39-12 R - Waiving Liquidated Damages for Water Works Projectrj
On this the IV day of July 19">9, the Town ;;Ommission of
the Town of Prosy r, Texas, convened in special session and
among other business transacted was the introduction and passrge
of the following resolution by unanimous vote of ull members of
the Commission present, a quorum being present.
RE3OLUTIUN
YviL::R!,,1LS, the Town of Prosper lies entered Into contract
with the Taylor Iron "Orks and Supply Company for the construction
of a 509000 gallon elevatec steel tank and toner under PGA
Docket No. TEX-1370-F, and
MIMEAS, work order on this contract was issued on ,eptembcr
20, 1938, and provided that the work shall be completed not
later then December 21, 1938, and
`iHERZ;LS, the work was actually completed on January 10,
thus exceeding the completion time by 20 days, and
".,]U.EAS, such delay in completing, the contract is due to
circumstances beyond the control of the contractor, and
'aHERF.A5, it is necessary that the P,�A be requested to
approve an extension of the completion date of this contract, and
waive the liquidated damages for overtime.
Ti OY+, THER':AFORE, Bh: IT R:'SOLVED by the Town Commission of
t'rosoer, Texas:
That the following information be submitted to the ''twA in
requesting an extension of the completion time on this contract
from December 21 to January 15, and the waiving of liquidated
damages for overtime:
a. The contractor is the Saylor Iron Forks &. Supply Company.
b. The contract for construction was executed on September
5, 1938.
C. The Regional Director approved the contract documents
on September 7, 1938.
d. .,ork on this contract was started on ,eptember 23, 1938.
e. The time of completion stated in the contract 1s 90
calendar days, placing the completion date as of Deeembc:r 21, 1938.
f. This request is for retroactive approval.
g. This work is now fully completed. This change is not
expected to affect any of the other contractors on the project.
M
cost. h. This change will not affect the 7 Stems in the project
I. This change will. not affect the surety's obligation under
the bond.
J. Twenty-five additional calendar days are requested,
extending the completion date from December 21, 1938, to
January 15, 1939.
k. The contract provides for liquidated damages of ,15.00
per day for exceeding the 90 calendar days' working time. The
Owner proposes to waive this provision, to the extent of the 25
additional days requested.
1. The reasons for the extenslon of time as requested herein
are as follows;
After the work order was issued on -eptember 20, providing
that working time shall begin on ,eptembcr 23, It was found that
the City had no funds with which to pay contractors' estimates.
It was further found that money would not be available for the
payment of estimates until the advance grant was released by the
P'WA. The P'ttA ruled that the advance grant would not be released
until the Attorney General had approved the Revenue Bond Issue
of the City. Die to many legal difficulties involved in this
band issue, such art approval was not secured until the first week
in October. The advance grant funds were not received by the
City until October 21, 1938.
As soon as the advance grant funds were received, the
contractor was notified to begin construction. Actual construction
work was started on Iiovember 20, which was as soon as the contractor
could fabricate tho steel and asaemble the materials on the ground,
after receiving notice that the City had funds available with
Which to pay estimates. The work being completed on January 10,
1939 the contractor actually used only 42 calendar days for
completing the contract instead of the 90 calendar days which
he was entitled to in his contract.
Inasmuch as the contractor started work wren the City
had funds available with which to pay estimates, and thereafter
carried on his work on the contract with diligence and dispatch,
the City is w1111nC to waive the liquidated damages for the addi-
tional tlrre required for completing this contract. The City there-
fore requests that the B'aA concur in the extension of the time for
completing this contract from Ddcember 21, 1938, to January 15,
1939, and the waiving of the liquidated damages for said overtime
period between December 21, 1936, and January 15, 1939.
^ASS M AND AP"PROVLD
this /4 day of July, 1939.
h;
VMS
MULL)