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Acceptance of Derby Grange Sanitary Sewer Extension Project Copyrighted May 21 , 2018 City of Dubuque Consent Items # 14. ITEM TITLE: Acceptance of Derby Grange Sanitary Sewer Extension Project SUMMARY: City Manager recommending acceptance of the construction contract for the Derby Grange Sanitary Sewer Extension Project, as completed by Connolly Construction. RESOLUTION Accepting the Derby Grange Sanitary Sewer Extension Project and authorizing the payment of the contract amount to the contractor SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Adopt Resolution(s) ATTACHMENTS: Description Type Derby Grange Sanitary Sewer Extension Project-NNM City Manager Memo Memo Staff Memo Staff Memo Resolution Resolutions Engineer's Cert Supporting Documentation THE CITY OF Dubuque � AIFA�erlwGh UB E '�� III► Masterpiece on the Mississippi Z°°'�w'2 7A13 2017 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Derby Grange Sanitary Sewer Extension Project (CIP 7102729) DATE: May 15, 2018 City Engineer Gus Psihoyos is recommending acceptance of the construction contract for the Derby Grange Sanitary Sewer Extension Project, as completed by Connolly Construction in the final contract amount of$372,806.79, which is an increase of 14.48°k from the original contract amount of$325,638.00. Two items make up the majority of the increase in construction costs, they are; rock excavation and the additional granular backfill material required due to the additional rock removal. It is currently projected that the Rustic Point Housing Tax Increment Financing District will begin reimbursement of this expense beginning in Fiscal Year 2027. I concur with the recommendation and respectfully request Mayor and City Council approval. �� Mic ael C. Van Milligen �� MCVM:jh Attachment cc: Crenna Brumwell, City Attorney Teri Goodmann, Assistant City Manager Cori Burbach, Assistant City Manager Gus Psihoyos, City Engineer THE CITY OF Dubuque � DUB E �� r � i4 i �� Masterpiece on the 1'Vlississippi z�''z°'z ZOt.;�Z�� TO: Michael C. Van Milligen, City Manager ,_�_ FROM: Gus Psihoyos, City Engineer �>��,��l RE: Derby Grange Sanitary Sewer Extension Project (CIP 7102729) DATE: May 14, 2018 INTRODUCTION The enclosed resolution provides for the acceptance of the construction contract for the Derby Grange Sanitary Sewer Extension Project. BACKGROUND By Resolution 69-17 on February 20, 2017, City Council adopted a resolution of necessity, directing staff to create an Urban Renewal Plan (Plan) for the Derby Grange Road Housing Urban Renewal Area (Area), creating a tax increment finance district including the districts of Rustic Point Estates and Timber Ridge Estates. The Plan related to housing and residential development that was reviewed by the Long-Range Planning Advisory Commission on March 15, 2017. The City Council received the Long-Range Planning Advisory Commission recommendation affirming that the Plan is consistent with the City's Comprehensive Plan for development. The creation of the Derby Grange Housing Urban Renewal Area will allow for the use of tax increment to cover reimbursable costs associated with the installation of sanitary sewer infrastructure in the Area. DISCUSSIQ�N The Derby Grange Road sanitary sewer extension project extended gravity sanitary sewer from the existing Asbury Plaza Lift Station #2 to Rustic Point Subdivision located at the Northwest corner of Kennedy Road and Derby Grange Road. The project consists of 1,926.90 LF of 8" and 1,011 LF of 12" SDR-26 PVC pipe, 14 manholes, one creek crossing, one road crossing, tree removals, field fencing, and pasture re- establishment. In addition to serving the proposed Rustic Point Subdivision, the sanitary sewer extension is capable of serving 255 acres of undeveloped land adjacent to the sewer project. The project construction documents followed the Statewide Urban Design and Specifications 2017 (SUDAS) and City of Dubuque supplemental specifications 2017. The project was completed under the lowa Department of Natural Resources (IDNR) construction permit number 2018-0082S. Connolly Construction of Peosta, lowa, completed the project in the final contract amount of $372,806.79 which is an increase of 14.48% from the original contract amount of $325,638.00. Two items make up the majority of the increase in construction costs, they are; rock excavation and the additional granular backfill material required due to the additional rock removal. An additional 105 feet of sanitary sewer was installed by Pirc-Tobin (the Rustic Point contractor) for the final tie in of the Derby Grange sanitary sewer to the Rustic Point subdivision sewer. The final cost to lay these 105 feet of sanitary sewer was $16,590.00. RECOMMENDATION I recommend that the City Council accept the improvements and authorize the payment of the contract amount of $372,806.79 to Connolly Construction of Peosta, lowa, for the Derby Grange Sanitary Sewer Extension Project. BUDGETIMPACT The summary of cost for the Derby Grange Sanitary Sewer Extension is as follows: Description Estimate Award Final Construction Contract — Connolly Construction $ 605,656.93 $ 325,638.00 $372,806.79 Construction Contract— Pirc-Tobin 16,590.00 Contingency 60,565.69 60,565.69 0.00 Contract Admin / Construction Engineering & Inspection _ _99,933.39 99,933.39 79,298.37 Tree Removal & Pasture Rental Reimbursement 1,450.00 Easement Acquisition 60 169.76 60 169.76 60 169.76 Total Project Cost 826 25.78 46 306.84 530,314.92 FUNDING SOURCE The project funding summary is as follows: CIP Fundinq Source Amount� 71 Q2729 Derby Grange Sanitary Sewer Extension $ 926,836.00 Total Project Cost $ 530,314.92 *Remaining CIP Balance $396.521.08 2 *Remaining funding will be transferred to CIP No. 7101293 for sanitary sewer extensions related to future growth areas. This funding is intended for preliminary engineering costs related to SRF funding requirements and easement acquisition costs. Ultimately the City will recoup most of the expense from the Rustic Point Housing Tax Increment Finance District should development at Rustic Point proceed according to schedule. ACTION TO BE TAKEN I request that the City Council adopt the attached resolution accepting the construction improvements for the Derby Grange Sanitary Sewer Extension Project and establishing the final contract amount of$372,806.79, and for the payment of the final contract amount to Connolly Construction. cc: Jenny Larson, Budget Director Alexis Steger, Budget Analyst John Klostermann, Public Works Director Jean Nachtman, Finance Director Deron Muehring, Civil Engineer II Todd Irwin, Engineering Technician 3 RESOLUTION NO. 147-18 ACCEPTING THE DERBY GRANGE SANITARY SEWER EXTENSION PROJECT AND AUTHORIZING THE PAYMENT OF THE CONTRACT AMOUNT TO THE CONTRACTOR Whereas, the Derby Grange Sanitary Sewer Extension Project (the Project) has been completed and the City Engineer has examined the work and filed a certificate stating that the Project has been completed according to the terms of the Public Improvement Contract and that the City Engineer recommends that the Project be accepted; and NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. The recommendation of the City Engineer is approved, and the Project is hereby accepted. Section 2. The Finance Director is hereby directed to pay to the Contractor from the Derby Grange Sanitary Sewer Extension appropriation for the contract amount of $372,806.79 Tess any retained percentage provided for therein as provided in Iowa Code chapter 573, and to pay such retainage only in accordance with the provisions of Iowa Code chapter 573. Passed, approved and adopted this 21St day of May 2018. Attest: Ket4n S. FTrnstahi, C C, City Clerk D, Roy D. Buol, Mayor CITY ENGINEER'S CERTIFICATE OF FINAL COMPLETION OF THE DERBY ' GRANGE SANITARY SEWER EXTENSION PROJECT ; YH� u��i��i��ed Ci�y Engi��e�o��i�� Ci�y o� Gu�u�ue, Ic�w�, hereby cer�iTies that � he has inspected the Derby Grange Sanitary Sewer Extension Project, and that the � Project has been performed in compliance with the terms of the Public Improvement Contract, and that the total cost of the completed work is $530,314.92. � a � Dated this day of 2018. � i C �...-� �� `�- Gus Psihoyos, City Engineer `� I� Filed in the office of the City Clerk on the �7 day of 2018. i II . � � Kevin S. Firnstahl, City Clerk � �� il �� j � � � � � � d � � � I