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HomeMy WebLinkAbout9A - Water Treatment Plant MEETING DATE: AGENDA #: PREPARED BY: AGENDA ITEM: DISCUSSION: 16200 Eagle Creek Avenue S.E. Prior Lake, MN 55372-1714 CITY COUNCIL AGENDA REPORT DECEMBER 4, 2006 9A STEVE ALBRECHT, DIRECTOR OF PUBLIC WORKS CONSIDER APPROVAL OF A RESOLUTION 1) ACCEPTING THE DESIGN REPORT AND 2) AUTHORIZING PREPARATION OF PLANS AND SPECIFICATIONS FOR THE WATER TREATMENT FACILITY Introduction The purpose of this agenda item is for the City Council to accept the design report and authorize preparation of plans and specifications for the Water Treatment Facility. Historv On August 7, 2006 the City Council approved the City's Standardized Contract with Bolton & Menk, Inc. for the Water Treatment Facility Design. The initial phase of the project, the design report was initiated that night. As part of the design report preparation, the Water Treatment Facility Committee (WTFC) and the consultant completed a public involvement process. Meetings were held on September 6th, October 11th and November 2nd. In excess of 500 notices were mailed for each meeting. Additionally three newsletters have also been sent out to area residents. Turnout at the meetings has been confined to the residents living adjacent to the site. During the last meeting held at the WTF site the outer perimeter of the building was staked for residents to view and computer generated images were used to show the view from different yards. The results of the public involvement process are contained in the report. The neighborhood's preference was for a building that had a residential feel and utilized landscaping for screening and filtering of the building. The WTFC feels that the preliminary concept design contained in the design report achieves these goals while balancing the greater communities concerns of function and budget. Current Circumstances The WTF design report has been completed and is attached for City Council review. Copies of the final concept drawings area also attached to this report. The proposed timeline for the project is as follows: Presentation of Design Report to City Council Preparation of Plans and Specifications Advertisement for Bids Open Bids/Award Contract Begin Construction Compete Construction/Startup December 4, 2006 Dec. 2006-March 2007 April 2007 May 2007 June 2007 Dec. 2008/Jan.2009 www.cityofpriorlake.com Phone 952.447.4230 / Fax 952.447.4245 ISSUES: Several issues were raised by the WFTC and the residents during preparation of the design report. 1) Plant Size The plant was planned to be 6.5 MGD in the CIP and 2004 Comprehensive Water System Study. However based on the findings of the Water Supply Plan presented to the City Council on November 20, 2007 City Staff is recommending the oversizing of the plant to accommodate growth based on the limitations of the City's water supply west of the lake. Staff is recommending the plant be oversized to 7.5 MGD. This oversizing will have a negligible impact on the plant building size and foot print. The additional costs will be funded by development fees as the direct beneficiary of the expanded capacity. 2) Buildina Desian The proposed WTF needs a Conditional Use Permit. This permit requires that the building and landscaping meet certain standards. The DRC has been updated on the concepts proposed landscaping and building materials throughout the process to ensure that the building will meet City requirements. The proposed facility does exceed the minimum standards and is very similar to Fire Station No. 1 and the Police Station in proposed materials. The area where the facility discernibly will exceed the design standards is the roof system. This is discussed in item 3 below. 3) Plant Roof Desian During the public involvement process the neighbors on the west and north sides asked the City to bring some residential scale and feel to the north and west side of the building. In an effort bring a residential feel to the neighborhood side of the structure a roof option was included in the design. This roof option will add an estimated $200,000 to the project. The incorporation of this roof does greatly add to the residential look of the facility and the WFTC does support inclusion of the roof upgrade to better assimilate the plant into the surrounding neighborhood. 4) Garaae The concept plan includes a three bay garage in the facility. This garage will be used to store the City's Vac Truck, generators and other water system related equipment. Currently the City's Maintenance Center is at vehicle capacity. The moving of the City's water system equipment and Vac Truck to this facility will create additional vehicle storage in the Mainenance Center. Small garages are part of most WTF's. The WTF will be the City's nerve center and response point for the water system and therefore it is appropriate to store necessary equipment on-site. 5) Facilitv Fencinq As proposed in the concept drawings the facility will only be fenced on the south and east sides. The north and west sides of the building are not accessible and form a wall. Staff does not feel it is necessary to fence the north and west sides of the property. Currently there is some fencing on the west side which will be salvage and reused. Concerns regarding access to the northern part of the site by the public have been raised. As mentioned above the plant will be secure as proposed the only purpose of the northern fence is to prevent vandalism and loitering. This is currently not a problem on site. Staff feels that the north portion of the site is no different than any park or other public facility non-secure area which we do not fence. The neighbors support this fencing plan. 6) Budaet The City's CIP and 2005 Water Rate Adjustment were based on a $13 million dollar facility. This budget was based on the size and similar facilities in other communities. This budget included $11 million in water revenue bonds which are funded by water rates. As part of the long term strategy to mitigate water rate increases associated with operation and maintenance of the City's water system, staff is proposing that the portion of the project funded by water revenue bonds be limited to $10 million. Staff feels the budget that is discussed in the next section reflects the City's commitment to meet those goals. FINANCIAL IMPACT: The design report details the estimated and proposed costs for the project. The estimated project construction costs are as follows: I I Estimated Construction Cost I Design Contingency (1) Construction Contingency (2) Admin/EnQineerina/LeaallTesting (3) Bonding Costs I I Total Project Cost $12,656,300 (1) For changes during design and material cost increases (2) For changes during construction (3) Includes City Administration Costs of $150,000 6.5 MGD $10,905,000 $475,000 $200,000 $868,300 $208,000 The proposed funding for the project is as follows: 7.5 MGD $12,535,000 $475,000 I $200,000 I $918,000 I $208,000 $14,336,000 7.5 MGD I $2,000,000 I $2,332,260 I $10,004,040 I I I Total Fundin,.Q $12,656,300 _ $14,336,300 ] (4) 8% (0.5 MGD) New Development Cost for 6.5 MGD, 20% (1.5 MGD) for 7.5 MGD I Funding Source I Water Storage Fund I Trunk Reserve Fund (4) I Water Revenue Bonds I 6.5 MGD $2,000,000 $798,504 $9,857,796 The above funding shows that the impact to the water rates will be $10 million or less regardless of which size plant the City builds. This is $1 million less than was planned for in the CIP and rate study. This is very important as it allows the City to defer future water rate increases that would be needed for operation and maintenance of the City's existing water system to 2009. Under the large plant scenario the Trunk Reserve fund from new development fees pays for the oversizing of the plant. The oversizing of the plant from 6.5 MGD to 7.5 MGD increases the design and construction administration costs by $50,000 for the additional filters and equipment design along with testing and other construction activities. Both plant options minimize impact to rate payers as was discussed in the City's Water Supply Plan update at the November 20th City Council meeting. Based on the above budget the City Staff and WTFC are recommending construction of a 7.5 MGD plant. ALTERNATIVES: The alternatives are as follows: 1. Accept the design report and approve a resolution authorizing preparation of plans and specifications for construction of a 7.5 MGD Water Treatment Facility. 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: Staff recommends alternative number 1. J If; ( . lhJ }f\ Reviewed bY(7t Boyles, City Manager -- 16200 Eagle Creek Avenue S.E. Prior Lake, MN 55372-1714 RESOLUTION 06-xx CONSIDER APPROVAL OF A RESOLUTION AUTHORIZING PREPARATION OF THE PLANS AND SPECIFICATIONS FOR A 7.5 MGD WATER TREATMENT FACILITY Motion By: Second By: WHEREAS, The City has planned for a Water Treatment Plant for more than 10 years; and WHEREAS, The City Council made the required water rate adjustments in 2005 to fund the project; and WHEREAS, The City Council awarded the City's Standardized Professional Services Contract to Bolton & Menk on August 7,2007 for design of the Water Treatment Facility; and WHEREAS, The project design report was approved by the City Council on December 4, 2006; and WHEREAS, A 7.5 MGD Water Treatment Facility shall be constructed to meet the City's current and future water needs as detailed in the City's Water Supply Plan accepted by the City Council on November 20, 2006; and WHEREAS, The Water Treatment Facility should be designed in accordance with the following preliminary budget: I I Estimated Construction Cost I Design Contingency (1) I Construction Contingency (2) Admin/Engineering/LegallTesting (3) Bonding Costs 7.5 MGD $12,535,000 $475,000 $200,000 $918,000 $208,000 Total Project Cost $14,336,000 (1) For changes during design and material cost increases (2) For changes during construction (3) Includes City Administration Costs of $150,000 The proposed funding for the project is as follows: I Funding Source I Water Storage Fund I Trunk Reserve Fund (4) I Water Revenue Bonds I 7.5 MGD I $2,000,000 I $2,332,260 I $10,004,040 I I I Total Funding $14,336,300 I (4) 20% (1.5 MGD) New Development Apportionment for 7.5 MGD www.cityofpriorlake.com Phone 952.447.4230 / Fax 952.447.4245 WHEREAS, The City must authorize preparation of plans and specifications to proceed with the project at this time in order to complete the Water Treatment Plant by December of 2008. 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 Professional Services Contracts with Bolton & Menk and Braun Intertec shall be amended by an amount not to exceed $50,000.00 for design and construction services needed to complete the 7.5 MGD plant design and construction. PASSED AND ADOPTED THIS 4TH DAY OF DECEMBER, 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\2006\December 4, 2006\WTF Resolution.DOC 1 2 2 3 ~~~I~Mm~mm~ ---- -.. ,~"~~ ~HOflTHWESTnEVATION I j! I L\ Ii: mr-T~6r.-:~ ui~~;;:_~~.~_~ _~~ 11 rom o =:: ELEVATIO~ 4 t- .. 1~~~~1ii~~~m~~mF~i;~~;I! "tlr8ilf-'ffi-iB--'n '" NORTHWEST ELtv,l,TION ~__.,.-<f' ill II I.~-I" uI ----\-r--l;--~-~; '-"F~C-',--- e':'F~ I. ~Tjr ~ Ii mlii~Dffit;:~~~::c_~:-'~::~i~~~~r~'~'f(R ,-..... 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