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i i October 12, 2007 WIDSETH i SMITH N]OLTING Mr. Carl J. Smith, Jr. Car-Col Construction and Trailside Estates, LLLP 19513 State Highway No. 371 i Brainerd, MN 56401 VIA Email and Mail Re: Pequot Lakes, MN Trailside Estates WSN No. 0130B0034 Dear Mr. Smith: We are in receipt of Landecker's October 11, 2007 letter to you concerning the punch list, estimated value of remaining work, and a recommendation that your project bond/financial security be reduced to $33,750. t We concur with Landecker's letter. While the City Council has the final say, I would suggest you submit a bond/financial security for the$33,750 to the City so that all is in order the next time the City Council can take up this matter. After the City Council approves this reduction, the City should be able to release your larger, overall project bond and keep this smaller bond/financial security. While some are finished, not all of the remaining punch list items are completed - some you are still working on, several will not be able to be checked until next spring, and a couple you said you would not do(Item 1, Nos. 2 and 3). For the items that you said you would not take care of, we are disappointed that you took that approach— No. 2 is a standard that was part of your Engineer's certification of the plans and a requirement of yours and the City's Sanitary Sewer Extension Permit from the Minnesota Pollution Control Agency. If you do not take care of this responsibility, we will have to consider pursuing other avenues to address it. As several items will not be ready for final inspection until spring, we are recommending the following levels of acceptance to the public infrastructure improvements: Sanitary Sewer System 3 The City will run and perform normal maintenance on the lift station. You will be responsible for the manholes and pipe upstream of the lift station as well as any lift station repairs caused by material from the gravity system or your construction until overall acceptance by the City in the spring. i t Watermain System The City will, obviously, will continue to provide you with water. You will be responsible for the watermain, valves, curb stops, and other components of the system until overall acceptance by the City in the spring. f Storm Sewer System and Streets My understanding with City staff is that, while they are not committing, they are open to having discussions about doing the plowing of the streets over this coming winter. You will be I J:\0130B-City of Pequot lakes\013080034-Trailside Estates\0130B0034.000-Construction Services\Correspondence\101207-Car-Col-punch list and c ompletion.doc 7804 Industrial Pork Road ■ PO Box 2720 ■ Baxter,MN 56425-2720 ■ TEL:218.829.51 17 ■ FAX: 218.829.2517 ■ WEB:www.wsn-mn.com ENGINEERING ARCHITECTURE LAND SURVEYING ENVIRONMENTAL SERVICES AA/EEO 1