Agenda - Council - 05/14/2019 - Laserfiche WebLink

Home

Alternatives: Alternative # 1 — Motion to adopt Resolution # 19-113 accepting bids and awarding a contract for construction for Improvement Project #19-01, Ford Brook Estates Street Reconstructions, to Asphalt Surface Technologies for the base bid plus alternate bid in the amount of $262,503.25. Alternative #2 — Motion to adopt Resolution #19-113 accepting bids and awarding a contract for construction for Improvement Project #19-01, Ford Brook Estates Street Reconstructions, to Asphalt Surface Technologies for the base bid only in the amount of $249,901.55. Alternative #3 — Motion to deny adoption of Resolution #19-113 at this time. Funding Source: Project Costs Construction and total project costs based on the lowest responsible bid received from Asphalt Surface Technologies of Saint Cloud, Minnesota, are as follows. (Base Alternate Base + Alternate Construction Costs $249,901.55 $12,601.70 $262,503.25 Project Costs $307,378.91 $15,500.09 $322,879.00 Project costs include 23% indirect costs for administrative (6%), engineering (15%), finance (1%), and legal (1%) costs. Attached is a proposal from Bolton & Menk for construction staking services in the not -to -exceed amount of $4,060. With the recent retirement of the senior engineering technician, Staff no longer has the ability to stake construction so consultants will need to provide this service on all future public improvement projects. This cost is included under indirect costs for engineering. Project Funding This project is proposed to be funded using a combination of the following funds; • Unexpended street reconstruction funds = $258,385.74* • Special assessments = $31,359.20 • Storm sewer funds = $33,134.06 * After collecting assessments (bonds initially cover assessments). Approximately $900,000 in unexpended Street Reconstruction Program funds are available to fund both street reconstruction projects. Bonding is therefore not required to pay for the 2019 street reconstruction projects. Eight (8) benefiting properties will receive special benefit from the improvements and are proposed to be assessed up to 25-percent of eligible project costs. Eligible project costs include all costs except those related to subgrade corrections and public utility improvements. Assessments are proposed to be applied equally across the 8 assessable properties using the "per lot" assessment method as allowed by the adopted Special Assessments Policy. A preliminary assessment amount of $3,919.90 per benefiting property was adopted by Council on November 13, 2018. Based on low bid project costs, assessments for benefiting parcels would increase to $6,635.80. Considering the significance of this increase, and considering that special assessments levied with the 2015 Jarvis Street reconstruction project, a similar rural road reconstruction project, were $4,500 per property, Staff believes it would make sense to keep assessments for benefiting properties below $4,500. Final assessments will be adopted following the Assessment Hearing on October 8, 2019, after construction is complete and actual construction costs are known. Over the last four years, a special benefit consultation report has been prepared for all projects and the results of the report were used to help guide final assessment amounts.