DEPARTMENT: Environmental Resources
FILE TYPE: Consent Action
TITLE
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Authorization To Execute Third Contract Amendment With The Boldt Company For Construction Manager/General Contractor Services For Phase II Of Byllesby Dam Water-To-Wire Development Project And Amend Total Project Budget
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RESOLUTION
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WHEREAS, by Resolution No. 15-532 (October 20, 2015), the Dakota County Board of Commissioners authorized staff to execute a contract for preliminary design tasks on a turbine upgrade project to replace the existing century-old equipment in the dam; and
WHEREAS, to complete this project, County staff developed a team including an engineering consultant to provide project design, a turbine manufacturer to provide turbine and generation equipment in a complete package (e.g., water-to-wire equipment), and a general contractor for installation of the equipment and modification to the powerhouse structure; and
WHEREAS, due to the complexities in the design, construction, and installation of the water-to-wire facilities, including new turbines and generators to maximize the electric power output of the dam in the future, staff concluded that the standard low bid methodology of awarding the construction contract was not appropriate and was unlikely to provide the best value to the County; and
WHEREAS, by Resolution No. 18-538 (October 23, 2018), in accordance with the authority granted in Minn. Stat. 130G.535, the County Board approved utilizing a special type of contractor relationship that provides both construction management and general contractor services on the project and allows staff to develop and solicit a request for qualification for services; and
WHEREAS, by Resolution No. 19-773 (October 29, 2019), the Dakota County Board of Commissioners authorized the execution of a contract with The Boldt Company to perform Construction Manager/General Contractor Services related to the redevelopment of the site for the project; and
WHEREAS, by Resolution No. 21-368 (July 20, 2021), the County Board authorized the execution of a contract with The Boldt Company to perform Construction Manager/General Contractor Services for Phase II of the development project; and
WHEREAS, by Resolution No. 22-286 (July 19, 2022), the County Board authorized the first amendment to the contract, bringing the total contract value to a not-to-exceed amount of $22,652,875.42; and
WHEREAS, by Resolution No. 24-247 (May 21, 2024), the County Board authorized the second amendment to the contract, bringing the total contract value to a not-to-exceed amount of $26,335,502.01; and
WHEREAS, the current amendment in the amount of $1,300,000 is necessary to cover costs associated with dam safety, electrical and mechanical supporting components, and high voltage interconnection work associated with selling power on the open market to increase dam revenues and reduce the project payback period; and
WHEREAS, staff recommends execution of a third contract amendment with The Boldt Company, bringing the total contract amount to $27,635,502.01 and including an amendment of the overall project budget in the amount of $2,414,929, bringing the total project budget to $50,546,365.
NOW, THEREFORE, BE IT RESOLVED, That the Dakota County Board of Commissioners hereby authorizes the Physical Development Director to execute a third contract amendment with The Boldt Company to provide Construction Manager/General Contractor services for Phase II of the Byllesby Dam Water-To-Wire Redevelopment Project in the amount not to exceed $27,635,502.01 and amend the overall project budget, totaling $2,414,929 subject to the County Attorney’s Office as to form; and
BE IT FURTHER RESOLVED, That the Dakota County Board of Commissioners hereby amends the 2025 Byllesby Dam Capital Improvement Program Budget as follows:
Revenue
Environmental Legacy Fund $2,414,929
Total Revenue $2,414,929
Expense
Byllesby Dam Water-to-Wire (BD0008) $2,414,929
Total Expense $2,414,929
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