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Home My WebLink About#27 - Appoint City Engineer & Amendment to Bolton & Menk Agreement STAFF REPORT DATE: January 7, 2025 REGULAR AGENDA ITEM: Appoint City Engineer and Approve Amendment to the Bolton & Menk Professional Services Agreement SUBMITTED BY: Nicole Miller, City Administrator REVIEWED BY: Julie Johnson, City Clerk Sarah, Sonsalla, City Attorney BACKGROUND: Per City Code 3.08.010, at the first regular council meeting in January of each year the Council shall appoint a city engineer. In 2024, the city engineer and principal provider of professional engineering services was Mr. Jack Griffin of FOCUS Engineering, Inc. However, effective January 1, 2025, FOCUS Engineering was acquired by Bolton & Menk, Inc. The acquisition includes Bolton & Menk hiring and employing all FOCUS Engineering professional staff, also effective January 1, 2025. In order to maintain a continuity of engineering services until the City Council may consider an official appointment, a Task Order was executed with Bolton & Menk to provide interim city engineer services from January 1, 2025 until January 7, 2025. For this interim service period, Mr. Jack Griffin remained as the city engineer, but as an employee of Bolton & Menk. ISSUE BEFORE COUNCIL: Who should the Council appoint as City Engineer? Does the Council approve the Amendment to the Bolton & Menk Professional Services Agreement, dated March 20, 2013? PROPOSAL DETAILS/ANALYSIS: Bolton and Menk has submitted a proposal to provide city engineering services to Lake Elmo and to be appointed as the City Engineer in 2025. Bolton & Menk is proposing Mr. Nate Stanley to serve in the role as city engineer. Mr. Stanley has 22 years of professional experience including over 8 years serving as the Public Works Director and/or City Engineer for the City of Hopkins. He will be supported by Chad Isakson as the Assistant City Engineer, Jack Griffin as a Sr. Project Manager, and Mike Rusenovich, as a Project Engineer. Bolton & Menk has submitted a proposal letter together with an Amendment to the Bolton & Menk Professional Services Agreement with the City, dated March 20, 2013 for consideration by the Council. The Amendment was reviewed by the City Attorney. RECOMMENDATION: Staff is recommending that the City Council approve a motion to appoint Mr. Nate Stanley of Bolton & Menk, Inc., as the official City Engineer and principal provider of professional engineering services for 2025, and to approve the Amendment to the Bolton & Menk Professional Services Agreement, dated March 20, 2013. The recommended motion is as follows: “Move to appoint Mr. Nate Stanley of Bolton & Menk, Inc., as the official City Engineer and principal provider of professional engineering services for 2025, and to approve the Amendment to the Bolton & Menk Professional Services Agreement, dated March 20, 2013.” ATTACHMENTS: 1. Bolton & Menk Proposal Letter to provide City Engineering Services, dated January 1, 2025. 2. Amendment to the Bolton & Menk Professional Services Agreement, dated March 20, 2013. 111 Washington Avenue South Suite 650 Minneapolis, MN 55401 Phone: (612) 416-0220 Bolton-Menk.com January 1, 2025 Ms. Nicole Miller City Administrator City of Lake Elmo 3880 Laverne Avenue North Lake Elmo, Minnesota 55042 RE: City Engineering Services Dear Ms. Miller: Bolton and Menk is pleased to submit this proposal to provide city engineering services to Lake Elmo and respec2ully request your considera4on to be appointed as your City Engineer in 2025. The appointed City Engineer will be Nate Stanley, an experienced professional with 22 years of experience including over 8 years serving as the Public Works Director and/or City Engineer for the City of Hopkins. Nate will be supported by Chad Isakson as the Assistant City Engineer, Jack Griffin as a Sr. Project Manager, and Mike Rusenovich, as a Project Engineer. We offer Lake Elmo a strong team of professionals, a seamless transi4on by maintaining your current engineering team, and retaining the depth of ins4tu4onal knowledge of city infrastructure, as well as the city’s engineering standards, processes and policies. In addi4on, Bolton and Menk acknowledges the city’s intent to con4nue to u4lize the professional services pool for project engineering services when deemed in the best interest of the city. We propose to perform the City Engineering services as outlined in the aAached Amendment to the exis4ng Agreement between the City of Lake Elmo and Bolton and Menk, dated March 20, 2013. · Article 1 of the agreement has been amended to revise the services of the engineer to include the duties and responsibilities of the City Engineer, including general engineering, private development engineering, and project-specific engineering services. · Article 3 has been amended to address the basis of compensation and includes a monthly retainer fee in the amount of $3,200 for 2025. This includes the same scope of general engineering services that the city has received from FOCUS Engineering and is outlined in detail in the Amendment. However, under this retainer, the city will receive greater benefit from Bolton and Menk due to our robust GIS and mapping capabilities. We have also aAached our 2025 Municipal Schedule of hourly billing rates. Our billing rates for the iden4fied engineering team are as follows: Name: Ms. Nicole Miller, City Administrator Date: January 1, 2025 Page: 2 Engineering Team Hourly Rate Nate Stanley, City Engineer / Sr. Project Manager $225 per hour Jack Griffin, Sr. Project Manager $225 per hour Chad Isakson, Assistant City Engineer/Sr. Project Manager $188 per hour Mike Rusenovich, Project Engineer $155 per hour An Invoicing Summary Report will be submiAed with monthly invoicing to assist with alloca4ng costs to the appropriate city budget. Development support services for specific development applica4ons will be invoiced separately to facilitate pass-through billing by the city to applicants. The task order procedure outlined in Ar4cle 1.2 of the Agreement will con4nue to be followed for project specific work. We are excited about this opportunity to serve the City of Lake Elmo, and to provide enhanced engineering services aGer combining FOCUS Engineering with Bolton and Menk. Please contact me, or Jack Griffin, should you have any ques4ons. Sincerely, Bolton & Menk, Inc. Nate Stanley, P.E. Senior Project Manager cc: Bradley C. DeWolf, CEO Kreg J. Schmidt, COO Enclosure Accepted By: _________________ Date: ____________________ AMENDED AGREEMENT‐ CITY OF LAKE ELMO – Client‐ENGINEER Professional Services Agreement Page 1 of 4 LA515\1\996189.v4 AMENDMENT TO THE AGREEMENT BETWEEN CITY OF LAKE ELMO AND ENGINEER FOR PROFESSIONAL SERVICES This AMENDMENT is made effective as of the ____ day of ________, 2025, (“Effective Date”) by and between the CITY OF LAKE ELMO, MINNESOTA, a Minnesota Municipal corporation (hereinafter referred to as the “City”), and Bolton and Menk, Inc, a corporation (hereinafter referred to as “ENGINEER”). Section 1. The City and Engineer hereby agree to amend the Client‐Engineer Professional Services Agreement dated March 20, 2013 (the “Agreement”) to replace Article 1.1 Scope of Services as follows: ARTICLE 1: SERVICES OF THE ENGINEER 1.1 Scope of Services: The City agrees to and hereby does retain and appoint ENGINEER as the designated “City Engineer”, and ENGINEER agrees to perform professional engineering services (“Professional Engineering Services”) in connection with the responsibilities of the City Engineer, as directed by the City Council and under the direction of the City Administrator. A. General Engineering Retainer Services: General Engineering Retainer Services are the professional services as follows: 1. Provide engineering assistance on day‐to‐day matters not related to a specific project or development. 2. Attend city council meetings, workshops or Commission meetings to address engineering matters. 3. Attend internal city staff meetings involving engineering matters. 4. Act as the city’s liaison with other communities, Washington County, watershed districts, state and federal agencies on matters not related to a specific project. 5. Respond to constituent requests as received or directed by City staff on matters not related to a specific project. 6. Perform annual capital improvement plan updates for street and utility infrastructure. 7. Provide administration of the municipal state aid system. 8. Advise on potential funding solutions for infrastructure projects such as identifying grants or loan programs. 9. Provide annual infrastructure system GIS and mapping updates. 10. Coordinating updates to the city’s engineering design standards manual. B. General Engineering Services: General Engineering Services (non‐retainer) are the professional service needs that arise within a community on a day‐to‐day basis and are related to specific permit applications or are funded through the street fund, water enterprise fund, sewer enterprise fund, or stormwater utility fund. AMENDED AGREEMENT‐ CITY OF LAKE ELMO – Client‐ENGINEER Professional Services Agreement Page 2 of 4 LA515\1\996189.v4 1. Provide assistance to other city departments on engineering related matters as requested, including planning, building and right‐of‐way permit reviews. 2. Act as the city’s liaison and technical representative with other communities, Washington County, watershed districts, state and federal agencies on specific projects. 3. Assist Public Works with matters related to the performance, op erations and permitting of the municipal water system, municipal sanitary sewer system, and storm sewer system, including the MS4 NPDES permitting. C. Private Development Engineering Services: Private Development Engineering Services are professional services associated with guiding and overseeing the planning, design and construction of public infrastructure systems through private development projects. These services are typically reimbursed through development escrows. 1. Meet with developers and members of the public on development projects to relay the processes and procedures for engineering and infrastructure development. 2. Review development applications and plans for conformance with the city standards. 3. Perform construction oversight of development projects for conformance with city standards and the terms of any applicable development agreement or site improvement agreement. 4. Obtain record plans for all development installed public infrastructure and update utility and street maps each year. D. Project‐Specific Engineering Services: Project‐Specific Engineering Services are professional services associated with guiding and overseeing the planning, design and construction of public infrastructure systems through city‐initiated projects and are typically associated with a dedicated funding source. When requested by the city, services for specific projects will be detailed and documented in a “Task Order” executed in accordance with the procedure outlined in Article 1.2. 1. Project management and programming, topographic surveys, preliminary engineering and feasibility reports, preparing cost estimates, preparation of working drawings and specifications; construction administration, staking and construction observation, project communication and correspondence, council communication, and public communication and engagement. 2. Oversee and manage the annual street maintenance projects. 3. Prepare Requests for Proposals, and oversee the selection of outside professional consultants for certain projects, and manage the professional service contracts. 4. Act as city liaison and technical representative related to County, State and Federal projects requiring city partnership and collaboration. AMENDED AGREEMENT‐ CITY OF LAKE ELMO – Client‐ENGINEER Professional Services Agreement Page 3 of 4 LA515\1\996189.v4 Section 2. The City and Engineer hereby agree to amend the Agreement to replace Article 3.1 Compensation as follows: ARTICLE 3: COMPENSATION 3.1 Basis for Compensation. Compensation to ENGINEER shall be as set forth as follows: 1. Compensation to ENGINEER for all General Engineering Services (non‐retainer) and Private Development Services shall be provided on an hourly rate basis in accordance with the Fee Schedule on file at the CITY, or as mutually agreed to in written form. 2. Compensation to ENGINEER for General Engineering Retainer Services shall be a fixed monthly retainer fee as stated on the Fee Schedule on file at the CITY. The monthly retainer fee will be adjusted annually to account for changed labor costs, inflation, or changed overhead conditions. 3. Project‐Specific Engineering Services shall be compensated on an hourly rate basis in accordance with the Fee Schedule on file at the CITY, or as described in a specific “TASK ORDER” as outlined in ARTICLE 1.2. Section 3. The City and Engineer hereby agree to amend the Agreement to add a new Section 5.13 Indemnification as follows: 5.13 Indemnification ENGINEER shall indemnify and hold the CITY harmless from losses, damages, claims, and judgments (including reasonable attorneys’ fees and expenses of litigation as set forth below) arising from third‐party claims or actions relating to the services only to the extent caused by the acts, negligence, errors or omissions (whether in the performance of professional services or otherwise) of ENGINEER’S or ENGINEER’S employees, agents, or subconsultants occurring during the scope of ENGINEER’s performance of the services under this AGREEMENT, and provided that any such claim, action, loss, damages, or judgment is attributable to bodily injury, sickness, or death, or to injury to or destruction of tangible property. This indemnification shall include reimbursement of the CITY’s reasonable attorneys’ fees and expenses of litigation, but only to the extent that defense is insurable under ENGINEER’s comprehensive general liability and professional errors and omissions insurance policies. To the fullest extent permitted by law and subject to the maximum liability limits set forth in Minnesota Statutes Section 466.04, CITY shall indemnify, defend, and hold harmless ENGINEER from losses, damages, claims, and judgments (including reasonable attorneys’ fees and expenses of litigation) arising from third‐party claims or actions relating to the services being performed by the ENGINEER under this AGREEMENT, provided that any such claim, action, loss, damages, or judgment is attributable to bodily injury, sickness, disease or death, or to injury to or destruction of tangible personal property, but only to the extent caused by the acts or omission of the CITY or the CITY’s employees, agents, or other consultants. This indemnification shall not apply to claims for consequential damages, lost revenues, increased expense or lost profits, nor to any claim for punitive or exemplary damages. AMENDED AGREEMENT‐ CITY OF LAKE ELMO – Client‐ENGINEER Professional Services Agreement Page 4 of 4 LA515\1\996189.v4 Section 4. All references to “Article 5.9” in the Agreement in Article 2.1 of the Agreement shall be changed to reference “Article 5.7.” Section 4. All references to “Article 5.6” in the Agreement in Article 5.7 of the Agreement shall be changed to reference “Article 5.5.” Section 5. All other terms and conditions in the Agreement shall remain unchanged. IN WITNESS WHEREOF, the parties hereto have executed this AMENDMENT as of the date first above written. BOLTON AND MENK, INC. CITY OF LAKE ELMO, MINNESOTA By _________________________________ By _______________________________ __ Mayor By ___________________________________ City Clerk Submitted by Bolton & Menk, Inc. The following fee schedule is based upon competent, responsible professional services and is the minimum, below which adequate professional standards cannot be maintained. It is, therefore, to the advantage of both the professional and the client that fees be commensurate with the service rendered. Charges are based on hours spent at hourly rates in effect for the individuals performing the work. The hourly rates for principals and members of the staff vary according to skill and experience. The current specific billing rate for any individual can be provided upon request. The fee schedule shall apply for the period through December 31, 2025. These rates may be adjusted annually thereafter to account for changed labor costs, inflation, or changed overhead conditions. These rates include labor, general business, and other normal and customary expenses associated with operating a professional business. For projects with typical expenses and unless otherwise agreed, the above rates include vehicle and personal expenses, mileage, telephone, survey stakes, and routine expendable supplies; no separate charges will be made for these activities and materials. Expenses beyond typical project expenses, non-routine expenses, and expenses beyond the agreed scope of services, such as out of town travel expenses, long travel distances, large quantities of prints, extra report copies, outsourced graphics and photographic reproductions, document recording fees, outside professional and technical assistance, and other items of this general nature will be invoiced separately. Rates and charges do not include sales tax, if applicable.1 No separate charges will be made for GPS or robotic total stations on Bolton & Menk, Inc. survey assignments; the cost of this equipment is included in the rates for survey technicians. *Specialized role not classified above otherwise, incl. graphic design, project communication, funding support, etc. **Highly specialized and industry expertise unique to the market or area of discipline. 2025 MUNICIPAL SCHEDULE OF FEES Employee Classification 2025 Hourly Billing Senior Project Manager $188-235 Project Manager $172-216 Senior Project Engineer $157-183 Project Engineer $145-178 Design Engineer $120-159 Architect $150-270 Senior Planner $145-213 Planner $117-146 Senior Landscape Architect $152-199 Landscape Architect $142-161 Landscape Designer $85-134 Licensed Project Surveyor $178-196 Graduate Surveyor $120-189 Survey Technician $90-196 Senior Technician $130-209 Technician $90-169 Specialist*$90-226 Practice Expert**$173-363 Senior Principal $217-265 Principal $173-230 Administrative/Corporate Specialists $72-118 GPS/Robotic Survey Equipment NO CHARGE CAD/Computer Usage NO CHARGE Routine Office Supplies NO CHARGE Routine Photo Copying/Reproduction NO CHARGE Field Supplies/Survey Stakes & Equipment NO CHARGE Mileage NO CHARGE