1b. Approve Grading Agreement for Outlot D, Lakeside 10° I
CITY OF MEMORANDUM Ga
CHANHASSEN
TO: Paul Oehme, Director of Public Works /City Engineer
7700 Market Boulevard rr���y
PO Box 147 FROM: Alyson Fauske, Assistant City Engineer llv7
Chanhassen, MN 55317 (1�
DATE: October 8, 2012 �V
Administration
Phone: 952.2271100 SUBJECT: Approve Grading Agreement for Outlot D, Lakeside
Fax: 952.2271110
Building Inspections PROPOSED MOTION
Phone: 952.2271180
Fax: 952.2271190 "The City Council approves the Grading Agreement with R.E.C., Inc.for the
grading on Outlot D, Lakeside."
Engineering
Phone: 952.2271160
Fax: 952.2271170 City Council approval requires a simple majority vote of the City Council
present.
Finance
Phone: 952.2271140 In 2006 the City Council approved the Lakeside development contract with Sienna
Fax: 952.2271110
Corporation. The developer subsequently defaulted and on September 17, 2009 the
Park & Recreation City drew on the letter of credit to coordinate the completion of the remaining work
Phone: 952.2271120 within the development. Excess dirt from mass grading of the Lakeside development
Fax: 952.2271110 was stockpiled on Outlot D, Lakeside. The proposed grading agreement allows for
Ron Clark Construction and Design to lower the elevation of Outlot D, Lakeside
Recreation Center according to the Pioneer Engineering grading plan dated September 21, 2012.
2310 Coulter Boulevard
Phone: 952.2271400
Fax: 952.2271404 Final plat approval for this parcel is scheduled for the October 22, 2012 city council
meeting. The developer requested permission to begin grading before final plat
Planning & approval given the amount of material to be hauled off the site and the limited time
Natural Resources left in the 2012 construction season.
Phone: 952.2271130
Fax: 952.2271110
As stated in the agreement, an $8,000 security is required for erosion and sediment
Public Works control.
7901 Park Place
Phone: 952.2271300 Staff recommends that the grading agreement be approved conditioned upon the
Fax: 952.2271310 receipt of the $8,000 security.
Senior Center Attachment: Agreement dated October 8, 2012.
Phone: 952.2271125
Fax: 952.2271110
Web Site c: Ron Clark
www.ci.chanhassen.mn.us
G \ENG\PROJECTS\K -O \Lakeside 7t1\10 -08 -2012 approve grading agreement.docx
Chanhassen is a Community for Life - Providing for Today and Planning for Tomorrow
AGREEMENT
AGREEMENT dated October 8, 2012, by and between the CITY OF CHANHASSEN, a
Minnesota municipal corporation (the "City"), and R.E.C., INC., a Minnesota corporation (the
"Developer ").
1. Background. The City has approved the plat of Lakeside Addition. The grading of
Outlot D of Lakeside Addition was not completed in accordance with the approved grading plan.
The Developer has agreed to complete the required grading.
2. Grading Outlot D. The Developer shall grade Outlot D in accordance with the
revised grading plan dated September 21, 2012, prepared by Pioneer Engineering when the
following conditions have been satisfied: 1) this Agreement has been fully executed by both
parties and filed with the City Clerk, and 2) a letter of credit, in the form attached hereto for Eight
Thousand and No /100 ($8,000.00) Dollars and the required insurance certificate have been received
by the City. Except as specifically provided for herein, the requirements of the Development
Contract for Lakeside Addition are incorporated herein and shall apply.
3. Site Erosion and Sediment Control. Before the site is rough graded, and before
any utility construction is commenced or building permits are issued, the erosion and sediment
control plan for Lakeside Addition shall be implemented, inspected, and approved by the City. The
City may impose additional erosion and sediment control requirements if they would be beneficial.
All areas disturbed by the excavation and backfilling operations shall be reseeded forthwith after
the completion of the work in that area. Except as otherwise provided in the erosion and sediment
control plan, seed shall be certified seed to provide a temporary ground cover as rapidly as possible.
All seeded areas shall be fertilized, mulched, and disc anchored as necessary for seed retention.
The parties recognize that time is of the essence in controlling erosion and sediment transport. If
the Developer does not comply with the erosion and sediment control plan and schedule of
supplementary instructions received from the City, the City may take such action as it deems
appropriate to control erosion and sediment transport at the Developer's expense. The City will
endeavor to notify the Developer in advance of any proposed action, but failure of the City to do so
will not affect the Developer's and City's rights or obligations hereunder. Erosion and sediment
control needs to be maintained until vegetative cover has been restored, even if construction has
been completed and accepted. After the site has been stabilized to where, in the opinion of the City,
there is no longer a need for erosion and sediment control, the City will authorize the removal of the
erosion and sediment control, i.e. hay bales and silt fence. The Developer shall remove and dispose
of the erosion and sediment control measures.
4. Time of Performance. The Developer shall complete the grading and stabilization
of the site by November 15, 2012. The Developer may, however, request an extension of time from
the City Engineer. If an extension is granted, it shall be conditioned upon updating the security
posted by the Developer to reflect cost increases and the extended completion date.
1
166542v1 - _
5. Notice. Required notices to the Developer shall be in writing, and shall be either
hand delivered to the Developer, its employees or agents, or mailed to the Developer by registered
mail at the following address:
Ronald E. Clark
R.E.C., Inc. d/b /a Ron Clark Construction and Design
7500 West 78 Street
Edina, Minnesota 55439
Telephone: 952- 947 -3000
Notices to the City shall be in writing and shall be either hand delivered to the City Manager, or
mailed to the City by certified mail in care of the City Manager at the following address:
City Manager
Chanhassen City Hall
7700 Market Boulevard
P.O. Box 147
Chanhassen, Minnesota 55317
Telephone: 952- 227 -1100.
6. Insurance. Developer shall take out and maintain until six (6) months after the City has
accepted the public improvements, public liability and property damage insurance covering
personal injury, including death, and claims for property damage which may arise out of
Developer's work or the work of its subcontractors or by one directly or indirectly employed by any
of them. Limits for bodily injury and death shall be not less than $500,000 for one person and
$1,000,000 for each occurrence; limits for property damage shall be not less than $500,000 for each
occurrence; or a combination single limit policy of $1,000,000 or more. The City shall be named as
an additional insured on the policy, and the Developer shall file with the City a certificate
evidencing coverage prior to the City signing the plat. The certificate shall provide that the City
must be given ten (10) days advance written notice of the cancellation of the insurance. The
certificate may not contain any disclaimer for failure to give the required notice.
[Remainder of Page Intentionally Left Blank]
2
166542v1
CITY OF CHANHASSEN
BY:
Thomas A. Furlong, Mayor
(SEAL)
AND:
Todd Gerhardt, City Manager
STATE OF MINNESOTA )
)ss.
COUNTY OF CARVER )
The foregoing instrument was acknowledged before me this day of ,
2012, by Thomas A. Furlong, Mayor and by Todd Gerhardt, City Manager, of the City of
Chanhassen, a Minnesota municipal corporation, on behalf of the corporation and pursuant to the
authority granted by its City Council.
Notary Public
3
166542v1
R.E.C. INC.
BY:
Ronald E. Clark,
STATE OF MINNESOTA )
)ss.
COUNTY OF )
The foregoing instrument was acknowledged before me this day of ,
2012, by Ronald E. Clark, the of R.E.C., Inc., a Minnesota corporation, on
behalf of said corporation.
Notary Public
DRAFTED BY:
City of Chanhassen
7700 Market Boulevard
P.O. Box 147
Chanhassen, MN 55317
952- 227 -1100
4
166542v1
IRREVOCABLE LETTER OF CREDIT
No.
Date:
TO: City of Chanhassen
7700 Market Boulevard, Box 147
Chanhassen, Minnesota 55317
Dear Sir or Madam:
We hereby issue, for the account of (Name of Developer) and in your favor, our
Irrevocable Letter of Credit in the amount of $ , available to you by your draft drawn on sight
on the undersigned bank.
The draft must:
a) Bear the clause, 'Drawn under Letter of Credit No. , dated ,
2 , of (Name of Bank) '';
b) Be signed by the Mayor or City Manager of the City of Chanhassen.
c) Be presented for payment at (Address of Bank) , on or before 4:00 p.m. on November 30,
2 .
This Letter of Credit shall automatically renew for successive one -year terms unless, at least forty -
five (45) days prior to the next annual renewal date (which shall be November 30 of each year), the Bank
delivers written notice to the Chanhassen City Manager that it intends to modify the terms of, or cancel, this
Letter of Credit. Written notice is effective if sent by certified mail, postage prepaid, and deposited in the
U.S. Mail, at least forty -five (45) days prior to the next annual renewal date addressed as follows:
Chanhassen City Manager, Chanhassen City Hall, 7700 Market Boulevard, P.O. Box 147, Chanhassen, MN
55317, and is actually received by the City Manager at least thirty (30) days prior to the renewal date.
This Letter of Credit sets forth in full our understanding which shall not in any way be modified,
amended, amplified, or limited by reference to any document, instrument, or agreement, whether or not
referred to herein.
This Letter of Credit is not assignable. This is not a Notation Letter of Credit. More than one draw
may be made under this Letter of Credit.
This Letter of Credit shall be governed by the most recent revision of the Uniform Customs and
Practice for Documentary Credits, International Chamber of Commerce Publication No. 500.
We hereby agree that a draft drawn under and in compliance with this Letter of Credit shall be duly
honored upon presentation.
BY:
Its
166542v1
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