HomeMy WebLinkAboutResolution 6327
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RESOLUTION NO. 6327
CITY OF MOUNDS VIEW
COUNTY OF RAMSEY
STATE OF MINNESOTA
APPROVING THE CONTRACT AWARD WITH XCEL ENERGY FOR THE
STREET LIGHT REPLACEMENT PROGRAM
WHEREAS, Staff developed the City's Capital Improvement Program in
2002, and has hereby proposed eliminating the City-owned streetlights by
converting them to Xcel Energy Lights and having Xcel maintain them; and
WHEREAS, it was originally proposed that the lights be slowly converted
to Xcel Energy over a period of ten (10) years; and; and
WHEREAS, several posts have corroded to the point where wooded post
have been added; and
WHEREAS, given the condition of these poles and the liability taken on by
the City in the event that one of these poles damages property or endangers life
and safety, it is imperative that the City address this situation immediately; and
WHEREAS, Staff has consulted with Xcel Energy and developed a
proposal to replaced the fifty-four (54) City-owned street lights in the amount of
$270,000; and
WHEREAS, the City Council will be presented the options of either
Including Silver Lake Woods street lights in with this falls project or replace the
Silver lake Woods street lights next spring as a separate project after the streets
are dedicated to the City.
WHEREAS, funds to finance this project would be derived from the
Community Fund, except in the case of the industrial park area where tax
increment funds (TIF) will be used if allowed; and
WHEREAS, the City Charter, Section 7.08 gives the City Council authority
to amend the budget by resolution.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the
City of Mounds View, Ramsey County, Minnesota as follows:
1. A contract award to Xcel Energy in the estimated amount of $269,000
for the Street Light Replacement Program is hereby approved.
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ATTEST:
(seal)
2. That the Silver Lake Woods Street Lights will be included with this fall's
project provided that the Silver Lake Woods Condominium Association
provides the City the necessary legal documents and financial
securities as recommended by the City's legal counsel.
3. That the funds to finance this project would be derived from the
Community Fund, except in the case of the industrial park area where
Tax Increment Funds (TIF) will be used if allowed.
Adopted this 9th day of August 2004.
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Kurt Ulrich, City Administrator
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August 9, 2004
XCEL ENERGY REVISED CONTRACT
Business Park 40 lights $191,000
Parkview Area 5 lights $24,000
Various locations 3 lights $18.000*
Total 48 lights $233,000
* Of the original nine (9) streetlights located at various locations within the City, there
were six (6) streetlights that met Xcel' s standards. This reduced the estimated cost from
$55,000 to 518,000
SILVER LAKE WOODS CONDOMINIUM
AREA STREETLIGHTS
OPTION 1 - Xcel Ownership Rate - Include in with this contract at an additional cost
of536,000 for six (6) lights- 518,000 to be reimbursed by the homeowners association.
Monthly charge per light per month is 58.59. (This is the same rate as the other lights in
this project)
OPTION 2 - Leased Rate - Pay up front cost 01'5120,000 AND pay a monthly charge
per light of $24.30.
OPTION 3 - Customer Owner System - City will install its own system. If it is built to
Xccl Encrgy standards, Xccl could offer energy cost and maintenance services for 59.99
per month per light.
Staff recommends proceeding with Option 1, and revise the contract to include these
lights. For a total project cost 01'$269,000, of which $18,000 will be billed to the Silver
Lake Woods Homeowners Association