Approval of Resolution R2108-055.

The city's Capital Improvement Plan (CIP) includes the Vierling Drive Phase 2 Project CIF-18-007 between County Highway 69 and Taylor Street for the construction of street, storm sewer, sidewalk and trailway, and streetscape improvements. This project is needed to provide access to the adjacent parcels and to complete this missing segment of the east-west collector street, Vierling Drive. An additional north-south segment of public roadway (Lincoln Street) has been added to this project to provide the necessary public roadway access to the Town Square Mall. The project is also a continuation of the Vierling Drive Phase 1 project that consisted of the construction of the sanitary sewer and watermain utilities during the fall of 2017.

Plans have been prepared (see attached) and are ready to solicit public bids to construct the improvements. Upon approval, the advertising and bidding will commence with a scheduled bid opening of approximately May 8, 2018. Bids would then be considered at the May 15, 2018 City Council meeting. Construction of the improvements will be performed between May and August 2018.

The CIP identified a budget of $1,500,000 for the Vierling Drive Project, which consisted of only the Vierling Drive roadway portion of the project. Out of scope improvements that have substantially increased the needed budget for this project include the addition of Lincoln Drive, addition of streetscaping to the medians and roundabout, and adding the storm water improvements that were needed for the adjacent EDA parcels. 

The current project estimate is as follows:

• Phase 1 construction cost           $   322,000
• Phase 2 construction cost           $1,800,000
• Phase 2 contingency (5%)          $     90,000 
• Phase 1 & 2 WSB Fees              $   186,000
• Phase 1 & 2 Eng/Admin/Legal  $    100,000 (approx. 5% of $2,100,000)

          Total Estimated                        $2,498,000

This project is proposed to be funded as follows:

• Capital Improvement Fund                    $1,849,000
• Shakopee Public Utilities Water Fund   $     10,000
• Tree Fund                                               $     84,000
• EDA                                                       $   555,000

         Total                                                      $2,498,000

It should also be noted that the net EDA proceeds from the sales of the adjacent EDA parcels after all are final shall be about $500k versus the prior reported $1 mil.