5.3. ERMUSR 06-10-2003 - Laserfiche WebLink

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AiH Howard R. Green Company May 19, 2003 File: 818980J-0060 Mr. Bryan Adams General Manager Elk River Municipal Utilities 322 King Avenue Elk River, MN 55330 RE: 2003 PAVEMENT REHABILITATION IMPROVEMENT WATERMAIN COSTS Dear Mr. Adams: Attached is a copy of the final bid tabulation for the 2003 Street Rehabilitation project. As you can see from this bid tabulation, Barbarossa & Sons, Inc., was the low bidder on the project in the amount of $1,093,249.20. The watermain portion of the project has been broken out in individual schedules by street. The total construction cost for these five different streets is $252,649.00. As we discussed at our meeting on December 5, 2002, we have also calculated a percentage of mobilization for the watermain construction. The total mobilization bid was $28,000.00. The watermain construction resulted in 23.72 percent of the total construction costs. Therefore, the additional charge for mobilization is $6,641.60 for a total construction cost of$259,290.60. Engineering costs to date, as a percentage of construction, were just over 10 percent. Therefore, we are including 10 percent engineering in the amount of $25,929.06 for a total construction cost and engineering through the bidding stage of$285,219.66. At the meeting between you, Pat Klaers, Lori Johnson and me on December 5, 2002, you indicated that you would prefer that construction staking, inspection, and administration be billed directly to the Elk River Municipal Utilities rather than through the City. Therefore, we will open separate job numbers for each of these field activities billed directly to you for watermain related issues. In conclusion, it is the City's intent to award this project to Barbarossa & Sons, Inc., on May 27, 2003. We anticipate the contractor will begin sometime in early June. We assume that the Elk River Municipal Utilities will reimburse the City $285,219.66 as detailed above and will pay for field services directly to Howard R. Green Company. If the Elk River Municipal Utilities disagrees with any of this information, please contact Lori Johnson or me immediately. Sincerely, Howard R. Green Company Terry J. Maurer, P.E. TJM:sw Enclosure Cc: Lori Johnson, Finance Director Pat Klaers, City Administrator Ltr-051903-Adams 1326 Energy Park Drive • St. Paul, MN 55108 • 651/644-4389 fax 651/644-9446 toll free 888/368-4389