Item Coversheet

*4.C.3.


Shakopee City Council
July 2, 2019


FROM:Micah Heckman, Project Engineer
TO:Mayor and Council Members
Subject:
Professional Services Agreement with Baker Tilly Municipal Advisors, LLC, to update the city's Right-of-Way fee.
Policy/Action Requested:
Authorize the execution of a professional services agreement with Baker Tilly Municipal Advisors, LLC, for the Right-of-Way (ROW) Fee Update Study.
Recommendation:
Authorize execution of the agreement.
Discussion:

The city currently permits private utilities to occupy city right-of-way and by doing so, the city incurs costs (administrative, management, degradation, construction, disruption and other costs) related to those utilities. This study will evaluate the costs the city incurs related to utilities located in the right-of-way (ROW) and validate the process and fees that will enable the city to recover these costs. The study will include an evaluation of ROW permit fees, franchise agreements and fees received from SPUC for its use of the ROW. 

 

City staff needs assistance from a consultant to perform the study. City staff developed a scope of work needed to complete the ROW fee update study and worked with Baker Tilly Municipal Advisors, LLC to develop a work plan and professional services agreement to deliver this work (see attached).

 

Baker Tilly has the experience, technical skill and capacity to provide the needed services. The attached Professional Services Agreement authorizes and describes the scope and fee for their work on this project.

Budget Impact:

The scope of Baker Tilly's work is proposed to cost $39,710. This work is not currently included in the 2019 Public Works-Engineering budget and is hereby requested to be amended to account for this cost.

ATTACHMENTS:
Description
Professional Services Agreement