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HomeMy WebLinkAboutSILD 691 Contract with NorthWestern Energy r STREET LIGHTING AGREEMENT THIS AGREEMENT is made and entered into this 24th day of August, 2006, by and between NORTHWESTERN ENERGY, L.L.C., A Montana L.L.C., having its principal office and place of business at 40 East Broadway, Butte, Montana, 59701 (hereinafter Company or NWE), and the City of Bozeman, a municipal entity of the State of Montana, (hereinafter Customer). WITNESSETH WHEREAS, Special Improvement Lighting District No. 691 has been duly created by the City of Bozeman for West Winds Subdivision, Phases 1&2; and WHEREAS, Customer desires to obtain street lighting (hereinafter the System) within the boundaries of said District; and WHEREAS, the Company is willing to install, operate, maintain and supply electric energy to the System upon the terms and conditions contained herein, NOW, THEREFORE, in consideration of the mutual covenants and agreements herein specified by the parties, it is agreed as follows: 'I. INSTALLATION AND OWNERSHIP OF LIGHTING The Company undertakes and agrees to maintain within the boundaries of the System the following Metal Halide (MH) units: A. Twenty four (24) 100 watt Metal Halide Gullwing light fixtures mounted at 25' on round steel poles, three (3) 250 watt Metal Halide Gullwing light fixtures mounted at 38' on round steel poles and seven (7) 250 watt Metal Halide Gullwing light fixtures mounted at 35' on round steel poles. B. This system will serve Phases 1&2 of West Winds Subdivision under SILD 691. Said lights shall be installed at locations agreed upon between the parties as shown on Exhibit A, attached hereto. This system does not meet IESNA standards for illumination or uniformity. Company shall endeavor to accomp4ish installation as soon as reasonably possible. The system and all associated materials shall remain the property of the company. 2. MAINTENANCE AND OPERATION Locations and numbers of units may be modified only by mutual consent of the parties. The Company agrees to maintain, operate and supply electric energy to the System for the charges hereafter specified. Lights shall be turned on at dusk and turned off at dawn each day during the term of this Agreement. The Company shall have no duty or obligation to patrol the System to determine that all of said lights are in operating condition at all times, but will make necessary repairs and replace lamps within a reasonable time after notice of any outage. 1 rleslsttcontr 3. CHARGES a. Monthly Charges The Customer undertakes and agrees io pay the Company for maintaining and operating the System and for delivering electric energy thereto, as follows: No. of Watts Type Unit ChglMo Total ChglMo Units Ten 250 Metal Halide $ 44.80 $ 448.00 Twenty Four 100 Metal Halide $ 32.61 $ 782.64 The unit charge for electric service shown above is based upon Rate Schedule ELDS-1 and is subject to amendment or revision by the Public Service Commission of Montana. If the number of lighting units shall hereafter be increased upon agreement of the Customer and The Company, the then applicable rate(s) shall apply to such additional.units. b. Additional Charges The charges specified in the above schedule are based on normal conditions and do not cover charges for extraordinary repair and/or replacement costs. The company shall have the right to make an additional charge to the Customer for the cost of labor (including applicable payroll overheads) and the actual material cost for repairs to and/or replacement of the system for damage caused by third parties and not paid by such third parties. These poles and fixtures are not in our standard lighting offering, and because they are special (non-core) items, the Company will not inventory replacement components. If the Customer elects to maintain an inventory of replacement parts, the Company will reimburse the Customer the cost of such components at the time they are installed. Otherwise, the Company will order replacement parts as the need arises and there will likely be some delay in procuring replacement components. 4. MONTHLY PAYMENT a. Payment for the services rendered under this Agreement shall be due and payable in cash or valid warrants at the office of the Company when rendered each month, and will become delinquent ten (10) days thereafter. If any bill remains delinquent for more than twenty (20) days, the Company may discontinue its service in accordance with its standard termination procedures. b. In the event product availability hinders replacement of a defective or failed facility and an outage extends beyond one (1) month, upon the timely request of Customer, the monthly charge will be abated until the outage has been repaired. 2 rAeslstltcontr 5. INTERRUPTIONS It is understood and agreed that the Company shall not be liable for failure to comply with any of the terms and conditions of this Agreement where failure is caused by acts of God, governmental regulations or orders, strikes, or labor difficulties, fires, floods, droughts, riots, destruction of property, or, without being limited by the foregoing, by any other cause beyond the reasonable control of the Company. 6. TERM This Agreement shall be and remain in full force and effect for an initial seven (7) year term from the date hereof and shall thereafter continue in force and effect unless terminated by either party giving the other party written notice of its intent to terminate at least ninety (90) days prior to the expiration of the initial term or any extension thereof. 7. NOTICE Any notice to be given under this agreement may be served upon a party personally or served by mail directed to the party at the following addresses: COMPANY CUSTOMER NORTHWESTERN ENERGY, L.L.C. THE CITY OF BOZEMAN 1211 E.GRIFFIN DR P.O. BOX 1230 PO Box.490 BOZEMAN, MT BOZEMAN, MT 59771-0490 59771-1230 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed in duplicate by their duly authorized Representative, the day and year first ab ve written. i NORTHWESTERN ENERGY, L (COMPANY (Customer) ,Z� e � Qtav1 BY: BY: TITLE: QIVISIQN MANAGER TITLE CITY MANAGER 3 r:leslstlicontr Cascade Development, Inc. 1627 'West Main #223 Bozeman, MT 59715 May 3, 2007 Mel Kotur Northwestern Energy P.O. Box 490 Bozeman, MT 59771-0409 Re: West Winds Subdivision Phase 3 Street Lighting District Dear Mr. Kotur: This letter is to inform you that Cascade Development, Inc., developers of West Winds Phase 3 Subdivision, will guarantee the installation costs and/or the Special Improvement Lighting District (SILD) monthly payments. The purpose of this guarantee is to facilitate the ordering and installation of the street lights in a timely manner and provide safety and security within the subdivision street network. It is our understanding that the guarantee will only be in effect until such time that it will take the city of Bozeman to complete the forination of the SILD. Please address the lighting agreement to: Cascade Development, Inc. 1627 West Main St. Ste. 223 Bozernan, MT 59715 Thank you for your assistance with this project. Cascade Devel ent, In . J . Dunlap, Pr s dent LIGHTING AGREEMENT THIS AGREEMENT made and entered into this 1st day of May 2007 by and between NorthWestern Energy, hereinafter COMPANY, and Cascade Development,Inc.of 1627 West Main Street Suite 223 Bozeman NIT hereinafter CUSTOMER. WITNESSETH WHEREAS,the customer desires a lighting system,hereinafter a System,to be installed at West Winds Subdivision,Phase 3 in Bozeman,MT. WHEREAS,the Company is willing to construct,install and own the System and to maintain,operate and supply electric energy to the System upon the terms and conditions contained herein,and; WHEREAS,the Customer is willing to pay the associated costs to the Company for providing said System;NOW,THEREFORE,in consideration of the promises and mutual covenants herein specified,the parties hereto agree as follows: INSTALLATION AND OWNERSHIP The Company agrees to construct and install a System which shall consist of the following: Fixture type and number: 6 Gardco Gultwing Metal Halide Fixtures;4 at 100 watts and 2 at 250 watts. Pole type,MH and number: 4 at 25' mounting and 2 at 38' mounting. All poles are round steel on concrete bases. UG or OH system:Underground. Specify-Core lighting and/or Special(non-core)lighting: Special non-core see item 3 below. Other: This agreement is only in effect until such time that the City of Bozeman creates a Special Improvement Lighting District(SILD)for West Winds,Phase 3. When the SILD is created,the billing for this streetlight system will be transferred to the Citv of Bozeman as per the attached memo from Cascade Development. These monthly charges do not include the costs associated with installing the concrete bases. The developer will suppiv the concrete bases. MAINTENANCE AND OPERATION 1)Location and numbers of units may be modified only by mutual consent of the parties. 2)The Company will maintain a supply of replacement parts including standards,fixtures and lamps for maintenance on core lighting systems. 3)If the Customer elects to receive service from special or non-core facilities,the Customer shall maintain on their premise(s)and provide upon Company request,all replacement unique non-core facility components(standards, fixtures,lamps,etc.)necessary to keep such unique non-core facilities operable.Upon utilization of components, Company will reimburse Customer the cost of such components within thirty(30)days after receipt of evidence, satisfactory to the Company,of such cost. 4)The Company agrees to maintain,operate and supply electric energy to the System for charges hereafter specified. S)The Company shall have no obligation to patrol the System to determine that the System is in operating condition at all times,but will make repairs and replace lamps within a reasonable time after notice of any outage. 6)It is understood and agreed that the Company shall not be liable for failure to comply with any of the terms and conditions of this Agreement where failure is caused by acts of God,governmental regulations or orders,strikes,or labor difficulties, fire, floods,droughts,riots,destruction of property, or without being limited by the foregoing,by any other cause beyond the reasonable control of the Company. 7)Customer understands the System may not meet the Illuminating Engineering Society(IES)Code. Page 1 of 2 CHARGES 1) The Customer understands and agrees to pay the Company for maintaining and operating the System and for delivering electric energy thereto, as follows: UNITS WATTS TYPE UNIT CHARGE PI MONTH TOTAL CHARGES PER MONTH Two 250 MR $46.67 $93.34 Four 100 MH $41.33 $165.32 2) The unit charge for service shown above is subject to amendment or revision by the Public Service Commission of Montana. These costs do not include the cost of the concrete bases 3) The charges specified above are based on normal conditions and do not cover charges for extraordinary repair and/or replacement costs. 4) The Company shall have the right to snake an additional charge to the Customer at the cost of material and labor(including applicable payroll overheads)for repairs to and replacement of the System for damages caused by third parties and not paid for by such third parties TERM AND CHANGE OF OWNERSHIP 1) This agreement shall be and remain in full force and effect until the City of Bozeman completes the creation of the SILD for West Winds Streetlighting,after which time,the City of Bozeman shall be considered the CUSTOMER. 2) If the Company no longer desires ownership of the System after the expiration of this agreement, Customer shall reimburse the Company for the value of the System as determined using standard accounting depreciation calculations. 3) This Agreement creates a covenant which runs with the land and shall be binding upon and shall inure to the benefit of the heirs,legal representatives,successors and assigns of the parties. ST RN ENERGY S ER ,PZ By: By: eY otur J Yo'Title:Customer Advocate Prin ame Title: Date:0510112007 Date: 49 T Page 2 of 2