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Home My WebLink About5I JPA for Street Maintenance O PRIO E-4 v 4646 Dakota Street SE Prior Lake, MN 55372 4 INNEsOt P CITY COUNCIL AGENDA REPORT MEETING DATE: February 24, 2014 AGENDA #: 51 PREPARED BY: JAKE THEISEN, MAINTENANCE SUPERVISOR PRESENTED BY: JAKE THEISEN, MAINTENANCE SUPERVISOR AGENDA ITEM: CONSIDER APPROVAL OF A RESOLUTION AUTHORIZING LANGUAGE REVISIONS TO THE SOUTH METRO JOINT POWERS AGREEMENT (JPA) FOR ROADWAY MAINTENANCE SERVICES, THE EXPENDITURE OF $130,000 FOR STREET MAINTENANCE SERVICES AND AUTHORIZING THE MAYOR AND CITY MANAGER TO EXECUTE SAID AGREEMENT ON BEHALF OF THE CITY. DISCUSSION: Introduction The purpose of this agenda item is two -fold; 1. To acknowledge the addition of Scott County to the South Metro Joint Powers Agreement for Roadway Maintenance (JPA), and 2. To provide the City Council with the opportunity to consider entering in- to the Joint Powers Agreement (JPA) for traffic markings, street sweep- ing, crack sealing, screening and seal coating. A JPA is an agreement whereby Local Government Units (LGU) with similar powers act collectively as an entity for the delivery of certain products or ser- vices. History 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. In 2014, the Agree- ment will also include Scott County. 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 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. However, with the addition of Scott County this year, minor language modifica- tions were necessary (i.e. changing "cities" to "local government units "). The Council is being asked to approve the agreement with these revisions. The 2014 street maintenance budget has $130,000 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 2014 services will include 5.7 miles of seal coating, 20,000 lineal feet of crack sealing, and 26 miles of long line painting. Conclusion The Council is being asked to approve work related to this agreement prior to reporting of quantities to Burnsville for the bidding documents. It is recom- mended 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. FINANCIAL IM- This Joint Powers Agreement is cost effective for city taxpayers. The State PACT: Legislature places a high priority on Local Government Units (LGU) combining their resources to accomplish 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� PRIO N U 4646 Dakota Street SE `'NNESO`cP Prior Lake, MN 55372 RESOLUTION 14 -xxx A RESOLUTION AUTHORIZING REVISIONS TO THE SOUTH METRO JOINT POWERS AGREEMENT, THE EXPENDITURE OF UP TO $130,000 FOR ROADWAY MAINTENANCE PURPOSES AND THE MAYOR AND CITY MANAGER TO EXECUTE THE AGREEMENT ON BEHALF OF THE CITY 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, Scott County and South St. Paul wish to enter 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 $130,000 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 2014 General Fund Budget 101 - 43100 -412. 4. The Joint Powers Agreement as amended is hereby approved and the Mayor and City Manager authorized to execute the agreement on behalf of the city. PASSED AND ADOPTED THIS 24th DAY OF FEBRUARY, 2014 YES NO Hedberg Hedberg Keeney Keeney McGuire McGuire Morton Morton Soukup Soukup Frank Boyles, City Manager JOINT POWERS AGREEMENT SOUTH METRO JOINT POWERS AGREEMENT FOR ROADWAY MAINTENANCE SERVICES THIS JOINT POWERS AGREEMENT ( "Agreement ") is made this 18 day of February, 2014, by and between the City of Burnsville, ( "Burnsville ") and other south metropolitan Local Government Units choosing to participate in this Agreement ( "Participating Local Government Unit (LGU)" or "Participating Local Government Units (LGUs) "). Burnsville, Participating LGU or Participating LGUs shall collectively be referred to as the "Parties ". RECITALS This Agreement is made pursuant to the authority conferred upon the Parties pursuant to Minnesota Statutes 471.59. The purpose of this Agreement is to provide roadway maintenance services for the Parties utilizing a singular contracting procedure and one common contractor for each service. NOW, THEREFORE, the Parties agree as follows: 1. Subject to the other provisions of this Agreement, Burnsville for itself and on behalf of the Participating LGUs shall annually decide which services will be bid for the collective benefit of all Parties, prepare all bidding documents and conduct bidding services pursuant to State law for the work. 2. The Participating LGUs shall annually provide to Burnsville the estimated quantities for these services in each respective LGU, and shall also approve the bid documents. 3. Burnsville shall tabulate the bids upon their receipt and make a recommendation of award to each Participating LGU and upon their approval, award the contract pursuant to State law. 4. Each Participating LGU shall be responsible for: • Preparing maps showing the proposed locations for these services including estimating the quantities thereof. 162318v05 1 JJR:02 /05/2014 • Preparing the roadways for the work to be done in accordance with the specifications and coordinating with the contractor as to the timing of the actual work. • Inspecting the contractor's work, measuring the quantities of work performed, approving and certifying the progress or final payments to the contractor. • Pay a percentage of actual construction costs to Burnsville for legal and administrative costs on a sliding scale basis as follows: $0 - $50,000 — 1.5% $50,000 - $100,000 - 1% Over $100,000 - 0.5% 5. In accordance with the specifications, the contractor will submit an itemized invoice to each Participating LGU separately for the work performed within their jurisdiction. Upon approval of the invoice by the respective LGU, that Participating LGU will remit the approved invoice amount directly to the contractor. 6. It is agreed that each Participating LGU shall indemnify, save, and hold harmless Burnsville, and each of the other Participating LGUs, and all of their agents and employees from any and all claims, demands, actions, or causes of action, for whatever nature, arising out of the execution or performance of the work purchased for each respective LGU under this Agreement, and that the Participating LGUs further agree to defend, at their sole cost and expense, any actions or proceedings commenced against their respective LGU for the purposes of asserting any claim of whatsoever character arising hereunder. The Parties agree that liability under this Agreement is controlled by Minnesota Statute 471.59, subdivision la and that the total liability for the Parties 162318v05 2 JJR:02 /05/2014 shall not exceed the limits on governmental liability for a single unit of government as specified in 466.04, subdivision 1. (a). 7. This Agreement is to be executed between Burnsville and each of the Participating LGUs. It may be executed in counterparts. Future Participating LGUs may be added by action of their Council or Board and execution of this Agreement. Upon addition of those LGUs, a copy of the signature page and an updated appendix will be provided by Burnsville to all Participating LGUs. Similar notification shall be provided for those that terminate their participation in this Agreement. This Agreement shall continue in effect until terminated by the Parties or replaced. Each Participating LGU may terminate this Agreement as to that Participating LGU by giving sixty (60) days notice to Burnsville. Burnsville may terminate this Agreement by providing six months notice to the Participating LGUs. IN WITNESS WHEREOF, the Parties have caused this Agreement to be executed on the date indicated below. BURNSVILLE CITY OF BURNSVILLE BY: ., Mayor Elizabeth B. Kautz DATE: BY: ,. City Manager Heather A. Johnston 162318v05 3 JJR:02 /05/2014 PARTICIPATING LGUs CITY OF APPLE VALLEY BY: 1 Mayor Mary Hamann - Roland DATE: BY: 1 City Clerk Pam Gackstetter CITY OF EAGAN BY: , Mayor Mike Maguire DATE: BY: , City Clerk Christina M. Scipioni CITY OF ELKO NEW MARKET BY: , Mayor Tony Gabriel DATE: BY: . City Administrator Thomas Terry CITY OF FARMINGTON BY: , Mayor Todd Larson DATE: BY: 1 City Administrator David McKnight CITY OF HASTINGS BY: , Mayor Paul Hicks DATE: BY: , City Clerk Julie Flaten 162318v05 4 JJR:02 /05/2014 CITY OF LAKEVILLE BY: , Mayor Matt Little DATE: BY: , City Clerk Charlene Friedges CITY OF MENDOTA HEIGHTS BY: , Mayor Sandra Krebsbach DATE: BY: , City Clerk Lorri Smith CITY OF PRIOR LAKE BY: , Mayor Kenneth Hedberg DATE: BY: , City Manager Frank Boyles CITY OF ROSEMOUNT BY: , Mayor William H. Droste DATE: BY: , City Clerk Amy Domeier CITY OF SAVAGE BY: , Mayor Janet Williams DATE: BY: , City Administrator Barry Stock 162318v05 5 JJR:02 /05/2014 COUNTY OF SCOTT BY: , Board Chair Thomas J. Wolf DATE: BY: , County Administrator Gary L. Shelton CITY OF SHAKOPEE BY: , Mayor Brad Tabke DATE: BY: , City Clerk Julie Linnihan BY: , City Administrator Mark McNeill CITY OF SOUTH ST. PAUL BY: , Mayor Beth A. Baumann DATE: BY: , Clerk Christy M. Wilcox CITY OF WACONIA BY: , Mayor Jim Nash DATE: BY: , City Administrator Susan Arntz CITY OF WEST ST. PAUL BY: , Mayor John A. Zanmiller DATE: BY: , City Manager Matt Fulton 162318v05 6 JJR:02/05/2014 APPENDIX A LIST OF PARTICIPATING LGUs CITY of BURNSVILLE, CITY of APPLE VALLEY, CITY of EAGAN, CITY of ELKO NEW MARKET, CITY of FARMINGTON, CITY of HASTINGS, CITY of LAKEVILLE, CITY of MENDOTA HEIGHTS, CITY of PRIOR LAKE, CITY of ROSEMOUNT, CITY of SAVAGE, COUNTY of SCOTT, CITY of SHAKOPEE, CITY of SOUTH ST. PAUL, CITY of WACONIA AND CITY of WEST ST. PAUL 162318v05 7 JJR:02/05/2014