Contamination Cleanup Grant Contract Transmittal 07-28-2014CITY OF CHANHASSEN
ENGINEERING DEPARTMENT
7700 Market Boulevard
P.O. Box 147
CHANHASSEN, MN 55317
(952) 227 -1100 FAX (952) 227 -1170
TO: MN Dept. of Employment & Economic
Development
Office of Brownfields and
Redevelopment
First National Bank Building
332 Minnesota Street, Suite E200
St. Paul, MN 55101 -1351
WE ARE SENDING YOU
❑ Shop drawings
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LETTER OF TRANSMITTAL
DATE JOB NO.
7/28/14 2014 -11
ATTENTION
RE:
Contamination Cleanup Grant Contract
Grant No: CCGP -14- 0008- Z -FY14
Dakota Retail Project
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DATE
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DESCRIPTION
3
6/27/14
SC #:
80044
State of Minnesota Grant Contract DEED Business and Community Development
Division, Contamination Cleanup Grant Contract - Dakota Retail Project
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STATE OF MINNESOTA SC #: 80044
GRANT CONTRACT
DEPARTMENT OF EMPLOYMENT AND ECONOMIC DEVELOPMENT
BUSINESS AND COMMUNITY DEVELOPMENT DIVISION
Contamination Cleanup Grant Contract
Grant No: CCGP -14- 0008- Z -FY14
Dakota Retail Project
This grant contract is between the State of Minnesota, acting through the Department of Employment and Economic
Development, Business and Community Development Division, (STATE) and City of Chanhassen ("GRANTEE").
Recitals
1. Under Minn. Star. § 116J.554 the State is empowered to enter into this grant.
2. The State is in need of programs to do the following: reduce the potential threat of harmful contaminants to
the public's health and the environment; to create new jobs and increase the tax base; and provide other public
benefits by redeveloping polluted and unproductive sites.
3. The Grantee represents that it is duly qualified and agrees to perform all services described in this grant
contract to the satisfaction of the State.
Grant Contract
Term of Grant Contract
1.1 Effective date: June 5, 2014.
Pursuant to Minn. Star. § 16B.98, subds. 5 and 7, no payments will be made to the Grantee until this
grant contract is fully executed.
1.2 Expiration date: June 30, 2017.
1.3 Survival of Terms. The following clauses survive the expiration or cancellation of this grant contract:
8. Liability; 9. Accounting; 10. Government Data Practices; 12. Publicity and Endorsement;
13. Governing Law, Jurisdiction, and Venue; 15. Data Disclosure; 16. Reporting; 18. Conflict of Interest;
19. Minnesota Business Subsidy Law; and 20. State and Federal Environmental Standards.
Grantee's Duties
2.1 Duties, Deliverables, and Completion Dates. The Grantee, who is not a state employee, will perform
the following duties and provide the deliverables as outlined below.
(a) Administer these grant funds in accordance with Minn. Star. § 116J.551 — 559 and the application
submitted on May 1, 2014 for funding for the Dakota Retail Project, which is incorporated into this
grant agreement and the provisions of this grant agreement. Any modification made to the approved
application must be approved by the State.
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(b) Promptly notify the State of any proposed material change in the scope of the project as submitted in
the grant application, budget as defined in Section 4.1(a) below, or entire project's completion date,
which must be approved by the State, prior to implementation.
(c) Provide evidence to the State prior to the closeout of the grant that the cleanup and/or investigation
has been completed and approved by the Minnesota Pollution Control Agency.
(d) It is expected that the site will be redeveloped as proposed in the grant application and upon which
funding was based. Any material change in the development plans for the site must be presented to
the State and approved.
(e) Adhere to all other requirements of this grant agreement.
2.2 Provisions for Contracts and Sub grants.
(a) Contract Provisions. The Grantee must include in any contract and sub - grant, in addition to
provisions that define a sound and complete agreement, such provisions that require contractors and
sub - grantees to comply with applicable state and federal laws. Along with such provisions, the
Grantee must 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 (29 CFR 1910.120 and 29 CFR 1926.65).
(b) Ineligible Use of Grant Funds. The dollars awarded under this grant agreement are grant funds and
shall only be used by Grantee or awarded by Grantee to third parties as grant funds and cannot take
the form of a loan under any circumstance. Grantee shall not use, treat, or convert the grant funds
into an interest bearing loan, a non - interest bearing loan, a deferred loan, a forgivable deferred loan
or any other type of loan. Further, Grantee shall include in any contract or sub -grant awarding the
grant funds to a third party all the provisions and requirements of this grant agreement, including the
requirement that these dollars are grant funds only and cannot be used, treated or converted into any
type of loan.
(c) Job Listing Agreements. Minn. Star. § 116L.66, subd.l, requires a business or private enterprise to
list any vacant or new positions with the state workforce center if it receives $200,000 or more a year
in grants from the State. If applicable, the business or private enterprise shall list any job vacancy in
its personnel complement with MinnesotaWorks.net at www.minnesotaworks.net as soon as it
occurs.
(d) Payment of Contractors and Subcontractors. The Grantee must ensure that all contractors and
subcontractors performing work covered by this grant are paid for their work that is satisfactorily
completed.
Time
The Grantee must comply with all the time requirements described in this grant contract. In the performance of
this grant, time is of the essence.
Consideration and Payment
4.1 Consideration. State will pay the Grantee under this grant contract as follows:
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(a) Project Costs. The following table represents the total Project Costs.
Activities
Amount
Investigation and RAP
$ 27,500
Contaminated Soil Excavation, Transportation and Disposal
$120,000
Vapor Mitigation System Installation
$ 40,000
Pond Line Installation
$ 27,000
Contaminated Water Dewatering
$ 15,000
Environmental Consulting
$ 58,300
TOTAL
1 $287,800
(b) Total Obligation. The total obligation of the State for all compensation and reimbursements to the
Grantee under this grant contract will not exceed $204,600.00 (TWO HUNDRED FOUR
THOUSAND SIX HUNDRED DOLLARS).
In accordance with Minn. Star. § 116J.554, subd. 1, the grant may pay for up to 75 percent of the
project costs for a qualifying site. This requires a local match of 25 percent. For the purpose of this
project, the local match portion is $ 83.200.00. Of the total match requirement, 12 percent of the
cleanup costs as defined in Minn. Stat. § 116J.552, subd. 2 must come from the municipality's
general fund, a property tax levy for that purpose, or other unrestricted money available to the
municipality. The rest of the local match may be paid with tax increments, regional, state or federal
money available for the redevelopment of brownfields or any other money available to the
municipality.
4.2. Payment
(a) Invoices. The State will disburse funds to the Grantee pursuant to this Contract, based upon payment
requests submitted by the Grantee and reviewed and approved by the State. Payment requests must
be accompanied by supporting invoices that relate to the activities in the approved budget. The
amount of grant funds requested by the Grantee cannot exceed seventy five percent (75 1/6) of the total
approved project costs incurred by the Grantee as supported by invoices. The State will provide
payment request forms.
Invoices may be submitted on a monthly basis; however, at a minimum, an invoice for an award shall
be submitted by the grantee for expenses incurred 25 days after the end date of the state fiscal year of
June 30`'. In order to ensure that all funds are drawn prior to the expiration date of the grant, all
payment requests must be received at least 30 days prior to the grant -term expiration date.
(b) Eligible Costs. Eligible costs include the costs identified in the Section 4.1(a) of this Contract that
are incurred during the contract period. The Grantee may not use these funds to provide loans to
other entities or for administrative costs associated with managing the project this grant is funding.
Pursuant to Minn. Stat. § I I6J.552, subd. 2, costs of implementing the response action plan (RAP)
incurred before the grant award date may be eligible at the discretion of the State, if the costs were
completed after the RAP was approved by the Minnesota Pollution Control Agency and the RAP
was approved within 180 days of the application deadline. Costs incurred for the development of a
RAP incurred prior to grant award may be considered eligible at the discretion of the State. Any
reimbursement made for services provided prior to the effective date of the grant will be governed by
the terms of the grant.
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(c) 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 the State has approved a re -use of the income.
Conditions of Payment
All services provided by the Grantee under this grant contract must be performed to the State's satisfaction, as
determined at the sole discretion of the State's Authorized Representative and in accordance with all
applicable federal, state, and local laws, ordinances, rules, and regulations. The Grantee will not receive
payment for work found by the State to be unsatisfactory or performed in violation of federal, state, or local
law.
Authorized Representative
The State's Authorized Representative is Terry Dalbec, Project Manager, 332 Minnesota Street, Suite E200,
St. Paul, MN 55101, Phone Number: 651- 259 -7448, E -Mail: terry.a.dalbec @state.mn.us, or his/her successor,
and has the responsibility to monitor the Grantee's performance and the authority to accept the services
provided under this grant contract. If the services are satisfactory, the State's Authorized Representative will
certify acceptance on each invoice submitted for payment.
The Grantee's Authorized Representative is Todd Gerhardt, 7700 Market Blvd. PO Box 147 Chanhassen
MN 55317, 952- 227 -1119. E -Mail: tLyerhardt@ci.chanhassen.nin.us. If the Grantee's Authorized
Representative changes at any time during this grant contract, the Grantee must immediately notify the State.
7 Assignment, Amendments, Waiver, and Grant Contract Complete
7.1 Assignment. The Grantee shall neither assign nor transfer any rights or obligations under this grant
contract without the prior written consent of the State, approved by the same parties who executed and
approved this grant contract, or their successors in office.
7.2 Amendments.
(a) Amendments. Any amendments to this grant contract, with the exception of Grant Adjustment
Notices (GANs), must be in writing and will not be effective until it has been executed and approved
by the same parties who executed and approved the original grant contract, or their successors in
office.
(b) Grant Adjustment Notices (GANs). GANs must be approved by the State in writing, and require a
written change request by the Grantee. A GAN may be used for the purposes of transferring budget
amounts between line items that do not change the contract value, or other grant status activity. All
other changes require a formal amendment as stated in paragraph 7.2(a).
7.3 Waiver. If the State fails to enforce any provision of this grant contract, that failure does not waive the
provision or the State's right to enforce it.
7.4 Grant Contract Complete. This grant contract contains all negotiations and agreements between the
State and the Grantee. No other understanding regarding this grant contract, whether written or oral,
may be used to bind either party.
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Liability
Subject to the provisions and limitations of Minn. Stat. § 466, the Grantee must indemnify, save, and hold the
State, its agents, and employees harmless from any claims or causes of action, including attorney's fees
incurred by the State, arising from the performance of this grant contract by the Grantee or the Grantee's
agents or employees. This clause will not be construed to bar any legal remedies the Grantee may have for the
State's failure to fulfill its obligations under this grant contract.
9 Accounting
Under Minn. Stat. § 1613.98, subd. 8, the Grantee's books, records, documents, and accounting procedures and
practices of the Grantee or other party relevant to this grant agreement or transaction are subject to
examination by the State and/or the State Auditor or Legislative Auditor, as appropriate, for a minimum of six
years from the end of this grant agreement, receipt and approval of all final reports, or the required period of
time to satisfy all state and program retention requirements, whichever is later.
The Grantee shall maintain adequate financial records consistent with generally accepted accounting
principles. The Grantee shall submit accounting system records that track the use of grant proceeds and all
matching funds by eligible Project Costs for each year in which grant disbursement and expenditures were
made. The records shall reflect both expenditures and revenues and shall be submitted after all grant proceeds
and matching funds have been expended or at the State's request.
10 Government Data Practices and Intellectual Property
10.1 Government Data Practices The Grantee and State must comply with the Minnesota Government Data
Practices Act, Minn. Stat. Ch. 13, as it applies to all data provided by the State under this grant contract,
and as it applies to all data created, collected, received, stored, used, maintained, or disseminated by the
Grantee under this grant contract. The civil remedies of Minn. Stat. § 13.08 apply to the release of the
data referred to in this clause by either the Grantee or the State.
If the Grantee receives a request to release the data referred to in this Clause, the Grantee must
immediately notify the State. The State will give the Grantee instructions concerning the release of the
data to the requesting party before the data is released. The Grantee's response to the request shall
comply with applicable law.
10.2 Intellectual Property Rights. In the event that Grantee secures a copyright protection on any of the
materials, reports, or data created as part of the project, the Grantee agrees to and does hereby grant to
the State and its officers, agents, and employees, acting within the scope of their official duties, a royalty -
free, non - exclusive, and irrevocable license to publish, translate, reproduce, deliver, perform, dispose of,
and to authorize others to do so for use by the State, its divisions, instrumentalities and local
subdivisions, all material now or hereafter covered by any such copyright.
11 Workers' Compensation
The Grantee certifies that it is in compliance with Minn. Stat. § 176.181, subd. 2, pertaining to workers'
compensation insurance coverage. The Grantee's employees and agents will not be considered State
employees. Any claims that may arise under the Minnesota Workers' Compensation Act on behalf of these
employees and any claims made by any third party as a consequence of any act or omission on the part ofthese
employees are in no way the State's obligation or responsibility.
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12 Publicity and Endorsement
12.1 Publicity. Any publicity regarding the subject matter of this grant contract must identify the State as the
sponsoring agency. For purposes of this provision, publicity includes notices, informational pamphlets,
press releases, research, reports, signs, and similar public notices prepared by or for the Grantee
individually or jointly with others, or any subcontractors, with respect to the program, publications, or
services provided resulting from this grant contract.
12.2 Endorsement. The Grantee must not claim that the State endorses its products or services.
13 Governing Law, Jurisdiction, and Venue
Minnesota law, without regard to its choice -of -law provisions, governs this grant contract. Venue for all legal
proceedings out of this grant contract, or its breach, must be in the appropriate state or federal court with
competent jurisdiction in Ramsey County, Minnesota.
14 Termination
14.1 Termination by the State. The State may immediately terminate this grant contract 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.
14.2 Termination for Cause. The State may immediately terminate this grant contract if the State finds that
there has been a failure to comply with the provisions of this grant contract, 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. If the project is not started on or before the projected start date of December 31, 2015 or such a
later date requested by the Grantee and approved by the State, then the States obligation to fund the
Grant will be terminated. The State 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.
14.3 Termination for Insufficient Funding. The State may immediately terminate this grant contract if:
(a) It does not obtain funding from the Minnesota Legislature; or,
(b) 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 State 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 State will not be assessed any penalty if the
contract is terminated because of the decision of the Minnesota Legislature, or other funding source,
not to appropriate funds. The State must provide the Grantee notice of the lack of funding within a
reasonable time of the State's receiving that notice.
15 Data Disclosure
Under Minn. Stat. § 270C.65, subd. 3, and other applicable law, the Grantee consents to disclosure of its social
security number, federal employer tax identification number, and/or Minnesota tax identification number,
already provided to the State, to federal and state tax agencies and state personnel involved in the payment of
state obligations. These identification numbers may be used in the enforcement of federal and state tax laws
which could result in action requiring the Grantee to file state tax returns and pay delinquent state tax
liabilities, if any.
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Other Provisions
16 Reporting
Grantee must submit to the State annual reports on the use of funds and the progress of the Project covering
July 0 through June 30th of each year. The reports must be received by the State no later than July 25th of
each year. The reports must identify specific Project goals listed in the application and quantitatively and
qualitatively measure the progress of such goals. Grant payments shall not be made on grants, or subsequent
grant awards made to the grantee, with past due progress reports. In addition, the Grantee shall submit a final
report. The State will provide reporting forms.
17 Debarment and Suspension Certification
(If applicable) The Grantee agrees to follow the President's Executive Order 12549 and the implementing
regulation "Non- procurement Debarment and Suspension: Notice and Final Rule and Interim Final Rule,"
found at 53 FR 19189, May 26, 1988, as amended at 60 FR 33041, June 26, 1995, including Appendix B,
"Certification Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion — Lower Tier
Covered Transactions;" unless excluded by law or regulation.
18 Conflict of Interest
The Grantee must comply with the Conflict of Interest provisions of Minn. Stat. §§ 471.87 – 471.88.
19 Minnesota Business Subsidy Law
The Grantee must comply, if appropriate, with the Minnesota Business Subsidy Law, Minn. Stat. §§ 116J.993
– 116J.995.
20 State and Federal Environmental Standards
The Grantee must provide evidence that work performed under this grant complies with state and federal
environmental standards. An approval from the Minnesota Pollution Control Agency or other appropriate
state or federal agency is required upon completion of the cleanup activities.
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1. STATE ENCUMBRANCE VERIFICATION
Individual certifies that funds have been encumbered as
required by Minn. Stat. 16A.15 and I6C.05.
Signed:
Date: 06/27/2014
SWIFT Contract/PO No(s).3- 162192
2. GRANTEE
The Grantee certifies that the appropriate person(s)
have execute a grant contract on behalf of the Grantee as
required by dWlicable articles, bylaws, resolutions, or ordinances.
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Grantee: City of Chanhassen
Grant Name: Dakota Retail
Grant Number: CCGP -14- 0008- Z -FY14
3. STATE AGENCY
(with delegated authority)
Title:
Date:
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Distribution:
Agency
Grantee
State' s Authorized Representative - Photo Copy