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Home My WebLink About13.B.2. Awarding Contract for 17th Ave, Project No. 2006-1-Res. No. 6444 /3. 6. ,~ CITY OF SHAKOPEE Memorandum TO: Mayor & City Council Mark McNeill, City Administrator FROM: Bruce Loney, Public Works Director SUBJECT: Consider Awarding a Contract for 17th Avenue) Project No. 2006-1 And Consider Agreements with Centerpoint Energy and Extension Agreement with WSB & Assoc., Inc. DATE: June 20,2006 INTRODUCTION: Attached is Resolution No. 6444) which accepts the bids and awards the contract for 17th Avenue) from Southern Meadows East Plat Line to CSAH 83) Project No. 2006-1. Also included is an agreement to relocate natural gas pipe line with Centerpoint Energy Resources Corp. and the City of Shakopee, as well as an extension agreement with WSB & Associates, Inc. for construction services. associated with this project. BACKGROUND: Previously) the City Council adopted Resolution No. 6425) a resolution approving plans and specifications for the 17th Avenue Project on May 16) 2006. This roadway improvement project is to construct a four lane divided roadway, which would then connect 17th Avenue with CSAH 83, and would be the last connection made to complete 17th A venue through the City of Shakopee. On June 19,2006) a bid opening was held on this project in which there were three bids opened. The bids are summarized in the attached resolution. From the bid opening) the apparent low bidder is S.M. Hentges & Sons) Inc. with a bid of $1,521)526.85. The Engineer's estimate for this job was $1,748,000.00 and the low bid received is under this estimate and under the feasibility report estimate. A revised cost summary is attached showing the estimated cost splits between the City, County, Shakopee Public Utilities and assessments. One of the other items on the agenda is the approval of a Cooperative Agreement with Scott County for cost sharing with this project and both the City and the County feel that this is an important project to complete this year. In addition to awarding this contract to the low bidder, staff will need to authorize consultant engineering services to provide surveying and construction administration services necessary for this project. Attached to this memo is an extension agreement with WSB & Associates, Inc. to perform those necessary services as they were the design engineerfor this project. Also, attached is an agreement to relocate natural gas pipe line with Centerpoint Energy which is also part of the project to lower a high pressure gas main in the area in order to complete the construction of 1 ih Avenue. If Council awards the contract, staff is also requesting a contingency amount equal to 5% of the contract to cover minor change orders and quantity adjustments that may occur on the project. The City will obtain the right-of-way for 17th Avenue on June 23) 2006 through condemnation on the north side. The south side of 1 ih A venue right-of-way will be provided by Shakopee Gravel. The City Attorney has been working with Shakopee Gravel's attorney to finalize the easement. ALTERNATIVES: 1. Accept the low bid of S.M. Hentges & Sons, Inc. and adopt Resolution No. 6444. 2. Reject the low bidder and award to another bidder. 3. Reject all bids and rebid. 4. Authorize the appropriate City officials to execute an extension agreement with WSB Associates) Inc. to perform' consultant services on this project. 5. Authorize the appropriate City officials to execute an agreement to relocate natural gas pipe line with Centerpoint Energy, associated with the 1 ih Avenue Improvement Project. 6. Approve a 5% contingency amount on this project for use by the City Engineer in authorizing change orders or quantity adjustments on this project. 7. Table for additional information. RECOMMENDATION: Staff recommends Alternative No.'s 1,4,5 and 6 in order for this project to commence. ACTION REQUESTED: 1. Offer Resolution No. 6444, A Resolution Accepting Bids for 17th Avenue Improvements) from Southern Meadows East Plat Line to CSAH 83, Project No. 2006-1 and move its adoption 2. Authorize the appropriate City officials to execute an extension agreement with WSB Associates, Inc. to perform consultant services on this project. 3. Authorize the appropriate City officials to execute an agreement to relocate natural gas pipe line with Centerpoint Energy) associated with the 1 th Avenue improvement project. 4. Approve a 5% contingency amount on this project for use by the City Engineer in authorizing change orders or quantity adjustments on this project. ~nH Public Works Director BUpmp ENGRl2006PROJECT/17THA VE/WORD/MEM RESOLUTION NO. 6444 A Resolution Accepting Bids For 17th A venue Improvements, From Southern Meadows East Plat Line To CSAH 83 Project No. 2006-1 WHEREAS, pursuant to an advertisement for bids for 17th Avenue Improvements) from Southern Meadows East Plat Line to CSAH 83, Project No. 2006-1, bids were received, opened on June 19, 2006, and tabulated according to law, and the following bids were received complying with the advertisement: Bidder Bid S.M. Hentges & Sons, Inc. $1,521,526.85 Ryan Contracting, Inc. $1,625,465.21 Eureka Construction) Inc. $1,748,966.13 WHEREAS, it appears that S.M. Hentges & Sons, Inc., P.O. Box 69, Jordan) MN 55352 is the lowest responsible bidder for 1 th Avenue Improvements, from Southern Meadows East Plat Line to CSAH 83, Project No. 2006-1. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SHAKOPEE, MINNESOTA: 1. The appropriate City officials are hereby authorized and directed to. enter into a contract with S,M. Hentges & Sons, Inc.. in the name of the City of Shakopee for 1 ih Avenue Improvements, from Southern Meadows East Plat Line to CSAH 83 Project according to the plans and specifications therefore approved by the City Council and on file in the office of the City Clerk. Adopted in session of the City Council of the City of Shakopee, Minnesota, held this day of ,2006. Mayor of the City of Shakopee ATTEST: City Clerk ENGRI2006PROJECT/I7THA VElWORDIRES6444 AGREEMENT TO RELOCATE NATURAL GAS PIPELINE This Agreement to Relocate Natural Gas Pipeline ("Agreement") is between CenterPoint Energy Resources Corp., d/b/a CenterPoint Energy Minnesota Gas ("CenterPoint Energy") and The City of Shakopee. * The City of Shakopee has requested that CenterPoint Energy perform the following work: Relocate approximately 1100 feet natural gas pipeline as shown on CenterPoint Energy Work Order No. 41266078. * CenterPoint Energy estimates this project will cost $54,000.00. Therefore, the parties agree: 1. Easement modifications are necessary: The existing easement will remain in force until relocation is complete and new easement documents executed. 2. CenterPoint Energy shall not be liable for any circumstances that may delay project completion. 3. The City of Shakopee agrees to pay CenterPoint Energy for all costs CenterPoint Energy incurs in relocating the pipeline. 4. Costs include, but are not limited to, contract labor, internal labor, materials, taxes and internal overhead charges. The parties agree that CenterPoint Energy's standard accounting records and procedures shall be acceptable to determine costs. The City of Shakopee agrees to pay all costs and attorney's fees incurred in any collection matter brought by CenterPoint Energy against The City of Shakopee. 5. CenterPoint Energy and CenterPoint Energy's Contractor shall have complete, unlimited access to the relocation site. 6. The facilities or equipment installed or removed by CenterPoint Energy or its Contractor shall be CenterPoint Energy's property. Payment by The City of Shakopee does not entitle it to any ownership interests or rights in that property. CenterPoint Energy will not remove abandoned pipelines except as required by law. 7. The City of Shakopee will provide CenterPoint Energy with a $0.00 deposit before relocation of the line is begun. 8. The amount specified above is an estimate, and The City of Shakopee agrees to pay to CenterPoint Energy any costs, including all applicable taxes, in excess of that amount within 15 days of a final invoice summary from CenterPoint Energy. If the final invoice summary is less than the advance, CenterPoint Energy will refund the difference without interest. Page 1 of 2 9. The City of Shakopee will pay CenterPoint Energy within fifteen days after the date of any invoice. Invoice amounts not paid within 30 days of invoice date will be assessed an additional 1.5% per month. 10. The exact nature and scope of Center Point Energy's work, including materials, fittings, etc., may not be determined until a complete visual inspection of the gas facilities has been made by CenterPoint Energy. 11. If CenterPoint Energy, in its sole discretion, determines that the pipeline relocation is not feasible at anytime, it retains the right to terminate the relocation project and return all amounts paid by The City of Shakopee less any direct costs actually incurred by CenterPoint Energy for the relocation. 12. Failure by CenterPoint Energy to insist upon observance of any terms or provisions of this Agreement shall not be deemed a waiver of CenterPoint Energy's rights. No waiver shall be binding on CenterPoint Energy unless in writing. 13. This Agreement may be modified only by a writing signed by both parties. 14. The persons signing this Agreement have the real and apparent authority to bind the respective parties. 15. This Agreement is binding upon the successors and assigns of the parties. 16. This Agreement shall be governed by the laws of the State of Minnesota. CenterPoint Energy Resources Corp., d/b/a CenterPoint Energy Minnesota Gas City of Shakopee By: By: Its: Its: Date: Date: Page 2 of 2 .... lIVSB Infrastructure _ Engineering _ Planning _ Construction 701 Xenia Avenue South &Aiisoetilliis.lrici Suite #300 Minneapolis, MN 55416 Tel: 763541-4800 Fax: 763541-1700 June 16) 2006 Mr. Bruce Loney, P.E. Public Works Director/City Engineer City of Shakopee 129 Holmes Street S. Shakopee)~ 55379-1376 Re: Estimate of Cost to Provide Construction Engineering Services 17th A venue Extension From Southern Meadows East Plat Line to CSAH 83 City of Shakopee City Project No. 2006-1 WSB Project No. 1677-00 Dear Mr. Loney: According to our Agreement for Professional Services within the City of Shakopee and Section I-C-2 (Major Projects), this extension agreement is written to provide you with an estimate of cost for construction engineering services for the above-referenced project. We are proposing to complete the work as detailed on the attached scope of services, Exhibit A. The attached work plan describes the approach and tasks proposed to be completed by WSB & Associates, Inc. (WSB). It should be noted that the work plan includes construction management services (as needed) and construction surveying services for that portion of the project that will be part of the above-referenced County and City roadway system. We are proposing to complete this work on a cost-reimbursable basis as necessary in accordance with our current fee schedule. As you are aware, construction work is somewhat variable depending on the Contractor and actual field conditions. We have estimated a fee for providing construction engineering services in the range of $66)000 to $75,000. We are available to begin the work plan as soon as authorized by the City, and we anticipate completing the projectaccording to the following schedule) assuming that we receive the notice to proceed. We would propose to complete the project according to tentative schedule noted as follows: Begin construction services ............................................................................ June 21, 2006 Substantial completion ........ ........ ........ ........................................;.... ......November 22, 2006 Record Drawing completion .................................,....................................... March 23, 2007 Final construction completion......................................................................... June 10, 2007 Contract finalization and closeout ...................................................................July 31,2007 K:I01617-00IAdminIContractIL TR-bloney-06I6Q6,doc Mr. Bruce Loney, P.E. City of Shakopee June 16,2006 Page 2 of2 The City of Shakopee agrees to reimburse WSB & Associates, Inc. for these services in accordance with Section IV of the Agreement for Professional Services on a cost-reimbursable basis. If this agreement meets with your approval) please sign below and return one copy to our office. Sincerely, WSB & Associates, Inc. tUlttJ ~ Donald W. Sterna, P.E. Vice President Enclosure lh/sm City Administrator City Clerk Mayor Date K:IOI677-00IAdminIContractIL TR-bloney-061606,doc Exhibit A 17th Avenue Extension From Southern Meadows East Plat Line to CSAH 83 WORK PLAN . Construction Administration This task includes construction management and coordination of all WSB work tasks, establishment and monitoring of budgets) and correspondence with the City of Shakopee) Scott County, S.P.V.C.) Shakopee Sand & Gravel) and private utilities on a periodic basis. The construction manager will provide technical direction on all aspects of the project design and attend weekly meetings if requested. The City of Shakopee will run the weekly construction meeting and provide the weekly meeting minutes. The City of Shakopee will be responsible for any monthly work completed to date and summary of quantities for monthly payment vouchers. . Construction Observation All construction observation will be performed by the City of Shakopee. WSB construction staff is available to assist the City if so requested and would perform these services as an extra to this contract if so requested. . Construction Survevine: WSB will provide a survey crew to do all construction staking for this project) including construction limits, roadway grading, alignments, sanitary sewer utility, storm sewer utility street facilities and appurtenances) signage locations, traffic signal facilities and any other survey needs for this project for the work identified in the construction plans as prepared by WSB & Associates, Inc. for 17th Avenue Extension to CSAH 83. ~\ . Material Testine: Material testing will be performed by the City and/or the City's designated testing firm. The City of Shakopee will be responsible for coordinating the testing and the costs ofthe material testing. . Record Drawine:s This task includes surveying the field constructed utilities, and other constructed improvements to record the field constructed locations and elevations of the new facilities within the County roadway right-of-way. Once the field survey is complete, WSB will revise the construction plans to reflect the field constructed conditions and provide record drawing documents for future use by the City and County. We have included CADD and survey time in our work plan to compete the record drawings to a digital format. K:\OI677-00\AdminIContractIExhibit A - Work Plan-doc Summary of Probable Cost Based on the Low Bid Funding Estimated Construction Estimated Construction Estimated Project Estimated ROW Total Estimated Costs Cost with a 5% Cost (21 %) Costs (from the FS) Project Cost Contingency Assessment I $801)906.76 II $842,002.10 I $176)820.44 I $240)000.00 I $1,258,822.54 City of Shakopee I $96)896.14 .. ... ~ $101,740.95 II $21,365.60 ~ I $123,106.55 jspuc ~ II II II II I Scott County I $622)723.95 ~ $653,860.15 I $137,310.63 I $399,900.00 I $1,191,070.78 Project Totals $1,521,526.85 I $1,597,603.19 I $335,496.67 $639,900.00 $2,572,999.86 J~.f3.2. CITY OF SHAKOPEE Memorandum TO: Mayor & City Council Mark McNeill) City Administrator FROM: Bruce Loney, Public Works Director SUBJECT: Consider A ward of Contract for 17th Avenue, Proj ect No. 2006-1 DATE: June 20) 2006 A bid opening is scheduled for June 19, 2006 for the 17th Avenue) Project No. 2006-1. These bids will be tabulated and a memo on the table will be presented to City Council at its June 20, 2006 meeting for consideration of award. Also) the City will need to enter into an agreement with Centerpoint Energy for lowering of a high pressure gas main) if Council awards a bid for the project. Staff is expecting on receiving an agreement from Centerpoint Energy on Tuesday, June 20, 2006 and will be asking for City Council to authorize the appropriate City officials to enter into this agreement as part of the award of contract item. ~L Public BUpmp ENGRl2006PROJECT/17THA VElWORD/A W ARDAL