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STATE OF MINNESOTA
DEPARTMENT OF EMPLOYMENT AND ECONOMIC DEVELOPMENT
BUSINESS AND COMMUNITY DEVELOPMENT DIVISION
Contamination Cleanup Program Grant Agreement
CCGP-05-003 7-Z- FY06
This Agreement is made on December 23,2005, between the State of Minnesota, acting through the Department
of Employment and Economic Development (hereinafter the Grantor) and the City of Columbia Heights
(hereinafter the Grantee).
The Grantor has been allocated funds by the Minnesota Legislature to the contaminated site cleanup and
development account in the general fund (M.S. 116J.551) and from the Petrofund account to make grants
pursuant to M.S. 116J.554.
The Grantee has made application to the Grantor for a Contamination Cleanup Grant described in Grantee's
"APPLICATION" for the Industrial Park ill Site, which is incorporated into this agreement by reference.
In consideration of mutual promises set forth below, the parties agree as follows:
The Grantor shall grant to the Grantee the total sum of SEVEN HUNDRED NINETY -EIGHT THOUSAND
AND THREE HUNDRED TWENTY-SIX DOLLARS ($798,326), which are state funds appropriated by the
legislature ofthe State of Minnesota. The breakdown of the total grant amount is as follows:
$798,326; Petro Fund, Fund 150, Org 1404, App 100.
Funds made available pursuant to the Agreement shall be used as "PROJECT COSTS" defined in
M.S. 116J.552, subd. 7, for purposes specified therein and incorporated into the Agreement as "PROJECT" and
specified under "SPECIAL CONDITIONS".
Grantee agrees to complete the Project in accordance with the approved budget and within the time frames
specified in the Application and Agreement. Any material change in the scope of the Project, the Budget or the
Completion Date must be approved in writing by the Grantor.
Funds made available pursuant to this agreement shall be used only for expenses incurred in performing and
accomplishing such purposes and activities during the grant period described above. Notwithstanding all other
provisions ofthis agreement, it is understood that any reduction or termination of state funds provided to the
Grantor may result in a like reduction to the Grantee.
Where provisions ofthe Grantee's application are inconsistent with other provisions of this Agreement, the
other provisions ofthis Agreement shall take precedence over the provisions of the Application.
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GENERAL CONDITIONS
Accounting
For all expenditures of funds made pursuant to this Agreement, the Grantee shall keep financial records
including properly executed contracts, invoices, and other documents sufficient to evidence in proper detail the
nature and propriety of the expenditures. Accounting methods shall be in accordance with generally accepted
accounting principals.
Payment/Disbursement Schedule
Grantor shall disburse funds to the Grantee pursuant to this Agreement, based upon a payment request provided
by the Grantor, submitted by the Grantee and reviewed and approved by the Grantor. Payment requests must be
accompanied by supporting invoices that relate to activities in the approved Cleanup Budget. The amount of
grant funds requested by the Grantee cannot exceed 75% ofthe total approved cleanup costs incurred by the
Grantee as supported by invoices.
Term
The Grantee shall perform and accomplish such purposes and activities specified herein during the period of
December 23, 2005, to June 30, 2009.
Reporting
Grantee shall submit to the Grantor a report on the distribution of funds and the progress of the Project covered
from the date ofthe grant award through June 30 of each year. The reports must be received by DEED no later
than July 25 of each year. The report shall identify specific project goals listed in the application and
quantitatively and qualitatively measure the progress of such goals. The report shall include data collected on
the Project for use by the Department of Employment and Economic Development. Reporting forms will be
provided by the Grantor.
Provisions for Contracts and Subgrants
The Grantee shall include in any contract and .subgrant, in addition to provisions that define a sound and
complete agreement, such provisions that require contractor and sub grantee compliance with applicable state
and federal laws.
Along with such provisions, the Grantee shall require that contractors performing work covered by this grant be
in compliance with all applicable OSHA regulations, especially the federal Hazardous Waste Operations and
Emergency Response Standards (29CFR 1910.120 and 29CFR 1926.65).
Program Income
Program income generated from grant-funded activities on hand at the end of the grant period must be returned
to the State unless a reuse ofthe income has been approved by the Grantor.
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Termination and Cancellation
Termination by the State. The Grantor or commissioner of Administration may cancel this agreement at any
time, with or without cause, upon 30 days' written notice to the Grantee. Upon termination, the Grantee will be
entitled to payment, determined on a pro rata basis, for services satisfactorily performed.
If the Grantor finds that there has been a failure to comply with the provisions of this agreement, that reasonable
progress has not been made, or that the purposes for which the funds were granted have not been or will not be
fulfilled, the Grantor may take action to protect the interests of the State of Minnesota, including the refusal to
disburse additional funds and requiring the return of all or part of the funds already disbursed.
Termination for Insufficient Funding. The Grantor may immediately terminate this agreement if it does not
obtain funding from the Minnesota Legislature, or other funding source; or if funding cannot be continued at a
level sufficient to allow for the payment of the services covered here. Termination must be by written or fax
notice to the Grantee. The Grantor is not obligated to pay for any services that are provided after notice and
effective date of termination. However, the Grantee will be entitled to payment, determined on a pro rata basis,
for services satisfactorily performed to the extent that funds are available. The Grantor will not be assessed any
penalty if the agreement is terminated because of the decision of the Minnesota Legislature, or other funding
source, not to appropriate funds. The Grantor must provide the Grantee notice of the lack of funding within a
reasonable time ofthe Grantor receiving that notice.
Affirmative Action
A Public Entity that receives State money for any reason is encouraged to prepare and implement an affirmative
action plan for the employment of minority persons, women, and the disabled and submit the plan to the
Commissioner of Human Rights.
Audit and Inspection
The Grantee shall furnish the Grantor with an acceptable independent audit covering each grant year in \vhich
grant disbursements were made; and prepared in compliance with generally recognized audit standards. The
audit shall include a schedule of revenue and expenditures of these grant funds. The audit must be submitted
within 30 days after the completion ofthe audit, but not later than one year after the end of the audit period.
Accounts and records related to the funds provided under this agreement shall be accessible to authorized
representatives of the Grantor for purposes of examination and audit. In addition, the Grantee will give the
State of Minnesota, Department of Employment and Economic Development, the Legislative Auditor, and State
Auditor's Office, through any authorized representatives, access to and the right to examine all records, books,
papers, and documents related to the grant, for a minimum of six years from the end ofthe term of this Grant
Contract.
Liability
Grantee agrees to indemnify and save and hold Grantor, its agents and employees harmless from any and all
claims or causes of action arising from the performance ofthe Grant by Grantee or Grantee's agents or
employee. This clause shall not be construed to bar any legal remedies Grantee may have for the Grantor's
failure to fulfill its obligations pursuant to this Agreement.
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Amendments
Any amendments to this agreement shall be in writing, and shall be executed by either the same parties who
executed the original agreement, their successors in office, or by those parties authorized by the Grantee through
a formal resolution of its governing body.
Antitrust
The Grantee and Sub grantees hereby assign to the State of Minnesota any and all claims for overcharges for
goods and/or services provided in connection with this contract resulting from antitrust violations which arise
under the antitrust laws ofthe United States and the antitrust laws ofthe State of Minnesota.
Required Resolution and Certification
The Grantee shall attach hereto, prior to submission, a resolution by the appropriate governing body, which
legally authorizes the execution of this agreement on behalf of the Grantee.
Successors and Assignees
This agreement shall be binding upon any successors or assignees of the parties.
Other Provisions
The Grantee shall comply with the Minnesota Government Data Practices Act, Chapter 13 and the Conflict of
Interest provisions of Minnesota Statutes Sections 471.87 - 471.88.
The Grantee shall comply with the Minnesota Business Subsidy Law, Minnesota Statutes 1 16J.993 - 116J.995.
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SPECIAL CONDITIONS
The following activities and costs are based on a budget submitted by the Grantee. Modifications must be
approved in writing by the Grantor.
Approved Budget for Industrial Park Phase III:
Approved Proiect Costs
Amount
Impacted Soil
Foundry Waste
Ground Water
RAP Implementation Report
Monitoring Well Abandonment
Project Management
$ 27,461
1,123,485
98,879
12,125
1,200
15,540
TOTAL
$.1,278,690
DEED Grant
Local Share
$ 798,326
$ 480,364
Affordable Housing
The grantee agrees that a minimum of 10% of all housing constructed as part of the development ofthe
Industrial Park Phase III Site will be affordable housing.
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The Grantor and Grantee acknowledge their assent to this agreement and agree to be bound by its terms through
their signatures entered below.
Gary L. terson
Mayor of Columbia Heights
Title
STATE OF MINNESOTA by and through the
Department of Employment and Economic
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Grantee:City of Columbia Heights
Grant Agreement #: CCGP-05-0037-Z-FY06
Minnesota Tax ill: 008021384
Federal Tax ill: 41-6005069
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