CLEARWATER UNDERGROUNDING OF ELECTRIC UTILITIES PROJECT INTERLOCAL AGREEMENTClearwater Undergrounding of Electric Utilities Project Interlocal Agreement
THIS Clearwater Undergrounding of Electric Utilities Project INTERLOCAL
AGREEMENT ("Agreement") is made and entered into this 004h day of UQYL_,1'l
2025, by and between the CITY OF CLEARWATER, a political subdivision of the state of Florida (the
"City") and the PINELLAS SUNCOAST TRANSIT AUTHORITY, an independent special district
created by Chapter 2000-424, Laws of Florida, as amended, ("PSTA") (collectively, the "Parties").
RECITALS
WHEREAS, pursuant to Chapter 2000-424, Laws of Florida, as amended, PSTA has the
authority to plan, develop, improve, construct, maintain, operate, and finance a public transit system,
as that term is defined therein; and
WHEREAS, PSTA was awarded funding from the FY22 RAISE Grant from USDOT; and
WHEREAS, PSTA is agreeable to contribute to the undergrounding of electric utilities in the
City of Clearwater as part of the redevelopment of certain properties owned by the Parties ("the
Project"); and
WHEREAS, the City of Clearwater has obtained a binding cost estimate for the
undergrounding of electric utilities by Duke Energy in Project area (Exhibit A); and
WHEREAS, pursuant to section 163.01, Florida Statutes, counties, cities, public authorities,
state agencies, and other public agencies are authorized to enter into interlocal agreements among and
between themselves in order to make the most efficient use of their powers and enabling them to
cooperate with other governmental entities; and
WHEREAS, the Parties desire to identify the responsibilities of PSTA and the City,
respectively, for the portions of the Project located within City limits, including but not limited to
design, construction, maintenance, and operation of the Project; and
NOW, THEREFORE, for and in consideration of the foregoing recitals (all of which are
adopted as an integral part of this Agreement), the mutual promises, covenants, and conditions herein
contained and other good and valuable consideration, the receipt and adequacy of which are
acknowledged, the City and PSTA agree as follows:
1. PURPOSE
The Parties desire to enter into this Agreement in order to identify the responsibilities of PSTA
and the City, respectively, for the Project within City limits, including but not limited to design,
construction, maintenance, and operation of the Project.
2. DESCRIPTION OF THE PROJECT
The Project includes the relocation and replacement of certain existing overhead distribution
lines and related facilities with new underground distribution lines and related facilities
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("Infrastructure") in the area of South Myrtle Avenue. It is understood that the Infrastructure will
lie within the City limits and will extend from Cleveland Street to Court Street (4 blocks).
3. PROJECT FUNDING
The City shall make payment to Duke Energy to complete the Project pursuant to a separate
agreement between Duke Energy and the City. PSTA shall reimburse the City according to the
following:
The total cost of the Project is $671,431.56. PSTA shall contribute 25% or $167,858.00 of the
total cost of the Project, with the City being responsible for the remaining 75% or $503,573.56
of the total cost of the Project.
PSTA shall make its contribution to the City within thirty (30) days of the City executing a
binding agreement with Duke Energy to complete the Project. The City shall provide PSTA an
invoice upon execution of its binding agreement with Duke Energy to complete the Project. These
funding estimates are based on the Binding Cost Estimate provided to the City by Duke Energy on
February 15, 2025, attached to this Agreement as Exhibit A. If the Project's total cost provided in
the agreement between the City and Duke Energy ("Duke Agreement") differs from the binding
cost estimate, then the Parties shall amend this Agreement to reflect the final, actual cost of the
Project according to the percentage of responsibility described above, provided however, that
either Party may terminate this Agreement if it determines to not proceed with the Project based
on the Project's total cost provided in the Duke Agreement. If either Party terminates this
Agreement for any reason, then the Parties shall share whatever expenses incurred up to the point
of termination based on the percentages described above, and any remaining portion of PSTA's
deposit to the City will be reimbursed to PSTA within thirty (30) days of termination of this
Agreement.
4. PROJECT MANAGEMENT
The City shall coordinate with Duke Energy to enter into the Duke Agreement and any
other necessary agreements, and to ensure that the Project is completed in a timely manner.
The City shall keep PSTA notified of the progress of the Project throughout its duration
and until completion.
5. CONSTRUCTION
The Parties recognize that Duke Energy is responsible for design, construction and
maintenance of the Infrastructure, in compliance with the applicable rules and regulations.
Neither Party will be responsible for design, construction or maintenance of the
underground electrical distribution lines and related facilities.
6. NO LIABILITY
a. The City and PSTA shall be responsible for their respective officers', officials' and
employees' acts of negligence when such officers, officials and employees are acting within
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the scope of their employment and shall only be liable for any damages resulting from said
negligence to the extent provided by section 768.28, Florida Statues and under the doctrine
of sovereign immunity. Nothing herein is intended to serve as a waiver of any immunity
from liability that the City or PSTA may be entitled to under the doctrine of sovereign
immunity or section 768.28, Florida Statutes. Nothing herein shall be construed as consent
by the City or PSTA to be sued by third parties in any matter arising out of this Agreement.
This paragraph shall survive termination of this Agreement.
7. TERMINATION
a. In the event funds to finance the Project become unavailable, a Party may terminate its
participation by providing written notification to the other Party, pursuant to Section 12 of this
Agreement. Each Party shall endeavor, whenever possible and consistent with its legal
obligations and principles of prudent management, to provide thirty (30) days' written notice
of termination for lack of funds.
b. Neither party may terminate this Agreement either for convenience or cause, except as
provided in paragraphs 3.c or 6.a above, or upon mutual agreement of the Parties. The Parties'
sole remedy for breach of this Agreement shall be to seek specific performance of the other
Party's obligations.
c. If the City terminates this Agreement after PSTA has paid its contribution pursuant to
Paragraph 3.c above and prior to completion of the work across PSTA's property, the City
shall refund PSTA within thirty (30) days of termination, the remaining amount of PSTA's
contribution for the portion of the work across PSTA's property that is not completed.
d. If PSTA and Duke for any reason do not enter into an indemnity agreement in a form approved
by PSTA in its sole discretion, PSTA may terminate this Agreement and receive a refund of
its deposit. In the event, PSTA terminates under this provision, the City shall proceed to reduce
the Scope of the Project to eliminate PSTA's portion to the extent it is legally able to do so.
The City may offset PSTA's deposit by an amount up to 25% of the costs incurred at the time
of PSTA's termination and shall provide PSTA an itemized statement of costs incurred along
with the remaining deposit due within sixty (60) days.
8. FILING AND EFFECTIVE DATE
PSTA shall be responsible for filing this Agreement with the Clerk of the Circuit Court of
Pinellas County and this Agreement shall be effective on the date of such filing ("Effective Date").
This Agreement shall commence on the Effective Date and the provisions of the Agreement
applicable to the design and construction of the Infrastructure shall terminate upon completion of
construction of the Infrastructure. However, all other terms and conditions of this Agreement,
including but not limited to those related to the maintenance responsibilities for the Infrastructure, and
any other provisions specifically noted as surviving termination of this Agreement shall continue in
effect.
9. AMENDMENTS
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This Agreement may be modified or amended only by a document in writing executed by the
City and PSTA with the same formality of this Agreement.
10. GOVERNING LAW
The laws of the State of Florida shall govern this Agreement.
11. RELATIONSHIP OF THE PARTIES
Nothing contained herein shall be deemed or construed by the Parties, nor by any third party,
as creating the relationship of principal and agent or landlord and tenant or of partnership or of joint
venture between the City and PSTA.
12. SEVERABILITY
Should any section or portion of any section of this Agreement be rendered void, invalid or
unenforceable by any court of law for any reason, such determination shall not render void, invalid or
unenforceable any other section or any part of any other section of this Agreement.
13. NOTICES
Unless and to the extent otherwise provided in this Agreement, all notices, demands, requests
for approvals and other communications which are required to be given by one Party to another shall
be in writing and shall be deemed given and delivered on the date delivered in person, upon the
expiration of five (5) days following the date mailed by registered or certified mail, postage prepaid,
return receipt requested, to the address provided below, or upon the date delivered by overnight courier
(signature required) to the address provided below.
If to PSTA:
Chief Executive Officer
Pinellas Suncoast Transit Authority
3201 Scherer Drive
St. Petersburg, Florida 33716
Fax: (727) 540-1913
With required copy to:
Alan S. Zimmet, General Counsel
Bryant Miller Olive, P.A.
400 Tampa St. Suite 1600
Tampa, FL 33602
Fax: (813) 223-2705
14. FORCE MAJEURE
If to the City:
Director, Public Works
City of Clearwater
100 S. Myrtle Ave.
Clearwater, FL 33755
Fax: (727)
Neither Party shall be liable for its non-performance or delayed performance under this
Agreement if caused by force majeure. Force majeure shall be defined as a fire, flood, act of God, war,
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terrorism, riot, national emergency, sabotage, civil disturbance, strike, labor dispute, governmental act,
law, ordinance, rule or regulation, or event which are not the fault or are beyond the control of the
Party.
15. NON APPROPRIATION
The obligations of the City and PSTA as to any funding required pursuant to this Agreement
shall be limited to an obligation in any given year to budget, appropriate and pay from legally available
funds, after monies for essential City or PSTA services have been budgeted and appropriated, sufficient
monies for the funding that is required during that year. Notwithstanding the foregoing, the City or
PSTA shall not be prohibited from pledging any legally available non -ad valorem revenues for any
obligations heretofore or hereafter incurred, which pledge shall be prior and superior to any obligation
of the City or PSTA pursuant to this Agreement.
IN WITNESS WHEREOF, the Parties hereto have executed this Agreement as of the day and
year first written above.
CITY OF CLEARWATER, FLORIDA
By:
Appro s to Form:
Jerrod Sipson, Senior Assistant City Attorney
ATTEST:
lx
Rosemarie Call,
PINELLAS SUNCOAST TRANSIT AUTHORITY ATTEST:
By:
Chief Executive Officer
Approved as to Form:
Approved
General Counsel Fein 252025
Alan S. Zimmet, General Counsel
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ty
Rachael Cappolla, Executive Assistant
DUKE
ENERGY®
February 15, 2025
Tara Kivett
City of Clearwater
100 S Myrtle Ave
Clearwater, FL 33756
4121 St Lawrence Dr
New Port Richey, FL 34653
o: 727.372.5164
miriam.tucker@duke-energy.com
RE: Binding cost estimate to underground S Myrtle Ave — New City Hall location
Dear Ms. Kivett:
Thank you for submitting your request to Duke Energy. The purpose of this proposal is to provide a binding
cost estimate for the area you have identified. The effective date of this proposal is February 15, 2025. This
cost estimate is based on current labor and material rates and is valid for 180 days (August 14, 2025).
Requests beyond that period will require review and adjustments as needed.
Project Scope
Underground the existing Duke Energy electrical distribution facilities along S Myrtle Ave. Duke Energy to
perform the work associated with this undergrounding as outlined in the forthcoming agreement.
Binding Cost Estimate
The binding cost estimates is:
• S Myrtle Ave — Between Cleveland Ave and Court St: $ 671,431.56
Proposal Assumptions
Below is a non-inclusive list of assumptions used in calculating this estimate:
• All underground facilities to be located in private property easements, not in the right of way. Easements
to be obtained by customer at no cost to Duke Energy.
• Does not include cost to underground joint users, such as telephone and cable television.
• Does not include cost for restoration of any street, right of way, easement, private property or pavement
reconstruction that may be necessary as a result of the construction. This cost only includes backfilling
the affected area to safe condition.
• Does not include costs associated with new streetlights.
• Does not include cost to replace existing meter can to accept new underground service.
• Does not include any survey work that may be required to identify right of way and easements.
• Duke Energy's design does not guarantee construction feasibility in the field until a constructability
review is completed.
DUKE
ENERGY
Next Steps
Below is a high-level list of next steps if you wish to proceed with this project.
4121 St Lawrence Dr
New Port Richey, FL 34653
o: 727.372.5164
miriam.tucker@duke-energy.com
Enclosed is a breakdown of the facility charges per the Duke Energy Tariff for your reference.
If you would like to proceed with this project, please contact me at the email address above. We appreciate
your business and look forward to providing you with excellent customer service.
Sincerely,
Avior raeLp
Miriam Tucker
Project Manager
Power Grid Operations
Enclosure
'"` �4w,ia wr.^iwr
. , ^ttwr{9 " "+r;P by ,q�tic
Gather cost estimates from all other joint
utilities (Telephone, cable television, etc.)
Applicant
rs
Obtain easements to install facilities and
locate equipment
Applicant with support from Duke Energy
Coordinate customer obligations and
possible outages
Applicant with support from Duke Energy
Sign and approve agreements required by
Duke Energy. Provide payment to Duke
Energy prior to construction start.
Applicant
Schedule and complete conversion
Duke Energy / Other utilities
Enclosed is a breakdown of the facility charges per the Duke Energy Tariff for your reference.
If you would like to proceed with this project, please contact me at the email address above. We appreciate
your business and look forward to providing you with excellent customer service.
Sincerely,
Avior raeLp
Miriam Tucker
Project Manager
Power Grid Operations
Enclosure
DUKE
ENERGY.
Facility Charges per Tariff Section 12.05(2)
Project Name
City of Clearwater - City Hall
Location
Myrtle Ave - Extended scope - Cleveland to Court
Substation
Clearwater
Date
2/15/2025
Tariff Charges
a) Remaining Net Book Value
Of existing overhead facilities to be removed*
$ -
$ -
b) Removal Cost
Of existing overhead facilities*
$
c) Salvage Value
Of existing overhead facilities*
d) Construction Cost of Underground
Estimated construction cost of underground
customers meters or point of delivery for
facilities including underground service laterals to residential
general service customers
$ 1,110,915.57
$ (405,732.11)
e) Construction Cost of Overhead
Estimated construction cost of overhead
facilities Including overhead service drops to customers' meters
$ (1,756.00)
f) Cost Estimate Fee
Qualifying binding cost estimate fee
$ (31,995.90)
g) Lifecycle Operations Costs
The net present value of the lifecycle operational costs differential including storm restoration
Total Charges
$ 671,431.56
Total credits applied to project: $ (439,484.01)
* In calculating the Applicant's Facility Charge, elements a, b, and c of the Facility Charge formula above are to
be excluded from Facility Charge due from an Applicant who submits an application providing a binding
notification that the Applicant intends to convert existing non -hardened overhead facilities to underground
facilities.