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3. Lake Lucy Water Res. Repaint CITY OF CHANHASSEN 690 City Center Drive, POBox 147 ChanhllJ"n, Minnesota 55317 Phon,612.937.1900 General Fax 612.937.5739 Engineering Fax 612.937.9152 Public Sdfety Fax 612.934.2524 m-b www.ci.chanIJllSsen.mn.us MEMORANDUM TO: Mayor City Council FROM: Scott A. Botcher, City Manager 3 - The City ofChanhassen. A '/Towin'! communih' with clean lakes, aualitv JCbools, a channinr dOwlltoum, thrivinr businesses, and beal/tifid pmkJ. A '{reat place to live, uwk, and plAy. DATE: April 12,2000 SUBJ: Lake Lucy Water Reservoir Repainting As you recall, the Lake Lucy Water Reservoir maintenance is included in the Fiscal Year 2000 Capital Budget. As you also recall, I brought to your attention that the previous Public Works Director included approximately half the amount necessary to do the job in the budget. That being said, conversations with the Finance Director have indicated that we have the financial resources within the Enterprise Fund to do the project, regardless of what was included in the budget. The issue here is less financial and more practical. Consistent with our discussions, plans and specs for the performance of this work are being completed. A pre-bid conference has been held and the bid date, the date by which the bids need to be submitted, is April 20. The award date is scheduled to be at the May 8, 2000 Council meeting. The project is approximately a 14-week project-l 0 weeks for the interior work and 4 weeks for the exterior work. We have asked the interested contractors to bid two options for us. . Option A contemplates the interior work being done between August 7 and October 14 of2000, with a rough estimated cost of $285,000. The exterior work under Option A would be completed between April 30 and May 31, 2001 at an estimated cost of approximately $250,000, for a total cost of $535,000. As Option A divides the project in half, an additional mobilization cost may need to be budgeted. We have estimated this cost to be $45,000, for a total of$580,000. . Option B contemplates a single year project beginning July 10 with a completion of October 14,2000 for a total of$552,000. (Please understand these estimated numbers are simply estimates at this point. We have tried to be conservative and estimate high, but I make no representation that these numbers are anything more than estimates.) The reason we bid Option A and Option B is to provide you with some choices with what looks to be a thorny project. We have 4 reservoirs in the Mayor and City Council April 12, 2000 Page 2 community-Lake Lucy Road at 3.5 million gallons, the new water tower on TH 41 at 1.5 million gallons, Melody Hill at 200,000 gallons, and the original one downtown at 100,000 gallons; for a total of 5.3 million gallons of storage in the community. As you can see, the Lake Lucy Reservoir is fully 66% of the storage capacity of the community and having it out of service creates a storage problem. Sprinkling bans will need to be in place and they will need to be enforced. Again, until we see the bids and the difference in price of the bids between Option A and Option B, it is difficult, on a pure financial basis, to see if A or B is a better deal. However, simply put, what you get for any additional costs that Option A may include is the ability to have the Lake Lucy Road Water Reservoir on-line during the month of July in 2000. Obviously no one knows what the weather will be like in the sununer. However, July is generally one of our hottest and driest months and if we can avoid having the Lake Lucy Water Reservoir off-line during the month of July, it will in all probability work to our benefit. As I stated, Jerry and I will be present to speak in more detail about specific issues you may have with this project. However, I think it is important for you to be aware of the issues that we will be faced with so that when the award date comes on May Sth you can make your decision with the fullest possible understanding of the impacts of your decision. Thank you. c; Jerry Boucher, Utility Superintendent Teresa Burgess, Public Works Director/City Engineer g:luser\scottbIRservoir.doc