Resolution 6789 - Laserfiche WebLink

Resolution No. 6789 e;. A RESOLUTION RELATING TO TOUCHSTONE HOTEL PROJECT "` WHEREAS,the City Council finds and concludes: A. On January 18, 2013, the City transferred the Allen-Buick property to Touchstone for the Marriott hotel project. This was in accordance with City Council resolution 6561, passed on November 14, 2012. Under the transfer agreements, as amended,Touchstone has a deadline of October 31, 2014, to close project financing and begin construction. B. In connection with financing the project,Touchstone's lender has requested certain changes to the transfer agreements. In addition,there are some parts of the transfer agreements that need to be updated in light of current construction plans, particularly with respect to excavation and contaminated soils. One purpose of this resolution is to authorize the Mayor to execute amendments to the transfer agreements making these changes. These changes will allow Touchstone to close its financing and begin construction on or before November 14, 2014. C. Under the transfer agreements,the City has certain obligations for disposal and replacement of contaminated soils and unsuitable fill from the Allen-Buick property. In light of the nature of the contaminated soil and unsuitable fill,the fact that the Allen-Buick property is private property, and the fact that there will be tight timelines and coordination with the private contractor constructing the hotel,the City cannot use its usual procurement processes for such disposal and replacement. A second purpose of this amendment is to waive competitive bidding requirements,to the extent such requirements apply,for the disposal and replacement. NOW,THEREFORE, IT IS RESOLVED BY THE CITY COUNCIL OF THE CITY OF EVERETT THAT: 1. Authorization. The Mayor is authorized to execute the Second Amendment to Option Agreement,the Second Amendment to Project Construction Covenant,the Subordination Agreement, the First Amendment to Parking Easement in substantially the form provided, and is further authorized to execute all other documents and instruments, in the form as approved by the Office of the City Attorney, necessary for Touchstone to close its financing and commence construction of the hotel. 2. Sole Source. In light of the nature of the contaminated soil and the unsuitable soil,the fact that the Allen-Buick property is private property,and the fact that there will be tight timelines and coordination with the private contractor constructing the hotel,Touchstone's project contractor and the City staff agree that CEMEX is the only practical source for satisfying the City's disposal and replacement obligations. Accordingly, the City hereby waives, to the extent such requirements apply,competitive bidding requirements and authorizes purchase of soil disposal and replacement from CEMEX. In event that City staff later determines that CEMEX should not or cannot be used,the Mayor shall take whatever action is necessary to satisfy the City's obligations and not delay the project, and then City staff will return to City Council with a follow-up resolution, if necessary. 1