HomeMy WebLinkAboutHEDRA Packet 07-14-2011HASTINGS ECONOMIC DEVELOPMENT & REDEVELOPMENT
AUTHORITY
.
July 14, 2011, 6:00 pm
City Hall Council Chambers
I. Quorum
II. Minutes – June 2, 2010 Regular Meeting & June 9, 2010 Workshop
III. Bills
IV. Business
A.Authorize Signature: Access Agreement – Hudson Manufacturing Cleanup –
Dakota County
B.Discuss Amendment to Note: Guardian Angels-Sherman Associates
C.Mixed Use Hard Wire Alarm – Award Contract & Commit Grant Funds
D.Industrial Park Boulevard Landscaping
E.Riverfront Addition “AKA Block 1” Land Price
F.Red Rock Corridor Transit Master Plan
G.Review 2012 Levy & Budget
H.Discuss Televising Future HEDRA Meetings
V. Reports and Information
A.Marketing Update
B.Hudson
C.TH 61 Bridge
D.HEDRA Workshop Recap
V. Adjourn
Next Meeting: Regular Meeting – August 11, 2011
HEDRA Meeting Packet - July 14, 2011Page 1 of 99
HEDRA AGENDA NOTES FOR JULY 14, 2011
MINUTES
nd
Please see attached HEDRA Meeting minutes from the June 2
regular
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meeting and June 9 workshop for your review and approval.
BILLS
JuneBills
Mastercard$40.00Brownfields Seminar
$5.09HEDRA Workshop Refreshments
DCA Title$740.65Block 29 Sale –Settlement Statement
Emily’s Bakery$88.06HEDRA Workshop Meal
Minnesota PCA$62.50Voluntary Investigative Clean-Up –Hudson
Himle Horner$6113.01Marketing Services –May
Bradley Deike$731.00Block 29 Sale –Legal Services
Please see attached general ledger detail for further information.
BUSINESS
A.Authorize Signature: Access Agreement –Hudson Manufacturing Cleanup
– Dakota County.
Dakota County has chosen the Hudson site for use of federal EPA investigative
grant funds. The funding will pay 100% of remaining Phase II and RAP
development. The value of the work is estimated at $56,000, and would complete
all environmental site investigative work prior to clean up.
Dakota County and its environmental contractors seek access to the building to
perform the work.
Please see the Access Agreementfor further information.
B.DiscussAmendment to Note: Guardian Angels-Sherman Associates.
Sherman Associates proposes to amend the existing $150,000 promissory note for
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improvements to the former Guardian Angels Church located at 4
& Sibley
Street. The proposal includes:
1)Amend and restate the Note to provide that payments will be made each
year on or before March 31 commencing March 31, 2012, solely from
“Surplus Cash”.
Currently payments are made monthly and interest is
rd
accrued at 7% per annum per the 3 Amendment to the Promissory Note. The
expectations of interest accrual are not presented by Sherman.
HEDRA Meeting Packet - July 14, 2011Page 2 of 99
2)Surplus Cash will consist of gross operating revenue less all operating
expenses, including a property management fee of 5%, reserves and
amortization of the cost of capital improvements to the building over 10
years.
Is the 5% fee appropriate? Is a 10 year amortization for the cost of
capital improvements reasonable? How would this affect the proposed 15
year extension? What is Sherman’s expectation for accruing “Surplus Cash”.
The extent and costs of the improvements are unknown.
3)Extend the maturity date of the Note to June 30, 2025 (15 years from last
extension).
th
On September 16, 2010 HEDRA authorized signature of the 4 Amendment to
the Note extending the maturity date to June 30, 2012 and requiring payment of
the principal. The agreement was never signed by Sherman. In March 2011, a
Notice of Default was sent to Sherman.
The $150,000 note was originally issued in 2003 and has been amended several
times. The value of the note with interest is $210,752.55 as of July 31, 2011.
ACTION:
Discuss the terms of the proposal and direct staff to draft comments to
Sherman.
Please see the attached letter from Sherman Associates
C.Mixed Use Hard Wire Alarm – Award Contract & Commit Grant Funds
st
On June 1
the City held a bid opening for Mixed Use Hard Wire Alarm
proposals. Respondents submitted two separate bids for the work, one for CDBG
eligible projects (27 properties) and one for projects ineligible for CDBG funds (3
properties). Six responses were received with Alarm Express being the low
bidder for both bids.
ACTION:
The Commission is asked to consider the following actions:
1) Award Contract for CDBG ineligible projects to Alarm Express for
$11,205.51.
2)Commit up to $5,000 in HEDRA Mixed Use Hard Wire Alarm grant funds
towards the contract for CDBG eligible projects. Funding would be used to
cover the gap between the estimated project cost and available CDBG
funding.
Please see attached Mixed Use Hard Wire Alarm Memo and Contract for more
information.
HEDRA Meeting Packet - July 14, 2011Page 3 of 99
D.Industrial Park Boulevard Landscaping
City Engineer Nick Egger requests HEDRA direction pertaining to Industrial
Park boulevard landscape gardens. The gardens were installed as part of the
Industrial Park improvements in 2009 and consist of prairie grass plantings that
take time to establish. Public Works has communicated with owners on the need
to allow the plantings to grow (many thought the plantings were weeds), and
have staked out the right-of-way lines to demarcate the property boundary.
Despite these efforts, some areas have been mowed and would need to be
reestablished. Options include:
1)Seek Council authorization to restore the prairie grass and bill the property
owners for this cost (Ballpark estimate is $5,000 for all affected areas).
2)Leave the damaged areas as is, but strongly discourage any otherproperty
owners from mowing the prairie grass.
3)Let Industrial Park property owners maintain the right of way abutting their
property as they see fit.
ACTION:
Discuss potential action
Please see the attached memo from Nick Egger, City Engineer.
E.Riverfront Addition “AKA Block 1” Land Price
Greenhouse Village Senior Housing Cooperative is interested in acquiring part of
Riverfront Addition from HEDRA. The property was previously known as
nd
Block 1 and is bounded by Tyler Street, Mississippi River, CP Rail, and 2
Street. Greenhouse proposes to construct a senior housing cooperative on the
site similar to their existing project in Roseville. Further information on
Greenhouse can be found at
http://greenhousevillage.com/.
The property was previously committed to Sherman Associates as part of a 2005
Purchase Agreement to construct 28 condominium units. Sherman failed to
reach minimum presale requirements and the agreement was terminated in 2007.
Greenhouse has inquired about the purchase price of the property. Dakota
County has valued the property at $7.26 per s.f. Please see attached analysis
ACTION:
Discuss the value of the property and potential need for an appraisal
Please see the attached valuation analysis
F.Red Rock Corridor Transit Area Master Plan
The final draft of the Red Rock Corridor Transit Area Master Plan has been
completed and is attached for your review and comments. The plan will also be
reviewed by the Planning Commission and City Council.
ACTION:
Discuss and review the Transit Area Plan
HEDRA Meeting Packet - July 14, 2011Page 4 of 99
Please see the attached introduction and Hastings Chapter for more
information.
G. Review 2012 Levy and Budget
A proposed outline of the 2012 budget has is attached for your review and
comments. HEDRA is scheduled to take final action on the budget and levy at the
August meeting.
Please see the attached Budget Summary for more information.
H.Discuss Televising Future HEDRA Meetings
City Council, Planning Commission, and Parks and Recreation Meetings are
currently televised through local cable access. HEDRA is asked to discuss
televising meetings in the future.
REPORTS
A.Marketing Update
Himle Horner has completed the Audit interviews. They conducted ten of these
calls in all (which is a couple more than they initially intended to do, but gave a
more rounded view, all while staying under budget.) they are in the process of
finalizing the audit report which will provide direction when writing the actual
marketing plan. A final draft of this audit report is expected from Himle Horner in
Mid July. Staff will forward it on to HEDRA for review and comments at the
August meeting. As for budget, Himle Horner has remained vigilant with our
dollars and is currently a couple thousand under and feels comfortable with what
is left to be done. Their hope is to stay under budget so that HEDRA has a little
left once we get the plan to actually begin implementation yet this year.
B.Hudson
The last production line is up and running at the new Hudson site, all production
in the old facility should be wrapping up in the next week or so. Hudson has
moved much of their inventory out of the old building. They are still seeking
vacation of the building by August.
The City has been successful in its challenge to Dakota County for 2012 tax
liability. The property has been deemed exempt for 2012 taxes. Based on
payable 2011 taxes, the City has saved over $60,000.
C.TH 61 Bridge
All work on the bridge is on hold during the state shut down.
HEDRA Meeting Packet - July 14, 2011Page 5 of 99
D.HEDRA Workshop Recap
Thank you for your participation in the June HEDRA workshop. Please see the
attached minutes for a summary of comments and direction.
ATTACHMENTS
HEDRA Minutes – June 2, 2011 – Regular Meeting
HEDRA Minutes – June 9, 2011 – Regular Meeting & Workshop
General Ledger Detail – June, 2011
Dakota County Access Agreement - Hudson
Guardian Angels Note Restructure Proposal – Sherman & Associates
Mixed Use Hard Wire Alarm Memo – John Hinzman
Mixed Use Hard Wire Alarm Contract
Industrial Park Landscape Memo – Nick Egger
Riverfront Addition Valuation
Red Rock Transit Area Master Plan
HEDRA 2012 Budget Summary
HEDRA Meeting Packet - July 14, 2011Page 6 of 99
Hastings Economic Development and
Redevelopment Authority
6:00 pm Hastings City Hall
Minutes of June 2,2011
HEDRA CommissionersPam Holzem, Ron Toppin, Kurt Keena, and Danna Elling Schultz,present
HEDRA Commissioners Absent:Michael Kelley,Dennis Peine,andTony Alongi
Staff present: Community Development Director John Hinzmanand Community Relation Specialist
Shannon Rausch.
Others Present: Colin Cox and Chuck Tombarge of Himle Horner
Q:
UORUM
A quorum was establishedand the meeting was called to order, by Chair Toppinat 6pm with four
members present.
I. M
INUTES
Commissioner Keena motioned to approve the minutes from the May 12, 2011 meeting,
Commissioner Holzemseconded the motion.
Motion approved 4-0
III.B
ILLS
CommissionerElling Schultzmoved to pay the bills. Commissioner Holzemseconded
the motion.
Motion Passed 4-0
IV.B
USINESS
A.Hold Public Hearing: Consider Sale of Property – Lot 1& 2 of Block 29Carlson
Capital Management
Public Hearing was called and closed at 6:10pm
Commissioner Elling Schultz motioned toapprove the sale of Lot 1& 2 of Block 29 to
Carlson Capital ManagementCommissioner. Holzem seconded the motions.
Motion Passed 4-0
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The next two agenda items were pulled from the agenda and tabled while more information is
gathered before taking any action on the items.
B. Authorize Signature of the Purchase and Development Agreement between
HEDRA and Carlson Capital Management.
C.Authorize Signature of a Termination of the Preliminary Development Agreement
between HEDRA and Stotko Speedling.
D. Extension of Purchase and Development Agreement – Block 2 – TOWN OF
HASTINGS – Three Rivers Place, LLC
Bob Abdo of Three Rivers Place, LLC has requested that HEDRA extend the Purchase
and Development Agreement for a portion of Lots 1 & 2, Block 2 until July 31, 2014.
The extension would be consistent with the City Council’s recent action to extend the
Site Plan and Special Use Permit for development of Three Rivers Place, a 39 unit
residential condominiumdevelopment approved in 2005. Three Rivers Place owns the
majority of the site, with HEDRA owning a small portion.
Commissioner Keena motioned to approve the extension until July 31, 2014.
Commissioner Holzem seconded the motion.
Motion approved 4-0
IV.R&I
EPORTSNFORMATION
A.Marketing update
Chuck Tombarge and Colin Cox from Himle Horner Inc. were presentto present a
high-level analysis of what they have learned from the recent audit calls they made
to local business owners.
Some of the findings included:
- The need for a common message that can be promoted by all (including city,
HEDRA, Hastings Area Chamber of Commerce, and Board of Tourism.)
- Local businesses crave connectivity some sort of brand they con connect to
with the City as a whole.
- Challenge with be to develop a larger message that everyone can buy into and
use as their own.
- What is the “one thing” that defines the City?
- HEDRA will want to build a sense of cohesion among businesses to tell the
same story.
Work on the final report will begin in the next month to two months with hopes of
previewing a draft in the early fall.
B.Hudson Update
nd
The last line will be moving out of 2street location by the end of Juneand currently
Hudson is saying they hope to be completely out of the building by August 1. for tax
HEDRA Meeting Packet - July 14, 2011Page 8 of 99
purposes the City/HEDRA needs them out by July 1 or else the city maybe liable for
a much higher tax rate.
City staff will be meeting with the county to do a walk through and try to persuade
them to give us a break.
C. TH 61 BridgeUpdate
thth
Street utilitywork has been completed. The 4Street light is scheduled
The work at 5
th
to be temporarily removed in a few weeks. The temporary 5Street light will serve until
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the 4Street light is put back in service.
Complaints about bridge contractors parking in prime spaces have been heard.
Further contractor parking has been made available in the southwest parking lot at
Hudson Manufacturing.Parking issues and blocked alley access has also been
brought up and dealt with in the downtown area.
D. Downtown Hardwired Alarm
Six RFP’s have been received and the low bid was just over $120,000, this is about
$4,000 more than we have grant dollars to fund. Need to do a little more work on this
but may need to consider whether to charge the owners the remaining portion or try
and fund the remaining portion with other funds.
E. Block 1 landscaping
The condition of landscaping along the bituminous parking lot on Block 1 downtown
(former Sherman location) is in poor condition. Weeds are growing through and the
plasticsheeting is torn and exposed. Staff is working with Public Works and Parks
Departments to repair the landscaped area. The estimated cost is $1,200to spruce it
up.
F. Workshop Meeting June 9th
The HEDRA workshop will takeplace on June 9th between 6:00-8:00pm in the
Volunteer Room at City Hall. DINNER WILL BE PROVIDED. Please let staffknow if
you will not be in attendance.
A:
DJOURNMENT
Commissioner Keenamoved to adjourn at 7:10, Commissioner Elling Schultzseconded.
Motion Passed 4-0
Thursday, June 9, 2011
Workshop meeting is scheduled for from 6:00 – 8:00 in the Volunteer
Room.
HEDRA Meeting Packet - July 14, 2011Page 9 of 99
Shannon M. Rausch
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Hastings Economic Development and
Redevelopment Authority
6:00 pm Hastings City Hall
WORKSHOP
Minutes of June 9,2011
HEDRA CommissionersPam Holzem, Ron Toppin, Tony AlongiKurt Keena, Michael Kelley,
Dennis Peine and Danna Elling Schultz, present
Staff present: Community Development Director John Hinzman, City Administrator David Osberg,
and Community Relation Specialist Shannon Rausch.
I.Q:
UORUM
A quorum was establishedand the meeting was called to order, by Chair Toppinat 6pm with seven
members present.
II.B
USINESS
Sale and Development of Lot 1 & 2, Block 29, TOWN OF HASTINGS – Carlson Capital
Management\Stotko Speedling
The Commission was asked to take the following actions related to the sale and
development of Block 29to Carlson Capital Management to develop a +/- 3,800 s.f. office
building on property owned by HEDRA:
A.Authorize Signature of the Purchase and Development Agreement between
HEDRA and Carlson Capital Management.
B.Authorize Signature of a Termination of the Preliminary Development
Agreement between HEDRA and Stotko Speedling.
Commissioner Keena, recognizing the change in wording to indicate that the buyer pay
all attorney’s fees, motioned to authorize the signing of the purchaseand development
agreement between HEDRA and Carlson Capital Management for Block 29.
Commissioner Holzem seconded the motion.
Motion passed 7-0
Commissioner Keena motioned to terminate the development Agreement that HEDRA
had with Stotko Speedling for Block 29. Commissioner Kelley seconded the motion.
Motion passed 7-0
BREAK FOR SUPPER:
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W6:25
ORKSHOP WAS CALLED TO ORDER AT PM
A.Review Administration and Management Practices Document
*Current Programs
:
- Residential Rehab loans/grants > do we do enough promoting of these
programs?,
- Commercial Rehab loans & grants >should we be doing more to promote these?
- one area HEDRA might be able to offer assistance might be the P&L
Properties,
what is HEDRA’s Role in redeveloping this site?
- Business Development incentives – Red Wing Dental is an example of this
- TIF districts – Downtown, NAPA, Vermillion Street
- Redevelopment Project Areas eligible for TIF
* Real Estate HEDRA Owns:
1.Hudson: Now owning Hudson, does our vision/goals for block 1 change?
- Yes, can be less from a “use” standpoint because the Hudson property is
so much more visible.
- What do you see when you come across the bridge? ROOF TOPS, how
do we attack people to the downtown area when that is all they see.
- Hudson will need to be eye catching to get people to see it, and STOP!!!
2. Parking Lot behind Gardner Hotel
3.Block 1; possible site for senior housing project
nd
4.Mann Property down near 22 Street – Potential for redevelopment and stop light
(Most likely a long term hold.)
5.Bob Abdo Agreement
6.Red Rock
- Block 16 Parking lot is ready for 100 spot lot, saving 80 feet along the north
side (secondStreet Side) and will be retained forthe purpose of
kiosks/farmer’s markets/etc.
- Still working towards it for this year (2011) but more than likely will be done
early in 2012.
- Former UBC Buildings – Could potentially be part of Red Rock
Development area. Particularly if Bailey Street gets rebuilt as a parkway.
These two sites could become multiuse buildings with commercial,
residential, and parking.
7. Block 29: Will close on this property at the end of June with Carlson Capital
Management
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B. Review Progress on Roles & Goals – June, 2009
1. Obsolete Land:
- Hudson
- Kwik Trip location (corner of 46/47 and Vermillion)
- P&L Properties (strip mall around the 1300 and 1400 block of Vermillion)
2. Commercial Buildings: dated looking
- Rehab loans are available;market just doesn’t support it right now.
- Vermillion has more need/potential for improvements than Downtown currently
has.
3. Shopping Districts:
th
- Vermillion Corridor – traffic lights at 18and 24?
4. New Business Park:
- In 2009 this was one of our long term goals, is it still today?
Yes, but with the current market it’s not as urgent.
5. Current Business/Industrial Park:
- Land is plotted and ready for sale when the market starts turning around.
6. Business Capital:
- HEDRA currently has $95,000 available to help Businesses. (This was the money
we had put into the Twin Cities Capital Funds)
7. Residential Rehab Loans:
- Do we start emphasizing these “rehab” loans/grants for older homes, even though
they may not necessarily be “historic”?
Most homeowners probably are unaware this assistance is available.
Need to do a better job at promoting with realtors that these loans/grants are
available so they can help HEDRA spread the work to potential homeowners
when they are looking at properties that may need improvements.
- Check with other cities, see what they do/if the do anything similar. (Woodbury has
very active program with Realtors)
8. Transit – Van pool discussion coming soon.
9. Communication/ Marketing – wait to see which direction Himle Horner points HEDRA.
C. Discuss Future Goals, Objectives, and Priorities
1. HRA: Redevelopment is currently more of a focus than economic Development simply
because of the current market conditions.
2. EDA: What can/should our roles be in getting Westview and Pro Build properties in the
Industrials Park new tenants?
- Can we provide any sort of gap loan that will help someone get into these existing
buildings?
3. Thoughts on Hwy. 55 Corridor?
HEDRA Meeting Packet - July 14, 2011Page 13 of 99
- If HEDRA isn’t needed, stay out.
4. Thoughts on the Downtown area?
- Need a rooftop message/sign thatdraws attention to it as motorist come across
the bridge. A roof top sign that says, “Exit here for Downtown” or “Check out our
website . . . “
D.Develop Draft Work Plan – Next Steps.
1. Marketing Industrial Park Vacant Properties
2. Loan plans for older homes, even if not Historic
3. Marketing Plan completion and implementation
4. Talk with owners of midtown property
5. Let realtors know assistance is available.
6. Hudson redevelopment, (Keep some, demo all ???)
A:
DJOURNMENT
Commissioner Elling Schultzmoved to adjourn at 8:15, Commissioner Keenaseconded.
Motion Passed 4-0
Thursday, July 14, 2011
Workshop meeting is scheduled for from 6:00pm in the City Council
Chambers.
Shannon M. Rausch
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ACCESS AGREEMENT BETWEEN DAKOTA COUNTY
AND
THE HASTINGS ECONOMIC DEVELOPMENT AND REDEVELOPMENT AUTHORITY
This Agreement is between Dakota County, Minnesota (“County”) and the Hastings Economic Development and
Redevelopment Authority (“Owner”) for access by the County, its employees, duly authorized representatives or agents,
including employees of Bonestroo (the environmental consulting firm hired by the County) to Owner’s real estate,
including buildings situated thereon(“Property”) for the performance of services described below. The Property is located
in Hastings, Minnesota, and is identified by the following Property Identification Numbers: 193215006050,
193215005070, 193215005021, 193215006060, 193215006061, 193215006090 and 193215005072(commonly referred
to as the Hudson Manufacturing site).
1.ACCESS AND PURPOSES
Owner hereby permits the County, its employees, duly authorized representatives, agents and subcontractors to enter
upon and have rights of ingress and egress over and accessat reasonable times to the Property for the following
purposes: (“Services”)
See Exhibit A, attached hereto and incorporated herein by reference.
The County will notify the Owner two (2) days in advance of any Services to be performed on the Property.
2.TERM
This Agreement shall be in effect from the date of execution by all parties through_____July 31, 2013_____, or for the
length of time needed to complete the Services, whichever is longer. After the expiration of such term, if Owner wishes to
withdraw permission for continued access, Owner shall notify the County of this fact in writing at least sixty (60) days prior
to the effective date. The County shall then perform site restoration activities (e.g., seal monitoring wells) on the Property
within a reasonable amount of time.
3.SCOPE OF WORK AND DISCLOSURE OF UNDERGROUND FACILITIES
The Services to be performed may include subsurface investigative work. The nature and location of the proposed
boreholes and/or monitoring wells are presented in Exhibit B, attached hereto and incorporated by reference herein. The
County or Bonestroo will contact public utility locating services and will make a good faith effort to locate underground
improvements which could potentially interfere with the proposed work, or be damaged by the proposed work. Since
Owner has the most detailed and intimate knowledge of the types and locations of buried improvements, Owner will be
called upon to assist Bonestroo to locate buried improvements. Consequently, Owner will be required to review the
proposed work to insure that damage is not done to buried structures. By signing this Agreement, Owner represents that it
has no notice or knowledge of underground tanks, pipes, utilities, and/or other man-made structures or improvements in
the proposed drilling locations, and could not, with reasonable diligence, obtain plans showing such improvements or
otherwise determine the location of such improvements. Owner agrees to waive any claims against the County, its
employees, duly authorized representatives and agents, including Bonestroo, for damage to underground structures and
utilities whichare not marked,which are not otherwise called to the County or Bonestroo's attention, and/or which are not
correctly shown on furnished plans. Owner will be consulted and will be allowed to view the drilling/well locations before
work commences.
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4.CONSEQUENTIAL DAMAGES
No party to this Agreement shall be liable to any other party for any consequential damages incurred due to the fault of
the other or their agents. Consequential damages include, but are not limited to, loss of use and loss of profit.
5. DAMAGE TO PROPERTY
The County agrees to conduct the Services so as to minimize interference with the Owner’s use of the Property. If any
portion of the Property is disturbed as a result of the County’s activities, the County will restore the Propertyto as close to
its original condition as is reasonably possible under the circumstances.
6. INDEMNIFICATION
The County agrees that it shall be liable for injury to or loss of property or personal injury or death caused by an act or
omission of any employee of the County in performance of this Agreement, under circumstances where the County, if a
private person, would be liable to the claimant in accordance with Minn. Stat. ch. 466. The County’s liability shall be
governed by the provisions of the Municipal Tort Claims Act, Minn. Stat. ch. 466.
7.ASSIGNMENT
This Agreement and the rights conferred hereby cannot be assigned or transferred by the County.
8.MODIFICATIONS
Any alterations, variations, modifications, or waivers of the provisions of this Agreement shall only be valid when they
have been reduced to writing and signed by the County’s authorized representative and the Owner.
9.SEVERABILITY
The provisions of this Agreement shall be deemed severable. If any part of this Agreement is rendered void, invalid, or
unenforceable, such rendering shall not affect the validity and enforceability of the remainder of this Agreement unless the
part or parts that are void, invalid or otherwise unenforceable shall substantially impair the value of the entire Agreement
with respect to either party.
10.GOVERNING LAW
This Agreement shall be governed by and construed in accordance with the substantive and procedural laws of the State
of Minnesota, without giving effect to the principles of conflict of laws. All proceedings related to this Agreement shall be
venued in Dakota County, Minnesota.
11.ENTIRE AGREEMENT
This Agreement is the final expression of the agreement of the parties and the complete and exclusive statement of the
terms agreed upon.
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IN WITNESS WHEREOF, the parties hereto have executed this Agreement on the date(s) indicated below.
COUNTY OF DAKOTA
By___________________________________________
Lynn Thompson, Director
Physical Development Division
APPROVED AS TO FORM:Date of Signature____________________________
____________________________________
Assistant Dakota County Attorney/Date
K-11-179
OWNER
(I represent and warrant that I am authorized by law
to execute this Agreementand legally bind the
Owner.)
By___________________________________________
_____________________________ [print name]
_____________________________ [print title]
Date of Signature____________________________
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EXHIBIT A
POSSIBLE SERVICES
Phase I Environmental Site Assessment
To provide access to personnel from Dakota County and/or personnel from Bonestroo
(the environmental consulting firm hired by the County) to conduct an inspection of the
property in accordance with the Phase I environmental site assessment (ESA)
inspectioncriteria outlined in American Society for Testing and Materials (ASTM)
Standard No. E-1527-05. It is anticipated that the property inspection will require 2 to 3
hours of time to complete. Access is required to both indoor and outdoor areas of the
property. Photographs of site features will be taken as part of the inspection and
included in the Phase I ESA report.
To provide a person meeting the definition of either an owner or operator of the facility,
and having knowledge of current and/or past operations at the facility, and to make that
person available for an interview to be conducted by County and/or Bonestroo
personnel as part of the Phase I ESA. The interview is a required standard component
of Phase I ESAs and will include general questions regarding past and/or current
operations, with an emphasis of practices related to storage and/or use of hazardous
materials and/or petroleum products.
To review a draft copy of the Phase I ESA report and to provide comments as
appropriate to correct or clarifyany portions of the report.
As the Phase I ESA is being paid for using a Federal Grant, copies of the report may be
provided to the U.S. EPA and/or the Minnesota Pollution Control Agency (MPCA) as
part of required submittals by the County, and become public records. One complete
electronic copy on CD of the final report will be provided to you for your use upon
completion of the final Phase I ESA Report.
The Phase I ESA report will be prepared for use by Dakota County. The Owner may
also rely on the report to the extent defined in the Phase I ESA report. Letters of
reliance for other parties will not be provided unless specifically agreed to in writing by
the County and Bonestroo prior to completion of the Phase I ESA report
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Phase II Environmental Site Assessment and/or Environmental Site Investigations
To provide access to personnel from Dakota County and/or personnel from Bonestroo
(the environmental consulting firm hired by the County) to conduct environmental
assessment sampling activities on the property in accordance with the Phase II
environmental site assessment (ESA) criteria outlined in American Society for Testing
and Materials (ASTM) Standard No. E-1903-97, and/or environmental site investigation
activities needed to furtherdefine the nature and extent of contamination documented
during the Phase II ESA or during investigations conducted previously by others at the
property. The specific scope of work for the Phase II ESA or environmental site
investigation will be detailedin a Site-Specific Sampling and Analysis Plan (SSSAP) to
be prepared by Bonestroo, and submitted to and approved by the U.S. EPA to prior to
commencement of on-site sampling activities. An electronic copy of the SSSAP will be
provided to Owner concurrently with submittal to U.S. EPA, and generally 5 to 10 work
days before the scheduled start of on-site sampling activites. It is anticipated that the
assessment activities will require 2 to 3 days of time to complete. Access is required to
both indoor and outdoor areas of the property. Photographs of site features will be taken
as part of the inspection and included in the Phase II ESA report.
Possible assessment activities:
Soil borings – Soil borings will in most instances be performed using a hydraulicprobe sampling
system or a hollow stem auger drill rig, and will be used to collect soil samples from the ground
surface to a typical depth of 10 or 20 feet below ground surface. In paved areas, soil borings will
typically result in the creation of a 4-inch to 12-inch diameter opening in the concrete or asphalt
pavement in order to provide access to the underlying soil. Soil removed from the borings will
need to be managed until a determination is made as to whether the soil is contaminated.
Borings notcompleted as monitoring wells will be properly abandoned.
Monitoring wells - ”Permanent” or “temporary” groundwater monitoring wells consisting of 1- or 2-
inch ID, Schedule 40 polyvinyl chloride (PVC) casing and screen may be installed in select soil
borings. “Permanent” monitoring wells will be completed with a lockable, flush-mount protective
cover, and will be installed where: (a) unstable soil or other geologic conditions preclude
installation of temporary wells, (b) wells constructed in accordance with Minnesota Pollution
Control Agency standards are needed to confirm whether previously documented contaminants in
groundwater exceed regulatory standards, or (c) it is anticipated that multiple rounds of
groundwater sampling will be required to achieve assessment or investigation objectives.
Temporary wells will be used in situations where the primary purpose at a sampling location is:
(a) to confirmthe presence/absence and/or general levels of of contaminants in groundwater, (b)
to document the depth to groundwater at locations where groundwater samples will not be
collected, or (c) to provide the ability to collect groundwater samples at a later date at locations
where only soil samples will be collected and analyzed as part of initial sampling activities.. Upon
completion of investigation activities the monitoring wells will be properly abandoned.
Groundwater sampling - Groundwater samples will be obtained from the from the permanent or
temporary groundwater monitoring wells. Groundwaterremoved from the wells will need to be
managed until a determination is made as to whether the groundwater is contaminated.
Soil vapor sampling - Soil vapor monitoring may be performed at locations based on the results of
the soil and groundwater samples. Permanent or temporary vapor probes may be installed to a
typical depth of 10 or 20 feet below ground surface.
Test Pits – Test pits may be excavated using a backhoe at locations where: (a) buried objects of
potential environmental significance such as underground storage tanks are known or suspected
to be present, or (b) historic fill materials are known or suspected to be present which can be
HEDRA Meeting Packet - July 14, 2011Page 22 of 99
more effectively evaluated through observation of a broader exposure of material than is possible
through sampling conducted via soil borings. Test pits will be conducted only in unpaved areas
unless specifically proposed in other locations inthe SSSAP and specifically permitted by the
Owner. In general, test pits will be 2 to 4-feet in width, 10 to 15-feet in length, and 4 to 12-feet
deep. Materials excavated from the test pits will be returned to the test pit on the date of
excavation. The surface will not be restored beyond returning the excavated materials to the test
pit, roughly smoothing the surface with the backhoe, and compacting the materials by driving over
the returned soil with the tires of the backhoe. Due to expansion of soilthat occurs upon
excavation, mounding of the ground surface may be present following restoration.
Investigative wastes (i.e., soil and water) will be properly stored on the Property at a
location to be identified by the Owner until such time as laboratory and other analyses
are completed by which to determine disposal requirements, if any. The Owner is
responsible for storage, management, and the proper disposal of that waste (if
necessary).Funding maybe available from the grant to pay for the proper disposal.
One complete electronic copy on CD of the final report will be provided to you for your
use upon completion of the final Phase II ESA Report. As the Phase II ESA is being
paid for using a Federal Grant, copies of the report may be provided to the U.S. EPA
and/or the Minnesota Pollution Control Agency (MPCA) as part of required submittals by
the County, and become public records. The Owner should review the results contained
in the final report and evaluate their reporting obligations to the U.S. EPAand/orMPCA
resulting from the potential documentation of the presence of contaminants in soil,
groundwater, soil vapor, or building materials at concentrations that exceed regulatory
thresholds or standards.
HEDRA Meeting Packet - July 14, 2011Page 23 of 99
Asbestos and Building MaterialsInspection
The asbestos inspection will be completed by a Minnesota licensed asbestos inspector.
The inspection will identify homogenous sampling areas of suspected asbestos
containing materials (ACMs) in the structure. Collect and submit samples for analysis
using polarized light microscopy by a NVLAP-certified lab. The asbestos inspection
standard is a destructive inspection technique to determine the presence of suspected
ACMs hidden within wall chases and under flooring. The samples obtained are small in
size, but do require holes to be put into walls and ceilings. Repairs will not be made
unless agreed to prior to the inspection. The building materials inspection will be
performed for those building materials listed in MN Rule 7035.0805. One complete
electronic copy on CD of the final report will be provided to you for your use upon
completion of the inspection.
Although efforts will be made to identify ACM, due to the nature of buildings, restricted
access, etc. it is not always possible to fully identify or access all hazardous building
materials in advance of demolition; therefore, the owner should secure the services of a
qualified asbestos inspector to be on-site if the structure(s) are to be demolished or
renovated.
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HEDRAMemorandum
To:
HEDRA Commissioners
From:
John Hinzman, Community Development Director
Date:
July 14, 2011
Item:
Mixed Use Hard Wire Alarm – Award Contract & Commit Grant Funds
HEDRAAction Requested:
1)Award Contract for CDBG ineligible projects to Alarm Express for $11,205.51.
2)Commit up to $5,000 in HEDRA Mixed Use Hard Wire Alarm grant funds towards the
contract for CDBG eligible projects. Funding would be used to cover the gap between the
estimated project cost and available CDBG funding.
Background Information:
In the early 2000’s, the city was approached by several downtown building owner
Prior to the establishment of the monitored fire alarm ordinance, the city had in place
Chapter 1306, an amendment to the State Fire Code, which required buildings over 2000
square feet in size to be equipped with a fire sprinkler system. A group of downtown
building owners approached the city stating this was too restrictive and cost prohibitive.
With that, a committee was formed to look at possible alternatives.This committee
consisted of city staff, a city council representative, representatives of the Chamber of
Commerce and downtown building owners. It was agreed by all that many code
deficiencies within mixed occupancy buildings existed and that if the city would repeal
Chapter 1306, an alternative cost effective approach could be reached that would still
offer public protection and early warning to the occupants. A few examples of code
deficiencies include, common exiting through neighboring buildings, narrow and steep
stairwells not designed for the occupancy the structure was built for and lack of fire
rated corridor doors. The alternative approach agreed upon was requiring monitored fire
alarms in mixed occupancy buildings, when one of the occupancies is a residential.
Many of the downtown buildings were built as owner occupied. Typically,the store
owner lived upstairs. Over the years, the store owners moved out and built apartments
above their stores.
City of Hastings
101 Fourth Street EastHastings, MN 55033-1955p:651-480-2350f:651-437-7082www.ci.hastings.mn.us
HEDRA Meeting Packet - July 14, 2011Page 30 of 99
After the ordinance was passed, HEDRA acquired grants to help offset the cost of these
systems. These grants were not discussed with the committee during the process, but
helped offset the cost to building owners.
The City of Hastings passed an ordinance in 2007 establishing a monitored fire alarm
system in mixed occupancy buildings when one of the occupancies is residential. This
ordinance was adopted in an effort to raise the level of fire safety to citizens living in
mixed use buildings, as these situations often lead to deaths in cases of fire when not
protected.
Monitored fire alarm systems were chosen as the protection method as they were the
most economical type of system that did not sacrifice safety. These systems were
supposed to be installed by May 31, 2009, which was later extended to May 31, 2010.
CDBG Funding:
In an effort to support businesses and property owners in Hastings, the City of Hastings
applied for and received Community Development Block Grant (CDBG) funds for the
purpose of assisting property owners with the costs to comply with the newly adopted
regulation. Specifically, funds were made available to match property owners’ costs by
50% up to $2,000.00 per building. During that time, 4 systems were installed, but did
not follow the requirements required in order to receive CDBG funding. Some owners
stated they didn’t understand they would not be eligible for funding if they didn’t follow
the regulations and other stated that they believed the regulations would add so much
cost on to the project that it would be cheaper to not follow the guidelines.
Staff continued to look for additional funding and has now received a total of
$107,750.44 of federal CDBG money available for buildings and owners who meet the
required guidelines. In general, this excludes owners who are elected officials and the 4
property owners that had the systems installed without having multiple bids or by
contractors who did not pay prevailing wages to employees. The Dakota County CDA
(Community Development Agency) who administers the CDBG funds set aside
about 9% ($9,800) of the grant dollars to assist the city in recouping administration of
the project. Staff proposes to use this money to fund the project.
Compliance Failure:
Even with a larger percentage of the alarms being covered, it became apparent that
therewas very little compliance. Some building owners cited financial difficulties
due to the economy and or future bridge construction. Others were overwhelmed by
the paperwork and regulations tied to the CDBG funding. As a result, staff looked
into operating the project a different way that could save installation costs further and
take the burden of paperwork, scheduling, bidding, and obtaining reimbursement of
owners and handle it all ourselves. Staff posted an RFP (Request for Proposals) for
the required systems for all buildings and invited what would be 6 contractors to
come and spend three days walking though about 30 buildings with staff to draw-up
their proposals
HEDRA Meeting Packet - July 14, 2011Page 31 of 99
HEDRA Funding of Ineligible Properties:
The HRA (Hastings Redevelopment Authority) and now HEDRA( Hastings
Economic Development and Redevelopment Authority) has allocated $20,000 for the
project. This was at least in part to allow funding for buildings that could not receive
CDBG funding due to restrictive regulations. Alarm Express was also the lowest
qualified bidder to submit a bid ($11,204.51) on a separate project for 3 buildings that
do not qualify for Federal CDBG money. The 4 buildings that have previously
installed fire alarm systems understand that they cannot revive CDBG funding, but
can receive money from HEDRA. They have all made staff aware that they would
like some financial assistance especially after finding out that owners who did not
complete the project on time will have nearly all of the cost paid with grant money.
HEDRA will consider this separate contract at their July 14, 2010 meeting.
Monitoring:
In order for the systems to be effective in saving lives and property damage in an area
where fires can spread rapidly, the systems must be monitored. The contractor
contracts with a third party that monitors the fire alarm system through a single phone
line (unless the owner desires two). The remote monitoring company periodically
tests the system for faults and notifies the authorities if an alarm is triggered 24 hours
per day. The RFP required contractors to provide in their bid one year of monitoring
at no cost to the owners.
A few adjoining buildings have been proposed with one system to monitor both
buildings at the request of the owners, which will save on installation costs and
monitoring. These affected buildings with separate owners should be required to file
shared maintenance agreements with the County to assure they will be perpetually
maintained in an agreed upon manner. This may not be necessary for adjoining
buildings owned by the same person because those buildings are typically not set-up
for individual ownership and may always be sold as one building.
Cost of Monitoring:
Alarm express provided 3 years of monitoring into their bid. After the three years
laps, the owners may sign a contact with Alarm Express year by year. They currently
charge $25 per month for monitoring. The owners are also free to contracttheir
monitoring with any one they choose after the free monitoring lapses.
HEDRA Meeting Packet - July 14, 2011Page 32 of 99
FIRE ALARMAGREEMENT
This Agreement is made this ____ day of ________, 2011, between the Hastings
Economic Development and Redevelopment Authority, a public body corporate and politic
th
under the Laws of the State of Minnesota (“HEDRA”), 101 4
Street East, Hastings, MN 55033
and Alarm Express LLC, a Wisconsin Domestic Limited Liability Company, 1301 Sunset Lane,
River Falls, WI 54022 (“Express”).
RECITALS
WHEREAS
, the City of Hastings, on behalf of HEDRA,issued a Request for Proposals
as modified by three subsequent addenda (the “RFP”) for installation and monitoring of fire
alarm systems within three housing units located in mixed-use buildings owned by private
individuals in the City of Hastings, the RFP being attached hereto as Exhibit A;
WHEREAS
, Express is engaged in the business of installation and coordinated
monitoring of fire alarm systems and submitted a responsive Bid Proposal (the “Bid Proposal”)
in response to the RFP, the responsive Bid Proposal being attached hereto as Exhibit B;
WHEREAS
, the fire alarm systems to be installed and monitored pursuant to the terms
of this Agreement are described and identified in Section 5 of the Bid Proposal labeled as Non-
CDBG Bid Proposal;
WHEREAS
, HEDRA has designated grant funds intended to pay for the costs of the
installation and initial monitoring of the fire alarm systems contemplated in the RFP and Section
5 of the Bid Proposal labeled as Non-CDBG Bid Proposal;
WHEREAS
,HEDRAdesires to contract with Express for the installation of the fire
alarm systems, and for monitoring of the fire alarm systems though a third-party vendor,
provided that the performance of HEDRA and Express under the contract will be conditioned
upon the private owners of the individual housing units joining in as parties to the contract;
WHEREAS
, the anticipated fire alarm monitoring service is to be provided by U.S.A.
Central Station Alarm Corp., a New York Corporation (“Monitoring Company), and the parties
intend the obligations of HEDRA and Express to perform hereunder are further conditioned upon
the private owners of the individual housing units entering into a monitoring contract (the
“Monitoring Contract”), a copy of the Monitoring Contract being attached hereto as Exhibit C,
with the Monitoring Company for monitoring services for a period of no less than three years,
the costs of such monitoring services being prepaid as a portion of the costs paid to Express for
the initial installation and monitoring of the fire alarms.
NOW THEREFORE
, in consideration of the mutual covenants herein contained, and
other good and valuable consideration, the parties mutually agree as follows:
HEDRA Meeting Packet - July 14, 2011Page 33 of 99
Scope of Work
1.. Express shall provide the fire alarm equipment, and install the fire
alarm systems, in accordance with the specifications set forth in Section 5 of the Bid
Proposal labeled as Non-CDBG Bid Proposal. All work by Express shall be completed
in a good and workmanlike manner. It is anticipated all work will be completed within
six months from the date Express receives notice to proceed on all individually owned
housing units and in any event, all work shall be completed within nine months of
Express receiving the notice to proceed.Any changes, alterations, or alternate placement
of devices, including alterations required by the fire inspector, shallbe charged separately
by Express upon project completion. One analog phone line will be provided by the
customer, or the building owner. Any service issues related to the phone lines will be
billed at the time of service directly to the owner of the housing unit. Components of the
fire alarm systems and the installation of the fire alarm components shall meet or exceed
Minnesota Building Code and Minnesota Fire Code standards and each installation must
pass all applicable inspections prior to being accepted by HEDRA and the private owners
of the individual housing units. No equipment to be installed pursuant to this Contract
shall be proprietary type equipment and must be capable of installation, service and
monitoring by any qualified technician. Express shall be responsible for coordinating
and scheduling with all owners of the private housing units. Work in individual buildings
must be completed in a timely manner and should not take longer than four weeks.
Businesses must be allowed to remain open and conduct business during normal business
hours throughout the installation. Residents must maintain access to their residence.
After the work is completed, the interior and exterior of buildings must be restored to
their pre-construction condition in respect to their cleanliness and repair.
Payment
2.. Express shall receive payment directly from HEDRA for the installation and
monitoring of the fire alarm systems as set forth in Section 5 of the Bid Proposal labeled
as Non-CDBG Bid Proposal. Final payment will be granted after all buildings are
completed, the work passes City inspection, and Express’s payroll records are deemed to
be complete and accurate for compliance with the Davis-Bacon Act requirements as set
forth in the RFP and the Bid Proposal. HEDRAmay, at HEDRA’s option, make periodic
payments as work progresses, as long as Davis-Bacon payrolls have been submitted and
checked for compliance through the pay periods, and that partial lien waivers are fully
executed and delivered to HEDRA.No change orders, alterations, or alternate placement
of devices, including any alterations required as a result of inspection of the fire marshal,
shall be binding on either HEDRA or Express unless or until a change order is signed by
both parties and consented to by the private owner of the individual housing unit affected
by the change. Applicable sales tax is included in the Bid Proposal amounts received
from Express and neither HEDRA nor the individual owners of the housing units shall be
obligated to pay any additional sales tax other than the amounts set forth in the Bid
Proposal.
Warranties
3.. The only warranties expressed or implied, granted in connection with alarm
products installed by Express, are the express written warranties extended by the
manufacturer thereof, Silent Knight. Silent Knight Equipment is subject to a limited 36
month warranty provided by the manufacturer. The warranty shall apply only to the
original purchaser which shall in this case be the end user, the owners of the individual
HEDRA Meeting Packet - July 14, 2011Page 34 of 99
housing units, and in no event shall Express be held liable for any indirect, incidental,
consequential losses or damages incurred by the purchaser in connection with the
operation of these products, including any or all of its components or accessories. It is
understood and agreed by and between the parties hereto that Express is not an insurer.
Any and all insurance will be obtained by the purchaser/subscriber. Charges for alarm
equipment are based solely upon the value of the services provided for and are unrelated
to the value of the purchaser/subscriber’s property or the property of others, located in or
on the premises. The amounts payable by the purchaser/subscriber are not sufficient to
warrant the Company assuming any risk or liability for any losses therefrom, which the
services are designated to detect or avert. If the company should be found liable for loss
or damage due to failure on the part of the Company, or the system, to protect from
consequences which the service is designated to detect or avert, such as fire, then in this
respect, the liability of Express shall be limited to a sum of $500.00, or a refund of the
purchase price, whichever is greater. This limitation of liability shall not, however, limit
the liability of Express for failure to: (1) provide the fire alarm equipment, (2) properly
install the fire alarm systems, or (3) perform its obligations, under this Contract.
Compliance with Davis-Bacon Wage Requirements
4.. Express must follow all
applicable Federal wage requirements as established by the U.S. Department of Labor
and the Federal labor standards provisions of the Davis-Bacon Act as more fully
described in the RFP. Weekly payroll reports shall be submitted by Express to HEDRA
and Express is responsible for the full compliance of all subcontractors.
Direction to proceed
5.. Prior to Express initiating any work on any individual housing
units covered by this Contract, the verified owner of the individual housing unit shall:
(1)execute this Agreement, and (2) be bound to its terms. After such execution and
payment, HEDRAwill provide Express with written notice to proceed as to the specific
individual housing units. Installation of the fire alarm systems in one or more building
may require the building owner to obtain written consent of an adjacent or adjoining
property owner to allow installation of wiring, conduit, or other equipment within the
building or property of the adjacent or adjoining building owner. For any unit requiring
such consent, HEDRA shall not issue the notice to proceed to Express until such consent
is obtained by the property owner. If after exerting reasonable efforts HEDRA is unable
to obtain the signature and consent of one or more individual housing unit owners, and
for units requiring the consent of the adjacent or adjoining property owner, such consent,
then HEDRA may so notify Express that it has been unable to obtain such signature and
consent, and in that event, Express shall not undertake any installation of fire alarm
equipment in that unit or units and accordingly, HEDRA shall not be obligated to pay
Express the costs of furnishing the fire alarm equipment and installing the fire alarm
system within the specified unit. These provisions shall be utilized as a last possible
resort and HEDRA shall undertake all reasonable efforts to obtain the signature and
consent of the individual property owners, and where applicable the consent of the
adjacent or adjoining building owner.
Alarm Monitoring Contract
6.. The parties acknowledge that the alarm monitoring
services for each of the individual housing unit fire alarm systems shall be monitored by
HEDRA Meeting Packet - July 14, 2011Page 35 of 99
Monitoring Company which has provided a standard alarm monitoring contract which the
Monitoring Company will not agree to modify. The parties to the Monitoring Contract
shall be the Monitoring Company, Express, and the private owners of the individual
housing units. Express shall be obligated to obtain the signatures of the owners of the
individual housing units on the Monitoring Contract and shall allow all of the owners a
reasonable opportunity to review the contract terms before signing. In the event an
individual housing unit owner refuses to agree to the terms of the Monitoring Contract,
Express shall nonetheless install the fire alarm system in accordance with this Contract,
Express shall be entitled to receive the full contract price, including the costs associated
with the 36 month monitoring period, but the individual housing unit owner shall not be
obligated to engage the services of the Monitoring Company and the Owner shall be
advised that the owner must contract with an alternate alarm monitoring service, at the
owner’s sole expense. The owner shall be advised by Express that the Monitoring
Contract shall have a 36 month initial term with all monitoring costs prepaid as part of
the installation contract, but that the owners may, but are not obligated to, renew the
Monitoring Contracts for additional one year periods at the expiration of the initial 36
month term, at the sole cost of the building owners.
Indemnification
7..HEDRA shall indemnify and hold harmless Express, their respective
officers, employees and agents from any damages or liabilities arising from or occurring
as a result of the negligent acts of HEDRA, its employees and agents. Express shall
indemnify and hold harmless the individual owners of the property who are parties to this
Contract, HEDRA,the City of Hastings and their respective officers, employees and
officials from any damages or liabilities arising from or occurring as a result of the
negligent acts of Express, its officers, employees and agents.
Miscellaneous
8..
a) Neither Express nor HEDRA may assign its rights and obligations under this
Contract to any third-party without the written consent of the opposite party,
such consent to be granted or withheld at the party’s sole discretion. Express
may not utilize subcontractors in performance of the work except as disclosed in
the Bid Proposal.
b) In the event of any inconsistency or conflict between the terms of this
Agreement, the terms of the RFP, or the terms of the Bid Proposal, the terms of
this Agreement shall control and supersedeany inconsistent terms in the RFP or
Bid Proposal.
c) This document contains the entire agreement between the parties and any
statements, promises or inducements made by either party or agents of either
party which are not contained in this written Agreement and the attached
Exhibits shall beinvalid and nonbinding. This Agreement may not be enlarged,
modified or altered except by written agreement signed by both parties and to
the extent such modification impacts the rights or obligations of an individual
housing unit owner, signature by the individual housing unit owner.
HEDRA Meeting Packet - July 14, 2011Page 36 of 99
d)This Agreement may be executed in any number of counterparts and different
parties in separate counterparts. It is specifically anticipated that the individual
housing unit owners will execute counterparts. Each counterpart when so
executed shall be deemed to be an original and all counterparts together shall
constitute one and the same agreement.
e)This Agreement shall be governed under the laws of the State of Minnesota.
The parties agree that all actions or proceedings arising in connection with this
Agreement shall be litigated exclusively in the Dakota County District Court,
State of Minnesota. The choice of venue is intended by the parties to be
mandatory and not permissive in nature, thereby precluding the possibility of
litigation between the parties with respect to or arising out of this Agreement in
any jurisdiction other than that specified in this paragraph.
f)In the event of litigation relating to the subject matter of this Agreement, the
non-prevailing party shall reimburse the prevailing party for all reasonable
attorneys’ fees and costs resulting therefrom.
g) The failure by one party to require performance of any provision herein shall
not affectthat party’s right to require performance at anytime thereafter, nor
shall a waiver of any breach or default of this Agreement constitute a waiver of
any subsequent breach or default or a waiver of the provision itself.
Hastings Economic Development and
Redevelopment Authority in andfor the
City of Hastings, a Public Body Corporate and
Politic under the Laws ofthe State of Minnesota
Dated:___________________ By:
Ron Toppin
It’s President
ALARM EXPRESSLLC
Dated: By:
Ben McCurdy
Its: President
HEDRA Meeting Packet - July 14, 2011Page 37 of 99
HEDRA Meeting Packet - July 14, 2011Page 38 of 99
RESERVED FOR SIGNATURES OF OWNERS
HEDRA Meeting Packet - July 14, 2011Page 39 of 99
EXHIBIT A
City of Hastings/HEDRA Mixed Occupancy Monitored Fire Alarm Request for Proposals
(“RFP”)
HEDRA Meeting Packet - July 14, 2011Page 40 of 99
EXHIBIT B
Alarm Express Responsive Bid Proposal (“Bid”)
HEDRA Meeting Packet - July 14, 2011Page 41 of 99
EXHIBIT C
U.S.A. Central Station Alarm Corporation Alarm Monitoring Contract (“Monitoring Contract”)
HEDRA Meeting Packet - July 14, 2011Page 42 of 99
To:Hastings Economic Development & Redevelopment Authority
From:Nick Egger –City Engineer
Date:July 6, 2011
Re:Boulevard Establishment for 2009 Industrial Park Project
Request
City staff is requesting guidance from HEDRA for future interaction with Industrial Park property
owners/operators as it relates tothe establishment ofboulevard rain gardens.
Problem:
Fourproperties in the IndustrialPark have regularly mowed the linear raingardens, killing off the prairie
grass mix that was planted as part of the 2009 street reconstruction program. All property owners had
previously been asked not to mow the raingarden areas, and Public Works installed lath clearly denoting
the “no-mow” areas.
Options:
Seek Council authorization to restore the prairie grass and bill the property owners for this cost
(Ballpark estimate is $5,000 total for all affected areas).
Leave the damaged areas as is, but strongly discourage any other property owners from mowing the
prairie grass.
Let Industrial Park property owners maintain the right of way abutting their property as they see fit.
Background Information
Industrial Park Improvements – 2009
The City reconstructed several streets within the Hastings Industrial Park in 2009. Part of the
improvements included establishing linear rain garden basins in the boulevards alongside most of the
streets. The contract for the project required a three-year maintenance and establishment period for
these areas to ensure that the proper vegetation is fully developed.
Spring/Summer 2010
In May of 2010, we began to notice that several property owners weremowingdown the vegetation
within the rain gardenareas. To help deter this practice, City staffprovideda letter to all property
owners explaining the establishment process and requesting that they refrain from mowing them. Initial
compliance levels were quite high, but despite the enhanced information, some property owners
resumedmowing operations into the rain gardens. The City acted again in September to request
termination of mowing in the rain gardens. The September letteralso updated property owners on the
work that the Contractor had been performing to promote vegetation establishment. As an added
measure, City staff went through the entire project area and installed wooden lathe marking the
boundaries of the rain gardens.
For your reference, I have attached both of the previous written notifications, along with a few photos of
established rain gardens and those at properties who have chosen to mow them down.
Spring 2011
Now in theirsecond year of the three-year period, most of the rain garden areas are well on their way to
being established as prescribed by the City’s project plans. However, we continue to observe mowing
in several rain gardens.With this having been nearly a continuous occurrence, we fear that the affected
areasare beyond our ability to establish without re-tilling the soil and re-applying seed.
HEDRA Meeting Packet - July 14, 2011Page 43 of 99
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HEDRA Meeting Packet - July 14, 2011Page 44 of 99
June 7, 2010
Re: City Project 2009-1
Industrial Park Area Improvements
Dear Property Owner/Manager:
It has come to our attention during recent site inspections that many of the
ditch/raingarden areas located on the 2009-1 Industrial Park Area Improvement
project have been mowed to a “normal” lawn height. The grass, from five feet behind
the curb extending to the property line, is specifically designed to grow approximately
18” tall. This mature growth allows the root structures of the grass to extend deep into
the soil, maximizing the amount of stormwater runoff that can be absorbed into the
soil. If the grass is cut to a “normal” lawn height, it will reduce the amount of
designed infiltration, and, in many cases, may damage or kill the grasses.
The City requests that the grass within the first five feet of the curb be mowed, but the
remaining area to the property line be left natural. The first five feet behind the curb
contains a different species of grass that is designed to be cut. If necessary, please
remind any property management companies you may employ of this restriction.
Landscaping contractors will be in the area in the coming weeks to spray for weeds,
especially in the area directly behind the curb, and to seed thin areas in the
ditch/raingarden areas. They will also be planting Prairie Cordgrass plugs within the
designated raingarden areas. This grass is specially designed to absorb the additional
water that will pond in those areas following rain events.
The landscaping contractor will also return in late summer to reseed the area directly
behind the curb to help ensure uniform growth.. At some point during the
summer/fall, they will be cutting the ditch/raingardens to a depth of 6” to 8”. This
one-time mowing will aid in spreading seed and filling in those areas with fewer
established grasses.
We would like to thank you in advance for your cooperation. If you have any
questions or concerns, please contact the Engineering Department at 480-2334.
Sincerely,
Nick Egger, P.E.
City Engineer
Cc: Thomas Montgomery, Public Works Director
Dave Chalmers, Engineering Supervisor
Tom Groh, Minnesota Sod Co.
HEDRA Meeting Packet - July 14, 2011Page 45 of 99
September 10, 2010
Re: City Project 2009-1
Industrial Park Area Improvements
Ditch/Raingarden Maintenance Update
Dear Property Owner/Manager:
The maintenance contractor for the ditch/raingarden areas has performed a number of
activities in these areas throughout this summer, including mowing and herbicide
application. As part of this ongoing maintenance effort, the contractor is scheduled to
apply additional grass seed and fertilizer in the boulevard areas (5 feet behind the
curb) next week. This will be followed immediately by an additional cutting of the
ditch areas. These cuttings of the ditch areas to a height of approximately 8” are
intended to aid in eliminating weeds and to allow sunlight and nutrients to reach the
desirable plants.
It has again become evident that many of the ditch/raingarden areas located in the
Industrial Park Area Improvement project have been mowed to a “normal” lawn
height. It is imperative that the grass and plantings within the ditch and raingarden
areas be allowed to grow to their intended height in order for them to develop
effectively. The grass and plants, from five feet behind the curb extending to the
property line, are specifically designed to grow approximately 18” tall. This mature
growth allows the root structures of the grass and plants to extend deep into the soil,
maximizing the amount of stormwater runoff that can be absorbed into the soil. If
they are cut to a “normal” lawn height, it will reduce the amount of designed
infiltration, and, in many cases, may damage or kill the desirable grasses and plants.
As a reminder, the grass within the first five feet of the curb is meant to be mowed,
NOTE:
but the remaining area to the property line is intended to be left natural.
Since the contractor will be seeding the first five feet behind the curb, they will be
doing any necessary mowing in that area this fall.In an effort to better delineate those
areas that are not designed to be cut, City staff will be visiting each property in the
coming weeks to place stakes at the boundaries between the “mow” and “no mow”
areas.Please refer to the diagram on the back of this letter for a diagram that
We also are
represents the typical dimensions of the ditch/raingarden areas.
respectfully requesting your assistance with this effort, by reminding any lawn
services provider you may employ of these restrictions.We have included two
copies of this letter so that you may share one with your lawn services provider.
We would like to thank you in advance for your cooperation. If you have any
questions or concerns, please contact the Engineering Department at 480-2334.
Sincerely,
Nick Egger, P.E.
City Engineer
Cc: Thomas Montgomery, Public Works Director
Dave Chalmers, Engineering Supervisor
Tom Groh, Minnesota Sod Co.
HEDRA Meeting Packet - July 14, 2011Page 46 of 99
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HASTINGS ECONOMIC DEVELOPMENT AND REDEVELOPMENT
AUTHORITY
DRAFT
Combined 2012BudgetSummary, 404 and 407 Accounts
Revenues
20122011Notes
HRA Levy 306,000294,631HRA: .0185% of TMV*
General Levy266,000179,251From Fund 407 –Includes Personnel and
services
Interest27,00027,000On HRA fund balance
2,9002,900On IP fund balance
Loan payments13,00013,000Installment loans w/interest
Rents12,50012,500Farm IP land –Will be rebid in Fall ‘11
Transfer 315,000283,254From fund balance
Total942,400759,254
Expenses
Personnel salary and 126,300118,39325% Community Development Director, 50%
benefitsCommunications Spec. (Estimated)
Administration 8,40010,005Memberships and dues, travel, office,
conferences, advertising, insurance, accounting.
Property expenses1,0003,000Maintenance and replacement
Professional services63,80057,000Consultants, experts, legal, costs & fees –
includes Hudson, Marketing, & analysis of
future sites
Rehabilitation 123,00085,000Loans, grants for owner rehabilitations and
code improvements
40,000 Residential loans
5,000 Res. emergency grants
40,000 Commercial loans
Redevelopment 300,000250,000Majority dedicated to Hudson Demolition &
(capital)Cleanup – including 50% of demo cost
($217,000)
Hudson debt service313,000235,856Actual debt service better than expected
Total expenses 935,500759,254Will be changed by final personnel number
*For the HRA levy this is the statutory maximum based on the 2010 Taxable Market
HEDRA Meeting Packet - July 14, 2011Page 98 of 99
Program activities for 2012
Hudson Property remediation and demolition
Promote riverfront redevelopment
Facilitate commercial redevelopment projects in Downtown and Vermillion
project areas
Make commercial & residential rehabilitation and code improvement loans
Acquire obsolete and blighted property for redevelopment
Promote and assist commercial and industrial projects for job and tax base growth
Assist historic preservationprojects
Cooperate with local and commuter multi-modal transit projects
Fund Balances 7/7/11
404 Account (former HRA) Estimated 593,000
407 Account (former (IP) Estimated 255,000
Receivables
404 Account 210,753 note due from Guardian Angels
HEDRA Meeting Packet - July 14, 2011Page 99 of 99