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HomeMy WebLinkAboutContract 1832 TAX BASE REVITALIZATION ACCOUNT GRANTEE: City of Columbia Heights GRANT NO. SG005-026 PROJECT: Columbia Heights Industrial Park - Phase 2 GRANT AMOUNT: $288,892.00 FUNDING CYCLE: Fall 2004 COUNCIL ACTION: January 12, 2005 END DATE: June 30, 2007 METROPOLITAN LIVABLE COMMUNITIES ACT GRANT AGREEMENT THIS GPJ~T AGREEMENT (".L1...greement") is made and entered into by the Metropolitan Council ("Council") and the Municipality or Development Authority identified above as "Grantee." WHEREAS, Minnesota Statutes section 473.251 creates the Metropolitan Livable Communities Fund, the uses of which fund must be consistent with and promote the purposes of the Metropolitan Livable Communities Act and the policies of the Council's Metropolitan Development Guide; and WHEREAS, Mimlesota Statutes sections 473.251 and 473.252 establish within the Metropolitan Livable Communities Fund a Tax Base Revitalization Account and require the Council to use the funds in the account to make grants to Municipalities or Development Authorities for the cleanup of polluted land in the seven-county metropolitan area; and WHEREAS, the Grantee is a Municipality or a Development Authority as defined in Minnesota Statutes section 473.252, subdivisions 1 and la; and WHEREAS, the Grantee seeks funding in connection with an application for Tax Base Revitalization Account funds submitted in response to the Council's notice of availability of grant funds for the "Funding Cycle" identified above and will use the grant funds made available under this Agreement to help fund the project identified in the application; and WHEREAS, the Council awarded Tax Base Revitalization Account grant funds to the Grantee subject to any terms, conditions or clarifications stated in its Council Action, and with the under- standing that the project identified in the application will proceed to completion in a timely manner and all grant funds will be expended prior to the "End Date" identified above. NOW THEREFORE, in reliance on the above statements and in consideration of the mutual promises and covenants contained in this Agreement, the Grantee and the Council agree as follows: I. DEFINITIONS 1.01 Def"mition of Terms. The terms defined in this paragraph have the meanings given them in this paragraph unless otherwise provided or indicated by the context. Page 1 of 9 Pages TAX BASE REVITALIZATION ACCOUNT (a) "Cleanup Costs" or "Costs" mean: (1) For hazardous waste or substance contamination, the cost of implementing a voluntary response action plan approved by the Minnesota Pollution Control Agency under Mimlesota Statutes section 115B.175, subdivision 3. (2) For asbestos contamination, the cost of implementing a project-specific asbestos project plan for the Site and perfonning asbestos-related work which is canied out by contractors or subcontractors licensed or certified by the Commissioner of Health under the Mimlesota Asbestos Abatement Act, Minnesota Statutes sections 326.70 to 326.81, in accordance with rules prescribed by the COlmnissioner of Health related to asbestos abatement and asbestos management activity, and meeting the federal Asbestos Hazard Emergency Response Act ("AHERA") standards for asbestos. (3) For petroleum contamination, the cost of implementing a corrective action plan for the Site approved by the Minnesota Pollution Control Agency under Mimlesota Statutes chapter 1I5C. (4) For lead abatement, the cost of lead abatement work perfonned by certified contractors consistent with all applicable federal and state laws, rules and standards goveming lead abatement or regulated lead work on residential or commercial properties. (b) "Council Action" means the action or decision of the goveming body of the Metropolitan Council, on the meeting date identified at Page 1 of this Agreement, by which the Grantee was awarded Tax Base Revitalization Account grant funds. (c) "Development Authority" means a statutory or home rule charter city, a housing and redevelop- ment authority, an economic development authority, or a port authority in the metropolitan area as defined by Mimlesota Statutes section 473.121, subdivision 2. (d) "Municipality" means a statutory or home rule charter city or town participating in the Local Housing Incentives Program under Minnesota Statutes section 473.254, or a county in the metropolitan area as defined by Minnesota Statutes section 473.121, subdivision 2. ( e) "Participating Municipality" means a statutory or home rule charter city or town that has elected to participate in the Local Housing Incentive Account program and negotiated affordable and life-cycle housing goals for the Municipality pursuant to Minnesota Statutes section 473.254. (1) "Project Costs" means all costs as defined in Minnesota Statutes section 116J .552, subdivision 7. (g) "Site" means the polluted land proposed by the Grantee to be cleaned up and located both within the metropolitan area and within a Participating Municipality. II. GRANT FUNDS 2.01 Total Grant Amount. The Council will grant to the Grantee the "Grant Amount" identified at Page 1 of this Agreement which shall be funds from the Tax Base Revitalization Account of the Page 2 of 9 Pages TAX BASE REVITALIZATION ACCOUNT Metropolitan Livable Communities Fund. Notwithstanding any other provision of this Agreement, the Grantee understands and agrees that any reduction or tennination of Tax Base Revitalization Account funds made available to the Council may result in a like reduction in the Grant Amount made available to the Grantee. 2.02 Authorized Use of Grant Funds. The Grant Amount made available to the Grantee under this Agreement shall be used only for Cleanup Costs for the cleanup of the Site described in the application for Tax Base Revitalization Account funds. A project summary that identifies eligible uses of the grant funds as approved by the Council is attached to and incorporated into this Agreement as Attachment A. Grant funds must be used for cleanup of the Site which must be located in a Participating Municipality. If consistent with the application and subject to the limitations in Minnesota Statutes section 116J.556(a), the Grantee may use the grant funds to provide a portion of the local match requirement for Project Costs that qualify for a grant under Minnesota Statutes sections 116J.551 to 116J.557. The Council shall bear no responsibility for cost overruns which may be incurred by the Grantee or others in the implementation or performance of the project activities. The Grantee agrees to comply with any "business subsidy" requirements of Mimlesota Statutes sections 116J.993 to 116J.995 that apply to the Grantee's expenditures or uses of the grant funds. 2.03 Loss of Grant Funds. The Grantee agrees to remit to the Council in a prompt mmmer: any unspent grant funds, including any grant funds that are not expended prior to the End Date identified at Page 1 of this Agreement; any grant funds that are not used for the authorized purposes; and any interest earnings described in Paragraph 2.05 that are not used for the purposes of implementing the project activities described in Attachment A. For the purposes of this Agreement, grant funds are "expended" prior to the End Date if the Grantee pays or is obligated to pay for expenses of eligible project activities that occurred prior to the End Date and the eligible expenses were incurred prior to the End Date. Unspent or unused grant funds mld other funds remitted to the Council shall revert to the Council's Tax Base Revitalization Account for distribution through application processes in future Funding Cycles. 2.04 Payment Request Forms and Disbursements. The Council will disburse grant funds in response to written disbursement requests submitted by the Grmltee and reviewed and approved by the Council's authorized agent. Written disbursement requests shall be made using payment request fonns, the fonn and content of which will be determined by the Council. Disbursements prior to the performance of a project activity will be subject to terms and conditions mutually agreed to by the Council's authorized agent and the Grmltee. Subject to verification of each payment request fonn and approval for consistency with this Agreement, the Council will disburse a requested mnount to the Grantee within two (2) weeks after receipt of a properly completed payment request form. 2.05 Interest Earnings. If the Grantee earns ariy interest or other income from the grant funds received from the Council under this Agreement, the Grantee will use the interest earnings or income only for the purposes of implementing the project activities described in Attachment A. 2.06 Effect of Grant. Issuance of this grant neither implies any Council responsibility for the contmnination at the Site nor imposes any obligation on the Council to participate in the cleanup of the Site contmnination or in the Cleanup Costs beyond the Grant Amount of this Agreement. Page 3 of 9 Pages TAX BASE REVITALIZATION ACCOUNT III. ACCOUNTING, AUDIT AND REPORT REQUIREMENTS 3.01 Accounting and Records. The Grantee agrees to establish and maintain accurate and complete accounts and records relating to the receipt and expenditure of all grant funds received fi-om the Council. Notwithstanding the expiration and tennination provisions of Paragraphs 5.01 and 5.02, such accounts and records shall be kept and maintained by the Grantee for a period of six (6) years following the completion of the project activities described in Attachment A or six (6) years following the expenditure of the grant funds, whichever occurs earlier. Accounting methods shall be in accordance with generally accepted accounting principles. 3.02 Audits. The above accounts and records of the Grantee shall be audited in the same manner as all other accounts and records of the Grantee are audited and may be audited or inspected on the Grantee's premises or otherwise by individuals or organizations designated and authorized by the Council at any time, following reasonable notification to the Grantee, for a period of six (6) years following the completion of the project activities or six (6) years following the expenditure of the grant funds, whichever occurs earlier. Pursuant to Minnesota Statutes section 16C.05, subdivision 5, the books, records, documents and accounting procedures and practices of the Grantee that are relevant to this Agreement are subject to examination by the Council and either the Legislative Auditor or the State Auditor, as appropliate, for a minimum of six (6) years. 3.03 Report Requirements. The Grantee will report to the Council on the status of the project activities described in Attachment A and the expenditures of the grant funds. Submission of properly completed payment request forms required under Paragraph 2.04 will constitute periodic status reports. The Grantee also must complete and submit to the Council within sixty (60) days after the termination or expiration of this Agreement a final monitoring and evaluation report, the fonn and content of which report will be detennined by the Council. In addition to the periodic status reports and the final monitoring and evaluation report, the Grantee must submit to the Council by March 1 of the year following the expiration of this Agreement and by March 1 of each of the succeeding four (4) years, an annual written report that includes information about redevelopment activities, net tax capacity ofthe Site, and jobs resulting from Site cleanup. The form and content of the annual written repOli will be detennined by the Council. The reporting requirements of Paragraphs 3.03 and 3.04 shall survive the tennination or expiration of this Agreement. 3.04 Certificate of Completion. Upon completion of the Site cleanup, the Grantee will provide to the Council: (a) for hazardous waste or substance contamination, a copy of a certificate of completion for the Site issued by the Minnesota Pollution Control Agency pursuant to Minnesota Statutes section 115B.175, or a letter from the Agency indicating that the approved voluntary response action plan for the Site has been implemented to the satisfaction of the Agency and that the Agency is issuing a detennination that no fuliher action is required under Milmesota Statutes sections 115B.01 to 115B.08 to address the identified release; or (b) for asbestos contamination, a copy of a statement from the Grantee's licensed asbestos abatement contractor that the project-specific asbestos project plan and asbestos-related work for the Site have been completed in accordance with the rules of the Minnesota Department of Health; or Page 4 of 9 Pages TAX BASE REVITALIZATION ACCOUNT (c) for petroleum contamination, a copy of a site closure letter issued by the Milmesota Pollution Control Agency pursuant to Minnesota Statutes chapter 115C; or (d) for lead abatement or regulated lead work, a copy of a statement or other documentation from the celiified contractor that the lead abatement or regulated lead work at the Site has been completed in accordance with applicable federal and state laws, lUles and standards goveming lead abatement. IV. RECOVERY AND REPAYMENT 4.01 Recovery of Funds. If the Grantee recovers funds pursuant to an action under Minnesota Statutes section 115B.04, or other law, to recover the reasonable and necessary Project Costs incurred to cleanup the Site, the Grantee shall repay to the Council that poliion of the grant as provided in Paragraph 4.04. 4.02 Assignment of Rights. Upon request of the Council, the Grantee shall assign to the Council the Grantee's right to recover the funds described in Paragraph 4.01, shall prepare and submit a celiification of the Project Costs incurred, and shall cooperate in any cost recovery action brought by the Council. 4.03 Expenses of Recovery. The reasonable litigation expenses or other costs of legal or technical assistance incurred by the Grantee, the Council, or both, may be deducted from recovery obtained in accordance with Paragraphs 4.01 or 4.02 and reimbursed to the entity incurring such costs before proceeds ofthe recovery are distributed in accordance with Paragraph 4.04. 4.04 Reimbursement. Subject to the deduction provided in Paragraph 4.03, amounts recovered either by the Grantee or the Council from responsible persons and all other amounts otherwise received by the Grantee or the Council for cleanup of the Site shall be used to reimburse the Grantee, the Council, or any other nonresponsible paliy who contlibuted funds for cleanup of the Site in proportion to their respective payments for response costs. 4.05 Survival of Recovery and Repayment Provisions. The provlSlons of Paragraphs 4.01 through 4.04 shall survive the expiration or termination ofthis Agreement. V. AGREEMENT TERM 5.01 Term. This Agreement is effective upon execution of the Agreement by the Council. Unless terminated pursuant to Paragraph 5.02, this Agreement terminates on the End Date identified at Page 1 of this Agreement and ALL GRANT FUNDS NOT EXPENDED BY THE GRANTEE PRIOR TOTHEENDDATESHALLREVERTTOTHECOUNC~. 5.02 Termination. This Agreement may be terminated by the Council for cause at any time upon foulieen (14) calendar days' written notice to the Grantee. Cause shall mean a material breach of this Agreement and any amendments of this Agreement. If this Agreement is terminated prior to the End Date, the Grantee shall receive payment on a pro rata basis for eligible project activities described in Attachment A that have been completed prior to the termination. Tennination of this Agreement does not alter the Council's authority to recover grant funds on the basis of a later audit Page 5 of 9 Pages TAX BASE REVITALIZATION ACCOUNT or other review, and does not alter the Grantee's obligation to retum any grant funds due to the Council as a result of later audits or corrections. If the Council detennines the Grantee has failed to comply with the terms and conditions of this Agreement and the applicable provisions of the Metropolitan Livable Communities Act, the Council may take any action to protect the Council's interests and may refuse to disburse additional grant funds and may require the Grantee to retum all or pali of the grallt funds already disbursed. 5.03 Amendments and Extensions. The Council and the Grantee may alnend this Agreement by mutual agreement. Amendments or extensions of this Agreement shall be effective only on the execution of written alnendments signed by authorized representatives of the Council and the Grantee. The End Date may be extended beyond the original End Date identified at Page 1 of this Agreement if, AT LEAST THIRTY (30) CALENDAR DAYS PRIOR TO THE END DATE, the Grantee's authorized representative submits a written extension request that: (a) states the reason for the extension request; (b) identifies a new completion date, which shall not exceed one year beyond the original End Date; and (c) describes in reasonable detail any proposed changes to the project activities alld budget. THE END DATE MAY BE EXTENDED ONLY ONCE. THE PERIOD OF THE ONE-TIME EXTENSION SHALL NOT EXCEED ONE (1) YEAR BEYOND THE ORIGINAL END DATE IDENTIFIED AT PAGE 1 OF TillS AGREEMENT. Any additional extension requests from the Grantee must 1?e approved by the goveming body of the Metropolitall Council. VI. GENERAL PROVISIONS 6.01 Equal Opportunity. The Grantee agrees it will not discriminate against any employee or applicant for employment because of race, color, creed, religion, national origin, sex, marital status, status with regard to public assistance, ~embership or activity in a local civil rights commission, disability, sexual orientation or age and will take affirmative action to insure applicants and employees are treated equally with respect to all aspects of employment, rates of pay and other forms of compensation, and selection for training. . 6.02 Conflict of Interest. The members, officers and employees of the Grantee shall comply with all applicable state statutory and regulatory conflict of interest laws and provisions. 6.03 Liability. Subject to the limitations provided in Minnesota Statutes chapter 466, to the fullest extent permitted by law, the Grantee shall defend, indelllilify and hold harmless the Council and its members, employees and agents from and against all claims, damages, losses and expenses, including but not limited to attomeys' fees, arising out of or resulting from the conduct or implementation of the project activities funded by this grant, except to the extent the claims, dmnages, losses and expenses arise from the Council's own negligence. Claims included in this indemnification include, without limitation, any claims asserted pursuant to the Minnesota Environmental Response alld Liability Act (MERLA), Minnesota Statutes chapter 115B, the federal Comprehensive Environmental Response, Compensation, and Liability Act of 1980 (CERCLA) as mnended, United States Code, title 42, sections 9601 et seq., and the federal Resource Conservation and Recovery Act of 1976 (RCRA) as mnended, United States Code, title 42, sections 6901 et seq. This obligation shall not be construed to negate, abridge or otherwise reduce any other right or obligation of indemnity which otherwise would exist between the Council and the Grantee. The provisions of this paragraph shall survive the termination of this Agreement. This indemnification shall not be construed as a waiver Page 6 of 9 Pages TAX BASE REVITALIZATION ACCOUNT on the part of either the Grantee or the Council of any ilmnunities or limits on liability provided by Minnesota Statutes chapter 466 or other applicable state or federal law. 6.04 Acknowledgments. The Grantee shall acknowledge the financial assistance provided by the Council in promotional materials, press releases, reports and publications relating to the project activities described in Attachment A which are funded in whole or in part with the grant funds. The acknowledgment should contain the following language: Financing for this project was provided by the Metropolitan Council Metropolitan Livable Communities Fund. Until the project activities funded by this Agreement are completed, the Grantee shall ensure the above acknowledgment language, or altemative language approved by the Council's authorized agent, is included on all signs located at project or construction sites that identify project funding pminers or entities providing financial support for the project. 6.05 Permits, Bonds and Approvals. The Council assumes no responsibility for obtaining any applicable local, state or federal licenses, permits, bonds, authorizations or approvals necessary to perfonn or complete the project activities described in Attachment A. 6.06 Subgrantees, Contractors and Subcontractors. The Grantee shall include in any subgrant, contract or subcontract for project activities appropriate provisions to ensure subgrantee, contractor and subcontractor compliance with all applicable state and federal laws and this Agreement. Along with such provisions, the Grantee shall require that contractors and subcontractors performing work covered by this grant obtain all required permits, licenses and certifications, and comply with all applicable state and federal Occupational Safety and Health Act regulations, especially the federal Hazardous Waste Operations and Emergency Response standards under Code of Federal Regulations, title 29, sections 1910.120 and 1926.65. 6.07 Stormwater Discharge Requirements. If any grant funds m"e used for, urban site redevelop- ment, the Grantee shall at such redevelopment site meet or require to be met: (a) all requirements of federal and state law relating to stormwater discharges including, without limitation, any applicable requirements of Code of Federal Regulations, title 40, parts 122 and 123; and (b) any additional requirements of the Council's Interim Strategy to Reduce Nonpoint Source Pollution to All Metropolitan Water Bodies (1992) including, without limitation: (1) the requirement to utilize the Minnesota Pollution Control Agency's urban best management practices entitled Protecting Water Quality in Urban Areas; and (2) the requirement that all stonnwater must be pretreated by facilities designed to provide pollutant removal efficiencies equal to or greater than those observed in wet-detention basin facilities designed in accordance with the National Urban Runoff Program (NURP) design criteria. 6.08 Authorized Agent. Payment request forms, written reports and correspondence submitted to the Council pursuant to this Agreement shall be directed to: Page 7 of 9 Pages TAX BASE REVITALIZATION ACCOUNT Metropolitan Council Attn: LCA Grants Administration Mears Park Centre 230 East Fifth Street Saint Paul, MilU1esota 55101-1634 or such other address as may be designated by the Council. 6.09 Warranty of Legal Capacity. The individuals signing this Agreement on behalf of the Grantee and on behalf of the Council represent and warrant on the Grantee's and the Council's behalf respectively that the individuals are duly authorized to execute this Agreement on the Grantee's and the Council's behalf respectively and that this Agreement constitutes the Grantee's and the Council's valid, binding and enforceable agreements. IN ~/ITNESS ~/HEREOF, the Grantee and the Council have caused this Agreement to be executed by their duly authorized representatives. This Agreement is effective on the date of final execution by the Council. Go~ By _ ~?, .~;;) Title Gary L. Peterson- Mayor 3/ J, ';A./o? /1 f2 METROPO / 111' A~ co. U }L ~y ~ / {tJ", Directo , ~o sing and Livable Commullltles Date Date f-f-" bf' By ~~./- Title Walter R. Fehst- City Manaqer '~ h02 ;{;.r- / / Date 5G005026 03/05 Page 8 of 9 Pages TAX BASE REVITALIZATION ACCOUNT ATTACHMENT A APPLICATION FOR TAX BASE REVITALIZATION ACCOUNT FUNDS This attachment complises this page and the succeeding page(s) which contain(s) a sUlmnary of the project identified in the application for Tax Base Revitalization Account grant funds submitted in response to the Council's notice of availability of Tax Base Revitalization Account grant funds for the Funding Cycle identified at Page 1 of this Agreement. The sUlmnary reflects the proposed project for which the Grantee was awarded grant funds by the Council Action, and may reflect changes in project funding sources, changes in funding amounts, or minor changes in the proposed project that occurred subsequent to application submission. The application is incorporated into this Agreement by reference and is made a part of this Agreement as follows. If the application or any provision in the application conflicts with or is inconsistent with the Council Action, other provisions of this Agreement, or the project sUlmnary contained in this Attachment A, the tenns, descriptions and dollar amounts reflected in the Council Action or contained in this Agreement and the project summary shall prevail. For the purposes of resolving conflicts or inconsistencies, the order of precedence is: (1) the Council Action; (2) this Agreement; (3) the project summary; and (4) the grant application. Page 9 of 9 Pages Columbia Heights - Columbia Heights Industrial Park, Phase 2 $ 293,684 8.85 8 $15.00 $ 22,400,000 $ 288,892 $ 582,897 $ 288,892 $ 582,897 Columbia Heights Industrial Park - Phase 2, submitted by the city of Columbia Heights, is a TBRA request as part of the match required for a DEED grant request. The city seeks funding for the second phase (3800 5th Street) of its industrial park redevelopment. The city was awarded funding from the TBRA and DEED for the first phase in the fall 2003 grant cycle. This phase proposes to be redeveloped into 124 affordable and market rate townhomes. Soil and groundwater contaminants of concern in phase 2 include linseed oil, petroleum, foundry waste (primarily metals) and chlorinated solvents. In addition, asbestos containing materials are present in buildings that need to be demolished. TBRA funds will be used for asbestos abatement and to remediate contaminated soil. In addition to the DEED approved cleaimp costs, TBRA funds will be used for asbestos abatement. Total cleanup costs are estimated to be $1,331,085, which is over 5 % of the total redevelopment costs. DEED Approved Cleanup Costs Impacted Soil Groundwater RAP Implementation Report Well Abandonment General Project (Consultant) Building Demolition Surveys, Clearing, Grubbing UST and Quench Tank Removal Amount $595,410 33,675 8,083 9,325 3,630 113 ,440 8,489 5,145 TOTAL $777,197 DEED Match Local Share $582,897 $194,300