HomeMy WebLinkAbout6.f. Payment 2 & Final – Wells 4 and 5 Sealing and Chippendale Observation Well, Engineering Project 181I:\City Clerk\Agenda Items\Approved Items\6.h. Payment 2 & Final – Wells 4 and 5 Sealing and Chippendale Observation Well,
Engineering Project 181.docx
EXECUTIVE SUMMARY
City Council Meeting: October 18, 2016
AGENDA ITEM: Payment 2 & Final – Wells 4 and 5
Sealing and Chippendale Observation
Well, Engineering Project 181
AGENDA SECTION:
Consent
PREPARED BY: Mitch Hatcher, Project Engineer AGENDA NO. 6.f.
ATTACHMENTS: Payment Vouchers APPROVED BY: ddj
RECOMMENDED ACTION: Motion to Approve Payment 2 & Final to Keys Well Drilling
Company for the Wells 4 and 5 Sealing and Chippendale Observation Well, Engineering
Project 181 and Accepting it for Perpetual Maintenance
BACKGROUND:
This item is on the agenda to request Payment 2 & Final to Keys Well Drilling Company for the Wells 4
and 5 Sealing and Chippendale Observation Well, Engineering Project 181.
Well #4
At the November 17, 2015 City Council meeting, it was recommended only a portion of the original bid
be awarded, which included the work for Well #4. Well #4 was initially cleaned out and in working with
the Minnesota Department of Health (MDH) and Department of Natural Resources (DNR), it was
determined that Well #4 could be converted to an observation well, instead of sealing Well #4 and
constructing a new observation well. With that comes a significant cost savings. Keys Well Drilling
completed this work in September.
Well #5
As recommended at the November 17, 2015 City Council meeting, the Well #5 portion of the project, was
not awarded and further investigation would be completed. At this time, Well #5 has been investigated,
and as directed by MDH, the well has been drilled out, ready for proper sealing in the future when
additional grant funding is available.
The original bid for the project included:
Well #4 Abandonment $39,250.00
Well #5 Abandonment $130,500.00
Observation Well $48,460.00
Total $218,210.00
To date the following work has been completed:
Well #4 cleanout and conversion to observation well $51,695.00
Well #5 investigation and drilling $16,937.50
Total $68,632.50
2
Originally the project was awarded $64,000 in grant funding; $50,000 from a MDH well sealing grant,
$4,000 from a Dakota County well sealing grant, and $10,000 from a MDH source water protection grant.
To date, $8,468.75 (50% of the Well #5 total) of the $50,000 was used for the investigation and drilling
work associated with Well #5. This grant is specifically for work related to sealing wells, so the funding is
not available for the Well #4 work, since it was converted to an observation well, not sealed. This grant
funding expired in July this year. The $10,000 from the MDH has been used for the work to determine if
Well #4 could be converted to an observation well. The $4,000 from Dakota County will not be used,
since it is intended for sealing wells. It is anticipated this can be used to seal Well # 5 in the future. All
remaining balances for the project will be funded from the Water Utility Fund. The grant funding that was
not used can be reapplied for in the future to be used for Well #5 and other future projects.
SUMMARY:
Staff recommends that Council approve Payment 2 & Final for the Wells 4 and 5 Sealing and Chippendale
Observation Well, Engineering Project 181 and accept the project for perpetual maintenance subject to the
following conditions.
1. Satisfactorily showing that the contractor has complied with the provisions of Minnesota Statutes
290.92 requiring withholding state income tax.
2. Evidence in the form of an affidavit that all claims against the contractor by reasons of the
contract have been fully paid or satisfactorily secured.
3. Consent of Surety to Final Payment certification from the contractor’s surety.