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HomeMy WebLinkAboutNew Business MEETING DATE: AGENDA #: PREPARED BY: CITY COUNCIL AGENDA REPORT AGENDA ITEM: CONSIDER APPROVAL 0 EPORT REGARDING OPERATION OF THE DANCE PROGRAM AND STUDIO. DISCUSSION: History: Since 1982, the City of Prior Lake has offered a dance program as part of its recreation programming. The first program was offered to 17 students in the basement of the old library building. In 1992, because of the growth of the program, the dance studio was moved to the Priordale Mall. A short two years later, the dance program boasted an annual budget of $47,500, employed four teachers and 225 students. The first full-time Recreation Supervisor was hired in part to supervise the dance director and teaching staff. In February 1997, as part of the $7.8 million Park and Library Referendum, fundingwas set aside to build a new studio as part of the new library. In October 1999, the dance program moved to its new 4634 square foot home located within the 17,867 square foot Library Resource Center. The program had a budget of $68,000, staff of 10, and 302 participants. By 2002, the dance program has an operating budget of $206,745, 12 teachers and 434 participants. Current Circumstances: The purpose of this report is to examine the Dance program operation and determine what course of action to take to assure that the program continues to grow and serve the needs of our community. There are numerous reasons for examining the Dance program at this time. 1. The 2020 Vision and Strategic Plan, in its financial element directs the staff to seek additional revenue sources and to exercise fiscal prudence in budgeting and fiscal management. 2. Governor Pawlenty and Finance Commissioner McElroy have encouraged cities to examine how to deliver services more cost effectively, including joint efforts and privatization. This message was underscored when we learned that Prior Lake would be losing $366,842 state assistance in 2003 and $366,842 in 2004. Modifications in the dance studio operation could be a part of the answer to these shortfalls. 3. The Dance program is at a crossroads. The existing space is utilized seven days a week. (See Attachment 1 which shows the classes offered, dates, times, age groups, teachers and tuition.) A few years ago, the dance program began participating in dance competitions. On one hand, it is unique for a municipal dance program to participate in competitions. On the other hand, I am told that resource constraints prevent participation in larger, more prestigious competitions. It appears that if the program is to 16200 Eagle Creek Ave. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245 R:\AGENDA REPORTS\2003 DRAFTSIMARCH 3RD DANCE.DOC AN EQUAL OPPORTUNITY EMPLOYER grow, it cannot do so as the program is currently administered and funded by the City. 4. The costs for the program in the recent years are rising faster than the revenues and number of dancers. The result is lower revenues and increased expenses. 5. Dawn Schulberg, the lead instructor, has confirmed her desire to open her own dance studio. The studio could be the Prior Lake program or completely independent from the City. It is my personal belief that if Ms. Schulberg leaves, a significant number of customers may follow her. The nature of the dance program would change as a result. Conclusion: The purpose of this agenda item is to look at the present dance studio operation to determine if changes should be made to improve the program for all stakeholders. ISSUES: The Existinq Dance Proqram Operation The Dance program is a year-round operation with the primary activity period from September to June, approximating the school year. In May and June, registration activities begin. By June/July, tryouts take place so that dancers are placed into classes based upon age, ability and experience. Classes are scheduled from August to June the following year. A total of 434 students participated this year. The 4634 square foot dance studio is divided into two different areas so that two classes can be offered simultaneously. Dance is offered for boys and girls of various ages and abilities. For example, creative movement is offered for 3 and 4 year olds. One of the most popular programs is jazz/tap which is offered to 4 year olds to 18 year olds. Classes in ballet, pointe, lyrical, dance line, Father/Daughter and competitive classes are also offered. For a complete listing of classes and age groups served, see Attachment 1 - Prior Lake Dance Class Schedule. Classes are offered seven days a week. Monday through Friday and on Sundays, with classes taking place in the afternoons and evenings. On Saturday, classes are offered 9am to 1 :30pm. Shown below is a table showing the growth in Dance program participants. Also shown are our projections, based upon the growth the program has experienced between 1999 and 2002, and for the next five years. Program growth was 132 participants in the three years from 1999 to 2002, or 44 participants per year. In five years, at this rate of growth, total participation could be 654 in 2007. Year # of Students 1982 17 1994 225 1999 302 2002 434 2007 654 These numbers may be conservative as the growth in Prior Lake in the last year (2002-2003) is dramatically higher than previous years. We also know that the School District has been adding new students at a rate of 400 per year. Finally, it has been generally recognized that additional students could be added to the program if teachers, time and additional space were available. R:\AGENDA REPORTS12003 DRAFTSIMARCH 3RD DANCE.DOC 2 Existinq Dance Studio Staff Resources The present operation and administration of the Dance program involves Recreation Supervisor Chris Esser, Recreation Specialist Heather Carlson, and Recreation Secretary Nancy McGill. These individuals are responsible for: (1) General administration of the 12 dance studio staff of independent contractors. This includes annual job descriptions, hiring, processing of personnel data, execution of contracts, personnel related complaints or announcements, and similar personnel functions. (2) Registration for programs. This involves registering and entering the pertinent information about each dancer into our RecTrac software, setting up accounts for billing and processing payments, and associated record- keeping. The Finance Department is involved, as well, in payroll processing, accounts payable for supplies and related expenses. (3) Communication. Dance studio communications include the Steppin'Times newsletter and registration information in the Wavelength together with periodic flyers of special events. (4) Dance Advisory Committee. The committee meets monthly to discuss dance-related issues and parent concerns. These individuals staff this committee. (5) Spring Recital. The annual recital involves the ordering of costumes by the City, taking inventory of the shipments, and obtaining payments. The written recital program and tickets are a significant effort requiring additional staff beginning in March to organize and participate in a large ticket sale event, distribution of tickets, designing and compiling program information, assembly of programs, and providing on-site supervision for rehearsals and at the recital event. Additional staff are also needed to work in the ticket booth during the recital. (6) Maintenance of Studio. The floor of the dance studio requires annual refinishing. Staff members are needed to supervise day-to-day activities to assure that participants do not damage the building or its contents. In addition to having janitorial services, once a week the building is swept and vacuumed by City employees and garbage removed. We estimate that annually, the operation of the Dance program requires 50% of the Recreation Supervisor's time, 80% of the Recreation Secretary's time, and 100% of the Recreation Specialist's time. This does not include time invested by the Assistant City Manager, the Maintenance staff, the Finance department, or other support staff as needed. Dawn Schulberg is the head dance instructor. She is responsible for the day-to day operations of the studio, recommending instructors for hire, assigning classes, approving time cards, arranging dance routines and oversight of the recital. She has 11 dance instructors who work with her (See Attachment 1). Financinq the Existinq Dance Studio Operation The Dance program expenses and revenues are part of our annual General Fund Budget. R:\AGENDA REPORTS12003 DRAFTSIMARCH 3RD DANCE.DOC 3 2000 2001 2002 Participants: 418 students 407 students 434 students ProQram Expenditures: Supplies, Fees, Rentals $ 69,540.00 $83,767.00 $92,999.00 Contractual Teaching Staff: $102,549.00 $110,405.00 $113,746.00 Total $172,089.00 $194,172.00 $206,745.00 ProQram Revenues: Includes Tuition, Costumes, Shoes, Recital, Competitions. Total $245,349.00 $274,563.00 $276,805.00 Total Net Revenue $73,260.00 $80,391.00 $70,060.00 Administrative Costs: Recreation Supervisor $22,446.00 $23,361.00 $24,603.00 (50% of annual wage) Recreation Secretary $14,404.00 $16,424.80 $17,382.00 (80% of annual wage) Recreation Specialist - -- - - -- - $6,256.00 (80% of annual wage) Total $36,850.00 $39,785.80 $48,241.00 Total Net Revenue Includina Admin Costs $36,410.00 $40,605.20 $21,819.00 Recreation Supervisor Chris Esser assembled the above data for the years 2000, 2001 and 2002. The data shows that in program year 2002, the dance program served 434 students. Costs for the purchase of supplies, fees and rentals constitute $92,999 and contractual teaching costs are $113,746. Considering both costs, the total 2002 expenditures for the dance program were $206,745. The revenues associated with the program were $276,805. Revenues in excess of expenditures were $70,060. However, certain operation and capital costs are not charged against the dance program. Wages for the Recreation Supervisor, Recreation Secretary and Recreation Specialist associated with the dance program operation were $48,241 in 2002. In 2003, the cost will be more like $60,486 because the Recreation Specialist fees reflected in 2002 are for a partial year. This does not include employee benefit costs for the Recreation Supervisor, which is a full-time position. Considering that benefits are 40% of the employee pay package, benefit costs on $24,603 in full-time Recreation Supervisor wages would be $9841. Building operating costs (heating, cooling, maintenance, cleaning, etc.) are not included above either. The annual cost of operating the Library building is about $55,000. Considering that the dance studio is about 26% of the building, approximately $14,300 in annual operating costs can be attributed to the dance studio. The capital costs of the building are not included as well. The Library project was $2.5 million. Assuming a 50 year useful life and the fact that the dance studio is about 26% of the building, the annual capital cost is $13,000 ($2.5 million +50 x .26). R:\AGENDA REPORTS12003 DRAFTSIMARCH 3RD DANCE.DOC 4 When taken together, the annual benefit costs, building operating and capital costs total $37,141. Subtracting this amount from the Net Revenue Including Administrative Costs of $21 ,819 yields an annual program loss of $15,322. An Alternate Approach The City could chose to radically reduce its involvement, and therefore investment, in the dance program while still generating revenues. Such an option would involve preparing a Request for Proposals (RFP) which would allow all interested parties to submit competitive proposals to lease the dance studio. The bid process would be publicized in the official newspaper to encourage the submission of proposals. The RFP would specify that the dance studio is available for lease to those who wish to run a dance program. The RFP would set forth the parameters for all bidders to follow. Hours of operation, insurance requirements, and expectations regarding the dance studio operation can be included in the RFP and enforced through a contract and security. Each bidder would submit a proposal which would quote a lease rate per square foot for each of the three years of the lease. A provision could be included so that at the end of the third year of the agreement, lease rates for the fourth, fifth and sixth years of the agreement would be negotiated. The RFP would also indicate that the Lessee would pay an annual allowance for operating costs (since separate meters do not exist for the dance studio). In this way, the City could recover some of the operating costs of the building. The RFP and contract would also specify that the bidder is responsible for cleaning the space at their own cost or by paying a pro-rata share of the City's building maintenance costs. The City owns a piano and stereo equipment in the studio so they would have to be addressed as well. The floor requires annual stripping, sanding and refinishing. This cost would be borne by the lessee or negotiated into the annual cost. While I have not done extensive surveying, I am aware of a local concern who has 5000 square feet of space available at $9,60 per square foot per year. This is rough space and does not include a dance floor, mirrors or separators. Since the dance studio is finished and ready to use, I would estimate a reasonable annual lease rate to be say $11 per square foot or $50,974 per year. If the lease is properly structured, the $50,974 can be income to the City. Of course, the ultimate lease rate will be based upon the proposals received. If the rate received is too low, the Council can always reject the proposal and continue to operate the studio as we presently do. Benefits to Alternate Approach There are a number of benefits associated with the alternate approach, including: 1. The dance program could be operated with positive revenue rather than at a loss. The savings could be as much as $88,115 to the City annually. 2. Operating costs for the building would be recouped at least in part. 3. The City's insurance rates may be modestly reduced since we will no longer be operating a dance studio. 4. The significant amounts of staff time presently invested to operate the studio could be re-directed. For example, the Receptionists could take on additional Administration Department typing tasks because the Recreation R:\AGENDA REPORTS\2003 DRAFTSIMARCH 3RD DANCE.DOC 5 Secretary can re-assume those responsibilities since her time is no longer demanded by the dance program. 5. The Recreation Supervisor will be able to spend more time in areas of recreation such as scheduling fields or new recreation programming. We have added additional parks and fields which require additional attention. 6. The Recreation Specialist could devote more time to senior programming. While we have initiated the monthly senior social, there are other programs where our senior programs could be expanded to meet the needs of our growing senior population. 7. A new revenue source to defray the costs of the Wavelength could be initiated. The City could offer to publish registration program information or advertisements for the dance studio and gymnastics studio with some sort of disclaimer. 8. The City could be viewed positively by taxpayers and private businesses for seeking to become more cost-effective and discontinue competition with the private sector. 9. If the existing instructor does leave the program, it is likely that our program will be significantly diminished and necessitate changes. Possible Concerns with Alternate Approach 1. The City will have to rely upon the private contractor to provide a program as good or better than the one the City has offered. If the same instructors are involved in the program, this may minimize this concern. 2. The selection of dance program offerings will no longer be controlled by the City. It would appear that the market will largely determine what the offerings are. 3. The City's name would no longer be associated with the program unless this was mandated in the RFP. I would be concerned about putting the City's name on a program we do not control. 4. Availability of the dance studio for private rental would no longer be available if leased. In the last three years, the facility has been rented by another party nine times. 5. Scholarships have been offered by the City in previous years. Generally, five to six families receive a scholarship annually. The value of the scholarships per family have varied from $146 to $330. The City could continue to offer scholarships or require that the vendor do so on a cost- sharing basis. 6. If the City no longer runs the program, it cannot control the tuition charged. Here again, competition may help mitigate against tuition increases. 7. If private operation of a dance program fails, then the City may need to get back into the dance business at some future time. Process The Council should discuss the contents of this report. If additional information is needed, it would be appropriate to directthe staff accordingly. I am aware thatthe City Council desires to solicit the input of the Park Advisory Committee and the Dance Advisory Committee. For that reason, it would be appropriate to send this report to both bodies. The two groups could discuss the issues attheir respective meetings or at a joint meeting. 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N~NWW"" NNN~-lOO Vl~VlVlVlVl ~~~~~~ <5~ZZ;:5~ N I N--O tot:O>nto> rJJ. ~ 6 i-i o > ~S .....z "'"l"'"l .....= Ot"" Zo< rJJ. ~ 6 i-i o == I--- "'"la:: ~o ::jZ ....."'"l oFl Zo< CITY COUNCIL AGENDA REPORT MEETING DATE: AGENDA # PREPARED BY: March 3, 2003 108 Bud Osmundson, Public Works Director AGENDA ITEM: CONSIDER APPROVAL OF A RESOLUTION AUTHORIZING THE CITY TO ENTER INTO A MUNICIPAL AGREEMENT WITH MNDOT AND THE CITY OF SAVAGE FOR THE CONSTRUCTION OF TURN LANES ON STATE TRUNK HIGHWAY 13 AT THE INTERSECTION OF 150TH STREET. DISCUSSION: H;storv MnDOT has scheduled an overlay of Trunk Highway 13 (TH 13) from County State Aid Highway 42 (CSAR 42) to CSAR 21 for the 2003 construction season. The "Proposed Long Term Access and Development Plan" shown on the attached drawing was completed by a joint agency task force in 1996. This plan states that the 150th St. / TH 13 intersection was to be a "Full access intersection - Design not yet determined". With the proposed overlay project and the fall 2003 opening of the new High School east of this intersection pending, City of Savage and our staff proposed to MnDOT that this intersection be improved with the MnDOT overlay project. The purpose of this agenda item is to approve a Municipal Agreement with MnDOT and the City of Savage to construct turn lanes at this intersection and to authorize a lump sum payment of$15,000 from each City for this project. CurrentCucumswnces Currently there is a right tum/by-pass lane and a through lane in each direction on TH 13 at the l50th St. intersection. There are not any left turn lanes at this intersection. Left turn lanes provide the most protection for rear-end collisions at intersections and are highly recommended on high volume, high speed roadways such as TH 13. Nancy Daubenberger of MnDOT has been very helpful in coordinating the design of a new intersection into the MnDOT overlay project. MnDOT has completed the design which will add the left turn lanes and improving the right turn lanes at this intersection. This will be accomplished by widening of the roadway at the present intersection. MnDOT has estimated the cost to be approximately $70,000 to do this work. They are asking that each City provide $15,000 in funding assistance as a lump sum payment and MnDOT will assume Maintenance Center agenda approvinlUl~3..~ekmann S1. S.E., Prior Lake, Minnesota 55372 / Ph. (952) 440-9675 / Fax (952) 440-9678 AN EQUAL OPPORTIJNITY EMPLOYER the remaining cost, including the engineering and construction inspection. There are no right-of-way costs or major utility work. Issues: A major concern staff has with this proposed project is it is not the permanent fix to this intersection as was envisioned in the City's Capital Improvement Plan (CIP). The 150th St. intersection project identified in the CIP included moving the intersection to the south to allow more stacking space on 150th in Savage, plus it included a signal light. It would also include concrete medians to separate the traffic, which are not included with the proposed 2003 project. The CIP identified project was expected to cost over $1 million which was to be shared between MnDOT, Prior Lake and Savage. The majority of the cost is in Savage due to right-of-way costs needed on their side. The proposed 2003 design to be completed with the overlay project improves the intersection over what exists today from a safety standpoint, but the CIP identified proj ect would include even more safety improvements. A second concern is ifby MnDOT moving ahead with this proposed project, that it would not want to participate in the permanent plan identified in the CIP. With the current financial crisis existing at the State level, staff is concerned that the City may never see any financial assistance from MnDOT for the 150th Street intersection. However, the availability of MnDOT financing may actually improve in the future, so this may not be a valid concern. Since the school district is also a major stakeholder on this intersection, we contacted Superintendent Westerhaus. While the Superintendent concurs that the permanent improvements are most appropriate he recognizes that any temporary improvements are better than none at all. Staff recommends that the City Council approve the Municipal Agreement and move forward with the proposed project. Savage is not in a position to move forward with a major project at this time due to other funding needs. MnDOT is requiring a resolution authorizing this work by March 4 so time is of the essence if this project is to move forward. This proposed project improves the intersection, is a good short term fix and will be in place for 5 to 10 years, until both Cities and the State are in a better position to accomplish the permanent improvement project outlined in the CIP. FISCAL IMPACT: Bud1!et Impact MnDOT has requested that the City provide a lump sum of $15,000 as its share of this project. The funding should come from the Collector Street fund. ALTERNATIVES: The alternatives are as follows: 1. A motion to approve a resolution authorizing the City to enter into a Municipal Agreement with MnDOT and the City of Savage for the construction of turn lanes on TH 13 at the 150th Street intersection. agenda approving Muni Agreemt 3-4 RECOMMENDED MOTION: REVIEWED BY: agenda approving Muni Agreemt 3-4 2. Table this agenda item for a specific reason. 3. Deny this agenda item for a specific reason. ative number 1. The resolution acknowledges that this nt solution, but a desirable temporary improvement. MOTION BY: WHEREAS, WHEREAS, WHEREAS, WHEREAS, WHEREAS, RESOLUTION 03-xx SOLUTION APPROVING ENTERING INTO A MUNICIPAL AGREEMENT WITH MNDOT AND THE CITY OF SAVAGE FOR THE CONSTRUCTION OF TURN LANES ON STATE TRUNK HIGHWAY 13 AT THE 150TH STREET INTERSECTION SECOND BY: The Minnesota Department of Transportation (MnDOT), the City of Savage and the City of Prior Lake agree that improvements are needed on Trunk Highway 13 (TH13) at the 150th Street intersection, and Permanent improvements to this intersection including a signal light, concrete medians, and other appropriate safety improvements, while recognized by all parties as most appropriate, cannot be accomplished in the immediate future, and MnDOT has agreed as a temporary improvement to design and construct left and right turn lanes on TH 13 at the 1 50th Street intersection at an estimated total cost of $70,000, and The City of Prior Lake and the City of Savage have been asked to contribute a lump sum of$15,000 each toward this project, with MnDOT agreeing to contribute the remainder of the project costs, and MnDOT, the City of Prior Lake and the City of Savage should enter into a Municipal Agreement outlining the responsibilities for the construction of this project. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA, that: 1. The recitals set forth above are incorporated herein. 2. The City enter into MnDOT Agreement No. 84551 with the State of Minnesota Department of Transportation and the City of Savage, for the purpose of providing payment by the City to the State for the City's share of the costs ofthe turn lane construction and other associated construction to be performed upon, along and adjacent to TH 13 at 1 50th Street within the corporate City limits under State Project No. 7001-88. 3. The Mayor and City Manager are authorized to execute the Agreement and any amendments to the Agreement. 4. The City Council authorizes the lump sum payment of $15,000 to MnDOT for the construction of this project and this amount shall come from the Collector Street Fund. Maintenance Center agendaap~]~eignlillMl3~. S.E., Prior Lake, Minnesota 55372 / Ph. (952) 440-9675 / Fax (952) 440-9678 AN EQUAL OPPORTUNITY EMPLOYER assed this 3rd day of March 2003. YES NO Blomberg Blomberg Haugen Haugen LeMair LeMair Petersen Petersen Zieska Zieska { Seal } Frank Boyles, City Manager agenda approving Muni Agreemt 3-4 ~ir~1i'{g lXIo@lXJW~"1J~ Lr~ ~ ~ [b@lM@ ~ ~~~~@ ~~~~ _A -..c:....,e-w ..._.......'"13 ....- -.,c _c.._.. ..--........... ..... ............. lot ",_-,12 .. W............... -..-.....- . .....IN_ - I Scale 1 mile ..-- ..THa........ ........ .. III ...... .......-...... ~.... . -----...................... ..... ---- ......_ N~ Nlltfa.....- ,...,e: ....,.... ....., A .........-.. ........-........ c.nrN.D..,._ ........-.. _c ...-............clIy ..... ..... ill ... ... ..... ... ......... ..... --- -- ","""C - ",._..............C_ ................. ........... ............. .............. ...--- ............,-..., ............ It_........_~_.."" ............. . PRE-LETTING SERVICES SECTION STATE OF MINNESOTA DEPARTMENT OF TRANSPORTATION COOPERATIVE CONSTRUCTION AGREEMENT Mn/DOT AGREEMENT NO. 84551-R S.P. 7001-88 (T.n. 13:117) Fed. Proj. STPX 7003(192) The State of Minnesota Department of Transportation, and The City of Prior Lake and C1ty of Savage Re: Lump sum payment:. for Turn Lane construction by the State on T.R. 13 at 15,9 Street o AMOON'I' ENCUMBERED (None) AMOUN'I' RECEI'V'ABLE CITY OF PRIOR LAKE _ $15,000.00 AMOUNT RECEIVABLE CITY OF SAVAGE $15,000.00 TOTAL AMOUNT RECEIVABLE $30,000_00 THIS AGaEEMENT is made and entered into by and between the State of Minnesota, Department of Transportation, hereinafter referred to as the "State", the City of Prior Lake, Minnesota, acting by and through its City Council, hereinafter referred to as "Prior Lake" and the City of Savage, Minnesota, acting by and through its City Council, hereinafter referred to as ~Savageu. 1 WHEREAs, the Sta~e is about to perform milling, bituminous overlay and turn lane construction and other associated construction Upon, along and adjacent ~o Trunk Highway No. 13 from C.S.A.H.21 to 0.5 miles south of C.S.A.H. 42 within the corporate City limits Prior Lake and Savage in accordance with State plans, specifications and special provisions designated as State ~rojecc No. 7001-88 (T.H~ 13=117); WHEREAS, Prior Lake and Savage have requested turn lane construction at TH 15~m Street to be included in the construction; and o WHEREAS, the State has requested participation by Prior Lake and Savage in the costs of the turn lane construction; and WHEREAS, Prior Lake and Savage have each expressed ics willingness to participate in the costs of the turn lane construction and associated construction engineering in equal amOUnts of $15,000.00, as hereinafter set forth; and WHEREAS, Minnesota Statutes Section 161.20, subdivision 2 authorizes the Commissioner of Transportation to make arrangements with and cooperate with any governmental authority for the purpose of constructing, maintaining and improving the trunk highway system. IT IS, THEREFORE, MUTUALLY AGREED AS POL~Ows: ARTICLE r - CONSTRUC~ION BY THE STATE Section A. Contraet Award The State shall advertise for bids and award a construction contract to the lowest responsible bidder for State Project No. 7001-88 (T.R. 13=117) in accordance with State plans, specifications and special provisions which are on file in the office of the 2 Commissioner of Transportation at St. Pau2, Minnesota, and are incorporated into this Agreement by reference. Section B. Direction and Supervision of Construction The Stace shall direct and supervise all construction activities performed under che construccion contract, and perform all construc~ion engineering and inspection functions in connection wich the contract construction. All contract construction shall be performed in compliance with the approved plans; specifications and special provisions. Section C. P~an Changes, Addieiona~ Construction, 2tc. The State shall make changes in che plans and contract construction and enter into any necessary addenda, change orders and supplemental agreements with the State's contractor that are necessary to cause the contract construction to be performed and completed in a satisfactory manner. However, the Staters District Engineer at Roseville or his authorized representative will inform the appropriate City official of any proposed addenda, change orders and supplemental agreements to the construction contract. Section D. Satisfactory Camp~etion of Contract The State shall perform all other acts and functions necessary to cause the construction contract to be completed in a satisfactory manner. Acceptance by the State of the completed contract construction shall be final, binding and conclusive upon Prior Lake and Savage as to the satisfactory completion of the contract construction. ARTiCLE II - INSPECTiON BY PRIOR LAXE AND SAVAGB The contract construction shall be open to inspection by Prior Lake and Savage. If either Prior Lake or Savage believes the contract 3 construction has not been properly performed or that the construction is defective, Prior Lake or Savage shall inform the State District Engineer's authorized representative in writing of those defects. Any recommendations made by Prior Lake or Savage is not binding on the State. The State shall have the exclusive right to determine whether the State's contractor has satisfactorily performed the contracc construccion. ARTICLE III - PAYMENT BY PRIOR LAKE AND SAVAGE Prior Lake shall advance to the State, as Prior Lake's full and complece share of the coscs of the curn lane conscruction and associated conscruccion engineering to be performed upon, along and adjacent to Trunk Highway No. 13 at 15~~ Street within the corporate City limits under State Project No. 7001-88 (T.R. 13=117), a lump sum in the amount of $15,000.00 Savage shall advance to the State, Savage's full and complete share of the costs of the turn lane construction and associated construction engineering to be performed upon, along and adjacent to Trunk Highway No. 13 at 15gth Street within the corporate City limits o . under State Project No. 7001-ea (T.R. 13=117), a lump sum in the amount of $15,000.00. Both Prior Lake and Savage shall advance to the State the lump sum amount after the following conditions have been mee: A. Execution and approval of this Agreement and the State's transmittal of it to Prior Lake and Savage. B. Award of the construction contract for the construction to be yerformed hereunder. 4 c. Receipt by both Prior Lake and Savage of a written request from the State for the advancement of funds. ARTJ:CLE .IV - GENERAL PROVISIONS Seetion A. P~an Changes Prior Lake and Savage may request changes in the plans. If the State determines that the requested plan changes are necessary or desirable, the State ~ill cause those plan changes to be made. Section B. Replacement of Castings Prior Lake or Savage shall furnish the State's contractor with new castings and parts for all inplace City-owned facilities constructed hereunder when replacements are required, without cost or expense to the State or the State's contractor, except for replacement of cascings and parts broken or damaged by the State's contractor. Section C. Examination of Books, Reeordsr Bee. As provided by Minnesota S~atu~es Section ~6C.OS, subdivision 5, the books, records, documents, and accounting procedures and practices of each party relevan~ to this Agreemen~ are subjec~ ~o examination by each party, and either the legislative auditor or the state auditor as appropriate, for a minimum of six years from final payment. Section D. Claims Each par~y is responsible for its 'own employees for any claims arising under the Workers Compensation Act. Each party is responsible for its own acts, omissions and the results ~hereof ~o the extent authorized by la~ and will not be responsible for the acts and omissions of others and the results thereof. Minnesota Statutes Section 3.736 and other applicable law govern liability of the State. Minneso~a S~atutes Chap~er 466 and other applicable law govern liability of Prior Lake and Savage. 5 Seccion E. Agreement Approval Before this Agreement shall become binding and effective, it shall be approved by City Council resolucion, from each city, and receive approval of State and City officers as the law may provide in addition to the Commissioner of Transportation or her authorized representative. ARTICLB V . AUTHORIZED AGENTS The State's Authorized Agent for the purpose of the administration of this Agreement is Maryanne Kelly-Sonnek, Municipal Agreements Engineer, or her successor. Her current address and phone number are 395 John Ireland Boulevard, Mailstop 682, St. Paul, MN 55155, (651) 296-0~69. Prior Lake's Authorized Agent for tbe purpose of the administration of this Agreement is Bud Osmundson, Public Works Director, or his successor. His current address and phone number are City of Prior Lake Public Works Department, 17073 Adelmann St. SE, Prior Lake, MN 55372, (952) 447-9890. Savage's Authorized Agent for the purpose of the administration of this Agreement is Jason Wedel PE, City Engineer, or his successor. His current address and phone number are 6000 McColl Drive, Savage Minnesota 55378-2464, (952) 882-.2672. 6 IN TESTIMONY WHEREOF the parties have executed this Agreement by their auchorized officers. C~~ OP PR70R LAKE DEPARTMENT OF TRANSPORTATION ReC:ClIIIIIeDded for approval t By Mayor By Oia~ri~t ~gineer Date AppZ"ClV1ild, By 13y SC~te ~epign Engineer T.1~le Date Dace COMMISSIONER OF AD~NISTRATION :as cielega~ed. tQ Mat.er1alll )(~gem=nt. Divi~ion By Date OF:rICE OF THE ATTORNEY GENERAL Approved as to fO%ll1 and execution; Ey Date 7 Nvt<'J IN TESTIMONY WHEREoF the parties have executed this Agreement by their authorized officers. C:rTY OF SAVAGE By Mayor Daee By Title Date 8 MEETING DATE: AGENDA # PREPARED BY: REVIEWED BY: AGENDA ITEM: DISCUSSION: CITY COUNCIL AGENDA REPORT MARCH 3, 2003 10C CRAIG ELDRED, STREETS AND UTILITIES SUPERVISOR BUD OSMUNDSON, PUBLIC WORKS DIRECTOR CONSIDER APPROVAL OF A RESOLUTION AUTHORIZING THE PURCHASE OF ONE TANDEM AXLE CAB AND CHASSIS TRUCK AND APPURTENANT EQUIPMENT THROUGH THE STATE COOPERATIVE PURCHASING PROGRAM. Historv The purpose of this agenda item is to authorize the purchase of a new tandem cab and chassis with front and wing plows, box and sander, through two contracts under the Minnesota Cooperative Purchasing Program. One contract is for the cab/chassis, the second is for the sand/salt box, plow, wing and sander. This unit will replace an existing five-ton single axle cab and chassis with front and wing plows and dump box with sander. Current Circumstances The Public Works Maintenance Department currently utilizes seven five-ton single axle trucks year round. These trucks are used by all of the following maintenance divisions: streets, sewer, water, parks and water resource. Each division will utilize this vehicle to accomplish a variety of tasks, including: snow plowing, mixing sand and salt, hauling and spreading of sand/salt and gravel, hauling of street sweepings, ball diamond field lime, black dirt, unsuitable soils from utility breaks and replacement soils, hauling debris such as concrete, blacktop, tree and storm debris, plus other maintenance and construction related tasks. Yearly, as part of the Capital Improvements Program, the City adopts an equipment replacement fund and matrix. The purpose of this equipment replacement fund is to identify and budget for equipment and vehicles that need replacement due to age and wear, or to provide for new equipment that needs to be purchased. All equipment identified in the matrix is subject to Council approval. The CIP equipment matrix identifies $132,613,00 for the purchase of the tandem cab/chassis and related snow removal equipment. The actual cost for this truck and equipment after trade-in is $121,390.84. This is an aggregate total involving two contracts under the State Cooperative Purchasing Program. Issues Staff recommends the replacement of truck #465, a 1992 International truck. Typically, the engines, transmissions and drive trains on five-ton plow trucks are capable of operating between 70,000 and 100,000 miles before needing major repairs and overhauls. Truck #465 is eleven years old and has accrued 71,000 miles. 2/21~0 Eagle Creek Ave. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER FISCAL IMPACT: 2/2612003 This unit has out of date plowing equipment and structural issues which warrant its replacement. The front plow rises on a rail type system and doesn't allow for a great amount of ground clearance while traveling or pushing up piles of snow in cul-de-sacs. The wing is nine feet in length and is adjusted manually, and when the wing is raised it causes visibility problems for the operator. When dumping material the operator has to open the door to operate the latch or the tailgate of the existing box. The sanding unit is a roller sander which plugs if the material run through is frozen. The frame on the chassis is stressed, which means it is cracked and in need of major repairs. The State Cooperative Purchasing Program has prepared specifications and solicited bids for tandem axle cab and chassis. Staff recommends choosing the lowest bidder, North Star International of Minneapolis. The bids are shown below: Vendor Boyer Sterling Trucks North Star International Minneapolis, MN Minneapolis, MN Manufacturer Sterling International Model LT9500 Diamond SPEC 7600 EnQine Cat C12 355 hp Cat C12 380 hp Base Price $48,000,00 $51,000.00 Options $28,709.00 $24,109.00 Subtotal $76,709.00 $75,109,00 Less Trade ($12,240.00) ($15,000.00) Subtotal $64,469.00 $60,109.00 Sales Tax $4,190.49 $3,907.09 Total $68,659.49 $64,016.09 A bid was also prepared for truck bodies and snow plow equipment. The low bid was submitted by J-Craft, Inc., of Kimball, Minnesota. The following bids reflect a total price for box, front plow, wing, sander and strobe lights: Vendor J-Craft, Inc. Aspen Equipment Kimball, MN Bloomin ton, MN Installed E ui ment Base Price $53,873.00 $56,572.00 Sales Tax $3,501.75 $3,677,18 Total $57,374.75 $60,249.18 Cost Benefit Analvsis The main goal of an equipment replacement policy is to lower the lifetime costs of all public works equipment and retain the highest trade-in value. Current data suggests that after eight years, major repairs are often necessary, and the lifetime and lifecycle costs increase. At a previous workshop in 2001, "Evaluation of Street Snowplowing Equipment Alternatives", staff researched options of replacing equipment versus leasing or subcontracting. At that point, staff agreed it was necessary to replace currently owned ALTERNATIVES: RECOMMENDED MOTION: 2/26/2003 equipment to maintain the current level of service versus outside contracting. Current staff also agrees with this research and therefore are recommending the replacement of the existing truck. The 2001 report anticipated future growth and needs, and recommended the existing five-ton should be replaced in 2003 with a tandem axle chassis and plow equipment. Expanded growth in the northwest portion of the community and an increase in collector streets, demonstrate the need for a new, larger truck. In an average year, the City will add approximately two miles of roadway, this past year, the City added over five miles. The new tandem axle cab and chassis can haul 15 tons of material, whereas a single axle truck can only haul six tons, resulting in more than twice the hauling capacity. This increase in size will improve the efficiency of the public works departments by decreasing time and trips delivering and hauling away material on projects. Staff is also adding new plow routes due to the City's growth, and this unit would allow Public Works to haul more sand/salt each trip to aid in snow removal material application by reducing the number of trips returning to the Maintenance Center to reload, The new truck would address the visibility issue by adding a hydraulic push arm on the wing which will bring the transport position below the passenger window on the cab/chassis. The new truck will also have a ten foot wing instead of the existing nine foot wing, allowing for a greater cleaning swath for snow removal. An auger system on the sander is used instead of the roller sander mentioned earlier. This system is more reliable than the roller system when distributing frozen sand. Also, an air-release on the tailgate instead of the manual release will be provided. Although this would be a different chassis than what has been purchased previously, all of the snow removal equipment, box and operating equipment will remain very similar in operation. We are familiar with International Trucks as we have operated and maintained them in the past. The City has also purchased plow and sanding equipment from J-Craft before and our experience was satisfactory. The alternatives are as follows: 1. Approve Resolution 03-xx authorizing the trade-in of truck #465, the 1992 International, and the purchase of the International Cab and Chassis from North Star International trucks, the purchase of the plow/sand equipment from J-Craft Equipment, and allocating funding therefore. 2. Table this item for a specific reason. 3. Deny this agenda item for a specific reason and provide staff with direction. ative number 1. RESOLUTION 03-xx RESOLUTION AUTHORIZING THE PURCHASE OF ONE TANDEM AXLE CAB AND CHASSIS TRUCK AND APPURTENANT EQUIPMENT FOR PUBLIC WORKS MAINTENANCE THROUGH THE STATE COOPERATIVE PURCHASING PROGRAM MOTION BY: WHEREAS, WHEREAS, WHEREAS, WHEREAS, SECOND BY: The Capital Improvement Program equipment inventory for 2003 identifies $132,613.00 for a new tandem axle cab and chassis with snow plow equipment; and Unit 465, a 1992 International single axle truck with plows, box and sander has 71,000 miles and structural deficiencies and is scheduled for replacement in 2003; and The City is purchasing this equipment based on quotes obtained through the State Cooperative Bidding Program; and The following table shows the quotes the City received for the tandem axle cab and chassis: Vendor Boyer Sterling Trucks North Star International Minneapolis, MN Minneapolis, MN Manufacturer Sterlinq International Model LT9500 Diamond SPEC 7600 Engine Cat C12 355 hp Cat C12 380 hp Base Price $48,000.00 $51,000.00 Options $28,709.00 $24,109.00 Subtotal $76,709.00 $75,109.00 Less Trade ($12,240,00) ($15,000.00) Subtotal $64,469.00 $60,109.00 Sales Tax $4,190.49 $3,907.09 Total $68,659.49 $64,016.09 162at'2~Q:Creek Ave. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER WHEREAS, The following table shows the quotes the City received for the snow plow equipment including the box, plow, wing and sander: WHEREAS, The lowest responsible bidder for the cab and chassis is North Star International of Minneapolis, MN and J-Craft, Inc. of Kimball, MN is the lowest responsible bidder for the box, plow, wing and sander. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA, that: 1. The recitals set forth above are incorporated herein. 2. The City Council authorizes the expenditures from the Revolving Equipment Fund for the tandem axle cab and chassis in an amount not to exceed $60,109.00 plus $3,907.09 in sales tax for a total cost of $64,016.09. 3. The City Council authorizes the expenditures from the Revolving Equipment Fund for the snow plow equipment including the box, plow, wing and sander in an amount not to exceed $53,873.00 plus $3,501.75 in sales tax for a total cost of $57,374.75. 4. The Mayor and City Manager are authorized to execute documents as necessary to effectuate this purchase. Passed this 3rd day of March 2003. Hauqen Hauqen Petersen Petersen Zieska Zieska LeMair LeMair Blomberq Blomberq YES NO { Seal} Frank Boyles, City Manager 2/26/2003 CITY COUNCIL AGENDA REPORT MEETING DATE: AGENDA # PREPARED BY: REVIEWED BY: AGENDA ITEM: MARCH 3, 2003 10D AL FRIEDGES, PARKS AND FLEET MAINTENANCE SUPERVISOR BUD OSMUNDSON, PUBLIC WORKS DIRECTOR CONSIDER APPROVAL OF A RESOLUTION AUTHORIZING THE PURCHASE OF A COMMERCIAL MOWER AND UTILITY MAINTENANCE VEHICLE THROUGH THE COOPERATIVE PURCHASING PROGRAM. DISCUSSION: Historv The purpose of this agenda item is to authorize the purchase of a new commercial 72" mower and a utility maintenance vehicle with a ball field drag under the Minnesota Cooperative Purchasing Program. Yearly, as part of the Capital Improvements Program, the City adopts an equipment replacement fund and matrix. The purpose of this equipment replacement fund is to identify and budget for equipment and vehicles that need replacement due to age and wear, or to provide for new equipment that needs to be purchased. All equipment identified in the matrix is subject to Council approval. Current Circumstances 72" Out Front Deck Commercial Mower The Parks Department mows approximately 350 acres of turf during the spring, summer, and fall. The number of acres is increasing with the ongoing development of neighborhood parks and community parks within the City. During the winter months, the skating rinks and sidewalks need maintaining. The commercial mower is responsible for the above maintenance year round. Currently, the Parks Department has a 1996 model 3250 (72") Taro Groundsmaster, which as of January 16, 2003, has 4712 work hours accumulated, Due to the number of hours and the poor condition of the machine, the repair costs are rapidly increasing. To eliminate the repairs costs and salvage any remaining value of the existing mower, the City would like to trade in the 1996 model for the new 2003 model commercial mower. However, because the broom, snow attachment and cab with lights are in good condition, we will keep them to minimize costs to the City, The CIP equipment matrix identifies $25,462,00 for the purchase of a commercial mower. City staff requested three quotes under the State Cooperative Purchasing Program for the new mower, shown on the following table (prices do not include sales tax): 2/26/1@200 Eagle Creek Ave. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER Vendor Lano Equipment Sun. Turf Inc. MTI Distributing Co. Model Kubota 3060 Jacobsen 628 Toro 328D Base Price $16,410.00 $13,491.00 $17,462.00 Broom Attach. $3,165,00 $5,285.00 $2,850,00* Snow Attach. $2,905.00 $5,340.00 $4,280.00* Cab w/liQhts $4,645.00 $5,160.00 $3,912,00* Subtotal $27,125.00 $29,276.00 $17,462.00 Less Trade ($1,500.00) ($1,200.00) ($1,600.00) Total $25,625.00 $28,076.00 $15,862.00 *Denotes equipment purchase price, but not included in total cost because we are not replacing the existing equipment. Utility Maintenance Vehicle with Ballfield Drag Attachment The utility maintenance vehicle is designed for daily dragging and maintenance of softball and baseball fields. The utility vehicle is also utilized for hauling black dirt and topdressing material for filling in ruts and washouts on the soccer and football fields and grass outfields in the City's parks. The utility vehicle is indispensable on steep slopes and smaller spaces. The vehicle can maneuver well on steep slopes, where placing rip rap in wash outs is common. The utility vehicle is also smaller than other equipment in the fleet, and is used where other vehicles can not go, like heavily wooded areas. The current Parks Department utility vehicle is a 1990 Cushman model, with 2949 work hours. The CIP equipment matrix identifies $14,853.00 for the purchase of a utility vehicle. City staff requested two quotes under the State Cooperative Purchasing Program for the new utility vehicle, shown on the following table (prices do not include sales tax): Vendor Sun. Turf, Inc. MTI Distributing Co. Model Cushman 4-Wheel Truckster T oro 3230 Workman Base Price $17,323.00 $18,700,00 Less Trade ($2,500.00) ($2,500.00) Total $14,823.00 $16,200.00 Issues Staff recommends purchasing the 2003 T oro 328D Commercial Mower for several reasons. As shown in the above table, the Taro model is the least expensive model of the three quotes staff received. This is in large part due to the fact that the existing mower trade-in is a Taro model. The existing cab, broom and snow blower are all in good condition and do not need replacement at this time. If we chose to purchase the Toro 328D, we are able to utilize our current cab, broom and snow blower because they are all interchangeable. If we choose to buy another brand, we will also need to buy the all-weather cab with heat and lights, rotary broom, and snow blower, because they are not compatible with the Toro attachments we currently have. 2/26/2003 Finally, Taro is the only vendor to offer a true recycling deck. The recycling deck is an important feature, without it, the options are using a side discharge or rear discharge deck. Both of these options can cause safety issues and require additional clean up along streets, trails, parking lots, and wetlands, resulting in longer operator hours and FISCAL IMPACT: ALTERNATIVES: RECOMMENDED MOTION: 2/26/2003 less efficiency. Typically, most communities replace mowers every four to five years. The equipment matrix identifies five years as the life of each mower. In keeping with the equipment matrix and the large number of work hours accumulated, the 1996 Toro mower is identified to be replaced. The trade-in value of the existing mower is $1,600.00. Staff also recommends purchasing the Cushman Model 898627 4-Wheel Truckster for several reasons. As shown in the above table, the Cushman model is the least expensive model of the two quotes staff received. Additional soccer, football and softball/baseball fields have been added to the existing park system, adding to the amount of maintenance City crews are responsible for. The existing utility vehicle has many work hours accumulated and is in need of replacement, as shown on the equipment matrix. The trade-in value for the existing utility vehicle is $2,500.00. Budaet Impact The CIP equipment matrix identifies $25,462.00 (not including sales tax) for the purchase of a new commercial mower. The total cost (including sales tax) of a new 2003 Taro 328D mower is $15,862.00 ($16,893.03). The vendor, MTI Distributing Co., offers a trade-in value of $1,600.00 for the City's existing mower. Due to the high number of work hours on the existing mower and the rising repair costs, staff feels the trade-in value is adequate. Staff recommends the City purchase the 2003 Tore 328D commercial mower and trade-in the existing mower. The CIP equipment matrix identifies $14,853.00 (not including sales tax) for the purchase of a new utility vehicle. The total cost (including sales tax) of a new Cushman 4-Wheel Truckster is $14,823.00 ($15,786.50). The vendor, Sun-Turf, Inc., offers a trade-in value of $2,500.00 for the City's existing vehicle. Due to the age of the existing utility vehicle and the high number of work hours, staff feels the trade-in value is adequate. Staff recommends the City purchase the Cushman 4-Wheel Truckster and trade-in the existing vehicle. The alternatives are as follows: 1. Approve Resolution 03-xx authorizing the purchase of a commercial mower and utility vehicle and allocating funding therefore. 2. Table this item for a specific reason. 3. Deny this agenda item for a specific reason and provide staff with direction. RESOLUTION AUTHORIZING THE PURCHASE OF ONE COMMERCIAL MOWER AND ONE UTILITY MAINTENANCE VEHICLE FOR THE PARK MAINTENANCE DEPARTMENT THROUGH THE STATE COOPERATIVE PURCHASING PROGRAM MOTION BY: WHEREAS, SECOND BY: The Capital Improvement Program equipment inventory matrix for 2003 identifies $25,462.00 for a new mower and $14,853.00 for a new utility vehicle; and WHEREAS, Unit #523, a 1996 Model 325D Toro Groundmaster and unit #537, a 1990 Cushman are scheduled for replacement in 2003; and WHEREAS, The City is purchasing this equipment based on quotes obtained through the State Cooperative Bidding Program with negotiated pricing as follows: Commercial Mower Vendor Lana Equipment Sun.Turf Inc. MTI Distributing Co. Model Kubota 3060 Jacobsen 628 Taro 328D Base Price $16,410.00 $13,491.00 $17,462,00 Broom Attach. $3,165.00 $5,285.00 $2,850.00* Snow Attach. $2,905.00 $5,340.00 $4,280.00* Cab wI lights $4,645.00 $5,160.00 $3,912.00* Subtotal $27,125.00 $29,276.00 $17,462.00 Less Trade ($1,500.00) ($1,200.00) ($1,600.00) Total $25,625.00 $28,076.00 $15,862.00 *Denotes equipment purchase price, but not included in total cost because we are not replacing the existing equipment. I I[Y e IC e Vendor Sun. Turf, Inc. MTI Distributing Co. Model Cushman 4-Wheel Truckster T oro 3230 Workman Base Price $17,323.00 $18,700.00 Less Trade ($2,500.00) ($2,500.00) Total $14,823.00 $16,200.00 Ufn V h' I WHEREAS, The lowest responsible bidder for the mower is MTI Distributing Co. of Brooklyn Center, MN, and Sun-Turf, Inc. of St. Paul, MN for the utility vehicle. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA, that: 1. The recitals set forth above are incorporated herein. 162Qf2~~reek Ave. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER 2. The City Council authorizes the expenditures from the Revolving Equipment Fund for commercial mower in an amount not to exceed $15,862,00 plus $1,031.03 in sales tax for a total cost of $16,893.03 and a maintenance utility vehicle in an amount not to exceed $14,823.00 plus $963.50 in sales tax for a total cost of $15,786.50. 3. The Mayor and City Manager are authorized to execute documents as necessary to effectuate this purchase. Passed this 3rd day of March 2003. HauQen HauQen Petersen Petersen Zieska Zieska LeMair LeMair Blombero Slombero YES NO { Seal} Frank Boyles, City Manager 2/26/2003 MEETING DATE: AGENDA #: PREPARED BY: REVIEWED BY: AGENDA ITEM: DISCUSSION: CITY COUNCil AGENDA REPORT MARCH 3, 2003 10E JENNIFER R. WITTKOPF, CIVIL ENGINEER SUE MCDERMOTT, CITY ENGINEER CONSIDER APPROVAL OF A RESOLUTION ACCEPTING THE STORM WATER POLLUTION PREVENTION PROGRAMS (SWPPP'S) FOR THE CITY'S MUNICIPAL SEPARATE STORM SEWER SYSTEMS (MS4'S) AND FOR THE CITY'S PUBLIC WORKS FACILITIES AS PREPARED BY WSB & ASSOCIATES, INC. History: In 1972 the Clean Water Act was amended by Congress to require National Pollutant Discharge Elimination System (NPDES) permits for any pollutants discharged to waters of the United States. The U.S. Environmental Protection Agency authorized the Minnesota Pollution Control Agency (MPCA) in 1974 to administer the program statewide. The Clean Water Act was amended in 1987 to include a national program for storm water discharges to be implemented in two phases under the NPDES program. Under Phase II, regulated small MS4's and industrial facilities are required to obtain permit coverage by March 10, 2003. The goal of the NPDES permit is to restore and maintain the chemical, physical and biological integrity of waters of the state through management and treatment of urban storm water runoff. Current Circumstances: Any entity regulated under Phase II has several requirements to fulfill as a part of obtaining the permit. These include developing a SWPPP, implementing Best Management Practices (BMP's) for the required minimum control measures, enforcing measurable goals and timelines for these BMP's, and submitting annual reports for the five-year duration of the permit. Many of the BMP's identified in the SWPPP, such as street sweeping, have already been implemented by the City. Additional BMP's will also be required to meet the permit requirements. For example, an annual public meeting on the City's SWPPP is required at which the Council will consider written and oral input on the adequacy of the SWPPP. The six minimum control measures are: (1) public education and outreach on storm water impacts, (2) public participation and involvement, (3) illicit discharge detection and elimination, (4) construction site storm water runoff control, (5) post- 16200 Eagle Creek Ave. S.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245 R:\AGENDA REPORTS12003 DRAFTS\MARCH 03 NPDES swpp~UAL OPPORTUNITY EMPLOYER The City of Prior Lake is required to apply for two separate permits: an MS4 permit for th~ city as a whole and an industrial permit for the Public Works facilities within the City. The City has retained WSB & Associates to prepare these two SWPPP's for the City's compliance with the permit regulations. These SWPPP's include evaluation of current standards and practices; minimum control measures and BMP implementation; measurable goals and monitoring programs; and annual report forms. Over the course of the five-year permit, the MPCA may require the City to update these SWPPP's to ensure compliance with the intent of the permits. City staff will evaluate and revise the programs as necessary. In addition to the SWPPP submittal, the City must submit a Notice of Intent, which notifies the MPCA of the City's intent to comply with the NPDES permits. The Notice of Intent should be signed by the City Manager. Conclusion: The SWPPP's and Notice of Intents have been completed per City staff's direction and are ready for submittal to the MPCA. The permit application deadline is March 10, 2003. ALTERNATIVES: (1) Approve a Resolution accepting the Storm Water Pollution Prevention Programs (SWPPP's) for the City's Municipal Separate Storm Sewer Systems (MS4's) and for the City's Public Works facilities as prepared by WSB & Associates, Inc. and directing their submission to the MPCA; and authorizing the City Manager to execute the Notice of Intent for NPDES Phase I!. (2) Table this Agenda Item for a specific reason. (3) Deny this Agenda Item for a specific reason and provide staff with direction. RECOMMENDED MOTION: Alternative number 1. --~ -..--" REVIEWED BY: ~'ul REVIEWED BY: R:\AGENDA REPORTS12003 DRAFTS\MARCH 03 NPDES SWPPP-A.DOC RESOLUTION 03-XX RESOLUTION ACCEPTING THE STORM WATER POLLUTION PREVENTION PROGRAMS (SWPPP'S) FOR THE CITY'S MUNICIPAL SEPARATE STORM SEWER SYSTEMS (MS4'S) AND FOR THE CITY'S PUBLIC WORKS FACILITIES AS PREPARED BY WSB & ASSOCIATES, INC. MOTION BY: SECOND BY: WHEREAS, the United States Congress amended the Clean Water Act to include a storm water discharge program, including the issuance of general permits for Municipal Separate Storm Sewer Systems (MS4'S) and the issuance of industrial permits for facilities engaging in industrial activities, and WHEREAS, the City of Prior Lake is a regulated small MS4 that must develop a Storm Water Pollution Prevention Program (SWPPP) and obtain this permit by March 10, 2003,and WHEREAS, the City's Public Works facility is an industrial facility that must develop a Storm Water Pollution Prevention Program (SWPPP) and obtain this permit by March 10, 2003, and WHEREAS, WSB & Associates, Inc. has prepared these two SWPPP's for the City's compliance with the NPDES Phase II permit regulations, NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA, 1. The recitals set forth above are incorporated herein. 2. The City Council hereby accepts the MS4 SWPPP and the Industrial SWPPP as prepared by WSB & Associates, Inc., and authorizes City staff to complete minor revisions to the SWPPP's as required by the MPCA. 3. The City Manager is authorized to execute the Notice of Intent. 4. City Staff is directed to submit the documents to the MPCA. Passed and adopted this 3rd day of March 2003. HauQen Haugen Blomberg Blomberg LeMair LeMair Petersen Petersen Zeiska Zeiska YES NO Frank Boyles, City Manager 16200 ~S'o~~IiS\~05rPd@f~R.~nnesota 55372-1714 / Ph. (952) 447-4230 / Fax (952) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER