Blaine logo
File #: EDA RES 19-03    Version: 1 Name: Approval of Contract for Demolition Services
Type: EDA Resolution Status: Passed
File created: 5/20/2019 In control: EDA
On agenda: 5/20/2019 Final action: 5/20/2019
Title: APPROVAL OF CONTRACT FOR DEMOLITION SERVICES AT 2111 105TH AVENUE NE
Sponsors: Erik Thorvig
Attachments: 1. Base Bid Removal, 2. Bid Alternate Removal

ECONOMIC DEVELOPMENT AUTHORITY- Erik J. Thorvig, Economic Development Coordinator

 

Title

APPROVAL OF CONTRACT FOR DEMOLITION SERVICES AT 2111 105TH AVENUE NE

 

Background

 

In 2017, the Blaine Economic Development Authority purchased 10525 Nassau St. and 2111 105th Ave. from Arkad Corporation.  The properties are located in a redevelopment area identified in the 2030 and 2040 Comprehensive Plans.  The building at 10525 Nassau St. was demolished in 2018.  Arkad Corporation leased the building at 2111 105th Ave. from the Blaine EDA and the lease expires on May 31, 2019.

 

Staff received two bids for demolition services for the building at 2111 105th Ave. from Sauter and Sons and Nitti Roll-off.  The following is a tabulation of bids:

 

                     Sauter and Sons: Base Bid - $43,000; Bid Alternate - $18,000; TOTAL - $61,000

                     Nitti Roll-off: Base Bid - $46,900; Bid Alternate - $17,000; TOTAL - $63,900

 

Staff recommends accepting the bid from Sauter and Sons with the bid alternate.  When the building at 10525 Nassau St. was demolished a hard surface drive-way was left in place to provide access for Arkad Corporation to the building they are leasing.  Therefore, there is a significant amount of hard surface that exists between the two properties.  Staff requested contractors to provide a base bid that removed the hard surface along Nassau St. and 105th Ave. and kept the hard surface that is interior to the site (see attached map titled Base Bid Hard Surface Removal).  The bid alternate removes all hard surfaces (see attached map titled Bid Alternate Hard Surface Removal).  Staff believes removing all hard surfaces will provide a better site appearance and make the properties more shovel ready as staff markets the properties for redevelopment.  The project schedule requires the building and site restoration work to be completed by Friday, June 21.

 

The ideal redevelopment vision would be to develop commercial/office/retail uses that are similar to what is within the Town Square development near city hall.

 

Recommendation

Accept the bid in the amount of $61,000 from Sauter and Sons, Inc. for 2111 105th Ave.  Funds for this project would be from the pooled redevelopment TIF account.  

 

Body

WHEREAS, it is one of the goals and purposes of the Blaine EDA to improve the community, strengthen the tax base and enhance employment opportunities; and

 

WHEREAS, the EDA owns property at 2111 105th Ave.; and

 

WHEREAS, the EDA purchased the property for the purpose of redevelopment; and

 

WHEREAS, bids were solicited for demolition of the building; and

 

WHERAS, two bids were received and the lowest bid was submitted by Sauter and Sons in the amount of $61,000.

 

NOW, THEREFORE, BE IT RESOLVED, by the Board of Commissioners of the Blaine Economic Development Authority, City of Blaine, Minnesota, that the President and Executive Director of the Blaine Economic Development Authority are here authorized to execute any and all agreements and documents with Sauter and Sons required for demolition of 2111 105th Ave.

 

PASSED by the Blaine Economic Development Authority this 20th day of May 2019.