Title
Resolution to Approve an Agreement with Scio Township for the construction of Miller-Maple Transmission Water Main Project ($3,379,614.00) (8 Votes Required)
Memorandum
Attached for your review and approval is a resolution to authorize an Agreement with Scio Township ($3,379,614.00) to construct the Miller - Maple Transmission Water Main Project.
In 1993, Scio Township expressed interest in obtaining additional water supply from the City of Ann Arbor. A 1993 study by Black & Veatch calculated the expected future needs of Scio Township and the City, and determined that a 20-inch transmission main extending from the treatment plant to the of intersection of Maple Rd. and Dexter Rd. would provide the necessary capacity to supply the Township.
To begin the project Washtenaw Engineering Co., was retained by the city to prepare a detailed construction drawing and cost estimate for the project. During the project planning process it was determined that additional improvements to the water distribution systems were desired. The City decided to use this opportunity to enlarge the proposed 20-inch main to a 24-inch main to provide additional capacity within the West High Service Area of the City for future needs of city customers. Also, the City combined the water main project with storm sewer work necessary to serve the City of Ann Arbor Water Treatment Plant.
The total cost of those improvements is estimated to be $5,231,144.00. The Scio Township's share of the project is estimated to be $3,379,614.00, and the City of Ann Arbor share is estimated to be $1,851,530.00.
In order to provide for the appropriate cost sharing of expenses to be incurred by the City on the project, the City and Township agreed that the Township would deposit funds with the City in a Deposit Drawdown Account. As the City pays for services rendered and/or incurs costs, the City will withdraw funds from the Deposit Drawdown Account and report the use of these funds to the Township monthly. In the event the balance in the account falls below that amount necessary to cover 90 days of projected expenses, the City will request the Township deposit additional funds as necessary. Any funds remaining in the Deposit Drawdown Account at the close of the project will be returned to Scio Township.
The Agreement submitted with this resolution has been reviewed and approved by the Scio Township.
Staff
Prepared by: Homayoon Pirooz, P.E., Project Management Manager
Reviewed by: Sue F. McCormick, Public Services Administrator
Approved by: Roger W. Fraser, City Administrator
Body
Whereas, Scio Township has entered into a Water Supply contract with the City of Ann Arbor;
Whereas, The Scio Township - City of Ann Arbor Water Supply contract requires Scio Township to cause and fund certain capitol improvements to the city water supply system;
Whereas, The project includes additional improvements deemed necessary by the City of an arbor;
Whereas, The City of Ann Arbor has completed the project design and has let the construction contract for the project;
Whereas, The total cost of all the improvements is estimated to be $5,231,144.00 with the Scio Township's estimated share at $3,379,614.00 and the City of Ann Arbor's estimated share at $1,851,530.00; and
Whereas, The City of Ann Arbor must administer the construction contract for all the improvements and pay for the items benefiting the City;
RESOLVED, That the City enter into an agreement with Scio Township ($3,379,614.00) for the construction of the Miller - Maple Transmission Water Main project;
RESOLVED, That the Mayor and City Clerk be authorized and directed to execute said agreement, after approval as to form by the City Attorney and approval as to substance by the City Administrator; and
RESOLVED, That the City Administrator be authorized to take the necessary administrative actions to implement this resolution.