HomeMy WebLinkAbout6.f. Utility Reimbursement Agreement between the City and University of MN 4 ROSEIvKI1LINT EXECUTIVE SUMMARY
CITY COUNCIL.
City Council Meeting: February 21, 2012
AGENDA ITEM: Utility Reimbursement Agreement AGENDA SECTION:
between the City and University of MN Consent
PREPARED BY: Kim Lindquist, Community Development AGENDA NO. (rf.
Director
ATTACHMENTS: - Reimbursement Agreement APPROVED BY:
RECOMMENDED ACTION: Motion to Approve Reimbursement Agreement for Utility
System Evaluation Between the City of Rosemount and the University of MN
ISSUE
Staff has been meeting with the University of the MN regarding development of the UMore property for
some time. One of the questions raised during the discussions is the capacity of the current in -place utility
system to service development without expansion of the service. WSB, the City's engineering consultant,
has submitted a scope of services for a utility system evaluation. WSB will continue to be a consultant to
the City, however, similar to other developers the cost of the study will be reimbursed by the University.
The attached agreement sets out the terms of the repayment. The City Attorney has reviewed the
document and finds it acceptable.
RECOMMENDATION
Recommend approval of the attached agreement for reimbursement of the Utility System Evaluation
Study for UMore properties.
•
REIMBURSEMENT AGREEMENT
FOR UTILITY SYSTEM EVALUATION
THIS REIMBURSEMENT AGREEMENT FOR UTILITY SYSTEM EVALUATION
(the "Agreement "), is entered into effective , 2012 ( "Effective Date "), by and
between Regents of the University of Minnesota (the "University ") and City of Rosemount (the
" City "
RECITALS
WHEREAS, the University owns approximately 5,000 acres of land commonly known
as UMore Park within the City and Empire Township; and
WHEREAS, the University's Board of Regents approved a concept master plan for
UMore Park for the residential, commercial, industrial, institutional and recreational
development of UMore Park; and
WHEREAS, the City desires to complete an evaluation w
co uation of the water and sanitary Y p Y sewer
systems' capacity to serve the proposed development of UMore Park;
WHEREAS, the University seeks additional information regarding such systems and
their impact on phasing of development in UMore Park;
WHEREAS, the University has agreed to reimburse the City for certain fees and costs
the City is required to pay in connection with the evaluation of such systems; and
WHEREAS, the University and the City desire to enter into this Agreement to
memorialize the specifics of the allocation of responsibilities and the University's commitment
regarding its reimbursement of certain of the City's expenses related to the evaluation of the
water and sanitary sewer systems.
NOW, THEREFORE, in consideration of the mutual obligations of the parties
contained herein, it is agreed by the parties as follows:
AGREEMENT
1. Term of Agreement. The term ( "Term ") of this Agreement shall commence on
the Effective Date and continue until the earlier of (i) the date WSB completes the Work, both as
defined in Section 2, and (ii) , 2012.
2. Water and Sanitary Sewer System Review.
a. The City has retained WSB & Associates, Inc. ( "WSB ") to perform an evaluation
of the water and sanitary sewer systems' capacity to serve the proposed development of
UMore Park as described in the work plan and schedule set forth in the letter dated
515486
December 22, 2011, which is attached to this Agreement as Exhibit A. The services to be
provided by WSB pursuant to said letter will be referred to herein as the "Work ". The
City has approved the work plan and schedule. The University agrees that the work plan
and schedule are acceptable. The University is responsible for fees charged by WSB as
provided in Section 3, below.
b. Schedule. The City will use its best efforts to complete the Work in accordance
with the schedule attached in Exhibit A.
c. Cooperation; Consultation with University. The City and the University intend to
work cooperatively to economically and efficiently complete the Work. The City will
regularly (at least weekly) consult with the University regarding the progress of the
Work, will give the University prior written notice of any meetings between City staff
and WSB, and will use its best efforts to accommodate any requests made by the
University related to the Work.
d. Additional Development Phasing Scenarios. The City will not request that WSB
evaluate any additional development phasing scenarios without the University's prior
written consent.
3. Reimbursement Obligation. The parties to this Agreement are both accountable
to the public for their expenditures and, accordingly, the City will prudently manage the Work so
as to assure that the costs borne by the University are reasonable. The University agrees, within
thirty (30) days of its receipt of the Invoice (as defined in Section 4 below), to reimburse the
City for the - reasonable out -of- pocket costs and expenses that the City pays to WSB for the Work
(the "Reimbursable Costs "). , The parties agree that in no case shall the Reimbursable Costs
exceed $23,846.00. If this Agreement is terminated by mutual agreement of the parties, the
University agrees that it shall reimburse the City for the Reimbursable Costs the City has
incurred for services rendered by WSB on or before the termination date.
4. Invoicing. The City agrees to provide the University, within thirty (30) days
following completion of the Work, a detailed written invoice and supporting documentation from
WSB identifying the Reimbursable Costs that the City incurred (the "Invoice "). Within fifteen
(15) days of its receipt of the Invoice, the University may request, in writing, that the City
furnish additional information to explain or substantiate any of the costsfor which the City seeks
reimbursement.
5. Estimate. The University and City agree that the estimate of $23,846 provided
by WSB in 'Exhibit A for administration, coordination, project management, and technical
analysis in connection with the Work is reasonable and that the University's obligation to
reimburse the City will not exceed the estimate. However, the University acknowledges that the
estimate is based on information available as of the time it was provided and that neither the City
nor its consultant has guaranteed that the Work can be completed for the amount or within the
timeframe set forth in Exhibit A. The City agrees that it will use its best efforts to manage the
Work of WSB so as to keep Reimbursable Costs for the Work within the estimate. The City will
immediately notify the University in writing when it becomes aware that the estimate will or is
likely to be exceeded, and will provide revised estimate and a detailed explanation of the basis
for the change with such notification. The City and the University shall negotiate in good faith
regarding any increase in Reimbursable Costs over the estimate.
6. Independent Contractors. The parties agree that each party is solely responsible
for payment of all wages, benefits, taxes, and insurance on behalf of its employees, contractors
or agents relating to the Work. Nothing contained in this Agreement can or shall be interpreted
as creating an employee relationship between the parties and no employee or contractor of either
party shall be considered an employee or contractor of the other party.
7. Merger; Counterparts. The entire Agreement between the parties is contained
here and this Agreement supersedes all oral agreements and negotiations between the parties
relating to the subject matter. This Agreement may be executed in any number of counterparts,
each of which shall be deemed an original, but all o f which shall constitute one and the same
instrument.
8. Modification. This Agreement may be modified or amended only in writing and
upon signatures by the parties.
9. Severability. The provisions of this Agreement are deemed severable! If any part
of this Agreement is rendered void, invalid, or unenforceable, such finding shall have no effect
on any other portion of this Agreement.
10. Headings and Captions. The headings and captions contained in this Agreement
are for convenience only and are not intended to alter any of the provisions of this Agreement.
11. Controlling Law. The laws of the State of Minnesota shall govern all questions
and interpretations concerning the validity and construction of this agreement and the legal
relations between the parties and performance under it.
12. Third Parties. This Agreement is between the University and the City as the only
parties and no provision of this Agreement shall in anyway inure to the benefit of any third
person (including the public at large) so as to constitute any such person as a third party
beneficiary of the Agreement or of anyone or more of the terms hereof, or otherwise give rise to
any cause of action in any person not a party hereto.
Date: , 2012 REGENTS OF THE
THE UNIVERSITY OF MINNESOTA
By:
Its:
F
Date:. , 2012 CITY OF ROSEMOUNT
By:
Its:
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EXHIBIT A
WSB
vv„, Engineering •Planning Environmental ■ Construction 701 Xenia Avenue South
Suite 300
Minneapolis, MN 55416
Tel: 763441 .4800
Fax: 763441.1700
December 22, 2011
Ms. Kim Lindquist
Community Development Director
City of Rosemount
2875 145 Street West
Rosemount, MN 55068
Re: Proposal and Estimate of Fee to Provide Professional Engineering Services for
UMore Development Utilities Evaluation
City of Rosemount, MN
Dear Ms. Lindquist:
WSB &Associates, Inc. (WSB) is pleased to present this proposal to the City of Rosemount to
provide professional engineering services as they relate to an evaluation of the sanitary sewer and
water system (utilities) necessary to serve the development of the UMore area.
PROJECT UNDERSTANDING
The UMore area is shown on the attached map supplied by the University of Minnesota. Several
locations within the UMore may develop into a variety of land uses including low to high density
residential, retail, commercial, office, business park, and light industrial. The City is concerned
about the impact to the existing, water and sanitary sewer systems (utilities) and how the properties
would be served as they develop. The University is concerned with developing the UMore area in
the most cost - effective manner possible based on impacts to existing utilities
Therefore, the City would like to complete an evaluation of the water and sanitary sewer systems'
capacity to serve the proposed development and develop a plan for utility service to the proposed
development. The University has not yet defined how development within UMore would be phased,
but would like to determine the most cost - effective phasing of development based on providing
utility service: The development areas shown on the attached map (Area 1, Area 2, etc) are not
planned to develop in any particular order.
Based on the goals of the City and the University, this study will be an iterative effort and may
include evaluation of many different development phasing scenarios. It is difficult to define all of the
development phasing scenarios to be evaluated at this time because they are dependent on many
factors. Therefore, several initial development phasing scenarios will be evaluated, and based, on the
results, it may be desired to evaluate additional development phasing scenarios.
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Ms. Kim Lindquist, Community Development Director
December 22, 2011
Page '2
The initial development phasing evaluations will assume that properties would generally develop
from north to south, due to the desire to develop closest to transportation route. Therefore, seven (7)
initial development phasing scenarios will be evaluated consisting of:
• Areal
• Area 2
• Area 5
• Areas 1 and 2 together
• Areas 1 and 5 together
• Areas 2 and 5 together
• Areas 1, 2, and 5 together
As discussed previously, the goal of the University is to determine the most cost - effective phasing of
development. Since only a certain land area can be developed within each development area without
major utility improvements, the study will identity the point at which major utility improvements will
be necessary in each development scenario. For example, it may be possible to develop all of Area 5
by extending water and sewer to the area. However, in Area 1 duly the north half may be
developable by extending water and sewer to the site Development in the south half of Area 1
would require construction of a lift station. Utility system improvements necessary for serving each
development area will be determined in relation to the City's Comprehensive Water System Plan
(CWP) and Comprehensive Sanitary Sewer System Plan (CSSP).
The final deliverable for the project will be a report providing descriptions and drawings of utility
improvements necessary and estimated costs of improvements in each development phasing scenario.
If additional development phasing scenarios are evaluated, the results will be incorporated into the
study.
The initial development phasing evaluations included in the project scope are defined below. If
additional development phasing scenario evaluations are necessary, additional fees for that analysis
will be negotiated at that time An estimate of cost to complete the study assuming only the initial
development phasing scenarios are evaluated is included in the following sections. Also included in
the following sections is an estimate of cost to complete evaluations of additional development
} phasing, scenarios.
PROJECT APPROACH/SCOPE OF SERVICES
WSB's project scope and proposed work plan is based on our understanding of the project and
experience on similar projects. The following are the major tasks that will be performed in preparing
the Utilities Evaluation.
Available Information and Assumptions
The proposed development plan, including phasing, is shown on the attached map. Water demands
and sanitary sewer flow generation estimates will be made based on the planned number of units and
developable areas.
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Ms. Kim Lindquist, Community Development Director -
December 22, 2011
Page 3
The proposed development plan provided by the University of Minnesota, which is attached, will be
the basis of the analysis. As detailed in the project understanding, initial development phasing
scenarios will be evaluated, results discussed with the University and the City, and then WSB, will be
directed to complete the report or complete additional evaluations. The City will provide WSB with
a direction on additional analysis.
'City Tasks
In, order to complete our tasks, we will need the City to provide the following:
• A designated project contact person
• Proposed land use map including development phasing (attached)
• Recent water system demand data
Task 1: Project Management and Coordination
Project management is :a key task included in each project undertaken by WSB. This task consists of
management, project coordination, and communication with the City of Rosemount on the project.
Proper completion of this task will help keep all affected parties routinely updated and informed
regarding project issues as well as keeping the project on schedule and within budget. The proposed
work plan will include two (2) meetings with City staff and will include the following:
• Meeting to discuss preliminary system evaluation results and necessary improvements
• Meeting to review draft report
Task 2: Water System Evaluation
Task 11 Collect updated water system demand data from City staff for the past five years
including average demands and maximum -day demand. WSB already has some of this
information.
Task 2.2: Review and update existing water system model based on updated water demand data.
Verify there are no existing water system deficiencies based on the updated existing water system
model.
Task 2.3: Develop water demand projections for each area of development.
Task 2.4: Determine water system capacity to serve the UMore development and system
improvements necessary to serve each initial development phasing scenario using the City's
WaterCAD model. Seven (7) initial development phasing scenarios will be evaluated as detailed
in the project understanding.
Task 2.5: Verify proposed development and resulting water demands are in conformance' with
the City's CWP and determine if additional changes will be necessary to the City's CWP.
Should an update to the CWP be necessary as a result of the proposed development plan, the
update would be completed as part of a separate project.
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Ms. Kim Lindquist, Community Development Director
December 22, 2011
Page 4
Task 3: Sanitary Sewer System Evaluation
Task 3.1: 'Collect MCES flow data to verify existing system wastewater flows. The proposed
development is located in three different sewer districts (southwest, southwest central, and south
central) all of which would connect Metropolitan Council Environmental Services (MCES)
interceptor sewers. The sewer districts in which development is proposed are currently
undeveloped.
Task 3.2: Develop wastewater flow projections for each area of development.
Task 3.3: Review existing topography and determine how each initial 'development phasing
scenario would be served based on existing sanitary sewer elevations and existing ground
elevations.
Task 3.4: Determine' sanitary sewer system capacity to serve the UMore development and system
improvements necessary to serve each initial development phasing scenario using the City's
SewerCAD model. Seven (7) initial development phasing scenarios will be evaluated as detailed
in the project understanding.
Task 3.5: Evaluate and estimate operation and maintenance' costs for installation of temporary lift
station to serve the east hases of development in the south central district. The CSSP plans for
P P
the wastewater flow from this district to ultimately flow north across CR 42; however, a lift
station' could be utilized until property north of CR 42 develops.
Task 3.6: Verify proposed development and resulting wastewater flows are in conformance with
the City's CSSP and determine if additional changes will be necessary to the City's. CSSP.
Should an update to the CSSP be necessary as a result of the proposed development plan, the
update would be completed as part of a separate project.
Task, 4: Cost Estimates and Report
Task 4.1: Prepare construction cost estimates for each phase development based on
improvements necessary to serve each phase of development
Task 4.2 Prepare a draft report incorporating findings and review with City staff
Task 4.3: Finalize report based on City staff comments and provide copies to the City'. The final
report will include a brief description of the analysis completed, assumptions, cost estimates, but
mainly consist of figures summarizing necessary improvements..
FEE
WSB & Associates, Inc. will complete the proposed work plan as proposed herein on an hourly basis
for an estimated fee of $23,846.
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Ms Kim Lindquist, Community Development Director
December 22, 2011
Page 5
As discussed previously :the estimated fee includes evaluation of seven (7) development phasing
scenarios and the need for additional phasing scenario evaluations will be discussed following .
completion of the initial development phasing scenarios. Since the scope of additional development
phasing evaluations is unknown at this time, they will be billed on an hourly basis. Assuming the
scope of additional development phasing scenarios will be similar to the seven (7) initial
development phasing scenarios, it is estimated that evaluation of each additional development
phasing scenario could be completed for an estimated fee of $4,500: The scope of additional
development phasing scenario evaluation will have to be negotiated at that time since it cannot be
defined until after the initial developmentphasing scenarios are completed:
The hourly breakdown by task for each employee class proposed for the project is located on the
attached spreadsheet. The proposed fee is based on our 2012 rate schedule.
SCHEDULE
WSB will complete the project within eight (8) weeks of receipt of a written authorization.
This represents our total understanding of the project and proposed scope of services. If you are in
agreement with the scope of services, please have the City block of this letter signed and return a
copy to WSB. Our receipt of an executed copy will be WS B's authorization to proceed. Should the
City request additional services outside of the above scope of services, we will work with you to
establish a revised scope and fee. Please contact me at your convenience at 763 -541 -4800 if you
have any questions or concerns relating to this proposal as presented. We appreciate the opportunity
to assist you and your staff with the completion of the UMore Development Utilities Evaluation.
Sincerely,
WSB & Associates, Inc.
Nancy Zeigler, PE Joseph C. Ward, PE
Associate' Project Engineer
Enclosures
ACCEPTED BY:
City of Rosemount
Name
Title
Date
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A l Estimate of Coet
WSB City of Rosemount Minneeots
Professional Services to Complete
!. Umore Development UIIMiee Evaluation I
Estimated hours
Task Description N Zeigler K. Newman J.Ward B. Pittman S. Buckley Total hours Total labor cost
No.
1 prdj8�tmariagaa�e�tandtwcrdltattrpi ,,. s �
1.1 Project management 10 10 3 23 $ 2,456.00
.,.,_ t z ...., ,.. r .„,
2 Y #tm%Sys1,,,6„de:Eiattuat{a11"
2.1 Collect updated water system demand data 2 2 .:._ $ 198.00
2.2. Review and update existing water system model - 1 6 7 $ 722.00 j
23 Develop water demand projections 1 4 5 $ 524.00
2.5 Model proposed development and determine necessary system improvements 4 28 32 $ 3,284.00
2.6 Verify conformance to CWP and Identify any updates necessary 1 2 3 $ 326.00
s $s - stasis tv tray �.
3.1 Collect and review MCES flow data 2 4 2 $ 198.00
3.2 Develop wastewater flow projectaiona 4 4 $ 396.00
3.3 Identify proposed sewer locations based on existing topography and flows 1 8 9 $ 913.00
3.4 Model proposed development and determine necessary system improvements 2 16 18 $ 1,826.00
3.5 Evaluate temporary lift station alternative for serving east areas 2 8 10 $ 1,034.00
3.6 Verify confornance to CSSP and Identify any updates necessary 1 2 3 $ 319.00
4 ry>
� Crhrt t�t19f1tteapndt'r� �. 3 n
4.1 Prepare cost estimates for each development phase • 2 2 12 16 $ 1,686.00
4.2 Prepare draft report 2 -:2 20 40 6 70 $ 6,010.00
4.3 Finalize report based on City staff comments ', 2 2 12 24 6 46 $ 3,954.00
Total fours 23 12 136 64 15 250
I
Hourly billing rate $ 128.00 $ 121.00 $ 99.00 $ 7900 $ 62 00 (Total direct labor costa $ 2,944.00 $ 1,452.00 $ 13,464.00 $ 5,05600 $ 930.00 $ 23,848.00)
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