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HomeMy WebLinkAboutResolution 6327 . . . 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. . . . 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. ~ / /6tz; {; UJL--/ Kurt Ulrich, City Administrator . . . 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