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HomeMy WebLinkAboutA026 - Council Action Form dated September 9, 2008 li t t r ITEM # AA( i®vlol DATE September 9, 2008 COUNCIL ACTION FORM SUBJECT: RAW WELL WATER TRANSMISSION PIPELINE — EASEMENTS AND PRELIMINARY APPROVAL OF PLANS AND SPECIFICATIONS AND NOTICE TO BIDDERS BACKGROUND: In the 2007-2012 Capital Improvements Plan, a raw well water transmission pipeline was scheduled to be started in FY 2007-08. Currently, a single 24-inch water line delivers water from 10 wells in the Southeast Well Field and the Hunziker Youth Sports Complex Well Field. With the expansion of wells in those areas over the last two decades, that line is no longer able to adequately carry the full capacity of these wells. This is particularly important during summer months when all available water is needed. The City's water supply is also vulnerable to disruption with only one line to the water treatment plant from these wells. Developing redundancy in delivering this water to the plant is very important since these 10 wells represent 65 percent of the City's current water supply capacity. Development of a new planned well field proposed in 2010 will add an estimated six million gallons per day (mgd) of raw water that needs to be delivered through this line. This existing line was designed in the early 1980s before the full amount of future well capacity was known and is now undersized for current full production capabilities. A new line will actually increase the productivity of the Southeast and Hunziker Youth Sports Complex Well Fields by approximately one million gallons per day under peak demand simply by reducing pipeline restrictions. The 2008-2013 Capital Improvement Plan includes $4,000,000 for engineering, easements, permits, and construction of this project. The City has has entered into engineering services agreements with FOX Engineering, Inc. for both Phase I (preliminary study) and Phase II (final design, bidding, construction, and inspection services). Plans and specifications are now complete and ready for bidding. In accordance with state law, Council confirmed its intent to proceed with the project and acquire the necessary easements on March 25, 2008. Staff proceeded to hire an appraiser to conduct appraisals on the parcels in which easements were needed. The appraisals were prepared in compliance with the Uniform Relocation Assistance and Real Property Acquisition Policies of 1970 as amended, in accordance with Part 24 of Title 49 of the Code of Federal Regulations. Staff used those appraisals as the basis for initial offers to the property owners for obtaining easements. Agreements have now been reached with all affected property owners for a total of seven permanent and temporary construction easements. 1 Easements were obtained for the following: PROPERTY OWNER PERMANENATCEASEMENT TEMPORARAYCEASEMENT TOTAL COMPENSATION Walid Hawana 0.83 0.40 $ 5,414.50 Pyle Land, LLC 0.75 0.66 $ 0.00 $29,000 donation Hickory Park, Inc. 1.19 3.30 $13,275.00 Mildred Lane 1.29 3.28 $17,380.00 Story Construction Co. 0.54 1.04 $11,500.00 Iowa State Ready Mix 0.21 0.48 $ 2,200.00 Concrete Mark & Elizabeth 0.02 0.05 $ 1,700.50 Estes Total Compensation for Permanent and Temporary Easements: $ 51,470.00 The compensation amount was adjusted on Hickory Park to reflect the additional compensation amount for access to the easement and is reflected correctly in the purchase agreement signed by the property owner. Two easements that were obtained varied from the appraisal value. Representatives of the Lange parcel felt that the appraisal did not fairly account for the developable ground within their parcel that was affected. Staff was ultimately able to negotiate an acceptable compensation price. Prior to the March 25 public hearing, one property owner had contacted a number of council members with concerns about the project. Staff worked with Pyle Land, LLC to come up with a solution that would satisfy both parties. Staff proposed to make a minor modification to the alignment if Pyle Land, LLC would donate the easement and expand the easement to 30 feet wide. This proposal was accepted by the property owner. The pipe will be deep in this location, and the additional footage will give more room to a contractor in the event a repair is necessary. The modification to the alignment comes with an additional estimated cost of $42,000 to the City. The donation of the easement valued at $29,000 helps offset this cost. Plans and specifications are completed for this project and ready to be bid. The proposal form has been specifically structured to allow the City flexibility in balancing the project cost versus the inconvenience to area residents. There are two options for the installation of the 30-inch raw water main on East 6th Street; namely, trenching (open-cut) or boring (directional drilling). Trenching would close the south half of East 6th Street from Crawford Avenue to the east end. Trenching will cause more disruption for local residents, such as limiting access to their driveways for short periods of time, yard repair, temporary shutoffs to utilities, and construction site safety for children. Boring the pipeline is also an option. There will still be a need for a 100 to150-ft. trench at East 6th and Crawford on the south side of the street to receive the pipeline and tie into an existing 30-inch raw water line on Crawford Avenue. Boring is less disruptive to 2 residents but will be significantly higher in cost. Boring a 30-inch pipeline is very specialized work and is not always problem-free. For example, obstacles, such as other utilities and boulders, cannot be seen as is possible with the trenching option. This may result in ultimately needing to dig additional trenches to make repairs or clear the path for the pipeline. Staff is currently requesting that contractors submit two separate bid item prices for trenching versus boring. When the City Council awards the whole contract, staff will weigh the inconvenience to citizens versus the cost differential and make a final recommendation on trenching versus boring East 6th Street. A project newsletter was sent to property owners on East 6th Street to inform residents on the status of the project and to contact the Water Plant if they had questions. In addition, staff members have gone door to door answering any questions residents may have regarding the project in an extra effort to provide excellent customer service during this phase of the project. Project costs to date are as follows: Engineering $ 249,500 Easements/Permits 70,673 Construction (estimated) 3,122,943 Contingency (-10%) 312,989 Total Estimated Project Cost $ 3,755,475 ALTERNATIVES: 1. (a)Approve payment to seven property owners in the stated amounts listed above for permanent and temporary easements related to the Raw Well Water Transmission Pipeline Project; and (b) Grant preliminary approval of plans and specifications and issue a Notice to Bidders, setting October 9, 2008 as the bid due date and October 14, 2008 as the date for public hearing and award. 2. Do not approve payments for easements at this time and direct staff to renegotiate the compensation amounts. Do not approve plans and specifications at this time. MANAGER'S RECOMMENDED ACTION: The Raw Well Water Transmission Pipeline Project is an important component of the water utility's source water development plan. The pipeline will serve all customers of the water utility by providing increased reliability and redundancy for the raw water delivery system and will actually increase the available raw water capacity. Staff has worked closely with the consultant to prepare a route that balances the important goals of minimizing the cost to all customers, while minimizing the impacts to individual property owners. 3 r Therefore, it is the recommendation of the City Manager that the. City Council adopt Alternative No. 1 above. This should allow appropriate portions of the project to be constructed over the winter construction season. 4