 500 * Arlington, Texas 760,11 * (817)640- 8535 * (817)633 -5240 Graham Associates, Inc. CONSULTING ENGINEERS & PLANNERS Letter of Transmittal T©: Clayton Redinger, PE DATE. 9/5/2006 Department of Public Works City of Southlake 1400 Main St., Suite 320 Southlake, TX 76092 RE: Write Chapel W,O, No 827 -1012 WE ARE ENCLOSING: No. Copies Descri Lion 3 Sets of Right -of -Way parcels and legal descriptions El For Your Use MFor Your Approval FlAs Requested Approved as Noted ReMarks: Clayton, here are 3 sets of the individual parcels and legals. This submittal does not include any drainage easements for the culvert crossing under White Chapel. Signed: John Lesnar, PE CC to: Mark Burckhard, PE 600 Six Flags Dr., Ste 500 * Arlington, Texas 76011 * (817)640 -8535 *_( 1 8 Graham Associates, Inc. CONSULTING ENGINEERS & PLANNERS Letter of Transmittal TO: Clayton Redinger, PE Department of Public Works City of Southlake 1400 Main St., Suite 320 Southlake, TX 76092 RE: White Chapel W..O No 827 -1012 DATE: 8/28/2006 WE ARE ENCLOSING: FI For Your Use MFor Your Approval FE As Requested Approved as Noted ReMarks• Signed: John Lesnar, PE CC to: Mark Burckhard, PE 600 Six Flags Dr., Ste 500 * Arlington, Texas 76011 * (817)640 - 8535 '` (817)633-5240 (Q c 0 ca O O LL WHITE CHAPEL TL IL