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HomeMy WebLinkAboutResolution 1992 - 0174RESOLUTION NO.92-174 APPROVING SETTLEMENT AGREEMENT RE DISPUTES OVER CENTRAL POWER GENERATION SYSTEM AT TREATMENT PLANT NO.2.JOB NO.J-19-2,AND PURCHASE OF SPARK-IGNITED ENGINES FOR USE IN CENTRAL POWER GENERATION SYSTEMS,JOB NO.J-19A A JOINT RESOLUTION OF THE BOARDS OF DIRECTORS OF COUNTY SANITATION DISTRICTS NOS.1,2,3,5,6,7, 11,13 AND 14 OF ORANGE COUNTY,CALIFORNIA, APPROVING SETTLEMENT AGREEMENT WITH COOPER ENERGY SERVICES AND BRINDERSON CORPORATION REGARDING CLAIMS OF BREACH OF CONTRACTS RE CENTRAL POWER GENERATION SYSTEM AT TREATMENT PLANT NO.2,JOB NO.J-19-2,AND PURCHASE OF SPARK—IGNITED ENGINES FOR USE IN CENTRAL POWER GENERATION SYSTEMS,JOB NO.J-19A WHEREAS,the Districts and C-B Reciprocating Energy Services Group (“Cooper”)entered into an Agreement effective December 31, 1987,wherein Cooper is to manufacture eight internal combustion reciprocating engines for use by the Districts in their Central Generation Projects at Treatment Plants Nos.1 and 2;and, WHEREAS,the Districts and Brinderson Corporation (“Brinderson”)entered into an Agreement effective March 19, 1990,wherein Brinderson was to construOt facilities and install five of the Cooper-built engines in said facilities;and, WHEREAS,during the course of the installation of said engines and initial operations,it was determined that said engines contained various contaminants resulting in damage and probable additional future damage to said engines;and, WHEREAS,Cooper,Brinderson and Districts failed to have a full and complete agreement as to the cause of the contaminants, the extent of the damage and the responsibility for any repair and reinediation of said engines;and, WHEREAS,Cooper,Brinderson and Districts desire to get the engines inspected,repaired and restored to full operating condition in accordance with the plans and specifications,so as to allow their full utilization by Districts;and, WHEREAS,the parties have proposed a Settlement Agreement to provide for procedures and protocols relating to the inspection, repair and restoration of said engines,and a final resolution on issues of determining cause and responsibility for any damages that result from the contaminants;and, WHEREAS,Cooper and Brinderson have approved said Agreement, and the Management and General Counsel of Districts are recommending approval of said Agreement. NOW,THEREFORE,the Boards of Directors of County Sanitation Districts Nos.1,2,3,5,6,7,11,13 and 14 of Orange County, California, DO HEREBY RESOLVE,DETERMINE AND ORDER: Section 1 That certain Agreement dated November 18,1992, calling for the settlement of issues of dispute with an ultimate agreement to have remaining disagreements resolved by an arbitration procedure is hereby approved. Section 2 The General Manager and Board Secretary are authorized to execute the Agreement on behalf of the Districts, in a final form approved by the Districts’General Counsel. PASSED AND ADOPTED at an adjourned regular meeting held November 18,1992. STATE OF CALIFORNIA) )SS. COUNTY OF ORANGE ) I,PENNY KYLE,Assistant Secretary of the Boards of Directors of County Sanitation Districts Nos.1,2,3,5,6,7,11,13 and 14 of Orange County, California,do hereby certify that the foregoing Resolution No.92—174 was passed and adopted at an adjourned regular meeting of said Boards on the 18th day of November,1992,by the following vote,to wit: AYES:Fred Barrera,Buck Catlin,John Collins,John C.Cox,Jr., Norman E.Culver,Barry Denes,James V.Evans,James H.Flora, Don R.Griffin,John M.Gulllxson,Barry Harnond,Evelyn Hart, Frank Laszlo,William D.Mahoney,Eva G.Miner,Carrey J. Nelson,Glenn Parker,Richard Partin,Irv Pickler, Ruthelyn Plumer,Leslie A.Pontious,Charles E.Puckett, Don R.Roth,Thomas R.Saltarelli,Sal A.Sapien,Jim Silva, Roger R.Stanton,Peer A.Swan,Charles E.Sylvia,James A. Wahner,Henry W.Wedaa,Grace H.Winchell,George L.Zlaket NOES:None ABSENT:Arthur G.Newton,Miguel Pulido,Robert Richardson IN WITNESS WHEREOF,I have hereunto set my hand and affixed the official seal of County Sanitation District No.1 on behalf of itself and Districts Nos.2,3,5,6,7,11,13 and 14 of Orange County,California,this 18th day of November,1992. ny Boards of Di County Sanitation Districts Nos.1,2,3,5, 6,7.~11,13 and 14 of Orange County, California