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HomeMy WebLinkAbout9B - Prior Lake Spring Lake Watershed District Grant Funding MEETING DATE: AGENDA #: PREPARED BY: AGENDA ITEM: DISCUSSION: JANUARY 19, 2010 9B ROSS BINTNER, WATER RESOURCES ENGINEER CONSIDER APPROVAL OF A RESOLUTION ACCEPTING PRIOR LAKE SPRING LAKE WATERSHED DISTRICT GRANT FUNDING FOR AN IRON ENHANCED POND SAND FILTER AND AUTHORIZING A CHANGE ORDER TO CITY PROJECT #09-013 Introduction The purpose of this agenda item is to request that the City Council authorize receipt of a grant from the Prior Lake-Spring Lake Watershed and authorizing a change order to City Project #09-013. Historv Last year the City Council awarded a bid to complete six of 135 storm water ponds. The work is presently underway. Since the bid was awarded before the grant was approved, a change order is necessary to the original contract. At its January 4, 2010 meeting the City Council directed staff to apply for grants funding to local watershed organizations. Staff prepared the grant as directed and presented it to the Prior Lake Spring Lake Watershed District (PLSLWD) at their January 12 meeting. Staff has also prepared and submitted a grant application for the Scott Watershed Management Organization (SWMO). The Council may recall that these grants were intended to fund materials for iron enhanced sand filters in two of the six ponds scheduled for maintenance to assess whether this approach would improve pond treatment effectiveness. The costs associated with the iron enhanced sand filters are not part of the original contract. A change order would be needed to proceed with their installation. Current Circumstances The staff is suggesting two alternative approaches for Council consideration: Ootion 1 The Prior Lake-Spring Lake Watershed District has approved the City and University of Minnesota grant request for $20,185. The bulk of the grant dollars go towards field analysis, testing, and professional services associated with monitoring the system-all of which will be the responsibility of the University. The remaining balance of the grant of $1777.50 goes towards iron enhanced sand filter construction for one pond. A second joint grant request of $20,185.00 has been submitted to the SWMO but will not be considered until February. While we expect the second grant to be approved, there is always the risk it may not. The risk to the City for Option 1 is that material will be purchased or construction undertaken and the SWMO does not approve the grant. The maximum exposure is $1,777.50 in iron material purchased 'a'WCfi~~fR!tl>l~f-e6rnd be expended but not studied. The Phone 952.447.9800 ./ iFax952.447.4245 ISSUES: FINANCIAL IMPACT: improvement would still provide benefits to the extent the practice is proven successful. Total cost to the City (net of grant funding from PLSLWD and SWMO would be $6,000.00. If SWMO does not approve the grant, the total cost to the City would be $7,777.50. Proceeding with Option #1 would result in two iron sand filters being constructed. It also assumes that the City would receive grant funding of $1,777.50 for PLSLWD and $1,777.50 from SWMO. Ootion 2: If it is the desire of the City Council to not risk constructing a second iron enhanced sand filter in anticipation of the Scott WMO grant, the project could be immediately downscaled to design, construct and study the practice in only the PLSLWD. Staff would order material and design changes for only one of the ponds and would retract a grant application to the Scott WMO. Total cost to the City (net of grant funding from PLSLWD) would be $5,272.50. Conclusion The City Council should determine which option it wishes to direct the staff to pursue. Normally the staff would not ask the City Council to act in anticipation of grant funds. We are doing so here for various reasons: · The amount of money at risk is reasonably modest at $1,777.50. · Funds are available in the Water Quality Fund if the Scott WMO does not approve the grant. · It is desirable to have demonstration ponds in both watersheds to enhance our chances for future grants from each. · We are reasonably confident that the Scott MWO will approve the entire grant amount. · The timing is such that the contractor cannot wait to undertake the work in February. Project costs under the two options are estimated as follows: Item Cosl O~~()!l 1 Cost Ootion 2_ Iron filings $3,555.00 $2,550.00* I Drain tile $1,800.00 $900.00 I Geotextile $1,200.00 $600.00 I Labor $3,000.00 $3,000.00 I SUBTOTAL $9,555.00 $7,050.00 I PLSLWD Grant ($1,777.50) ($1,777.50) I TOTAL $7,777.50 $5,272.50 I Possible WMO Grant ($1,777.50) $0 I TOTAL PAID BY CITY $6,000.00 $5,272.50 *Due to the bulk nature of the iron available the savings are not 50% of the cost of option No.1. The full grant requests reimbursement of $3,555.00 for the purchase of iron, or $1,777.50 from each watershed. The net cost to the City with one watershed approving the grant is $7,777.50 and $6,000.00 with two. If the council chooses option 2, a partial grant application, the total cost would be $5,272.50. Additional project costs under either option will be paid from the Water Quality 2 Fund (602-49420-530) for Water Quality improvements. The 2010 Water Quality Budget includes $15,000 for this type of grant opportunity and related improvements. The Water Quality Budget is funded by the bi-monthly storm water fee. ALTERNATIVES: 1. Option 1: Adopt a resolution accepting grant funding and authorize a change order to City Project 09-013 and additional project costs not to exceed $9,555.00. 2. Option 2: Adopt a resolution accepting grant funding and authorize a change order to City Project 09-013 and additional project costs not to exceed $7,050.00. 3. Table this item for a specific reason. 4. Deny this agenda item for a specific reason and provide staff with direction. RECOMMENDED Alternative #1 MOTION: " Frank Boyles, 3 A RESOLUTION ACCEPTING PRIOR LAKE SPRING LAKE WATERSHED DISTRICT GRANT FUNDING FOR AN IRON ENHANCED POND SAND FILTER AND AUTHORIZING A CHANGE ORDER TO CITY PROJECT #09-013 Motion By: Second By: WHEREAS, MN Statute 465.03 requires that cities accept donations for the benefit of its citizens in accordance with the terms prescribed by the donor; and WHEREAS, The City of Prior Lake will construct an innovative iron enhanced sand filtration system and assist the University of Minnesota as it studies and tests the efficiency of the new system ; and WHEREAS, The 2009 Water Quality Pond Maintenance Project (City Project #09-013) includes the creation of two sand benches suitable for this practice; and WHEREAS, The Prior Lake Spring Lake Watershed District has approved innovative water management grant funding for this project totaling 50% of eligible expenses of $1,777.50, and; WHEREAS, The Scott Watershed Management Organization is consioering, but has not acted upon an identical grant amount; and WHEREAS, The City has applied for and expects to receive a similar grant in the amount of $1,777.50 from the Scott County Watershed Management Organization; and WHEREAS, The creation of the iron enhanced sand filtration system meets the goals of the City of Prior Lake Local Surface Water Management Plan, Scott WMO Comprehensive Water Resource Plan, and the 2030 Vision and Strategic Plan, and; WHEREAS, Additional expenses related to the grant include purchase of iron filings, additional drain tile pipe, geotextile fabric, added labor costs for design change, and staff time. NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA as follows: 1. The recitals set forth above are incorporated herein. 2. The City of Prior Lake accepts grant funding from the Prior Lake Spring Lake Watershed District in the amount of $1,777.50 to be deposited in the Water Quality Fund (602-33633). 3. The City of Prior Lake accepts funding from Scott Watershed Management Organization when approved and will deposit the funds in the Water Quality Fund (602-33533). 4. The Council authorizes a design change and change order to Water Quality Pond Maintenance Project #09-013 in the amount of $9,555.00 including authorization for issuance of a check in the amount not to exceed $3,555.00 for iron filings to be issued on January 20, 2010. www.cityofpriorlake.com Phone 952.447.9800 / Fax 952.447.4245 PASSED AND ADOPTED THIS 19th DAY OF JANUARY, 2010. YES I Myser I Erickson I Hedberg I Keeney I Millar Myser Erickson Hedberg Keeney Millar Frank Boyles, City Manager R:\Council\2010 Agenda Reports\01 1910\100119 Iron Sand Filter Grant Accept Option No. 1.doc NO OPTION 2 RESOLUTION 10-xxx A RESOLUTION ACCEPTING PRIOR LAKE SPRING LAKE WATERSHED DISTRICT GRANT FUNDING FOR AN IRON ENHANCED POND SAND FILTER AND AUTHORIZING A CHANGE ORDER TO CITY PROJECT #09-013 Motion By: Second By: WHEREAS, MN Statute 465.03 requires that cities accept donations for the benefit of its citizens in accordance with the terms prescribed by the donor; and WHEREAS, The City of Prior Lake will construct an innovative iron enhance sand filtration system and assist the University of Minnesota as it studies and tests the efficiency of the new system ; and WHEREAS, The 2009 Water Quality Pond Maintenance Project (City Project #09-013) includes the creation of two sand benches suitable for this practice; and WHEREAS, The Prior Lake Spring Lake Watershed District has approved innovative water management grant funding for this project totaling 50% of eligible expenses of $1,777.50, and; WHEREAS, The creation of the iron enhanced sand filtration system meets the goals of the City of Prior Lake Local Surface Water Management Plan, Scott WMO Comprehensive Water Resource Plan, and the 2030 Vision and Strategic Plan, and; WHEREAS, Additional expenses related to the grant include purchase of iron filings, additional drain tile pipe, geotextile fabric, added labor costs for design change, and staff time. NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA as follows: 1. The recitals set forth above are incorporated herein. 2. The City of Prior Lake accepts grant funding from the Prior Lake Spring Lake Watershed District in the amount of $1,777.50 to be deposited in Water Quality Fund account (602-33633). 3. The Council authorizes a design change and change order to 09-013 Water Quality Pond Maintenance Project in the amount of $7,050.00 including authorization for issuance of a check in the amount of $2,550.00 for iron filings to be issued on January 20, 2010. PASSED AND ADOPTED THIS 19th DAY OF JANUARY, 2010. YES NO I Myser I Erickson I Hedberg Keeney Millar Myser Erickson Hedberg Keeney Millar www.cityofpriorlake.c5ffllnk Boyles, City Manager . . Phone 952.447.9800 / Fax 952.447.4245