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3.13 Well #10 Project Pay Application #2 Request for City Council Action DEPARTMENT INFORMATION ORIGINATING DEPARTMENT REQUESTOR: MEETING DATE: Public Works City Engineer Wagner February 13, 2022 PRESENTER(s) REVIEWED BY: ITEM #: Consent City Administrator/Finance Director Flaherty 3.13 – Pay Application for Well #10 STRATEGIC VISION MEETS: THE CITY OF OTSEGO: Is a strong organization that is committed to leading the community through innovative communication. X Has proactively expanded infrastructure to responsibly provide core services. Is committed to delivery of quality emergency service responsive to community needs and expectations in a cost-effective manner. Is a social community with diverse housing, service options, and employment opportunities. Is a distinctive, connected community known for its beauty and natural surroundings. AGENDA ITEM DETAILS RECOMMENDATION: City Staff is recommending City Council approval of Pay Application #2 to Traut Companies. ARE YOU SEEKING APPROVAL OF A CONTRACT? IS A PUBLIC HEARING REQUIRED? No No BACKGROUND/JUSTIFICATION: Pay Application #2 includes payment for drilling, casing, grout, explosives, removals, well development, and sandstone removal. Additional mobilization and additional blasting and bailing were necessary. Some items, such as well development and sandstone removal, are significantly more than the amount bid. Although these increases have raised the cost of Phase 1 of Well #10, the increased capacity of the well is estimated to be double what was anticipated. This increase in capacity will help alleviate issues with meeting the City’s emergency volume needs and likely reduce the number of wells the City will need in the future. In accordance with Minnesota Statute, the City is withholding the maximum of 5% retainage of work completed, which amounts to $11,711.25 at this time. SUPPORTING DOCUMENTS ATTACHED: • Pay Application #2 POSSIBLE MOTION PLEASE WORD MOTION AS YOU WOULD LIKE IT TO APPEAR IN THE MINUTES: Motion to approve Pay Application #2 in the amount of $188,902.75 to Traut Companies for work completed on the Well #10 Project. BUDGET INFORMATION FUNDING: BUDGETED: Fund 601 – Water Utility Yes