City Council Minutes 2001 01 16 - Laserfiche WebLink

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Louisville City Council Meeting Januar-y 16, 2001 Page 8. right-of-way land acquisition. He noted that in that case, the Northwest Parkway could still open, but only in the event of that sort of contingency would the last sentence "will complete the 96th Street connection as expeditiously as possible" apply. Light noted that the Northwest Parkway must make every effort to complete 96th Street. Hogan stated that the Authority puts the burden on the contractor, and if the work is not finished on time heavy penalties are levied on the contractor. The contractor determines the construction schedule. He noted that the project begins at the east-side at 1-25 and moves toward to the west. He stated that the contractor must be finished with the project by the time the Northwest Parkway opens for toll collection, and that would include the completion of the 96th Street project. Mayer voiced his concern that if for any reason the project is not completed, there would be a violation of the agreement and the whole agreement would be thrown into default. City Attorney Light stated that if the project is not completed in the manner indicated, the City would have the right to withdraw the considerations given in exchange. Hogan stated that if the Northwest Parkway was found to be in breach of an IGA, there would be potential cause for a default under the bonds. Mayer voiced his concern that the City would not be protected if there was a permanent holdup and the Parkway opened. Hogan stated that the City of Louisville has protection in the language in the IGA, "must make every effort to complete the project." If the Parkway is opened and the City challenges that the Authority has not made every effort to complete the project, it would be a major problem with the bondholders. Howard asked Public Work Director Phare what kind of road the City could buy for $12 million dollars. Public Works Director Phare stated that he would like to meet with the Authority and discuss a more detailed analysis on how far the $12 million dollars could go. Phare noted that there is not a specific document at this time. Howard asked Hogan if the City is covered under provisions that, if the contractor does not complete the project on time, the contractors fines would be forwarded to the City. Hogan stated that the issue can be reviewed at the time the contracts are drawn and once it is determined whether the City or the Authority will construct 96th Street. He stated he could not give a firm yes or no answer, but that it could be discussed. Howard asked Councilmen Sisk and Mayer if that arrangement was acceptable.