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Home My WebLink About5C JPA South Metro Cities for Street Maintenance O .� PRIp ti 9 v � 4646 Dakota Street SE Prior Lake, MN 55372 '� p '�Q` CITY COUNCIL AGENDA REPORT MEETING DATE: APRIL 8, 2013 AGENDA #: 5C PREPARED BY: Jake Theisen, MAINTENANCE SUPERVISOR PRESENTED BY: Jake Theisen, MAINTENANCE SUPERVISOR AGENDA ITEM: CONSIDER APPROVAL OF A RESOLUTION AUTHORIZING APPROVAL AND EXECUTION OF THE SOUTH METRO CITIES JOINT POWERS AGREEMENT (JPA) FOR STREET MAINTENANCE SERVICES. DISCUSSION: Introduction The purpose of this agenda item is to provide the City Council with the oppor- tunity to consider entering into the Joint Powers Agreement (JPA) for traffic markings, street sweeping, crack sealing, screening and seal coating. This is an annual request. A JPA is an agreement whereby cities with similar powers act collectively as an entity for the delivery of certain products or services. His tOry For many years several south suburban communities have entered into a JPA to acquire various street maintenance services including traffic markings, street sweeping, crack sealing, screening, and seal coating. This year's agreement includes the communities of Burnsville, Apple Valley, Eagan, Lakeville, Rose- mount, Savage, Prior Lake, Shakopee, West St. Paul, Elko New Market, Wa- conia, Farmington, Mendota Heights and South St. Paul. Prior Lake has been participating in the JPA since 1995 and typically utilizes seal coating, crack sealing and traffic markings services. Prior Lake does not have the required staff or equipment to complete large scale traffic marking, crack sealing or seal coating projects in-house. The JPA has streamlined the process of advertising for sealed bids and con- tracting for the previously mentioned street maintenance services. By combin- ing the quantities needed by each community, contractors have been able to discount the unit bid price which has a net effect of lower prices for all partici- pating communities. The City of Burnsville administers the JPA for a fee paid by each community involved based on the total amount of street maintenance services requested through the JPA. There is no change in this fee and it is billed as follows: $0 - $50,000 1.5% $50,000 - $100,000 1 % Over $100,000 .5% Current Circumstances The 2013 street maintenance budget has $150,000 budgeted for services through the JPA. The practice is to perform maintenance activities on streets which fall within the appropriate pavement management activity ranges. The 2013 services will include 9.31 miles of seal coating, 19,000 lineal feet of crack sealing, and 29.31 miles of long line painting. These amounts reflect the recommendations of the street degradation report the city council received last year. Conclusion In 2012 the language of the JPA was modified slightly to have the agreement continue in effect until terminated instead of having an annual expiration. The agreement can be terminated by giving Burnsville sixty (60) days' notice. The Council is being asked to approve work related to this agreement prior to re- porting of quantities to Burnsville for the bidding documents. Given only the slight modification and the overall benefit, it is recommended to proceed with participation in this collaborative, cost saving effort. ISSUES: The fundamental reason for performing this work through a Joint Powers Agreement is to get better products for the least expensive prices. We also find that the oversight and administration of this work is considerably easier when it is done in collaboration with others. The city council should determine if it is comfortable with the "evergreen provi- sion" proposed in the new JPA agreement. If it is not then Prior Lake would have to withdraw from this agreement and bid for itself annually resulting in likely additional product/service costs. The fact of the matter is that the staff will have to annually request council approval of any expenditure associated with this agreement exceeding $20,000. FINANCIAL IM- This Joint Powers Agreement is cost effective for city taxpayers. The State PACT: Legislature places a high priority on cities combining their resources to accom- plish day-to-day responsibilities. This is an excellent example of this practice. ALTERNATIVES: 1. Approve a resolution authorizing the execution of the Joint Powers Agree- ment for traffic markings, street sweeping, crack sealing, screening and seal coating. 2. Table this agenda item for a specific reason. 3. Deny this agenda item for a specific reason and provide staff with direction. RECOMMENDED Alternative #1 MOTION: 2 O � PRlp ti � 4646 Dakota Street SE `�'t�vxsso'��' Prior Lake, MN 55372 RESOLUTION 13-�cxx A RESOLUTION AUTHORIZING EXPENDITURES UP TO $150,000 FOR TRAFFIC MARKING, CRACK SEAL AND SEAL COATING, APPROVAL OF A JOINT POWERS AGREEMENT AND EXECUTION OF SAME Motion By: Second By: WHEREAS, Burnsville, Apple Valley, Eagan, Lakeville, Rosemount, Savage, Prior Lake, Shakopee, West St. Paul, Elko New Market, Waconia, Farmington, Mendota Heights and South St. Paul entered into a Joint Powers Agreement to contract for traffic markings, street sweeping, crack sealing, screening and seal coating; and WHEREAS, The Joint Powers Agreement will result in cost savings to the City of Prior Lake and previously this particular Joint Powers Agreement has been issued a commendation for interagency cooperation and cost savings by the State of Minnesota ; and WHEREAS, The Joint Powers Agreement describes the City's participation in the traffic markings, street sweeping, crack sealing, screening and seal coating Contract. 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 Council authorizes the expenditure of $150,000 for Traffic Markings, Crack Sealing, and Seal Coating as part of the Street Maintenance Joint Powers Agreement. 3. The funding for the street maintenance completed through the Joint Powers Agreement shall come from the Street Portion of the 2013 General Fund Budget101-43100-412. PASSED AND ADOPTED THIS 8th DAY OF April 2013. YES NO Hedber Hedber Keene Keene McGuire McGuire Morton Morton Souku Souku Frank Boyles, City Manager