DEPARTMENT: Parks
FILE TYPE: Consent Action
TITLE
title
Authorization To Execute Contract Amendment With S.M. Hentges & Sons, Inc. For Construction Services For Minnesota River Greenway Fort Snelling Segment In Burnsville And Eagan
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PURPOSE/ACTION REQUESTED
Authorize a contract amendment with S.M. Hentges & Sons, Inc. for construction services for the Minnesota River Greenway to account for additional costs.
SUMMARY
Dakota County is proceeding with the Minnesota River Greenway Fort Snelling Segment (P00127) to construct 3.7 miles of the Minnesota River Greenway between trailheads located near Nicols Road and Lone Oak Road in Burnsville and Eagan, including a bridge to cross over railroad owned by Union Pacific (Attachment: Project Map).
By Resolution No. 23-423 (September 26, 2023), the County entered into a contract with S.M. Hentges & Sons, Inc. for $8,866,975.35 for construction services for the trail portion of the project. Construction of the project faced several significant obstacles during construction, including a temporary de-authorization of the project by MnDOT due to impacts made to a cultural site within the project area, which suspended construction activity for 12 months. During this suspension, prolonged flooding of much of the project area in Summer 2024 resulted in additional mobilization and restoration costs, and protective measures for working within the cultural site. Additional expenses during construction and the suspension of work included labor cost escalation, additional imported clay and soil, and protective matting for low, saturated areas. Staff is currently seeking $139,908 in flood relief funds from the Minnesota Department of Public Safety to cover flood damage restoration costs.
To date, 12 change orders have been issued for the project, with an additional change order pending, totaling $3,009,702.26 (Attachment: Change Order Summary). Change order costs include the following expenses:
• Contractor demobilization, flood restoration: $ 685,703
• Site preparation: $ 11,500
• Delay-related costs: $1,086,632
• Cultural site protection: $ 394,528
• Import of additional soil and clay: $ 452,351
• Labor cost escalation: $ 224,000
Work on several major elements of the greenway, including the trail bed and boardwalks, is now complete; paving, installation of user amenities, and site restoration are scheduled for next year after the trail bed has settled and represent fewer project risks than the completed phases of the trail construction.
RECOMMENDATION
recommendation
Staff recommends execution of a contract amendment with S.M. Hentges & Sons, Inc. in the amount of $3,009,702.26 for additional expenses incurred during the construction of the Minnesota River Greenway Fort Snelling Segment.
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EXPLANATION OF FISCAL/FTE IMPACTS
The Parks Capital Improvement Program includes a total project budget of $23,457,418, including $3,508,000 in federal funds awarded through the 2018 Regional Solicitation. There is sufficient budget for the proposed contract amendment.
☐ None ☒ Current budget ☐ Other
☐ Amendment Requested ☐ New FTE(s) requested
RESOLUTION
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WHEREAS, the Minnesota River Greenway runs along the south side of the Minnesota River in Eagan and Burnsville, extending from I-35W in Burnsville to Lilydale Regional Park in St. Paul; and
WHEREAS, by Resolution No. 11-516 (October 18, 2011), the Dakota County Board of Commissioners adopted the Minnesota River Greenway Plan; and
WHEREAS, the rapidly developing and robust recreational network that has developed in the area has created increased demand for completion of the trail connection between the recently constructed Lone Oak Trail Head, the Cedar Nicols Trailhead, and the Minnesota River Greenway Black Dog Segment to the west; and
WHEREAS, by Resolution No. 23-423 (September 26, 2023), the Dakota County Board of Commissioners authorized execution of a contract with S.M. Hentges & Sons, Inc. for construction service for the trail portion of the Fort Snelling segment of the Minnesota River Greenway in an amount not to exceed $8,866,975.35; and
WHEREAS, construction of the trail began in December 2023 but was suspended due to insufficient permitting clearances related to a cultural site within the project area; and
WHEREAS, progress towards construction of the trail was further set back due to severe flooding of the project area, resulting in damage to construction materials; and
WHEREAS, these incidents resulted in a delay of one year and increased costs for mobilization, restoration, cultural site protection, wage inflation, and additional materials required to address the stoppage, reauthorize the project, and continue with construction in 2025; and
WHEREAS, these additional costs have prompted a total of 12 change orders to the contract with S.M. Hentges & Sons, Inc. to facilitate required actions and allow for construction to continue.
NOW, THEREFORE, BE IT RESOLVED, That the Dakota County Board of Commissioners hereby authorizes its Parks Director to amend a contract with S.M. Hentges & Sons, Inc. to an amount not to exceed $11,876,677.61.
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PREVIOUS BOARD ACTION
11-516; 10/18/11
23-423; 9/26/23
ATTACHMENTS
Attachment: Project Map
Attachment: Change Order Summary
BOARD GOALS
☒ Thriving People ☐ A Healthy Environment with Quality Natural Resources
☐ A Successful Place for Business and Jobs ☐ Excellence in Public Service
CONTACT
Department Head: Niki Geisler
Author: Joe Morneau