HomeMy WebLinkAboutC2022-095 - 5/24/2022 - Approved I AEP
TEXAS
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An A..Conpw:y
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City of Corpus Christi and AEP Texas
Streetlight Installation Agreement
LED Conversion Project
AEP Texas and The City of Corpus Christi have mutually agreed to
implement a mass change-out of existing streetlights and replace them with new
LED street lighting options offered through AEP Texas' Tariffs. Each streetlight
identified will be replaced with an LED light of equivalent wattage range, as noted
in the attached chart (Attachment A).
It is AEP Texas' intent to start installations in July 2022. This will allow time
to order the required lights, schedule appropriate resources and plan other
operations associated with the project. If procurement of inventory or scheduling
of resources become an issue due to unforeseen circumstances or weather
concerns, AEP Texas will advise the City and resume the project as soon as it is
reasonably able to do so. All work shall be completed by January 2023.
The Corpus Christi LED Conversion project will involve the installation of
4125 lights in 2022 and 2023 if necessary. The charge to change out each light is
$137.86 per light. The total invoice, for this project will be $568,672.50 ($137.86
x 4125 lights). The $137.86 covers the cost of the average undepreciated value of
existing non-LED light fixtures. AEP Texas will provide the City with an invoice for
$299,983.36 to be payable 30 days prior to commencement of the project. AEP
Texas will provide the City with a second invoice, after October 15t, 2022, for the
balance of $268,689.14 to be paid within 30 days. Should AEP Texas incur
additional installation costs, the City shall be advised beforehand and grant the
additional payment approval prior to the streetlight installations. Change order
authority is only up to $50,000 without additional Council approval. Please note
that no lights shall be scheduled for installation until AEP Texas receives payment.
AEP Texas will hold periodic meetings with the City to provide an update on
the status of the project and discuss any issues that arise.
i SCANNED
The City acknowledges that AEP Texas does not provide street lighting
design services and that AEP Texas will only place replacement LED lights where
instructed by City, to the extent it can do so consistent with Good Utility
Practice. City further acknowledges that the color and light pattern of
replacement LED street lights may be different from the light pattern of
Customer's existing streetlights. The City recognizes that AEP Texas will conduct
its operations in a prudent manner and maintain open communication with the
City throughout the course of this project.
The continuation of this Agreement after the close of any fiscal year of the
City, which fiscal year ends on September 30th annually, is subject to
appropriations and budget approval specifically covering this Agreement as an
expenditure in the next annual budget, and it is within the sole discretion of the
City's City Council to determine whether or not to fund this Agreement. The City
does not represent that this budget item will be adopted, as that determination is
within the City Council's sole discretion when adopting each budget.
In the event that either party defaults in its performance under this
Agreement, the other party may terminate the Agreement by providing the
defaulting party with notice in writing of the default and providing 14 days for the
defaulting party to correct such default. If the defaulting party does not correct
the default within the 14-day period, the Agreement shall be terminated, and the
non-defaulting party is released from any obligations under the Agreement yet to
be performed as of the date of termination. If the Agreement is terminated prior
to completion, AEP Texas shall be entitled to payment in full for all LED lights
installed through the date of termination, and the City shall be entitled to a
refund of any advanced funds that remain unused by AEP Texas as of the date of
termination.
Any notice of default under this Agreement must be given by fax, hand
delivery, or certified mail with return receipt requested and postage prepaid, and
is deemed received on the day faxed or hand-delivered or on the third day
following the date of postmark if sent by certified mail. Notice must be sent as
follows:
If to AEP: AEP Texas, Inc.
Attn: Vice President, External Affairs
539 N CARANCAHUA
CORPUS CHRISTI, TX 78401
If to City: City of Corpus Christi
Attn: City Manager
1201 Leopard St.
Corpus Christi, TX 78401
Fax: (361-880-3601)
This Agreement shall be construed in accordance with the laws of the State
of Texas. In the event of a contractual dispute hereunder, the parties do hereby
AGREE and STIPULATE that VENUE shall lie in Nueces County, Texas, and such
venue shall not be contested or disputed.
In the event it shall become necessary for any party hereto to file a lawsuit
to enforce this Agreement or any provision herein, the party prevailing in such
action shall be entitled to recover, in addition to all other remedies or damages,
reasonable attorneys' fees incurred in prosecuting or defending such lawsuit.
Acknowledgement for City of Corpus Christi:
By: ..-26& gleWle. IL_
Peter Zanoni, City Manager Date: 5--3v- 22—'
City of Corpus Christi
Authorized Signe
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Print Name: eil C r Za.r ort I
Attest:
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Rebecca Huerta, Pity Secretary VT riliB CIS
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Approved as to form: - - 2022
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Assistant City A jney
for Miles Risley, City Attorney
Ackp.ng{ggyment for AEP Texas Inc.:
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By --101coeo9r Mr44A...
Robert Black, Vice President Date: 5/26/2022 1 10:34 AM EDT
External Affairs
Authorized Signer