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336 <br /> <br /> Mr. Roush replied that the City's position is that there is a <br /> procedure where MJB Pipeline can do the work and then file a claim <br /> if it determines that the work is outside the scope of the <br /> contract. He stated that the City believes that the additional <br /> work it wants done is necessary to put the line into service <br /> safely. He explained that if the line were put into service now <br /> and repairs need to be done later, the whole line would then have <br /> to be washed and sterilized before people could work in that line. <br /> <br /> Mr. McInerney stated that the repairs would cost MJB Pipeline <br /> another $200,000 over and above the $2 million it has already spent <br /> and that it cannot put that money into the project and then request <br /> a claim. In addition, if the line is unsafe and the City has to <br /> shut the line down and wash it out, the City can put that damage in <br /> the arbitration against MJB Pipeline. He indicated that it is pure <br /> speculation on the City's part that the line will have to be closed <br /> down at a certain point. <br /> <br /> Ms. Mohr inquired whether the only way to get the job <br /> completed is to have the bonding company do it if MJB Pipeline does <br /> not have the financial resources to do the job. <br /> <br /> Mr. Roush replied that if the Council decides to terminate the <br /> contract, the City would seek the bonding company to do the work to <br /> put the line into service. Otherwise, the City would have to pay <br /> for the work to be done since MJB Pipeline apparently does not have <br /> the financial resources to do so. <br /> <br /> It was moved by Mr. Butler, and seconded by Ms. Mohr, to <br /> terminate the contract with MJB Pipeline for the Cross Town <br /> Sanitary Sewer Interceptor, as set forth in the Staff Report. <br /> The roll call vote was as follows: <br /> AYES: Councilmembers Butler, Mohr, Scribner, Tarver and Mayor <br /> Mercer <br /> NOES: None <br /> ABSENT: None <br /> ABSTAIN: None <br /> <br /> 13. REPORTS OF THE CITY ATTORNEY <br /> Item 13a <br /> Petition for Writ of Mandate - Greenbelt Alliance, Sierra Club v. <br /> Alameda County Local Aqency Formation Commission (City of <br /> Pleasanton, Real Party in Interest) (SR 91:269) <br /> <br /> Mr. Tarver indicated that he would not support the defending <br /> against the petition since he did not agree with the City's <br /> original position on the matter. <br /> <br /> - 40 - <br /> 7-16-91 <br /> <br /> <br />