On March 2, 2021, City Council adopted Resolution R2021-025, approving the plans and specifications and ordering the advertisement for bids for the 2021 Street & Utility Reconstruction Project CIF-20-007. On April 20, 2021, City Council adopted Resolution R2021-062, accepting the bids and awarding the contract for the project to S.M. Hentges & Sons, Inc.

The improvements have been constructed and are now complete. The contract construction cost is $997,645.23, streetlighting costs are $17,693.50 and engineering/administration/legal costs are $104,454.84 resulting with a final total project cost of $1,119,793.57. The attached resolution declares total project costs, the final project funding amounts, and the total cost to be assessed.

The final assessment amounts for each lot in the project area are assessed on a front footage basis, as shown below. These are calculated using final construction costs in accordance with the City of Shakopee Assessment Policy.

Project funding sources include the sanitary sewer fund, storm sewer fund, Shakopee Public Utilities, capital improvement fund (CIF) and assessments to the benefiting properties. The following summary provides the estimated amounts based on bid award and the final project amounts based on actual costs.

Included in the resolution is funding language that would allow the city to reimburse project costs from future bond proceeds. This language allows for greater flexibility in funding current and future projects, should the city desire or need this in the future. The additional language allows the city a period of up to three years to issue and reimburse itself with bond proceeds. The language does not change the requirements or administrative process for issuing debt. All debt issuance will still require separate approval by the City Council.