08-11-1980 Council Minutes - Laserfiche WebLink

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Page 2•1 the high prices. The contractors felt that the prices may come down sliqhtly if the pro�ect Were Lo be opened up and rebid, but that Work delayed until next construction season will be affected by a ten percent labor increase. For purposes of determining the assessments we have taken total construction cost and added 20 percent for le gal, engineering and administration charges. Fasement acquisition costs have not been included in the totals as i.^.dicated. The following is a su�ary of the anticipated unit costs for each area based on the low bid, 2nd bid and the preliminary report estimate: ASSESSMENT RATES Prelim. Hearing LoW Bid 2nd BID I. Minnetonka Bluffs $ 8,400.00 $10,031.00 $11,764.00 II. Ferndale Road 12,100.00 16 ,505.(�0 18 ,209.00 III. Orono Lane 10,100.00 10,401.00 12, 139.00 IV. County Road 15 9 ,880.00 7,523.00 8 ,021.00 V. North Shore Drive 12,000.00 11,733.00� 16 ,390.00 * Bid did not include Grinder Pump Station. Could add $2,000.00/unit. There appears to be three primary options open to the City at this time based on the substantial change in unit assessments which would result if the proj- ect were to be awarded to the lowest responsible bidder: 1. Re ject all bids and cancel the project. 2. Proceed to the assessment hearing with the plan to award the D!"OIeC'. to the lowest responsible bidder 3. Proceed to the assessment hearing with the plan to rebid the project in three parts in an atte�t to receive better unit prices. - , TY�e third option would allow the project to proceed through the assessment hearing without delay. The City Kould authorize the pro ject to be rebid on September 5, 1980 with the assessment hearing on September 8, 1980 as sched- ule d. If the project is to be separated it is recommended that it be separated into the following sections for rebidding: Project I Minnetonka Bluffs and County Road 15 , Project II Ferndale Road and Oroqo Lane, and Project III North Shore Drive. 'IYie City would then have additional fleacibility in making project award in the event certain areas of the project do not want to proceed wi,th sanitary sewer at this time due to the higher assessment rates. We would recommend that the City p roceed with option tWo or three. Zf you have any questions, please contact this office. Yours very truly, BONESTR00, ROSENE, ANDERLIK � ASSOCIATFS, INC. ��iv�--v �C�le-� Glenn R. Cook GRC:li c c: Jo hn Ge rhard son - Br uc e Na lk er son 2 la