HomeMy WebLinkAboutItem 06.j
Date: May 1, 2017 Item No.
APPROVAL OF A CONTRACT FOR THE ABATEMENT AND DEMOLITION OF
STRUCTURES AT 9649 202ND STREET WEST AND 17395 KENWOOD TRAIL WITH
BLUE EARTH ENVIRONMENTAL COMPANY, INC.
Proposed Action
Staff recommends adoption of the following motion: Move to approve a contact for the
abatement and demolition of structures at 9649 202nd Street West and 17395 Kenwood Trail
with Blue Earth Environmental Company, Inc.
Overview
Abatement and demolition is planned for the structure at 9649 202nd Street West, adjacent to
Antlers Park, and 17395 Kenwood Trail, at the intersection of Kenwood Trail with Interstate 35.
Removal of the structure eliminates potential health and safety hazards and the City’s need to
maintain the property.
Demolition includes removal of the building and any other structures on the site. The
contractor will remove all debris, clear and grub trees as necessary, and remove all identified
hazardous materials. The contactor will also back fill all excavations to bring the site to grade
and stabilize and restore the site.
Proposals for the abatement and demolition were received from five contractors in a range
from $65,000.00 to $193,575.00. Blue Earth Environmental Company, Inc. provided the lowest
proposal for this project.
Staff has reviewed the proposals and supporting documentation and recommends approval.
Primary Issues to Consider
• Why is demolition necessary? Demolition removes potential health and safety hazards
and eliminates the need for the City to maintain the structures.
Supporting Information
• Copies of the letter of recommendation from WSB & Associates, Inc., the tabulation of
proposals, and the contract with Blue Earth Environmental Company, Inc. are attached
Financial Impact: $65,000.00 Budgeted: Yes Source: Multiple Funding Sources
Related Documents (CIP, ERP, etc.):
Envision Lakeville Community Values: Good Value for Public Services, Safety Throughout the Community
Report Completed by: Chris Petree, Public Works Director
Building a legacy – your legacy. 701 Xenia Avenue South
Suite 300
Minneapolis, MN 55416
Tel: 763-541-4800
Fax: 763-541-1700
Equal Opportunity Employer
wsbeng.com
April 20, 2017
Mr. Christopher Petree
Public Works Director
City of Lakeville
18400 Ipava Avenue
Lakeville, MN 55044
Re: Letter of Recommendation
Abatement and Demolition
9649 202nd Street West & 17395 Kenwood Trail
Lakeville, Minnesota
WSB Project No. 3199-370/380
Dear Mr. Petree:
Bids were received for the above-referenced project on April 17, 2017. A total of five bids were received
and checked for specified criteria, mathematical accuracy, and tabulated. Please find enclosed the bid
tabulation summarizing the results.
The low bid for the 9649 202nd Street West and 17395 Kenwood Trail project was submitted by Blue
Earth Environmental Company, Inc. of Mankato, Minnesota in the amount of $65,000. WSB recommends
that the City Council consider these bids and award the contract to Blue Earth Environmental Company,
Inc.
Sincerely,
WSB & Associates, Inc.
Ryan Spencer
Senior Environmental Scientist
Enclosure
Bid Tabulation Summary
cc: Stewart Carlton, Blue Earth Environmental Company, Inc.
Page 1 of 1
Bidders List
Project: Abatement and Demolition
Address: 9649 202nd Street West & 17395 Kenwood
Trail, Lakeville, MN
Bid Date: 4/17/17
Bid Time: 11:00 AM
Owner: City of Lakeville
WSB Project Manager: Ryan Spencer
Contractor
Statement of
Qualification /
References
Proof of
Insurance
Bid Bond
(5%)
Responsible
Contractor
Form
Addendum
No.1
Present at
Bid Walk
(4/10/17)
Total Schedule A
(9649 202nd
Street West)
Total Schedule B
(17395 Kenwood
Trail)
Grand Total (A + B)
Blue Earth Environmental Company
Inc.x x x x x x $ 32,500.00 $ 32,500.00 $ 65,000.00
Lloyds's Contruction Services, Inc.x x x x x x $ 32,600.00 $ 51,800.00 $ 84,400.00
Carl Bolander & Sons Company x x x x x $ 45,621.00 $ 79,308.00 $ 124,929.00
Bollig & Sons Inc.x x x x $ 47,762.00 $ 88,847.00 $ 136,609.00
Veit x x x x x x $ 75,115.00 $ 118,460.00 $ 193,575.00
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192327v1
CONTRACT FOR SERVICES
THIS CONTRACT FOR SERVICES made this 1st day of May 2017, by and between the
CITY OF LAKEVILLE, a Minnesota municipal corporation (“Owner” or “City”) and Blue Earth
Environmental Company, a Minnesota corporation (“Contractor”). Owner and Contractor, in
consideration of the mutual covenants set forth herein, agree as follows:
1. CONTRACT DOCUMENTS. The following documents shall be referred to as
the “Contract Documents”, all of which shall be taken together as a whole as the contract
between the parties as if they were set verbatim and in full herein:
A. This Contract for Services
B. Specifications for 9649 202nd Street West & 17395 Kenwood Trail, dated
March 31, 2017, and prepared by WSB & Associates, Inc.
C. Contractor’s Bid
In the event of a conflict among the provisions of the Contract Documents, the order in which
they are listed above shall control in resolving any such conflicts with Contract Document “A”
having the first priority and Contract Document “C” having the last priority.
2. OBLIGATIONS OF THE CONTRACTOR. The Contractor shall provide the
goods, services, and perform the work in accordance with the Contract Documents.
3. CONTRACT PRICE. Owner shall pay Contractor for completion of the Work, in
accordance with the Contract $65,000, inclusive of taxes, if any.
4. PAYMENT PROCEDURES.
A. Contractor shall submit Applications for Payment. Applications for
Payment will be processed by the Consulting Engineer prior to review and
payment.
B. Progress Payments; Retainage. Owner shall make 95% progress payments
on account of the Contract Price on the basis of Contractor’s Applications
for Payment during performance of the Work.
C. Payments to Subcontractors.
(1) Prompt Payment to Subcontractors. Pursuant to Minn. Stat.
§ 471.25, Subd. 4a, the Contractor must pay any subcontractor
within ten (10) days of the Contractor’s receipt of payment from
the City for undisputed services provided by the subcontractor.
The Contractor must pay interest of 1½ percent per month or any
part of a month to the subcontractor on any undisputed amount not
paid on time to the subcontractor. The minimum monthly interest
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penalty payment for an unpaid balance of $100.00 or more is
$10.00. For an unpaid balance of less than $100.00, the Contractor
shall pay the actual penalty due to the subcontractor.
(2) Form IC-134 (attached) required from general contractor. Minn.
Stat. § 290.92 requires that the City of Lakeville obtain a
Withholding Affidavit for Contractors, Form IC-134, before
making final payments to Contractors. This form needs to be
submitted by the Contractor to the Minnesota Department of
Revenue for approval.
The form is used to receive certification from the state that the
vendor has complied with the requirement to withhold and remit
state withholding taxes for employee salaries paid.
D. Final Payment. Upon final completion of the Work, Owner shall pay the
remainder of the Contract Price as recommended by the Public Works
Director.
5. COMPLETION DATE. The Work must be completed by June 15, 2017.
6. CONTRACTOR’S REPRESENTATIONS.
A. Contractor has examined and carefully studied the Contract Documents
and other related data identified in the Contract Documents.
B. Contractor has visited the Site and become familiar with and is satisfied as
to the general, local, and Site conditions that may affect cost, progress, and
performance of the Work.
C. Contractor is familiar with and is satisfied as to all federal, state, and local
laws and regulations that may affect cost, progress, and performance of
the Work.
D. Contractor has carefully studied all: (1) reports of explorations and tests
of subsurface conditions at or contiguous to the Site and all drawings of
physical conditions in or relating to existing surface or subsurface
structures at or contiguous to the Site (except Underground Facilities)
which have been identified in the General Conditions and (2) reports and
drawings of a Hazardous Environmental Condition, if any, at the site.
E. Contractor has obtained and carefully studied (or assumes responsibility
for doing so) all additional or supplementary examinations, investigations,
explorations, tests, studies, and data concerning conditions (surface,
subsurface, and Underground Facilities) at or contiguous to the Site which
may affect cost, progress, or performance of the Work or which relate to
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any aspect of the means, methods, techniques, sequences, and procedures
of construction to be employed by Contractor, including any specific
means, methods, techniques, sequences, and procedures of construction
expressly required by the Bidding Documents, and safety precautions and
programs incident thereto.
F. Contractor does not consider that any further examinations, investigations,
explorations, tests, studies, or data are necessary for the performance of
the Work at the Contract Price, within the Contract Times, and in
accordance with the other terms and conditions of the Contract
Documents.
G. Contractor is aware of the general nature of work to be performed by
Owner and others at the Site that relates to the Work as indicated in the
Contract Documents.
H. Contractor has correlated the information known to Contractor,
information and observations obtained from visits to the Site, reports and
drawings identified in the Contract Documents, and all additional
examinations, investigations, explorations, tests, studies, and data with the
Contract Documents.
I. The Contract Documents are generally sufficient to indicate and convey
understanding of all terms and conditions for performance and furnishing
of the Work.
J. Subcontracts:
(1) Unless otherwise specified in the Contract Documents, the
Contractor shall, upon receipt of the executed Contract Documents,
submit in writing to the Owner the names of the Subcontractors
proposed for the work. Subcontractors may not be changed except
at the request or with the consent of the Owner.
(2) The Contractor is responsible to the Owner for the acts and
omissions of the Contractor's subcontractors, and of their direct
and indirect employees, to the same extent as the Contractor is
responsible for the acts and omissions of the Contractor's
employees.
(3) The Contract Documents shall not be construed as creating any
contractual relation between the Owner and any subcontractor.
(4) The Contractor shall bind every subcontractor by the terms of the
Contract Documents.
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7. INSURANCE. Prior to commencing work on the Contract, the Contractor shall
furnish the City a certificate of insurance. The Contractor shall furnish and maintain during the
project such public liability and property damage insurance as shall protect Contractor and any
subcontractors performing work covered by the Contract from claims for damages by Workers
Compensation Statute, and from claims for property damages or personal injury which may arise
from operations under this Contract, whether such operations are by Contractor or by any
subcontractor or anyone directly or indirectly employed by either of them and the amounts of
insurance shall be as follows:
Worker’s Compensation
Employer’s Liability
Bodily Injury by Disease per employee - $500,000
Bodily Injury by Disease aggregate - $500,000
Bodily Injury by Accident - $500,000
Commercial General Liability: $2,000,000 per occurrence
$2,000,000 annual aggregate
$2,000,000 annual aggregate – Products/
Completed Operations
Commercial Automobile Liability: $2,000,000 per occurrence combined single limit
for bodily injury and property damage
Contractual Liability (identifying the contract):
Bodily Injury: $2,000,000 each occurrence
Property Damage: $2,000,000 each occurrence
$2,000,000 aggregate
Pollution Liability
Bodily Injury: $2,000,000 each occurrence
Property Damage: $2,000,000 each occurrence
$2,000,000 aggregate
Excess/Umbrella Liability: $2,000,000 each occurrence/aggregate
All insurance policies (or riders) required by this Agreement shall be
(i) Taken out by the Contractor and maintained with responsible insurance
companies organized under the laws of one of the states of the United States and
qualified to do business in the State of Minnesota,
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(ii) Shall contain a provision that the insurer shall not cancel or revise coverage
thereunder without giving written notice to Contractor as an insured party and to
City as an additional insured at least thirty (30) days before cancellation or
revision becomes effective,
(iii) Shall name Contractor as an insured party and City as an additional insured with
respect to General Liability, Auto Liability, and umbrella policies on a primary
and non-contributory basis,
(iv) Shall be in accordance with specifications approved by the insurance advisory for
City, and
(v) Shall be evidenced by a Certificate of Insurance acceptable to the City as
evidence of the insurance coverage requirements including copies of the actual
policy endorsements naming the City as an “additional insured”, “ primary and
non-contributory” requirements, terms and conditions regarding “completed
operations liability”. Certificates of Insurance that do not meet these requirements
will not be accepted.
An Umbrella or Excess Liability insurance policy may be used to supplement the Contractor’s
policy limits on a follow-form basis to satisfy the full policy limits required by the Contract.
The City reserves the right to immediately terminate the contract if the Contractor is not in
compliance with the insurance requirements and retains all rights to pursue any legal remedies
against the contractor.
All insurance policies must be open to inspection by the City, and copies of policies must be
submitted to the City’s authorized representative upon written request.
8. INDEMNITY. The Contractor agrees to indemnify and hold the City harmless
from any claim made by third parties as a result of the services performed by it. In addition, the
Contractor shall reimburse the City for any cost of reasonable attorney’s fees it may incur as a
result of any such claims.
9. PERFORMANCE AND PAYMENT BONDS. Performance and Payment bonds
each in amounts equal to 100 percent of the contact price will be delivered to the City prior to the
commencement of work on this project.
10. MISCELLANEOUS.
A. Owner and Contractor each binds itself, its partners, successors, assigns
and legal representatives to the other party hereto, its partners, successors,
assigns and legal representatives in respect to all covenants, agreements,
and obligations contained in the Contract Documents.
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B. Any provision or part of the Contract Documents held to be void or
unenforceable under any law or regulation shall be deemed stricken, and
all remaining provisions shall continue to be valid and binding upon
Owner and Contractor, who agree that the Contract Documents shall be
reformed to replace such stricken provision or part thereof with a valid and
enforceable provision that comes as close as possible to expressing the
intention of the stricken provisions.
C. Data Practices/Records.
(1) All data created, collected, received, maintained or disseminated
for any purpose in the course of this Contract is governed by the
Minnesota Government Data Practices Act, Minn. Stat. Ch. 13, any
other applicable state statute, or any state rules adopted to
implement the act, as well as federal regulations on data privacy.
(2) All books, records, documents and accounting procedures and
practices to the Contractor and its subcontractors, if any, relative to
this Contract are subject to examination by the City.
D. Assignment. Neither party may assign, sublet, or transfer any interest or
obligation in this Contract without the prior written consent of the other
party, and then only upon such terms and conditions as both parties may
agree to and set forth in writing.
E. Waiver. In the particular event that either party shall at any time or times
waive any breach of this Contract by the other, such waiver shall not
constitute a waiver of any other or any succeeding breach of this Contract
by either party, whether of the same or any other covenant, condition or
obligation.
F. Governing Law/Venue. The laws of the State of Minnesota govern the
interpretation of this Contract. In the event of litigation, the exclusive
venue shall be in the District Court of the State of Minnesota for Dakota
County.
G. Severability. If any provision, term or condition of this Contract is found
to be or become unenforceable or invalid, it shall not affect the remaining
provisions, terms and conditions of this Contract, unless such invalid or
unenforceable provision, term or condition renders this Contract
impossible to perform. Such remaining terms and conditions of the
Contract shall continue in full force and effect and shall continue to
operate as the parties’ entire contract.
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H. Entire Agreement. This Contract represents the entire agreement of the
parties and is a final, complete and all-inclusive statement of the terms
thereof, and supersedes and terminates any prior agreement(s),
understandings or written or verbal representations made between the
parties with respect thereto.
I. Permits and Licenses. The Contractor shall obtain all permits and give all
notices necessary and incidental to the completion of the Project.
J. If the work is delayed or the sequencing of work is altered because of the
action or inaction of the Owner, the Contractor shall be allowed a time
extension to complete the work but shall not be entitled to any other
compensation.
OWNER:
CITY OF LAKEVILLE
CONTRACTOR:
BLUE EARTH ENVIRONMENTAL
COMPANY
BY: BY:
Douglas P. Anderson, Mayor
AND
ITS:
Charlene Friedges, City Clerk