1b. Lakeside at Bearpath: Approve Quote
CITY OF
CHANHASSEN
7700 Market Boulevard
PO Box 147
Chanhassen, MN 55317
Administration
Phone 952.227.1100
Fax: 952.227.1110
Building Inspections
Phone: 952.227.1180
Fax: 952.227.1190
Engineering
Phone 952.227.1160
Fax: 952.227.1170
Finance
Phone: 952.227.1140
Fax: 952.227.1110
Park & Recreation
Phone: 952.227.1120
Fax: 952.227.1110
Recreation Center
2310 Coulter Boulevard
Phone 952.227.1400
Fax: 952.227.1404
Planning &
Natural Resources
Phone: 952.227.1130
Fax: 952.227.1110
Public Works
1591 Park Road
Phone: 952.227.1300
Fax: 952.227.1310
Senior Center
Phone 952.227.1125
Fax 952.227.1110
Web Site
www.cichanhassen.mn.us
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MEMORANDUM
Paul Oehme, Director of Public Works/City Engineer~ 0
TO:
FROM:
Alyson Fauske, Assistant City Engineer.. f....A v
(~7
October 12, 2009
DATE:
SUBJECT:
Lakeside at Bearpath 1 s\ 2nd, 3rd Additions, Project Nos. 06-13,
06-13-2, 06-13-3: Approve Quote to Complete Punchlist Items
PROPOSED MOTION
"The City Council approves a quote in the amount of$84,706.50 from Chard
Tiling and Excavating, Inc. for work to be performed at Lakeside at Bearpath
1 s\ 2nd, and 3rd Additions."
City Council approval requires a simple majority vote of the City Council
present.
BACKGROUND
The work consists of concrete sidewalk
construction and repairs, concrete curb and
gutter removal and replacement, and
miscellaneous utility adjustments and
repairs at the Lakeside at Bearpath
development located north of Lake Riley.
The street and utility work for all phases
was included in the first phase of the
development. All streets and utilities will
be privately owned and maintained by the
homeowners' association once the
remaining work is complete.
Project
location
The work was to be completed by the
developer, Sienna Corporation, under the
terms and conditions listed in the Lakeside
Development Contract dated November 13,
2006. A letter of credit with an initial balance of $642.935.02 was posted when
the project began to guarantee compliance with the terms of the development
contract. The amount of the letter of credit was reduced to $210,910.00 based on
the work completed on the site.
G:\ENG\PRO.lECTS\K-O\Lakeside (Lakeview Hills site)\Award Punchlist Item Contract I01209.doc
Chanhassen is a Community for Life. Providing for Today and Planning for Tomorrow
Paul Oehme
Lakeside at Bearpath
Page 2 of2
Sienna Corporation has defaulted on the development and the City drew on the $210,910.00
letter of credit posted by Home Federal Bank in order to complete the remaining work.
Based on field observation it appears that the street is still settling, therefore staff does not
recommend paving the final lift of asphalt on the private streets this year. This work is planned
to be complete in 2010; staffwill solicit quotes next year to complete the work.
The outstanding inspection bills totaling $3,400.50 have been paid from the letter of credit draw,
leaving $207,509.50 to complete the remaining work. The City has agreed to complete the
remaining inspections in-house. The City Attorney has been involved throughout this process.
QUOTES
A request for quotes was submitted to three contractors on September 29, 2009. Two quotes
were received. The quotes received are as follows:
Chard Tiling and Excavating, Inc. submitted the low quote. Chard Tiling recently completed the
2009 Mill and Overlay Project, City Project 09-01. The Lakeside project should start
October 13,2009 with substantial completion by October 30, 2009.
FUNDING
Funds for the proposed work were secured by drawing on the letter of credit submitted with the
development contract for the first addition. A summary of current expenditures of the letter of
credit draw is as follows:
Amount drawn on Letter of Credit
Payment of outstanding inspection bills
Cost to complete remaining utility work
(Based on quotes received, pending Council approval)
Remaining Balance
$210,910.00
($3,400.50)
($84,706.50)
$122,803.00
Quotes to pave the final lift of asphalt will likely be solicited in 2010. Staff estimates that this
work will cost approximately $70,000.00. Staff also anticipates that approximately $9,000.00 of
the letter of credit draw will be required to pay Pioneer Engineering, the developer's engineer for
the street and utility as-builts. Pending Council approval of the utility quotes, the remaining
balance of the letter of credit draw will adequately cover the remaining engineering costs and the
cost to pave the final lift of asphalt. Any remaining funds from the drawn letter of credit will be
given back to the bank after all the requirements of the development contract are complete.
G:\ENG\PROJECTS\K-O\Lakeside (Lakeview Hills site)\Award PunchIist Item Contract I01209.doc