22.08.24 IGA Option 1 Letter - PO_ 400001584 - OLA_ 33100261 $400 PO # / OLA #: 400001584 / 331002617
Routing #: 22-HA3-XC-00223-ZM0001-M0001
Document Builder Generated
Rev. 12/09/2016
Page 1 of 1
IGA OPTION LETTER
Date State Fiscal Year Option Letter No.
08/24/2022 2023 2
Project Code Original Contract #
22-HA3-XC-00223 C M058-003 (24776)
Vendor Name: TOWN OF AVON
SUBJECT
Option to unilaterally add phasing to include Design, Construction, Environmental, Utilities, ROW incidentals or
Miscellaneous and to update encumbrance amount(s).
REQUIRED PROVISIONS
In accordance with the terms of the original Agreement 22-HA3-XC-00223 between the State of Colorado,
Department of Transportation and TOWN OF AVON, the State hereby exercises the option to add a phase that will
include Design and to encumber funds for the phase based on changes in funding availability and authorization. The
total encumbrance is now increased by $172,880.00. A new Exhibit C-2 is made part of the original Agreement and
replaces Exhibit C-1.
The total encumbrance as a result of this option and all previous options and/or amendments is now $320,000.00, as
referenced in Exhibit C-2. The total budgeted funds to satisfy services/goods ordered under the Agreement remains
the same: $2,500,000.00 as referenced in Exhibit C-2.
The effective date of this option letter is upon approval of the State Controller or delegate.
APPROVALS
State of Colorado:
Jared S. Polis, Governor
_____________________________________________ Date: __________________
By: Stephen Harelson, P.E., Chief Engineer
For: Shoshana M. Lew, Executive Director, Colorado Department of Transportation
ALL CONTRACTS MUST BE APPROVED BY THE STATE CONTROLLER
CRS §24-30-202 requires the State Controller to approve all State Contracts. This Contract is not valid until
signed and dated below by the State Controller or delegate. Contractor is not authorized to begin
performance until such time. If Contractor begins performing prior thereto, the State of Colorado is not
obligated to pay Contractor for such performance or for any goods and/or services provided hereunder.
State Controller
Robert Jaros, CPA, MBA, JD
By: __________________________________
Date: _________________________________
DocuSign Envelope ID: 412D77D6-730A-4CD2-B698-58EB33F64B98
9/6/2022
9/6/2022
State $ LA Work
Exhibit C-2 - Page 1 of 2
EXHIBIT C-2 - FUNDING PROVISIONS
Town of Avon Project # C M058-003 (24776)
A. Cost of Work Estimate
The Local Agency has estimated the total cost the Work to be $2,500,000.00, which is to be funded as
follows: 1. FUNDING C M058-003 (24776)
a. State Funds
(80% of RMS Award) $2,000,000.00
b. Local Agency Funds
(20% of RMS Award) $500,000.00
____________________________________________________________________________________
TOTAL FUNDS ALL SOURCES $2,500,000.00
____________________________________________________________________________________
2. ESTIMATED PAYMENT TO LOCAL AGENCY
a. State Funds Budgeted $2,000,000.00
b. Less Estimated State Share of CDOT-Incurred Costs $0.00
____________________________________________________________________________________
TOTAL ESTIMATED PAYMENT TO LOCAL AGENCY 80% $2,000,000.00
TOTAL ESTIMATED FUNDING BY LOCAL AGENCY 20% $500,000.00
TOTAL PROJECT ESTIMATED FUNDING 100.00% $2,500,000.00
____________________________________________________________________________________
3. FOR CDOT ENCUMBRANCE PURPOSES
C M058-003 (24776)
a. Total Encumbrance Amount (Only State funds are encumbered) $2,000,000.00
b. Less ROW Acquisition 3111 and/or ROW Relocation 3109 $0.00
____________________________________________________________________________________
NET TO BE ENCUMBERED BY CDOT IS AS FOLLOWS $ 2,000,000.00
____________________________________________________________________________________
__________________________________________________________________________________
Note: Only $320,000.00 in Design funds are currently available. Additional Design and Construction
funds will become available after execution of an Option letter (Exhibit B) or formal Amendment.
____________________________________________________________________________________
WBS Element 24776.10.30 Performance Period Start*/End Date Design 3020 $320,000.00
N/A – N/A
WBS Element 24776.20.10 Performance Period Start*/End Date Const. 3301 $0.00
N/A – N/A
____________________________________________________________________________________
*For C M058-003 (24776), the Local Agency should not begin work until both of the following are in place:
1) the execution of the document encumbering funds for the respective phase; and 2) Local Agency receipt
of the official Notice to Proceed. Any work performed before these two (2) milestones are achieved will not
be reimbursable.
B. Funding Ratios
Project C M058-003 (24776)
The funding ratio for the State funds for this Work is 80% State funds to 20% Local Agency funds, and
this ratio applies only to the $2,500,000.00 that is eligible for State funding. All other costs are borne by
the Local Agency at 100%. If the total cost of performance of the Work exceeds $2,500,000.00, and
additional State funds are available for the Work, the Local Agency shall pay 20% of all such costs eligible
for State funding and 100% of all other costs. If additional State funds are not available, the Local Agency
shall pay all such excess costs. If the total cost of performance of the Work is less than $2,500,000.00,
then the amounts of Local Agency and State funds will be decreased in accordance with the funding ratio
described herein. This applies to the entire scope of Work.
C. Maximum Amount Payable
Project C M058-003 (24776)
The maximum amount payable to the Local Agency under this Agreement shall be $2,000,000.00. For
DocuSign Envelope ID: 412D77D6-730A-4CD2-B698-58EB33F64B98
Exhibit C-2 - Page 2 of 2
CDOT accounting purposes, the State funds of $2,000,000.00 will be encumbered, but the Local Agency
funds of $500,000.00 will NOT be encumbered. The total budget of this project is $2,500,000.00, unless
this amount is increased by an executed amendment before any increased cost is incurred. The total cost
of the Work is the best estimate available, based on the design data as approved at the time of execution
of this Agreement, and any cost is subject to revisions agreed to by the parties prior to bid and award. The
maximum amount payable will be reduced without amendment when the actual amount of the Local
Agency’s awarded Agreement is less than the budgeted total of the State funds and the Local Agency funds.
The maximum amount payable will be reduced through the execution of an Option Letter as described in
Section 6 of this contract. This applies to the entire scope of Work.
DocuSign Envelope ID: 412D77D6-730A-4CD2-B698-58EB33F64B98