Ordinance - #84-08 - 09/25/1984 - Laserfiche WebLink

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- 8 - (2) use City equipment or hire equipment and purchase materials for all such improvements to be done by day labor in any twelve-month period by advertising once therefor, such advertisement to call for bids for the furnishing or equipment, if the City does not use its own equipment, and for materials at unit prices based on the quantities which the Council estimates will be requtred, (3) contract at one time on a unit-price basis for part or all of the street improvements to be constructed by the City during the current year, including improvements which may thereafter be ordered constructed. Subdivision 5. Cooperation ~ith State Or Local Government. When an improvement is made under a cooperative ~greement with the state or another political subdivision by the terms of which the state or other subdivision is to construct or contract to construct the improvement, it shall not be necessary to comply with subdivisions 1 and 2 of this Section. Subdivision 6. Percentage Payment On Engineer's Estimate. In case the contractor properly performs the work, the Council shall, from month to month before completion of the work, pay him not to exceed 95 percent of the amount already earned under the contract, upon the estimate of the engineer or other competent person selected by the Council, and the contract shall so provide, and shall further agree that when the work ts 95 percent or more completed upon the recommendation of the engineer such portions of the retained price shall be released as the Council determines are not required to be retained to protect the City's interest in satisfactory completion of the contract. Failure to pay any amount due and payable under the terms of the contract within 30 days of a monthly estimate or 90 days after the final estimate of the amount earned shall obligate the City to pay to the contractor simple interest on the past due amount at an annual rate equal to the monthly index of long term United States bond yields for the month prior to the month in which this obligation is incurred plus an additional one percent per annum. Interest shall not be imposed with respect to any amount which a City may legally withhold as a result of breach of contract or other contractual claim or if the delay is caused by the contractor. Subdivision 7. Modification of Contracts. After work has been commenced on an improvement undertaken pursuant to a contract awarded on a unit price basis, the Council may, without advertising for bids, authorize changes in the contract so as to include additional units of work at the same unit price if the cost of the additional work does not exceed 25 percent of the original contract price. Original contract price means that figure determined by multiplying the estimated number of units required by the unit price.