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Mourns ViEw City of Mounds View Staff Report Item No: 8H Meeting Date: February 8, 2021 Type of Business: Council Business Administrator Review: To: Honorable Mayor and City Council From: Don Peterson, Director of Public Works/Parks and Recreation Item Title/Subject: Resolution 9395 Approval Tolling Agreement with Shank Construction. Background: Shank Construction has been contracted by the City of Mounds View to complete the upgrade and rehabilitation of our municipal water system components. Discussion: Construction has been underway for just over a year with Phase 1 consisting of upgrades and rehabilitation of Treatment Plants 2 and 3 (and well work) and the Booster Station. Prior to moving forward on Phase 2, which covers Treatment Plant 1 (and well work), substantial completion of Phase 1 must be completed with a target date of June 30, 2021. Staff is prepared to bring Phase 2 bidding authorization forward which triggered discussions with Shank Construction regarding schedule completion. That resulted in concerns being raised and responsibility for those concerns. Both the City and Shank are best served by focusing on the finishing the current project as opposed to disputing fault. A Tolling Agreement is the vehicle by which that is accomplished and consists of both parties agreeing to focus on finishing, setting their disputes aside, while simultaneously preserving their contractual rights for resolution. Strategic Plan Strategy/Goal: Maintain and Plan for Infrastructure Improvements. Financial Impact: None — Legal costs to draft within budget of upgrade. Recommendation: Staff recommends the City Council approve the Tolling Agreement and authorize Mayor and City Administrator to sign. Respectfully submitted, Director of Public Works/Parks and Recreation The Mounds View Vision A Thriving Desirable Community