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Item No: 8H Meeting Date: June 13, 2016 Type of Business: Consent Agenda Administrator Review: ____ City of Mounds View Staff Report To: Honorable Mayor and City Council From: Brian L. Erickson, Public Works Director/City Engineer Item Title/Subject: Resolution 8597, Approve a Joint Seal Coat Project with the City of Fridley on Pleasant View Drive Background: The City of Mounds View and the City of Fridley share a border along Pleasant View Drive (Mounds View)/Stinson Boulevard (Fridley). As part of Fridley’s street maintenance program, seal coating is performed on a regular rotation throughout the city. For this year, Fridley will be seal coating Stinson Boulevard and is asking if Mounds View would want to have the eastern half of the street (Pleasant View Drive) completed as well. Discussion: The City of Fridley is part of a Joint Powers Agreement (JPA) that is administered by the City of Coon Rapids where a number of items are bid on an annual basis. One of the items bid under the JPA is seal coating. This allows the members to take advantage of larger quantities and volume bidding while not having to deal with contract administration. For example, this year’s project bid a quantity of over 1 million square yards of seal coating. In addition to the direct costs, Coon Rapids charges a 2% administrative fee and Fridley will add 5% for the cost of inspection and testing. The unit cost for the work is approximately $1.52/square yard, and the City of Fridley will perform the inspection, testing and notification of the residents. Additionally, the street will be striped after seal coating at no additional charge to Mounds View. For comparison the 2015 seal coat project in Mounds View sealed approximately 150,000 square yards at a cost of $1.32/square yard. In addition to the direct costs of the project, there were administrative and overhead costs such as inspection, notification, attorney review and contract administration. Based on the estimated quantity of 4,618 square yards the cost to Mounds View will be $7,036.35 which also includes the fees from Coon Rapids (2%) and Fridley (5%). This cost would be paid from the Street Improvement Fund (485-4470-7050) which includes $75,000 for seal coating in the 2016 budget. At this point, staff has not prepared a seal coat project for the year and to do so would prove challenging. As a result, staff recommends that this work be completed and it be funded from the Street Improvement Fund. Recommendation: Staff recommends that Council approve this seal coating project and the attached resolution, and that the funding for the work come from the Street Improvement Fund (485-4470-7050). Respectfully submitted, Brian L. Erickson, P.E. – Public Works Director/City Engineer