Minutes - Council - 06/26/2012 - Laserfiche WebLink

Home

Landform contracts to use the engineering professional services budget if someone is needed. City Engineer Himmer explained how the $175,000 construction administration would be divided between the City, WSB, Landform, and legal. Motion by Mayor Ramsey, seconded by Councilmember Tossey, to adopt Resolution #12 -06- 098 Awarding a Contract for the City Improvement Project 12 -20; Sunwood Drive Realignment to North Pine Aggregate in the amount of $2,342,825.82. Further discussion: City Engineer Himmer responded to the Council's request for additional information relating to "who is doing what" with this project and clarified the Landform contract is with the HRA and this is a City contact. It was noted the JPA allows Anoka County to have some say on who is contracted for its jobs and had indicated a preference for WSB. City Engineer Himmer and City Administrator Ulrich reviewed funding sources. Development Manager Lazan responded to concerns expressed relating to "lack of sales" and generation of land proceeds to fund this project by advising of purchase agreements with Jeffrey Wise, a second user in that quadrant, and negotiations for West 30 sites. Development Manager Lazan addressed the construction administration component of the contract and advocated for awarding Landform with construction staking, suggesting it is in Landform's "wheelhouse" and Landform is better positioned to complete that work. City Administrator Ulrich described staff s interpretation of the Landform contract, noting a preference is given to Landform for projects within The COR. However, a distinction was drawn between HRA projects versus City rights - of -way projects. City Attorney Goodrich stated he would need to review the Landform contract before rendering an opinion. The Council discussed the competitive bid that had been received, noting it was $500,000 lower than estimated, which addressed some of the funding concerns. It was noted the Council needed to reach a decision before expiration of the $500,000 LRIP grant and $1.7 million funding from Anoka County. City Administrator Ulrich clarified it is possible to award the contract, move forward with the City doing some of the construction administration, and then decide on the staking contract at the July 10, 2012, once more facts are gathered relating to Landform's contract. City Engineer Himmer stated this contract award could be a stand -alone consideration; however, a decision is needed within a week or two because data has to be transferred and signage posted. Substitute motion by Councilmember Elvig, seconded by Councilmember Backous, to postpone consideration of Award of Contract for City Improvement Project 12 -20; Sunwood Drive Realignment, pending close of purchase agreements. Further discussion: The Council discussed the substitute motion to postpone. It was noted the road project is required to bring buyers for the sites; however, it was also noted that buyers would know the City was committed to build the roads once the sites were purchased so the City could lower its risk by delaying road construction until purchase agreements were in hand. City Engineer Himmer advised the bids are good for 30 days. Councilmember Wise stated his intent to participate in the vote on this item since Wiser Choice Liquors now has a purchase agreement, that dollar amount is not going to change, and the motion under consideration relates to a road project. City Council /June 26, 2012 Page 8 of 12