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Home My WebLink About9C - North Shore Oaks 1st Addition Sewer & Water CITY COUNCIL AGENDA REPORT DATE: AGENDA #: PREPARED BY: REVIEWED BY: SUBJECT: APRIL 5,19998 9C SUE MCDERMOTT, ASSISTANT CITY ENGINEER GREG ILKKA, PUBLIC WORKS DIRECTOR/CITY ENGINEER CONSIDER APPROVAL OF RESOLUTION 99. ACCEPTING BIDS AND AWARDING THE CONTRACT R FIRST ADDITION TO NORTH SHORE OAKS SANITARY S ER AND WATER IMPROVEMENTS (CITY PROJECT #99-13) 3'1 DISCUSSION: HISTORY Proposed improvements to the First addition to North Shore Oaks are included in the approved 1999 Capital Improvement Program. Resolution 98-131 authorizing preparation of plans and specifications for the project was approved by the City Council on November 2, 1998. This project involves the installation of sanitary sewer and water for 8 lots. CURRENT CIRCUMSTANCES At the March 1, 1999 meeting the Council approved plans and specifications and authorized advertisement for bids for this project. Bids were received and opened on March 23, 1999. Nine bidders submitted bids and they were very competitive. The bids have been checked and tabulated. The low base bid was submitted by Parrot Contracting, Inc., of Henderson, MN in the amount of $59,054.93. Their base bid was below the Engineer's Estimate of $65,812.00. Parrot Contracting, Inc. is a reputable contractor and successfully completed similar projects in Shorewood and Savage. Engineering Department staff spoke to representatives from both of the communities and both gave Parrot Contracting good recommendations. ISSUES Lot 8 of the First Addition to North Shore Oaks is unique in that the septic tank is located beneath a two-level deck making access difficult. This will require additional work that Lots 1 through 7 will not need in order to abandon the septic tank and make the sewer service connection to the house. Alternate bid items were 1620,G"fu!jbc Creek Ave, S.E., Prior Lake. Minnesota 55~72-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER FINANCIAL IMPACT: 99AWARD,DOC included in the bid to address this situation on Lot 8. Alternate 1 A would make the sewer connection at the house without disturbing the deck. Alternate 1 B includes partial deck removal and replacement. Parrot Contracting bid $4,250.00 for Alternate 1A and $3,800.00 for Alternate 1 B. Parrot remains the low bidder (base bid plus Alternate 1A or Alternate 1 B). Engineering Department staff has been working with the property owner of Lot 8 due to the fact that this amount will be 100% assessed. Staff is proposing to award Alternate 1 B contingent on written approval by the property owner for this work to be done. The Special Assessment Policy provides for the creation of an Assessment Review Committee of two Councilmembers and three staff members (Councilmembers Petersen and Schenck and staff members Boyles, Teschner, and IIkka). This committee met prior to bids being received to review the proposed assessments. The committee recommends to assess the properties on a unit basis and to conduct the special assessment hearing when the project is complete. Based on the bids (base and alternate), the proposed unit assessment for Lots 1 through 7 is $9,692.06 and Lot 8 is $12,727.01 (including Alternate 1B). All assessments include indirect costs of engineering, administration, and financing. Due to the scope of the project, the contractor as well as the City staff would like to start work as soon as the contracts are executed, and the City is in receipt of all applicable bonds. In accordance with Resolution 99-13, dated March 1, 1999, the special assessment hearing will be held after award of the contract. This will allow the Contractor to have the construction completed and yards resodded by May 18, 1999. Based on the success of utilizing staff for construction observation on the 1998 Improvement projects and the scope of this project, we propose to do in-house construction observation and construction staking on this project. CONCLUSIONS Staff recommends that the Council award the contract for the construction of the First Addition to North Shore Oaks Sanitary Sewer and Water Service Improvements to Parrot Contracting, Inc. It is the recommendation of the staff and the Assessment Review Committee that the assessment hearing be held when the project is complete. The improvements are proposed to be 100% specially assessed to the eight benefiting properties. The total proposed amount to be assessed is $76,771.41 which includes indirect costs for engineering, administration, and financing. The award of 2 $3,800.00 for Alternate 1 B is contingent on approval in writing by the owner of Lot 8. If the owner does not provide written approval, then his property would be assessed like the other seven properties and he would be responsible for connection at his own cost within one year of this project's completion. ALTERNATIVES: There are three alternatives for the City Council to consider: 1. Approve Resolution 99-XX accepting bids and awarding the contract for Project 99-13 to the lowest responsible bidder, Parrot Contracting, Inc. for the bid amounting to $59,054.93 for the base bid and award of Alternate 1 B for $3,800.00 contingent on approval in writing by the owner of Lot 8. 2. Deny this item for a specific reason and provide staff with direction. 3. Table this item until some date in the future. RECOMMENDED MOTION: A motion and second to adopt Resolution 99-XX accepting bids and awarding the contract for First Addition to North Shore Oaks Sanitary Sewer and Water Service Improvements to Parrot Contracting, Inc. with the award of Alternate 1 B contingent on the property owner providing ritten approval. 99AWARD.DOC 3 RESOLUTION 99-XX "'INNESO~~ CCEPTING BIDS AND AWARDING CONTRACT FOR FIRST ADDITION TO NORTH SHORE OAKS SANITARY SEWER AND WATER SERVICE IMPROVEMENTS (CITY PROJECT #99-13) MOTION BY: SECOND BY: WHEREAS, pursuant to an advertisement for bids for the improvement project at First Addition to North Shore Oaks (Project 99-13) which includes sanitary sewer main, water services and appurtenant work; and WHEREAS, The following bids were received, opened, and tabulated according to law and the following bids were received complying with the advertisement: CONTRACTORS BASE BID AL T 1A AL T 1 B Parrot Contracting, Inc. $ 59,054.93 $4,250.00 $3,800.00 S. M. Hentges & Sons, Inc. $ 68,786.17 $2,000.00 $3,000.00 K.A. Witt Construction, Inc. $ 72,589.10 $3,225.00 $3,225.00 Chard Tiling & Excavating, Inc. $ 73,642.05 $1,250.00 $2,250.00 Lloyd Excavating, Inc. $ 74,947.26 $2,100.00 $1,800.00 Kober Excavating, Inc. $ 84,803.78 $4,300.00 $7,780.00 Northdale Construction Co., Inc. $ 87,745.02 NIB $13,250.00 Selly Construction $ 99,638.16 $1,750.00 $1,750.00 Ryan Contracting Co. $121,608.14 $8,500.00 $10,500.00 WHEREAS, Alternate 1A and 1 B are for the abandonment of a septic system and sewer connection on lot 8; and WHEREAS, it appears that Parrott Contracting, Inc. of Henderson, Minnesota is the lowest responsible base bidder. NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA: 1. The Mayor and City Manager are hereby authorized to enter into a contract with Parrot Contracting, Inc. of Henderson, Minnesota in the name of the City of Prior Lake for the First Addition to North Shore Oaks sanitary sewer and water service improvement project (Project 99-13) in the amount of $59,054.93 (Base Bid) and / or additionally the award of Alternate 1 B in the amount of $3,800.00 contingent on timely receipt of written approval by the property owner of Lot 8. 1620~~~~<XSreek Ave. S.E.. Prior Lake, Minnesota 55372-1714 / Ph, (612) 447-4230 / Fax (612) 447-4245 AN EQUAL OPPORTUNITY EMPLOYER 2. The City Manager is hereby authorized and directed to return to all bidders the deposits made with their bids once a contract has been signed. Passed and adopted this 5th day of April, 1999. YES NO Mader Mader Kedrowski Kedrowski Petersen - Petersen Schenk Schenck Wuellner Wuellner {Seal} Frank Boyles City Manager City of Prior lake AWARDNSO,DOC