Lake Susan Hills Rehabilitation Project 17-01: Accept Bids and Award Contract; Assessment Hearing Y
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CITY Of ClIANHASSEN
% Chanhassen is a Community for Life-Providing forToday and Planning forTomorrow
NH AS
MEMORANDUM
6 -
TO: Paul Oehme, Director of Public Works/City Engineer y
FROM: Stephanie Smith, Project Engineer ')F2?S
DATE: April 10, 2017
SUBJ: 2017 Street Rehabilitation Project No. 17-01: Accept Bids and Award Contract; Hold
Special Assessment Hearing
PROPOSED MOTION
"The City Council adopts the attached resolution accepting the bids and awards the contract for
the 2017 Street Rehabilitation (Lake Susan Hills Area) Project No. 17-01 to Northwest Asphalt,
Inc. in the amount of$1,048,660.92.
The City Council adopts the assessment roll and resolution for the 2017 Street Rehabilitation
(Lake Susan Hills Area) Project No. 17-01."
City Council approval requires a simple majority vote of the City Council present.
BACKGROUND
At the August 22, 2016 work session, staff reviewed with Council the proposed 2017 Street
Rehabilitation in the Lake Susan Hills area.
On September 12, 2016, the City Council authorized preparation of the feasibility study.
On October 18, 2016, staff held an Open House for the proposed project.
On October 24, 2016, the City Council accepted the feasibility study and ordered the public hearing.
On November 28, 2016, the City Council held the public hearing and authorized the preparation of
plans and specifications.
On January 23, 2017, the City Council approved the plans and specifications and authorized
advertisement for bids.
PH 952.227.1100• www.cl.chanhassen.mn.us• FX 952.227.1110
7700 MARKET BOULEVARD • PO BOX 147 • CHANHASSEN • MINNESOTA 55317
Paul Oehme
2017 Street Rehabilitation Project:
Accept Bids and Award Contract;Assessment Hearing
April 10,2017
Page 2
On February 27, 2017, the City Council called for the assessment hearing. On March 13, 2017, the
Council revised the date of the assessment hearing to avoid schedule conflicts with local school
districts.
On April 5, 2017, staff held an open house for the project and discussed the proposed assessments.
DISCUSSION
Every year the City considers streets that are in poor condition to be rehabilitated or reconstructed.
For the 2017 Street Rehabilitation Project, staff is proposing to rehabilitate approximately 1.9 miles
of streets in the Lake Susan Hills neighborhood. The street segments within the proposed project
were identified by the City's Pavement Management software in conjunction with site
investigations.
The proposed improvements generally consist of reclaiming r ' ; `" (7
r ! ca.
the pavement surface and the aggregate base underneath the '�f lr b ��, .�� ��./.
pavement. Atypical areas with insufficient base underneath 'taS�'�, � 6
the pavement will be reconstructed. Minor drainage r, ` �\';'
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improvements and some draintile installation are also �; ?d, �,.;
included within the project area. 1.016641100 44,1F4'
For the municipal water system,
etaitiieo
gate valve and hardware
replacements are proposed along 0.7 in0► l
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with minimal hydrant t? mom' �OVA ar,:6\ i. 3
replacement. Sanitary sewer r-V 4 �! ens
work proposed includes spot 311` Y .1°Nis ' ES
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repairs of damaged manhole ' ;!14 ;C ,�
structures and inflow/infiltrationg�� .`, t,t. '�°!'"51
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remediation within the age_P.^> .
manholes. gyp, n5°` ' j'.
aFP. �o' , .40 1 ^r
The approximate 1.9 miles of streets in the project area were e , v,A4 7mi ,
constructed between 1989 and 1993. Sealcoats were , INVI "
performed in 1993, 1997 and 2005. A non-structural overlay ;, '�� . ti ` .d,;,,; ,
was done on the northern leg of Lake Susan Hills Drive, , .n, - .w►
Egret Court, Heron Drive and Ibis Court in 2002. All streets within the project are urban residential
streets with concrete curb and gutter. Lake Susan Hills Drive, Flamingo Drive and Heron Drive
have a 5-foot concrete sidewalk on one side.
Pavement condition scores generated by the City's pavement management software were considered
when determining street segments within the proposed rehabilitation area. Street segments are
surveyed every three years and a score or Overall Condition Index (OCI) is assigned to the street
segment. An OCI of 100 represents a new road. The streets within the Lake Susan Hills
neighborhood were last surveyed in 2015, and the OCI ranged from 30.3 to 65.6.
Paul Oehme
2017 Street Rehabilitation Project:
Accept Bids and Award Contract;Assessment Hearing
April 10,2017
Page 3
The proposed standard improvements include reclaiming the full depth of bituminous plus 4.5"-6.5"
of the aggregate base of the street. The top four inches of reclaimed material will be removed and
two, 2-inch lifts of asphalt are proposed to be installed.
Select sidewalk panel replacement such as those associated with ADA ramp updates will be included
with this project. Other sidewalk maintenance efforts such as grinding or jacking panels may be bid
as a separate project and funded out of the annual maintenance fund.
Hardware replacement is proposed on gate valves and will include the installation of zinc anode bags
to forestall corrosion. Minimal hydrant replacement is proposed for this project.
Sanitary sewer manholes with degraded concrete rings are proposed to have the rings replaced with
this project. Infiltration barriers and sealed manhole covers are proposed for all sanitary structures to
prevent future infiltration between rings, underneath the casting. The City's Public Works
department will repair the infiltration between manhole joints in-house rather than with the proposed
project.
Approximately 1200 feet of draintile is proposed for installation at the back of curb in select areas,
including the east side of Ibis Court, where there is a record of resident concerns about subsurface
drainage in the project area. The four areas below show the proposed installation.
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Paul Oehme
2017 Street Rehabilitation Project:
Accept Bids and Award Contract; Assessment Hearing
April 10,2017
Page 4
Approximately 25 feet of drainage structure replacement is proposed to address problems observed
in drainage structures during inspection. Stormwater work consists of replacement of existing
structures and shall not alter the hydraulic function of stormwater this neighborhood.
Staff has examined what permitting will be required for this project. As there is minimal additional
impervious surfaces that will be created, this project would not trigger any of the Federal or State
surface water regulations. A permit from the Riley-Purgatory-Bluff Creek Watershed District is
required for the construction. The proposed minor water main and sanitary sewer repairs would not
require a permit from the MN Department of Health or the MN Pollution Control Agency. Because
Lake Susan Hills Drive has two intersections with Powers Boulevard (CSAH 17), a work in right-of-
way permit is required from Carver County.
BID ALTERNATES
Three bid alternates
were included with
the street project to
obtain better prices of
scale from
contractors. Bid
Alternate#1 consists
of replacing
approximately 1,000
feet of damaged curb
in the Trappers Pass
neighborhood and
situational draintile installation. This work is proposed to be funded by the Revolving Assessment
Fund and the Surface Water Fund, and not included in the assessment amounts.
Power Hill Park is the neighborhood park for Lake Susan
Hills. Bid Alternate#2 consists of a 1.5" overlay of the Power
Hill Park driveway and basketball court, as well as expanding ` 4:.,,A�frI `
the parking lot so the dimensions are consistent with City Code ` , , �04
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requirements for parking lots. This work is proposed to be ^,', << �
funded by the Revolving Assessment Fund and not included in #"
the assessments. �`.
Paul Oehme
2017 Street Rehabilitation Project:
Accept Bids and Award Contract;Assessment Hearing
April 10,2017
Page 5
"I';, Bid Alternate#3 consists of reconstructing the
, . .. parking lots and driveways at Fire Station#2
j . ., , ;.; A.. located on Minnewashta Parkway. Concrete
`� valley gutter is proposed to keep stormwater in
f f' the gutter line and protect the new parking lot
- , t , pavement. This work is on a shortened
construction schedule to minimize the duration
, , of the closure of the Fire Station. The
Contractor will coordinate work with the Fire
;..
/ j Chief to ensure fire protection is uninterrupted.
/ This work is proposed to be funded by the
Revolving Assessment Fund and not included in
"` the assessments.
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POLICY DECISION/ACTION TO BE CONSIDERED
Prior to the completion of the assessment hearing, any property owner who wants to object to their
assessment must file a signed written objection or they waive their right to appeal. The Council may
accept or modify the assessment amount as presented.
ASSESSMENT HEARING PROCEDURE
Staff will provide a brief explanation of the work along with the proposed assessment amount. Any
issues that the City Council wishes to discuss regarding the project financing is appropriate during
the public hearing portion of the project. Public testimony should be received for the project. The
property owners should be reminded that if they wish, they must file a written objection with the
City either prior to or during the actual project hearings. Objections after the public hearing are
invalid.
An assessment objection is a request by the property owner for the Council to review the assessment
amount. Staff may have an immediate response to individual comments. If the City Council feels
an objection cannot be addressed immediately, the objection should be received and referred to staff
for investigation. The remaining assessment roll should be adopted in order for the process to stay
on schedule. At the next City Council meeting, a report will be presented to Council regarding all
objections.
If there are no objections filed, or if Council feels staff's investigation will not result in any changes
being made to the assessment roll, a motion by the City Council to adopt the assessment roll as
prepared is needed for the project.
Paul Oehme
2017 Street Rehabilitation Project:
Accept Bids and Award Contract;Assessment Hearing
April 10,2017
Page 6
ASSESSMENT OBJECTIONS
Objections may be filed up to and at the public hearing. At the time of this submittal, no written
objections have been received. If any written objections are received in the interim prior to the
Council meeting, they will be provided to the Council at the public hearing. Staff comments and
recommendations will also be provided at the public hearing. The City Council may choose to adopt
staffs recommendation or revise the assessment roll. If additional objections are filed either prior to
or at the hearing, they should be received and if necessary referred to staff for investigation and
resolution.
PROJECT COST, ASSESSMENTS AND FUNDING
Per the City's Assessment Policy, forty percent (40%) of the street costs are proposed to be assessed
to the benefiting property owners; the City's street fund will pay for the remaining 60% of the street
costs. One hundred percent (100%) of the utility costs are proposed to be paid for by the associated
utility enterprise fund. Funding for this project was budgeted for in the 2015 CIP. The following is
a breakdown of the project estimates and proposed funding for the project:
Improvement Funding Source Project Cost Amount
Budgeted
Streets Assessments/Revolving $ 935,700.88 $1,260,000
Assessment Fund
Stormwater Surface Water Utility $ 38,596.92 $ 50,000
Fund
Water Water Utility Fund $ 58,203.05 $ 75,000
Sanitary Sewer Sewer Utility Fund $ 101,798.12 $ 180,000
$1,134,298.97 $1,565,000
The total project costs include 5% for construction contingency and indirect costs such as soils
testing and $33,205.00 for construction inspection and as-built surveying by an engineering
consultant.
The Project Cost includes the work for Bid Alternates #1-3. The Revolving Assessment Fund and
the Surface Water Utility Fund are proposed to fund the Alternates' construction costs. The cost of
the Bid Alternates are not be included in the calculations for assessments.
Paul Oehme
2017 Street Rehabilitation Project:
Accept Bids and Award Contract;Assessment Hearing
April 10,2017
Page 7
Unit assessments are proposed, meaning each parcel determined to be a benefitting property at the
time the assessment roll is approved will pay the same amount.
Preliminary estimated assessments are detailed below:
Total Street Cost of Base Bid: $825,713.99
40% assessed: 40% of$825,713.99 =$330,285.60
Number of assessable units: 187
Proposed unit assessment: $330,285.60= 187 units = $1,766.23/unit
Preliminary assessment: $2,400.00
Terms for the assessments proposed are at equal annual installments over eight(8) years at an
interest rate of 6.00%.
Staff held a neighborhood open house on April 5, 2017 to discuss the final project design and
assessment amounts with the residents.
BID OPENING/AWARD OF CONTRACT
Bids were received, opened and read out loud on Thursday, February 16, 2017 at 2:00 p.m. Seven
bids were received. The lowest responsible bidder is Northwest Asphalt, Inc. with a bid amount of
$1,048,660.92. The bids have been tabulated and checked for errors and are summarized below:
Alt#1 Alt#2 Alt#3
Trappers Power Hill Fire Station
Bidder Base Bid Pass Park No 2 Grand Total
Northwest Asphalt $944,521.97 $40,553.00 $14,261.40 $49,324.55 $1,048,660.92
Valley Paving $983,977.89 $48,202.93 $14,034.82 $44,507.74 $1,090,723.38
GMH Asphalt $998,495.44 $46,592.83 $14,627.21 $46,145.90 $1,105,861.38
Chard Tiling and $1,027,598.40 $48,432.00 $14,555.70 $48,445.30 $1,139,031.40
Excavating
Park Construction $1,163,030.20 $67,964.50 $13,635.50 $53,705.20 $1,298,335.40
Company
Bituminous Roadways, $1,175,008.45 $62,628.00 $16,470.50 $64,302.60 $1,318,409.55
Inc.
C.S. McCrossan Const. $1,235,853.05 $61,224.00 $19,103.50 $63,077.20 $1,379,257.75
Engineer's Estimate $1,165,829.50 $61,875.00 $27,830.00 $42,246.00 $1,297,780.50
Northwest Asphalt worked on the City's street rehabilitation project in 2016. Northwest Asphalt's
work, ability to manage a project like this, and customer service delivery has been acceptable.
Paul Oehme
2017 Street Rehabilitation Project:
Accept Bids and Award Contract;Assessment Hearing
April 10,2017
Page 8
Three bid alternates were included with the street project to obtain better prices of scale from
contractors. Bid Alternate #1 consists of replacing damaged and settled curb and gutter areas in the
Trappers Pass neighborhood. Bid Alternate#2 consists of a 1.5" overlay of the Power Hill Park
driveway and basketball court. Bid Alternate#3 consists of reconstructing both parking lots and
driveways at Fire Station#2. Staff recommends awarding Bid Alternate #1, 2, and 3 to Northwest
Asphalt. The cost of the bid alternates are not included in the assessments.
SCHEDULE
The following schedule is proposed contingent upon City Council approval to proceed with the
project:
Construction Start June, 2017
Substantial Completion August, 2017
Attachments: 1. Resolutions
2. CIP Sheets
3. Resident Communication
CITY OF CHANHASSEN
CARVER AND HENNEPIN COUNTIES, MINNESOTA
DATE: April 10, 2017 RESOLUTION NO: 2017-22
MOTION BY: SECONDED BY:
A RESOLUTION ACCEPTING BIDS AND AWARDING CONTRACT
FOR THE 2017 STREET REHABILITATION (LAKE SUSAN HILLS AREA)
PROJECT NO. 17-01
WHEREAS,
pursuant to an advertisement for bids for 2017 Street Rehabilitation (Lake
Susan Hills area) Project No. 17-01, bids were received, opened and tabulated according to law, and
the following bids were received complying with the advertisement:
Alt #1 Alt #2 Alt #3
Trappers Power Hill Fire Station
Bidder Base Bid Pass Park No 2 Grand Total
Northwest Asphalt, Inc. $944,521.97 $40,553.00 $14,261.40 $49,324.55 $1,048,660.92
Valley Paving $983,977.89 $48,202.93 $14,034.82 $44,507.74 $1,090,723.38
GMH Asphalt $998,495.44 $46,592.83 $14,627.21 $46,145.90 $1,105,861.38
Chard Tiling and $1,027,598.40 $48,432.00 $14,555.70 $48,445.30 $1,139,031.40
Excavating
Park Construction $1,163,030.20 $67,964.50 $13,635.50 $53,705.20 $1,298,335.40
Company
Bituminous Roadways, $1,175,008.45 $62,628.00 $16,470.50 $64,302.60 $1,318,409.55
Inc.
C.S. McCrossan Const. $1,235,853.05 $61,224.00 $19,103.50 $63,077.20 $1,379,257.75
Engineer's Estimate $1,165,829.50 $61,875.00 $27,830.00 $42,246.00 $1,297,780.50
WHEREAS,
Northwest Asphalt, Inc. is the lowest responsible bidder with a total bid
awarded of $1,048,660.92;
NOW THEREFORE, BE IT RESOLVED
by the Chanhassen City Council:
1.The mayor and clerk are hereby authorized and directed to enter into a contract with
Northwest Asphalt in the name of the City of Chanhassen for 2017 Street Rehabilitation
(Lake Susan Hills area) Project No. 17-01 according to the plans and specifications
therefore approved by the City Council and on file in the office of the city clerk.
2.
The city clerk is hereby authorized and directed to return forthwith to all bidders the
deposits made with their bids, except that the deposits of the successful bidder and the next
lowest bidder shall be retained until a contract has been signed.
1
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Passed and adopted by the Chanhassen City Council this 10 day of April, 2017.
ATTEST:
Todd Gerhardt, City Manager Denny Laufenburger, Mayor
YES NO ABSENT
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CITY OF CHANHASSEN
CARVER AND HENNEPIN COUNTIES, MINNESOTA
DATE: April 10, 2017 RESOLUTION NO: 2017-23
MOTION BY: SECONDED BY:
A RESOLUTION ADOPTING ASSESSMENT ROLL FOR THE
2017 STREET REHABILITATION (LAKE SUSAN HILLS AREA)
PROJECT NO. 17-01
WHEREAS,
pursuant to proper notice duly given as required by law, the Council has met
and heard and passed upon all objections to the proposed assessment for the improvement of:
Egret Court Mallard Court
Flamingo Drive Merganser Court
Heron Drive Pelican Court
Ibis Court Tern Court
Kingfisher Court Thrush Court
Lake Susan Hills Drive
NOW THEREFORE, BE IT RESOLVED
by the City Council of Chanhassen,
Minnesota:
1. Such proposed assessment, a copy of which is attached hereto and made a part hereof, is
hereby accepted and shall constitute the special assessment against the lands named therein,
and each tract of land therein included is hereby found to be benefited by the proposed
improvement in the amount of the assessment levied against it.
2. Such assessment shall be payable in equal annual installments extending over a period of
eight (8) years, the first of the installments to be payable on or before the first Monday in
January, 2018, and shall bear interest at the rate of 6.00 percent (6.00%) per annum. This
assessment will appear on the first property tax statement for 2018. To the first installment
shall be added interest on the entire assessment from October 2, 2017 until December 31,
2018. To each subsequent installment, when due, shall be added interest for one year on all
unpaid installments.
3. The owner of any property so assessed may, at any time prior to certification of the
assessment to the county auditor, pay the whole of the assessment on such property, with
interest accrued to the date of payment, to the city treasurer, except that no interest shall be
charged if the entire assessment is paid by October 2, 2017; and the owner may, at any time
thereafter, pay to the city treasurer the entire amount of the assessment remaining unpaid,
with interest accrued to December 31 of the year in which such payment is made. Such
payment must be made before November 15 or interest will be charged through December
31 of the next succeeding year. If the property owner decides not to prepay the assessment
before the date given above, the rate of interest that will apply is 6.00 percent (6.00%) per
year. The right to partially prepay the assessment is not available.
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4. The clerk shall forthwith transmit a certified duplicate of this assessment to the county
auditor to be extended on the property tax lists of the County. Such assessments shall be
collected and paid over in the same manner as other municipal taxes.
th
Passed and adopted by the Chanhassen City Council this 10 day of April, 2017.
ATTEST:
Todd Gerhardt, City Manager Denny Laufenburger, Mayor
YES NO ABSENT
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Capital Improvement Program 2017 thru 2021 Department Street Improvements il
City of Chanhassen, MN Contact Paul Oehme
Project# ST-012 Type Improvement
Useful Life Unassigned I
Project Name Annual Street Improvement Program Category Streets/Highways
Account#1 601-xxxx-4751 Account#3 Priority n/a
Account#2 Account#4 j
Description Total Project Cost: $30,680,000
Annual project to rehabilitate and reconstruct streets in the City. Current 5-year plan shows the following neighborhood areas:
2017-Minnewashta Manor area and Lake Susan Hills Drive area
MSA-Park Road and Park)?lace
2018-Orchard Lane area
MSA-Lake Drive East and Dakota Ave(Highway 5 to Lake Drive East)
2019-Choctaw area,Kurvers Point area and 96th Street
MSA-Minnewashta Parkway overlay and trail
2020-Chan View area
MSA-Lake Lucy Road(Highway 41 to Galpin Blvd)and trail
2021 -Stone Creek area and Ches Mar Drive
Justification
The City uses a Pavement Management System to monitor the condition of the City streets. While proper preventative maintenance extends the
life of the street and is cos effective,a street will eventually deteriorate to a point that further maintenance is no longer cost effective.
Rehabilitation projects extend the life of the street. In cases when utilities or poor sub grade needs to be replaced or where streets have
deteriorated to a point where rehabilitation will no longer be practical,reconstruction of the street is necessary. A feasibility study is written to
considerthe merits of the project and scope of work.
Prior Expenditures 2017 2018 2019 2020 2021 Total
16,405,000 Construction 4,375,000 2,700,000 2,300,000 3,800,000 1,100,000 14,275,000 I
Total Total 4,375,000 2,700,000 2,300,000 3,800,000 1,100,000 14,275,000
Prior Funding Sources 2017 2018. 2019 2020 2021 Total
16,405,000 Assessment/RevolvIng 3,275,000 1,600,000 1,100,000 3,300,000 1,100,000 10,375,000
Assess Fund
Total MSA 1,100,000 1,100,000 1,200,000 500,000 3,900,000
Total 4,375,000 2,700,000 2,300,000 3,800,000 1,100,000 14,275,000
Budget Impact/Other I
This project may decrease maintenance costs. , r,
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ICapital Improvement Program 2017 thru 2021 Department Water System Improvements
City of Chanhassen, MN Contact Paul Oehmc
Project 41 W-024
Type Improvement
Project Name Useful Life Unassigned
Watermain Replacement Category Utilities
IAccount#1 700-7025-4751 Account#3 Priority lila#2 Accgunt#4
Description Total Project Cost: $5,220,000
IReplacement of existing water main lines in coordination with the reconstruction of the City street projects or minor fixes of water distribution
system for street rehabilitation projects.
I
1 Justification
The City considers the condition of the existing utilities in the process to select streets for rehabilitation in an effort to realize cost savings by
consolidating these projects and also to avoid potential cuts in recently improved streets.If significant repairs are necessary to the existing water
main,replacement may be the most cost effective option. Given the highly corrosive soils in the City,water main replacement is an ongoing
1 project in the City.
I Prior Expenditures 2017 2018 2019 2020 2021 Total
3,325,000 Construction 75,000 770,000 100,000 850,000 100,000 1,895,000
ii
Total Total 75,000 770,000 100,000 850,000 100,000 1,895,000
I
Prior Funding Sources 2017 2018 2019 2020 2021 Total
3,325;000 Water Utility Fund 75;000 770;000 100;000 550,000 100,000 1,895;000
Total Total 75,000 770,000 100,000 850,000 100,000 1,895,000
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I Budget Impact/Other
These projects will decrease maintenance costs.
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Capital Improvement Program 2017 thru 2021
Department Surface Water Management
City of Chanhassen, MN Contact Paul Oehme
Project# SWMP-019 Type Improvement
Useful Life Unassigned
Project Name Street Improvement Projects Storm Water Mgmt
Category SWMP
Account#1 720-7025-4751 Account#3 Priority n/a
Account#2 Account#4
Description Total Project Cost: $2,685,000
An annual amount set aside for storm water management infrastructure construction or expansion associated with street improvement projects
undertaken by the engineering and public works departments.
Justification
Street improvement projects frequently require construction or expansion of storm water management infrastructure in order to comply with
federal,state and local regulations,as well as protecting existing and proposed development adjacent to the projects.
Prior , Expenditures 2017 2018 2019 2020 2021 Total 1
1525,000 Construction 500,000 250,000 80,000 250,000 80,000 1,160,000
Total Total 500,000 250,000 80,000 250,000 80,000 1,160,000
Prior FundingSources 2017
2018 2019 2020 2021 Total
1,525,0001 Surface Water Utility Fund 500,000 250,000 80,000 250,000 80,000 1,160,000
Total Total 500,000 250,000 80,000 250,000 80,000 1,160,000
Budget Impact/Other
Inventory,inspection and maintenance of new infrastructure will be required. Citywide.No map
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Capital Improvement Program 2017 thru 2021 Department Sanitary Sewer Improvements
City of Chanhassen, MN Contact Paul Oehme 1
Project# SS-014 Type Improvement
Useful Life Unassigned
Project Name Sanitary Sewer Replacementcategory Utilities
Account#1 701-7025-4751 Account#3 Priority n/a
Account#2 Account#4
Description 1 Total Project Cost: 52,110,000
Replacement or rehabilitation of existing sanitary sewer lines in conjunction with the reconstruction of the City street.
1
Justification
1
The City considers the condition of the existing utilities in the process to select streets for rehabilitation in an effort to realize cost savings by
consolidating these projects.
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Prior , Expenditures 207 2018 2019 2020 2021 Total
1300;000 Construction 210,000 250,000 50,000 250,000 50;000 810,000 1
Total Total 210,000 250,000 50,000 250,000 50;000 810,000
Prior Funding Sources 2017 2018 2019 2020 2021 Total I
1,300;000 Sewer Utility Fund 210;000 250,000 50,000 250,000 50;000 810,000
Total Total 210,000 250;000 50,000 250,000 50,000 810,000
Budget Impact/Other
This project will decrease maintenance costs.
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Resident Communications
On March 24, 2017,the Engineering Department received a call from Sheryl Ruby,resident at 1520
Lake Susan Hills Drive. She doesn't think that road conditions warrant construction. She was one of
the first owners here and believes the road should be repaired not rehabilitated. She thinks that street
repairs should be included in property taxes.
FORM OF AGREEMENT
BETWEEN CITY OF CHANHASSEN AND CONTRACTOR
FOR
2017 STREET REHABILITATION PROJECT NO. 17-01
THIS AGREEMENT, made this 10th day of April, 2017, by and between the CITY OF
CHANHASSEN, a Minnesota municipal corporation ("Owner") and NORTHWEST ASPHALT,
INC. ("Contractor"). Owner and Contractor, in consideration of the mutual covenants set forth
herein, agree as follows:
1. CONTRACT DOCUMENTS. The following documents shall be referred to as
the "Contract Documents", all of which shall be taken together as a whole as the contract
between the parties as if they were set verbatim and in full herein:
A. This Agreement;
B. Addendum No. 2 dated February 14, 2017;
C. Addendum No. 1 dated February 10, 2017;
D. Specifications dated February 1, 2017;
E. City of Chanhassen General Conditions of the Construction Contract;
F. Bid dated February 16, 2017.
In the event of a conflict among the provisions of the Contract Documents, the order in which
they are listed above shall control in resolving any such conflicts with Contract Document "A"
having the first priority and Contract Document "D" having the last priority.
2. OBLIGATIONS OF THE CONTRACTOR. The contractor shall provide the
goods, services, and perform the work in accordance with the Contract Documents.
3. CONTRACT PRICE. Owner shall pay Contractor for completion of the Work
in accordance with the Contract Documents the amount of One Million Forty -Eight Thousand
Six Hundred Sixty and 92/100 ($1,048,660.92).
4. PAYMENT PROCEDURES.
A. Contractor shall submit Applications for Payment. Applications for
Payment will be processed by Engineer as provided in the General
Conditions.
B. Progress Payments; Retainage. Owner shall make 95% progress payments
on account of the Contract Price on the basis of Contractor's Applications
for Payment during performance of the Work.
1758810
C. Payments to Subcontractor.
(1) Prompt Payment to Subcontractors. Pursuant to Minn. Stat. §
471.25, Subd. 4a, the Contractor must pay any subcontractor
within ten (10) days of the Contractor's receipt of payment from
the City for undisputed services provided by the subcontractor.
The Contractor must pay interest of 1 '/2 percent per month or any
part of a month to the Subcontractor on any undisputed amount not
paid on time to the subcontractor. The minimum monthly interest
penalty payment for an unpaid balance of $100.00 or more is
$10.00. For an unpaid balance of less than $100.00, the Contractor
shall pay the actual penalty due to the subcontractor.
(2) Form IC -134 (attached) required from general contractor. Minn.
Stat. § 290.92 requires that the City of Chanhassen obtain a
Withholding Affidavit for Contractors, Form IC -134, before
making final payments to Contractors. This form needs to be
submitted by the Contractor to the Minnesota Department of
Revenue for approval.
The form is used to receive certification from the state that the
vendor has complied with the requirement to withhold and remit
state withholding taxes for employee salaries paid.
D. Final Payment. Upon final completion of the Work, Owner shall pay the
remainder of the Contract Price as recommended by Engineer.
5. COMPLETION DATE/LIQUIDATED DAMAGES.
A. The Work must be completed and ready for final payment in accordance
with the General Conditions by October 6, 2017.
B. Contract and Owner recognize that time is of the essence of this
Agreement and that Owner will suffer financial loss if the Work is not
completed within the times specified in Paragraph 5.A. above, plus any
extensions thereof allowed. The parties also recognize the delays,
expense, and difficulties involved in proving in a legal or arbitration
proceeding the actual loss suffered by Owner if the Work is not completed
on time. Accordingly, instead of requiring any such proof, Owner and
Contractor agree that as liquidated damages for delay (but not as a
penalty), Contractor shall pay Owner $ 1,250.00 for each calendar day
that expires after the time specified in Paragraph 5.A. for Completion until
the Work is complete.
Daily costs are based on MnDOT Table 1807-1, "Schedule of Liquidated
Damages as follows:
1758810
TABLE 1807-1
SCHEDULE OF LIQUIDATED
DAMAGES
Original Contract Amount
From More Than To and Including
M M
Charge
Per Cal.
Day
M
0
25,000
75
25,000
50,000
125
50,000
100,000
250
100,000
500,000
500
500,000
1,000,000
750
1,000,000
2,000,000
1,250
2,000,000
5,000,000
1,750
5,000,000
10,000,000
2,500
10,000,000
----
3,000
6. CONTRACTOR'S REPRESENTATIONS.
A. Contractor has examined and carefully studied the Contract Documents
and other related data identified in the Contract Documents.
B. Contractor has visited the Site and become familiar with and is satisfied as
to the general, local, and Site conditions that may affect cost, progress, and
performance of the Work.
C. Contractor is familiar with and is satisfied as to all federal, state, and local
Laws and Regulations that may affect cost, progress, and performance of
the Work.
D. Contractor has carefully studied all: (1) reports of explorations and tests
of subsurface conditions at or contiguous to the Site and all drawings of
physical conditions in or relating to existing surface or subsurface
structures at or contiguous to the Site (except Underground Facilities)
which have been identified in the General Conditions and (2) reports and
drawings of a Hazardous Environmental Condition, if any, at the site.
E. Contractor has obtained and carefully studied (or assumes responsibility
for doing so) all additional or supplementary examinations, investigations,
explorations, tests, studies, and data concerning conditions (surface,
subsurface, and Underground Facilities) at or contiguous to the Site which
may affect cost, progress, or performance of the Work or which relate to
any aspect of the means, methods, techniques, sequences, and procedures
of construction to be employed by Contractor, including any specific
3
175881v1
means, methods, techniques, sequences, and procedures of construction
expressly required by the Bidding Documents, and safety precautions and
programs incident thereto.
F. Contractor does not consider that any further examinations, investigations,
explorations, tests, studies, or data are necessary for the performance of
the Work at the Contract Price, within the Contract Times, and in
accordance with the other terms and conditions of the Contract
Documents.
G. Contractor is aware of the general nature of work to be performed by
Owner and others at the Site that relates to the Work as indicated in the
Contract Documents.
H. Contractor has correlated the information known to Contractor,
information and observations obtained from visits to the Site, reports and
drawings identified in the Contract Documents, and all additional
examinations, investigations, explorations, tests, studies, and data with the
Contract Documents.
Contractor has given Engineer written notice of all conflicts, errors,
ambiguities, or discrepancies that Contractor has discovered in the
Contract Documents, and the written resolution thereof by Engineer is
acceptable to Contractor.
The Contract Documents are generally sufficient to indicate and convey
understanding of all terms and conditions for performance and furnishing
of the Work.
K. Subcontracts:
(1) Unless otherwise specified in the Contract Documents, the
Contractor shall, upon receipt of the executed Contract Documents,
submit in writing to the Owner the names of the Subcontractors
proposed for the work. Subcontractors may not be changed except
at the request or with the consent of the Owner.
(2) The Contractor is responsible to the Owner for the acts and
omissions of the Contractor's subcontractors, and of their direct
and indirect employees, to the same extent as the Contractor is
responsible for the acts and omissions of the Contractor's
employees.
(3) The Contract Documents shall not be construed as creating any
contractual relation between the Owner, the Engineer, and any
Subcontractor.
4
175881vI
(4) The Contractor shall bind every Subcontractor by the terms of the
Contract Documents.
7. WORKER'S COMPENSATION. The Contractor shall obtain and maintain for
the duration of this Contract, statutory Worker's Compensation Insurance and Employer's
Liability Insurance as required under the laws of the State of Minnesota.
8. COMPREHENSIVE GENERAL LIABILITY. Contractor shall obtain the
following minimum insurance coverage and maintain it at all times throughout the life of the
Contract, with the City included as an additional name insured on a primary and non-
contributory basis. The Contractor shall furnish the City a certificate of insurance satisfactory to
the City evidencing the required coverage:
Bodily Injury: $2,000,000 each occurrence
$2,000,000 aggregate products and
completed operations
Property Damage: $2,000,000 each occurrence
$2,000,000 aggregate
Contractual Liability (identifying the contract):
Bodily Injury: $2,000,000 each occurrence
Property Damage: $2,000,000 each occurrence
$2,000,000 aggregate
Personal Injury, with Employment Exclusion deleted:
$2,000,000 aggregate
Comprehensive Automobile Liability (owned, non -owned, hired):
Bodily Injury: $2,000,000 each occurrence
$2,000,000 each accident
Property Damage: $2,000,000 each occurrence
9. WARRANTY. The Contractor guarantees that all new equipment warranties as
specified within the quote shall be in full force and transferred to the City upon payment by the
City. The Contractor shall be held responsible for any and all defects in workmanship, materials,
and equipment which may develop in any part of the contracted service, and upon proper
notification by the City shall immediately replace, without cost to the City, any such faulty part
or parts and damage done by reason of the same in accordance with the bid specifications.
10. INDEMNITY. The Contractor agrees to indemnify and hold the City harmless
from any claim made by third parties as a result of the services performed by it. In addition, the
»sssivl
Contractor shall reimburse the City for any cost of reasonable attorney's fees it may incur as a
result of any such claims.
11. MISCELLANEOUS.
A. Terms used in this Agreement have the meanings stated in the General
Conditions.
B. Owner and Contractor each binds itself, its partners, successors, assigns
and legal representatives to the other party hereto, its partners, successors,
assigns and legal representatives in respect to all covenants, agreements,
and obligations contained in the Contract Documents.
C. Any provision or part of the Contract Documents held to be void or
unenforceable under any Law or Regulation shall be deemed stricken, and
all remaining provisions shall continue to be valid and binding upon
Owner and Contractor, who agree that the Contract Documents shall be
reformed to replace such stricken provision or part thereof with a valid and
enforceable provision that comes as close as possible to expressing the
intention of the stricken provisions.
D. Data Practices/Records.
(1) All data created, collected, received, maintained or disseminated
for any purpose in the course of this Contract is governed by the
Minnesota Government Data Practices Act, Minn. Stat. Ch. 13, any
other applicable state statute, or any state rules adopted to
implement the act, as well as federal regulations on data privacy.
(2) All books, records, documents and accounting procedures and
practices to the Contractor and its subcontractors, if any, relative to
this Contract are subject to examination by the City.
E. Software License. If the equipment provided by the Contractor pursuant
to this Contract contains software, including that which the manufacturer
may have embedded into the hardware as an integral part of the
equipment, the Contractor shall pay all software licensing fees. The
Contractor shall also pay for all software updating fees for a period of one
year following cutover. The Contractor shall have no obligation to pay for
such fees thereafter. Nothing in the software license or licensing
agreement shall obligate the City to pay any additional fees as a condition
for continuing to use the software.
F. Patented devices, materials and processes. If the Contract requires, or the
Contractor desires, the use of any design, devise, material or process
covered by letters, patent or copyright, trademark or trade name, the
6
1758810
Contractor shall provide for such use by suitable legal agreement with the
patentee or owner and a copy of said agreement shall be filed with the
Owner. If no such agreement is made or filed as noted, the Contractor
shall indemnify and hold harmless the Owner from any and all claims for
infringement by reason of the use of any such patented designed, device,
material or process, or any trademark or trade name or copyright in
connection with the Project agreed to be performed under the Contract,
and shall indemnify and defend the Owner for any costs, liability,
expenses and attorney's fees that result from any such infringement
G. Assignment. Neither party may assign, sublet, or transfer any interest or
obligation in this Contract without the prior written consent of the other
party, and then only upon such terms and conditions as both parties may
agree to and set forth in writing.
H. Waiver. In the particular event that either party shall at any time or times
waive any breach of this Contract by the other, such waiver shall not
constitute a waiver of any other or any succeeding breach of this Contract
by either party, whether of the same or any other covenant, condition or
obligation.
Governing LawNenue. The laws of the State of Minnesota govern the
interpretation of this Contract. In the event of litigation, the exclusive
venue shall be in the District Court of the State of Minnesota for Carver
County.
J. Severability. If any provision, term or condition of this Contract is found
to be or become unenforceable or invalid, it shall not affect the remaining
provisions, terms and conditions of this Contract, unless such invalid or
unenforceable provision, term or condition renders this Contract
impossible to perform. Such remaining terms and conditions of the
Contract shall continue in full force and effect and shall continue to
operate as the parties' entire contract.
K. Entire Agreement. This Contract represents the entire agreement of the
parties and is a final, complete and all inclusive statement of the terms
thereof, and supersedes and terminates any prior agreement(s),
understandings or written or verbal representations made between the
parties with respect thereto.
L. Permits and Licenses; Rights -of -Way and Easements. The Contractor
shall procure all permits and licenses, pay all charges and fees therefore,
and give all notices necessary and incidental to the construction and
completion of the Project. The City will obtain all necessary rights-of-
way and easements. The Contractor shall not be entitled to any additional
7
1758810
compensation for any construction delay resulting from the City's not
timely obtaining rights-of-way or easements.
M. If the work is delayed or the sequencing of work is altered because of the
action or inaction of the Owner, the Contractor shall be allowed a time
extension to complete the work but shall not be entitled to any other
compensation.
CITY OF CHANHASSEN NORTHWEST ASPHALT, INC.:
BY: 4BY: yr
De y auuf`e�nbur Ier,'Maayyor,
BY:
Todd Gerhardt, City Manager
»5881v]
BOND NO. 30010051
PERFORMANCE BOND
Any singular reference to Contractor, Surety, Owner or other party shall be considered plural where applicable.
CONTRACTOR (Name and Address): SURETY (Name and Address of Principal Place of Business):
Northwest Asphalt, Inc.
1451 Stagecoach Road
Shakopee, MN 55379-2797
OWNER (Name and Address)
City of Chanhassen
7700 Market Blvd.
Chanhassen, MN 55317
CONSTRUCTION CONTRACT
Date: April 10, 2017
Amount: $1,048,660.92
Western Surety Company
333 S. Wabash Ave.
Chicago, IL 60604
Description (Name and Location): 2017 Street Rehabilitation Project No. 17-01
BOND
Date (Not earlier than Construction Contract Date): April 17, 2017
Amount: $1,048,660.92
Modification to this Bond Form: None.
CONTRACTOR AS PRINCIPAL
SURETY
Northwest Asphalt, Inc. (Seal) Western Surety Company (Seal)
Bidder's Name and Corporate Seal Surety'snd Corpora a Seal
By: By: —
Michael B. Pfeiffer, Signature bn Signature -ana Title Sandra M. Doze,
President Attorney -in -Fact
CONTRACTOR AS PRINCIPAL
Bidder's Name and Corporate Seal
By:
Signature and Title
SURETY
(Seal) (Seal)
Surety's Name and Corporate Seal
M
GC -59
Signature and Title
I. The Contractor and the Surety, jointly and severally, bind themselves, their heirs, executors, administrators, successors and
assigns to the Owner for the performance of the Construction Contract, which is incorporated herein by reference.
2. If the Contractor performs the Construction Contract, the Surety and the Contractor shall have no obligation under this Bond,
except to participate in conferences as provided in Subparagraph 3.1.
3. If there is no Owner Default, the Surety's obligation under this Bond shall arise after:
3.1. The Owner has notified the Contractor and the Surety at its address described in Paragraph 10 below, that the Owner is
considering declaring a Contractor Default and has requested and attempted to arrange a conference with the Contractor
and the Surety to be held not later than fifteen days after receipts of such notice to discuss methods of performing the
Construction Contract. If the Owner, the Contractor and the Surety agree, the Contractor shall be allowed a reasonable
time to perform the Construction Contract, but such an agreement shall not waive the Owner's right, if any, subsequently
to declare a Contractor Default; and
3.2. The Owner has declared a Contractor Default and formally terminated the Contractor's right to complete the contract.
Such Contractor Default shall not be declared earlier than twenty days after the Contractor and the Surety have received
notice as provided in Subparagraph 3.1; and
3.3. The Owner has agreed to pay the Balance of the Contract Price to the Surety in accordance with the terms of the
Construction Contract or to a contractor selected to perform the Construction Contract in accordance with the terms of
the contract with the Owner.
4. When the Owner has satisfied the conditions of Paragraph 3, the Surety shall promptly and at the Surety's expense take one
of the following actions:
4.1. Arrange for the Contractor, with consent of the Owner, to perform and complete the Construction Contract; or
4.2. Undertake to perform and complete the Construction Contract itself; through its agents or through independent
contractors; or
4.3. Obtain bids or negotiated proposals from qualified contractors acceptable to the Owner for a contract for performance
and completion of the Construction Contract, arrange for a contract to be prepared for execution by the Owner and the
contractor selected with the Owner's concurrence, to be secured with performance and payment bonds executed by a
qualified surety equivalent to the bonds issued on the Construction Contract, and pay to the Owner the amount of
damages as described in Paragraph 6 in excess of the Balance of the Contract Price incurred by the resulting from the
Contractor's default; or
4.4. Waive its right to perform and complete, arrange for completion, or obtain a new contractor and with reasonable
promptness under the circumstances:
1. After investigation, determine the amount for which it may be liable to the Owner and, as soon as practicable after
the amount is determined, tender payment therefore to the Owner; or
2. Deny liability in whole or in part and notify the Owner citing reasons therefore.
5. If the Surety does not proceed as provided in Paragraph 4 with reasonable promptness, the Surety shall be deemed to be in
default on this Bond fifteen days after receipt of an additional written notice from the Owner to the Surety demanding that
the Surety perform its obligations under this Bond, and the Owner shall be entitled to enforce any remedy available to the
Owner. If the Surety proceeds as provided in Subparagraph 4.4, and the Owner refuses the payment tendered or the Surety
has denied liability, in whole or in part, without further notice the Owner shall be entitled to enforce any remedy available to
the Owner.
6. After the Owner has terminated the Contractor's right to complete the Construction Contract, and if the Surety elected to act
under Subparagraph 4.1, 4.2, or 4.3 above, then the responsibilities of the Surety to the Owner shall not be greater than those
of the Contractor under the Construction Contract, and the responsibilities of the Owner to the Surety shall not be greater
than those of the Owner under the Construction Contract.. To the limit of the amount of this Bond, but subject to
commitment by the Owner of the Balance of the Contract Price to mitigation of costs and damages on the Construction
Contract, the Surety is obligated without duplication for:
6.1. The responsibilities of the Contractor for correction of defective work and completion of the Construction Contract:
6.2. Additional legal, design professional and delay costs resulting from the Contractor's Default, and resulting from the
actions or failure to act of the Surety under Paragraph 4; and
6.3. Liquidated damages, or if no liquidated damages are specified in the Construction Contract, actual damages caused by
delayed performance or non-performance of the Contractor.
7. The Surety shall not be liable to the Owner or others for obligations of the Contractor that are unrelated to the Construction
Contract, and the Balance of the Contract Price shall not be reduced or set off on account of any such unrelated obligations.
No right of action shall accrue on this Bond to any person or entity other than the Owner or its heirs, executors,
administrators, orsuccessors.
8. The Surety hereby waives notice of any change, including changes of time, to the Construction Contract or to related
subcontractors, purchase orders and other obligations.
9. Any proceeding, legal or equitable, under this Bond may be instituted in any court of competent jurisdiction in the location in
which the work or part of the work is located and shall be instituted within two years after Contractor Default or within two
years after the Surety refuses or fails to perform its obligations under this Bond, whichever occurs first. If the provisions of
GC -60
this Paragraph are void or prohibited by law, the minimum period of limitation available to sureties as a defense in the
jurisdiction of the suit shall be applicable.
10. Notice to the Surety, the Owner or the Contractor shall be mailed or delivered to the address shown on the signature page.
11. When this Bond has been furnished to comply with a statutory or other legal requirement in the location where the
construction was to be performed, any provision in this Bond conflicting with said statutory or legal requirement shall be
deemed incorporated herein. The intent is that this Bond shall be construed as a statutory bond and not as a common law
bond.
12. DEFINITIONS
12.1. Balance of the Contract Price: The total amount payable by the Owner to the Contractor under the Construction
Contract after all proper adjustments have been made, including allowance to the Contractor of any amounts received or
to be received by the Owner in settlement of insurance or other claims for damages to which the Contractor is entitled,
reduced by all valid and proper payments made to or on behalf of the Contractor under the Construction Contract.
12.2.Construction Contract: The agreement between the Owner and the Contractor identified on the signature page,
including all Contract Documents and changes thereto.
12.3.Contractor Default: Failure of the Contractor, which has neither been remedied nor waived, to perform or
otherwise to comply with the terms of the Construction Contract.
12.4.0wner Default: Failure of the Owner, which has neither been remedied nor waived, to pay the Contractor as
required by the Construction Contract or to perform and complete or comply with the other terms thereof.
GC -61
BOND NO. 30010051
PAYMENT BOND
Any singular reference to Contractor, Surety, Owner or other party shall be considered plural where applicable.
CONTRACTOR (Name and Address):
Northwest Asphalt, Inc.
1451 Stagecoach Road
SURETY (Name and Address of Principal Place
Of Business):
Shakopee, MN 55379-2797
Western Surety Company
333 S. Wabash Ave.
OWNER (Name and Address):
Chicago, IL 60604
City of Chanhassen
7700 Market Blvd.
Chanhassen, MN 55317
CONTRACT
Date: April 10, 2017
Amount: $1,048,660.92
Description (Name and Location):
2017 Street Rehabilitation Project No. 17-01
BOND
Date (Not earlier than Contract Date): Apri117, 2017
Amount: $1,048,660.92
Modifications to this Bond Form: None
Surety and Contractor, intending to be legally bound hereby, subject to the terms printed on the reverse side hereof,
do each cause this Performance Bond to be duly executed on its behalf by its authorized officer, agent or
representative.
CONTRACTOR AS PRINCIPAL
Company: Northwest Asphalt, Inc. (Corp. Seal)
Signature: '/ _
Name and Title: Michael B. Pfei dent
SURETY
Company: Western Surety Company (Corp. Seal)
be&Signature:
Name and Title: Sandra M. Doz torney4n-Fact
(Attach Power of Attorney)
(Space is provided below for signatures of additional parties, if required.)
CONTRACTOR AS PRINCIPAL SURETY
Company: (Corp. Seal) Company:
Signature: Signature:
Name and Title: Name and Title:
(Corp. Seal)
EJCDE No. 1910-28-A (1996 Edition)
Originally prepared through the joint efforts of the Surety Association of America, Engineers Joint Contract Documents Committee, the
Associated General Contractors of America, and the American Institute of Architects.
GC -62
1. The CONTRACTOR and the Surety, jointly and severally, bindthemselves,
(FOR INFORMATION ONLY—Name, Address, and Telephone)
their heirs,executors, administrator, successors and assigns to the OWNER to
AGENTor BROKER: OWNER'S REPRESENTATIVE (ENGINEER or
pay for labor, materials and equipment furnished for use in the performance of
other party)
the Contract, which is incorporated herein by reference.
9. The Surety shall not be liable to the OWNER Claimants or others for
2. With respect to the OWNER, this obligation shall be null and void if the
obligations of the CONTRACTOR that are unrelated to the Contract. The
CONTRACTOR:
OWNER shall not be liable for payment of any costs or expenses of any
Claimant under this Bond, and shall have under this Bond no obligations to
2.1 Promptly makes payment, directly or indirectly, for all sums due
make payments to, give notices on behalf of, or otherwise have obligations
Claimants, and
to Claimants under this Bond.
2.2 Defends, indemnifies and holds harmless the OWNER from all claims,
demands, liens or suits by any person or entity who furnished labor, materials or
equipment for use in the performance of the Contract, provided the OWNER has
promptly notified the CONTRACTOR and the Surety (at the addresses described
in paragraph 12) of any claims, demands, liens or suits and tendered defense of
such claims, demands, liens or suits to the CONTRACTOR and the Surety, and
provided there is no OWNER Default.
3. With respect to Claimants, this obligation shall be null and void if the
CONTRACTOR promptly makes payment, directly or indirectly, for all sums
due.
4. The Surety shall have an obligation to Claimants under this bonduntil:
4.1 Claimants who are employed by or have a direct contract with the
CONTRACTOR have given notice to the Surety (at the addresses described in
paragraph 12) and sent a copy, of notice thereof, to the OWNER stating that a
claim is being made under this Bond and, with substantial accuracy, the amount
of the claim.
4.2 Claimants who do not have a direct contract with theCONTRACTOR:
1. Have furnished written notice to the CONTRACTOR and sent atopy,
or notice thereof, to the OWNER within 90 days after having last performed
labor or last furnished materials or equipment included in the claim stating, with
substantial accuracy, the amount of the claim and the name of the party to who
the materials are furnished or supplied or for whom the labor was done or
formed; and
10, The Surety hereby waives notice of any change, including changes of
time, to the Contract or to related Subcontracts, purchase orders and other
obligations.
11. No suit in action shall be commenced by the Claimant under this Bond
other than in a court of competentjurisdiction in the location in which the
Work or part of the Work is located or after the expiration of one year from
the date (1) on which the Claimant gave the notice required by paragraph
4.1 or paragraph 4.2.3, or (2) on which the last labor or service was
performed by anyone or the last materials or equipment were furnished by
anyone under the Construction Contract, whichever of (1) or (2) first
occurs. If the provisions of this paragraph are void or prohibited by law,
the minimum period of limitation available to sureties as a defense in the
jurisdiction of the suit shall be applicable.
12. Notice to the Surety, the OWNER or the CONTRACTOR shall be
mailed or delivered to the addresses shown on the signature page. Actual
receipt of notice by Surety, the OWNER or the CONTRACTORhowever
accomplished, shall be sufficient compliance es of the date received at the
address shown on the signature page.
13. When this bond has been furnished to comply with a statutory or other
legal requirement in the location where the Contract was to be performed,
any provision in this Bond conflicting with said statutory or legal
requirement shall be deemed deleted here from and provisions confirming
to such statutory or other legal requirement shall be deemed incorporated
herein. The intent is, that this Bond shall be construed as a statutory Bond
and not as a common lawbond.
2. Have either received a rejection in whole or in part from the 14. Upon request of any person or entity appearing to be a potential
CONTRACTOR or not received within 30 days of furnishing the abovenotice beneficiary of this Bond, the CONTRACTOR shall promptly famisha
any communication from the CONTRACTOR by which the CONTRACTOR copy of this Bond or shall permit a copy to bemade.
had indicated the claim will be paid directly or indirecdy;and
15. DEFINITIONS
3. Not having been paid within the above 30 days, have sent a written
notice to the Surety and sent a copy, or notice thereof, to the OWNER stating
that a claim is being made under this Bond and enclosing a copy of the previous
written notice furnished to the CONTRACTOR.
S. If a notice required by paragraph 4 is given by the OWNER tothe
CONTRACTOR or to the Surety, that is suffncientcompliance.
6. When the Claimant has satisfied the conditions of paragraph 4, theSurety
shall promptly and at the Surety's expense take the followingactions:
6.1 Send an answer to the Claimant, with a copy to the OWNER within 45
days after receipt of the claim, stating the amounts that are undisputed and the
basis for challenging any amounts that are disputed.
6.2 Pay or arrange for payment of my undisputed amounts.
15.1 Claimant: An individual or entity having a direct contract with
the CONTRACTOR or with a Subcontractor of the CONTRACTOR to
furnish labor, materials or equipment for use in the performance of the
Contract. The intent of this Bond shall be to include within limitation in
the terms "labor, materials or equipment" that pan of water, gas, power,
light, heat, oil, gasoline, telephone service or rental equipment used in the
Contract, architectural and engineering services required for performance
of the Work of the CONTRACTOR and the CONTRACTOR's
Subcontractors, and all other items for which a mechanic's lien may be
asserted in the jurisdiction where the labor, materials or equipment were
furnished.
15.2 Contract: The agreement between the OWNER and the
CONTRACTOR identified on the signature page, including all Contract
Documents and changes thereto.
7. The Surety's total obligation shall not exceed the amount of this Bond, and the 15.3 OWNER Default: Failure of the OWNER which has neither
amount of this Bond shall be credited for any payments made in good faith by the been remedied not waived, to pay the CONTRACTOR as required by the
Surety. Contractor or to perform and complete or comply with the other terms
thereof.
11. Amounts owed by the OWNER to the CONTRACTOR under the Contract
shall be used for the performance of the Contract and to satisfy claims, if any,
under any Performance Bond. By the CONTRACTOR furnishing and the
OWNER accepting this Bond, they agree that all funds earned by the
CONTRACTOR in the performance of the Contract are dedicated to satisfy
obligations of the CONTRACTOR and the Surety under this Bond, subject to the
OWNER's priority to use the funds for the completion of the Work.
GC -63
CORPORATE ACKNOWLEDGMENT
State of Minnesota )
)ss
County of Scott )
On this r \day of
'X'O before me appeared Michael B. Pfeiffer
to me personally known, who, being by me duly sworn, did say that he/she is the President
of Northwest Asphalt, Inc. , a corporation, that the seal affixed to the
foregoing instrument is the corporate seal of said corporation, and that said instrument was executed in
behalf of said corporation by authority of its Board of Directors, and that said Michael B. Pfeiffer
acknowledged said instrument to be the free act and deed of said corporation.
l!!!!!✓✓!✓ -
State of Minnesota
) ss
County of Hennepin
Notary PublicL�'�i
My commission expires
SURETY ACKNOWLEDGMENT
County, Mi iyi d I- L' K
On this 17th day of April 2017 , before me appeared Sandra M. Doze
to me personally know, who being by me duly sworn, did say that (s)he is the Attorney -in -Fact of
Western Surety Company , a corporation, that the seal
affixed to the foregoing instrument is the corporate seal of said corporation and that said instrument was
executed in behalf of said corporation by authority of its Board of Directors; and that said
Sandra M. Doze acknowledged said instrument to be the free act and deed of said corporation.
r r
LIN ULVEN
f: NOTARY PUBLIC - MINNESOTA
My Commission Expires
January 31, 2020
es x
Notary Public Ramsey County, Minnesota
My commission expires 1/31/2020
Western Surety Company
POWER OF ATTORNEY APPOINTING INDIVIDUAL ATTORNEY-IN-FACT
Know All Men By These Presents, That WESTERN SURETY COMPANY, a South Dakota corporation, is a duly organized and existing corporation
having its principal office in the City of Sioux Falls, and State of South Dakota, and that it does by virtue of the signature and seal herein affixed hereby
make, constitute and appoint
R. Scott Egginton, John E. Tauer, Kurt C. Lundblad, Craig Remick, Jerome T. Ouimet,
R. W. Frank, Nicole Stillings, Rachel Thomas, Joshua R. Loftis, Brian J. Oestreich, Melinda
C. Blodgett, Sandra M. Doze, Lin Ulven, Ted Jorgensen, R. C. Bowman, Individually
of Minneapolis, MN, its true and lawful Attorney(s)-in-Fact with full power and authority hereby conferred to sign, seal and execute for and on its behalf
bonds, undertakings and other obligatory instruments of similar nature
- In Unlimited Amounts -
and to bind it thereby as fully and to the same extent as if such instruments were signed by a duly authorized officer of the corporation and all the acts of said
Attorney, pursuant to the authority hereby given, are hereby ratified and confirmed.
This Power of Attorney is made and executed pursuant to and by authority of the By -Law printed on the reverse hereof, duly adopted, as indicated, by
the shareholders of the corporation.
In Witness Whereof, WESTERN SURETY COMPANY has caused these presents to be signed by its Vice President and its corporate seal to be
hereto affixed on this 9th day of January, 2017.
...N5RET} WESTERN SURETY COMPANY
��°?�� PONq" 0l..
s 'P
aul T. Bruflat, Vice President
State of South Dakota
ss
County of Minnehaha
I
On this 9th day of January, 2017, before me personally came Paul T. Bruflat, to me known, who, being by me duly sworn, did depose and say: that he
resides in the City of Sioux Falls, State of South Dakota; that he is the Vice President of WESTERN SURETY COMPANY described in and which executed
the above instrument; that he knows the seal of said corporation; that the seal affixed to the said instrument is such corporate seal; that it was so affixed
pursuant to authority given by the Board of Directors of said corporation and that he signed his name thereto pursuant to like authority, and acknowledges
same to be the act and deed of said corporation.
My commission expires
J. MOHR
MMAWPUBM
June 23, 2021 90Uf1OAK
J. Mohr, Notary Public
CERTIFICATE
I, L. Nelson, Assistant Secretary of WESTERN SURETY COMPANY do hereby certify that the Power of Attorney hereinabove set forth is still in
force, and further certify that the By -Law of the corporation printed on the reverse hereof is still in force. In testimony whereof I have hereunto subscribed
my name and affixed the seal of the said corporation this 17th day of April 2017 .
WESTERN SURETY COMPANY
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sem+`}�.Sf q1•,• i
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L. Nelson, Assistant Secretary
Form F4280-7-2012
Authorizing By -Law
ADOPTED BY THE SHAREHOLDERS OF WESTERN SURETY COMPANY
This Power of Attorney is made and executed pursuant to and by authority of the following By -Law duly adopted by the shareholders
of the Company.
Section 7. All bonds, policies, undertakings, Powers of Attorney, or other obligations of the corporation shall be executed in the
corporate name of the Company by the President, Secretary, and Assistant Secretary, Treasurer, or any Vice President, or by such other
officers as the Board of Directors may authorize. The President, any Vice President, Secretary, any Assistant Secretary, or the Treasurer
may appoint Attorneys in Fact or agents who shall have authority to issue bonds, policies, or undertakings in the name of the Company.
The corporate seal is not necessary for the validity of any bonds, policies, undertakings, Powers of Attorney or other obligations of the
corporation. The signature of any such officer and the corporate seal may be printed by facsimile.
CERTIFICATE OF LIABILITY INSURANCE
Fo�-_(
n 17 D�
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS
CERTIFICATE DOES NOT AFe iRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES
BELOW, THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED
REPRESENTATIVE OR PRODUCER, AND THE CERTIFICATE HOLDER.
IMPORTANT: If the certificate holder is an ADDITIONAL INSURED, the pollcy(ies) must have ADDITIONAL INSURED provisions or be endorsed,
If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on
this certificate does not confer rights to the certificate holder in lieu of such endorsement(s).
PRODUCER
Cobb Strecker Dunphy & Zimmermann
150 South Fifth Street
CONT NAMEACT Angie Ward
PHONE , 612-349-2432 FAX 612-349-2490
EDDA'L .award@csdz.com
Suite 2800
Minneapolis MN 55402
INSURERS AFFORDING COVERAGE
NAIC li
INSURER A;Re ent Insurance Com an
24449
12/112016
INSURED NORTASPH
INSURER a :General Casualty Company of Wiscons
24414
Northwest Asphalt, Inc.
1451 Stagecoach Road
Shakopee, MN 55379-9024
INSURERC:The Builders Group
j
INSURER D:Charter Oak Fire Insurance Company
25615
INSURER E ;
INSURER F
P91icy Form/XCU
COVERAGES CERTIFICATE NUMRFR- 1590567679 DCvle1^1,11-Il rRS.=rl
THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD
INDICATED. NOTiMTHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT VViTH RESPECT TO WHICH THIS
CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS,
EXCLUSIONS AND CONDITIONS OF SUCH POLICIES. LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.
INSR
LTR
TYPE OF INSURANCE
INSD.
WVD
POLICY NUMBER
POLICY EFF
MMIDD/YYYY
POLICY EXP
MMIDD/YYYY
I LIMITS
A
X
COMMERCIAL GE NERAL LIABILITY
CLAIMS-MADEX❑ OCCUR
CC11293283
12/112016
12/112017
EACH OCCURRENCE $1,000,000
EYAMAGE TO RENTED——
PREMISES (Ea occurrence) $300,000
X
MED EXP (Any one person) $10,000
Contr Liab Per
P91icy Form/XCU
PERSONAL & ADV INJURY $1,000,000
X
AGGREGATE LIMIT APPLIES PER:
RO
POLICY 7 JjECT El LOC
GENERAL AGGREGATE $2,000,000
GEN'L
PRODUCTS-COMPIOP AGG $2,000,000
OTHER.
A
AUTOMOBILE
X�
LIABILITY
ANY AUTO
CBA1293263
12/1/2016
12/112017
ZOVETNED-SINGLE LIMIT $
Ea accident)1,000,000
BODILY INJURY (Per person) $
X
OWNED SCHEDULED
AUTOS ONLY AUTOS
HIRED NON O MED
AUTOS ONLY X AUTOS ONLY
—
BODILY INJURY (Per accident) $
PROPERTY DAMAGE $
Per accident
B
X 1
UMBRELLA LAB X OCCUR
CCU1293283
12/1/2016
12/1/2017
EACH OCCURRENCE $10,000,000
EXCESS LIAB CLAIMS -MADE
f
AGGREGATE $10,000,000
DED X RETENTION $ 10,000
1 $
C
WORKERS COMPENSATION
AND EMPLOYERS' LIABILITY Y / N
ANY PROPRIETORIPARTNER/EXECUTIVE
OFFICER/MEMBER EXCLUDED? 7
NIA
090001363
12/1/2016
121112017
X ISTATUTE OERH
E.L. EACH ACCIDENT $1,000,000
E.L DISEASE - EA EMPLOYEE $1,000,000
(Mandatory In NH)
If yes, describe under
DESCRIPTION OF OPERATIONS below
E.L. DISEASE - POLICY LIMIT $1,000,000
D 1Installation
Fitr-Completed Value
Awned Equipment •ACV
Leased or Rented Equip - ACV
(
OT6609G469358COF18 1
1
12/1/2016
I
12/1/2017
(Ded:
Ded: $5,000 Limit: $400,000
$5,000 Limit: See Below
Ded: $5,000 Limit: $750,000
DESCRIPTION OF OPERATIONS/ LOCATIONS /VEHICLES (ACORD 101, Additional Remarks Schedule, maybe attached It more space Is required)
2017 Street Rehabilitation Project 17-01
Additional Insured only if required by written contract with respect to General Liability applies on a primary basis and the Insurance of the
Additional Insured shall be Non -Contributory: City of Chanhassen
The following supersedes the cancellation wording Should any of the above described policies be cancelled before the expiration date, 30
Days written notice (10 Days for Non -Payment) will be delivered to the certificate holder.
City of Chanhassen
7700 Market Boulevard
PO Box 147
Chanhassen MN 55317
ILLvLI
SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE
THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN
ACCORDANCE WITH THE POLICY PROVISIONS.
TIVE
I-
U 19BU-2015 ACORD CORPORATION, All rights reserved.
ACORD 25 (2016103) The ACORD name and logo are registered marks of ACORD