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. . . ARDEN HILLS CITY COUNCIL - MAY 30, 2000 4 D. Pay Estimate #8 (Final). Lametti & Sons, Inc., Gateway Business District, Fourteenth Street NE Mr. Brown stated that the Gateway District project was completed in fall 1998, although some outstanding road surfacing items were not remedied by the contractor until spring 2000. He added that this final payment reflects release of the retainage on the project. He recommended that the Council approve the final payment, Pay Estimate #8, in tbe amount of $25,710.11 to Lametti & Sons, Inc. Acting Mayor Larson asked whether 5% retainage is sufficient incentive for contractors to complete construction projects in a timely manner. Mr. Brown stated that 5% retainage is usually sufficient for small contractors, He noted that large contractors are often quicker and more reliable, although retainage is not as imperative for them. He added that state projects do not hold any retainage. Acting Mayor Larson asked whether the contractor is aware of the retainage during the bid process, and whether other cities hold more than 5% retainage. Mr, Brown stated the contractor is always aware of the retainage. Mr. Post noted that the contractor must post a performance bond that can only be released upon completion of the construction project. He added this is an additional incentive for the contractor to get the job completed in a timely manner. MOTION: Councilmember Aplikowski moved and Councilmember Rem seconded a motion to approve final payment of Pay Estimate #8 in the amount of $25,710.1 I to Lametti & Sons, Inc., upon receipt of final papers. The motion carried unanimously (4-0), E. Mounds View Senior High School Construction Manager, Stahl Construction Company, Gregg A. Johnson, Project Manager; Time Extension Request from State Fire Suppression Requirements Acting Mayor Larson welcomed Gregg Johnson, Stahl Construction's Project Manager for the Mounds View Senior High School Construction project. Councilmember Rem stated that the time extension request appears to be a procedural issue, noting that Staff has not indicated any problems with the request as presented. Acting Mayor Larson asked why the City of Arden Hills, as well as Shoreview and North Oaks. is being asked to take such an action. Mr. Johnson stated that the State Fire Marshall requires that the local municipalities be in agreement with regard to the time extension request. Acting Mayor Larson noted that City staff had recommended tbat the Council defers taking any action on this issue, and asked whether this would be an impediment to completion of the construction project. Mr. Johnson stated that a deferral would impede construction.