HomeMy WebLinkAbout#19 - Whistling Valley Street and Utilities Pay Request 12 STAFF REPORT
DATE: November 6, 2024
CONSENT
AGENDA ITEM: Approve Pay Request No. 11 (Final) for the Whistling Valley Street and
Utility Improvements
SUBMITTED BY: Chad Isakson, Project Engineer
REVIEWED BY: Nicole Miller, City Administrator
Sarah Sonsalla, City Attorney Clarissa Hadler, Finance Director Marty Powers, Public Works Director
Jack Griffin, City Engineer
ISSUE BEFORE COUNCIL: Should the City Council approve Pay Request No. 11 (Final) for the
Whistling Valley Street and Utility Improvements?
BACKGROUND: Jacon, LLC was awarded a construction contract on January 4, 2022 to complete the
Whistling Valley Street and Utility Improvements. The contractor has completed the work in accordance
with the contract, plans, and specifications, including all punch list items. The warranty period has expired
and final payment effectively closes out the project.
PROPOSAL DETAILS/ANALYSIS: Jacon, LLC has submitted Partial Pay Request No. 11 (Final) in the
amount of $74,339.16. Final documentation has not been provided by the contractor, which includes the
consent of surety, contractor lien waivers, and IC-134s. These documents are required by the contract to
release final funds. The city has received communications from the surety company demanding project
funds to be held or, if released, paid to the surety. The city has also received communications from
subcontractors informing the city that they have not been paid by the general contractor for their work on
the project.
The city has been seeking resolution on the matter from the general contractor but has received limited
communication in return. On October 2, 2024 the city attorney sent communications to the surety company
to verify they will accept funds in exchange for a release from all outstanding payment claims. A formal
response has not yet been received. In order for the city to seek reimbursement for all Project expenditures,
it is critical that final payments be processed prior to the MPCA Grant Agreement expiration on December
31, 2024. Therefore, staff is recommendation that the city council approve the final payment subject to
making the payment to contractor’s surety, provided that the surety accepts payment and releases the city
from all outstanding claims or future payment obligations related to the Project.
FISCAL IMPACT: None. Final payment is being recommended within the authorized project scope and
budget. The final total project cost is projected to be $3,295,000 of which $1,641,400 is related to street
improvements, $1,238,300 is public watermain improvements and $415,300 is private water connection
and well sealing costs. The project is being paid through the MPCA Grant (3M Settlement funds) and the
total project costs have come in below the authorized grant amount of $3,660,000.
RECOMMENDATION: Staff is recommending that the City Council approve, as part of the Consent
Agenda, Pay Request No. 11 (Final) for the Whistling Valley Street and Utility Improvements subject to
making the payment to contractor’s surety, provided the surety accepts payment and releases the city from
all outstanding claims or future payment obligations related to the Project. If removed from the consent
agenda, the recommended motion for the action is as follows:
“Move to approve Pay Request No. 11 (Final) in the amount of $74,339.16 for the Whistling Valley
Street and Utility Improvements subject to making the payment to contractor’s surety, provided the
surety accepts payment and releases the city from all outstanding claims or future payment obligations
related to the Project”.
ATTACHMENTS:
1. Partial Pay Estimate No. 11 (Final).
2. Certification of Completion.
3. Surety Correspondence.
PROJECT PAY FORM
PARTIAL PAY ESTIMATE NO.
PERIOD OF ESTIMATE
TO
PROJECT OWNER:CONTRACTOR:
1. Original Contract Amount
2. Net Change Order Sum
3. Revised Contract (1+2)
4. *Work Completed
5. *Stored Materials
6. Subtotal (4+5)
7. Retainage*
8. Previous Payments
9. Amount Due (6-7-8)
*Detailed Breakdown Attached
START DATE:ON SCHEDULE
SUBSTANTIAL COMPLETION:
FINAL COMPLETION:
ENGINEER'S CERTIFICATION:FOCUS Engineering, inc.
DATE
CONTRACTOR'S CERTIFICATION:CONTRACTOR
DATE
APPROVED BY OWNER:CITY OF LAKE ELMO, MINNESOTA
DATE DATE
BY
BY
YES
NO
The undersigned Contractor certifies that to the best of their
knowledge, information and belief the work covered by this payment
estimate has been completed in accordance with the contract
documents, that all amounts have been paid by the contractor for
work for which previous payment estimates was issued and payments
received from the owner, and that current payment shown herein is
now due.
The undersigned certifies that the work has been reviewed and to the
best of their knowledge and belief, the quantities shown in this
estimate are correct and the work has been performed in accordance
with the contract documents.
ENGINEER
4/2/2024
BY
4/18/2022
5/25/2023
REVISED DAYS
REMAINING
402
0
-312
10/14/2022
ORIGINAL DAYS
CONTRACT CHANGE ORDER SUMMARY PAY ESTIMATE SUMMARY
11(FINAL)
4/1/20249/1/2023FROM
WHISTLING VALLEY UTILITY AND STREET IMPROVEMENTS
PROJECT NO. 2020.123
CITY OF LAKE ELMO
3800 LAVERNE AVENUE NORTH
LAKE ELMO, MN 55042
ATTN: JACK GRIFFIN, CITY ENGINEER
JACON, LLC
3900 LABORE ROAD
VADNAIS HEIGHTS, MN 55110
ATTN: DANN REZABEK
CONTRACT TIME
TOTALS $173,260.35 $94,248.90 $74,339.16
NET CHANGE $79,011.45
CO-5 12/20/2022 $0.00 $0.00 $0.000.0%
CCO-6 4/2/2024 $94,248.90 $2,275,278.74
CO-3 7/19/2022 $2,802.29 $0.00 $0.00
CO-4 9/2/2022 $12,432.00 $0.00 $2,349,617.90
CO-1 3/15/2022 $141,959.85 $0.00 $2,349,617.90
CO-2 6/7/2022 $16,066.21 $0.00 $2,349,617.90
No.Approval
Date
Amount $2,270,606.45
Additions Deductions $79,011.45
FOCUS Engineering, inc.PROJECT PAYMENT FORM
Account Manager
10/10/2024
PARTIAL PAY ESTIMATE NO. 11(FINAL)
WHISTLING VALLEY UTILITY AND STREET IMPROVEMENTS
CITY OF LAKE ELMO, MINNESOTA
PROJECT NO. 2020.123
QUANTITY UNIT PRICE AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT
1 LUMP SUM 1
$122,784.30 $122,784.30 0.00 $0.00 1.00 $122,784.30
2 ACRE 1
$12,012.90 $12,012.90 0.00 $0.00 1.00 $12,012.90
3 LIN FT 4679
$5.43 $25,406.97 0.00 $0.00 4,823.00 $26,188.89
4 SQ YD 13
$31.05 $403.65 0.00 $0.00 0.00 $0.00
5 SQ YD 30
$10.35 $310.50 0.00 $0.00 22.00 $227.70
6 SQ YD 34
$190.00 $6,460.00 0.00 $0.00 34.00 $6,460.00
7 LIN FT 670
$5.00 $3,350.00 0.00 $0.00 670.00 $3,350.00
8 SQ YD 55
$35.00 $1,925.00 0.00 $0.00 50.00 $1,750.00
9 SQ YD 23218
$5.00 $116,090.00 0.00 $0.00 23,218.00 $116,090.00
10 SQ YD 200
$10.35 $2,070.00 0.00 $0.00 200.00 $2,070.00
11 EACH 19
$45.00 $855.00 0.00 $0.00 19.00 $855.00
12 EACH 37
$341.89 $12,649.93 0.00 $0.00 10.00 $3,418.90
13 EACH 46
$200.00 $9,200.00 0.00 $0.00 46.00 $9,200.00
14 EACH 18
$150.00 $2,700.00 0.00 $0.00 28.00 $4,200.00
15 EACH 12
$50.00 $600.00 0.00 $0.00 12.00 $600.00
16 CU YD 10448
$0.79 $8,253.92 0.00 $0.00 693.00 $547.47
17 SQ FT 824
$7.32 $6,031.68 824.00 $6,031.68 824.00 $6,031.68
18 CU YD 4890
$31.20 $152,568.00 0.00 $0.00 5,165.00 $161,148.00
19 CU YD 3869
$20.30 $78,540.70 0.00 $0.00 3,939.00 $79,961.70
20 HOUR 40
$120.00 $4,800.00 0.00 $0.00 29.00 $3,480.00
21 TON 2210
$90.00 $198,900.00 0.00 $0.00 1,916.74 $172,506.60
22 TON 2945
$83.00 $244,435.00 0.00 $0.00 2,506.37 $208,028.71
23 TON 200
$156.00 $31,200.00 0.00 $0.00 55.03 $8,584.68
24 GAL 1628
$2.00 $3,256.00 0.00 $0.00 1,050.00 $2,100.00
25 LIN FT 1458
$14.00 $20,412.00 0.00 $0.00 1,458.00 $20,412.00
26 EACH 14
$250.00 $3,500.00 0.00 $0.00 14.00 $3,500.00
27 LIN FT 55
$21.00 $1,155.00 0.00 $0.00 40.00 $840.00
28 EACH 1
$420.00 $420.00 0.00 $0.00 1.00 $420.00
29 EACH 1
$12,300.00 $12,300.00 0.00 $0.00 1.00 $12,300.00
30 EACH 2
$1,500.00 $3,000.00 0.00 $0.00 2.00 $3,000.00
31 EACH 18
$675.00 $12,150.00 0.00 $0.00 19.00 $12,825.00
32 EACH 14
$500.00 $7,000.00 0.00 $0.00 14.00 $7,000.00
33 EACH 2
$4,025.00 $8,050.00 0.00 $0.00 2.00 $8,050.00
34 EACH 12
$7,500.00 $90,000.00 0.00 $0.00 12.00 $90,000.00
35 EACH 71
$770.00 $54,670.00 0.00 $0.00 44.00 $33,880.00
36 EACH 37
$485.00 $17,945.00 0.00 $0.00 37.00 $17,945.00
37 EACH 37
$550.00 $20,350.00 0.00 $0.00 37.00 $20,350.00
38 LIN FT 1189
$36.60 $43,517.40 0.00 $0.00 1,212.00 $44,359.20
39 EACH 11
$3,283.15 $36,114.65 0.00 $0.00 11.00 $36,114.65
40 LIN FT 112
$116.70 $13,070.40 0.00 $0.00 85.00 $9,919.50
41 LIN FT 816
$81.00 $66,096.00 0.00 $0.00 485.00 $39,285.00
42 LIN FT 6691
$71.25 $476,733.75 0.00 $0.00 6,993.00 $498,251.25
43 SQ YD 56
$34.00 $1,904.00 0.00 $0.00 23.60 $802.40
44 LB 3040
$6.83 $20,763.20 0.00 $0.00 3,026.00 $20,667.58
45 LIN FT 3849
$30.36 $116,855.64 0.00 $0.00 4,889.00 $148,430.04
46 LIN FT 1310
$30.80 $40,348.00 0.00 $0.00 1,665.00 $51,282.00
47 LIN FT 5284
$13.86 $73,236.24 0.00 $0.00 4,311.00 $59,750.46
48 SQ YD 13
$110.00 $1,430.00 0.00 $0.00 13.00 $1,430.00
49 EACH 19
$2,079.00 $39,501.00 0.00 $0.00 19.00 $39,501.00
50 LUMP SUM 1
$6,500.00 $6,500.00 0.15 $975.00 1.00 $6,500.00
51 SQ FT 63.31
$130.00 $8,230.30 0.00 $0.00 63.31 $8,230.30
52 EACH 10
$340.00 $3,400.00 0.00 $0.00 10.00 $3,400.00
53 LIN FT 1000
$3.00 $3,000.00 0.00 $0.00 0.00 $0.00
54 EACH 34
$220.00 $7,480.00 0.00 $0.00 34.00 $7,480.00
55 CU YD 678
$40.25 $27,289.50 0.00 $0.00 669.00 $26,927.25
56 SQ YD 6401
$11.67 $74,699.67 0.00 $0.00 4,812.00 $56,156.04
57 ACRE 0.5
$4,500.00 $2,250.00 0.60 $2,700.00 1.80 $8,100.00
58 SQ YD 2505
$2.60 $6,513.00 2,420.00 $6,292.00 8,712.00 $22,651.20
59 CY YD 50
$149.50 $7,475.00 0.00 $0.00 58.00 $8,671.00
60 EACH 2
$1,750.00 $3,500.00 0.00 $0.00 1.00 $1,750.00
61 LIN FT 12301
$3.00 $36,903.00 0.00 $0.00 12,180.00 $36,540.00
$2,412,566.30 $15,998.68 $2,318,317.40
NOTE: ** PREVAILING WAGE COSTS INCLUDED IN UNIT PRICE PER CHANGE ORDER NO.1 Orig. Contract Amount $2,270,606.45
TOTALS - BASE CONTRACT $2,412,566.30 $15,998.68 $2,318,317.40
ADJUST CASTING
ADJUST CATCH BASIN
REMOVE CASTING
GEOTEXTILE FABRIC, TYPE V
GEOGRID
MOBILIZATION**
REMOVE BITUMINOUS WALK
REMOVE SIGN
SALVAGE AND REINSTALL MAIL BOX ASSEMBLY**
CLEARING AND GRUBBING**
REMOVE CONCRETE CURB AND GUTTER
REMOVE CONCRETE DRIVEWAY PAVEMENT
REMOVE BITUMINOUS DRIVEWAY PAVEMENT
SALVAGE AND REINSTALL DRIVEWAY PAVERS
SAWING PAVEMENT (FULL DEPTH)
REMOVE SEWER PIPE (STORM)
REMOVE BITUMINOUS PAVEMENT (P)**
ITEM DESCRIPTION OF PAY ITEM UNIT
CONTRACT THIS PERIOD TOTAL TO DATE
TYPE SP 9.5 WEARING COURSE MIX (2,B) (DRIVEWAYS & TRAIL)
BITUMINOUS MATERIAL FOR TACK COAT
4" PVC SCHEDULE 40 PERF PE PIPE DRAIN W/ BACKFILL AND WRAP
DRAINTILE CLEANOUT
12" HDPE STORM SEWER PIPE
AGGREGATE BASE CL 6 (CV)(P)**
COMMON EXCAVATION (P)**
STREET SWEEPING
TYPE SP 9.5 WEARING COURSE MIX (2,C)
TYPE SP 12.5 WEARING COURSE MIXTURE (2,C)
12" FLARED END SECTION
6" CONCRETE HEADWALL
CONCRETE FLUME
FURNISH AND INSTALL CASTING ASSEMBLY R-3067-V
CONNECT DRAINTILE TO EXISTING STORM STRUCTURE
CONNECT TO EXISTING WATERMAIN
HYDRANT AND GATE VALVE ASSEMBLY
10" HDPE TO 8" DIP TRANSITION FITTING
1.5" CURB STOP & BOX
1.5" CORPORATION STOP
1.5" TYPE K COPPER PIPE
8" GATE VALVE AND BOX
6" WATERMAIN DUCTILE IRON CL 52
8" WATERMAIN DUCTILE IRON CL 52
10" HDPE DR 11 WATERMAIN (DIRECTIONAL DRILLING) W/ 4700 LB TRACER WIRE**
4" INSULATION
DUCTILE IRON FITTINGS
CONCRETE CURB AND GUTTER DESIGN D412
CONCRETE CURB AND GUTTER DESIGN B618
24" CONCRETE RIBBON CURB
6" CONCRETE DRIVEWAY PAVEMENT
INSTALL CONCRETE PEDESTRIAN RAMP
TRAFFIC CONTROL
SIGN PANELS TYPE C
SIGN PANELS TYPE SPECIAL (STREET NAME SIGN)
SILT FENCE PREASSEMBLED
STORM DRAIN INLET PROTECTION
COMMON TOPSOIL BORROW PULVERIZED (LV)
SODDING TYPE MINERAL**
SEEDING (SEED MIXTURE TYPE 25-141)
EROSION CONTROL BLANKETS CATEGORY 3N
CLASS 3 RIP-RAP WITH GEOTEXTILE FABRIC
TEMPORARY ROCK CONSTRUCTION ENTRANCE
SEDIMENT CONTROL LOG
QUANTITY UNIT PRICE AMOUNT QUANTITY AMOUNT QUANTITY AMOUNT
ITEM DESCRIPTION OF PAY ITEM UNIT
CONTRACT THIS PERIOD TOTAL TO DATE
ITEM
CO1-1 N/A 0
$141,959.85 $0.00 0.00 $0.00 0.00 $0.00
$0.00 $0.00 $0.00
ITEM
CO2-1 LS 1
$16,066.21 $16,066.21 0.00 $0.00 1.00 $16,066.21
$16,066.21 $0.00 $16,066.21
CO3-1 LS 1
$368.00 $368.00 0.00 $0.00 1.00 $368.00
CO3-2 LF 53
$45.93 $2,434.29 0.00 $0.00 53.00 $2,434.29
$2,802.29 $0.00 $2,802.29
CO4-1 EA 12
$1,036.00 $12,432.00 0.00 $0.00 12.00 $12,432.00
$12,432.00 $0.00 $12,432.00
CHANGE ORDER NO.5
CO5-1 TIME EXTENSION N/A N/A
$0.00 $0.00 0.00 $0.00 0.00 $0.00
$0.00
COMPENSATING CHANGE ORDER NO. 6
CO6-1 COMPENSATING CHANGE ORDER LS 1
-$94,248.90 -$94,248.90 0.00 $0.00 0.00 $0.00
-$94,248.90 $0.00 $0.00
TOTALS - CHANGE ORDERS -$62,948.40 $0.00 $31,300.50
TOTALS - REVISED CONTRACT $2,349,617.90 $15,998.68 $2,349,617.90
SUBTOTAL - COMPENSATING CHANGE ORDER NO. 6
SUBTOTAL - CHANGE ORDER NO. 2
ADD TRACER WIRE FOR ALL PROJECT SERVICES AND HYDRANTS
CHANGE ORDER NO. 3
SALVAGE OF EXISTING BASE MATERIAL
SUBTOTAL - CHANGE ORDER NO. 3
CONCRETE VALLEY GUTTER
CHANGE ORDER NO. 4
HYDRANT SPLASH PAD
SUBTOTAL - CHANGE ORDER NO. 4
CHANGE ORDER NO. 2
CHANGE ORDER NO.1
PREVAILING WAGE - **See note above and Change Order-1 for detail
SUBTOTAL - CHANGE ORDER NO. 1
CITY OF LAKE ELMO, MN WHISTLING VALLEY
STREET, AND UTILITY
IMPROVEMENTS
PROJECT NO. 2020.123
CERTIFICATE OF COMPLETION
DATE OF ISSUANCE: October 29, 2024
OWNER: CITY OF LAKE ELMO, MN
CONTRACTOR: JACON LLC
PROJECT NAME: WHISTLING VALLEY STREET AND UTILITY IMPROVEMENTS
PROJECT NO.: 2020.123
This Certification of Completion applies to all work under the Contract Documents
This Certification of Completion applies to the following specified parts of the Contract Documents
I do hereby certify that the work to which this Certificate applies has been constructed in accordance
with the Contract dated January 5, 2022. The above-mentioned improvement is hereby declared to
be complete and acceptance of this work is recommended.
DATE OF COMPLETION: September 29, 2023
Chad Isakson Reg. No. 49028
FOCUS Engineering, inc.
THE WARRANTY PERIOD BEGINS September 29, 2023 AND ENDS September 29, 2024
Fifth Street Towers
150 South Fifth Street, Suite 700
Minneapolis, MN 55402
(612) 337-9300 telephone
(612) 337-9310 fax
kennedy-graven.com
Affirmative Action, Equal Opportunity Employer
MICHELLE E. WEINBERG
Attorney at Law
Direct Dial: (612) 337-9227
Email: mweinberg@kennedy-graven.com
October 2, 2024
VIA FEDEX OVERNIGHT DELIVERY
Tim Taylor
Granite Re, Inc.
14001 Quailbrook Drive
Oklahoma City, Oklahoma 73134
RE: Demand to Freeze Contract Funds for Torre Pines Street and Utility
Improvements Project and Whistling Valley Street Project (Project No.
2020.123)
PRINCIPAL: Jacon LLC
BOND NO. GRMN45745A
Dear Mr. Taylor:
We represent the City of Lake Elmo (“City”), the obligee under the above-reference bond, which
was provided by Jacon, LLC (“Contractor”) in connection with the City’s Torre Pines and
Whistling Valley Street Projects. On August 24, 2023, the City received two letters from Granite
Re, Inc. (“Surety”) instructing the City to freeze the contract funds because the Surety had
received potential bond claims. A copy of these letters are enclosed for your convenience. The
City has frozen the Project funds as requested, and currently holds the following amounts:
$31,138.19 (Torre Pines) and $74,339.16 (Whistling Valley), or a total balance of $105,477.35.
Copies of the final pay applications and change orders are also enclosed.
The City is now ready to close out the Projects. All work has been completed, but the City has
been unable to obtain the final paperwork indicating that all outstanding subcontractor contracts
have been paid. It is the City’s understanding that the Contractor has declared bankruptcy and
will not be addressing the subcontractor claims. The grant obtained by the City for these Projects
requires that they be completely closed out before the end of this calendar year.
The City is prepared to transmit the remaining Project funds to the Surety in exchange for a release
from all outstanding payment claims. Please contact me as soon as possible to discuss the release
of funds and close-out of these Projects.
DOCSOPEN\LA515\1\979602.v1-9/30/24
Thank you for your prompt attention to this matter.
Regards,
KENNEDY & GRAVEN, CHARTERED
/s/ Michelle E. Weinberg
Michelle E. Weinberg
Enclosures
cc: Sarah Sonsalla, City Attorney
Chad Isakson (Chad.Isakson@focusengineeringinc.com)