HomeMy WebLinkAbout04-06-09 Minutes CITY OF OAK PARK HEIGHTS
• 5:30 P.M. MONDAY, APRIL 6, 2009
SPECIAL CITY COUNCIL MEETING MINUTES
I. Call to Order:
The meeting was called to order at 5:30 p.m. by Mayor Beaudet. Present:
Councilmembers Abrahamson, McComber, Runk and Swenson. Staff present:
Administrator Johnson, Financial Director Holst and City Attorney Vierling.
Absent: None.
II. Citv Hall Facilitv:
Randy Engel of Buetow and Associates, the City Hall Project's architect,
appeared before the council and stated that the bids for the City Hall Project came
in higher than anticipated. He reported that the prequalification process drew in
high quality contractors and that the prevailing wages provision provided for
higher bids. Engel stated the estimated cost of the project was $5,370,000, and he
miscalculated the impact of the recession.
Mayor Beaudet reported that as part of the bidding procedures for government,
the City cannot negotiate any of the prices before a contract is signed. The only
• options are to accept the bids and go forward, or re -bid the project if the City
wants to reduce the cost.
Engel reported that there are some options to reduce the cost of the project. He
stated the City could decide to not add onto the Public Works building which
would provide for a credit. He stated the estimated cost of a new Public Works
building would be 1.45 million and would call for a separate bid.
Randy Engel reported that the combination of the base bid plus certain alternates
change who the lowest bidder is. He stated the council would need to determine
which alternates they would accept. He reported the council does have 120 days
to accept alternate 8, which would be for a new public works building instead of
adding on to the existing one.
Randy Engel reported that to preserve the City's ability to select alternate 8 on a
future date, the City would also have to select alternate 3 which is for terrazzo
flooring. He reported this will allow the lowest bidder to remain the same as it
currently is with the design committee recommended alternates of 1,2,4,5,7 and 9.
Councilmember Swenson stated he is not comfortable with adding alternate 3 in
so the council will have to decide whether or not to accept alternate 8 at this time.
Finance Director Holst reviewed a memo which outlined several options for
• funding the additional estimate of $1,254,094 needed to fund the City Hall
Project. She reported that one option is to fund the project internally drawing
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April 6, 2009
Page 2 of 3
• from various funds, another option is to bond the additional funds needed, and
another option is to fund the project with a mix of internal funds and a bond issue.
Councilmember Swenson stated that the architect and design committee designed
a good building. Councilmember McComber stated she would prefer to re -bid the
project and look at some of the possible options to cut costs. She stated she does
not want to bond or use internal funds. Councilmember Runk stated that if the
City is going to re -bid the project, they need to make it worthwhile. He stated
some definite cuts would need to be made and he did not believe that significant
cuts could be made without reducing the size of the floor plan. Councilmember
Abrahamson noted that there are areas that could be cut, but questioned whether it
would be enough to bring the project within the current budget.
Mayor Beaudet, seconded by Councilmember Swenson, moved to accept the base
bid and alternates 1,2,4,5 and 9. Councilmember Abrahamson requested
clarification that if this motion is successful re- bidding would not be an option.
Mayor Beaudet confirmed. Councilmember McComber questioned whether it
would be for Jorgenson Construction. Mayor Beaudet confirmed that the low
bidder would be accepted. Roll call vote taken. Carried 3 -2, Abrahamson and
McComber opposed.
• Mayor Beaudet, seconded by Councilmember Swenson, moved to use the two
building funds and the unallocated fund for the project and the remainder of the
funds up to $725,000 from the capital revolving fund. Councilmember
Abrahamson questioned payback and the impact on the levy by borrowing funds
from the capital revolving fund. Mayor Beaudet stated it would be less than if
bonding. Councilmember Abrahamson questioned whether the source of the
funds could be changed later by simple motion. Mayor Beaudet confirmed. City
Administrator Johnson noted that the motion is for about $1,000,000 and the
estimated need is $1,250,000. He stated that the City did approve the geothermal
in January and is still trying to allocate where those funds come from. He stated
he wants the council to understand the gap in the amounts. Mayor Beaudet stated
that as the council works through the budget for next year, they will be able to
manage the increases. He stated that almost all of the money will be coming out
of next year's budget and the City would start paying back the fund in 2010.
Motion carried 4 -1, McComber opposed.
Architect Randy Engel reported that alternate 7 is for wood windows instead of
aluminum. He stated that Andersen Windows is the only company who applied
for an approved substitution. City Attorney Vierling reported that either a motion
to reconsider or a motion to suspend the rules would need to be made in order to
address alternate 7.
Mayor Beaudet, seconded by Councilmember Runk, moved to suspend the rules.
Carried 5 -0.
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April 6, 2009
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Councilmember Abrahamson, seconded by Councilmember Runk, moved to add
alternate 7 to the base bid and allow the Mayor and staff to sign the contracts and
execute documents for the project. Roll call vote taken. Carried 3 -1 -1,
McComber opposed and Swenson abstained. Councilmember McComber noted
that she did not oppose using wood windows; however, she opposed the base bid.
III. Adiourn:
Councilmember McComber, seconded by Councilmember Swenson, moved to
adjourn at 6:39 p.m. Carried 5 -0.
Respectfully submitted, Approved Content and Form,
CC�
Jennifer Pinski David Beaudet
Administrative Secretary /Deputy Clerk Mayor