2016 Street Reconstruction Project (Minnewashta Manor): Accept Bids and Award Contract; Assessment Hearing •
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9 S CITY OF CHANIIASSEN
Chanhassen isa Community for Life-Providing for Today and Planning for Tomorrow
MEMORANDUM
TO: Paul Oehme, Director of Public Works/City Engineer�l
FROM: Alyson Fauske,Assistant City Engineer iet,�
DATE: January 23, 2017
SUBJ: Minnewashta Manor Street &Utility Improvement Project No. 16-01: Accept
Bids and Award Contract; Assessment Hearing
PROPOSED MOTION
"The City Council adopts the attached resolution accepting the bids and awards the contract for
the Minnewashta Manor Street&Utility Improvement Project No. 16-01 to GMH Asphalt
Corporation in the amount of$2,809,118.75.
The City Council adopts the assessment roll and resolution for the Minnewashta Manor Street
& Utility Improvement Project No. 16-01.
City Council approval requires a simple majority vote of those present."
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.
BACKGROUND
At the June 22, 2015 work session, staff reviewed with Council the proposed 2016 Street
Reconstruction project.
On August 24, 2015, the City Council authorized preparation of the feasibility study.
On November 18, 2015, an open house was held to discuss the proposed project.
On December 14, 2015, the City Council accepted the feasibility study and called the public
hearing.
At the January 25, 2016 meeting, the City Council held the public hearing and authorized the
preparation of plans and specifications. On February 22, 2016 the City Council approved the
plans and specifications and authorized the advertisement for bids.
PH 952.227.1100• www.ci.chanhassen.mn.us• FX 952.227.1110
7700 MARKET BOULEVARD • PO BOX 147 • CHANHASSEN • MINNESOTA 55317
Paul Oehme
Minnewashta Manor Street Imp.
Project No. 16-01
January 23,2017
Page 2
The original bid opening for this project was held on March 24, 2016. Only one bid was
submitted and was over the engineer's estimate and the budget for the project. On April 24,
2016, the City Council rejected this bid. Property owners were notified of the project delay.
An open house was held on January 18, 2017 to provide a project update to the residents and
answer questions about the proposed assessments.
PROJECT SUMMARY
This project includes the reconstruction of approximately 1.1 miles of streets, replacement of all
of the water main, sanitary sewer replacement and repair, and miscellaneous storm sewer
improvements. The last surveyed pavement condition is shown on the graphic below; a score of
100 represents a new street and a score of 0 represents a completely deteriorate street.
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The street widths vary between 20' and 28' within 50' or 60' wide right of way. The drivable
portion of the streets (i.e. the bituminous surface and the concrete gutter) is proposed to be the
same as the existing widths. The proposed pavement section includes 18" of sand, 10" of Class
5 and 3.5" of bituminous as recommended by the soils engineer.
Paul Oehme
Minnewashta Manor Street Imp.
Project No. 16-01
January 23,2017
Page 3
Concrete curb and gutter is proposed to be installed with the project as it effectively conveys
drainage from the bituminous section of the street which helps to prolong the life of the street. It
also provides a delineation between the street and yard which helps snow and ice control
operations minimize yard damage. The addition of curb and gutter also directs run off to storm
water features so the water can be treated and not end up in side or back yards where it can cause
problems. Staff recommends high back, B-618 curb in this area due to the hydraulics of the
style.
Water Main Improvements
The water main in this area is either cast or ductile iron pipe. Locations of 10 documented water
main breaks are shown on the graphic below.
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The project bid includes replacing the water main with PVC water main. All services will also
be replaced. The project bid included an alternate trenchless installation of water main, which
was $258,354 more than open-cut(traditional)installation. Staff recommends awarding the
contract using the open-cut method.
Paul Oehme
Minnewashta Manor Street Imp.
Project No. 16-01
January 23,2017
Page 4
Sanitary Sewer Improvements
Staff has investigated and televised the condition of the sanitary sewer in this area.
Approximately 50 feet of sewer is proposed to be replaced due to the condition of the pipe.
The remaining sewer pipe is in good structural condition, although some requires mineral
removal, grouting and/or lining to reduce the incidence of inflow and infiltration. These minor
repair areas are also proposed to be fixed at this time.
A 10" diameter sanitary sewer forcemain extends from Lift Station#4 and under the north-south
section of Washta Bay Road. The Utility Department potholed the ductile iron forcemain and
confirmed that the pipe is in good condition. An anode bag will be added to act as a sacrificial
material to prolong the life of the forcemain.
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Storm Sewer Improvements
The existing corrugated metal pipe within the Washta Bay Road and Sandpiper Trail right of
way is in poor condition and is proposed to be abandoned and filled with sand. Reinforced
Paul Oehme
Minnewashta Manor Street Imp.
Project No. 16-01
January 23,2017
Page 5
concrete pipe will be installed within these streets. The corrugated steel pipe that serves TH 7
and is along Washta Bay Road is in poor condition and should be replaced.
The project area is fully developed, therefore, there is minimal space to provide traditional
stormwater management, namely treatment ponds. The project includes a rain garden at the
corner of Washta Bay Road, SAFL baffles and improvements within the vacant right of way
from the Tanagers Lane/Sandpiper Trail intersection to Lake Minnewashta. Restoration of the
wetland south of Sandpiper Trail is proposed to be completed in-house next year for budget
purposes.
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The plans and specifications have been updated to reflect the City's current specifications and
detail plates; the changes are minor. Copies of the plans and specifications are available in the
engineering department.
BID OPENING/AWARD OF CONTRACT
Bids were received and opened and read out loud on Tuesday, December 6, 2016 at 2:00 p.m.
Nine bids were received. The lowest responsible bidder is GMH Asphalt Corporation at
$2,809,115.75. This project was bid out in March of 2016. The City only received one bid in
the amount of$3,117,255.61. By rebidding the project in December and postponing the project,
the City saved $308,139.86. The bids have been tabulated and the base bids plus Bid Alternate 1
(open cut installation of water main) are summarized below.
Paul Oehme
Minnewashta Manor Street Imp.
Project No. 16-01
January 23,2017
Page 6
Bidder Total Bid
1. GMH Asphalt Corporation $2,809,118.75
2. LaTour Construction, Inc. $3,006,059.15
3. Eureka Construction, Inc. $3,121,658.50
4. Northwest Asphalt, Inc. $3,139,380.86
5. Valley Paving, Inc. $3,205,665.27
6. Northdale Construction Co., Inc. $3,335,986.46
7. R & R Excavating, Inc. $3,565,829.78
8. Park Construction Co. $3,800,147.60
9. S. M. Hentges & Sons, Inc. $4,001,294.00
GMH Asphalt, Inc. has worked in the City of Chanhassen on street resurfacing projects in 2006,
2007, 2011 and 2013, and on the 2014 street reconstruction project. The utility subcontractor,
Widmer Construction, has worked on various utility projects within Chanhassen, including the
water main installation from Highover Drive to Well #8 in 1997 and the Bluff Creek Corporate
Center water main installation in 1999. Recently, Widmer has extended sewer and water to
Victoria's public works building. Both companies' work, ability to manage a project like this,
and customer service delivery has been acceptable.
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 confident staff's investigation will not result in
any changes being made to the assessment roll, a motion by the City Council adopting the
assessment roll as prepared is needed for the project.
Paul Oehme
Minnewashta Manor Street Imp.
Project No. 16-01
January 23,2017
Page 7
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 staff's 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 SUMMARY: ASSESSABLE COSTS
Improvements within the Minnewashta Manor project area include reconstruction of the street,
the replacement of sanitary sewer and water main, and storm sewer improvements. Forty percent
(40%) of certain street improvement costs are proposed to be assessed against the benefitting
properties.
PROJECT COST, ASSESSMENTS AND FUNDING
Budgets for the proposed work have been included in the 2017 CIP. A summary of the total bid
cost, the engineer's estimate and CIP budget is below:
Funding Source Bid Cost Engineer's Budget
Estimate
Revolving Assessment Fund $1,915,942.24 $2,050,000 $2,100,000
Storm water Utility Fund $591,425.28 $640,000 $650,000
Sanitary Sewer Utility Fund $119,034.55 $120,000 $120,000
Water Utility Fund $741,169.49 $730,000 $825,000
Total $3,367,571.56 $3,540,000 $3,695,000
The City's assessment practice is to assess 40% of the street improvement cost to the benefitting
properties on a per lot basis. There are some streets that only have benefitting properties on one
side of the street, therefore staff proposes that these streets be removed from the assessable costs.
The total amount proposed to be assessed is $481,221.70. There are 59 assessable units within
the project area, therefore the proposed assessment is $8,156.30/unit, which is $3.70 less than the
estimated assessment. The assessments are be proposed for a 10-year term at an interest rate of
5.75%. Staff recommends that the Council extend the interest-free period to October 2, 2017
which is approximately one month after substantial project completion.
Paul Oehme
Minnewashta Manor Street Imp.
Project No. 16-01
January 23,2017
Page 8
SCHEDULE
The anticipated project schedule is as follows:
Tree removal and reclaiming pavement begins May 30, 2017
Utility work begins June 12, 2017
Substantial Completion September 1, 2017
Install Wear Course June 29, 2018
Attachments: 1. Letter from WSB &Associates
2. Resolutions
3. Assessment roll
4. CIP sheets
g:\eng\public\_2016 projects\16-01 street and utility reconstruction\communication\20170123 assessment hearing.docx
WSB
701 Xenia Avenue South I Suite 300 I Minneapolis,MN 55416 I(763)541-4800
December 8, 2016
Honorable Mayor and City Council
City of Chanhassen
7700 Market Boulevard
P.O. Box 147
Chanhassen, MN 55317
Re: Street Reconstruction Project No. 16-01
Minnewashta Manor Neighborhood
WSB Project No. 1694-680
Dear Mayor and City Council Members:
Bids were received for the above-referenced project on Tuesday, December 6, 2016, and were opened
and read aloud. Nine bids were received. The bids were checked for mathematical accuracy and
tabulated. Please find enclosed the bid tabulation indicating that G. M. H.Asphalt Corporation, Chaska,
Minnesota, as the low bidder with a grand total bid (total Base Bid plus Bid Alternate 1)amount of
$2,809,118.75.
We recommend that the City Council consider these bids and award a contract for the grand total bid in
the amount of$2,809,118.75 to G. M. H. Asphalt Corporation based on the results of the bids received.
If you have any questions, please contact me at(763)512-5257.
Sincerely,
WSB &Associates,Inc.
Eric Eckman, PE
Project Manager
Enclosures
cc: Paul Oehme, City of Chanhassen
Alyson Fauske, City of Chanhassen
jrs
Building a legacy—your legacy.
Equal Opportunity Employer I wsbeng.com
M01694-680\Admin\Construction Admin\Rebid-December2016\1694-680 CST LTR RECMMDTN-hmcc-120816-signed.docx
CITY OF CHANHASSEN
CARVER AND HENNEPIN COUNTIES, MINNESOTA
DATE: January 23,2017 RESOLUTION NO: 2017-XX
MOTION BY: SECONDED BY:
A RESOLUTION ACCEPTING BIDS AND AWARDING CONTRACT FOR
MINNEWASHTA MANOR STREET &UTILITY IMPROVEMENT PROJECT NO. 16-01
WHEREAS,pursuant to an advertisement for bids for Project No. 16-01 (Minnewashta Manor
street and utility improvement project), bids were received, opened and tabulated according to law,and
the following bids were received complying with the advertisement:
Bidder Total Bid
1. GMH Asphalt Corporation $2,809,118.75
2. LaTour Construction, Inc. $3,006,059.15
3. Eureka Construction, Inc. $3,121,658.50
4. Northwest Asphalt, Inc. $3,139,380.86
5. Valley Paving, Inc. $3,205,665.27
6. Northdale Construction Co., Inc. $3,335,986.46
7. R& R Excavating, Inc. $3,565,829.78
8. Park Construction Co. $3,800,147.60
9. S. M. Hentges & Sons, Inc. $4,001,294.00
WHEREAS, GMH Asphalt is the lowest responsible bidder with a total bid awarded of
$2,809,118.75;
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 GMH
Asphalt in the name of the City of Chanhassen for Minnewashta Manor Street&Utility
Improvement Project No. 16-01 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.
Passed and adopted by the Chanhassen City Council this 23rd day of January, 2017.
ATTEST:
Todd Gerhardt, City Manager Denny Laufenburger, Mayor
YES NO ABSENT
CITY OF CHANHASSEN
CARVER AND HENNEPIN COUNTIES,MINNESOTA
DATE: January 23,2017 RESOLUTION NO: 2017-XX
MOTION BY: SECONDED BY:
A RESOLUTION ADOPTING ASSESSMENT ROLL FOR THE
MINNEWASHTA MANOR STREET &UTILITY IMPROVEMENT PROJECT NO. 16-01
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:
Minnewashta Woods Drive
North Manor Road
Orchard Lane(from Sandpiper Trail to Minnewashta Woods Drive)
Sandpiper Trail
Tanagers Lane
Washta Bay Road
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 ten
(10)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 5.75 percent(5.75%)per annum from the
date of the adoption of this assessment resolution. 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 31,2017. 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 5.75 percent(5.75%)per
year. The right to partially prepay the assessment is not available.
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.
Passed and adopted by the Chanhassen City Council this 23rd day of January, 2017.
ATTEST:
Todd Gerhardt,City Manager Denny Laufenburger,Mayor
YES NO ABSENT
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Capital Improvement Program 2017 thru 2021 Department Sanitary Sewer Improvements
Contact Paul Oehme
City of Chanhassen, MN
Type Improvement
Project# SS-01
Useful Life Unassigned
Project Name Sanitary Sewer Replacement Category Utilities
Account#1 701-70254751
Account#3 Priority n/a
Account#2 Account#4'
Total Project Cost: 52,110,000
Description
Replacement or rehabilitation of existing sanitary sewer lines in conjunction with the reconstruction of the City street.
Justification I
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.
Prior Expenditures 2017 2018 2019 2020 2021 Total
1,300,0001 Construction 210,000 250,000 50,000
250,O00 50,000 810,000
Total Total 210,000 250,000 50,000 250,000 50,000 810,000
Prior Funding Sources 2017
2018 2019 2020 2021 Total PI
1,300,000 l 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 50,000 810,000IF
Budget Impact/Other I
This project will decrease maintenance costs,
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Capital Improvement Program 2017 /hru 2021110
Department Street Improvements
City of Chanhassen, MN Contact Paul Oehme
Project# ST-012 Type .Improvement
Useful Life Unassigned 10
Project Name Annual Street Improvement ProgramCategory Streets/Highways
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Account#1 601-xxxx-4751 Account#3 Priority n/a
Account#2 Account#4
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Description Total Project Cost: S30,680,000
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 Place
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 I
MSA-Minnewashta Parkway overlay and trail
2020-Chan View area
MSA-Lake Lucy Road(Highway 41 to Galpin Blvd)and trail
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2021 -Stone Creek area and Ches Mar Drive
Justification
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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 cost effective,a street will eventually deteriorate to a point that further maintenance is no longer cost effective. IP
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
consider the merits of the project and scope of work. IP
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 IP
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 P
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 P
This project may 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 II
Useful Life Unassigned
Project Name Street Improvement Projects-Storm Water Mgmt Category SWMP
Account#1 720-7025-4751 Account#3 Priority n/a jin
Account#2 Account#4
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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 i
undertaken by the engineering and public works departments.
0
Justification
Street improvement projects frequently require construction or expansion of storm water management infrastructure in order to comply with j
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 J
1,525,000 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 Funding Sources 2017 2018 2019 2020 2021 Total
1,525,000 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
0
Inventory,inspection and maintenance of new infrastructure will be required. Citywide.No map
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ICapital Improvement Program 2017 thru 2021 Department Water System Improvements
City of Chanhassen, IAN Contact Paul Oehme
1 Project#
Project Name W-024
Watermain Replacement Type Improvement
Useful Life Unassigned
Category Utilities
I Account#1 700-7025-4751 Account#3 Priority n/a
Account#2 Account#4
Description Total Project Cost: $5,220,000
1 Replacement 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
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
dproject in the City.
g 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
Total Total 75,000 770,090 100,000 850,000 100,000 1,895,000
IIPrior Funding Sources 2017 2018 2019 2020 2021
Total
3,325,000 Water Utility Fund 75,000 770,000 100,000 850,000 100,000 1,895,000
gTotal Total 75,000 770,000 100,000 850,000 100,000 1,895,000
g Budget Impact/Other
These projects will decrease maintenance costs.
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ADDRESS: 9180 Laketown Road
PROJECT
OWNER'S CONTRACTNO.
CONTRACT FOR
You are notified that your Bid dated December 6 , zoJ6 or the above Contract hasbeenconsidered'YouaretheapparentSu"..'ffiawardedacontractforthe
The Contract Price ofyour contract is
and75/100 Dollars 62.809. I I 8.75).
3 copies of the proposed Contract Documents (except Drawings) accompany this Notice of.Award.
sets of the Drawings will be delivered separately or otherwise made available to you immediately.
You must comply with the following conditions precedent within fifteen days of the date of this Notice ofAward, that is by r,ebruary je . ,20_!J_.
l ' l You must deliver to the oWNER 3 fully executed counterparts of the Agreement includingall the Contract Documents. Each of the Contract Documents must bear your silnature.
l'2 You must deliver with the executed Agreement the Performance B6nd and payment Bond asspecified in the General Conditions.
l'3 You must deliver with the executed Agreement a Certificate of Insurance as specified in the
General Conditions with the City of Chanhassen stated as an additional insured pari.
NOTICE OF AWARD
Dated Februarv I ,20 17
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FORM OF'AGREEMENT
BETWEEN CITY OF CHAIIHASSEN AND CONTRACTOR
THIS AGREEMENT, made this 23d day of January, 2017, by and between the CITyoF CHANHASSEN, a Minnesota muricipal corporation ("owner,'j ana GIrru espnat
Corporation ("Contractor"). Owner and Contracior, in consideration of the mutuj covenants setforttr herein, agree as follows:
l. CONTRACT DOCITMENTS. 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 firll herein:
A. This Agreement;
B. Specifications dated October 24,2016;
c. city of chanhassen General conditions of the construction contract;
D. Bid dated December 6,2016.
In the event ofa conflict among the provisions ofthe contract Docurnents, 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 CONTRACT0R. The contractor shal provide the
goods, services, and perform the work in accordance with the contract Documents.
3. coNTRAcr PRrcr'.. owner shall pay contractor for completion of the work
in accordance with the Contract Documents the amount of $2,g09,1 1g.75.
4. PAYMEI{TPROCEDURES.
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 95o% progress payments
on account ofthe Contract price on the basis ofContractor,s Applications
for Payrnent during performance of the Work.
C. Payments to Subconhactor.
' (1) Prompt Payment to Subcontractors. pursuant to Minn. Stat. $
471 .25, Subd. 4a, the Contractor must pay any subcontractor
within ten (10) days ofthe Contractor,s receip of payment from
the City for undisputed services provided by the subconhactor.
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The contractor must pay interest of l%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-il+ (attached) required from general contractor. Minn.
Stat. g 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 Minnesbta 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.
COMPLETION DATE/LIQUIDATED DAMAGES.
A. The Work must be substantially completed on or before October 3I,2017,
and be ready for final completion and payment on or before June 29, 201g,
in accordance with the Special Provisions and General conditions.
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. abofe, 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 $t.ZSO.OO for each calendar day that
expires after the time specified in Paragraph 5.A. for Completion until the
Work is complete.
Daily costs are based on MnDor rable 1807-1, "schedule of Liquidated
Damages as follows:
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TABLE 1807-1
SCIIED{JLE OF LIQUIDATED
DAMAGES
Original Conffact Amount Charge
Per Cal.
Day
($)
From More Than
($)
To and Including
($)
0 25,000 75
25,000 50.000 125
50,000 100,000 2s0
100.000 500,000 500
500,000 1.000.000 750
1,000,000 2.000.000 1.250
2.000.000 s,000.000 1,750
5,000,000 10,000,000 2,500
10.000.000 3,000
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.
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.
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
means, methods, techniques, sequences, and procedures of construction
D.
E.
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expressly required by the Bidding Documents, and safety precautions and
programs incident thereto.
Contractor does not consider that any further examinations, investigations,
explorations, tests, sfudies, or data are necessary for the performanie of
the Work at the Contract Price, within the Contract Times, and in
accordance with tfre other terms and conditions of the contract
Documents.
contractor is aware of the generalnature of work to be performed by
owner and others at the Site that relates to the work as indicated in the
Contract Documents
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 a[ 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.
Subcontracts:
(l) 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 subcontactors, 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.
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(4) The contractor shall bind every Subcontractor by the terms of the
Contract Documents.
7. WORIGR'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. COMPREHENSM 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 iniurance satisfactory to
the City evidencing the required coverage:
Bodily Injury:$2,000,000 each occurrence
$2,000,000 aggregate products and
completed operations
$2,000,000 each occurrence
$2,000,000 aggregate
Property Damage:
Contractual Liability (identifuing the contract):
Bodily Injury:
Property Damage:
Bodily Injury:
Property Damage:
$2,000,000 each occurrence
$2,000,000 each occurrence
$2,000,000 aggregate
$2,000,000 each occurrence
$2,000,000 each accident
$2,000,000 each occurrence
Personal Injury, with Employment Exclusion deleted:
$2,000,000 aggregate
Comprehensive Automobile Liability (owned, non-owned, hired):
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 indemni& and hold the City harmless
from any claim made by third parties as a result of the services performed by it. In addition, the
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Contractor shall reimburse the City for any cost of reasonable attomey's fees it may incur as a
result of any such claims.
11.MISCELLAIIEOUS.
C.
Terms used in this Agreement have the meanings stated in the General
Conditions. ;
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.
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.
Data Practices/Records.
(l) 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 Conhactor and its subcontractors, if any, relative to
this Contract are subject to examination by the City.
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.
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
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contractor shall provide for such use by suitable legal agreement with thepatentee or owrer and a copy of said agreement stral ue rrted with theowner. If no such agreement is made or filed as noted,the contractorshall indemnifu and hold harmless the owner from any*o utt claims forinfringement by reason of the use of any such patentei designed, a.,*ri".,material or process, or any trademark oi trade ,*" o, copyrigrri inconnection with the project agreed to be performed under'tireLontract,
and shall indemniS and defend the ownir for any costs, liability,
expenses and attorney's fees that result from any such infringement
Assignment. Neither party may assign, sublet, or transfer any interest orobligation in this contract without thi prior writtin consent of the otherparty, and then only upon such terms and conditions as both parties mayagree to and set forth in writing.
waiver. In the particular event that either party shall at any time or timeswaive any breach of this contract by the ott
"., such waiver shall not
constitute a waiver of any other or any succeeding breach of this contract
by_either party,whether of the r*. ot any other-covenant, condition orobligation.
Governing Lawvenue. The raws of the State of Minnesota govern theinterpretation of this contract. Inthe event of litigation, the exclusive
venue shall be in the District court of the state of Minnesota for carver
County.
Severability. If any provision, term or condition of this Contract is found.to be or become unenforceable or invalid, it shall not affect the remainin!provisions, terms and conditions of this contract, unless suc! invalid oi "
unenforceable provision, term or condition rendeis this contract
impossible to perform. Such remaining terms and conditions of thecontract shall continue in full force and effect and shall continue to
operate as the parties, entire contract.
Entire Agreement. This contract represents the entire agreement of theparties and is a final, comprete ana fu inclusive statemeit of the terms
thereof, and supersedes and terminates any prior agreement(s),
understandings or written or verbal repr"sentations made between theparties with respect thereto.
Permits and Licenses; Rights-of-v/ay and Easements. The contractor
shall procure all permits and licensei, 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
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compensation for any construction delay resulting from the city,s nottimely obtaining rights-of-way pr easements.
If the work is delayed or the sequencing of work is altered because of theaction or inaction of the owner, the coitractor shall be allowed a time
extension to complete the work but shall not be entitled to any other
compensation.
Let be noted that Section s 5.23,7.01 and g.0g are hereby deleted from the2015 General conditions as they are represented in this document.
GMH
BY:
BY:
Todd Gerhardt, City Manager
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