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1f. Approve Cooperative Construction Agreement with MnDOT for Wetland Restoration Construction for Hwy 212 Mitigation. CITY OF CHANHASSEN 7700 Market Boulevard POBox147 Chanhassen, MN 55317 Administration Phone 952.227.1100 Fax 952,2271110 Building Inspections Phone 952.2271180 Fax 952,227.1190 Engineering Phone 952.227.1160 Fax 952,227.1170 Finance Phone 952.2271140 Fax 952,227.1110 Park & Recreation Phone 952.227.1120 Fax 952,2271110 Recreation Center 2310 Coulter Boulevard Phone 952,227.1400 Fax 952,2271404 Planning & Natural Resources Phone 952,227.1130 Fax 952,227.1110 Public Works 1591 Park Road Phone 952.227.1300 Fax 952,227.1310 Senior Center Phone 952,227.1125 Fax 952.227.1110 Web Site WNw,ci ,chanhassen,mn,us u MEMORANDUM TO: Todd Gerhardt, City Manager FROM: Lori Haak, Water Resources coordinatorttJ 6~ DATE: October 23,2006 RE: Cooperative Construction Agreement with Minnesota Department of Transportation for Wetland Restoration Construction, Trunk Highway 212 Off-Site Wetland Mitigation Area BACKGROUND As part of the Trunk Highway 212 (TH 212) project, the Minnesota Department of Transportation (MnDOT) is impacting 60.57 acres of jurisdictional wetlands. Of that impact, 29.75 acres is within Chanhassen. Since wetlands provide water quality, water quantity, wildlife habitat, vegetative diversity and other benefits, City staff has been working with MnDOT to mitigate a portion of those impacts within Chanhassen. The proposed OF-5 wetland mitigation project will result in the creation or enhancement of over 43.49 acres of wetland in the Bluff Creek corridor. MnDOT anticipates receiving 8.19 acres of new wetland credit (NWC) and 10.73 acres of public value credit (PVC) as a result of the proposed project. ANALYSIS On October 9, the City Council approved a wetland easement over the proposed wetland mitigation area. In order to construct the wetland mitigation area, MnDOT and the City must also enter into a Cooperative Construction Agreement. The agreement places all costs (design, construction and management) on MnDOT until the wetland credits are accepted by the Wetland Conservation Act Technical Evaluation Panel. After the credits are accepted, the City under this agreement would accept responsibility for the long-term management of the area. Since this restoration was envisioned as part of the City's 1996 Bluff Creek Watershed Natural Resources Management Plan, the City anticipated funding the design, construction and long-term management of the area. Since the proposed agreement would remove design and construction costs, as well as the first few years of management (which typically are the most costly), the City stands to gain by entering into this agreement. The City 01 Chanhassen . A growing community with clean lakes, Quality schools, a charming downtown, thriving businesses, winding trails, and beautiful parks, A great place to live, work, and play, Cooperative Construction Agreement for Off-Site Wetland Mitigation October 23,2006 Page 2 of 2 The agreement does obligate the City to construct a drainageway that will connect an existing 30" pipe to the existing 60" pipe (Article VI). This work may be done by City staff. Any additional costs, which are anticipated to be minimal, would be borne by the Surface Water Management Fund (Fund 720). RECOMMENDATION Staff recommends the City Council adopt the following motion: "The Chanhassen City Council authorizes the Mayor to sign the Cooperative Construction Agreement necessary to facilitate the construction of wetland within the Bluff Creek Preserve property." ATTACHMENTS 1. Site map 2. Cooperative Construction Agreement G:\ENG\Lori\Surface Water\TH 212\OF-S Construction Agreement CC.doc OF-5 Wetland Mitigation Project Boundary ~ Minnesota Department of Transportation TH 212 Wetland Mitigation OF-5 Legend OF5 N W+E S 500 250 0 I"""""L.- -_ 500 1,000 'Feet PRE-LETTING SERVICES SECTION STATE OF MINNESOTA DEPARTMENT OF TRANSPORTATION COOPERATIVE CONSTRUCTION AGREEMENT Mn/DOT AGREEMENT NO. 90232 S.P. 1000-09 (T.H. 999) State Funds The State of Minnesota Department of Transportation, and The City of Chanhassen Re: Wetland restoration construction by the State in the City of Chanhassen in the North west quadrant of LYman Boulevard and Audubon Road AMOUNT ENCUMBERED (None) ESTIMATED AMOUNT RECEIVABLE (None) THIS AGREEMENT is made and entered into by and between the State of Minnesota, Department of Transportation, hereinafter referred to as the "State" and the City of Chanhassen, Minnesota, acting by and through its City Council, hereinafter referred to as the "City". 1 90232 WHEREAS, the State is about to perform wetland mitigation construction in the City in the northwest quadrant of LYffian Boulevard and Audubon Road south of Trunk Highway No. 5 in accordance with State plans, specifications and special provisions designated as State Project No. 1000-09 (T.H. 999); and WHEREAS, the City has agreed to construct the drainage structure that will connect the existing 30" RCP pipe to the existing 60" CMP pipe as shown on Sheet No. 15 of the construction plans for State Project No. 1000-09; and WHEREAS, the City and the Chanhassen School District hold title to the lands located in Section 22, Township 116 North, Range 23 West, in Carver County; and WHEREAS, the State is required pursuant to Minnesota Statutes Section 1038.222 to replace wetlands drained or filled for work done in connection with road projects; and WHEREAS, the State currently lacks adequate wetland banking credits to mitigate the impacts created by the Trunk Highway No. 212 project in Carver County, therefore the State will reconstruct the existing wetland and realign Bluff Creek; and WHEREAS, Minnesota Statutes Section 161.20, Subdivision 5 authorizes the Commissioner of Transportation to accept on behalf of the State, gifts, grants, or contributions for purposes pertaining to the activities of the Department; and WHEREAS the City and the State are cooperating to undertake this project which is mutually beneficial to both organizations, and both organizations have begun an active cooperative partnership which has already defined goals and started the restoration process for this project; and 2 90232 WHEREAS, both of these organizations possess uniquely different skills, abilities and resources, which when combined will produce enhanced restoration capabilities at this site; and WHEREAS, the State has requested from the City the use of these lands located in Section 22, Township 116 North, Range 23 West, in Carver County, for the purpose of creating and maintaining replacement wetlands and other natural features. The City has agreed to allow the use of these lands by the State for these purposes and agrees to assign all replacement wetland credits and creek impact mitigation under Minnesota Statues Section 1038.222 from this project to the State. IT IS, THEREFORE, MUTUALLY AGREED AS FOLLOWS: ARTICLE I - PERMIT TO CONSTRUCT The City authorizes the State and its agents an immediate right of entry and a Zero Dollar Permit to construct and perform the activities necessary for the wetland creation and maintenance in accordance with State Project No. 1000-09. The City will donate the aforesaid Zero Dollar Permit to construct, for the duration of the project, and will tender a Letter of "Waiver Of Compensation" (Donation) to waive of its right to compensation for all Permits, Drainage Easements, and Conservation Easements referenced herein. ARTICLE II - CONSTRUCTION PERMITS The State agrees to obtain any other necessary permits prior to commencing any work, including any historical, archeological, or cultural requirements at no cost to the City. ARTICLE III - REPLACEMENT WETLAND CREDITS This project is expected to yield approximately 8.0 acres of Type 2 New Wetland Credits (NWC) and approximately 4,000 linear feet of Bluff Creek realignment. The City agrees to assign all replacement 3 90232 wetland credits and creek realignment mitigation to the State pursuant to Minnesota Statutes Section 103G.222. ARTICLE IV - CONSTRUCTION BY THE STATE Section A. Contract Award The State shall advertise for bids and award a construction contract to the lowest responsible bidder for State Project No. 1000-09 (T.H. 999) in accordance with State plans, specifications and special provisions which are on file in the office of the Commissioner of Transportation at St. Paul, Minnesota, and are incorporated into this Agreement by reference. Section B. Direction and Supervision of Construction The State shall direct and supervise all construction activities performed under the construction contract, and perform all construction engineering and inspection functions in connection with the contract construction. All contract construction shall be performed in compliance with the approved plans, specifications and special provisions. Section C. Plan Changes, Additional Construction, Etc. The State shall make changes in the plans and contract construction and enter into any necessary addenda, change orders and supplemental agreements with the State's contractor that are necessary to cause the contract construction to be performed and completed in a satisfactory manner. However, the State's District Engineer at Roseville or his authorized representative will inform the appropriate City official of any proposed addenda, change orders and supplemental agreements to the construction contract. Section D. Satisfactory Completion of Contract The State shall perform all other acts and functions necessary to cause the construction contract to be completed in a satisfactory manner. Acceptance by the State, following consultation with the City, of the completed contract construction shall be final, binding, 4 90232 and conclusive upon the City as to the satisfactory completion of the contract construction. ARTICLE V - INSPECTION BY THE CITY The contract construction shall be open to inspection by the City. If the City believes the contract construction has not been properly performed or that the construction is defective, the City shall inform the State's District Engineer's authorized representative in writing of those defects. The State, in consultation with the City, shall determine whether the State's contractor has satisfactorily performed the contract construction related to the wetland construction. ARTICLE VI - CONSTRUCTION BY THE CITY The City shall provide for the construction of a drainage way that will connect the existing 30" RCP pipe to the existing 60" CMP pipe as approved by the State. This drainage way shall not impact proposed required water retention or proposed flow patterns within the wetland. This drainage way shall be in place by October 15, 2007. ARTICLE VII - GENERAL PROVISIONS Section A. plan Changes The City may request changes in the plans related to the wetland construction. If the State, in conjunction with the City determines that the requested plan changes are necessary and/or desirable, the State will cause those plan changes to be made. Section B. Maintenance by the State and the City The State and the City agree that the wetland creation and Bluff Creek Realignment will be started in year 2006. The State will monitor wetland development in the project area until a Technical Evaluation Panel determines that the planned conditions have been met and the wetland and creek realignment are fully functioning. 5 90232 Upon satisfactory completion of the wetland construction and creek realignment, as indicated through the determination of the Technical Evaluation Panel, the City will provide proper maintenance of the wetland areas without cost or expense to the State. Maintenance of the wetlands shall include the maintenance of all structures, culverts, spillways, drainage ways or other facilities associated with this project. The restored vegetative areas will be maintained in accordance with the State's "Early Maintenance of Native Grass/Forb Planting" guidance. In addition, maintenance shall be consistent with Minnesota Statues Section 103.22, as related to replacement wetlands. Section C. Drainaae Easements The City agrees to provide Drainage Easements and perpetual Conservation Easements, as required by and acceptable to the Board of Soil and Water Resources (BWSR), for this parcel described above and as shown in the construction plans for State Project No. 1009-09. All Conservation Easements shall run with the Title to the Lands referenced herein. Section D. Examination of Books, Records, Etc. As provided by Minnesota Statutes Section 16C.05, subdivision 5, the books, records, documents, and accounting procedures and practices of the State and the City relevant to this Agreement are subject to examination by the State and the City, and either the legislative auditor or the State auditor as appropriate, for a minimum of six years from final paYment. 6 90232 Section E. Claims All employees of the State and all other persons employed by the State in the performance of contract construction and/or construction engineering covered under this Agreement shall not be considered employees of the CITY. All claims that arise under the Worker's Compensation Act of the State of Minnesota on behalf of the employees while so engaged and all claims made by any third parties as a consequence of any act or omission on the part of the employees while so engaged on contract construction and/or construction engineering covered under this Agreement shall in no way be the obligation or responsibility of the City. Section F. Agreement Approval Before this Agreement becomes binding and effective, it shall receive approval of the State and the City officers as the law may provide ln addition to the Commissioner of Transportation or his authorized representative. ARTICLE VIII - AUTHORIZED AGENTS The State's Authorized Agent for the purpose of the administration of this Agreement is Maryanne Kelly-Sonnek, Municipal Agreements Engineer, or her successor. Her current address and phone number are 395 John Ireland Boulevard, Mailstop 682, St. Paul, MN 55155, (651) 296-0969. The City's Authorized Agent for the purpose of the administration of this Agreement is Paul Oehme, City Engineer, or his successor. His current address and phone number are 7700 Market Boulevard, Post Office Box 147, Chanhassen, MN 55317, (952) 227-1110. 7 90232 IN TESTIMONY WHEREOF the parties have executed this Agreement by their authorized officers. CITY OF CHANHASSEN DEPARTMENT OF TRANSPORTATION Recommended for approval: By By District Engineer Title Approved: By State Design Engineer Date By Date Title COMMISSIONER OF ADMINISTRATION As delegated to Materials Management Division Date By Date OFFICE OF THE ATTORNEY GENERAL Approved as to form and execution: By Date 8