5.4. SR 09-13-1993
ITEM 5.4.
_ / f ~ ~ ~ _~ J CONSULTING ENGINEERS
e .".,,_ Maier Stewart & Associates Inc.
September 9, 1993
File: 230-171-20
Honorable Mayor and City Council
City of Elk River
13065 Orono Parkway
Elk River, MN 55330
RE: MEADOWVALE HEIGH'IS TRUNK UTILITY IMPROVEMENTS
CONSTRUCTION BIDS
Dear Council Members:
We have tabulated the bids received on Wednesday, September 8, 1993, for the Meadowvale
Heights Trunk Utility Improvements. There were a total of seven bids received. The following
list provides each bidder and his total bid:
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Richard Knutson, Inc.
Arcon Construction, Inc.
LaTour Construction, Inc.
Progressive Contractors, Inc.
S. 1. Louis Construction, Inc.
Northdale Construction, Inc.
Bonine Excavating, Inc.
$463, 103.70
472,400.04
490,300.10
520,035.20
535,226.00
628,469.10
649,645.16
The April 1993 feasibility study for this project estimated the total construction cost at $466,000.
The low bid is approximately 1 % under the feasibility study estimate.
As the City Council is aware, staff has been negotiating with the Nord family through Mr. Jim
Nord to acquire easements for the construction of these improvements. In exchange for the
easements, staff negotiated a deferral of the assessments against the Nord property. Attached
is a copy of the Letter of Understanding signed by Mr. Nord. The City Attorney is currently
preparing easement documents and an agreement relative to the deferral items listed in the Letter
of Understanding. At this point in time, these documents are not ready for signature by Mr.
Nord. We expect that this work will be accomplished in the next ten days to two weeks.
Richard Knutson, Inc., has successfully completed similar type projects in other communities in
the past. Therefore, we recommend award to Richard Knutson, Inc., as the lowest responsible
bidder. However, we suggest that the award be made contingent upon execution of the
easements and agreement between the City and the Nord family.
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1959 SLOAN PLACE, SUITE 200, ST. PAUL, MINNESOTA 55117 612-774-6021
9800 SHELARD PARKWAY, SUITE 102, MINNEAPOLIS, MINNESOTA 55441 612-546-0432 . Equal Opportunity Employer
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Honorable Mayor and City Council
September 9, 1993
Page Two
If you have any questions regarding this, I will be in attendance at your September 13, 1993,
City Council meeting.
Sincerely,
MAIER STEWART & ASSOCIATES, INC.
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Terry 1. Maurer, P.E.
TJM:tp
Attachment
171-0914.sep
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RESOLUTION 93 -
A RESOLUTION FOR THE CITY OF ELK RIVER
A RESOLUTION ACCEPTING BID AND AUTHORIZING
EXECUTION OF CONTRACT IN THE MATTER OF THE
MEADOWV ALE HEIGHTS TRUNK UTILITY IMPROVEMENT OF 1993
WHEREAS pursuant to Resolution 93-39, competitive bids were solicited and received for the
Meadowvale Heights Trunk Utility improvement as set forth in the bid tabulation
attached hereto and incorporated herein by this reference; and
WHEREAS the City Council has considered the amount of the bids and the responsibility of
the bidders and determined that Richard Knutson, Inc., is the lowest responsible
bidder;
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River,
Minnesota:
1.
The Mayor and City Administrator are authorized and directed to execute, on behalf of
the City, such contract with Richard Knutson, Inc., as is approved by the City Attorney
for the completion of the Meadowvale Heights Trunk Utility improvement according to
the approved plans and specifications designated in Resolution 93-39.
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 above specified.
Passed and adopted this 13th day of September, 1993.
ATTEST:
Henry A. Duitsman, Mayor
Sandra A. Thackeray, City Administrator
178-0908.sep
230-178-20
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_ / f ~ ~ ~ ~ CONSULTING ENGINEERS
~_I Maier Stewart & Associates Inc.
August 13, 1993
File: 230-171-20
Mr. James Nord
19806 Elk Lake Road
Elk River, MN 55330
RE: PROPOSED LAND ACQUISITION
Dear Mr. Nord:
Thank you and Joan for taking the time to meet with Frank Kriz and me yesterday at City Hall.
We have taken the opportunity to discuss the conditions of the land acquisition that you laid out
yesterday with Pat Klaers, City Administrator. Pat has agreed with all the terms and conditions
that you spelled out for the acquisition of the easements. Therefore, please consider the
following to be a summary of those terms and conditions.
1. Enclosed are three copies of an easement exhibit which shows the easements in question.
The first one, located on the property north of the Meadowvale Elementary School, is 70
feet in width, and contains 1.75 acres. This would be a drainage and utility easement.
The second easement is on the property west of the Meadowvale Elementary School and
is divided into two pieces. The portion of this easement east of County Road 1 is 70 feet
in width, contains 1.87 acres, and is for drainage and utility purposes. The portion of
this easement west of County Road 1 is 70 feet in width and contains 0.27 acres. This
easement would be for street, drainage, and utility purposes. It is anticipated that the
real1gnment of County Road 44 to meet County Roai.ll at a. 90 degree i.'-ltcr3~ticn ......c~ld
occur within this easement at some later date.
2. The property north of the Meadowvale Elementary School would be assessed $40,000 for
the lateral benefit of the utilities crossing it. This assessment would be deferred for a
period of seven years with no interest. The interest on the assessment after the deferral
period is anticipated to be 71,4 % .
3. The property west of the Meadowvale Elementary School would have a lateral benefit of
$60,075 for the utilities crossing it. This assessment would be deferred for a period of
five years with no interest. It is anticipated the interest rate after the deferral period
would be 71,4 %.
1959 SLOAN PLACE, SUITE 200. ST. PAUL, MINNESOTA 55117 612-n4-6021
9800 SHELARD PARKWAY, SUITE 102, MINNEAPOLIS, MINNESOTA 50441 612-546-0432 . Equal Opportunity Employer
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Mr . James Nord
August 13, 1993
Page Two
4. These two deferrals referred to above would end at the sale of each individual piece of
property or the filing of a fmal plat by the current owner of the property. The two
deferrals are independent of each other and one could end with the sale of either the
property north of the Meadowvale Elementary School or west of it, while the other
remained in effect if that property were not sold.
5. If you so desire, we will stake the easements and allow you to harvest the wood from the
trees which need to be removed up to the time that a contract is awarded and construction
begun on these improvements.
6. We anticipate that the City Council will authorize advertisement for bids on these
improvements at their August 16th, 1993, Council meeting. This would provide for a
September 8th bid opening. By that time, we would anticipate a legal document being
prepared and reviewed by you relative to these deferrals, such that the actual agreement
and the bids on this project could be presented to the Council at an appropriate meeting
in September.
7.
As laid out in the feasibility study dated April 1993, for these improvements, the property
which you own west of County Road 1 will be assessed for trunk: sanitary sewer and
water improvements at a rate estimated to be $3,745 per acre based on a total acreage of
54 acres. Again, as spelled out in the feasibility study, this assessment would be deferred
until such time that the water system is capable of serving this entire piece of property.
As you know, this would require the construction of an elevated water tower somewhere
in this northwestern part of the City. This deferral, again, would be interest-free. Once
the assessments were collectible, they would be at the same interest rate as the other
assessments, estimated at 71A % interest.
8. It is understood that by agreeing to the abOve described assessment deferrals in exchange
for the land acquisition, you are agreeing to execute the appropriate legal oocunu;nts to
transfer these easements to the City once they are prepared by the City Attorney. Should
the timing of the documents not coincide with the beginning of construction, it is assumed
that you will allow access to the property to begin construction work.
',If these terms and conditions are acceptable to you and accurately reflect our discussions on
Thursday afternoon, please indicate so by signing the bottom of the page and returning a copy
to me.
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Mr. James Nord
August 13, 1993
Page Three
Finally, we would like to thank you for your patience and willingness to work with us and the
City on this issue.
Sincerely,
MAIER STEWARr & ASSOCIATES, INC.
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Terry J. Maurer, P.E.
TJM:tp
Enclosures
cc: Mr. Pat Klaers, City of Elk River
I concur with these terms and conditions.
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