8a 1998 Trail Project
CITY OF
CHANHASSEN
70 Gty Center Dril'f, PO Box 147
. ChilllhmseJ/, Afillilesotll 55317
Pbolle 612.937.1900
C'enfml Fllx 612.9375739
Eugillferillg Fllx 612.937.9152
'JuMie Srife~y Fllx 612.934.2524
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MEMORANDUM
TO:
Don Ashworth, City Manager 1/~
Todd Hoffman, Park & Recreation Director;1!
FROM:
DA TE:
August 19, 1998
SUBJ:
Construction Services, 1998 Trail Project
Mr. Dave Nyberg, Project Manager will be present on Monday night to explain
his position regarding construction services for the 1998 trail project. In hiring
H.R. Green to complete this project, it was a deliberate action of the city to
request a full time project inspector. Like it or not, the reasoning behind the
request for additional dollars to continue construction services is sound.
RECOMMENDATION
In order to fulfill our commitment to the community and property owners adjacent
to the new trails, it is recommended that additional dollars be allocated for
construction services. Specifically, it is recommended that effective August 25,
H.R. Green shall reduce their construction services to no more than % time with
additional billing for construction services not to exceed $25,000 for the
remainder of the project.
This increase in inspection services is essential to ensure the integrity of the
project and does jeopardize the overall budget.
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Howard R. Green Company
CONSULTING ENGINEERS
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Formerly MSA
Consuf/ing Engineers
August 5, 1998
File: 801380j-0071
Mr. Todd Hoffman
Park and Recreation Director
City of Chanhassen
690 City Center Drive
Chanhassen, MN 55317
RE: CONSTRUCTION SERVICES
1998 TRAIL PROJECT - CHANHASSEN, MN
Dear Mr. Hoffman:
This correspondence shall provide additional information from our meeting with you on
August 4lh, 1998 regarding the status of the construction services budgets for the 1998
Chanhassen Trail Project. As indicated in the attached letter dated July 31, 1998, it
appears that the allocated budget of $30,100 will not be adequate to complete the trail
project if construction inspection on the trail project is continued at the current level of
having a full time inspector available on the project.
PROJECT SCHEDULE AND ORIGINAL BUDGET
The project schedule to date is a;5 follows:
Notice of Award
Notice to Proceed - Highway 7
Notice to Proceed - Lake Riley
Notice to Proceed Connection Trail
May 14,1998
May 18,1998
May 29, 1998
July, 24,1998
20 Day Contract Period
30 Day Contract Period
20 Day Contract Period
As the above information indicates, the trail is generally proceeding on schedule. The
total contract period for the three segments awarded to date is 70 days. As of today,
there have been 80 calendar days since the award of the first segment, of which 13 were
rain days and 2 were holidays. Taking into account days the contractor did not work, 65
calendar days of the contract period of 70 days have been used for these first three
segments. Before the rain on August 2-3, the Contractor was on schedule to pave
connection trail by August 6th. A delay occurred during the construction of the Pioneer
Trail/Great Plains Boulevard segment, while the Highway 7 trail was generally on
schedule and the Connection trail was ahead of schedule until the rain.
O:\PROJ\801380j\380-0506.aug.doC
Mr. Todd Hoffman
August 5, 1998
Page 2
Our original budget accounted for full time inspection based on a 7 -hour workday (7 hour
day and ~ hour start-up and shutdown) with a total completion period of 110 calendar
days. This can be summarized as follows:
110 calendar days working 5 days per week = 80 working days
80 working days X 7 hours per day
Mileage and Expenses
$28,000
$ 2,100
= $30,100
Total Inspection Budget
During design of the project, the completion period was changed from 110 days to 150
days for the final specifications. Under the easement and right-of-way constraints and
special construction methods necessary, a contractor could not finish the project as
specified with the original completion period without significant cost increases to the City
of Chanhassen.
As the letter dated July 31, 1998 indicates, through the end of June the total amount of
inspection budget used was $17,243.60. Based on continuing inspection at the current
level of service, we estimate the total inspection cost would be $63,900, $33,800 above
the original contract amount. This is entirely due to the fact that Midwest Asphalt has
elected to work 12 hour days, 5 days a week, and that Mr. Paul Kauppi, our inspector,
has been closely involved in many of the easement negotiation meetings with the City
Attorney.
The easement work is nearly complete, so this is no longer a concern. However,
Midwest Asphalt has not given us any indication that the typical workday will be less
than 12 hours for the duration of the project.
FUTURE INSPECTION AND PROPOSED BUDGET
As you so directed at our meeting with you on August 4, 1998, we will be minimizing
future inspection to the greatest extent possible for the remainder of the project.
However, there are circumstances beyond our control, such as the weather and the
Contractor's schedule, which will dictate how much inspection is required for the duration
of the project.
At this time, we ask for your direction regarding future expenditures of funds for
inspection services. If the current budget must be met, we estimate that Mr. Paul Kauppi
may only be available 5 hours per week for the remainder of the project. The
ramifications of this are that we will not be able to meet with residents and property
owners with questions, and most importantly the contractor will be working without
supervision.
Howard R. Green Company
o IPROJ1801380j1380-0506aug doc r,nNSI JI TING FNGINFERS
Mr. Todd Hoffman
August 5, 1998
Page 3
As our attached contract with the City of Chanhassen indicates, we originally proposed
inspection fees based on an hourly agreement, not hourly not to exceed. We want to
avoid a situation in which Mr. Hoffman cannot direct us to continue to inspect critical
aspects of the project because of budget constraints.
We hope the above information helps the City of Chanhassen decide upon a course of
action on this important issue. If you have any questions, we are available to discuss
this issue at any time.
Sincerely,
Howard R. Green Company
y GGv~ V\ Vf;S
David E. Nyberg, P.E.
Project Manager
DEN/st
cc: Mr. Paul Kauppi, Howard R. Green Company
Howard R, Green Company
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OCT 2 ';)
HOWARD R. GREEN COMPANY
PURCHASE ORDER
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THIS AGREEMENT, made this 20th day of October, 1997 by and between, the CITY OF
CHANHASSEN (herafter "CLIENT', and HOWARD R. GREEN COMPANY (hereafter "HRG"), for
professional services concerning the 1998 Bike Trail Improvements Project.
HRG Project Number 801380P
The CLIENT agrees to employ HRG to perform the following services:
· Preliminary Surveying: As required to complete plans and specifications. The preliminary
survey will encompass areas that are not sufficiently covered with aerial topography
sufficient to develop a plan and profile for bike trail construction. Areas with sufficient aerial
topography coverage will not be surveyed in an effort to reduce costs on behalf of the
CLIENT.
· Project Design: Design will include the preparation of plans and specifications for the
construction of six segments of bike trail. Plans will be prepared in stages to allow at least
wo reviews by the public prior to final approval of the plans by the City of Chanhassen.
· Property Acquisition: HRG will prepare easement descriptions and exhibits on the City's
behalf for property required to complete the project. This shall include both permanent and
temporary easements as required for the project construction.
· Project Management: HRG will assist in the coordination of public information meetings to
facilitate the project design. It is anticipated that these meetings will be held in November of
1997 and January of 1998. Additional project management responsibilities will include
coordination of the surveying, inspection, construction staking, wetland delineation,
permitting, and bidding.
· Construction Staking: HRG will provide construction staking as required on the project.
Staking will be completed on an as needed basis in areas where construction from the plans
is not feasible as determined by the Engineer. Staking will include the establishment of line
and grade in such areas.
· Project Inspection: HRG will provide a project inspector to the City of Chanhassen for the
coordination of field activities during construction. The inspector will be available to address
contractor inquiries, City staff inquiries, and public concerns related to the project.
In consideration for these services, the CLIENT AGREES to pay HRG on the following
basis: (Indicate Payment Method)
[ ] Lump sum in the amount of
[ ]
Per current Rate Schedule with an estimated fee not'to exceed
e
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Other as stated here:
· Per current Rate Schedule for the design phase with an estimated fee not to exceed
$78,600.
· Per current Rate Schedule on an hourly basis for the property acquisition portion,
and for the construction staking and inspection phases, with an estimated fee of
$51,100.
The Schedule of Fees and Conditions of HOWARD R. GREEN COMPANY (attached
hereto) are incorporated into this AGREEMENT and made a part of it.
By:
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CITY OF CHANH~
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HOWARD R. GREEN COMPANY
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PAUl
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