HomeMy WebLinkAbout9H - CR 82 Cooperative Agreement
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16200 Eagle Creek Avenue S.E.
Prior Lake,MN 55372-1714
CITY COUNCIL AGENDA REPORT
AUGUST 7, 2007
9H
STEVE ALBRECHT, DIRECTOR OF PUBLIC WORKS
CONSIDER APPROVAL OF A RESOLUTION APPROVEING THE
AMENDED COUNTY ROAD 82 COOPERATIVE AGREEMENT WITH SCOTT
COUNTY
Introduction
The purpose of this agenda item is for the City Council to approve the
amended Cooperative Agreement with Scott County for the reconstruction of
CR82.
Historv
Scott County, the Shakopee Mdewakanton Sioux Community (SMSC) and the
City of Prior Lake have allocated funding for this important road improvement
project. Plans and specifications were previously approved by the Council for
this project.
On June 5, 2006 the City Council approved a Cooperative Agreement with
Scott County for he reconstruction of CR 82. Certain amendments to this
agreement are needed in light of statutory regulations regarding the City and
County project funding.
Current Circumstances
The City's CIP and funding plan for CR 82 is dependent on Scott County
bonding for $1,200,000.00. The County will be incurring bonding costs
estimated at $329,629.00 for the $1,200,000.00 in bonding. The City's
payment of an additional $329,629.00 in roadway construction costs will offset
the bonding costs the County will incur on the City's behalf. The City would
make an annual payment of $153,169.00 for a period of 10 years to reimburse
the County.
The City's Director of Finance Ralph Teschner has been working with the
County on this cost sharing proposal and feels this is the most appropriate way
for the City to reimburse the County for bonding costs.
The total project cost is estimated to be $17.3 million. The City of Prior Lake's
share is allocated as follows:
City Cost
Road Construction
Road Construction Design/Engineering
Utility Construction
Utility Construction Design/Engineering
Utility Construction Observation*
Total City Cost
* Completed by City at 8% of Construction Cost
I
$1,529,629.00 I
$122,370.00 I
$2,042,018.00 I
$357,165.00 I
$163,361.00 I
$4,214,543.00 I
CWJJw .Cityofpriorlake.com
Phone 952.447.4230 / Fax 952.447.4245
The proposed City funding sources for this project are as follows:
City Fundin9
Street Oversize Fund
Water Quality Fund
Trunk Reserve Fund
County Bonds
Total City Funding
$122,370.00
$150,000.00 I
$2,412,544.00 I
$1,529,629.00 I
$4,214,543.00 I
Funding for this project has been identified in the CIP previously. The Finance
Director has reviewed the proposed amounts and verified that the funding
sources are available. The City Council previously elected not to complete a
neighborhood reconstruction project in 2006 as it was determined that the
bonding the City typically does for those projects would be needed to fund the
CR 82 project.
The Council should be aware that the above numbers are only estimates and
the final cost share will be determined by the bids and actual construction
costs. If those costs vary substantially from the above estimates staff will bring
them back to the City Council for review.
ALTERNATIVES:
1. Authorize the Mayor and City Manager to enter into the Amended
Cooperative Agreement with Scott County for the reconstruction of CR
82.
2. Deny this agenda item for a specific reason and provide staff with
direction.
3. Table this item to a certain date in the future.
RECOMMENDED
MOTION:
Staff recommends alternative number 1.
I
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o les I City Manager
16200 Eagle Creek Avenue S.E.
Prior Lake, MN 55372-1714
RESOLUTION 06-xx
Motion By:
Second By:
WHEREAS, The City Council approved Resolution 06-086 on June 5, 2006 for the purposes of
entering into a cooperative agreement for cost sharing purposes on the upgrade
improvements for CSAH 82; and
WHEREAS, Scott County accepted bids and awarded a contract for the CSAH 82 improvement
project; and
WHEREAS, The City of Prior lake's share of the total costs for the utility and road improvements
has been determined to be $4,051,182.20; and
WHEREAS, Scott County has agreed to advance the City of Prior Lake $1,200,000.00 for a portion
of our CSAH 82 improvement funding obligation; and
WHEREAS, The City of Prior lake has agreed to repay Scott County these funds, including our
share of bond costs, in the aggregate amount of $153,169.00 over a period of ten (10)
years on an annual appropriation basis; and
WHEREAS, The initial installment of $153,169.00 shall be made payable to Scott County in 2007;
and
WHEREAS, The City's costs are estimated to be as follows:
I City Cost
I Road Construction
I Road Construction Design/Engineering
Utility Construction
Utility Construction Design/Engineering
Utility Construction Observation*
Total City Cost
* Completed by City at 8% of Utility Construction Cost; and
WHEREAS, The proposed funding sources are as follows:
City Funding
Street Oversize Fund
Water Quality Fund
Trunk Reserve Fund
County Bonds
Bonding Costs
Total City Funding
als':www:cityofpriorlake.com
Phone 952.447.4230 / Fax 952.447.4245
I
$1,529,629.00 I
$122,370.00 I
$2,042,018.00 I
$357,165.00 I
$163,361.00 I
$4,214,543.00 I
I
$122,370.00 I
$150,000.00 I
$2,412,544.00 I
$1,200,000.00 I
$329,629.00 I
$4,214,543.00 I
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 Mayor and City Manager are authorized to enter into a Cooperative Agreement with Scott
County for the reconstruction of CR 82.
PASSED AND ADOPTED THIS 7TH DAY OF AUGUST, 2006.
YES
NO
I Haugen
I Dornbush
I Erickson
I LeMair
I Millar
Haugen
Dornbush
Erickson
LeMair
Millar
Frank Boyles, City Manager
R:\Agenda Reports\Aug 7 2006\CR 82 Resolution amended.DOC