10-14-1991 Council Minutes - Laserfiche WebLink

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0 N y1 • T MINUTES OF THE REGULAR ORONO COUNCIL•MEETING-- OCTOBER 14o 1991 (##24) CONTRACT WITH KRAUS— ANDERSON FOR CONSTRUCTION MANAGER SERVICES Moorse explained the contract sets the basic compensation at 3% of the total project or a maximum of $89,443. Jabbour asked if the contract indicates an either /or option. Moorse clarified that if the bids come in low, their fee could--be—: reduced. Jabbour agreed and noted that the contract should state that if-, the project is bid at less, the contract amount would go down, and we should give an exemption to Kraus — Anderson to allow subsidaries to work on certain parts of project not subject to the 3 %. Callahan explained they picked a figure lower than 3% that was to be the maximum. In the event of change orders, Orono does not want to be locked in should the project escalate. If bids are increased, the maximum is $89,443. Moorse referred to the last page of the contract which involves Public Works equipment allowance. He noted that large items such as hoists, fueling system, etc. are outside the project cost, but the Council may want Kraus — Anderson to supervise the installation of these large items which could increase their fee up to $5,000. Gerhardson noted that the project cost does not include the salt building. Moorse next explained the reimbursibles, which are basically the field superintendent. He noted that Article 17 deals with general expenses, which they will do and charge us only their costs. ( *##25) LICENSES It was moved by Mayor Peterson, seconded by Jabbour, to approve the following license: Minnetonka Center for the Arts — One Day Set Up Permit 2240 North Shore Drive Holiday House November 20, 1991 — 6 to 10 p.m. ( *##26) BILLS It was moved by Mayor Peterson, seconded by Jabbour, to approve payment of the All Funds Account. Ayes 4, nays 0. PIN