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Mounds View City Council February 23, 2009 <br />Regular Meeting Page 6 <br /> <br />Joe Rhein, Bonestroo, presented the 2009-2010 Street and Utility Improvement Project bids 1 <br />ranging from $3,948,859.33 to $4,736,316.90. Mr. Rhein stated there was good competition and 2 <br />the low bid was about 15% below the estimate. In addition, the price of oil and gas has dropped 3 <br />recently and is $75,000 lower than estimated. Staff is familiar with North Valley, Inc., and found 4 <br />them good to work with, they do quality work, and he has no hesitation recommending their low 5 <br />bid. Because the bid is lower than the engineer’s estimate, there is no anticipated problem with 6 <br />cash flow. 7 <br /> 8 <br />Mr. Rhein reviewed the Silver Lake Woods improvement, noting the total estimated construction 9 <br />cost is just under $200,000 not including attorney, engineer, or staff time costs. The agreement 10 <br />has a maximum amount of $415,000 so there is more than a 100% allowance between the 11 <br />construction costs and maximum allowed. Mr. Rhein presented the construction schedule and 12 <br />recommended that the Council consider adoption of the resolution to approve the low bid. 13 <br /> 14 <br />Jim Battin, 2332 Laport Drive, Citizen Task Force Member, and Street and Utilities 15 <br />Commissioner, thanked the Council and all citizens who put in a lot of time at meetings to hash 16 <br />out the details. 17 <br /> 18 <br />MOTION/SECOND: Mueller/Gunn. To Waive the Reading and Adopt Resolution 7414, 19 <br />Awarding the Construction Contract for the 2009-2010 Street and Utility Improvement Project 20 <br />and Authorizing the Mayor and City Administrator to Execute said Documents. 21 <br /> 22 <br />Council Member Mueller stated she was thrilled that 13 bids were received, noting the difference 23 <br />between the highest bid was only 1%. She thanked staff for their work and finding a way to fund 24 <br />this project with the levy limits in place, indicating she is excited this project is moving forward. 25 <br /> 26 <br /> Ayes – 5 Nays – 0 Motion carried. 27 <br /> 28 <br />C. Resolution 7415, Establishing the Components of the Private Improvement 29 <br />Program in Conjunction with the Street and Utility Improvement Program. 30 <br /> 31 <br />Joe Rhein, Bonestroo, explained it became apparent there are opportunities for improvements to 32 <br />private properties as part of the contract to assure the infrastructure is not damaged in the future. 33 <br />He stated the Council informally agreed with this concept at a Workshop meeting. Mr. Rhein 34 <br />presented examples of improvement opportunities that could be considered and presented the 35 <br />draft resolution requirements, summarized the points presented, and schedule of project cost. He 36 <br />also reviewed Exhibits A and B and explained the payment options available to residents. 37 <br />Because the costs are reasonable, staff recommends a down payment not be required. He 38 <br />presented the sliding scale suggested for the special assessments, depending on the level of 39 <br />assessment, as depicted in Schedule B. If approved, residents would receive notice of the March 40 <br />19, 2009, preconstruction meeting and documents would be available regarding this program. In 41 <br />addition, staff would work with the City Attorney on the agreement document. 42 <br /> 43 <br /> 44 <br />MOTION/SECOND: Gunn/Mueller. To Waive the Reading and Adopt Resolution 7415, 45