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D001596CITY OF SAINT PAUL OFFICE OF THE MAYOR • ��r , s • ADIVIINISTRATNE ORDER Date: u. , e 4! 8-� a ADMIIVISTRATIVE ORDER, Whereas, in 1997 Ryan Construction Co. consulted with Public Works personnei regarding street obstruetion permit fees prior to their bid submittai for construction of the State of Minnesota Revenue Building; and Whereas, the 1997 rates for such permit fees were $5,462.60; and Whereas, the 1998 fee schedule was not known at the time of the Ryan Construction Co.'s bid submittal; and Whereas, the City of Saint Paui fees associated with street obstruction permits were changed on January 1, 1998 to reflect and to more accurately represent the intent of the right of way control ordinances enacted by the Saint Paul City Council, but those changes did not address fees for work that was bid upon prior to the changes; and Whereas, the City ofi Saint Paui Department of Pubiic Works has biiied Ryan Construciion Company $47,900.00 fior Street obstruction permits in connection with their 1997 bid and 1998 work on the State of Minnesota Revenue Building; and Whereas, section 135.�6 of the Saint Paul Legislative Code grants the director of Pubiic Works the authority to establish obstruction permit fees; and Whereas, the Director of Public Works recommends that Ryan Construction Co, pay permits fees based on 1997 rates of $5462.60. Now, therefore, be it ordered that City officials are authorized to reduce permit fee charges for Ryan Construction Company reiated to their 1997 bid and 1998 work on the State of Minnesota Revenue Building to $5,462.60. APPROVP:D AS TO FORM `��.,�•��'� `1-�'�S Assistant City Attorney Depazrment Head rY'� ^ ��. � F ance and Management Services Directoc � �1{� rublic works Tom Kuhfeld 266-6171 ON COUNCILAGENDA BY (DATE} 8/25/1998 ASSIGN NUMBERFOR ROU747G Oi�FA GREEN SHEET �„="<•_ No. 3� DDD t59l� � DFPARTMEMDIREC(OF � u CffYCOUNGL � 9 � .9 �����1'�;�'� 1 ATTORNEY q7y C�EqK ❑ FlNANCIALSERVICESDIR�� FlNANqALSERV/ACCTG n n ❑ MAYOR(OR ASSISTAN"� ❑ TOTAL # OF SIGNATURE PAGES ACTONREQUESTf.D ❑ Tan KuMeld (CLIP ALL LOCATIONS FOR SIGNATURE) Rednce chazges to Ryan Constructuion Company for street obstruction pernuts issued after January 1, 1998 to reflect the permit fee rates in effect when contractors were bidding on the State of Minnesota Revenue Building consrivction project. Pernut fees to Ryan Consmiction Co. for 1998 on the Revenue $uilding aze $47,900.00. Fees should be reduced to conforrn with the rate system for 1997 resulting in modified permit fees of $5,462.60. RECOMMENDATIONS:Approve (A) w Rajecf tF� PLANNING CAMMISSIpN CIB COMMITTEE CIYIL SERVICE COMMISSION A PubNC Waks StaH A AAayofsStaN 7. Has Uus person/firm ever worked under a contract for this depaAment? YES NO 2. Has this personttirm ever 6een a city employee? YES NO 3. Dces this persoNfirm possess a skifl rrot rrormally possessed by any current cfry employee? YES NO 4. Is this persoNfirm a targetetl vendoR YES NO Fxplain all yes answers on separate shset and attach to green sheet PflOBLEM.ISSUE, OPPOflTUNITY (WHO, WHAT, WHEN, WHERE, WHY): Ryan Construction Co. submitted the'u bid for wnstruction of the State of Minnesota Revenue Building using information on per¢tit fees �uoted by Saint Paul Public Works. The 1998 pemut fee schedale was not known at the tune of the bid. Certain criteria used in the 1998 °ee schedule resulted in a lazge increase For contractors that use the City right of way for extended periods of time. The fees are sh�uctured tc :ncoucage early compledon and to minimize use o£ the right of way for construcdon activifies. )VANTAQES IF APPROVED. educGon in pernut fees will result in the contractor paying only the amount originally quoted for pernuu by Public Works and will serve � align that expense with the amount bid by the contcactor for this project. Public Works staff believes the contractor has performed work an expedifious manner and did not needlessly use right of way at the expense of the traveling public. �DVRNTAGESIFpPPFOVE�. e amount billed has not yet been collected. Changing the amount billed will reduce income to the Right of Way fund, but will not cause undue burden on finances for the Right of Way Aivision. �VANTAGES IF NOT APPROVED: an Construction Co.'s costs for permits will gready exceed the amount budgeted for the Revenue Building project. .AMOUNTOFTRANSAC770N$ Q494474(1 COST/REVENUEBUD6ETED(CIRCLEONE) YES No INGSOURCE Rinht nf Way ACTNfTYNUMBER :IA� MFORMATION (EXPLAIN) �F �.�.�� �� aze no other major building consriucuon projects that were started under the old permit fee schedule and r�Stimed dAcd��ted after menta5on of the cuuent fee schedule 7au 1, 1998. C47Y CL�RK