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HomeMy WebLinkAbout9B Plans, Specs and Bids for Welcome Project (#12-012) O� p ��+P ti � V 4646 Dakota Street SE Prior Lake_ MN 55372 �rNx�so'��' CITY COUNCIL AGENDA REPORT MEETING DATE: FEBRUARY 25, 2013 AGENDA #: 9B PREPARED BY: KATY GEHLER, PUBLIC WORKS & NATURAL RESOURCES DIRECTOR PRESENTED BY: KATY GEHLER AGENDA ITEM: CONSIDER APPROVAL OF A RESOLUTION APPROVING PLANS AND SPECIFICATIONS AND AUTHORIZING ADVERTISEMENT FOR BIDS FOR THE WELCOME INDUSTRIAL PARK IMPROVEMENTS, CITY PROJECT #12- 012 DISCUSSION: Introduction The purpose of this agenda item is to ask the City Council to consider approval of the plans and specifications and authorize advertisement for bids for the Wel- come Industrial Park Improvements. Hi StOry On August 15, 2011, the City Council placed the Welcome Avenue Utility Ex- tension in the CIP for 2012. This project contemplated the extension of water and sanitary sewer along Welcome Avenue and Credit River Road to serve the remaining parcels. This project did not include improvements to the road sur- faces or accommodate surface water runoff from the area. On October 17, 2011 the City Council ordered an update to the 2007 Feasibility Study in preparation for the 2012 project. Through this process several work sessions took place to discuss potential components of the project, benefits, and synergies with other City priorities including: 1. Wellhead Protection Plan Compliance 2. Markley Lake Flood Protection Strategy 3. Economic Development Potential 4. Code Enforcement 5. Future Annexation Potential In February of 2012 the City completed representative appraisals to gauge the special benefit of each of the project components to the adjacent property own- ers. The Assessment Committee reviewed the information provided and dis- cussed the method of assessment. Due to the varied nature of the industrial parcels, an assessment rate based on a dollar per area was recommended. In addition the committee felt that due to the benefit of the public water supply, a greater portion should be borne by the water fund, thus reducing the water and sewer portion of the assessment. The City Council reviewed the various options for the project at a May 7, 2012 work session and provided feedback on the draft feasibility study and projected assessment methodology. On October 24, 2012 and November 19, 2012 two project forums were held. Information regarding the need for the project was presented and the partici- pants contributed to an Implications Wheel exercise. 14 of the property owners proposed to be assessed were represented along with several others impacted by the project. A memo from Jane Kansier, the facilitator, is attached that out- lines the results. On November 13, 2012 the City Council accepted the Feasibility Study and set the date for the Improvement Hearing. The hearing was held on December 10, 2012 and the Council adopted a resolution ordering the project and preparation of plans and specifications. Current Circumstances The final plans and specifications for the Improvements have been completed. The attached figure shows the proposed improvements. Pending approval of the resolution presented, staff has tentatively set the bid date for Late March. Note that during the design process, it was determined that the area was better served by water and sewer if these utilities were extended along the north side of the Industrial Park. In addition, the majority of the northern lot will have to be graded to accommodate the ponding and address erosion. Therefore, it made sense to, at a minimum, leave the grade to accommodate the future roadway. Staff presented an option to add the construction of the road as a bid alternative in the final design. Contractors will bid the construction of the road to an urban section and the Council will determine whether to move forward with the alterna- tive when the project is awarded. Several additional City Council actions will be required prior to construction. Once bids are received the final assessments will be calculated and the Council will hold a second hearing, commonly called the Assessment Hearing. The As- sessment Hearing gives property owners an opportunity to express concerns about the actual special assessment. Finally, the council will be asked to award the construction contract and adopt the assessments. At any point prior to the contract award the Council may decide not to proceed. Conclusion At this point the project design is complete and it is appropriate to seek City Council authority to advertise for bids. A copy of the plans is available in the Public Works Department for review. ISSUES: This project has shown to be complex as it has several driving forces, opportuni- ties and funding concerns. These issues were reviewed with the Council at the May 7, 2012 Work Session. A copy of the report can be found on the City's La- serfiche site. Related to this project, the City has been requested to consider repayment of the developer, CJF Holdings, LLC, for the work completed in 2008. CJF Hold- 2 ings entered into a Developer's Agreement for the completion of the water and sanitary sewer from Industrial Circle to Welcome Avenue. In exchange, the City created agreements with abutting property owners for connection fees that would pay for most of the improvement and collected as the connections were made. Two connection fees are left to be collected as the properties are subdi- vided in the future. The Assessment Committee met on December 3, 2012 to review the request. The Committee recommended that this item be considered as a separate item from the current project and that options for repayment be explored with the de- veloper. This item will be brought to the Council as a separate item in the fu- ture. FINANCIAL The project cost is estimated at $2,161,000. Funding for this project is proposed IMPACT: to come from the Water Fund, Water Quality Fund, Trunk Fund, 429 Bonding and assessments. The table below shows the preliminary financing break- down. Preliminary Financing Water Fund $600,000 Water Quality Fund (Stormsewer upsizing) $50,000 Watermain Trunk Fund (Watermain upsizing) $20,000 Sewer Trunk Fund (Sewer extra depth) $20,000 Storm Trunk Fund (Markley Lake Flood Protection) $301,000 Potential Assessments $1,000,000 429 Bonding $170,000 An updated funding table will be prepared once bids are received. ALTERNATIVES: 1) Approve Resolution 13-XX approving the plans and specifications and au- thorizing advertisement for bids for the Welcome Industrial Park Improve- ments. 2) Deny this item for a specific reason and provide staff with direction. 1. Defer this item until a future date. RECOMMENDED No.1 MOTION: 3 O � PRlp� ti � 4646 Dakota Street SE '�IN�so'��' Prior Lake, MN 55372 RESOLUTION 13-xxx A RESOLUTION APPROVING THE PLANS AND SPECIFICATIONS AND AUTHORIZING THE ADVERTISEMENT FOR BIDS FOR THE WELCOME INDUSTRIAL PARK IMPROVEMENTS, CITY PROJECT #12-012 Motion By: Second By: WHEREAS, Pursuant to Resolution 12-204, adopted on December 10, 2012, the Engineer has prepared plans and specifications for the Welcome Industrial Park Improvement Project. NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA as follows: 1. The recitals set forth above are incorporatetl herein 2. The plans and specifications for the Welcome Industrial Park Improvements, a copy of which is attached hereto and incorporated by reference herein, are hereby approved. 3. The City Manager shall prepare and cause to be inserted in the official newspaper of the City and in the Construction Bulletin an advertisement for bids for the making of the improvement pursuant to the attached plans and specifications. The advertisement shall be published not less than 21 days prior to the bid opening, shall specify the work to be done, and shall state that the bids will be received by the City Manager at which time the bids will be publicly opened at City Hall at 4646 Dakota Street SE by the Engineer. No bids will be considered unless sealed and filed with the City Manager and accompanied by a cash deposit, cashier's check, bid bond, or certified check payable to the City of Prior Lake in the amount of five (5) percent of the amount of such bid. 4. The City reserves the right to reject any and all bids for any reason as determined solely by the City Council. PASSED AND ADOPTED THIS 25h DAY OF FEBRUARY 2013. YES NO Hedber Hedber Keene Keene McGuire McGuire Morton Morton Souku Souku Frank Boyles, City Manager �d�;� ,� �� �� ;�. +a� � ,� � a �. t � ! o � ;� � ° �' ��d � � � � � � �' `� � � � �`�` S�„ �� ��� � �� 4. rz : ��� `i �a �3 ' � � �:�� + ., �_ � �� �� �� 3 � 4 K . � ( �' ;�`.:�,� ::.�k . ' ° W � s }� � R b"'�� ; � � � � � m 2' �' i ` w �`,+�r� g:Y . '�v.� 'r"' `4 � � � � i �'� ' r r tr � '� C� 3, �i �§�`, ,' � �, � ,� 6 . ` . ., � �� � �'� �t�� � ��` � . � ��a �` � � � + � � � t � `� � � . , � _ . �� � �° ���ti z . � �. "$ t � �` �3 ` � : � �aY = , � � � -- � �r . � 6 r �:: :. „� t ; � . . m� �* � s' '� n , � �' �� ra 6 ��''�� Y` �' , • � � t � �' : �.'� � � � �"• � �' '�' �, "� ��' � t nKe \. x ; . , t � c ,�£" - � �� . ,.. � i - i / b' � . . �� y} � ,1,�. � �+�' . � ,;, R', . 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