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Department Approval <br />� �� � <br />� .�- <br />[J�, � <br />� <br />REQUEST FOR COUNCIL ACTION <br />Date: 1-4-16 <br />Item No.: 8.e <br />City Manager Approval <br />Item Description: Community Development Department Request for the 2016 Electrical <br />Inspection Service Renewal Contract <br />BACKGROUND <br />z • Attached is an annual service agreement used with the City's electrical inspection contractor. Seven <br />., cities (Roseville, Arden Hills, Little Canada, North Oaks, North St. Paul, Shoreview and Brooklyn <br />� Center) contract with Tokle Inspections, Inc. and have a similar contract for services. <br />: • The proposed service contract with Tokle Inspections, Inc. and owner Peter Tokle includes a <br />�; requirement that the contractor maintains his insurance schedule, provides an annual report and <br />; carries an electrician's license. <br />� • There are no changes in the permit fee schedule for 2016. The fee structure is applicable in all seven <br />� cities. The City passes the costs of doing business on to the electrical contractor as part of the <br />����� electrica] permit charge. The City retains 20% of the electrical permit fee, passing the remaining <br />80% on to Tokle Inspections, Inc. <br />� _ POLICY OBJECT[VE <br />�� The Council annually considers this service contract and accepts any comments from the applicant or <br />interested persons. <br />FINANCIAL IMPACTS <br />��, Over the past siX years, the City has paid approXimately $69,000 per year to the electrical contractor <br />�,� with significant peaks and valleys year to year. Staff has reviewed the alternatives to the current <br />�� approach, particularly jointly hiring a contractor or adding another inspector to handle both electrical <br />� s and some building inspection activities. The amount being paid to contractors is not at a high enough <br />20 ]evel to justify a long term employee. There is also no guarantee that building levels will be as high as <br />2� previous years. Staff recommends that this alternative is premature. This alternative should be evaluated <br />zz annually as the service contract comes up for review. <br />ZJ <br />2c Mr. Tokle's fee schedule for 2016 includes no increases. <br />2� - <br />2E: STAFF RECOMMENDATION <br />2, Staff recommends approval of the 2016 one-year service agreement with Tokle Inspections, Inc. (which <br />2� includes the 2016 Electrical Permit Fee Schedule) and for the agreement to be reviewed annually. <br />2< <br />3�: REQUESTED COUNCIL ACTION <br />3� By motion approve the 2016 Service Agreement with Tokle Inspections, Inc. and authorize the Mayor <br />and City Manager to sign the agreement, after review by the City Attorney. <br />Prepared by: Don Munson, Codes Coordinator <br />Attachment: A- Proposed Consultant Services Contract <br />Page 1 of 1 <br />