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5 Chan Library Project CITY OF CHANHASSEN 7700 Market Boulevard PO Box 147 Chaohassen, MN 55317 Administration Phone: 952.2271100 Fax: 952.227.1110 Building Inspections Phone 952.227.1180 Fax: 952.227.1190 Engineering Phone: 952.227.1160 Fax: 952227.1170 Finance Phone: 952.227.1140 Fa,952.227.1110 Park & Re"eallon Phone 952.227.1120 Fa,: 952.227.1110 Recrea!ionCenter 2310 Coulter Boulevard Phone 952.227.1400 Fax: 952.227.1404 Planning & Natural Resources Phone: 952.227.1130 Fax 952.227.1110 PublitWorks 1591 Park Road Phone: 952.2271300 Fax 952.227.1310 SenlorCente, Phone: 952.227.1125 Fa,952.227.1110 Web Site www.ci.chanhassen.mn.US 5. ~ MEMORANDUM TO: Mayor and City Council Todd Gerhardt, City Manager ~ April 17,2002 FROM: DATE: SUBJ: A ward of Bid for the Chanhassen Library Project Attached you will find MS&R's summary of the bids for the Chanhassen Library Project. Staff is in agreement with Mr. Pettit's recommendation of awarding the bid to Kraus Anderson Construction in the amount of $4,865,000. I have attached some information regarding Kraus Anderson Construction for your review. Recommendation Staff recommends that the City of Chanhassen award the bid for the construction of the new Chanhassen Library project to Kraus Anderson Construction in the bid amount of $4,865,000. G:\admin\tg\AwardUbraryBidMemo The City 01 Chanhassen . A growing communily wllh clean lakes, quality schools, a charming downlown, Ihriving businesses, winding trails, and beautitul parks. A greal place 10 live, work, and play MS&R ARCHITECTS 15 April, 2002 City of Chanhassen c/o Todd Gerhardt City Manager 690 City Center Drive PO Box 147 Chanhassen, Minnesota 55317 Dear Mayor and City Council: Bids for the Chanhassen Library were opened on March 14th. We had 12 Bidders, which is a very good turnout. The numbers ranged from $4,865,000 to $5,515,000, with six bids within 5% of the low number. Kraus Anderson, Building Division in Minneapolis is the low bidder at $4,865,000. Our construction budget, including our contingency, is $5,435,505, therefore, onr revised contingency is effectively $570,505. Kraus also states. in their Bid that the construction will be completed in 330 calendar days from your Notice-to-Proceed. This construction schedule seems slightly aggressive, but if they were able to deliver within II months, the library's grand opening would be approximately June 1,2003. Since the bid opening. we have met twice with Kraus Anderson. We have reviewed their bid and would recommend, to the Council, that Kraus be awarded the construction contract for $4,865,000. We are currently working on the first Change Order, which I will review at the Council meeting on the 22nd. There are a series of modification and coordination issues we're reviewing with Kraus that surfaced in the final two days of bidding that could not make it into an Addendum. In addition, there were some open-ended items that we purposely omitted pending the result of the bid. Given our very favorable situation, we are now able to complete these items with the confidence that they are affordable. The following is the list of items we're currently negotiating with Kraus that will eventually become Change Order 1. I imagine Change Order I will be fully prepared by your second May meeting. 1. Exterior signage currently has a budget of$17,500. We should increase this to $23,000. I think our allowance for the two monument signs needed for the east and west parking lots is too low. 2. We need to re-include the fireplace. The fireplace was not in the program and our pre- bidding apprehension along with our estimator's fear, necessitated that we delete the fireplace. We should include a budget of $11,000. Fortunately we left the gas line to the fireplace, in the bid. 3. We are also missing the details for the vehicular restriction barrier for the upper level of the deck. As you recall, we decided that there would be a weight limit on the deck, which requires a height restriction bar. Structurally we have accommodated the vertical supports so the balance of the cost should not exceed $7,900. 4. Our electrical consultant called the day of the bid to reveal a coordination error discovered by one of the sub-bidders. The problem will increase the cost by $9,200. 5. There were a series of discussions with the City fire marshal that modified the building's alarm and fire system that will increase costs by $18,500. 6. We also need to re-visit the entry. Alternate 1 deleted the eastern Porch and flattened the entry canopy. Fortunately, we can keep the Porch, but from a design point of view the raised canopy's weak and I would rather save the money or re-design the entry. I know there are differing opinions so we need to revisit this issue. The deduct for the raised canopy is approximately $18,700. 7. Alternate 9 added in a sidewalk along the east edge of the parking deck connecting the upper per parking lot to the plaza. The City would like to add this Alternate to the work. Its value is $3,500. 8. On several of the millwork pieces we used plastic laminate tops. Solid surface (Corian like) was our first choice, because it is much tougher and damage is easily repaired. The solid surface costs about $50 per square foot compared to $10 for plastic laminate. I think the Teen Area booths would be the likely candidates to change back to solid surface. The additional cost could be $4,100. 9. Our Civil Engineer has issued a series of minor changes resulting from City Staff comments. Kraus has these modifications as well and is analyzing their dollar impact. 10. The engine plug-in heaters for city vehicles were salvaged but not relocated. We're placing six of the plug-in posts (two plugs per post) along the west side of the upper lot. The approximate cost is $6,750. II. The final nagging issue is the overhead grille, which is not in the Bid Documents, because we couldn't figure out how to gracefully make it work with the ceiling configuration. Considerable time was spent last week redesigning the plans to accommodate the grille. It's a good solution. I would estimate the cost to be $6,800. We also need to budget for special inspections, which is beyond the inspections typically provided by the Contractor. We received a Proposal from GME Consultants, Inc. for $10,450. We'll solicit additional proposals, but we can use their number in the mean time. I'm still quite apprehensive about the stability of the soils. I am certain we'll encounter additional excavation beyond the work recommended by the soils report. We should prepare ourselves for a hefty Change Order. This above list outlines most of the issues we need to address. After all these items are clarified, the first Change Order may hover around $55,000. When we add the estimated changes and the additional testing worth $10,450, we'll start the project with a $505,055 contingency. Historically, our contingency for new construction is 5%, which in this case would be $243,250. Obviously, the apparent extra dollars will cause everyone's wish list to blossom. I would advise the Council and the Building Committee to wait until late fall when we'll have a clearer financial picture before we commit to upgrades and design changes. Finally, on the 22", I'd like to discuss an alternate strategy for the landscaping that was included in our library bid. We're thinking it might be wise to remove the landscaping work from Kraus' contract entirely and re-include it in the bid for the grand park bid. The value of the landscaping in Kraus' bid is $84,990. Sincerely Kraus-Anderson Construction Company was founded in 1897 and has been privately owned and managed by the Engelsma family for over 60 years. With a 2000 construction volume of $740,000,000 we are currently ranked in the top 50 general contractors in the United States according to Engineering News Record. Kraus- Anderson completes over 400 projects a year in 15 different market sectors ranging in size from small remodeling jobs to major new construction projects. Page I of I Customer loyalty is testimony to KA quality. To strengthen our client relations and to provide personal service, KA Construction Company is composed of five full-service operating divisions. For more information, please contact John Campobasso at 612-332-7281 or jcampobasso@k-a-c.com. Headquarters 525 South 8th Street Minneapolis, Minnesota 55404 612332-7281 Minneapolis Division 525 South 8th Street Minneapolis, Minnesota 55404 612332-7281 St. Paul Division 200 Grand Avenue St. Paul, Minnesota 55102 651291-7088 North Division 206 Beltrami Avenue Bemidji, Minnesota 56601 218 759-0596 Building Division 2500 Minnehaha Avenue Minneapolis, Minnesota 55404 612721-7581 Midwest Division MAIN OFFICE 8625 Rendova Street NE Circle Pines, Minnesota 55014 763786-7711 DULUTH OFFICE 22 East Second Street Duluth, Minnesota 55802 218 722-3775 MADISON OFFICE 5250 East Terrace Drive, Suite H Madison, Wisconsin 53718 608 240-4623 CONSTRUCTION . REALTY . INSURANCE . CAPITAL . COMMUNICATIONS KA NEWS . HISTORY © 2002 Kraus-Anderson Communications Group K-12 Schools HOLY FAMILY CATHOLIC HIGH SCHOOL LOCATION: Victoria, Minnesota OWNER: Southwest Metro Catholic High School ARCHITECT: DLR Group DESCRIPTION: 173,000 s.f. High School - includes a chapel, media center, gymnasium, fitness center and classrooms on 70 acres of land ELK RIVER SCHOOLS LOCATION: Rogers, Minnesota & Zimmerman, Minnesota OWNER: ISD #728 ARCHITECT: KKE Architects DESCRIPTION: Two identical 133,000 s.f. Junior High Schools NORTH HIGH SCHOOL LOCATION: North St. Paul, Minnesota OWNER: ISD #622 ARCHITECT: Armstrong, Torseth, Skold and Rydeen, Inc. DESCRIPTION: 254,000 s.f. new school MORE INFORMATION "Kraus-Anderson has lived up to all expectations and has followed through on each and every commitment. KA is the type of company we want on Page I of2 our team. " - Dr. Michael White, Superintendent, North St. Paul - Maplewood - Oakdale ISO #622 VALLEY CROSSING ELEMENTARY SCHOOL LOCATION: Woodbury, Minnesota OWNER: ISO #916 ARCHITECT: Armstrong, Torseth, Skold and Rydeen DESCRIPTION: 133,000 s.f. FOND DU LAC OJIBWE SCHOOL LOCATION: Cloquet, Minnesota OWNER: Fond Ou Lac Band of Chippewa Indians ARCHITECT: Oamberg Scott Gerzina Wagner Architects Inc. DESCRIPTION: New 86,000 s.f. K-12 school. MORE INFORMATION More K-12 School Projects Other Project Experience Categories: I C:~te.90riEJs__ .___._ _ '14 CONSTRUCTION . REALTY . INSURANCE . CAPITAL . CoMMUNICATIONS © 2002 Kraus~Anderson Communications Group KA NEWS . HISTORY Page 20f2 Project Delivery Kraus-Anderson Construction Company works within a variety of project delivery formats, including negotiated general contractor, construction management, design/build and traditional design-bid-build. Regardless of the format, Kraus- Anderson takes a proactive team approach to the delivery of construction services. Whether you're new to the construction process or seasoned, we are confident that our collaborative approach will ensure delivery of a successful project. Traditional Bid V5. Team The Traditional Model for construction over the years called for this: Architect designs, contractors bid the drawings, the low bid is selected and work begins. Its appeal is the perceived simplicity of the process, but the separation between architect and contractor misses many opportunities and increases project delivery time. Page 1 of2 The Team Model offers this: Owner, architect and contractor work together throughout the design process, evaluating alternatives early on and continuously pricing designs as they evolve. Collaboration is encouraged and the design embodies practical construction solutions without losing its integrity. Our project managers are experienced working in this environment and have the ability to draw on the collective resources of Kraus-Anderson in providing this insight. Team Approach The key to this approach is having the contractor join the project team early in the process. This allows the owner, architect and builder to work together through design and construction, supporting each other with good information. All members have a clear understanding and a common focus of meeting the project goals. What are the benefits of the TEAM APPROACH? · Cost certainty · Faster, tighter completion · Superior workmanship · Personnel committed to your mission · Kraus-Anderson's buying power What about competitive bidding? One of the common misconceptions about the team approach is that it eliminates competitive bidding. On the contrary, competitive bidding is alive and well. With Kraus-Anderson, every section of work is bid competitively in the subcontractor marketplace. The advantage is that we spend time with qualified bidders to ensure their understanding of the design and your expectations. Better bids. No surprises. Cost control. The Value Factor The value of Kraus-Anderson is the experience we add to your team. In any project, the decisions made at the earliest stages of planning and design are the ones that largely determine project cost. We support the architect with the most current construction information. Alternative materials and building systems are reviewed rapidly to capture savings in time and money, or to gain improvements in building performance. As a team, we offer construction techniques that support your vision by identifying affordable ways to build the project. We view ourselves as an extension of your staff, We help you to construct facilities we are all proud of, rather that merely fulfilling our contractual obligations. CONSTRUCTION . REALTY . INSURANCE . CAPITAL . COMMUNICATIONS KA NEWS . HISTORY © 2002 Kraus-Anderson Communications Group Page 2 of2 Page I ofl The K"aus-Anderson Story Kraus·Anderson was founded in 1897 by James L. Robinson, builder of several Minneapolis landmarks. In 1929 Robinson retired, selling the company to two employees just months before the stock market crash. Mathew Kraus and Amos Anderson changed the name and labored through the Depression building mostly gas stations and sidewalks. The long term future of the company was shaped when in 1933 Kraus and Anderson hired as office manager and estimator a young man named Lloyd Engelsma. Engelsma purchased the company's very modest assets in 1937 and led the company to prosperity for 60 years. In 1997 he turned the reins over to his son, Chairman and Chief Executive Officer Bruce Engelsma. Today Kraus-Anderson Construction Company ranks among the top SO domestic building contractors nationwide. The company serves as general contractor, construction manager or design/builder on over 400 projects a year, ranging from small remodeling jobs to major corporate complexes. Construction volume in 2000 reached $740,000,000. Lloyd passed away in 1997, but his guiding principals of fair play and keeping the customer happy continue to serve Kraus-Anderson Construction Company's ever- increasing circle of activities. CONSTRUCTION . REALTY . INSURANCE . CAPITAL . COMMUNICATIONS KA NEWS . HISTORY © 2002 Kraus-Anderson Communications Group IlI1 KRAUS.ANDERSON. QUARTERLY r"" 2 Spring 2002 CHAIRMAN'S COLUMN Bruce Engels"", Kraus-Anderson is fortunate to have survived the events of the past year relatively unscathed. Our backlog of work remains steady, and the construction and real estate industries, while not booming, are quite healthy. Although the types of projects we are working on are different from a couple of years ago, our people have the flexibility and breadth of experience to adapt to changing market conditions. KA is competing aggressively for every project, as we should. KA TAKES STRIDES FOR HEART WALK "Our people have the flexibility to adapt to changing conditions" L. to T: Ryan Verstrbète, American Heart .-\ssodation Board; TTO)' Stutz, Minneapolis Division; Bruce Engelsma; Erin Thrush, KA Caþirm; Ken Vinje, KA Realty; Debra PaN, Minneapolis Division; Bruce Halbasch, Building Division; and Dave Anderson, Minneapolis Dillision. KA presented the American Heart Association (AHA) with a check for $15,908, the result of KA corporate, employee and vendor support for the organization's Heart Walk fund raiser recently. Over 100 walkers representing every KA company and division joined over 85 other Twin Cities companies and over 9,000 walkers in raising awareness and money for the event, which supports research and education to reduce disability and death from cardiovascular disease and stroke. BOELTER NAMED EXECUTIVE VP/COO Philip Boelter has accepted an executive vice president/COO position with Kraus-Anderson Companies, Incorporated. Boelter has served KA for over 30 years as legal counsel with the law firm of Dorsey & Whitney, LLP. This issue of our newsletter highlights our recent work in the public sector, an area which we believe will play an instrumental role in leading us out of the recession. .- ,. ,"', ~,. ' ,. .~~,;.. . ,>-,....J ,,',,~; "':-..~ ¡,~) We are proud of the relationships we have built in this important and challenging market, reflecting a range of facilities providing vital services to the communities in which we live. Their successful completion represents the teamwork of many, and we thank you for your continuing dedication, trust and support. . ( As part of the KA executive team, he will take an active role in all aspects of KA's diverse business activities, including construction, real estate, insurance and capital leasing. Phil Boelœr Cot'er: Bureau of Criminal Apprehension Lab, Bemidji, Minnesota Volume 20 No. 64 ~ç;~ KRAUS-ANDERSON.. QUARTERLY is published for clients, associates and employees of the Kraus·Anderson Companies. Inc. 523 South Eighth Street, Minneapolis. Minnesou 55404 Phone 6/2 332-7281 www.krausanderson.com Chairman, Kraus-Anderson Comþanies, Inc. Founder, Lloyd Engelsma (1913-1997) Chairman. Bruce Engelsma Vice Chairman, Daniel Engelsma Editor, MaryAnne London & Writer. Mary Kaeding Kraus·Anderson Communications Group . Phone 612 375.1080 S¡oring 2002 ~ KRAUS-ANDERSON. QUARTERLY Page 3 BUREAU OF CRIMINAL APPREHENSION LAB Situated in its telaxed northern Minnesota woodlands environment, the recently completed Bureau of Criminal Apprehension Lab (BCA) gives few outward clues as to the sophisticated crime fighting work taking place within. Bemidji-hased North Division provided construction management services for the City of Bemidji on the 26,284 sJ. facility, currently under lease to the state BCA. Housing comprehensive resources for crime investigation and evidence analysis, the facility serves primarily the northern Minnesota region, enabling investigators to proceed more efficiently, without sending evidence to the Twin Cities for analysis. At the end of its 20-year lease, the facility will revert to state ownership. " KA kept us posted every step of the process, stayed well within estimated timelines and came in under budget/' said Bemidji Mayor Richatd Lehmann. Designed by The Leonard Parker Associates, the building is entirely secured, beginning with the reception area, which is protected by bullet-proof glass and wall systems. With the exception of a classroom, all meas are cntered through a security system. "KA kept us posted every step of the process, stayed well within estimated timelines and came in under budget." - Bemidji Mayor Richard Lehmann An 8,200 s.f. lab sitc comprises five rooms connected hyan interactive hallway and providing specialty analyses relating to drug chemistry, latent prints, photography, biology and firearms, including a firing range. Other fcmures include crime lab administration offices and an investigations room accommodating up to ten in\·estigators. One area of the investigations room is tied electronically to an interview room for monitoring and recording interviews. In the evidence recovcry area, evidence is received, bar coded and put into a central computer system. A forensic garage is connected to a secure exterior impound lot. Also included within the facility are two fitness rooms, ~1 librar)':, and conference room. Bureau of Criminal Aþprehension Lab The BCA project is North Division's sixth project for the City of Bemidji, having previously completed the Nortlwiew Manor, Bemidji Tourist Information Center, Bemidj i Sewer Treatment Plant, as well as security upgrades to the Bemidji/Beltrami County Airport and historic restoration of the Great Northern Depot for use by the Beltrami County Historical Society. PROJECT MANAGER: Clinton Gronhovd PROJECT SUPERINTENDENTS: Ron Hanson and Dan Wavrin PROJECT ASSISTANT: Lona Chwialkowski ~ KKAUS-ANDERSON, QUARTERLY Spring 2002 P", i WINNING COMBINATIONS UNITED PROPERTIES & KRAUS-ANDERSON Over the last IS years Kraus-Anderson has built millions of square feet of office and manufacturing space for United Propenies and its clients, Recently that successful collaboration was recognized with three Awards of Excellence presented by the Minnesota Chapter of the National Association of Industrial and Office Properties (NAIOP). Pl,,' ,', - L_,'," . ," "'" '" : J{' . .~. " ',' '''.' Single Story Office/Office Flex AGERE SYSTEMS, INC., Mcnlbta Heights Owner: United Proþerties Investment LLC Architect: ACI Boland Office Multi-Tenant More than 100,000 s.f. 8000 TOWER, Bloomington Owner: Tcachers Insurance & Annui!)' Association of America Develoþer: United Proþerties Architect: Edward Farr Architects Phase IV of the Mendota Heights Office Center, the 72,000 s.(. building matches and complements its neighborhood within the master-planned Mendota Heights Business Park. Built on a site of only four acres, the office tower project successfully met the challenge of fitting a large-scale development on a small-scale site. Office Build-to-Suit Less than 150,000 s.f. BLUE CROSS BLUE SHIELD OF MINNESOTA, Eagan Owner: Blue Cross Blue Shield of MN Develoþer: United Proþerties Architect: Architectural Alliance Built with an emphasis on a quality work environment, the building features I a-foot ceilings, indirect lighting and low furniture landscapes to maximize its open plan and highlight views 0( the Minnesota River Valley. HGA ARCHITECTS & KRAUS-ANDERSON Two project collaborations among KA and Hammel Green and Abrahamson, Inc. were recently awarded Awards of Excellence by the Minnesota Chapter ofNAIOP. '-':}\~~': rtq ,.\. " ,/, ~L ;·t, Office Build-to-Suit, More than 150,000 s.f. ADC, Eden Prairie Industrial Built-to-Suit, Less than 100,000 s.f. DATA RECOGNITION CORPORATION, Maple Gtove Owne,./DeveIoþer: ADC The 500,000 s.£. world headquarters project features a 300-seat auditorium, 5,000 s.f. fitness center, full-service cafeteria and a 1,400-car parking ramp. Owne,./Develoþer: Data Recognition Corporation The new 116,000 s.f. (acility smoothly combines COrporate headquarters and materials processing functions. ~ KRAUS-ANDERSON. QUARTERLY Spring 2002 PageS KA ACTIVE IN KANSAS CITY MARKETPLACE ConstTUcZion ofCabela's in Kansas City, Kansas Kraus-Anderson's strong client relationships have brought them to the Kansas City marketplace. The Cabela's store currently under construction in Kansas City, Kansas is the sixth store constructed for Cabela's since 1998. The two-story, 190,000 s.f. facility is on schedule for an August opening. -~- Construction of Super Target, Wilshire Plaza, Kansas CÙy Meanwhile, KA is general contractor for three retail projects in the Kansas City marketplace for longtime client Target Corporation. A June completion is scheduled for the new Super Target in Kansas City, Missouri. The single story, 180,000 sJ. store is designed by KKE Architects and includes grocery, optical, pharmacy and Starbucks coffee shop, as well as related site work. Also under construction in Kansas City is a 110,000 s.f. T:nget store which will connect to an existing shopping center. 111e project is scheduled for completion in October and includes demolition of an existing two-story building, new utility and site work, three ele"ators and masonry veneer. CABELA'S KANSAS CITY Construction manager: Kraus-Anderson Construction Company, Midwest Division Architect: KKE Architects Project managers: jeff lisakka, Eric Erkkila, Matt Durand- Project superintendent: Greg Deppa Project assistants: Chris Fabbro, Gina Peterman The project features a wildlife mountain, freshwater aquariums, African diorama and the world's largest mule deer museum. KA has also completed Cabela's showrooms in Owatonna and East Orand Forks, Minnesota; Prairie du Chien, Wisconsin; Mitchell, South Dakota and Dundee, Michigan. TARGET STORES General contractor: Kraus-Anderson Construction Company, Building Division Architects: Target: RSP Architects Super TargetlGreatland: KKE Architects Project manager: Target: Gene Pelszynski Super TargetlGreatland: Roger Purdy Project superintendent: Target: Gordy johnson Super Target: jeff Lund Greatland:Tom Krona Project assistant: Faye Olausen Completion of a single story, 145,000 s.f. Target Greatland in Mission, Kansas is scheduled for September. The project includes site work and demolition of an existing facility; and creation of a new road for the City of Mission. Over the past 10 years KA has completed multiple new construction and remodeling projects for Target Corporation, including their operations center, Target, Mervyn's and Marshall Field's department stores. IJ1j KRAUS-ANDERSON. QUARTERLY P¡¡ge6 Spring 2002 KA SERVES THE They may take any number of shapes and sizes - courthouses, parking ramps, hospitals or fire stations - but state and municipal construction projects are all bound by public service and accountable to the taxpayer dollaL KA has served the public sector for decades, with projects ranging from the traditional to the unconventional, developing long-term relationships and public/pri vate partnerships along the way. ~~..,.. g;,:::':.~; r Top to Bottom: Campbdl Library, Eas, Grand Forks, Minnesota b1erior and inrmor, Ci'y Hall, Eas, Grand Forks MANY FACES Fire Station, East Grand Forks, Minnesota East Grand Forks Public Works Following the devastating Red River floods of 1997, Kraus-Anderson has worked closely with the City of East Grand Forks as they rebuilt. KA provided construction management services for a new City Hall, Library, Fire Station and several other projects for the City. In addition, KA worked with long-time client Cabela's to bring them into downtown East Grand Forks, adding a powerful retail component to the community's revitalization. Northjìeld Hospital, Nor,hjìeld, Minnesota Northfield Hospital KA is construction manager for a municipal hospital and medical campus under construction in Northfield, Minnesota. The 126,216 s.f. project includes a 37-bed hospital and a 40-bed skilled nursing facility. The owner's representative on the project is Frauenshuh Company. ~ KRAUS-ANDERSON. QUARTERLY Spring 1001 Page 7 OF PUBLIC SECTOR PROJECTS Top to bottom: Grand Rapids Cii'ic Center Grand RaPids Lihrary, Grand Raþids, Minnesota Cllubind Mainrcnancc Facilit)" Grand Raþids Grand Rapids Public Works KA has provided construction management services to the City of Grand Rapids, Minnesota on several recent projects, beginning with the Grand Rapids Civic Center and including the Combined Maintenance Facility and the new Area Library. Oakdale Fire Station, Oakdale, Minnesota Oakdale Fire Station KA constructed a 13,950 sJ. fire staiion for the City of Oakdale, Minnesota. The project includes a two-story section and three drive-in bays. Lawson Commons Municipal Parking Ramþ, St. Paul Lawson Commons Municipal Parking Ramp Constructed for the City of St. Paul, the project includes seven levels of parking for 1,060 cars and 12,000 d. of retail space adjacent to the Lawson Commons Tower fronting Wabasha Street. IiID KRAUS-ANDERSON. QUARTERLY p...,s Spring 2002 EAGLE CREST DEMENTIA FACILITY Continuing its long service to Presbycerian Homes of Minnesota, the St. Paul Division recently completed construction of a 36,000 s.f. Alzheimer's patient facility in Roseville, Minnesota. ll1c care {acHity accommodates 36 residents and is part of Presbyterian Homes' Eaglecresr continuum of care campus. TI,e facility is designed by Boarman Kroos Vogel Group, Inc. Project manager: Jim Beckwith. Project superintendent: Keith Ringold. ProjecT assistant: Beeki Bestler. SOUTH PIER INN An upscale contemporary 29~unit hotel is taking shape on Park Point of the lake Superior waterfront in Duluth, ,Minnesota for owner Sola Properties. South Pier Inn, now under construction by the Midwest Division, is a 15,064 sJ. tWQrstory hotel designed as a series of ]0 connected waterfront "town houses," each offering guests individual suites or the option to combine units into two~ or three-bedroom accommodations. Architect for the project is Blesner Dahlherg Prestidge Architects. A May opening is scheduled. Project manager: Mike Dosan. Project superintendent: \Vade Engebretson. Project assistant: Chris Fabhro. R&D TECHNE SYSTEMS RAMP A parking structure will be completed mid-June in Minneapolis for owner R&D Techne, managed by Excel Management. Architect is Pope Associates Inc. and general contractor is the Minneapolis Di\'isîon. Project manager: Paul Carlsted. pJ'oject superintendent: Doug Revard. I'n.1ject assistant: Cheryl Anderson. rIm. PRoJEcTs FIRST FEDERAL BANK WAl-MART North Division recently completed construction of a branch bank within a Wal~Mart store in Bemidji, Minnesota for First Federal Bank. Project manager: Jim Golden. Project superintendent: Ron Hanson. Project assistant: Lona Chwialkowski. COURAGE CENTER RESIDENCE REMODEL A phased, total interior renovation of the 33,000 sJ. residence wing is under construction at the nationaIly~ recognized rehabilitation center in Golden Valley, Minnesota. The Midwest Division is general contractor for the project, which will be completed in five phases over a IS-month period. Architect is KKE Architects. Project manager: Scott Johnson~ Project superintendent: Fred Weber. Project assistant: Jeanette Wilson. VOGES ROAD PROPERTIES, LLC The Madison office of the Midwest Di\'ision recently completed a 2,878 sJ. interior build~out of an existing strip mall in Madison, Wisconsin for owner Tim Neitzel. The space is occupied by Architectural and Design Hardware and includes office and showroom space, as well as a hollow metal door storage and fabrication shop. Architect for the project was Rodney W. Helt, AlA. Project manager: Ray Sheeran. Project assistant: Jean Thompson. CATHEDRAL OF THE PINES The Midwest Division is general contractor for an addition project at the summer camp owned by Mount Olivet Lutheran Church. The 8,400 sJ. dining hall facility is designed by Damberg Scott Gerzina Wagner Architects and features wood frame construction with heavy timber exposed roof structure, a complete ~ commercial kitchen and a full basement for storage. The new facility will complement the existing camp, including a chapel designed by Lloyd Engelsma in 1949. Project manager: Terry Thompson. Project superintendent: Rick Miller. Project assistant: Lisa Graham. - ~/'. )-¡¡J / ~~::'iJJ¡]jt. , ~', ¡: t- t. -~., ." ' Ii ~, æ. ., ,',' ~'." '" f .,~~~., ". ,J j ~.~ ' ,PI ~:. - "'~"fìfii:;"i~' ue.-,~" ~.rJlf_I"}'. ~ Holida)' Inn River Centre HOLIDAY INN RIVER CENTRE A complete interior/exterior hotel renovation was recently completed in downtown St. Paul for Owner 175 Fort LLC. Designed by KKE Architects, the project converted the former Days Inn, located adjacent to the new Xcel Energy Center. The Holiday Inn Ri\'er Centre features 210 rooms, pool and fitness area. General contractor was the St. Paul Division. Project manager: Paul Charpentier. Project superintendent: Arlen Staffon. Project assistant: Margaret Meier. NO LOST TIME Three Kraus~Anderson Construction Company divisions recently completed the year with no lost time accidents, reported safety director Tom Nelson. Minneapolis Division, Midwest Division and North Division completed a toral of 700,816 worker hours in 2001 without a lost time accident. m1 KRAUS-ANDERSON. QUARTERLY Spring 2002 Page 9 Abbot, Northwes","" ABBOTT NORTHWESTERN SPECIALTY CARE CENTER Construction of this three-story, 65,000 sJ. medical office building was recently complcted in Sanell, Minnesota for Fraucnshuh Companies. Architect is Ellerbe Becket and general contractor is the Minneapolis Division. Project manager: John Davies. Project sUl1L'Tintendent: Jay Augst. Project ~ls~istanr: Minnie O'Neal. GUSTAVUS ADOLPHUS LUTHERAN CHURCH 111e St. Paul Division recently Cl)mpletcd a remoJeling project at Gustavus Adolphus Church in Minneapolis. Remodeling included enclosure of a 1,850 s.f. atrium with roof system and skylights to create a ne\\' fellowship area; and additional remodeling to the church totaling approximately 7,500 s.f. Project manager: Jeff Kast. Project superintendent: Andy Rice. Project <1ssisrant: Sue Abram. ST. FRANCIS CITY CENTRE BUILDING A 13.500 s.f. multiple tenant retail building is slated to begin construction this spring in St. Francis, Minnesota for owner St. Francis Realty, LLC. Completion is scheduled for June for the projecr. designed by BKV Group, Ine. Genera1 contractor is the Midwest Didsion. Project manager: Scott Cra\\ford. Project superintendent: Ken Baumann. Project assistant: Jeanette Wilson. ~ePROJËCTS CHATEAU THEATERS A new 14-screen, 54,000 s.f. movie theater was recently completed in Rochester, Minnesota for owner GAC Theater, LLC. Architect is Hammel Green and Abrahamson, Inc. and general contractor is the Minneapolis Division. Project manager: Troy Stutz. Project superintendent: Steve Hinsa. Project assistant: Julie Montbriand. GROVES ACADEMY PHASE II A t\\'o~story addition and remodeling was completed in January at the private school in St. Louis Park, Minnesota. The project includes new classrooms, administration, and a brick and EFS exterior gymnasium and locker rooms unifying and moderni::ing the 40~year old facility. Groves Academy is an a\\'ard~\\'inning. independent co~educational day school serving preschool through 12th grade students with learning difficulties. The school provides multi~disciplinary special education for students who exhibit learning disabilities and attention deficit disorders and who have not found success in other schools. The Minneap01is Division was general contractor for the project, designed by Mohagen Architects. Project manager: John Davies. Project superintendent: Gary Skogman. Project assistant: Minnie O'Neal. . ~ III "r-'-'l -r-" ..~. ~ :": J...... .. ':' 'e I . . '1 f1.. . r~l ,~4 .. . :,¡;,., ~.~~r ¡-i '< /1 .. , .. . , J Musictèèh College fO£Ulty, students, community !eaders and friends ce!el1rated the grand opening of its new downtoum Sf. Paul camþus with a ga1a event on March 7. MUSICTECH COLLEGE The former home of St. Paul's Science Museum of Minnesota is now home to a music school, following a complete renovation of the building to accommodate state of the art recording, performance and classroom facilities. Renovation highlights include a 9,000 sJ. recording studio in a free~floating room within a room, its walls and floor insulated from the rest of the building. Other features include a new glass main entrar~ and conversion of a third~floor members room into a window·filled student lounge and coffee shop. Musictech College is an accredited two~year college offering advanced training in the music industry, including performance, recording and production. The school struck a deal with the City of St. Paul to buy the St. Paul Arts and Sciences Building, which had been vacant since the Science Museum of Minnesota moved to new facilities in 1999. The college will share the building with the Great American History Theatre and the newly-formed St. Paul Music Conservatory. The St. Paul Division is general contractor for the project, designed by Collins Hansen Architects. Project lnanager: Ken Braun. Project superintendent: Keith Limerick. Project assistant: Lyn Ringold. (lð KRAUS-ANDERSON. QUARTERLY rage 10 Spring 2002 Ruth 5tridær Dayton Camþus Conrer RUTH STRICKER DAYTON CAMPUS CENTER Construction of a three~Ie\'eI. 70,000 s.f. student center was recently completed for Macalesrer College in St. Paul. Level one features student dining, level two contains Campus Programs and Residential Life offices. The lower le\'el includes a 270~seat lecture hall, retail .and postal services. Architect W"lS Shepley BullFinch and general contractor was the St. Paul Di\'ision. Prnjecr Tllan~1ger: Kt.'J1 Braun. Project superintendent: Harry Zam. Project assistant: Lyn Ringold. ~œPROJËCTS ADC LAB CONSOLIDATION The Building Division is constructing engineering labs within the recently~ completed AOC headquarters in Eden Prairie. Minnesota. Designed by Hammel Green and Abrahamson, Inc., the project is scheduled for completion (11 August and will provide testing facilities for ADC's product line. Project manager: Brad Harvey. Project superintendent: Ben Mergens. Project assistant: Keith Pahl. BRAUN INTERTEC The Building Division is general contractor for remodeling úf an 85,000 sJ. huilding in Bloomington, Minnesota for owner Braun Intenec. The project is designed by BWBR Architccts, Ine. and includes 23,800 sJ. of office area; 6.000 sJ. analyticallah. 8,000 sJ. ll1;:lterials lah, 2,800 sJ. ,,·cuchuusc, 2,400 sJ. NDE lab, radio isornpe \'auh and garage area. Completion is scheduled for October. Project manager: Nita Andrea. Project superintendent: Russ Ellenwood. Project assistant: Laura LeBarron. Minneapolis Club MINNEAPOLIS CLUB The Minneapolis Division recently completed Phase II of the two-phase Minneapolis Club addition and renovation project in downtown Minneapolis. Phase II included remodeling of the men's locker room, grand stairway and pool. all completed while the ptivate club remained in full operation. The 15,000 sJ. Phase I addition was completed in Septemher of 2000. and consists of new office space, conference rooms and workout facility. The addition was designed and constructed to retain the architectural integrity and quality of the original club. built in 1908. Architect was Setter, Leach & Lindstrom, Inc. Owners' representative was Nelson, Tietz & Hoye. Project manager: John Boerboon. Project superintendent: Jeff Stanway. Project assistant: J uHe Monthriand. KA CAPITAL ANNOUNCES FINANCING A new, high-efficiency conCJ'(.'tc mixing delivery system is being introduced to the construction industry, following equipment financing through KA Carita!, LLC for Three D Industries of Wintersct, Iowa. Three D is a manufacturer of volumetric concrete mixing equipment, which consists of mobile mixers mounted on either a truck at trailer. According to Dean Longnecker, President and CEO of Three D, yo1umetric mixing is a technique of mixing and delivering proportioned amounts of concrete to each joh site, allowing the product to be delivered to multiple sites during the same delivery run. KA Carital rrm'ided financing to the client for a high-definition plasma cutting system and brake press which are util¡:ed in the new delivery system. This modular (.JOlumerric mixer was detdopcd b)' Three D Indusrries utilizing equiþment financed through arrangement with KA CaPital. Financing was originated by KA lease accountants Gary Caddoo and Mick Uzendoski. lnfonnation on the system can be obtained by contacting Three 0 at 1-800-835-0040. ---~~----------- [1111 KRAUS-ANDERSON, QUARTERLY -------_.--- ._,-----~-----------_...._--_..- ~!,rin:: 2l\\~ r;lg~ II COPING IN THE NEW INSURANCE MARKET Change is rippling through the insurance industry, challenging policyholders and industry professionals alike tl) undeTstanJ the causes in order to control costs and ~eek out value. The tl)ugh market turn follows one of the longest soft markcts on rccord. From 1987 through 2000, insurancc \\'<1S a buyer\ market, characterb,:'LI hy flexihility, l'xtended coyerage .and Jownward pricing. "\Ve had clienb experiencing 5~15 percent reductions ('<1ch year," :-;aid Brian Kampf, crcu, a:-;sistant vice prl'.'ilil'nt, i\brkèting fl.) " Kraus,Andersnn Insurance. .-\... !he L'Cl.1l1nmy hegan struggling in 2000, the inSllr,IIKC Jllarkl,t heg<1n tightening up. and by 2001 carrin;o; were L'\ )JllIl1,II1Lling 1 O~ 15 perCl'nt inne,lses in all lines. Then I.:,I111e Se)"temhL'r 11,2001. "Show the industry that you're a good account." Brian Kampf. Kraus-Anderson Insurance Pril\f h) that LLUt·, the br,L:L'st insur,¡hlc l'\'ent in histl\l'\' n',I'" l-IurriclIll' Andrew in 1992, \\·hi(h tnt,dlell :31) h'lli\\Jl in ]n:-;:-;1...'s. In (l1l1(1';1-.t, till' tC!TI)rist ;~tt:1(b in :\L'\\' )'llrk, \\l;bhingtnn, D,C, ;lI1d Pcnns\'yÎ\'<1nia \\·ill CI)"! thL' in~urêllK"" indu...tn· hl,t\\'eL'n S10 and 5ïO Hllitln, In ,¡~klitjt\n to th.... S').ï l~illion in (:{wer,)!2:L' nn thc \Vnrl~1 Tr;d.... Centt..'r. lh,It .......;timate ;1Isl.1 retlc~ts loss o( incn11ll' t~\ l"lIsine~~('~ SUll\llll1l1ing (J[(1lmd Zen\; \\\H-kL'l'S compe1b;rtinn lluL' tn the death.-; and in,iuries o( :-;lHl1l' ').100 pel.)ple; 10:-;s o( the (our ,lirplar1L's tI"l'd in the ;llt;1Ck~- the list gl)CS l) ) and on. Rut whill' the }l\S:-;I'S ";('l'm lInfat1w11lêlhle, insurance C(1\'Cr;lgc i~ 1llL'l'...·ly finile. Insurance CI)!)lp,lniL';o; (,lIT)' ê1 l';lJ~;1(ity 1.111 hn\\' much Cl1\'er'1ge d1L'Y «1\1 n({n. \\lhen il cbim Î-..; malle, nllJ11l'Y i" lIL1\\'J) {n\1ll «lp,ICity like \\·,lter {nll1l <I well. Tn 1llake up the ll¡fferel1ce het\\\'el1 cl!",1(ity and the (\1\'er;¡gc r....L uirel!, in...ur;mCl' cDmpanie;o; WlJl-k with rL'in"ur.mce pn)\'ider:, to sl"read the risk. A;o; recent l..'\'ent~ haYl' dl'i\inl'll capacity êmd incrl't\:-<cd dcmand for reinsurance, the <I\'aiLll"\ility of reinsurance has also dried lIp~ anJ insurers arc responding by drastically cutting back nn the a1l1l)ll11[ of CO\'l'rage they arc \\'il1ing to o(fcr on any Œ1C risk. ~kby, any insurance buyer with more than a couple millhm d(\11ar:-< in inSlIratKl' \'alue may now need 1l111lripJe Lirricrs rn cn\'f...'r his risk. "Cêirriers nnh- \\'ant tn takc on a limited ~hare of the risk <lnJ 1h....", W;ll~t three tl.} four times what the clicnt was ra~'ing b...t year," s,Iid Kampf, Pr\ )rerty jn~lIrtlnce i", :-<el'ing the most dramatic rate incn.'a...l''', <In.-raging 70 tn 80 percent nationwide, ,Kc<)rding t~l industry ....'stimatcs. Increase:-< range from 25 pcrcent for lowct risk properties, over 100 percent for high-value properties, to as much as 400 percent for high-risk properties sllch as chemical plants. Rmes for excess casualty covers are rising anywhere from 25 pcrcent to more than 100 percent for high risks or those with poor loss histories. Terrorism exclusions arc also cropping lip morc ftequently in propcrty/casualty policies, Thc workcrs comp markct has also been affected by Septemher 11. Insurers are now reasse~sing coverages fnr polic)'lh1lders with largc numbers of employees in a single facility. So hm\' i."; one h) Cl)pe in the costly new insurance markct? "Ahout the singh: hest thing you can do is hudget for it," Kampf said. The reality is that higher rates arc here to st,¡)' fnr ,1 \dlÎlc. Sec~) 1dl)', wnrk with your insurance prn\'idcr to dc1i\Tr the tools they can use to your benefir. "Shl )\\' the industry that you're ¡1 good account," Kampf 'lll\'i:-;cd. Po1îc)' h~\ldcrs \\'ho arc prn;lcti\"l.' about their risk mêll1,¡gl'melH assessment, hold tip a gOlJLI workplace _..;,¡rety rl'Cl)]\l, gOl)Ll dri\Tr:-<, and a strong risk management !~rl),L:r,¡m \\·ill he f;l\'(}r~'y insllnmce carriers, Thirll, ."hnp fl.)!' \·allle. KA. Insurance has always carefully cultiY¡lted it:' rc1atil\nships with pnn-idcrs, to the benefit of its pnlicy holders. "\\le Jo an excl'ptiomt! job, especially at critical times," Kampf said, adding that KA shops pnn-iJers and -"cnnini:es their products and packages to find the hest nptions available to their clients. While a year ago KA was marketing about 30 percent of its renewals, Sêlkl K'Hnpf, toJay that figure is 95 percent, \'\/hLTl' ,ll"pn) "riate, KA also guiJes clients to other npri\lns which nwy mitigate expenses while retaining ."llfficil'nt coverage. Higher deductiblcs, lowcr limits, ,\ycring l l prlJ "l'ny pt\)gr,lIl1S, and alternati\·c risk transfer lllcchanism:-< :-<uch as capti\T insurance programs me \'iahle nptions for some, Finally, reali:e that there is no such thing as too long a lead timc. Formcrly a lead time of 30 to 45 days was sufficient to process a new or renewing policy. Now 45 to 60 days is a bare minimum, Kampf cmphasized. Reali:e that, in this market, insurance companies em pick and choose with whom thc)' want to do business. By making yourself an amacti\·c customer, you'll maximi:e ynur chances of rctaining gooJ \·alue and weathcring the increased costs gracefully. For more information, call Brian Kampf at Kraus-Anderson Insurance: 952-707-8214. ffiAUS-ANDERSON.. INCORPORATED i25 S. 8th Street -1inneapoIis, MN 55404 RETURN SERVICE REQUESTED PRESORTED STANDARD U.S. POSTAGE PAID PERMIT No. 2510 MPlS.. MN RECEIVED APR 1 'I 2002 CITY OF CHANH 9 23 *******AUTO**3-DIGIT 553 . ASSEN .~ '1 TODD GERHARDT CITY OF CHANHASSEN 690 CITY CENTER DR CHANHASSEN MN 55317-SS3of ',I""/,/",/I""III"'//'/",//""lItl/t,//,/"//",¡",,, ;~~T~~C~I~s1~[~~T9\1Æ2m ~. WOODWINDS WINS VISTA AWARD -...".. .'':~-. ',-. 1.¡-m . " I.., ¡¡ ,.. I ..:..-~. '--./: ~' i~ ¥' ~t --- t it~~ t .,~ . I. ~ . The American Society for Healthcare Engineering (ASHE) has named Woodwinds Health Campus winner of its Project Team Vista Award. The Kraus-Anderson project was recognized for team performance in the planning, design and construction of outstanding health facilities. The selection process included personal interviews from the owner, HealthEast Care Systems and Children's Hospitals and Clinic; architect, NBB] and BWBR; Construction manager, Kraus-Anderson and various engineers regarding the team's overall collaborative performance, success, and design achievements. The Woodwinds Health Campus is located on a 30-acre site comprising a 185,000 sJ. medical facility, an 80,000 sJ. medical office building and a 33,000 sJ. outpatient rehab and day care center.