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HomeMy WebLinkAbout15.A.3. Reimbursement Agreement for the Design of the extension of 17th Avenue tot he East ISfi.3, CITY OF SHAKO PEE Memorandum TO: Mayor & City Council Mark McNeill, City Administrator FROM: Bruce Loney, Public Works Director SUBJECT: Authorize Reimbursement Agreement with Tollefson Development, Inc. and Plowshares Development For the Extension of 1 ih Avenue, from Independence Drive to 1f4 mile East of Independence Drive DATE: July 15, 2003 INTRODUCTION: Attached is a reimbursement agreement between Tollefson Development, Inc., Plowshares Development LLC and the City of Shakopee for the design of 1 ih A venue by a City consultant. This agenda item is for the City Council to consider entering into a reimbursement agreement for the design of 17th Avenue with Tollefson Development, Inc. and Plowshares Development LLC for the extension of 1 ih Avenue. BACKGROUND: Tollefson Development, Inc. and Plowshares Development LLC have submitted preliminary plats for their 20 acre parcels east of Independence Drive and 1 ih Avenue. Within these plats is the extension of 1 ih Avenue, from Independence Drive to approximately Kmile east and this roadway is the main access for these developments. In meeting with City staff, staff is recommending that 17th A venue be designed by the City consultant, WSB & Associates, Inc., in order for the plans to meet State Aid requirements, Scott County approval and to coordinate the design between the two developments. Staff has done this in the past, with the extension of 1 ih A venue and Independence Drive, to the Greenfield plat in which the developer reimbursed the City for design costs of the roadways. Attached is a reimbursement agreement, similar to the reimbursement agreement prepared for the design of 17th A venue and Independence Drive and entered into with Tollefson Development, Inc. Also attached is an extension agreement with WSB & Associates for the design of 1 ih A venue, from Independence Drive to approximately 1/4 mile east of Independence Drive. It is proposed that the City consultant will design this roadway and the developers will construct this roadway with their financing and their contractor. The City will then enter into a developer's agreement with the developers on cost sharing for 17th A venue as follows: . The developers will pay for the grading costs . Dedicate all right-of-way necessary for the roadways at no cost to the City . Pay for the local road equivalency . Pay for the concrete sidewalk . Pay for 50% of the concrete median, curb & gutter . Pay 50% of the street lighting associated with 1 ih Avenue The City would be responsible for the street oversizing, 50% of the concrete median, 50% of the collector street lighting and bituminous trail. Scott County has expressed a desire to contribute funds towards the concrete median. ALTERNATIVES: 1. Authorize the appropriate City officials to enter into a reimbursement agreement with Tollefson Development, Plowshares Development LLC and the City of Shakopee for the design of 17th A venue, from Independence Drive to approximately ~ mile east of Independence Drive. 2. Do not enter into the reimbursement with the developers. 3. Authorize the appropriate City officials to enter into an extension agreement with WSB & Associates, Inc. for the design of 1 ih A venue, from Independence Drive to approximately ~ mile east of Independence Drive. 4. Do not enter into an extension agreement with WSB & Associates, Inc. 5. Table for additional information. RECOMMENDATION: Staff recommends Alternative No. 1 and No.3, as the developers have agreed to have a City consultant design 1 ih A venue and have agreed to pay all costs. This roadway design is necessary for the developments to be completed. ACTION REQUESTED: 1. Authorize the appropriate City officials to enter into a reimbursement agreement with Tollefson Development, Inc., Plowshares Development LLC and the City of Shakopee for the design of 1 ih Avenue, from Independence Drive to approximately 'l4 mile east ofIndependence Drive. 2. Authorize the appropriate City officials to enter into an extension agreement with WSB & Associates, Inc. for the design of 1 ih A venue, from Independence Drive to approximately ~ mile east of Independence Drive. ~~ Public Works Director BUpmp REIMBURSEMENT-17THA VE. . .., Developers . Land Investment . Ptap-erty Managers ... . " , , ". . "-' . .. ., . ~ ,. - . July 3, 2<J03 .. .., < .-, - - . , .- , ". .. ..., Broce Loney City of Shako pee 129 South Holmes Street Shakopee, MN 55319 .. Re: Philipp, Thomas A. Property ., Dear Mr. Loney: " This letter serves as confirmation that we will reimburse the City of Shakopee for the engineering fees of the design work performed by WSB as it relates to our development and the extension of 17m Avenue. If you have any further questions, please contact me at (952) 435-1010, or the below address. .' " Sincerely, /b~ W~ Gary Wollschlager Vice President, Tollefson Development, Inc. Cc: Plowshares Development., LLC . ..< ., , ., , 17271 Kenyon Ave., Strite #103.. LakeviJle, MN 55044 · Phone (952) 435-1010. FAX (952) 435..1020 .,. Emall - info@tollefsondevelopment.com www.tollefsondevelopment.com " . ~ ,.. JUL. 3.2003 8:42AM TOLLEFSONDEVELOPMENT NO. 394 I P. 3/3 . . Plowshares Development, LLC 1851 Lake Dr. W., Suite 550 Chanhassen, MN 55317 Phone 952.361.0832 Fax 952361.0833 July 1, 2003 Bruce Loney City Of Shako pee 129 South Holmes Street Shakopee,~ 55379 Re: Abraham Property - Southern Meadows Preliminary Plat Dear Mr. Loney: This letter serves as confirmation that we will reimburse the City of Shakopee for the engineering fees of the design work performed by WSB as it relates to our development and the extension of 17th Avo. If you have any further questions, please contact me at (952)361-0832, or the above address. Sincerely, ~ Todd M. Simning Chief Manager Plowshares Development, LLC Cc: Gary Wollschlager - ToIlef-son Development, Inc. 2"d e:E80" ISe: "2SS "OUr '~uawdoIa^~a ss~o~~ d8!=vO EO to {nr REIMBURSEMENT AGREEMENT This Agreement is entered into as of July _, 2003, by and between the City of Shakopee ("City"), Tollefson Development Inc. ("Tollefson"), and Plowshares Development, LLC ("Plowshares"). Tollefson and Plowshares are collectively referred to as "Developers." RECITALS A. Tollefson has submitted a proposed development, known as Thomas A. Philipp Addition Plat, pursuant to which Tollefson proposes to develop approximately 20 acres of multi residential property located east of the Monarch Estates development and north ofthe Wyndam Ponds development in the City. B. Plowshares has submitted a proposed development, known as Southem Meadows Plat, pursuant to which Plowshares proposes to develop approximately 20 acres of multi residential property located east of the Monarch Estates development and north of the Wyndam Ponds development in the City. (The Thomas A. Philipp Addition Plat and the Southern Meadows Plat are collectively referred to as "Developments.") C. In order to meet the infrastructure needs for the Developments the following Public Improvements need to be constructed: (1) Approximately 1/4 mile of 17th Avenue; and (2) the extension of sanitary sewer, storm drainage system, and a watermain. D. The Developers have requested that the City proceed with engineering and design of the Public Improvements and are willing to reimburse the City for the costs incurred by the City in the design of the Public Improvements. The Developers acknowledge that but for their agreement to reimburse the City for these costs, the City would not be proceeding with the design of the Public Improvements. E. The Developers have also proposed to provide the easements necessary to construct the Public Improvements within their respective Developments. The Developers propose to pay the local street equivalent for the Public Improvements, 50% of the collector street lighting, 50% of the concrete median, concrete sidewalk, grading for the roadway and development fees in accordance with the City's fee schedule. The City will pay for the over-sizing of the collector street, 50% of the collector street lighting, 50% of the concrete median and bituminous trail in accordance with standard City policy. These cost-sharing provisions will be incorporated into the developer's agreement that will ultimately be entered into between the City and Tollefson and Plowshares for their respective developments. F. The estimated cost for the design work for the Public Improvements is $30,500.00 In consideration of the mutual covenants conditions and provisions in this Agreement, the City and Developers agree as follows: 1. The Recitals are true and correct and are incorporated by reference into this Agreement. 2. The City is authorized to retain WSB & Associates to design the Public Improvements. 3. The Developers agree to reimburse the City for 100% of the project costs incurred by the City in designing the Public Improvements. For the purposes of this Agreement, the term "project costs" includes all costs incurred by the City, including engineering and legal fees, and any administrative expenses. The Developers shall make payment to the City within ten days after the City has provided a written invoice to the Developers. 4. Simultaneously with executing this Agreement, the Developers shall submit to the City $30,500 in cash or a certified letter of credit approved by the City Attorney made payable to the City upon which the City may draw in the event the Developers default in any of their obligations under this Agreement. 5. This Agreement is binding on the parties and their respective successors and assigns and shall be governed by the laws of the State of Minnesota. 6. Developers may terminate this Agreement for any reason by providing written notice of termination to the City, provided however that Developers will be responsible for reimbursing the City for all project costs incurred up to the date that the City receives the written notice of termination. 7. The invalidity or unenforceability of any provision in this Agreement shall not in any way affect the validity or enforceability of any other provision, and this Agreement shall be construed in all respects as if such invalid or unenforceable provisions had never been part ofthe Agreement. 8. This Agreement constitutes the entire agreement between the parties concerning the engineering and design of the project, and unless otherwise provided in this Agreement, any other agreements or understandings, whether oral or written, with respect to such matters are superseded and revoked. This Agreement may not be modified or amended except by a writing signed by each party. CITY OF SHAKOPEE By Its Mayor By Its City Administrator By Its City Clerk JJT-234336vl 2 SHI55-23 TOLLEFSON DEVELOPMENT INC. By Its PLOWSHARES DEVELOPMENT LLC By Its JJT-234336vl 3 SH155-23 July 9, 2003 Mr. Bruce Loney, P.E. Public Works Director/City Engineer City of Shakopee 129 Holmes Street South Shakopee, MN 55379-1376 Re: Estimate of Cost to Provide Engineering Services 1 ih A venue, Independence Drive to Mine Property WSB Proposal No. 074-030 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 engineering services for the above-referenced project. Weare 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. It should be noted that the work plan includes engineering design for roadway plans, storm sewer plans, sanitary sewer plans and watermain plans. This cost assumes that the design survey work is complete. Payment of services would be completed by the following schedule: Roadway Design $30,500 Total $30,500 It is proposed that all work under the contract would be considered complete after the preconstruction conference. The construction management phase would be initiated after the preconstruction conference. We are available to begin work plan as soon as authorized by the City, and we anticipate to complete the project according to the following schedule, assuming that we receive the notice to proceed on July 16,2003. We would propose to complete the project according to a tentative schedule noted as follows: Order plans and specs.............. ............................................................................. July 15, 2003 Receive plans and specs................................................................................... August 11,2003 Submit plans to MnDOT & Scott Co. for review............................................ August 11,2003 Receive final plans specs (assuming 3 week review time by MnDOT) ...... September 8,2003 C:\DOClllllen/s and Sellings\BLone)'!Loca! Sellings\Telllporal)' In/erne/ Files\OLK4D3\070903-bl.doc Mr. Bruce Loney, P .E. Shakopee, MN July 9, 2003 Page 2 The City of Shakopee agrees to reimburse WSB & Associates for these services in accordance with Section IV of the Agreement for Professional Services. If this agreement meets with your approval, please sign below and return one copy to our office. Sincerely, WSB & Associates, Inc. Bret A. Weiss, P .E. City Administrator President City Clerk Mayor Date C:\Docl/Il/eIllS (lnd SerringsIBLolley\Loca/ SerringsI Telllpo/"m)' Illternet FilesIOLK4D3\070903-b/.doc Exhibit A 17th Avenue Design Services Independence Drive to Mine Property City of Shakopee, MN WSB Proposal No. 0074-030 WORK PLAN 1. Project Management This task includes planning and coordination of all work tasks, establishment and monitoring of budgets, and correspondence with the City of Shakopee on a periodic basis. The project manager will provide technical direction on all aspects of the project, review all work products, and prepare monthly progress reports. The project manager will serve a primary role in the many design considerations. 2. Data Collection Available data will be collected from the City, Scott County, Mn/DOT, private utility companies, and adjacent developers as necessary, to prepare the construction documents. 3. Soils Report Soils information will be used from previous construction and adjacent developers. 4. Construction Plan/Bidding Documents The construction plans/bidding documents phase includes the bulk of our effort on the project. some of the activities associated with this phase and included in the project fee are as follows: - Description of the Project It is our understanding that the project, as outlined in the preliminary alignment study developer plans, includes the following activities: - Surface improvements including all street-related issues on I ih A venue. - Trunk storm sewer adjacent to 17th Avenue. - Watermain and Sanitary Sewer crossings. - Final Design This phase will include the development of bidding documents as necessary to facilitate construction, as well as receive the necessary agency approvals. Preparation of these documents includes, but is not limited to, the following tasks. - Preparation of cross-sections at 50-foot intervals. - 50-scale plan and profile sheets for street construction, and roadway storm sewer construction. - Erosion control/landscaping. - Construction staging and traffic control. - Storm sewer plans. - Specification. C:'DOCU.\/ENTS ASD 'fTTINGS>BLOSE)1LOCAL SETTINGSTE.\IPOI{.IR)' INTERNET FlLES.OLK.JD3'E.\"Il../.DOC - WSB will utilize the standard City of Shakopee specification and details. Project- specific items will be addressed in a special provision section, as well as a supplementary general condition section. 5. Permits All necessary permits will be acquired by the developer. 6. Project Bidding Upon approval of the bidding documents by the City, WSB will distribute the necessary number of plan sets to the developer for distribution. WSB will bill the City for the expenses of the plan printing. If requested, WSB will sell the plan sets to prospective bidders and will not refund that deposit to the unsuccessful bidders. In this case, the developer would not be billed for the plan printing. 7. Construction Management/Observation This will be addressed at the time the project is awarded. 8. Record Drawings These will be completed on a cost-reimbursable basis upon completion of the project. 9. Design Survey WSB will collect topographic information for the adjacent developers for development of base maps. Should insufficient data be available, design surveys will be conducted to collect any additional data required at an additional cost. C:\DOCUMENTS AND !!!!TT/,VGSBI.ONE1'I.OCAI. SEnlNGSiTE.\/PORAII)'/NTEIINET F/I.ESOU:.jD]'E.\'fI..J,DOC ,.-.- .- -- ,-. . ............ . . . .. I i r' .. <> "<<'.c" -~ <- ./~:>>~s3i;;~:;::=:?f:~~=~==-~ -- . n ~ [ It U Ii t I II "---------- ~ , . .' ../ . . , -- -- . ..... . . ."'" --1'" r "--'r ---. j' [. 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