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6.1. SR 09-15-2008.''~ ~i Elk REQUEST FOR ACTION River To Item Number Ma or and Ci Council 6.1. Agenda Section Meeting Date Prepared by Public Works Se tember 15, 2008 Ter Maurer, Public Works Director Item Description Reviewed by 193Td Avenue Corridor Improvements between TH 169 and Lori Johnson, Ci Administrator CSAH 13 Reviewed by Tim Simon, Finance Director Action Requested Adopt Resolution approving Minnesota Department of Transportation Agency Agreement No. 93359 and adopt Resolution Approving Plans and Authorizing the Advertisement for Bids for the 193`d Avenue Street Construction Improvement. Background/Discussion The City has finally received approval from MnDOT and the Federal Highway Administration through MnDOT for the advancement of the 193T~ Avenue Street Improvement from TH 169 to CSAH 13. Approval was verbal; staff expects written approval prior to Monday's meeting. MnDOT's approval and authorization to proceed has one small contingency. The plans are still being reviewed by the Bureau of Indian Affairs and any findings they bring forth will need to be addressed (none axe expected -the MnDOT review letter to the Bureau of Indian Affairs went out late; therefore, they are extending the time period they have to respond). The first item for Council consideration is a MnDOT Agency Agreement. The agreement simply states that the City has secured federal funds for the construction of 193`d Avenue, but plans to construct the project in advance of the year it is programmed for the federal funds. Currently, approximately half of the federal funds are programmed in fiscal year 2009 and the remaining funds are programmed in fiscal year 2010. This agreement simply lays out the parameters and the City and MnDOT responsibilities relative to the project being constructed. Attached is a resolution in a MnDOT format that approves the Agency Agreement and allows the Mayor and Administrator to execute it on behalf of the City Council. The second item for the City Council's consideration is a resolution approving the plans and specifications and authorizing the advertisement fox bids. MnDOT has set the project up so that bids would be opened on Monday, October 13. We anticipate approximately a week's time after the bid opening for MnDOT to review the bids and approve the award of the contract. We are estimating that the contract award would be on the Council agenda October 20, 2008. Financial Impact This project is proposed to be funded through a number of sources including a SAFTEA-LU Grant in the amount of $996,000, Municipal State Aid Funds, a Transportation Revolving Loan Fund in the amount of approximately $2.5 million, which will be repaid over time using Municipal State Aid Funds, and finally, local funds. Tim Simon, Finance Director, has been actively involved in the financing of this project and has reported to the Council on a couple of occasions over the past several months. Attachments • MnDOT Agency Agreement • Resolution Approving MnDOT Agency Agreement • Resolution Approving Plans and Authorizing Advertisement for Bids ACtIOn Motion by Second by Vote Follow Up S:\EngineerImprovPxoj\2008 Improvement Projects\193rd Ave Corridor\09 15 08 cc memo.doc Page 2 ~ Mn/DOT Agreement No. 93359 STATE OF MINNESOTA AGENCY AGREEMENT BETWEEN DEPARTMENT OF TRANSPORTATION AND CITY OF ELK RIVER FOR FEDERAL PARTICIPATION IN ADVANCE CONSTRUCTION FOR S.P. 204-104-07; M.P. STPX7109(112) This agreement is entered into by and between City of Elk River ("City") and the State of Minnesota acting through its Commissioner of Transportation ("Mn/DOT"), Agency Agreement No. 84231 which has been executed between the City and Mn/DOT, appoints Mn/DOT as the City's agent to receive and disburse transportation related federal funds, and sets forth duties and responsibilities for letting, payment, and other procedures for a federally funded contract let by the City; and Pursuant to Minnesota Statutes Section 161.36, the City desires Mn/DOT to act as the City's agent to accept and disburse federal funds for the construction, improvement, or enhancement of transportation financed in whole or in part by federal funds; and The City is proposing a federal aid project to reconstruct Municipal State Aid Street 104 from County State Aid Highway 13 to Trunk Highway 169, hereinafter referred to as the "Project"; and The Project has been determined to be eligible for the expenditure of federal aid funds and is programmed in the approved federally approved STIP for the fiscal year 2009; and the project is identified in Mn/DOT records as State Project 204-104-07, and in Federal Highway Administration ("FHWA") records as Minnesota Project STPX7109(112); and The City desires to proceed with the construction of the project in advance of the year it is programmed for the federal funds; and It is permissible under Federal Highway Administration procedures to perform advance construction of eligible prof ects with non-federal funds, with the intent to request federal funding for the federally eligible costs in a subsequent federal fiscal year, if sufficient funding and obligation authority are available; and The City desires to temporarily provide City State Aid and/or other local funds in lieu of the federal funds so that the project may proceed prior to the fiscal year designated in the (Mn/DOT Agreement No. 93359) C:\Documents and Settings\tmaurer\Local Settings\Temporary Internet Files\OLK78\204-104-007BaseACAgreementDifferentFiscalYear09.doc 2/6/04Page 1 STIP; and Mn/DOT requires that the terms and conditions of this agency be set forth in an agreement. THE PARTIES AGREE AS FOLLOWS: L DUTIES OF THE CITY. A. The City will let a contract and construct the Project in accordance with Agency Agreement No. 84231. Payment provisions for federally eligible costs will be as stated herein. B. It is estimated that the total cost of the Project is $ 4,012,390 and that the anticipated federal funding will be capped at $ 996,000. The remaining share will be paid by the City. C. The City will pay any part of the cost or expense of the Project that is not paid by federal funds. D. Request for reimbursement of the federal aid share of the federally eligible costs will be made after October 1, 2008, or earlier if funding and obligation authority are available (subject to the Area Transportation Partnership (ATP) policy). E. If the project is converted to federal funding before completion and final acceptance, requests for reimbursement will occur as partial estimates in accordance with Agency Agreement No. 84231. F. Under Minnesota Statutes § 16C.05, subd. 5, the (Governmental Unit's) books, records, documents, and accounting procedures and practices relevant to this Agreement are subject to examination by the State and the State Auditor or Legislative Auditor, as appropriate, for a minimum of six years. II. DUTIES OF Mn/DOT. A. Mn/DOT will make the necessary requests to the FHWA for authorization to use federal funds for the Project and designation as an Advance Construction project. B. Mn/DOT will request the conversion of the Project to federal funding of eligible costs, when funding and obligation authority are available. C. At such time that the project is converted to federal funding and such funding is received by Mn/DOT, Mn/DOT will reimburse to the City the federal aid (Mn/DOT Agreement No. 93359) C:\Documents and Settings\tmaurer\Local Settings\Temporary Internet Files\OLK78\204-104-007BaseACAgreementDifferentFiscalYear09.doc 2/6/04Page 2 share of the federally eligible costs, previously provided by the City. Reimbursement for City State Aid funds used in lieu of federal funds, will be deposited in the City's State Aid Account. Reimbursement for other City funds used in lieu of federal funds will be forwarded to the City. III. AUTHORIZED REPRESENTATIVES. Each authorized representative will have responsibility to administer this agreement and to ensure that all payments due to the other parry are paid pursuant to the terms of this agreement. A. The City authorized representative is Terry Maurer, City of Elk River, 13065 Orono Parkway, Elk River, MN 55330, or his successor. B. Mn/DOT's authorized representative is Lynnette Roshell, Minnesota Department of Transportation, State Aid for Local Transportation, 395 John Ireland Boulevard, Mail Stop 500, St Paul, MN 55155, phone 651-366-3822, or her successor. IV. TORT LIABILITY. Each party is responsible for its own acts and omissions and the results thereof to the extent authorized by law and will not be responsible for the acts and omissions of any others and the results thereof. The Minnesota Tort Claims Act, Minnesota Statutes Section 3.736, governs Mn/DOT liability. V. ASSIGNMENT. Neither party will assign or transfer any rights or obligations under this agreement without prior written approval of the other party. VI. AMENDMENTS. Any amendments/supplements to this Agreement must be in writing and be executed by the same parties who executed the original agreement, or their successors in office. VII. TERM OF AGREEMENT. This agreement will be effective upon execution by the City and by appropriate State officials, pursuant to Minnesota Statutes Section 16C.05, and will remain in effect for five (5) years from the effective date or until all obligations set forth in this agreement have been satisfactorily fulfilled, whichever occurs first. VIII. TERMINATION. This agreement may be terminated by the City or Mn/DOT at any time, with or without cause, upon ninety (90) days written notice to the other parry. Such termination will not remove any unfulfilled financial obligations of the City as set forth in this Agreement. In the event of such a termination the City will be entitled to reimbursement for Mn/DOT-approved federally eligible expenses incurred for work satisfactorily performed on the Project to the date of termination subject to the terms of this agreement. (Mn/DOT AgreementNo. 93359) C:\Documents and Settings\tmaurer\Local Settings\Temporary Internet Files\OLK78\204-104-007BaseACAgreementDifferentFiscalYear09.doc 2/6/04Page 3 IN WITNESS WHEREOF, the parties have caused this Agreement to be duly executed intending to be bound thereby. CITY City certifies that the appropriate person(s) have executed the contract on its behalf as required by applicable resolutions, ordinances, or charter provisions DEPARTMENT OF TRANSPORTATION By: Title: Director State Aid for Local Transportation By: Date: Title: By: Date: Title: Date: COMMISSIONER OF ADMINISTRATION By: Date: (Mn/DOT Agreement No. 93359) C:\Documents and Settings\tmaurer\Local Settings\Temporary Internet Files\OLK78\204-104-007BaseACAgreementDifferentFiscalYear09.doc 2/6/04Page 4 RESOLUTION 08- A RESOLUTION FOR THE CITY OF ELK RIVER A RESOLUTION APPROVING MINNESOTA DEPARTMENT OF TRANSPORTATION AGENCY AGREEMENT #93359 BE IT RESOLVED by the City Council of the City of Elk River, Minnesota that pursuant to Minnesota Stat. Sec. 161.36, the Commissioner of Transportation be appointed as Agent of the City of Elk River to accept as its agent, federal aid funds which may be made available for eligible transportation related projects. BE IT FURTHER RESOLVED, the Mayor and Administrator are hereby authorized and directed for and on behalf of the City to execute and enter into an agreement with the Commissioner of Transportation prescribing the terms and conditions of said federal aid participation as set forth and contained in "Minnesota Department of Transportation Agency Agreement No. 93359", a copy of which said agreement was before the City Council and which is made a part hereof by reference. Passed and adopted this 15`'' day of September, 2008. Stephanie A. Klinzing, Mayor ATTEST: Tina Allard, City Clerk S:\EngineerImprovProj\2008 Improvement Projects\193rd Ave Corridor\Resolutions\Res Approving Agent Agmt.doc STATE OF MINNESOTA COUNTY OF SHERBURNE I hereby certify that the foregoing Resolution is a true and correct copy of the Resolution presented to and adopted by the City of Elk River at a duly authorized meeting thereof held on the 15t'' day of September, 2008, as shown by the minutes of said meeting in my possession. Tina Allard, City Clerk Notary Public My Commissioner expires (seal S:\LngineerImprovProj\2008 Improvement Projects\193rd Ave Corridor\Resolutions\Res Approving Agent Agmt.doc RESOLUTION 08- A RESOLUTION FOR THE CITY OF ELK RIVER A RESOLUTION APPROVING THE PLANS AND SPECIFICATIONS AND ORDERING THE ADVERTISEMENT FOR BIDS IN THE MATTER OF THE 193rd AVENUE STREET IMPROVEMENT OF 2008 WHEREAS pursuant to City Council direction, the Project Engineer has prepared plans and specifications for the 193rd Avenue Street improvement, which plans and specifications have been reviewed by the City; NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, Minnesota: Such plans and specifications, a copy of which are available for inspection through the City Clerk's office and incorporated herein by this reference, are hereby approved. 2. The City Administrator shall prepare and obtain the publication of an advertisement for bids for the making of the improvement pursuant to the plans and specifications. The advertisement shall be published once each week for three consecutive weeks, shall specify the work to be done, and shall state that the bids will be received by the City Administrator until 10:00 a.m. on Monday, October 13, 2008, at which time the bids will be publicly opened in the Council Chambers of the City Hall by the City Administrator or her designee and the Project Engineer and will then be tabulated fox consideration by the City Council at a meeting thereof at 6:30 p.m. on Monday, October 20, 2008, in the City Council Chambers at City Hall. No bids will be considered unless sealed and filed with the City Administrator and accompanied by a cash deposit, cashier's check, bid bond, or certified check payable to the City of Elk River in the amount of 5% of the amount of such bid. Passed and adopted this 15th day of September, 2008 Stephanie A. Klinzing, Mayor ATTEST: Tina Allard, City Clerk S:\Resolutions\Resolution App Plans-Specs-order ad for bids.doc