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CITY COUNCIL AGENDA REPORT
DATE:
AGENDA #:
PREPARED BY:
AGENDA ITEM:
OCTOBER 2, 2000
9D
SUE MCDERMOTT, CITY ENGINEER
CONSIDER APPROVAL OF A RESOLUTION EXTENDING THE
PROFESSIONAL SERVICES CONTRACT TO PROVIDE CONSTRUCTION
OBSERVATION SERVICES FOR DEVELOPER INSTALLED
IMPROVEMENTS WITH WSB & ASSOCIATES, INC.
DISCUSSION:
HISTORY
With each development agreement, the City of Prior Lake collects a
construction observation fee equal to 6% of the developer-installed
improvements. This fee pays for the cost of construction observation provided
primarily by a consulting engineer with support from the City staff. At the
March 20, 2000 meeting, the City Council approved Resolution 00-19
authorizing the consulting firm of WSB & Associates, Inc. to provide these
services for a six-month period with the understanding that the contract may
be extended at the City's option pending Council consideration of this report.
CURRENT CIRCUMSTANCES
To date, WSB has provided construction observation services for Knob Hill 5th
Addition, Glynwater 3rd Addition, Northwood Oaks Estates 2nd Addition and
Deerfield. The following table shows a summary of fees charged to date and
project status for each of the four developments. The "Contract Amount"
column is calculated between 4% and 6% of the total cost of the developer-
installed improvements, depending on the amount of staff coordination is
required for each development. For example, larger developments such as
Deerfield requires additional staff time to attend weekly construction meetings,
periodic site inspections and provide technical assistance needed.
Development Contract Amount Invoiced to Date Project Status
Knob Hill 5th $20,600 $16,123.50 95% complete
Glynwater 3rd $10,600 $6,228.00 95% complete
Northwood Oaks $11,000 $7,335.00 85% complete
Deerfield $120,000 $14,682.00 25% complete
Knob Hill 5th Addition, Glynwater 3rd Addition and Northwood Oaks Estates 2nd
Addition are substantially complete with only the final lift of bituminous and
varying punch list items left to be completed at each site. With 85% to 95% of
the work complete, the projects have been invoiced from approximately 60%
"MSOOO Eagle Creek Ave. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245 I
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FISCAL IMPACT:
ALTERNATIVES:
RECOMMENDED
MOTION:
WSB2
to 80% of the amount allocated for construction observation. At the
completion of each project, we project that the costs will be at or below the
amounts shown in the "Contract Amount" column of the above table.
In addition, the WSB staff member has provided construction observation
services in accordance with the requirements outlined in the contract and in
accordance City staff expectations.
ISSUES
In addition to completion of Deerfield and Wilds 5th Addition, Wensmann 1st
Addition is currently under review by the Development Review Committee.
These developments will require ongoing construction observation services.
CONCLUSION
Staff recommends extending the construction observation contract with WSB
& Associates through December 31, 2001. Staff will continue to monitor the
contract for project costs and consultant services.
A fee for construction observation is required with each Development Contract.
These services would be paid from the 6% fee. Staff will continue monitor the
construction observation budget for each development project to ensure the
budget is not exceeded and that the 6% fee is commensurate with actual city
expenses.
There are three alternatives for the City Council to consider:
1. Approve a Resolution extending the Standard Professional Services
Contract with WSB & Associates, Inc. to provide construction
observation services for developer-installed improvements through
December 31,2001.
2. Deny this item for a specific reason and provide staff with direction.
3. Table this item until some date in the future.
A motion and second to approve a Resolution extending the Standard
Professional Services Contract with WSB & Associates, Inc. to provide
construction observation services for developer installed improvements.
REVIEWED BY:
2
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RESOLUTION OO~
RESOLUTION AUTHORIZING WSB & ASSOCIATES, INC. TO PROVIDE
CONSTRUCTION OBSERVATION SERVICES FOR DEVELOPER INSTALLED IMPROVEMENTS
MOTION BY:
SECOND BY:
WHEREAS, there is development occurring in the City of Prior lake and this development requires
construction observation, and
WHEREAS, the City can not cost effectively provide these services at its current staffing level, and
WHEREAS, the City adopted Resolution 00-19 entering into a Standard Professional Services
Contract with WSB & Associates, Inc. to provide construction observation services on
March 21, 2000 for a six-month period which may be extended at the City's option.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA,
WSB & Associates, Inc. is hereby authorized to provide Construction Observation Services for
developer installed improvements in accordance with their proposal dated February 24, 2000, through
December 31, 2001, and
BE IT FURTHER RESOLVED, that funding for these engineering services will be drawn from the fee
collected by the City in conjunction with Development Contracts and the Mayor and City Manager are
authorized to execute said agreement on behalf of the City.
Passed and adopted this 2nd day of October, 2000.
YES NO
Mader Mader
Ericson Ericson
Gundlach Gundlach
Petersen Petersen
Zieska Zieska
{Seal}
Frank Boyles
City Manager
City of Prior lake
16200 Eagle Creek Ave. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245
G:\RESOLOO\WSB2.DOC AN EQUAL OPPORTUNITY EMPLOYER
RESOLUTION 00-19
RESOLUTION AUTHORIZING WSB & ASSOCIATES, INC. TO PROVIDE
CONSTRUCTION OBSERVATION SERVICES FOR DEVELOPER INSTAllED
IMPROVEMENTS
MOTION BY: PETERSEN
SECOND BY: ERICSON
WHEREAS, there is development occurring in the City of Prior Lake and this development requires
construction observation, and
WHEREAS, the City can not cost effectively provide these services at its current staffing level.
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA,
WSB & Associates, Inc. is hereby authorized to provide Construction Observation Services for a six.
month period beginning March 21, 2000 which may be extended at the City's option for developer
installed improvements in accordance with their proposal dated February 24, 2000, and
BE IT FURTHER RESOLVED, that funding for these engineering services will be drawn from the fee
collected by the City in conjunction with Development Contracts and the Mayor and City Manager are
authorized to execu~e said agreement on behalf of the City.
Passed and adopted this 20th day of March, 2000.
YES NQ
Mader X Mader
Ericson X Ericson
Gundlach X Gundlach
Petersen X Petersen
Schenck Absent Schenck Absent
{Seal}
16200 Eagle Creek Ave. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245
R:\COUNCIL\RESOLUTI\ENGINRES\2000\OO-19.d(jCQUAL OPPORTUNITY EMPLOYER