Title
Authorizing not using a Project Labor Agreement (PLA) for the Margaret Park Site Improvement Project.
Body
WHEREAS, the Saint Paul City Council adopted a policy on the use of Project Labor Agreements (“PLA”) pursuant to Council File #09-584 for projects involving $250,000 or more of city money; and
WHEREAS, the Department of Parks and Recreation is undertaking improvements to Margaret Park as approved in the 2015 approved CIB budget, with a total project budget of $500,000; and
WHEREAS, the Department of Parks and Recreation sent a written “Notice and Request for Recommendation on the Use of a PLA” to interested parties on January 19, 2016 with one response received; and
WHEREAS, the Building Trades Council recommended use of a PLA, with the stated reasons being “Labor Negotiations, Dollar Amount, and Time Sensitive”; and
WHEREAS, the Project Manager has recommended against the use of a PLA for the following reasons:
1) the project is being bid as a lump sum and labor rates are established by prevailing wage labor rates which meet or exceed union rates. Labor costs and requirements as well as total project costs are already accurately established with the bid;
2) the project, while over the threshold dollar amount, is relatively small, involving a 143 sq. ft. single-stall restroom building and three acres of site work to include: removal of the existing parking lot and several retaining walls remaining from the former recreation center, aeration, light grading and reseeding the athletic field, new walkways, site furnishings, and plantings; and
3) the construction work is anticipated to take 120 days calendar or business, which is not considered a long construction period. Delay of the completion date would not result in unusual losses; and
WHEREAS, the PLA response form offered no specifics on labor negotiations which would indicate concerns over strikes or work stoppage or how the project was time sensitive; now, therefore, be it
RESOLVED, that the City Council finds that the Margaret Park Improvements Project is not of a scope or nature that it will be negatively impacted if no PLA is required.