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VII.1. Order Feasibility Report – 2022 Street and Utility Improvements, City Project 2021-010; KlingbeilMay 18, 2021 Council Report 2021-052 ORDER FEASIBILITY REPORT 2022 STREET AND UTILITY IMPROVEMENTS CITY PROJECT 2021-010 Proposed Action Staff recommends the following motion: Adopt Resolution 2021-027 ordering the preparation of a feasibility report for the 2022 Street and Utility Improvements and authorizing Mayor and City Manager to enter into an agreement with Bolton & Menk, Inc. to prepare the report. This action is the first step in the process of improving selected streets in 2022 and assessing abutting properties per City assessment policy. A petition to improve any of the proposed streets has not been submitted to the City. Overview The 2021 - 2025 CIP identifies street and utility improvements for the year 2022. Streets proposed for improvement include 6th Avenue South and 7th Avenue South from Mainstreet to 2nd Avenue South. The first step in proceeding with the project is ordering a feasibility report. Staff has selected a qualified consultant to undertake topographic survey work, geotechnical evaluation, a benefit appraisal report, and the preliminary engineering report. The cost of these services is $99,742. Final design and construction observation services will be negotiated separately after the feasibility report phase and the Council’s ordering of the improvement project. Primary Issues to Consider Project background Consultant Selection and Fees Project schedule Supporting Information Consultant Proposal Project Location Map Resolution 2021-027 ___________________________________ Eric Klingbeil, P.E., Assistant City Engineer Financial Impact: $ 99,742 Budgeted: Y/N Y Source: Utility Funds, PIR Funds, Special Assessments______________ Related Documents (CIP, ERP, etc.): CIP Notes: Council Report 2021-052 Page 2 Analysis of Issues Project background The condition of the street segments selected for improvement is generally categorized as poor by the City’s Pavement Management Program. In addition, public utilities in the project area are nearing the end of their lifecycle. The amount budgeted for this project in the current CIP is $2,375,000. Early project cost estimates are tracking within the CIP budget, but currently construction material pricing is experiencing considerable volatility which has the potential to impact construction bid prices in the future. We will continue to track material pricing and will take material pricing into design considerations. Selection of consultant/proposed fees Staff solicited a proposal from Bolton & Menk, Inc. This firm has provided exemplary service on many past City projects. Staff believes the value of a quality consultant with considerable Hopkins experience and a proven track record is important to a successful project. Their close interaction with residents on past projects has been a key component for success, and a major factor in the selection of this firm. The proposed fee of $99,742 includes costs for preliminary design, private utility coordination including UAV photography, geotechnical investigations, benefit appraisals, and analysis of current bicycle and pedestrian facilities. The cost compares favorably with comparable projects in other communities and fees charged by other consultants. Project schedule The feasibility report is tentatively scheduled to be presented to Council at the October 19, 2021 meeting. This puts us on a schedule to advertise for bids in December 2021, which should help secure competitive bids for the project. Construction is anticipated to begin in the spring of 2022 and be completed in the fall of 2022. As in the past, the staff will conduct multi-step public outreach including notification to residents of the project and survey work to be done, public information meetings utilizing a hybrid in-person and online approach, and the accompanying public process for assessments under the 429 statute. CITY OF HOPKINS HENNEPIN COUNTY, MINNESOTA RESOLUTION 2021-027 RESOLUTION ORDERING THE PREPARATION OF A FEASIBILITY REPORT FOR 2022 STREET AND UTILITY IMPROVEMENTS CITY PROJECT 2021-010 WHEREAS, the following streets are in need of reconstruction: 6th Avenue South and 7th Avenue South from Mainstreet to 2nd Street South; and WHEREAS, City staff is requesting that these streets be upgraded under the City’s assessment policy even though no petition for the upgrade has been submitted; and WHEREAS, the first step in the assessment procedure is the ordering of a feasibility report. NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Hopkins, Minnesota, that the proposed improvements be referred to the firm Bolton and Menk, Inc. for study and that they be instructed to report to the Council with all convenient speed advising the Council in a preliminary way as to whether the proposed improvement is necessary, cost-effective, and feasible and as to whether it should best be made as proposed or in connection with some other improvement, and the estimated cost of the improvement as recommended. Adopted by the City Council of the City of Hopkins, Minnesota, this 18th day of May, 2021. ___________________________________ Jason Gadd, Mayor ATTEST: _______________________________ Amy Domeier, City Clerk N:\Proposals\Hopkins\Hopkins 2022 Street and Utility Improvements\Preliminary Engineering and Topo\Klingbeil 051021.docx May 10, 2021 Mr. Eric Klingbeil, P.E., Assistant City Engineer City of Hopkins 1010 1st St S Hopkins, MN 55343 Re: Proposal for Professional Engineering and Surveying Services 2022 Street and Utility Improvements – Topographic Survey & Feasibility Study City of Hopkins, Minnesota Mr. Klingbeil: We are pleased to offer you our proposal for professional engineering and surveying services for the feasibility phase of the City of Hopkins’ 2022 Street and Utility Improvements. This proposal is based on our conversation and review of the project area, our knowledge of the project needs based on past experience with similar infrastructure, and an initial review of project area record drawings. Our proposed fee for the topographic survey and feasibility phase of this project is $99,742 for 512 proposed hours of labor and efforts by specialized subconsultants. In addition to our standard topographic survey, preliminary design and feasibility report preparation, and public engagement, the proposed efforts include: • Geotechnical work by Braun Intertec • Benefit appraisals by BRKW This proposal has been prepared in the form of our standard agreement consistent with past projects. In addition to the enclosed standard agreement, Exhibit I details the scope of work to be performed. The schedule presented in Exhibit I illustrates a streamlined schedule consistent with the approach followed by Hopkins on past projects. If you have any questions regarding this proposal or would like to discuss any of its details, please do not hesitate to contact either of us. We truly appreciate and value our continued working relationship with the City of Hopkins. Sincerely, Bolton & Menk, Inc. Michael J. Waltman, P.E. Nicholas J. Amatuccio, P.E. Principal Engineer Senior Project Engineer Burnsville Office Manager City of Hopkins Standard Agreement (Modified from 2004 Standard Form) VER. 12/05/2017 Page 1 of 9 AGREEMENT FOR PROFESSIONAL SERVICES PRELIMINARY DESIGN PHASE 2022 STREET & UTILITY IMPROVEMENTS CITY OF HOPKINS, MINNESOTA This Agreement, made this 18th day of May 2021, by and between CITY OF HOPKINS, 1010 1st St S, Hopkins, MN 55343, hereinafter referred to as CLIENT, and BOLTON & MENK, INC., 12224 Nicollet Avenue, Burnsville, MN 55337, hereinafter referred to as CONSULTANT. WITNESS, whereas the CLIENT requires professional services in conjunction with the 2022 STREET & UTILITY IMPROVEMENTS and whereas the CONSULTANT agrees to furnish the various professional services required by the CLIENT. NOW, THEREFORE, in consideration of the mutual covenants and promises between the parties hereto, it is agreed: SECTION I - CONSULTANT'S SERVICES A. The CONSULTANT agrees to perform the various Basic Services in connection with the proposed project as described in Exhibit I. B. Upon mutual agreement of the parties hereto, Additional Services may be authorized as described in Exhibit I or as described in Paragraph IV.B. SECTION II - THE CLIENT'S RESPONSIBILITIES A. The CLIENT shall promptly compensate the CONSULTANT in accordance with Section III of this Agreement. B. The CLIENT shall place any and all information related to the project in its custody at the disposal of the CONSULTANT for its use. Such information shall include but shall not be limited boundary surveys, topographic surveys, preliminary sketch plan layouts, building plans, soil surveys, abstracts, deed descriptions, tile maps and layouts, aerial photos, utility agreements, environmental reviews, and zoning limitations. The CONSULTANT may rely upon the accuracy and sufficiency of all such information in performing services unless otherwise instructed, in writing, by CLIENT. This obligation shall not include information that is classified as private or confidential under the Minnesota Government Data Practices Act (MGDPA), unless access to such information is essential to the CONSULTANT’s scope of services, in which case the CLIENT shall establish in writing, and CONSULTANT shall comply with, any conditions governing access to and use of such private or confidential information. C. The CLIENT will guarantee access to and make all provisions for entry upon both public and private portions of the project and pertinent adjoining properties. D. The CLIENT will give prompt notice to the CONSULTANT whenever the CLIENT observes or otherwise becomes aware of any defect in the proposed project. City of Hopkins Standard Agreement (Modified from 2004 Standard Form) VER. 12/05/2017 Page 2 of 9 E. The CLIENT shall designate a liaison person to act as the CLIENT'S representative with respect to services to be rendered under this Agreement. Said representative shall have the authority to transmit instructions, receive instructions, receive information, interpret and define the CLIENT'S policies with respect to the project and CONSULTANT'S services. F. The CLIENT shall provide such legal, accounting, independent cost estimating and insurance counseling services as may be required for completion of the consultant services described in this agreement. G. The CLIENT will obtain any and all regulatory permits required for the proper and legal execution of the project. H. The CLIENT will hire, when requested by the CONSULTANT, an independent test company to perform laboratory and material testing services, and soil investigation that can be justified for the proper design and construction of the project. The CONSULTANT shall assist the CLIENT in selecting a testing company. Payment for testing services shall be made directly to the testing company by the CLIENT and is not part of this Agreement. City of Hopkins Standard Agreement (Modified from 2004 Standard Form) VER. 12/05/2017 Page 3 of 9 SECTION III - COMPENSATION FOR SERVICES A. FEES. 1. The CLIENT will compensate the CONSULTANT in accordance with the following schedule of fees for the time spent in performance of Agreement services. Schedule of Fees Classification Hourly Rates Sr. Project Manager – Sr. Principal Engineer/Surveyor $150-235/Hour Sr. Project Manager – Principal Engineer/Surveyor $145-215/Hour Project Manager $130-185/Hour Project/Design Engineer /Planner $115-160/Hour Licensed Surveyor $130-185/Hour Project Surveyor $125-175/Hour Specialist (Nat. Resources; GIS; Traffic; Other) $85-145/Hour Senior Technician (Inc. Survey1) $105-155/Hour Technician (Inc. Survey1) $95-125/Hour Administrative Support & Clerical $85-95/Hour GPS/Robotic Survey Equipment No Charge CAD/Computer Usage No Charge Routine Photo Copying/Reproduction No Charge Routine Office Supplies No Charge Field Supplies/Survey Stakes & Equipment No Charge Mileage No Charge 1No separate charges will be made for GPS or robotic total stations on Bolton & Menk, Inc. survey assignments; the cost of this equipment is included in the rates for Survey Technicians. 2. Total cost for the services itemized under Exhibit I, Section A (Basic Services) is estimated to be $99,742. Itemization of this cost is as shown in the attached DETAILED WORK PLAN and PROJECT FEES tables, attached hereto as Exhibit II. 3. In addition to the foregoing, CONSULTANT shall be reimbursed at cost plus an overhead fee (not-to-exceed 10%) for the following Direct Expenses when incurred in the performance of the work. a. CLIENT approved outside (facilities not owned by CONSULTANT) computer services. b. CLIENT approved outside professional and technical services. c. Outside reproduction and reprographic charges. d. Expendable field supplies and special field equipment rental. e. Other costs for such additional items and services that the CLIENT may require the CONSULTANT to provide to fulfill the terms of this Agreement. 4. Additional services as outlined in Section I.B will vary depending upon project conditions and will be billed on an hourly basis at the rate described in Section III.A.1. 5. The payment to the CONSULTANT will be made by the CLIENT upon billing at intervals not more often than monthly at the herein rates. Itemized invoices identifying all work completed shall be submitted to the CLIENT by CONSULTANT and paid in the same manner as other claims made to the CLIENT. City of Hopkins Standard Agreement (Modified from 2004 Standard Form) VER. 12/05/2017 Page 4 of 9 SECTION IV - GENERAL A. STANDARD OF CARE Professional services provided under this Agreement will be conducted in a manner consistent with that level of care and skill ordinarily exercised by members of the Consultant's profession currently practicing under similar conditions. No warranty, express or implied, is made. B. CHANGE IN PROJECT SCOPE In the event the CLIENT changes or is required to change the scope of the project from that described in Section I and/or the applicable addendum, and such changes require Additional Services by the CONSULTANT, the CONSULTANT shall be entitled to additional compensation at the applicable hourly rates. The CONSULTANT shall give notice to the CLIENT of any Additional Services, prior to furnishing such additional services and the CLIENT must approve an Additional Services in writing. The CLIENT may request an estimate of additional cost from the CONSULTANT, and upon receipt of the request, the CONSULTANT shall furnish such, prior to authorization of the changed scope of work. C. INDEPENDENT CONTRACTOR The CONSULTANT shall at times be deemed an independent contractor. The CONSULTANT is not to be deemed an employee or agent of the CLIENT and has no authority to make any binding commitments or obligations on behalf of the CLIENT except to the extent expressly provided herein. All services provided by the CONSUTANT pursuant to this agreement shall be provide on an independent contractor basis not as an employee of the CLIENT for any purpose including, but not limited to, income tax withholding, workers’ compensation, unemployment compensation, FICA taxes, liability for torts, and eligibility for employee benefits. D. LIMITATION OF LIABILITY CONSULTANT shall indemnify, defend, and hold harmless CLIENT and its officials, agents and employees from any loss, claim, liability, and expense (including reasonable attorneys’ fees and expenses of litigation) arising from, or based in the whole, or in any part, on any negligent act or omission by CONSULTANT’S employees, agents, or subconsultants. In no event shall CLIENT be liable to CONSULTANT for consequential, incidental, indirect, special, or punitive damages. CLIENT shall indemnify, defend, and hold harmless CONSULTANT and its employees from any loss, claim, liability, and expense (including reasonable attorneys’ fees and expenses of litigation) arising from, or based in the whole, or in any part, on any negligent act or omission by CLIENT’S employees, agents, or consultants. In no event shall CONSULTANT be liable to CLIENT for consequential, incidental, indirect, special, or punitive damages. Nothing contained in this Agreement shall be construed as a limitation on or waiver of any immunities or limitations on liability otherwise available to the CLIENT. Nothing contained in this Agreement shall create a contractual relationship with or a cause of action in favor of a third party against either the CLIENT or the CONSULTANT. The CONSULTANT'S services under this Agreement are being performed solely for the CLIENT'S benefit, and no other entity shall have any claim against the CONSULTANT because of this Agreement or the performance or nonperformance of services provided hereunder. The CLIENT agrees to include a provision in all City of Hopkins Standard Agreement (Modified from 2004 Standard Form) VER. 12/05/2017 Page 5 of 9 contracts with contractors and other entities involved in this project to carry out the intent of the paragraph. E. INSURANCE 1. The CONSULTANT agrees to maintain, at CONSULTANT’S expense a commercial general liability and excess umbrella general liability insurance policy or policies insuring CONSULTANT against claims for bodily injury, death or property damage arising out of CONSULTANT’S general business activities. The general liability coverage shall provide limits of not less than $2,000,000 per occurrence and not less than $2,000,000 general aggregate. Coverage shall include Premises and Operations Bodily Injury and Property Damage; Personal and Advertising Injury; Blanket Contractual Liability; Products and Completed Operations Liability. 2. The CONSULTANT also agrees to maintain, at CONSULTANT’S expense, a single limit or combined limit automobile liability insurance and excess umbrella liability policy or policies insuring owned, non-owned and hired vehicles used by CONSULTANT under this Agreement. The automobile liability coverages shall provide limits of not less than $1,000,000 per accident for property damage, $2,000,000 for bodily injuries, death and damages to any one person and $2,000,000 for total bodily injury, death and damage claims arising from one accident. 3. CLIENT shall be named Additional Insured for the above liability policies. 4. The CONSULTANT agrees to maintain, at the CONSULTANT'S expense, statutory worker's compensation coverage together with Coverage B, Employer’s Liability limits of not less than $500,000 for Bodily Injury by Disease per employee, $500,000.00 for Bodily Injury by Disease aggregate and $500,000 for Bodily Injury by Accident. 5. During the period of design and construction of the project, the CONSULTANT also agrees to maintain, at CONSULTANT’S expense, Professional Liability Insurance coverage insuring CONSULTANT against damages for legal liability arising from an error, omission or negligent act in the performance of professional services required by this agreement. The professional liability insurance coverage shall provide limits of not less than $2,000,000 per claim and an annual aggregate of not less than $2,000,000 on a claims-made basis. 6. Prior to commencement of this Agreement, the CONSULTANT will provide the CLIENT with certificates of insurance, showing evidence of required coverages. All policies of insurance shall contain a provision or endorsement that the coverage afforded will not be canceled or reduced in limits by endorsement for any reason except non-payment of premium, until at least 30 days’ prior written notice has been given to the CLIENT, and at least 10 days’ prior written notice in the case of non-payment of premium. F. OPINIONS OR ESTIMATES OF CONSTRUCTION COST Where provided by the CONSULTANT as part of Exhibit I or otherwise, opinions or estimates of construction cost will generally be based upon public construction cost information. Since the CONSULTANT has no control over the cost of labor, materials, competitive bidding process, weather conditions and other factors affecting the cost of construction, all cost estimates are opinions for general information of the CLIENT and the CONSULTANT does not warrant or guarantee the accuracy of construction cost opinions or estimates. The CLIENT acknowledges that City of Hopkins Standard Agreement (Modified from 2004 Standard Form) VER. 12/05/2017 Page 6 of 9 costs for project financing should be based upon contracted construction costs with appropriate contingencies. G. CONSTRUCTION SERVICES It is agreed that the CONSULTANT and its representatives shall not be responsible for the means, methods, techniques, schedules or procedures of construction selected by the contractor or the safety precautions or programs incident to the work of the contractor. H. USE OF ELECTRONIC/DIGITAL DATA Because of the potential instability of electronic/digital data and susceptibility to unauthorized changes, copies of documents that may be relied upon by CLIENT are limited to the printed copies (also known as hard copies) that are signed or sealed by CONSULTANT. Except for electronic/digital data which is specifically identified as a project deliverable by this AGREEMENT or except as otherwise explicitly provided in this AGREEMENT, all electronic/digital data developed by the CONSULTANT as part of the PROJECT is acknowledged to be an internal working document for the CONSULTANT’S purposes solely and any such information provided to the CLIENT shall be on an “AS IS” basis strictly for the convenience of the CLIENT without any warranties of any kind. As such, the CLIENT is advised and acknowledges that use of such information may require substantial modification and independent verification by the CLIENT (or its designees). Provision of electronic/digital data, whether required by this Agreement or provided as a convenience to the Client, does not include any license of software or other systems necessary to read, use or reproduce the information. It is the responsibility of the CLIENT to verify compatibility with its system and long-term stability of media. CLIENT shall indemnify and hold harmless CONSULTANT and its Subconsultants from all claims, damages, losses, and expenses, including attorneys' fees arising out of or resulting from third party use or any adaptation or distribution of electronic/digital data provided under this AGREEMENT, unless such third party use and adaptation or distribution is explicitly authorized by this AGREEMENT. I. DATA PRACTICES All data collected, created, received, maintained, or disseminated, or used for any purposes in the course of the CONSULTANT’S performance of the Agreement is governed by the Minnesota Government Data Practices Act, Minnesota Statutes Section 13.01, et seq. or any other applicable state statutes and state rules adopted to implement the Act, as well as state statutes and federal regulations on data privacy. The Consultant agrees to abide by these statutes, rules and regulations and as they may be amended. In the event the CONSULTANT receives a request to release data, it shall notify CLIENT as soon as practical. The CLIENT will give instructions concerning release of data to requesting party and CONSULTANT will be reimbursed as Additional Services by CLIENT for its reasonable expenses in complying with the request. City of Hopkins Standard Agreement (Modified from 2004 Standard Form) VER. 12/05/2017 Page 7 of 9 J. PERIOD OF AGREEMENT This Agreement will remain in effect for the longer of a period of two years or such other explicitly identified completion period, after which time the Agreement may be extended upon mutual agreement of both parties. K PAYMENTS If CLIENT fails to make any payment due CONSULTANT for services and expenses within 60 days after date of the CONSULTANT'S itemized invoice, a service charge of one and one-half percent (1.5%) per month or the maximum rate permitted by law, whichever is less, will be charged on any unpaid balance. In addition after giving seven days' written notice to CLIENT, CONSULTANT may, without waiving any claim or right against the CLIENT and without incurring liability whatsoever to the CLIENT, suspend services and withhold project deliverables due under this Agreement until CONSULTANT has been paid in full all amounts due for services, expenses and charges. L. TERMINATION This Agreement may be terminated by the CLIENT for any reason or for convenience by the CLIENT upon seven (7) days written notice. The CONSULTANT may only terminate for non- payment by CLIENT upon CLIENT’s failure to cure upon 30 days written notice. M. CONTINGENT FEE The CONSULTANT warrants that it has not employed or retained any company or person, other than a bona fide employee working solely for the CONSULTANT to solicit or secure this Contract, and that it has not paid or agreed to pay any company or person, other than a bona fide employee, any fee, commission, percentage, brokerage fee, gift or any other consideration, contingent upon or resulting from award or making of this Agreement. N. NON-DISCRIMINATION The provisions of any applicable law or ordinance relating to civil rights and discrimination shall be considered part of this Agreement as if fully set forth herein. The CONSULTANT is an Equal Opportunity Employer and it is the policy of the CONSULTANT that all employees, persons seeking employment, subcontractors, subconsultants and vendors are treated without regard to their race, religion, sex, color, national origin, disability, age, sexual orientation, marital status, public assistance status or any other characteristic protected by federal, state or local law. O. CONTROLLING LAW This Agreement is to be governed by the law of the State of Minnesota. City of Hopkins Standard Agreement (Modified from 2004 Standard Form) VER. 12/05/2017 Page 8 of 9 P. DISPUTE RESOLUTION CLIENT and CONSULTANT agree to negotiate all disputes between them in good faith for a period of 30 days from the date of notice of dispute prior to proceeding to formal dispute resolution or exercising their rights under law. Q. SURVIVAL All obligations, representations and provisions made in or given in Section IV of this Agreement will survive the completion of all services of the CONSULTANT under this Agreement or the termination of this Agreement for any reason. R. SEVERABILITY Any provision or part of the Agreement held to be void or unenforceable under any law or regulation shall be deemed stricken, and all remaining provisions shall continue to be valid and binding upon CLIENT and CONSULTANT, who agree that the Agreement shall be reformed to replace such stricken provision or part thereof with a valid and enforceable provision that comes as close as possible to expressing the intention of the stricken provision. S. AUDIT DISCLOSURE The CONSULTANT must allow the CLIENT, or its duly authorized agents, and the state auditor or legislative auditor reasonable access to the CONSULTANT’s books, records, documents, and accounting procedures and practices that are pertinent to all services provided under this Agreement for a minimum of six years from the termination of this Agreement. [remainder of the page intentionally blank] City of Hopkins Standard Agreement (Modified from 2004 Standard Form) VER. 12/05/2017 Page 9 of 9 SECTION V - SIGNATURES THIS INSTRUMENT embodies the whole agreement of the parties, there being no promises, terms, conditions or obligation referring to the subject matter other than contained herein. This Agreement may only be amended, supplemented, modified or canceled by a duly executed written instrument signed by both parties. IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed in their behalf. CLIENT: City of Hopkins, Minnesota CONSULTANT: Bolton & Menk, Inc. Mike Waltman, P.E., BMI Office Manager 5/18/2021 Date Date City of Hopkins May 18, 2021 1 EXHIBIT I SCOPE OF WORK: TOPOGRAPHIC SURVEY AND FEASIBILITY STUDY FOR CITY OF HOPKINS, MINNESOTA 2022 STREET AND UTILITY IMPROVEMENTS A. BASIC SERVICES In accordance with the City of Hopkins Capital Improvements Plan, the City has designated the following streets for construction in 2022: ▪ 6th Avenue S, Mainstreet to 2nd Street S ▪ 7th Avenue S, Mainstreet to 2nd Street S A map of the project area is also attached for reference. Bolton & Menk, Inc. will complete a topographic survey and feasibility study for proposed improvements within the project area. A description of our proposed services is detailed as follows: Task 1: Topographic Survey and Mapping Topographic Survey & Drafting Bolton & Menk, Inc. will complete a topographic survey of the existing conditions along all streets within the project area. The survey will be completed within the right-of-way and will include all visible features such as, but not limited to, pavements, curb lines, manholes, catch basins, valves, sidewalks, turf areas, driveways, power poles, trees, gardens, mailboxes, retaining walls, etc. All underground utility information will be located and described per available as-builts, field markings, and private utility map information. Manhole reports will also be completed for located manholes and catch basins. Right-of-way will be illustrated based on found field monumentation and plat information. Task 2: Feasibility Study and Report In general, the feasibility report will include the assembly of existing conditions, discussion of needs for improvement, preliminary design recommendations and resulting proposed conditions, preliminary estimated costs, and a preliminary assessment roll. A more detailed description of the development of these items is as follows. Collection and Review of Record Drawings, Preliminary Street/Utility Recommendations Bolton & Menk, Inc. will collect record drawings from the City database and review the records for utility age and material. We will also request and utilize pavement maintenance reports, sewer videos and logs, and relevant utility maintenance reports to assist in making recommendations. After review of this information, Bolton & Menk will facilitate a meeting with the City of Hopkins Engineering and Public Works Staff to discuss the existing conditions and receive input from the City’s Staff regarding their opinions of any necessary improvements and/or known utility problems. With this City of Hopkins May 18, 2021 2 information, Bolton & Menk will make recommendations for proposed utility replacements. Recommended utility improvements will be drafted in plan view and documented in the feasibility report as proposed conditions. In consideration of necessary utility replacements, the geotechnical evaluation from Braun Intertec, and our own field review of pavement and curb conditions, Bolton & Menk will also make pavement reconstruction or rehabilitation recommendations based on geotechnical evaluation and underlying utility needs. Preliminary Stormwater & Permitting Analysis Efforts put forth under Task 2 will also include a pipe capacity analysis of the storm sewer within the project area, including further development of the City-wide storm sewer network model, to gauge the need for storm sewer improvements to be completed with the proposed street reconstruction. From these findings, preliminary design of recommended drainage improvements will be developed for the roadway corridors. Research will be conducted to determine if any permanent storm water management features are necessary to meet Nine Mile Creek Watershed District requirements. Street Width Evaluation The width of each road segment will be evaluated with consideration given to the following criteria: • Adopted City standard street width minimums • Existing street widths • Impacts to other features within the ROW including trees, fencing, retaining walls, and landscaping • Stormwater management requirements related to impervious areas Bolton & Menk will develop typical section renderings of the proposed street sections for better visualization by the public and decision makers. Preliminary Cost Estimating & Assessment Rolls Bolton & Menk, Inc. will prepare itemized preliminary cost estimates for the proposed improvements throughout the project area. Preliminary estimates will be split by individual City funding sources and planned funding year. Preliminary estimates will be used along with any available plat information to prepare preliminary assessment rolls for the project area based on the adopted City assessment policy, including the following methods as applicable per policy: • Front footage basis and/or unit basis with applicable cap amounts for residential properties • Benefit Appraisals for Commercial Properties and Apartments with larger assessment amounts • Unit basis for irregularly shaped lots, flag lots, and condos Our efforts will include reviewing assessment practices on past projects to apply to some uniquely positioned properties within the project area. A figure will be developed and included in the feasibility report documenting the proposed properties to receive City of Hopkins May 18, 2021 3 assessments and if easily communicable due to the presence of a consistent cap, assessment amounts shall be displayed on the figure. Bolton & Menk, Inc. will coordinate with City Staff on all additional sub-project areas that may not be within the project area, but will be included under the same construction contract. Consistent with past City projects, the scope of work in these sub-project areas may include but are not limited to spot concrete sidewalk & alley repairs, sanitary sewer lining, and streets to be milled & overlaid. Such improvements will be identified by City staff and subsequently included in the preliminary cost estimates. Public Engagement & Meetings As with all public improvement projects, public engagement is a valuable method for gathering information and opinions. Early in the project development process, Bolton & Menk will prepare and distribute a neighborhood survey form. We will review the results of the surveys for discussion prior to the neighborhood meeting and include the results in the feasibility report. Bolton & Menk will also distribute invitations to and facilitate two neighborhood meetings for discussion about the project during this project phase: • The public meeting, which will likely be held after quantification and distribution of preliminary assessment amounts, will be held in-person if allowed with COVID-19 policies. We anticipate that social distancing guidelines can be met with the anticipated participant levels, and a virtual presentation of the public meeting could be posted to the City and/or Bolton & Menk’s website for those that do not want to attend an in-person meeting. • At the first neighborhood meeting, the intended focus of discussion will be: o Communicating the proposed improvements to residents o Collecting input from residents and business owners to consider as part of the scope of the project (i.e. drainage issues or other infrastructure deficiencies. o Communicating the assessment policy and how assessments are to be applied. At future meetings more detail will be provided on example assessment calculations and payment schedules, however at this meeting focus will more so be on collecting input on items affecting the scope of the improvements and communicating to attendees what to expect in terms of the preliminary proposed project scope. • At the second neighborhood meeting, the intended focus of discussion will be: o Revisiting the proposed improvements, including an overview of elements that may have changed since the first neighborhood meeting based on public input or other rationale. o Revisiting the assessment policy and how assessments are to be applied. o Providing two sample calculations of preliminary assessment amounts and communicating the influences that may impact the assessment amounts before final assessments are determined (as bid unit prices, benefit appraisals, etc.). City of Hopkins May 18, 2021 4 o Fielding resident questions and concerns prior to and in preparation for the public improvement hearing at the City Council Meeting. Bolton & Menk will prepare and deliver presentations on the proposed improvements and preliminary estimated assessments at two neighborhood meetings and at two City Council meetings – including attendance at the meeting where the public improvement hearing is ordered and at the meeting where the hearing is conducted. Feasibility Report The results of the feasibility study including descriptions of the existing infrastructure, proposed improvements, estimated costs, preliminary assessment roll, preliminary figures, and proposed project schedule will be detailed in a written report in form and quality similar to the Interlachen Park Street & Utility Improvements feasibility report. Task 3: Contracted Services By Others Soil boring reports prepared by the geotechnical consultant will serve as the basis of our pavement evaluation. Bolton & Menk will secure a geotechnical consultant as part of Task 3 for investigation of site soils and determination of an assumed R-Value. From this geotechnical report, as discussed above in Task 2, Bolton & Menk will develop a preliminary pavement design and typical section. The evaluations of this report will be summarized for inclusion into the final feasibility study. Attached is a proposal from Braun Intertec who will perform geotechnical evaluation of the project site. Bolton & Menk will contract with a BRKW to quantify the estimated benefit to unique properties within the project area. This work will be completed by BRKW as shown and for the properties identified in the attached proposal. City of Hopkins May 18, 2021 5 The following is a preliminary schedule for the 2022 Street & Utility Improvements: Council Orders Preparation of Feasibility Report ................................... May 18, 2021 Topographic Survey, Collect Existing Condition Data ....................May 24 – July 2, 2021 Geotechnical Evaluation ...................................................................June 7 – July 16, 2021 1st Meeting with City Staff – Discuss Existing Conditions ............. July 19 – July 23, 2021 2nd Meeting with City Staff – Review Proposed Imps. .......... August 16 – August 20, 2021 Neighborhood Meeting 1 .................................................... August 30 – September 2, 2021 Council Set Public Hearing Date/Present Feasibility Report ....... September 21, 2021 Neighborhood Meeting 2 ................................................................... October 11 – 14, 2021 Present Feasibility Report / Conduct Public Hearing / Order Final Plans & Specifications ..........................................October 19, 2021 Preparation of Final Plans & Specifications ................... October 20 – December 21, 2021 Approve Final Plans & Specifications / Authorize Advertisement for Bids ........................................ December 21, 2021 Bid Opening .............................................................................................. January 21, 2022 Council Sets Public Assessment Hearing Date ................................... February 1, 2022 Neighborhood Meeting 3 ................................................................. February 21 – 25, 2022 Council Accepts Bids / Conduct Public Assessment Hearing / Adopt Assessment Roll / Award Bid ............................................ March 1, 2022 Construction ........................................................................................ May – October 2022 City of Hopkins May 18, 2021 6 B. ADDITIONAL SERVICES Consulting services performed other than those authorized under Section I.A. shall be considered not part of the Contract Services and may be authorized by the CLIENT as additional services. Additional Services consist of those services which are not generally considered to be Contract Services; or exceed the requirements of the Contract Services; or are not definable prior to the commencement of the project; or vary depending on the technique, procedures or schedule of the project contractor. Additional services may consist of the following: 1. Cost of postage for mass mailing (those with greater than 100 recipients). 2. All other services not specifically identified in Section A. 20 0.0 © Bolton & Menk, Inc - Web GIS 0 Legend Map Name This drawing is neither a legally recorded map nor a survey and is not intended to be used as one. This drawing is a compilation of records, information, and data located in various city, county, and state offices, and other sources affecting the area shown, and is to be used for reference purposes only. The City of Hopkins is not responsible for any inaccuracies herein contained. Disclaimer: 4/20/2021 9:42 AM 200 Feet City Limits Parcels (4/1/2019) Lot Lines Hennepin_2018 Red: Band_1 Green: Band_2 Blue: Band_3 2022 Street & Utility Improvements Project Area Benefit Appraisals DETAILED WORK PLAN ESTIMATED PERSON-HOURS 2022 STREET & UTILITY IMPROVEMENTS: PRELIMINARY DESIGN PHASE CITY OF HOPKINS, MINNESOTA 5/10/2021 CLIENT:CITY OF HOPKINS, MINNESOTA PROJECT: CONSULTANT: 2022 STREET & UTILITY IMPROVEMENTS: PRELIMINARY DESIGN PHASE BOLTON & MENK, INC. Task No.Work Task Description 1.0 TOPOGRAPHIC SURVEY AND MAPPING 1.1 Plat Research, GSOC, Calculations/Preparation for Field 2 8 4 4 18 1.2 Set Horizontal and Vertical Control 2 2 20 24 1.3 Topographic Survey 4 60 64 1.4 Manhole Inventories & Reports 2 2 2 8 14 1.5 Data Processing, Drafting, and Mapping 6 10 16 SUBTOTAL HOURS: TASK 1 0 4 0 0 0 0 0 0 22 18 88 4 136 2.0 FEASIBILITY STUDY AND REPORT 2.1 Review Geotechnical Report and Final Recommendations 2 4 6 2.2 Review/Compile Existing Infrastructure Data (As-builts, Private Utilities, Sewer Videos, etc.)2 8 8 18 2.3 Prepare/Mail Resident Questionnaire and Review Responses 2 6 6 12 26 2.4 Preliminary Pavement Design and Utility Replacement Recommendations 2 12 14 2.5 Preliminary Stormwater Analysis and Stormwater Management 2 4 20 12 38 2.6 Prepare Preliminary Cost Estimates 2 8 8 8 26 2.7 Prepare Preliminary Assessment Rolls 2 12 8 22 2.8 Prepare Written Feasibility Report & Figures 6 24 24 60 8 122 2.9 Develop & Prepare Typical Sections 4 8 8 12 32 2.10 Prepare for and Attend Meetings*24 24 8 8 8 72 SUBTOTAL HOURS: TASK 2 48 110 20 40 14 96 12 8 0 0 0 28 376 TOTAL HOURS 48 114 20 40 14 96 12 8 22 18 88 32 512 TotalsDesign Engineer Survey Manager / L.S. Survey Technician Senior Project Engineer Landscape Architect GIS SpecialistCommunications Specialist *Assumed meetings include: 2-project team/staff meetings, 2-neighborhood meetings, 2-City Council meetings Senior Water Resources Engineer ESTIMATED PERSON-HOURS Principal Engineer Engineering Technician Survey Crew Clerical ESTIMATE OF PROJECT FEES 2022 STREET & UTILITY IMPROVEMENTS: PRELIMINARY DESIGN PHASE CITY OF HOPKINS, MINNESOTA 5/10/2021 CLIENT:CITY OF HOPKINS, MINNESOTA PROJECT: CONSULTANT: 2022 STREET & UTILITY IMPROVEMENTS: PRELIMINARY DESIGN PHASE BOLTON & MENK, INC. TASK AVERAGE RATE:$185.00 $149.00 $179.00 $125.00 $98.00 $139.00 $130.00 $120.00 $172.00 $106.00 $160.00 $94.00 1.0 TOPOGRAPHIC SURVEY AND MAPPING 1.1 Plat Research, GSOC, Calculations/Preparation for Field $0.00 $298.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $1,376.00 $424.00 $0.00 $376.00 $0.00 $2,474.00 1.2 Set Horizontal and Vertical Control $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $344.00 $212.00 $3,200.00 $0.00 $0.00 $3,756.00 1.3 Topographic Survey $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $688.00 $0.00 $9,600.00 $0.00 $0.00 $10,288.00 1.4 Manhole Inventories & Reports $0.00 $298.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $344.00 $212.00 $1,280.00 $0.00 $0.00 $2,134.00 1.5 Data Processing, Drafting, and Mapping $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $1,032.00 $1,060.00 $0.00 $0.00 $0.00 $2,092.00 SUBTOTAL FEES: TASK 1 $0.00 $596.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $3,784.00 $1,908.00 $14,080.00 $376.00 $0.00 $20,744.00 2.0 FEASIBILITY STUDY AND REPORT 2.1 Review Geotechnical Report and Final Recommendations $370.00 $596.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $966.00 2.2 Review/Compile Existing Infrastructure Data (As-builts, Private Utilities, Sewer Videos, etc.)$370.00 $1,192.00 $0.00 $0.00 $0.00 $1,112.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $2,674.00 2.3 Prepare/Mail Resident Questionnaire and Review Responses $370.00 $894.00 $0.00 $0.00 $588.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $1,128.00 $0.00 $2,980.00 2.4 Preliminary Pavement Design and Utility Replacement Recommendations $370.00 $1,788.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $2,158.00 2.5 Preliminary Stormwater Analysis and Stormwater Management $370.00 $596.00 $3,580.00 $0.00 $0.00 $1,668.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $6,214.00 2.6 Prepare Preliminary Cost Estimates $370.00 $1,192.00 $0.00 $1,000.00 $0.00 $1,112.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $3,674.00 2.7 Prepare Preliminary Assessment Rolls $370.00 $1,788.00 $0.00 $0.00 $0.00 $0.00 $0.00 $960.00 $0.00 $0.00 $0.00 $0.00 $0.00 $3,118.00 2.8 Prepare Written Feasibility Report & Figures $1,110.00 $3,576.00 $0.00 $3,000.00 $0.00 $8,340.00 $0.00 $0.00 $0.00 $0.00 $0.00 $752.00 $0.00 $16,778.00 2.9 Develop & Prepare Typical Sections $740.00 $1,192.00 $0.00 $1,000.00 $0.00 $0.00 $1,560.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $4,492.00 2.10 Prepare for and Attend Meetings*$4,440.00 $3,576.00 $0.00 $0.00 $784.00 $1,112.00 $0.00 $0.00 $0.00 $0.00 $0.00 $752.00 $0.00 $10,664.00 SUBTOTAL FEES: TASK 2 $8,880.00 $16,390.00 $3,580.00 $5,000.00 $1,372.00 $13,344.00 $1,560.00 $960.00 $0.00 $0.00 $0.00 $2,632.00 $0.00 $53,718.00 3.0 CONTRACTED SERVICES BY OTHERS 3.1 Geotechnical Engineering by Braun Intertec $7,280.00 $7,280.00 3.2 Benefit Appraisals by BRKW $18,000.00 $18,000.00 SUBTOTAL FEES: TASK 3 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $0.00 $25,280.00 $25,280.00 TOTAL FEES $8,880.00 $16,986.00 $3,580.00 $5,000.00 $1,372.00 $13,344.00 $1,560.00 $960.00 $3,784.00 $1,908.00 $14,080.00 $3,008.00 $25,280.00 $99,742.00 Senior Water Resources Engineer *Assumed meetings include: 2-project team/staff meetings, 2-neighborhood meetings, 2-City Council meetings Senior Project Engineer GIS SpecialistCommunications Specialist Contracted/ Specialty Services PROJECT FEES Principal Engineer Design Engineer Engineering Technician Survey Crew Clerical TotalLandscape Architect Survey Manager / L.S. Survey Technician AA/EOE Braun Intertec Corporation 11001 Hampshire Avenue S Minneapolis, MN 55438 Phone: 952.995.2000 Fax: 952.995.2020 Web: braunintertec.com May 7, 2021 Proposal QTB138637 Nick Amatuccio, PE Bolton & Menk, Inc. 2035 County Road D E Maplewood, MN 55109 Re: Proposal for a Geotechnical Evaluation 2022 Street and Utility Improvements Project 6th and 7th Avenues South Hopkins, Minnesota Dear Mr. Amatuccio: Braun Intertec Corporation respectfully submits this proposal to complete a geotechnical evaluation for the 2022 Street and Utility Improvements Project in the City of Hopkins, Minnesota. Project Information The project streets include 6th and 7th Avenues South between 2nd Street South and Mainstreet as shown in Figure 1. Figure 1. Limits of 2022 Street and Utility Improvements Project Bolton & Menk, Inc. Proposal QTB138637 May 7, 2021 Page 2 We understand the scope will include utility replacements and street reconstruction. The sanitary sewer depth is anticipated at about 14 feet below the street surface. Purpose The purpose of our geotechnical evaluation will be to characterize subsurface geologic conditions at selected exploration locations, evaluate their impact on the project, and provide geotechnical recommendations for the design and construction of the 2022 Street and Utility Improvements Project in the City of Hopkins, Minnesota. Scope of Services We propose the following tasks to help achieve the stated purpose. If we encounter unfavorable or unforeseen conditions during the completion of our tasks that lead us to recommend an expanded scope of services, we will contact you to discuss the conditions before resuming our services. Site Access We propose to use a truck-mounted rig for drilling. We assume there will be no cause for delays in accessing the exploration locations. We are not including services for tree clearing, debris, or obstruction removal, grading of navigable paths, or snow plowing. Depending on access requirements, ground conditions, or potential utility conflicts, our field crew may alter the exploration locations from those proposed to facilitate accessibility. Our drilling activities may also impact the vegetation and may rut the surface to access boring locations. Restoration of vegetation and turf is not part of our scope of services. Staking We will stake prospective subsurface exploration locations and obtain surface elevations at those locations using GPS. For purposes of linking the GPS data to an appropriate reference, we request that you provide CAD files indicating location/elevation references appropriate for this project. Utility Clearance Prior to drilling or excavating, we will contact Gopher State One Call and arrange for notification of the appropriate utility vendors to mark and clear the exploration locations of public underground utilities. You, or your authorized representative, are responsible to notify us before we begin our work of the presence and location of any underground objects or private utilities that are not the responsibility of public agencies. Traffic Control Based on the residential nature and speed limits in the project area, we have not budgeted for traffic control. We will need to revise our estimate if traffic control is required. Bolton & Menk, Inc. Proposal QTB138637 May 7, 2021 Page 3 Penetration Test Borings Per our discussion with you, we will complete three borings on each street to a depth of 20 feet, for 120 total linear feet of drilling. We will sample at 2 1/2-foot intervals to a depth of 15 feet, and 5-foot intervals at greater depths. If we identify a need for deeper (or additional) borings, we will contact you prior to increasing our total estimated drilled footage and submit a Change Order summarizing the anticipated additional effort and the associated cost, for your review and authorization. Groundwater Measurements If the borings encounter groundwater during or immediately after drilling of each boring, we will record the observed depth on the boring logs MDH Sealing Record We are planning the deepest borings to be at least 15 feet and less than 25 feet. Therefore, the Minnesota Statutes require us to complete a Sealing Record after our completion of the borings. Our proposal includes the fees for the Minnesota Department of Health (MDH) Sealing Record. In the event we extend our borings to a depth of 25 feet or greater, the MDH requires us to complete and submit a Sealing Notification Form for the project. The submission of the Sealing Notification Form will require a signature from the property owner (or agent). If we extend our borings to a depth of 25 feet or greater, we will forward on to you a copy of the form for signature and increase our total fees by $100. Borehole and Core Abandonment We will backfill our exploration locations immediately after completing the drilling at each location. Minnesota Statutes require sealing temporary borings that are 15 feet deep or deeper. Based on our proposed subsurface characterization depths, we will seal 120 linear feet of borehole with grout. Our lump sum fee includes those fees associated with the sealing. Upon backfilling or sealing exploration locations, we will fill holes in pavements with a temporary patch. Over time, subsidence of borehole or core backfill may occur, requiring releveling of surface grades or replacing bituminous or concrete patches. We are not assuming responsibility for re-leveling or re-patching after we complete our fieldwork. Sample Review and Laboratory Testing We will return recovered samples from our drilling investigation to our laboratory, where a geotechnical engineer will visually classify and log them. To help classify the materials encountered and estimate the engineering properties necessary to our analyses, we have budgeted to perform the following laboratory tests. Bolton & Menk, Inc. Proposal QTB138637 May 7, 2021 Page 4 Table 1. Laboratory Tests Test Name Number of Tests ASTM Test Method Purpose Moisture content 6 D2216 Soil classification, moisture condition, and engineering properties Percent passing #200 sieve 4 D1140 Soil classification, evaluate frost susceptibility We will determine the actual laboratory testing for the project depending on the encountered subsurface conditions. If we identify a laboratory testing program that exceeds the budget included in this proposal but provides additional value to the project, we will request authorization for the additional fees through a Change Order. Engineering Analyses We will use data obtained from the subsurface exploration and laboratory tests to evaluate the subsurface profile and groundwater conditions, and to perform engineering analyses related to utility and pavement design and performance. Report We will prepare a report including: ▪ A CAD sketch showing the exploration locations. ▪ Logs of the borings describing the materials encountered and presenting the results of our groundwater measurements and laboratory tests. ▪ A summary of the subsurface profile and groundwater conditions. ▪ Discussion identifying the subsurface conditions that will impact design and construction. ▪ Discussion regarding the reuse of on-site materials during construction. ▪ Recommendations for preparing utility and pavement subgrades, and the selection, placement, and compaction of fill. ▪ Recommendations for the design and construction of utilities and pavements. We will only submit an electronic copy of our report to you unless you request otherwise. At your request, we can also send the report to additional project team members. Bolton & Menk, Inc. Proposal QTB138637 May 7, 2021 Page 5 Schedule We anticipate performing our work according to the following schedule: ▪ Drill rig mobilization – within about three weeks following receipt of written authorization. ▪ Field exploration – one day on site to complete the drilling work. ▪ Classification and laboratory testing – within one to two weeks after completion of field exploration. ▪ Preliminary results – within two weeks after completion of field exploration. ▪ Draft report submittal – within about four weeks of completion of field exploration. ▪ Final report submittal – two weeks following comments on the draft report. If we cannot complete our proposed scope of services according to this schedule due to circumstances beyond our control, we may need to revise this proposal prior to completing the remaining tasks. Fees We will furnish the services described in this proposal for a lump sum fee of $7,280. Table 2 provides a breakdown of the proposed fees. Table 2. Proposed Fee Breakdown Service Fee Staking and utility clearance $885 Drilling 3,395 Laboratory testing 340 Coordination, engineering analysis, and report 2,660 Total $7,280 Our work may extend over several invoicing periods. As such, we will submit partial progress invoices for work we perform during each invoicing period. Bolton & Menk, Inc. Proposal QTB138637 May 7, 2021 Page 6 General Remarks We will be happy to meet with you to discuss our proposed scope of services further and clarify the various scope components. We appreciate the opportunity to present this proposal to you. Please sign and return a copy to us in its entirety. We based the proposed fee on the scope of services described and the assumptions that you will authorize our services within 30 days and that others will not delay us beyond our proposed schedule. Bolton & Menk, Inc. Proposal QTB138637 May 7, 2021 Page 7 We will provide our services under the terms of the Master Subconsultant Agreement for Professional Services between Braun Intertec Corporation and Bolton & Menk, Inc. To have questions answered or schedule a time to meet and discuss our approach to this project further, please contact Neil Lund at 952.995.2284 (nlund@braunintertec.com). Sincerely, BRAUN INTERTEC CORPORATION Neil G. Lund, PE Senior Engineer Joshua L. Kirk, PE Account Leader, Senior Engineer The proposal is accepted, and you are authorized to proceed. Authorizer’s Firm Authorizer’s Signature Authorizer’s Name (please print or type) Authorizer’s Title Date BRKW APPRAISALS, INC. 2100 MINNEAPOLIS AVENUE, MINNEAPOLIS , MN 55 406 651.646.6114 www.brkw.com May 7 , 2021 Nick Amatuccio, P.E. Project Engineer Bolton & Menk, Inc. 12224 Nicollet Avenue Burnsville, MN 55337 -1649 R e : Proposal for Appraisal Services – Special Benefits Valuation City of Hopkins , MN 2022 Street & Utility Improvements Project Project Location: 6 th and 7 th Avenues S., between Mainstreet a nd 2 nd Street S., Hopkins Dear M r . Amatuccio : By way of this letter, I am submitting a proposal for BRKW Appraisals, Inc. to provide Bolton & Menk, Inc., on behalf of its client, the City of Hopkins , Minnesota with a special benefits appraisal pertaining to the above referenced proposed improvement project. Though to date I have not received from you any detailed description of the proposed improvements, it is assumed that they are generally similar to those proposed within previous Hopkins improvement projects slated for the past few years or more, for which we provided special benefits appraisals; those improvements include d reconstruction of streets as well as reconstruction or repair of water, sanitary sewer and storm sewer utility components , where needed . Purpose/Intended Use/Intended Users The purpose of the appraisal is to provide an opinion of the increase in market value, if any, accruing to 1 2 subject properties in the project area as a result of the proposed street and utility improvement project. The inten ded use of the appraisal is for assist ing C ity of Hopkins officials in determining what level of special assessments levied to the subject properties in the project area can be sustained by at least an equal amount of property value increase due to the project . The intended user s are Bolton & Menk, Inc., which would be the client of the appr aisal assignment , and officials of the City of Hopkins , which is a client of Bolton & Menk, Inc. Subject Propert ies Shown on the following page is a table identifying the 12 subject properties to be included in the appraisal, based on a project map you provided me when requesting this proposal . BRKW APPRAISALS, INC. PAGE 2 Multiple Tax Parcel Properties As shown i n the Subject Property List above, three of the 12 identified subject properties comprise two or more adjoining tax parcels under common ownership and/or use. To conform with proper appraisal methodology, especially as it pertains to the analysis and conclusion of highest and best use, the appraiser must consider the “L arger P arcel,” where applicable, and not limit the analysis to just one tax parc el, unless there is a separate and distinct highest and best use for the one tax parcel relative to adjoining, commonly -owned or commonly -used parcel(s). Fee Owner PID #Address Property Type Land Area (ac.) Peterson Capital Invts LLC 712-786 Mainstreet 750 Mainstreet Marketplace Lofts Assn.2411722430185 750 Mainstreet 2411722430234 1.22 Lommen Properties LLC 2411722430159 15 8th Ave. S.Office-retail 1.00 Hopkins Plaza LP 2411722430235 24 7th Ave. S.Apartments 4.29 Hopkins Village LP 2411722430239 9 7th Ave. S.Senior apts.0.90 Community Housing Dev. Corp.2411722430240 " " "" " "1.07 1.97 Chrisprop-Hopk LLC 2411722430033 28 6th Ave. S.Apartments 0.30 Chrisprop-Hopk LLC 2411722430034 38 6th Ave. S.Apartments 0.30 65 7th Ave S LLC 2411722430043 65 7th Ave. S.Service cmcl.0.24 William Christopherson 2411722430142 607 2nd St. S.Light industrial 0.36 Kimberly Korb 2411722430039 62 6th Ave. S.Service cmcl.0.08 Eugene Maxwell 2411722430003 ---0.06 " " "2411722430031 3 6th Ave. S.0.09 " " "2411722430143 5 6th Ave. S.0.31 0.46 Loon Properties LLC 2411722430019 57 6th Ave. S.Apartments 0.30 Natl Handicap Hsg Institute Inc 2411722430157 44 5th Ave. S.Apartments 0.77 Resid. condo common area Numerous - 48 individual owners Numerous (48 parcels total) Multi-tenant retail incl. gas station/C store 11 12 4 5 6 7 Subject Property List Total - Property 1 1a 2 Property Multi-tenant retail/cmcl. Numerous (11 parcels total) 1b 48 residential condo units 1c 3 Total - Property 4 10 Total - Property 10 8 9 BRKW APPRAISALS, INC. PAGE 3 This requirement holds true even if the City does not intend to assess all of the tax parcels in a multi ple -parcel property due to their lack of direct frontage on the street to be improved. The three general criteria defining the Larger Parcel are groups of parcels which have 1) unity of ownership or control, 2) unity of location (typically, contigui ty), and 3) unity of use (i.e., the parcels have the same current use or have the same highest and best use). The subject properties, as shown in the Subject Property List, are identified and grouped into larger parcels or at a minimum “overall properties ”, where applicable, based for the most part on these g eneral criteria. Discussed below are the three subject property situations in which a Larger Parcel analysis was required, and conclusions have been made relative to which parcels should constitute the properties to be appraised for special benefits purposes: • Property 1 comprises a 4 -story mixed -use building containing apparently approximate ly 10 commercial condominium units on the main floor, all under one ownership ; 48 residential condominium units on floors two through four, all of which appear to be individual ly/separate ly ow ned ; and a handful of tax parcels containing common areas for either the commercial units or the residential units. The commercial common area parcels have the same owner as the commercial condominium units, and the residential common area parcels are o wned by the owner association pertaining to the residential condo units. T here are app arently a total of 61 tax parcels within this mixed -use condo project. Though there are multiple owners in Property 1, all units and owners have a shared use in a single 1.22 -acre tract of land physically containing the multiple tax parcels/ownerships. The single tract represents the “overall property” that will be valued for special benefits purposes . The conclusion of the total special benefit concluded for overall Property 1 will be allocated among the numerous tax parcels contained within the tract. The method of allocation likely will be directly or closely related to the percentage share each tax parcel possesses of the common elements of the condominium project, as stated in the condominium declaration documents. • Property 4 comprises the Hopkins Village Apartments . A high -rise apa rtment tower i s located on the west of two adjoining parcels, and most of the par king lot serving the t ower is loc ated on the eas t of the two parcels. Though t he fee owners of record of each parcel are t e chnicall y different, pre liminary research indicates, and it is assumed , that the t wo ownership entities are related and thus both have common con trol o ver the use of both parcels. The two parcels clearly work together as one property serving the operation of the high -r ise apart ment tower , and thus they are appraised as on e property for special benefits pur poses. For Propert y 4 , any special benefit concluded for the overall property will be allocated between its two tax parcels on a pro -rata basis, relative to their share of the total land area of the overall property. BRKW APPRAISALS, INC. PAGE 4 • Property 10 comprises three adjoining, commonly owned tax parcels which together contain and serv e a multi -tenant retail strip buildin g ; gaso line fueling pumps, cano py and un derground tanks ; and s urr ounding p arking areas. T h e three parcels clearly serve as one property suppor ting the existing use, and t hus they are appraised as one pr operty for special benefits purposes. For Propert y 10, any special benefit concluded for the overall property will be allocated among its three tax parcels on a pro -rata basis, relative to their share of the total land area of the overall property. Scope of Work T he special benefits appraisal will be based on a before -and -after valuation methodology. This involves developing an opinion of the market value of each subject property as it exists before the proposed street /utility improvements, and also concluding an opinion of the market value of the property assuming the improvements are completed. The difference between the before and after values ref lects an opinion of special benefit to the property resulting from the street /utility improvement project. All of the subject p roperties in the project area contain buildings and supporting site improvements . However, since the value benefits of street, utility and similar public improvement projects accrue to the land, rather than to the buildings of individual properties, the valuation in all cases will involve the land component of the subject properties only . The land components of the subject properties will be valued, in both the before and after street /utility improvements positions, by applying the Sales Comparison Approach, which involves comparison of recently sold, reasonably similar land parcels to the subject land. Adjustments to the sale prices of the comparable sales are made for value -related differences between the comparables and the subject. The result is an indication of what the subject land, for each subject property, would sell for i f offered on the market, before and after the improvements. Report Type One appraisal report will be prepared addressing the special benefits valuation of all 12 subject properties. An opinion of special benefit will be provided for each property . The appraisal will be presented in a Restricted Appraisal Report format, which meets the minimum requirements of content that must be contained in an appraisal report as mandated by the Uniform Standards of Professional Appraisal Practice (USPAP). In a Res tricted Appraisal Report format, the focus is on stating the main points and conclusions of the appraisal process, rather than discussing in detail the properties and illustrating the valuation methodology used in arriving at the appraiser’s value opinions . The appraisal process and its results are presented in a very brief manner, with significant supporting data, notes and analyses retained in the office work file of the appraiser. BRKW APPRAISALS, INC. PAGE 5 The primary function of the Restricted Appraisal Report connected to this valuation assignment is to communicate to the client whether proposed or contemplated property assessments in accordance with the City special assessment policy can be sustained by at least an equal increase in the market value of the pro perty as a result of the proposed improvement project; the primary function of the reports is not to document and prove within the report how the conclusion of any market value increase was reached. The Restricted Appraisal Report will contain, for each s ubject property, an opinion of the special benefit, if any, resulting from the improvement project. The report will provide commentary on the various factors and circumstances influencing the final conclusions of benefit to the properties. The valuation methodology used to develop the opinions of special benefit will be described in a summarized manner. However, the report, due to its brevity, will not present comparable sale data or adjustment grids used to arrive at the value opinions. Assuming tha t the appraisal is to be used internally by city officials only (for the purposes of determining the increase in property market value relative to proposed or contemplated assessments), the Restricted Appraisal Report format should sufficiently serve the i ntended use and at the same time provide significant economies pertaining to the time spent writing the report versus completing the analysis and valuation. These economies are reflected in the proposed appraisal fee. Given the brevity of the Restricted Appraisal Report format, it is restricted for use and designed to be read by the i ntended users only (in this case officials of the client Bolton & Menk, Inc. and officials of its client, the City of Hopkins ), since others not substantially familiar with the properties, proj ect and/or valuation process may not fully understand the report without the supporting information retained in the appraisal work file. To clarify the intent, limitations, and allowances of the Restricted Appraisal Report, it is appropriate for use withi n the immediate intended user base (officials/staff of Bolton & Menk, Inc. and the City of Hopkins); it is not appropriate for dissemination to other groups beyond the intended user base, such as the public, via City Council meetings and/or Council packet s posted on the city website. On the other hand, there is nothing inappropriate about the i ntended use rs quoting the conclusions of the appraisal report to others, including the stated opinions of special benefit, as long as the appraisal report itself is not pre sented for viewing by those beyond the intended user base, since the data and analysis supporting the opinions of special benefit is not included in the report. Should any one or more property owners subsequently appeal a special assessment related to the project, at that point our firm would be able to follow up with a more comprehensive, detailed report, presented in an Appraisal Report format, addressing an individual property, with sufficient data and documentation such that th e report could be used for settling the appeal or trying it in court. Additional appraisal fees and time would be necessary for our firm to provide such an expanded, individual property report for an appeal. BRKW APPRAISALS, INC. PAGE 6 Proposed Appraisal Fee Based on the anticipa ted scope of work involved in completing this assignment, I propose the following appraisal fee: $18,000. Completion Date The appraisal report will be completed no later than August 16, 20 21. Deliverables A high -quality, full -color electronic copy of the appraisal report, in .pdf form at, will be emailed to you upon completion of the assignment. Should the need or desire arise for one or more hard copies of the report as well, our firm could print, bind and mail to you such hard copi es, upon your request, with sufficient advance notice. Thank you, Mr. Amatuccio , for the opportunity to submit this proposal. Please contact me at 651 -646-6114 , 612 -229-9818 (direct line) or pgleason@brkw.com with any questions or comments you may have. Sincerely, BRKW APPRAISALS, INC. Paul J. Gleason , MAI Principal Certified General Real Property Appraiser MN License No. 4003073