HomeMy WebLinkAbout05(C) - Resolution Authorizing Final Payment for the North Tower Reconditioning Project (2026-06) Report
ITEM: 5C
CITY COUNCIL AGENDA REPORT
MEETING DATE: October 13, 2026
PREPARED BY: Christine Watson, Public Works Supervisor – Administration
Phil Ryan, Public Works Supervisor – Utilities
PRESENTED BY: Nick Monserud, Public Works Director/City Engineer
AGENDA ITEM: Resolution Authorizing Final Payment for the North Tower
Reconditioning Project (2026-06)
RECOMMENDED ACTION:
Adopt a resolution authorizing final payment for the North Tower Reconditioning Project (2026-
06).
BACKGROUND:
On January 27, 2026, the City Council awarded a contract in the amount of $1,242,645 for the
North Tower Reconditioning Project to JR Stelzer Co. On June 30, 2026, City staff approved a
change order in the amount of $2,140 to include pressure sensor box brackets and coupler
installation. All work has now been completed in accordance with the contract. The final payment
amount to JR Stelzer Co. is $62,251.25. With this payment, the total amount paid to JR Stelzer
Co. is $1,245,025 which is $240 above the revised contract amount of $1,244,785.
JR Stelzer Co. delivered a quality project and has addressed all outstanding work items. KLM
Engineering, the City’s engineering consultant on this project, has provided the attached letter
and documentation recommending approval of the final pay voucher.
FINANCIAL IMPACT:
The 2026 CIP included $1,745,000 for this project. The total project cost is expected to be
$1,400,000 or less, once we receive the final invoice from KLM. This is 19.8% below the CIP
estimate of $1,745,000.
ALTERNATIVES:
1. Motion and second as part of the consent agenda to adopt a resolution authorizing final
payment for the North Tower Reconditioning Project (2026-06).
2. Motion and second to remove this item from the consent agenda for further discussion.
ATTACHMENTS:
1. Resolution
2. Letter of Recommendation & Pay Voucher
City of Prior Lake | 4646 Dakota Street SE | Prior Lake MN 55372
4646 Dakota Street SE
Prior Lake, MN 55372
RESOLUTION 26-
A RESOLUTION AUTHORIZING FINAL PAYMENT FOR THE NORTH TOWER
RECONDITIONING PROJECT (2026-06)
Motion By: Second By:
WHEREAS, on January 27, 2026, the City Council received bids and awarded a
construction contract to JR Stelzer Co. in the amount of $1,242,645 for the
North Tower Reconditioning Project; and
WHEREAS, the contract outlined the improvements JR Stelzer Co. was responsible for
installing; and
WHEREAS, on June 30, 2026, City staff approved a change order to the contract in the
amount of $2,140 to include pressure sensor box brackets and coupler
installation; and
WHEREAS, these improvements and all other contract responsibilities are now complete to
the satisfaction of the City; and
WHEREAS, the City’s consulting engineer, KLM Engineering, has reviewed the
improvements and has written a recommendation letter and provided all close
out documentation to support final payment for this project.
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 hereby accepts the improvements for the North Tower Reconditioning
Project.
3. Final payment will be made to JR Stelzer Co. in the amount of $62,251.25.
th
Passed and adopted by the Prior Lake City Council this 13 day of October 2026.
VOTE Briggs Braid Churchill Lake Hellier
Aye
☐ ☐ ☐ ☐ ☐
Nay
☐ ☐ ☐ ☐ ☐
Abstain
☐ ☐ ☐ ☐ ☐
Absent
☐ ☐ ☐ ☐ ☐
______________________________
Jason Wedel, City Manager
Corporate Office
1976 Wooddale Drive, Suite 4
Woodbury, MN 55125
September 21, 2026
Mr. Phil Ryan By Email
Public Works Supervisor-Utilities
City of Prior Lake
17073 Adelman St.
Prior Lake, MN 55372
RE: Pay Request No. 5 (Final) for the Reconditioning of the 1,000,000 Gallon Elevated
Reservoir (North Tower) located in Prior Lake, Minnesota.
City Project No. 2026-06
KLM Project No. 1495-25
Dear Mr. Ryan,
J.R. Stelzer Co. has submitted Pay Request No. 5 (Final) in the amount of $62,251.25. KLM
recommends that the City of Prior Lake approve this Pay Request.
Also enclosed is the following close out documentation:
• Contractor’s Affidavit
• Consent of Surety
• IC-134
KLM recommends that the City of Prior Lake approve this project as complete. We also
recommend a two (2) year warranty inspection (warranty date started on August 25, 2026). We
will contact you prior to that time to schedule an inspection. If you have any questions, please
contact me at 651-755-8664.
Sincerely,
KLM Engineering, Inc.
Scott J. Kriese
Project Supervisor
SK/TK
P:2026\2026Prior Lake, MN 1495-25 Pay Request No. 5 (Final)
9-21-26
62,251.25