4.12. SR 06-18-2012•
REQUEST FOR ACTION
TO ITEM NUMBER
Ma or and Ci Council 4.12
AGENDA SECTION MEETING DATE PREPARED BY
Consent une 18, 2012 ustin Femrite, P.E.
ITEM DESCRIPTION REVIEWED By
Consider Bids and Award Contract for the Natures Edge Tim Simon, Finance Director
Business Center -Phase 1 Improvements REVIEWED BY
Cal Portner, Ci Administrator
ACTION REQUESTED
Adopt a resolution approving the low bid submitted by Burschville Construction in the amount of
$1,082,515.88 for the construction of the Natures Edge Business Centex Phase 1 Improvements.
BACKGROUND/DISCUSSION
Bids have been received for the above referenced project. A tabulation of bids and recommendation is
included in the attached letter from the consulting engineer Hakanson Anderson, whom the city hired to
design these improvements.
The improvements for this project include the construction of two new streets, including Twin Lakes
Road and 170`'' Lane NW, construction of municipal trunk sewer and water facilities, storm sewer and
storm water treatment facilities, and mass grading of the proposed plat of Natures Edge Business Center
to create three new lots.
Staff supports the Hakanson Anderson recommendation for award of the contract. If approved, we will
work with Burschville Construction to finalize the contract and proceed with construction by early July.
Construction is scheduled to be completed in October 2012.
FINANCIAL IMPACT
As laid out in the Preliminary Engineering Report, the project was expected to be funded as follows:
EDA Development Fund $700,000
City Development Fund $350,000
Trunk Water Fund $175,000
Trunk Sewer Fund $ 88,000
Total Project $1,313,000
The construction estimate included in the Preliminary Engineering Report was $1,013,113. The low bid
received for the construction of the project is $1,082,515.88. The administrative costs for the project
including engineering fees, wetland banking fees, and easement costs are well below the original estimate
resulting in an overall project budget remaining below the $1,313,000 estimate.
•
Ytl~fA£# BY
~~U
• City staff was recently notified that this project has been awarded a grant from the Minnesota
Department of Employment and Economic Development in the amount of $250,000. When we receive
the final details on the grant, specifically what components of the project can be funded with the grant
dollars, we will be bringing a revised budget back to the City Council which further breaks cost
participation between the different funding sources.
ATTACHMENTS
^ Resolution
^ Recommendation Letter
Action Motion by Second by Vote
Follow Up
•
•
~~
RESOLUTION 12-
• A RESOLUTION FOR THE CITY OF ELK RIVER
A RESOLUTION ACCEPTING BID AND AUTHORIZING
EXECUTION OF CONTRACT IN THE MATTER OF THE
NATURE'S EDGE BUSINESS CENTER PHASE I IMPROVEMENT PROJECT
WHEREAS pursuant to a City Council Resolution 12-20, passed at the May 7, 2012 meeting, competitive
bids were solicited and received for the Natures Edge Business Center Phase 1
Improvement project; and
WHEREAS the City Council has considered the amount of the bids and the responsibility of the bidders
and determined that Burschville Construction, Inc. is the lowest responsible bidder;
NOW, THEREFORE, BE IT RESOLVED by the Ciry Council of the Ciry of Elk River, Minnesota:
The Mayor and Ciry Administrator are authorized and directed to execute, on behalf of the City, such
contract with Burschville Construction, Inc. for the completion of the Natures Edge Business Center
Phase 1 Improvements according to the approved plans and specifications designed by Hakanson
Anderson and approved by City Council Resolution.
2. The City Administrator is authorized and directed to forthwith return to all bidders the deposits
made with their bids upon execution of the contract specified above.
Passed and adopted this 18th day of June, 2012.
John J. Dietz, Mayor
ATTEST:
Tina Allard, City Clerk
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Dear Ntr. I?~tttrite:
As t~ou ~tre a«~are, constru~tiort 17it1~ f'n- the;. rtuci>~e t~el~~r<~rteccf 15r<~ject~~~erz c~peneel at l I:OU a.in. cart .(time ~, ~itl'' Ott
the [:lk Riper C:#:~~ Ilall.:1 tiital t7f 9 l~icl~ «~r~: rc~.~ti~ ~:tl ,tttci ctltcuc:ci. '('he ~~it;~=itteet's estintat~ Iur this. (;trc~jcct ~~a
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IJut~s~h~~i(lc Cott;siructicin, Tne, oi' I-{aiu~~~ci=, fvlinne~±c7ta ~~~as the lo~c' hi~lcicr ai ~1,t1~~2.:i1:5.~I3, lursch~°ille
C'unsictiGticttt, Inc. r~iutin~:ly uo~tstruct.., lar~~jr°~t:~ sirrtilar to the Natures I:tl~~~ I3usittcss C`c~tt~~. \1':, lttii` c c~,ntacturl
13ursch~ illy Cctnsit•uction ref'erertc,es trig ]tttije;ets the} suc;cesstitll~° comlileteci itt the Cities ~+I" (7ts4~.z~~. ~lalile
(:it~ci~~e, attcl 5till~~~ater. r~Il te•fr;t~ettces ~~•eee v4t'~ stitisfi~el ~+•h their ~vtirh I~rocluct. ~ t7lmlatititt ai~ 13ttr~chvillc~s
(trc717osecl siilipliers and stihironiractot~; its ~~~~ell asl~tt~ra from their stticr~~ ~-u-ttl3fit-ty` aucl ktank at•c_ also attac~ltetl [ter
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~~e reectnttttetxl that the Nrtturc l'd~~c I3usittess (~ettter - ['h~tse 1 Itt; rt~vartlt'cl to }3ur~;cltbll~ C.`<atttrnclion, lttc. itt
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.Txxne 7, 2012
aU~~7"Y~CJ~~~ >ArVC~ C:OIV~~7~~'tJ~TI~?t~J (IVSCII?AN~~S'~'CI111_l~T`
City of 11k River
13Q65 Urana parkway
ilk River, NIN X5330
R.e: Burschville Caz~strueticrrz, Crze.
.Nature's 11tlte ~3usuess CGrztez• -phase I
't"o Whonx it May Concern:.
1°liis will ~~ivise that the ~Nestern Surety.. Company; subject to txartxxal project
uTxderwzititlg consideratiazxs, is prepared to ssuetlxe ne;eessary performance. and payment
bands on the alxove captioxxed project.
Western Surety Coirzpany is listed azx the latest editian of tlxe `I"reasury Registez.
Approval of perfox•xxxancc, and pay~-~tent bonds of all projects is expressly conditorxed
upon acceptable review c~P the contract tez7xxs and scope, bond forxx~s, and: ~nanci~>g for
the project as ~twell as other pc~~tinent undc~vx•iting i~xfonnatian, Tkte arr~l~ezt~erxt for
perfornance and payxnetit band: is a matter between Bursclxvlle Constructi~~n, IixG. and
Western Surely Company, and the surety assumes zxa liability to yati nr third parties, if
for any reason bonds for az~y project are not executed.
Sincerely,.
~.
L.
Kuzt C. L,undblacl.
~ilthorized Rel~resentative
Wcsterzi Surety Cc~zxxpany
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RESOLUTION 12-
A RESOLUTION FOR THE CITY OF ELK RIVER
A RESOLUTION ACCEPTING BID AND AUTHORIZING
~~ ~~~'~~
~1.~\~ ~ ~~;~~ i
EXECUTION OF CONTRACT IN THE MATTER OF THE
NATURE'S EDGE BUSINESS CENTER PHASE I IMPROVEMENT PROJECT
WHEREAS pursuant to a Cin- Council Resolution 12-20, passed at the May 7, 2012 meeting, competitive
bids were solicited and received for the Natures Edge Business Center Phase 1
Improvement project; and
WHEREAS the Cit<• Council has considered the amount of the bids and the responsibility of the bidders
and determined that Burschville Construction, Inc. is the lowest responsible bidder;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the Cit<~ of Elk River, Minnesota:
1. The Mayor and City Administrator are authorized and directed to execute, on behalf of the CitS-, such
contract ~z~ith Burschville Construction, Inc. for the completion of the Natures Edge Business Center
Phase 1 Improvements according to the approved plans and specifications designed by Hakanson
Anderson and approved by City Council Resolution.
2. The City Administrator is authorized and directed to forthwith return to all bidders the deposits
made with their bids upon execution of the contract specified above.
Passed and adopted this 18~h day of June, 2012.
John J. Dietz, Mayor
ATTEST:
Tina Allard, City Clerk
C:\IJsersMallard\AppData\Local\Microsoft\Windows\Temporary Internet Files\Content.Outlook\YF~N673HX\Natures Edge Bids.doc
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ita~=e hue-rt c:zi:~;llent cu;ti.rlers t~J~Hi~l~l~tt7cl Lank i~~~r a1r~~r,1t 3(1 ti~e.ar~. Ire <rctciitiot~ k~r~:Iat-c
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