3.0. HRSR 02-04-2002 Item 3 .
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City of
Elk - --,
River
MEMORANDUM
TO: Housing & Redevelopment Authority
FROM: Catherine Mehelich, Director of Economic Development/ //f
DATE: February 4, 2002 C (/
SUBJECT: Downtown Sidewalk Project Summary
Attached is a summary of the Downtown Sidewalk Replacement Project from city engineer,
Terry Maurer. Terry will be available at the HRA meeting to answer any questions about the
project.
• Requested Action
Upon the HRA's review and discussion, staff recommends the HRA approve the attached
revised payment schedule of the interfund loan from the City for the project.
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O r-
Howard R. Green Company
January 30, 2002
File: 812420J-0071
Honorable Chairman and HRA Members
City of Elk River
13065 Orono Parkway
P.O. Box 490
Elk River, MN 55330-0490
RE: DOWNTOWN SIDEWALK REPLACEMENT PROJECT
Dear HRA Members:
The final project cost accounting has been completed for the 2001 Downtown Sidewalk
Improvement. The final project cost was $320,179.17. This includes the replacement of
the existing sidewalk, the associated overhead for that project, and the streetscaping
components such as trees, planters, and trash receptacles. Of the total $320,179.17,
$58,500.00 was assessed to the benefiting property owners and $18,214.00 was
• reimbursed by the Elk River Municipal Utilities, leaving a total cost to be funded by the
HRA of$243,465.17.
This HRA contribution to the project of $243,465.17 is approximately $32,000.00 over
the initial estimate. The reason for this overrun is twofold. First, the amount of concrete
curb and gutter removed and replaced in the downtown area was substantially higher
than the amount bid. As the HRA will recall, based upon the Contractor's original bid,
staff suggested that it would be a good idea to replace more concrete curb and gutter
because of the low overall bid submitted. The amount that was actually replaced was
even beyond our revised estimate. There were 600 linear feet of concrete curb and
gutter replacement in the original bid. The final replaced quantity was 2,024 linear feet,
at a total cost of $21 per foot for removal and reinstallation of new concrete curb and
gutter.
The second item that added to the project overrun was the amount of inspection
required during the construction of the project. The Elk River Municipal Utilities was
planning to replace their electric lines underground from the beginning of the project. As
the project neared the start of construction, Northstar Access and Qwest
Communications both decided to replace their facilities under the downtown sidewalk.
This small utility work extended the period of time that the Contractor was working on the
sidewalk project and substantially raised the amount of hours an inspector was
necessary downtown to ensure that all the businesses continued to operate in an
efficient and productive manner. Much of the overrun on construction inspection was not
actually observing the installation of new sidewalk, but rather coordinating all of the
various contractors' activities and ensuring that the businesses were not harmed
economically by these activities.
Ltr 1-30-02 HRA
1326 Energy Park Drive • St. Paul, MN 55108 • 651/644-4389 fax 651/644-9446 toll free 888/368-4389
• Honorable Chairman and HRA Members
January 30, 2002
Page Two
Attached for the HRA's information is a cost summary and payment schedule for the
HRA contribution to this project.
If you have any questions concerning this project, I will be in attendance at your
February 4, 2002, HRA meeting.
Sincerely,
Howard R. Green Company
Terry J. Miurer, P.E.
TJM:tw
Attchs.
Howard R. Green Company
Ltr 1-30-02 HRA CONSULTING ENGINEERS
2001 DOWNTOWN SIDEWALK IMPROVEMENT PROJECT
• Project Cost and HRA Repayment to City
Actual
Project Cost $ 320,179.17
Less:
Special Assessments 58,500.00
Estimated ERMU Cost 18,214.00
HRA Project Cost 243,465.17
HRA Repayment to City
2001 75,000.00
2002 50,000.00
2003 67,000.00
67
2004 67,630.50
Total Payments 259,630.50
�►
City Loan to HRA
Principal Outstanding: $ 243,465.17
Interest Rate: 4.50%
Interest Start Date: June-01
Term: 5
Principal
Payment Year Payment Principal Interest Outstanding
$ 243,465.17
June 1, 2001 75,000.00 75,000.00 - 168,465.17
June 1, 2002 50,000.00 42,419.07 7,580.93 126,046.10
June 1, 2003 67,000.00 61,327.93 5,672.07 64,718.18
June 1, 2004 67,630.50 64,718.18 2,912.32 (0.00)
Total 259,630.50 243,465.17 16,165.33
This schedule if approved would revise the schedule approved by the HRA on April 23, 2001.
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1/17/02
Hrafin