DATE: September 26, 2019
TO: Board of Mayor and Aldermen
FROM: Eric Stuckey, City Administrator
Paul Holzen, City Engineer/Director of Engineering
Jonathan Marston, Assistant Director of Engineering
William Banks, Staff Engineer
SUBJECT:
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Consideration of a Utility Relocation Agreement (COF Contract No. 2019-0229) with Atmos Energy Corporation for the Franklin Road Corridor Improvements (Streetscape) Project, Harpeth River Bridge to Harpeth Industrial Court/Hooper Lane. (CIC 9/26/19, 4-0)
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Purpose
The purpose of this memorandum is to provide information to the Franklin Board of Mayor and Aldermen (BOMA) concerning a Utility Relocation Agreement with Atmos Energy Corporation (Atmos) for the Franklin Road Corridor Improvements (Streetscape) Project, Harpeth River Bridge to Harpeth Industrial Court/Hooper Lane.
Background
As a part of the Franklin Road Corridor Improvements (Streetscape) Project, existing Atmos gas lines must be relocated to eliminate conflicts with the proposed City work. Per this utility relocation agreement, it is in the mutual interest of both the City and Atmos that their gas line utility relocation work be performed as part of the City’s upcoming Franklin Road project’s construction contract. The City will show the proposed relocation of the Atmos facilities in the City’s construction plans as project cost items. The City will be responsible for having its contractor or subcontractor perform the Atmos utility relocation work in accordance with the City’s construction contract. Atmos agrees to fully reimburse the City for their construction cost.
Financial Impact
The City, with help from Atmos, developed final utility relocation construction plans and a construction cost estimate, showing the manner of relocating their facilities. The estimated total Atmos relocation cost is in the amount of $550,360.00. Atmos will make a lump sum payment to the City for the estimated amount, prior to bidding. In the event said Atmos payment exceeds the aggregate amount of Atmos’ construction charges, the difference will be refunded to them. In the event Atmos’ construction costs exceed the deposit, they agree to reimburse the City for the additional amount.
Recommendation
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Staff recommends approval of the proposed utility relocation agreement with Atmos Energy Corporation (COF Contract No. 2019-0229).