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File #: 1449-2008    Version: 1
Type: Ordinance Status: Passed
File created: 9/8/2008 In control: Public Service & Transportation Committee
On agenda: 9/29/2008 Final action: 10/1/2008
Title: To provide the Director of Public Service with the authority to waive the bonding requirements for the Franklin County Board of Commissioners, in connection with the construction of the new Franklin County Courthouse, and to declare an emergency.
Explanation:
 
1.  BACKGROUND:
The Franklin County Board of Commissioners (Franklin County) is currently engaged in the construction of a new courthouse at 369-375 South High Street.  The County has agreed to incorporate streetscape improvements around the courthouse as a part of their construction project.  These streetscape improvements are consistent with those being planned and installed in conjunction with the City's River South Improvements projects.
 
Section 901.01(f) of Columbus City Codes, 1959, currently requires entities wishing to make such roadway improvements to enter into "Agreements to Improve Streets" with the Director of Public Service and to provide to the City a surety bond, or letter of credit, equal to the amount estimated to complete each of these roadway improvements.
 
However, as a public entity, Franklin County is also required to obtain a surety bond, or letter of credit, from their contractor(s) for all proposed work, including work within the public right-of-way on City streets.  Therefore, the current requirements of the City and Franklin County would result in these proposed public roadway improvements being bonded twice, thereby doubling  Franklin County's cost for ensuring this work is completed in a satisfactory manner.  
 
In an effort to eliminate this additional expense, this ordinance authorizes the Director of Public Service to waive the surety bonding/letter of credit requirements associated with Section 901.01(f) of Columbus City Code, 1959, for public roadway improvements associated with the Franklin County Courthouse construction project and this agreement shall remain in effect for so long as Franklin County remains in compliance with the following conditions:
 
1. In lieu of surety bonding/letter of credit, Franklin County shall, as a part of "Agreements to Improve Streets," certify that it shall not release its contractor's construction bond for the Franklin County Courthouse Project until such time that the City of Columbus, Department of Public Service, has issued a "Letter of Acceptance" to the Franklin County Board of Commissioners noting the satisfactory completion of the improvement.
 
2. Furthermore, should Franklin County's contractor fail to complete a public roadway improvement to the satisfaction of the City within one year of the agreement date, Franklin County shall agree upon demand by the Director of Public Service, to immediately call its contractor's bond for the improvement and immediately seek another qualified contractor to complete the work to the City's satisfaction.  Should  Franklin County be unable to obtain another qualified replacement contractor within thirty (30) calendar days after calling the contractor's bond, the Director of Public Service may determine the condition of the site presents a danger to the pedestrian and motoring public and demand that Franklin County shall take all appropriate steps to either obtain a replacement contractor within an additional thirty (30) days or post security acceptable to the Director of Public Service necessary to secure the completion of the improvement.  In the absence of a danger to the pedestrian and motoring public, Franklin County shall continue with due diligence to pursue its contractual remedies against its contractor.
 
All other conditions associated with Section 901 of Columbus City Code (1959) and "Agreements To Improve Streets" shall remain in force.
 
2.  FISCAL IMPACT:
This has no fiscal impact upon the City of Columbus, Department of Public Service.
 
3.  EMERGENCY DESIGNATION:
The Department of Public Service is requesting that this ordinance be considered an emergency measure in order to ensure that none of the construction work being undertaken by Franklin County is delayed, thereby incurring increased costs to the taxpayers.  
 
Title
To provide the Director of Public Service with the authority to waive the bonding requirements for the Franklin County Board of Commissioners, in connection with the construction of the new Franklin County Courthouse, and to declare an emergency.
 
Body
WHEREAS, the Franklin County Board of Commissioners has agreed to incorporate various public roadway improvements in conjunction with the construction of the new Franklin County Courthouse, and
 
WHEREAS, such work requires the Franklin County Board of Commissioners to enter into "Agreements to Improve Streets" for the site of proposed roadway improvements with the City of Columbus, and
 
WHEREAS, both Franklin County and the City of Columbus require surety bonds or letters of credit to ensure the proper execution of this work, and
 
WHEREAS, such dual bonding would place an additional financial burden upon Franklin County while providing little or no benefit to Franklin County or the City of Columbus, and
 
WHEREAS, waiving the surety bond/letter of credit requirements associated with "Agreements to Improve Streets" as prescribed within Section 901.01(f) of Columbus City Codes, 1959 requires City Council approval, and
 
WHEREAS, the Franklin County Board of Commissioners have agreed to alternative assurance measures within "Agreements To Improve Streets" whereby it shall not release its contractor's construction bond for its project until such time that the City of Columbus, Department of Public Service, has issued a "Letter of Acceptance" to the Franklin County Board of Commissioners confirming the satisfactory completion of the improvement, and shall upon failing to satisfactorily complete said work within a prescribed period of time the Franklin County Board of Commissioners shall file a claim against the contractor's bond and seek another qualified contractor to complete the work to the City's satisfaction, and
 
WHEREAS, an emergency exists in the usual daily operation of the Department of Public Service in that it is immediately necessary to authorize the Director of Public Service to waive the surety bonding/letter of credit requirements of Section 901.01(f) of Columbus City Code (1959) from within "Agreements To Improve Streets" with the Franklin County Board of Commissioners for public roadway improvements associated with the construction of the Franklin County Courthouse for so long as the Franklin County Board of Commissioners remains in compliance with alternative assurances previously outlined herein, for the immediate preservation of the public health, peace, property, safety and welfare; now, therefore
 
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
 
Section 1.  That the Director of Public Service Director be and is hereby authorized to waive the surety bonding/letter of credit requirements of Section 901.01(f) of Columbus City Code from within "Agreements To Improve Streets" with the Franklin County Board of Commissioners for public roadway improvements associated with construction of the Franklin County Courthouse and that said authority shall remain in effect so long as the Franklin County Board of Commissioners remain in conformance with the terms and conditions of the subject agreement.
 
Section 2.  That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor or ten days after passage if the Mayor neither approves nor vetoes the same.