07-10-2000 Council Packet - Laserfiche WebLink

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L f LV' Additional Units Included in Project The project assessment is based on the project costs divided by eleven units. This includes the nine units in the original Fox Ridge MUSA expansion area plus two additional units on South Brown Road between the Fox Ridge project area and Watertown Road. Throughout the process, the property owners in the original Fox Ridge MUSA area were concerned about the project costs; and the fact that they were paying for the sewer line from the Foxridge neighborhood up to Watertown Road. A second public hearing was held for this project and the ten properties owners adjacent to South Brown Road, between Fox Ridge and Watertown Road, were invited to th^! hearing. These property owners were provided an opportunity to participate in the project, on a '.l umtary basis, with the total project costs divided by the number of participants. This option was o!*jred by the City to reduce the project assessments. Many of these additional properties have contonning septic systems, and the owners were not interested in participating in the project. Two of the property owners, with nonconforming septic systems, have requested to be included in the project Award of Contract The bid opening for this project was held on June 6th. Four bids were received for this project. The Fox Ridge and East Lx)ng Lake projects were bid together. The lowest responsible bidder was MinnComm Utility Construction Company, Mora Minnesota with a bid of $127,970 for the Fox Ridge Area portion of the project. A bid tabulation and letter of recommendation, from the City Engineer, for a contract award to MinnComm Utility Construction Company is attached. After construction is complete, and final costs are known the actual assessment can still be adjusted downward, in a revised assessment roll, before submission to Hennepin County in December. This assessment roll lists an 8% interest rate, past practice has been to lower the interest rate dependant on the interest rate received on the project bonds. Eight percent is the maximum interest rate that can be charged. The actual interest rate on recently completed projects has been 6.25%. Unless a large number of assessment appeal notices are received, we are recommending Council approval of the attached resolutions to adopt the assessment roll and award the conu*act for this project to MinnComm Utility Construction Company in the amount of $127,970 for the Fox Ridge Area portion of the project. COUNCIL ACTION REQUESTED; Motion to approve resolution adopting the assessment roll for the Fox Ridge Area Sanitary Sewer Improvements. Motion to approve resolution awarding the contract for the Fox Ridge Area Sanitary Sewer Improvements to MinnComm Utility Construction Company, Mora Minnesota in the amount of $127,970.