6.4. SR 03-17-2003 Howard R. Green Company
Item 6.4.
March 11, 2003
File: 230353M-0325
Mr. Pat Klaers
City Administrator
City of Elk River
13065 Orono Parkway
Elk River, MN 55330
RE: MNDOT AGENCY AGREEMENT NO. 84231
Dear Mr. Klaers:
Attached are four copies of a MnDOT agency agreement between the Department of Transportation
and the City of Elk River for federal participation in construction. This agreement is very similar to a
previous agreement adopted by the City of Elk River a few years ago. It allows MnDOT to act as the
City's agent in dispersing federal monies on transportation projects. The wording in this new
agreement has been reworked in a minor way; therefore, MnDOT is asking that cities that have had
federal projects in the past and anticipate federal projects in the future readopt these agreements.
Attached is a resolution for the City Council's consideration that would adopt the agreement. Also
attached is a letter from MnDOT explaining how the agreements should be returned.
If you have any questions regarding any of this information, please call.
Sincerely,
Howard R. Green Company
Terry J. Ma'ui'er, P.E.
TJM:sw
Ltr-031103-Klaers
1326 Energy Park Drive · St. Paul, MN 55108 ° 651/644-4389 fax 651/644-9446 toll free 888/368-4389
RESOLUTION 03-
A RESOLUTION FOR THE CITY OF ELK RIVER
A RESOLUTION APPROVING A STATE OF MINNESOTA AGENCY AGREEMENT
BETVVEEN DEPARTMENT FO TRANSPORTATION AND CITY OF ELK RIVER FOR
FEDERAL PARTICIPATION IN CONSTRUCTION
BE IT RESOLVED, 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 City Administrator and the City Clerk 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. 84231", a copy of which
said agreement was before the City Council and which is made a part hereof by
reference.
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 ~day of ,2003, as shown by the minutes of said meeting in my possession.
Notary Public
My Commission expires
Sandra A. Peine, City Clerk
O:\PROJ~230353m\0325\res-031103-agency agreement doc
Minnesota Department of Transportation
lIAR 1 0 2003
State Aid for Local Transportation
Mail Stop 500, 4th Floor
395 John Ireland Boulevard
St. Paul, MN 55155-1899
Office Tel.: 651 282-6479
Fax: 651 282-2727
Terry Maurer
City of Elk River
Howard R Green Company
1326 Energy Park Dr
St Paul, MN 55108-5202
March 6, 2003
SUBJECT:
Delegated Contract Process (DCP)
Agency Agreement No. 84231
Dear Mr. Maurer:
Attached are four copies of the agency agreement between the City of Elk River and Mn/DOT, which
allows for Mn/DOT to act as the County's agent in accepting federal aid in connection with the above
referenced project. This agreement spells out the process and requirements for locally let federal aid
projects (DCP). Any old agreements will remain valid for projects currently under construction.
This agreement will need to be executed by all parties for any future federal aid projects.
Please review and if approved, have all four copies signed. A City Council resolution similar to the
example attached, must be passed. The certified resolution should then be placed as the last page in
each of the four copies of the agreement. Please verify that the person/title authorized to sign as
stated in the resolution, corresponds to the signature (person/title) on the signature page. Please
return all four copies of the agreement to me for Mn/DOT signatures. A fully executed copy will be
returned to you upon final execution.
If you have any questions, please feel free to contact me at 651.282.6479.
~i.~?cerely, , ........
'""L~ette Roshell, PE
Prbject Development Engineer
Enclosures
CC;
Kelvin Howieson
File
Mn/DOT Agreement No. 84231
STATE OF MINNESOTA AGENCY AGREEMENT
BETWEEN
DEPARTMENT OF TRANSPORTATION
AND
CITY OF ELK RIVER
FOR FEDERAL PARTICIPATION IN CONSTRUCTION
This agreement is entered into by and between the City of Elk River ("City") and the State of
Minnesota acting through its Commissioner of Transportation ("Mn/DOT"),
Pursuant to Minnesota Statutes Section 161.36, the City desires Mn/DOT to act as the City's
agent in accepting federal funds on the City's behalf for the construction, improvement, or
enhancement of transportation financed either in whole or in part by federal funds, hereinafter
referred to as the "Project(s)"; and
Mn/DOT requires that the terms and conditions of this agency be set forth in an agreement.
THE PARTIES AGREE AS FOLLOWS:
DUTIES OF THE CITY.
mo
DESIGNATION. The City designates Mn/DOT to act as its agent in accepting
federal funds in its behalf made available for the Project(s).
B. STAFFING.
The City will furnish and assign a publicly employed registered engineer,
("Project Engineer"), to be in responsible charge of the Project(s) and to
supervise and direct the work to be performed under any construction contract let
for the Project(s). In the alternative where the City elects to use a private
consultant for construction engineering services, the City will provide a qualified,
full-time public employee of the City, to be in responsible charge of the
Project(s). The services of the City to be performed hereunder may not be
assigned, sublet, or transferred unless the City is notified in writing by Mn/DOT
that such action is permitted under 23 CFR 1.33 and 23 CFR 635.105 and state
law. This written consent will in no way relieve the City from its primary
responsibility for performance of the work.
(Mn/DOT Agreement No. 84231)
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Co
During the progress of the work on the Project(s), the City authorizes its Project
Engineer to request in writing specific engineering andior technical services from
Mn/DOT, pursuant to Minnesota Statutes Section 161.39. Such services may be
covered by other technical service agreements. If Mn/DOT furnishes the services
requested, and if Mn/DOT requests reimbursement, then the City will promptly
pay Mn/DOT to reimburse the state trunk highway fund for the full cost and
expense of furnishing such services. The costs and expenses will include the
current Mn/DOT labor additives and overhead rates, subject to adjustment based
on actual direct costs that have been verified by audit. Provision of such services
will not be deemed to make Mn/DOT a principal or co-principal with respect to
the Project(s).
LETTING. The City will prepare construction contracts in accordance with
Minnesota law and applicable Federal laws and regulations.
The City will solicit bids after obtaining written notification from Mn/DOT that
the Federal Highway Administration ("FHWA") has authorized the Project(s).
Any Project(s) advertised prior to authorization will not be eligible for federal
reimbursement.
The City will prepare the Proposal for Highway Construction for the construction
contract, which will include all of the federal-aid provisions supplied by
Mn/DOT.
The City will prepare and publish the bid solicitation for the Project(s) as
required by state and federal laws. The City will include in the solicitation the
required language for federal-aid construction contracts as supplied by Mn/DOT.
The solicitation will state where the proposals, plans, and specifications are
available for the inspection of prospective bidders, and where the City will
receive the sealed bids.
The City may not include other work in the construction contract for the
authorized Project(s) without obtaining prior notification from Mn/DOT that such
work is allowed by FHWA. Failure to obtain such notification may result in the
loss of some or all of the federal funds for the Project(s).
5. The City will prepare and sell the plan and proposal packages and prepare and
distribute any addendums, if needed.
6. The City will receive and open bids.
After the bids are opened, the City Council will consider the bids and will award
the bid to the lowest responsible bidder, or reject all bids. If the construction
contract contains a goal for Disadvantaged Business Enterprises, the City will not
award the bid until it has received certification of the Disadvantaged Business
(Mn/DOT Agreement No. 84231)
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Enterprise participation from the Mn/DOT Equal Employment Opportunity
Office.
Do
CONTRACT ADMINISTRATION.
The City will prepare and execute a construction contract with the Contractor, in
accordance with the special provisions and the latest edition of Mn/DOT's
Standard Specifications for Construction.
The Project(s) will be constructed in accordance with plans, special provisions,
and standard specifications of each Project. The standard specifications will be
the latest edition of MnfDOT Standard Specifications for Highway Construction,
and all amendments thereto. The plans, special provisions, and standard
specifications will be on file at the City Engineer's Office. The plans, special
provisions, and specifications are incorporated into this agreement by reference
as though fully set forth herein.
The City will furnish the personnel, services, supplies, and equipment necessary
to properly supervise, inspect, and document the work for the Project(s). The
services of the City to be performed hereunder may not be assigned, sublet, or
transferred unless the City is notified in writing by Mn/DOT that such action is
permitted under 23 CFR 1.33 and 23 CFR 635.105 and state law. This written
consent will in no way relieve the City from its primary responsibility for
performance of the work.
The City will document quantities in accordance with the guidelines set forth in
the Mn/DOT Contract Administration Manual Sections 410 and 420 that were in
effect at the time the work was performed.
The City will test materials in accordance with the Mn/DOT Schedule of
Materials Control in effect at the time each Project was let. The City will notify
Mn/DOT when work is in progress on the Project(s) that requires observation by
the Independent Assurance Inspector as required by the Independent Assurance
Schedule.
The City may make changes in the plans or the character of the work, as may be
necessary to complete the Project(s), and may enter into supplemental
agreement(s) with the individual, firm, or corporation contracting for and
undertaking prosecution of the prescribed work (hereinafter "Contractor"). The
City will not be reimbursed for any costs of any work performed under a
supplemental agreement unless Mn/DOT has notified the City that the subject
work is eligible for federal funds and sufficient federal funds are available.
7. The City will request approval from Mn/DOT for all costs in excess of the
amount of federal funds previously approved for the Project(s) prior to incurring
(Mn/DOT Agreement No. 84231)
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such costs. Failure to obtain such approval may result in such costs being
disallowed for reimbursement.
The City will prepare reports, keep records, and perform work so as to enable
Mn/DOT to collect the federal aid sought by the City. Required reports are listed
in the Mn/DOT State Aid Manual, Delegated Contract Process Checklist,
available from Mn/DOT's authorized representative. The City will retain all
records and reports in accordance with Mn/DOT's record retention schedule for
federal aid projects.
9. Upon completion of the Project(s), the Project Engineer will determine whether
the work will be accepted.
E. PAYMENTS.
The entire cost of the Project(s) is to be paid from federal funds made available
by the FHWA and by other funds provided by the City. The City will pay any
part of the cost or expense of the Project(s) that is not paid by federal funds.
The City will prepare partial estimates in accordance with the terms of the
construction contract for the Project(s). The Project Engineer will certify each
partial estimate. Following certification of the partial estimate, the City will make
partial payments to the Contractor in accordance with the terms of the
construction contract for the Project(s).
Following certification of the partial estimate, the City may request
reimbursement for costs eligible for federal funds. The City's request will be
made to Mn/DOT and will include a copy of the certified partial estimate.
Upon completion of the Project(s), the City will prepare a final estimate in
accordance with the terms of the construction contract for the Project(s). The
Project Engineer will certify the final estimate. Following certification of the final
estimate, the City will make the final payment to the Contractor in accordance
with the terms of the construction contract for the Project(s).
Following certification of the final estimate, the City may request reimbursement
for costs eligible for federal funds. The City's request will be made to Mn/DOT
and will include a copy of the certified final estimate along with the required
records.
F. LIMITATIONS.
1. The City will comply with all applicable Federal, State, and local laws,
ordinances, and regulations.
(Mn/DOT Agreement No. 84231)
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Nondiscrimination. It is the policy of the Federal Highway Administration and
the State of Minnesota that no person in the United States will, on the grounds of
race, color, or national origin, be excluded from participation in, be denied the
benefits of, or be subjected to discrimination under any program or activity
receiving Federal financial assistance (42 U.S.C. 2000d). Through expansion of
the mandate for nondiscrimination in Title VI and through parallel legislation, the
prescribed bases of discrimination include race, color, sex, national origin, age,
and disability. In addition, the Title VI program has been extended to cover all
programs, activities and services of an entity receiving Federal financial
assistance, whether such programs and activities are Federally assisted or not.
Even in the absence of prior discriminatory practice or usage, a recipient in
administering a program or activity to which this part applies, is expected to take
affirmative action to assure that no person is excluded from participation in, or is
denied the benefits of, the program or activity on the grounds of race, color,
national origin, sex, age, or disability. It is the responsibility of the City to carry
out the above requirements.
¸3.
Workers' Compensation. Any and all employees of the City or other persons
while engaged in the performance of any work or services required or permitted
by the City under this agreement will not be considered employees of Mn/DOT,
and any and all claims that may arise under the Workers' Compensation Act of
Minnesota on behalf of said employees, or other persons while so engaged, will
in no way be the obligation or responsibility of Mn/DOT. The City will require
proof of Workers' Compensation Insurance from any contractor and sub-
contractor.
Utilities. The City will treat all public, private or cooperatively owned utility
facilities which directly or indirectly serve the public and which occupy highway
rights of way in conformance with 23 CFR 645 "Utilities" which is incorporated
herein by reference.
G. AUDIT.
The City will comply with the Single Audit Act of 1984 and Office of
Management and Budget (OMB) circular A-133, which are incorporated herein
by reference.
As provided under Minnesota Statutes Section 16C.05, subdivision 5, all books,
records, documents, and accounting procedures and practices of the City are
subject to examination by the United States Government, Mn/DOT, and either
the Legislative Auditor or the State Auditor as appropriate, for a minimum of
seven years. The City will be responsible for any costs associated with the
performance of the audit.
MAINTENANCE. The City assumes full responsibility for the operation and
maintenance of any facility constructed or improved under this Agreement.
(Mn/DOT Agreement No. 84231)
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CLAIMS. The City will pay any and all lawful claims arising out of or incidental to
the performance of the Project(s) work. The City acknowledges that Mn/DOT is
acting only as the City's agent for receipt and disbursement of federal funds, and not as
a principal or co-principal with respect to the Project(s). In all events, the City wilt
indemnify Mn/DOT and hold Mn/DOT harmless from any claims arising out of the
Project(s).
II.
DUTIES OF Mn/DOT.
ACCEPTANCE. Mn/DOT accepts designation as Agent of the City for the receipt
and disbursement of federal funds and will act in accordance herewith.
PROJECT ACTIVITIES.
1. Mn/DOT will make the necessary requests to the FHWA for authorization to use
federal funds for the Project(s), and for reimbursement of eligible costs pursuant
to the terms of this agreement.
Mn/DOT will provide to the City copies of the required Federal-aid clauses to be
included in the bid solicitation and will provide the required Federal-aid
provisions to be included in the Proposal for Highway Construction.
3. Mn/DOT will review and certify the DBE participation and notify the City when
certification is complete.
4. Mn/DOT will provide the required labor postings.
C. PAYMENTS.
1. Mn/DOT will receive the federal funds to be paid by the FHWA for the
Project(s), pursuant to Minnesota Statutes § 161.36, Subdivision 2.
Mn/DOT will reimburse the City, from said federal funds made available to each
Project, for each partial payment request, subject to the availability and limits of
those funds.
o
Upon completion of the Project(s), Mn/DOT will perform a final inspection and
verify the federal and state eligibility of all the payment requests. If the Project is
found to have been completed in accordance with the plans and specifications,
Mn/DOT will promptly release any remaining federal funds due the City for the
Project(s).
In the event Mn/DOT does not obtain funding from the Minnesota Legislature or
other funding source, or funding cannot be continued at a sufficient level to allow
for the processing of the federal aid reimbursement requests, the City may
(Mn/DOT Agreement No. 84231)
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continue the work with local funds only, until such time as Mn/DOT is able to
process the federal aid reimbursement requests.
AUTHORITY. Mn/DOT may withhold federal funds, where Mn/DOT or the FHWA
determines that the Project(s) was not completed in compliance with federal
requirements.
Eo
INSPECTION. Mn/DOT, the FHWA, or duly authorized representatives of the state
and federal government will have the right to audit, evaluate and monitor the work
performed under this agreement. The City will make available all books, records, and
documents pertaining to the work hereunder, for a minimum of seven years following
the closing of the construction contract.
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.
ASSIGNMENT. Neither party will assign or transfer any rights or obligations under this
agreement without prior written approval of the other party.
AMENDMENTS. Any amendments/supplements to this Agreement will be in writing and
executed by the same parties who executed the original agreement, or their successors in
office.
VI.
AGREEMENT EFFECTIVE DATE. This agreement is effective upon execution by the
appropriate State officials pursuant to Minnesota Statutes Section 16C.05.
VII.
CANCELLATION. This agreement may be canceled by the City or Mn/DOT at any time,
with or without cause, upon ninety (90) days written notice to the other party. Such
termination will not remove any unfulfilled financial obligations of the City as set forth in
this Agreement. In the event of such a cancellation 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 cancellation subject to the terms of this agreement.
(Mn/DOT Agreement No. 84231)
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IN WITNESS WHEREOF, the parties have caused this Agreement to be duly executed intending to be bound thereby.
1. CITY
City certifies that the appropriate person(s)
have executed the contract on behalf of the City as
required by applicable articles, bylaws, resolutions, or ordinances
2. DEPARTMENT OF TRANSPORTATION
By:
By:
Title:
Title: Director.
State Aid for Local Transportation
Date:
Date:
3. COMMISSIONER OF ADMINISTRATION
By:.
By:
Title:
Date:
4. ATTORNEY GENERAL
As to form and execution
By:.
Date:
Date:
(Mn/DOT Agreement No. 84231)
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