08-04-2020 City Council Meeting Minutes

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City Council Minutes August 4, 2020 Page5of10 ----------------------------- The Construction Contract calls for payments to the Contractor, RL Larson Excavating, on a monthly basis. This Project is a unit price job where the Contractor provided unit prices for estimated quantities for different items of work. RL Larson Excavating has submitted quantities for the work performed in this Partial Payment Estimate (PPE) Number 4, which we have verified. All PPEs, per the Contract, include 5% retainage held back by the City until Substantial Completion. At that point, the Contract calls for releasing some of the retainage based on the completion of punch list/remaining items. Accordingly, this PPE No. 4 releases some of the retainage (50%), but keeps $75,000. At the writing of this memo (July 28th), RL Larson Excavating has completed the majority of the work. But, there are several punch list and quantity line items yet to be calculated and paid for. We anticipate this will occur at your September meeting. This PPE No. 4 brings the Amount of Work to-date versus the Contract Amount to 98% —i.e. this does not always happen on unit price projects, but, still under budget. COUNCIL MEMBER PEDERSON MOVED TO APPROVE PARTIAL PAYMENT ESTIMATE NUMBER 4 TO RL LARSON EXCAVATING INC. IN THE AMOUNT OF $152,309.50. COUNCIL MEMBER SWANSON SECONDED THE MOTION. MOTION CARRIED 4-0. 9.2. South Sluetter Road Quit Claim Deed/Donation In 2017, Tom Peterson, on behalf of Gary and Jaculin Peterson, approached the City stating his parents receive real estate tax statements for a portion of South Sluetter Road and requested being released from the taxes. He was advised ownership would need to be transferred to the City conveying title to the property in question for them to no longer be responsible to pay real estate taxes. In 2019, Gary Peterson contacted the City after receiving a letter dated June 20, 2019, in which a third party offered to purchase a parcel of property described as Outlot B, Mayoville Estates, also known as part of South Sluetter Road. Mr. Peterson wondered if the City had an interest in purchasing Outlot B. The City reviewed ownership records of Outlot B and determined there may have been some miscommunication at the time of annexation betwee� Sibley Township and the City as to what portions of South Sluetter Road were to be publicly maintained. Sibley Town Board passed a resolution in April of 1991 finding the northern '/ mile (more or less)of South Sluetter Road was to be a duly- established township road. However, the portion of South Sluetter Road located on Outlot B was not a part of the road designated as a township road in 1991. The City contacted Gary Peterson several times regarding his plan to either transfer ownership to the City or the City would cease maintenance of Outlot B.