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Home My WebLink About8B Maplewood Street Improvement Project O� p ��+P � � v � 4646 Dakota Street SE Prior Lake, MN 55372 ` �jNNES�� P CITY COUNCIL AGENDA REPORT MEETING DATE: DECEMBER 9, 2013 AGENDA #: 8B PREPARED BY: SENG THONGVANH, PROJECT ENGINEER PRESENTED BY: SENG THONGVANH AGENDA ITEM: PUBLIC HEARING TO CONSIDER APPROVAL OF A RESOLUTION OR- DERING THE MAPLEWOOD STREET IMPROVEMENT PROJECT (PRO- JECT #14-012) AND PREPARATION OF PLANS AND SPECIFICATIONS DISCUSSION: introduction The purpose of this agenda item is to hold the Public Hearing to consider ap- , proval of a resolution ordering the Maplewood Street Improvement Project and ' the preparation of plans and specifications. A super majority (4/5) is needed to approve the resolution. Histo Each year the City reconstructs street segments that are scheduled for recon- struction as part of its Capital Improvement Program (CIP) and have exceeded their useful design life. The City uses the Capital Improvement Program and its Pavement Management Program to plan for infrastructure improvements and the financing for capital improvements. At its September 9, 2013 meeting the City Council adopted Resolution 13-128 authorizing staff to prepare a Feasibil- ity Report for the Maplewood Street Improvement Project as outlined in the CIP. The Maplewood Street neighborhood is considered in the report and includes improvements to JoAnna Stepkas 4th Addition, Brooksville Center 1St, Brooks- ville Center 2"d, and S 02, T 114, R 22 1.19A in E1/2 SW1/4. These proper- ties were platted and developed in 1973. A map of the project area (Figure 1) ' is included in the Feasibility Report. The proposed improvements include street reconstruction, storm sewer, storm water quality, concrete curb and gut- ter, and appurtenant work. City utilities under the street are also proposed to be repaired or reconstructed base on need. Watermain is proposed to be re- placed for the entire segment of Maplewood Street. On November 12, 2013, the City Council accepted the feasibility report and scheduled the public hearing. If this project proceeds, the City intends on using the M.S. Chapter 429 pro- cess as this process applies to all projects that will be financed in whole or in part through special assessments or bond proceeds. Current Circumstances The properties deemed to specially benefit from the improvements, in most ' cases the properties abutting the streets located in the project area, are sub- ject to assessment. Each of the affected property owners have been notified in accordance with the statute regarding tonight's Public Hearing. A Public Information Meeting was held on December 5, 2013 to provide the property owners an opportunity to discuss the project in an informal setting prior to the Public Hearing. Staff presented the proposed improvements, pro- ject costs, estimated assessments and answered general questions regarding the project. Comments will be presented at the Public Hearing. Conclusion City staff believes the full reconstruction should be performed in 2014 including replacement of the trunk watermain. Based on the existing land division, it seems unlikely that Maplewood Street alignment would deviate in the future. The proposed reconstruction can be designed to meet today's needs, yet pro- vide necessary features for future redevelopment. City staff is prepared to discuss each of the concerns presented at the Public Hearing. If the Council deems the issues that have been brought up need to be addressed in the project plans and specifications, direction could be given to staff. The purpose of this Public Hearing is to determine whether the project should move forward to the next step, which is preparation of plans and specifications which will provide greater information about expected project cost and, there- fore, the assessments associated with the improvements. Once the plans and specifications are completed, they will be submitted to the City Council for ap- proval and authorization to advertise for bids. The Council could decide not to continue with the project upon receipt of bids. A separate Assessment Hear- ing will be conducted following review of the proposed assessments by the City CounciPs Assessment Review Committee. In summary, the project is feasible from an engineering and economic stand- point. If the preparation of the plans and specifications is approved, the work will be completed by City staff. ISSUES: The Assessment Review Committee met on November 6th and November 21St, 2013 at which time the following issues were discussed and recommendations made: Assessment Map The Assessment Review Committee recommends assessing the properties as shown on the assessment map. Street and Storm Sewer Reconstruction Pursuant to the Assessment Policy, the street and storm sewer reconstruction should be assessed at up to 40% of the total project cost against the benefiting properties. The remaining amounts should be recovered through the general ad valorem property tax. The sewer and water improvements are not assessed. 2 Assessment Method The Assessment Review Committee recommends the front footage method of assessment due to the fact that the lots in the project area are of dissimilar size and property classifications. The estimated assessment rate is proposed at $109.38 per front foot for street improvements. For comparison purposes the assessment on a standard 86 foot wide residential lot would be $9,407. This compares to $8,427 assessed on the Boudin's Improvement Project. Review of Full Depth Pavement Rehabilitation or Pavement Resurfacinq Due to the possible redevelopment in this area, the City Council and Assess- ment Review Committee discussed other alternatives to address the street de- terioration instead of reconstruction, including resurfacing or full depth rehabili- tation. The cost for resurfacing is estimated at $30,000. Full depth pavement rehabilitation is estimated at $95,000. These two options are not assessed and would be entirely funded by tax levy. Neither of these options would in- clude the installation of concrete curb or replace soil material beneath the street. In either of those options, minimal watermain system improvements are recommended at an additional estimated cost of $25,000. These minimal watermain repairs replace hydrants and valves but do not address possible pipe pitting from the soils in this area and is therefore subject to greater break- age potential of this important trunk pipe. Any option other than full street reconstruction represents a change in city council policy. The CIP is predicated upon street reconstruction according to its point on the degradation curve. Until soils are corrected and curb and gut- ter is placed, the value obtained by resurfacing or rehabilitation is less. Resur- facing at this point in the degradation of the street does not provide dependa- ble streets for the same number of years. It will then be necessary to repro- gram Maplewood Street back into the CIP at some point in the future. Our op- erating budget will also be impacted by the tax levy needed for more frequent construction on this street. '� The Public Works Department has provided a memo (attached) discussing these alternatives and gives a recommendation of full reconstruction for Maplewood Street. FINANCIAL The Maplewood Street Improvement Project (reconstruction) is proposed to be IMPACT: financed by Special Assessments, tax levy, and Sewer & Water Fund. Funding sources and amounts are as shown below: Assessments $127,070 Sewer & Water Fund $160,866 Tax Lev $190,604 Pro'ect Total Cost $478,540 The city council discussion on November 12th and the public works department memo discusses replacement of the sanitary sewer system on Maplewood Street. The costs above do not include replacement of sanitary sewer main- line. 3 ALTERNATIVES: 1. Approve Resolution 13-XX ordering the Maplewood Street Improvement project and preparation of plans and specifications. 2. Deny this item for a specific reason and provide staff with direction. 3. Table this item until some date in the future. RECOMMENDED Staff recommends alternative #1. � MOTION: I � 4 O � PKIp ti � U tr� 4646 Dakota Street SE `�Nx�so'� Prior Lake, MN 55372 RESOLUTION 13-xxx ORDERING IMPROVEMENTS AND PREPARATION OF PLANS AND SPECIFICATIONS FOR MAPLEWOOD STREET (PROJECT #14-012); FINANCING THE MAPLEWOOD STREET IMPROVEMENT PROJECT TO BE UNDERTAKEN BY THE CITY AND ESTABLISHING COMPLIANCE WITH REIMBURSEMENT BOND REGULATIONS UNDER THE INTERNAL REVENUE CODE Motion By: Second By: WHEREAS, the Prior Lake City Council on its own initiative has determined that it desires to complete the Public Improvement Project to Maplewood Street; and WHREAS, on November 12, 2013; the City Council adopted Resolution 13-169 accepting the Feasibility Report and calling for a Public Hearing to be held on the Maplewood Street Improvement Project which includes sanitary sewer, watermain, storm sewer, aggregate base, concrete curb and gutter, bituminous surfacing, and appurtenant work; and WHEREAS, ten days mailed notice and two weeks published notice of the hearing was given, and the hearing was held on the 9th day of December, 2013, at which time all persons desiring to be heard were given an opportunity to be heard thereon; and ' WHERES, since the project was initiated by the City Council it must be approved by 4/5ths vote in accortlance with Minnesota Statutes 429.031 Subdivision 1(fl; and 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. Such improvement is necessary, cost-effective, and feasible as detailed in the feasibility report. 3. The City Engineer is hereby authorized to prepare plans and specifications for the improvements delineated in City Council Resolution 13-169 adopted on November 12, 2013 antl by the required statutory 4/5ths vote does hereby order the project. 4. The City Engineer is hereby designated as the Engineer for these improvements and is authorized to record engineering expenses in the Construction Fund (#501-48379). 5. The Engineer shall prepare plans and specifications for the making of such improvements for Maplewood Street. 6. The City Council authorizes the following preliminary funding sources and corresponding transfers to the Construction Fund for the project: Assessments $127,070 Sewer and Water Fund $160,866 Tax Lev $190,604 Pro'ect Total Cost $478,540 7. The City has determined to make a declaration of official intent ("Declaration") to reimburse certain estimated costs for this project from proceeds of bonds in accordance with the Internal Revenue Service Reimbursement Regulations (Treasury Reg. 1.150-2). 8. The City may declare other separate statements of reimbursement intent in connection with specific public improvements projects as they are initiated under Minnesota Statutes Chapters 429 and 444, or for other capital projects, with the understanding that such additional declarations of reimbursement intent will supplement this resolution. All reimbursed expenditures will be capital expenditures, costs of issuance of the bonds, or other expenditures eligible for reimbursement under Section 1.150-2(d)(3) of the Reimbursement Regulations. 9. This Declaration has been made no later than 60 days after payment of any original expenditure to be subject to a reimbursement allocation with respect to the proceeds of bonds, except for the following expenditures: a. costs of issuance of bonds; b. costs in an amount not in excess of $100,000 or five percent of the proceeds of an issue; or ' c. "preliminary expenditures" up to an amount not in excess of 20 percent of the aggregate , issue price of the issue or issues that are reasonably expected by the City to finance the ' project for which the preliminary expenditures were incurred. The term "preliminary expenditures" includes architectural, engineering, surveying, bond issuance, and similar costs that are incurred prior to commencement of acquisition, construction or rehabilitation of a project other than land acquisition, site preparation, and similar costs incitlent to the commencement of construction. 10. This Declaration is an expression of the reasonable expectations of the City based on the facts and circumstances known to the City as the date hereof. The anticipated original expenditures for the Projects and the principal amount of the bonds are consistent with the City's budgetary and financial circumstances. No sources other than proceeds of bonds to be issued by the City are, or are reasonably expected to be reserved, allocated on a long term basis, or otherwise set aside pursuant to the City's budget or financial policies to pay such Project expenditures. 11. This Declaration is intended to constitute a Declaration of the Official Intent for the purposes of the Reimbursement Regulations. PASSED AND ADOPTED THIS 9T" DAY OF DECEMBER 2013. YES NO Hedber Hedber Keene Keene McGuire McGuire Morton Morton Souku Souku Frank Boyles, City Manager 2 O � PRIO� � � V � l 7073 Adelmann Street SE Prior Lake, MN 55372 � Date: November 27, 2013 To: Assessment Review Committee Frank Boyles, City Manager Larry Poppler, City Engineer From: Katy Gehler, Public Works Director Jake Theisen, Maintenance Superintendent Andy Stephes, Water Foreman Jim Larson, Streets and Sewer Foreman ' Re: Maplewood Street and Utility Conditions At the Assessment Review Committee Meeting on November 21, 2013 the committee inquired about options regarding pavement management and utility replacements on Maplewood Street. In particular, the condition of the watermain and timeframe recommended for replacement. This memo summarizes the maintenance issues experienced with this segment and notes concerns and recommendations for replacement. , Pavement Management I The pavement condition rating is currently a 20. Visual inspection confirms alligator type cracking which has led to large area subgrade failures. Without correcting the subgrade by adding material, re- compacting and stabilizing the failures will result in reflective cracking in an overlay within 1-2 years. It is not cost effective to complete an overlay at this point in the pavements degradation. A reclamation at a minimum is recommended which will allow for subgrade corrections and a near new pavement surface. Watermain The 20" watermain that runs the length of Maplewood Street is the main distribution line for the southern portion of the city. In 2011 the valve stem located at the entrance to Dairy Queen was replaced due to excessive corrosion from acidic soil conditions. In fact, the entire topnut (used to turn the valve on and off) was corroded away. Soils this corrosive can severely pit ductile iron pipe leading to wall weakness and eventual failure without warning. Exposure of the watermain can significantly accelerate the oxidation process (i.e. the three CR21 watermain breaks) so it is not recommended performing test holes. Due to the conditions found in 2011 it is recommended that this line be replaced before unplanned failures cause emergency replacements. Note that materials for repairs of large diameter pipe are not readily available and would need to be ordered. In addition a contractor would need to be hired to complete the installation. An emergency repair could take several weeks where the School District offices, Post Office, Dairy Queen and residential homes would be without water due to the lack of looping options. Above ground temporary water would have to be utilized to keep these businesses open that is sensitive to weather conditions and road crossings. Phone 952.447.9800 / Fax 952.440-9678 / www.cityofpriorlake.com In addition a valve is needed at Village Lake Drive. Currently the valving is such that a large portion of the system would need to be shut down during a repair or emergency situation. This valve would allow key areas to be isolated allowing other portions of the system to be back fed for continued supply. Sanitary Sewer There currently is an 8" Vitrified Clay Pipe (VCP) along Maplewood which serves all of the residential homes, Dairy Queen, Holiday and the hardware store. Although the televising on this pipe showed little to no root intrusion, there is significant concern for failure of this pipe should the area be disturbed for other repairs. VCP is known for being brittle and can fail under stress of construction operations (vibrations during compaction of other utilities). Generally it is good practice to replace VCP as the opportunity presents itself. If the street and watermain are replaced, we would not want to compromise a new pavement surface to complete sewer repairs. In this case, adding the sewer would be an incremental cost if the watermain is replaced. Recommendation There are two main drivers for this project, the failed pavement surface and the degraded condition of the watermain. As noted above it is recommended that the watermain be replaced now to avoid emergency repairs and prolonged water shutoffs. Due to the construction disturbance of the watermain it is also recommended the VCP sewer line be replaced. Finally, the pavement should be upgraded with an appropriate subgrade section and new bituminous surface. � ` ' �° -�r;�. � �?s t . , : �� Y � ,� � i� � '- s ' � �� i �� `� �,�� a q � .�� : . � �E .�Y."4�� . \' � *�,_ �{x .;, . ' � t ��.. �� %�, } . -_ �� ,�, � � ,,+•� � r ' / � . �-�� r � ,�rt � ,�' �` � � � � � .4 � �" . .. � � � _ �,, a ,y �� *� � .. ,' � = �� f' . � � �' '= ,� ° �` r �� '�� ,_ � � � tl � �, �� , � '� '�; �°, �=�� ,,, �� 2 4 � � � 'A . f.£#" `k"� � ^} . . r . � � � Z �"; � �S�`� Q . L - s .'� ` �„ y � C. �� = � �"� �. 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" � ` '- ,� '" �� , � � � e.... � . � � ' �� - � ,�� ' .x . i� ��'�-� +' , � '� � • h � v . t C = „ 1. � y' : �{� � a � y }� �� .9' � . . �� 4 ^+.� .�'''.;� ✓ � t :'a„ .. .y x ^ d �„: . . . . }.�, 3 � � � l;r� , .� c .�,5�•x, s r 3 �' . .� g *x Y _ ' . • � • �, �' �a� �, q • . �� . �� . 4 r '� ¢ .r �"�++�, 'rt,. _.�,� ,.: . . . .�' ° �`� R ��`� CITY PROJECT #14-012 �.?; 7 U �`�= ' PROJECT AREA MAP EXHIBIT 1 �I�hNL50�P � � O � PRIp �� v 4646 Dakota Street SE Pri�r Lake_ MTT 55372 �A►85 MEMORANDUM TO: Larry Poppler and Katy Gehler FROM: Dan Rogness, Community & Economic Development Director DATE: December 5, 2013 RE: Maplewood Street — Redevelopment You asked me to give my opinion on the redevelopment potential of existing single family residential property along the west side of Maplewood Street, directly south of TH 13. This area is guided for Community Retail Shopping and zoned as General Business (C-2). The property area is approximately 3 acres in size with general dimensions of 225' x 575'. I generally assume 25% of a site utilized as building space, resulting in one or two buildings totaling 30,000 — 35,000 square feet (the size of Lunds grocery store). The property itself would seem to lend well to one commercial strip center, or two office buildings. A strip cen- ter, for example, would need a minimum lot depth of 170 feet to fit well on that site with at least two rows of parking in front. Two office buildings could be located on the north and south sides of the site with joint parking in befinreen. The site could also be subdivided into two or three parcels. With visibility and direct access to TH 13, and its secondary access to Village Lake Drive, this site would seem to be a good candidate for redevelopment. Market demand, however, will likely first take either vacant property along TH 13, such as a site next to Tractor Supply, or the other redevelopment sites, such as the Digger's property. This is due, in part, to the cost of acquiring the homes and corresponding demolition costs in order to assemble a 3-acre site for commercial use. No matter when redevelopment may occur from its current residential use to a future com- mercial use, I see Maplewood Street staying at its current location based on the existing positive access points, and the property's positive size/orientation as commercial develop- ment, either as a strip center or office buildings. In the future, Maplewood would efficiently serve commercial development on both sides of this local street.