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HomeMy WebLinkAboutItem 10 2013 Seal Coat WLT Agreement AGENDA ITEMMAYOR AND COUNCIL COMMUNICATION DATE: 2/19/2013 CONSENT ITEM #: 10 MOTION As part of Consent Agenda AGENDA ITEM: 2013 Seal Coat Project – Project Agreement for Joint Services with West Lakeland Township SUBMITTED BY: Ryan Stempski, Assistant City Engineer THROUGH: Dean A. Zuleger, City Administrator REVIEWED BY: Mike Bouthilet, Public Works Jack Griffin, City Engineer SUMMARY AND ACTION REQUESTED: The City Council is respectfully requested to consider approving the 2013 Seal Coat Project Agreement for Joint Services with West Lakeland Township. STAFF REPORT: Staff has reviewed and updated the Joint Services Agreement with West Lakeland Township in preparation of the 2013 Seal Coat Project. Staff is recommending that the city continue to work jointly with West Lakeland Township to perform seal coating for routine maintenance of city and township streets. Through a joint project effort, it is anticipated that project cost savings can be realized through an economy of scale and sharing in project expenses for preparation of plans and specifications, bidding, and construction administration. In addition, staff believes that by combining the project work from both communities, we can continue to promote a more favorable bidding environment that can result in lower overall construction costs. In 2012, the jointly bid project resulted in a very favorable unit construction cost in the amount of $1.21 per square yard. This arrangement has resulted in a cost savings for both the city and township over the past two years. The agreement identifies the terms and conditions upon which the City of Lake Elmo prepares and administrates a contract for the 2013 Seal Coat Project to be completed on streets within both the city and the township. Each jurisdiction pays its portion of the construction costs and shares in the engineering design, bidding and construction administration costs. The construction observation services would be contracted directly by each jurisdiction. The City of Lake Elmo is defined as the lead entity and prepares the plans and specifications with input from the township. The city bids the project and enters into a contract with the selected contractor for all the work. West Lakeland will pay a fee to the city in the amount of 6% of the township’s construction costs as received at the time of bid. The 6% is considered reimbursement to the city for the design, bidding and construction administration services related to the project. The township will reimburse the city within 30 days of receiving contractor invoices for the work performed by the contractor on West Lakeland streets. RECOMMENDATION: Staff is recommending that the City Council consider approving, as a part of the Consent Agenda, the 2013 Seal Coat Project Agreement for Joint Services with West Lakeland Township. ATTACHMENTS: 1. 2013 Seal Coat Project Agreement for Joint Services