09.d2 Tii Gavo Phase II Utility Street Improvements - Letter of Credit Reduction No 114727 209 th St. N. PO Box 128, Scandia, Minnesota 55073
Phone (651) 433-2274 Fax (651) 433-5112 http://www.ci.scandia.mn.us
June 10, 2024
Honorable Mayor and City Council
City of Forest Lake
1408 Lake Street S
Forest Lake, MN 55025
RE: Tii Gavo 2nd Addition Utility & Street Improvements
Letter of Credit Reduction Request No. 1
Dear Mayor and Council:
The Representatives from J. Johnson Development LLC (Tii Gavo 2nd Addition) have requested a
reduction in their financial surety for the site improvements that have been completed to date for the
subdivision located between Lakamaga Trail N and Newgate Ave N off of Big Marie Lake.
Work completed to date on the project included installation of the sanitary sewer pressure system to
individual lots that is privately owned and maintained, site grading, installation of storm sewer culverts
and storm basins, streets up to base course, and placement of erosion control devices. The majority of this
work was completed in 2023.
Remaining work to be completed includes correction work within the stormwater basins because they are
not drawing down, completion of the street including wear course and aggregate shouldering, and final
restoration.
The current Letter of Credit is for the amount of $557,600. The estimated value of the remaining site
work is $115,600 which includes 125% of the estimated construction of the remaining items as required
by the Development Agreement.
We request that the City Council consider the request to reduce the financial securities for the
improvements to an amount no less than $115,600 for this project. Please contact me if you have any
questions regarding this letter of credit reduction
Sincerely,
Ryan J. Goodman, P.E.
City Engineer
Item
No.Description
Unit Estimated
Quantity
Unit
Price
Total
Price
1 Mobilization (For Stormwater correction work and final street work) LS 0.25 $20,000.00 $5,000.00
2 Traffic Control (For Stormwater correction work and final street work) LS 1 $1,500.00 $1,500.00
3 Temporary Construction Entrance EA 0 $2,000.00 $0.00
4 Connect to Existing Sanitary Sewer EA 0 $2,000.00 $0.00
5 1.25" Pressure Lateral LF 0 $35.00 $0.00
6 2" PE Pressure Main LF 0 $45.00 $0.00
7 Air Release Manhole EA 0 $4,500.00 $0.00
8 Clean Out LF 0 $1,000.00 $0.00
9 Curb Stop EA 0 $750.00 $0.00
$6,500.00
10 Connect to Existing Storm Sewer EA 0 $1,500.00 $0.00
11 12" RCP Storm Sewer, CL 5, 0'-10' DEEP LF 0 $55.00 $0.00
12 12" Flared End Section EA 0 $1,500.00 $0.00
13 Riprap Class III CY 0 $55.00 $0.00
14 Infiltration Basin - Punch List Work LS 1 $30,000.00 $30,000.00
15 Organic Compost, Grade 2 CY 0 $35.00 $0.00
16 Storm Drain Inlet Protection EA 17 $100.00 $1,700.00
$31,700.00
17 Remove Bituminous Pavement SY 0 $5.00 $0.00
18 Sawing Bituminous Pavement LF 0 $5.00 $0.00
19 Subgrade Preparation SY 0 $2.00 $0.00
20 Subgrade Excavation CY 0 $15.00 $0.00
21 Common Excavation CY 0 $20.00 $0.00
22 Select Granular Borrow, Modified CY 0 $25.00 $0.00
23 Aggregate Base, Class 5 TN 0 $18.00 $0.00
24 Aggregate Shouldering, Class 2 TN 175 $39.00 $6,825.00
25 Geotextile Fabric SY 0 $3.00 $0.00
26 Remove and Replace Concrete Curb LF 0 $50.00 $0.00
27 Type SP 9.5 Wearing Course Mixture (3,C)TN 375 $105.00 $39,375.00
28 Type SP 12.5 Non Wearing Course Mixture (3,C)TN 0 $85.00 $0.00
29 Bituminous Tack Coat GAL 260 $8.00 $2,080.00
30 Silt Fence LF 0 $3.00 $0.00
31 Site Restoration and Final Punch List Items LS 1 $6,000.00 $6,000.00
$54,280.00
$6,500.00
$31,700.00
$54,280.00
Total Project Construction Costs $92,480.00
125% Per Improvement Agreement $115,600.00
Letter of Credit Amount Entered in Improvement Agreement $115,600.00
Part 3 - Street Improvements Total Estimated Construction Costs
Part 1- Sanitary Sewer Total Estimated Construction Costs
Part 2 - Storm Sewer Total Estimated Construction Costs
Summary
Part 3 - Street Improvements
Part 2 - Storm Sewer Total Estimated Construction Costs
Part 3 - Street Improvements Total Estimated Construction Costs
Part 2 - Storm Sewer
TII GAVO 2ND ADDITION
Letter of Credit Reduction No. 1
Part 1 - Sanitary Sewer
Part 1- Sanitary Sewer Total Estimated Construction Costs
June 2024
Page 1