6.5. SR 07-18-2005 - Laserfiche WebLink

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3. Executive Committee Report: Northstar Project Office, Approval of Expenditures: Mike Schadauer gave an overview of the NPO space preparation and related moving costs. He noted that early lease negotiations included $70,000 as an amortized cost to be paid back over the life of the lease plus interest. Mr. Schadauer noted that as lease negotiations have progressed, however, the amount to be amortized was reduced to approximately $47,000, thereby reducing the amount subject to future interest but leaving $23,000 in costs that will have to be paid for in full as they are expended. The Executive Committee/Capital Budget Committee made a recommendation that the NCDA authorize Tim Yantos, Executive Director, to spend up to $23,000 for NPO move expenses. A motion was made by Paul Ostrow that the NCDA authorize the Executive Director to spend up to $23,000 for Northstar Project Office move expenses. The motion was seconded by Paul Motin and the motion passed by majority vote with one nay vote by Bruce Nawrocki. Ii . , 4. BNSF Rail Passenger Capital Improvements Engineering Agreement: Mary Richardson noted that the negotiation team has been working for the past six to eight months on negotiating an agreement with BNSF for the advanced and final design of the signal and rail improvements for the Northstar Commuter Rail Project. Because BNSF owns the railroad, Northstar will be paying BNSF to do the improvements. BNSF has agreed to absorb the first $50,000 in improvements. Ms. Richardson noted that the scope of work includes 21 track improvements and the proposed contract amount is $993,288. Because four of the improvements were not included in the contract maximum, a contract amendment will be necessary at an upcoming meeting. The reason that the full cost was not in the contract maximum is that BNSF has not yet completed its contract negotiations with its engineering consultant. Staff recommend moving ahead in order to get the work underway on the remaining requirements. Once these improvements are finished, BNSF will issue an RFP for signal design improvements. As required by the FTA, staff are preparing an independent cost estimate. Ms. Richardson noted that this Agreement is part of a sequential design process, there will also be a RFP for signal improvements, and there will need to be a contract amendment as these parts of the project develop. Chair Grandy asked if this agreement includes design for the railroad placement between Big Lake and Becker. Staff replied no. Scott Schulte made a motion that the NCDA authorize the Chair to finalize negotiations and execute the Rail Passenger Capital Improvements Engineering Agreement with BNSF as presented. The motion was seconded by Lewis Stark and passed unanimously on a voice vote. Ms. Richardson noted that reaching an agreement on the advanced and final design is like BNSF saying they are ready to move ahead on this Project and get into the next phase of work. This is a very positive sign. 5. Executive Committee Report: Selection of Broker/Insurance Consultant: Mary Richardson noted that an RFP for broker insurance consulting services hao been issued on April 18, 2005 because the NCDA wishes to engage a qualified property and casualty insurance consultant/broker with successful experience in commuter rail projects to perform professional services in connection with the Northstar Project, and who possesses the expertise and specialized knowledge required to provide professional advice and counsel in developing the risk management program for the Northstar Commuter Rail Project, and to specifically advise the NCDA and Mn/DOT in negotiating insurance terms and conditions with BNSF for both the construction and operational phases of the Project. Two firms responded: Willis of Minnesota, Inc. and Marsh USA, Inc. The Evaluation Team which consisted of Philip Blue and Marlys Williams, Mn/DOT, Phil Walljasper, Metropolitan Council, John Sullivan and Colleen Herrmann, Anoka 2