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HomeMy WebLinkAboutItem 06.dAugust 9, 2010 Primary Issues to Consider None. Item No. AUGUST 16, 2010 CITY COUNCIL AGENDA ITEM APPROVE STATE OF MINNESOTA AGENCY AGREEMENTS NO. 97372 AND NO. 97438 BETWEEN THE CITY OF LAKEVILLE AND DEPARTMENT OF TRANSPORTATION Safe Routes to School, City Improvement Project 08 -09 Proposed Action Staff recommends approval of the attached Resolution Approving State of Minnesota Agency Agreements No. 97372 for Federal Participation in Preliminary Engineering and No, 97438 for Federal Participation in Force Account with Department of Transportation, pertaining to the Safe Routes to School grant, City Improvement Project 08 -09. Overview Safe Routes to School is a program created through the federal transportation bill designed to improve the condition and quality of bicycling and walking to school. In 2008, the City of Lakeville was awarded a non - infrastructure grant in the amount of $50,000 to complete a study to identify locations where infrastructure improvements are most needed. Based upon the results of that study, the City applied for and was granted a subsequent grant in the amount of $175,000. This included $143,000 for construction, $3,000 for education and enforcement, and $29,000 for engineering. All engineering will be performed by City Staff except for consulting services needed for design of the push button activiated pedestrian crossing signal to be constructed at 175 St. and Highview Ave, The Agency Agreements allow MnDOT to act as the City's agent in accepting federal aid in connection with the Safe Routes to School improvements. Agency Agreement No. 97372 allocates $6,000 of federal funding for the City to retain an engineering consultant to prepare the plans for the pedestrian traffic signal, Agency Agreement No. 97438 is a Force Account that allocates $23,000 in federal funds for City Staff to recover time and materials for design and administration, including s3,000 for education, enforcement and evaluation. Once the plans have been completed and approved by MnDOT, a subsequent agreement will be forthcoming for the construction of the project. Supporting Information • State of Minnesota Agency Agreement No. 97372 for Federal Participation in Preliminary Engeering and Agency Agreement No. 97438 for Federal Participation in Force Account with Dpar mend of Transportation eitf H, Nelson, City Engineer Financial Impact: $ -0- Budgeted: Source: MnDOT Grant Related Documents (CIP, ERP, etc.): Notes: WHEREAS, the City of Lakeville applied for and received a federal grant in the amount of $175,000 through the Safe Routes to School program for infrastructure improvements; and WHEREAS, the City desires that MnDOT act as the City's agent in accepting federal funds on the City's behalf for the construction project; NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of Lakeville, Minnesota that pursuant to Minnesota Stat. Sec. 161.36, the Commissioner of Transportation be appointed as Agent for the City of Lakeville to accept as its agent, federal aid funds which may be made available for eligible transportation related projects; and BE IT FURTHER RESOLVED, the Mayor and the City Clerk are hereby authorized and directed for and on behalf of the City to execute and enter into any agreement with the Commissioner of Transportation prescribing the terms and conditions of said federal aid participation as set forth and contained in "Minnesota Department of Transportation Agency Agreement No. 97372 and Minnesota Department of Transportation Agency Agreement No 97438," copies of which said agreements were before the City Council and which are made a part hereof by reference. ATTEST: Charlene Friedges, City Clerk STATE OF MINNESOTA COUNTY OF DAKOTA CITY OF LAKEVILLE I hereby certify that the foregoing Resolution is a true and correct copy of a resolution presented to and adopted by the Council of the City of Lakeville at a duly authorized meeting thereof held on the 16 day of August, 2010, as shown by the minutes of said meeting in my possession. (Seal) DATED this 16 day of August, 2010. CITY OF LAKEVILLE RESOLUTION NO. RESOLUTION APPROVING STATE OF MINNESOTA AGENCY AGREEMENTS NO. 97372 AND NO. 97438 BETWEEN THE CITY OF LAKEVILLE AND DEPARTMENT OF TRANSPORTATION Safe Routes to School City Improvement Project 08 -09 CITY OF LAKEVILLE Holly Dahl, Mayor CERTIFICATION Charlene Friedges, City Clerk STATE OF MINNESOTA AGENCY AGREEMENT BETWEEN DEPARTMENT OF TRANSPORTATION AND CITY OF LAKEVILLE Mn /DOT Agreement No. 97372 FOR FEDERAL PARTICIPATION IN PRELIMINARY ENGINEERING FOR S.P. 188- 591 -03; M.P. SRTS 1910(165) This agreement is entered into by and between City of Lakeville ( "City ") and the State of Minnesota acting through its Commissioner of Transportation ( "Mn/DOT "), Pursuant to Minnesota Statutes Section 161.36, the City desires Mn/DOT to act as the City's agent in accepting federal funds on the City's behalf for the construction, improvement, or enhancement of transportation financed either in whole or in part by federal funds, hereinafter referred to as the "Project "; and The City is proposing a federal aid project for preliminary engineering design for a safe routes to school project in the City of Lakeville, MN, hereinafter referred to as the "Preliminary Engineering;" and The Preliminary Engineering is eligible for the expenditure of federal aid funds, and is identified in Mn /DOT records as State Project 188 - 591 -03, and in Federal Highway Administration ( "FHWA ") records as Minnesota Project SRTS 1910(165); and Mn/DOT requires that the terms and conditions of this agency be set forth in an agreement. THE PARTIES AGREE AS FOLLOWS: I. DUTIES OF THE CITY. A. DESIGNATION. The City designates Mn/DOT to act as its agent in accepting Federal funds in its behalf made available for the Project. B. ELIGIBILITY / COSTS. The estimated cost of the Preliminary Engineering is $6,000. 1. It is anticipated that 100% (up to $6,000) of the cost of the Preliminary Engineering is to be paid from federal funds made available by the FHWA, and The City will pay any part of the cost or expense of the work that the FHWA does not pay. Page 1 (Mn /DOT Agreement No. 97327) 2. Any costs incurred by the City prior to authorization of the Federal Funds, will not be eligible for federal participation. 3. Eligible cost and expense, if approved, may consist of the following: a) Preliminary design engineering. b) Expenditures for materials, supplies, mechanical data processing and equipment rental, limited to the actual expenditures for the purposes of this agreement. c) The cost incurred by the City to employ outside forces to perform any or all of the work pursuant to this agreement, subject to the provisions of section I.D. SUBLETTING. 4. Expenditures for general administration, supervision, maintenance and other overhead or incidental expenses of the City are not eligible for federal participation. 5. Acceptability of costs under this agreement will be determined in accordance with the cost principles and procedures set forth in the applicable Federal Acquisition Regulations, Contract Cost Principals and Procedures, 48 Code of Federal Regulations (CFR) 31 which is hereby incorporated by reference and made a part of this agreement. 6. For costs expected to exceed $6,000, the City must request the preparation and execution of a supplement to this agreement, prior to incurring such costs. C. STAFFING. 1. The City will designate a publicly employed registered engineer, ( "Project Engineer "), to be in responsible charge of the Project and to supervise and direct the work performed under any contract let for the Project. If City elects to use a private consultant for engineering services, the City will provide a qualified, full - time public employee of the City, to be in responsible charge of the Project. The services of the City to be performed pursuant to this agreement may not be assigned, sublet, or transferred unless the City is notified in writing by Mn/DOT that such action is permitted under 23 CFR 1.33 and 23 CFR 635.105 and state law. This written consent will in no way relieve the City from its primary responsibility for performance of the work. 2. During the progress of the work on the Project, the City authorizes its Project Engineer to request in writing specific engineering and /or technical services from Mn/DOT, pursuant to Minnesota Statutes Section 161.39. Such services may be covered by other technical service agreements. If Mn/DOT furnishes the services requested, and if Mn/DOT requests reimbursement, then the City will promptly pay Mn/DOT to reimburse the state trunk highway fund for the full cost and expense of furnishing such services. The costs and expenses will include the Page 2 (Mn /DOT Agreement No. 97327) current Mn/DOT labor additives and overhead rates, subject to adjustment based on actual direct costs that have been verified by audit. Provision of such services will not be deemed to make Mn/DOT a principal or co- principal with respect to the Project. 3. The City will furnish the personnel, services, supplies, and equipment necessary to properly supervise, inspect, and document the work for the Project. D. SUBLETTING. The City will prepare request for proposals in accordance with Minnesota law and applicable Federal laws and regulations. 1. The City will solicit proposals for Preliminary Engineering after obtaining written notification from Mn/DOT that the FHWA has authorized the Project. Any Project advertised prior to authorization will not be eligible for federal reimbursement. 2. The City will prepare the request for proposal, which will include all of the federal -aid provisions supplied by Mn/DOT. 3. The City will prepare and publish the proposals solicitation for the Project as required by state and federal laws. The City will include in the solicitation the required language for federal -aid contracts as supplied by Mn/DOT. The solicitation will state where the City will receive the sealed proposals. 4. The City may not include other work in the contract for the authorized Project without obtaining prior notification from Mn/DOT that such work is allowed by FHWA. Failure to obtain such notification may result in the loss of some or all of the federal funds for the Project. 5. The City will prepare proposal packages and prepare and distribute any addendusns, if needed. 6. The City will receive open, and evaluate proposals. 7. After the proposals are opened, the City will consider the proposals begin negotiations on the price of the Preliminary Engineering in accordance with the practice commonly known as Quality Based. Selection. If the proposal contains a goal for Disadvantaged Business Enterprises, the City will not award the bid until it has received certification of the Disadvantaged Business Enterprise participation from the Mn/DOT Equal Employment Opportunity Office. 8. This written consent will in no way relieve the City from its primary responsibility for performance of the work. Subcontractor agreements must contain all appropriate terms and conditions of this agreement. E. CONTRACT ADMINISTRATION. The City will request approval from Mn/DOT for all costs in excess of the amount of federal funds previously approved for the Project prior to incurring such costs. Page 3 {Mn /DOT Agreement No. 97327} Failure to obtain such approval may result in such costs being disallowed for reimbursement. 2. The City will prepare reports, keep records, and perform work so as to enable Mn/DOT to collect the federal aid sought by the City. The City will retain all records and reports in accordance with Mn/DOTs record retention schedule for federal aid projects. 3. Upon completion of the Project, the Project Engineer will determine whether the work will be accepted. F. PAYMENTS. 1. The entire cost of the Project is to be paid from federal funds made available by the FHWA and by other funds provided by the City. The City will pay any part of the cost or expense of the Project that is not paid by federal funds. 2. The City may request partial payments not more than once each thirty (30) days. The Project Engineer will certify each partial payment. 3. The invoice and supplements thereto, will contain all details that may be necessary for a proper audit. Such details will consist of at least the following: (a) A breakdown of labor by individual, classification, dates and hours worked times the applicable rate to arrive at a total dollar amount for each individual. (b) The labor additive shall be applied to total labor dollars. (c) The equipment charges shall be broken down by type of equipment times the applicable rate and dates used to arrive at total equipment charges. (d) A detailed breakdown of outside services used and supporting invoices and documentation that costs of outside services have been paid. (e) Detail for materials, supplies, and other items with the description, units, and unit prices included in the invoice. if materials or supplies are purchased from an outside source, a copy of that invoice should be included. (0 The invoices will include 100% of eligible charges applicable to the Preliminary Engineering so that the prorata share of federal and City participation can be applied to the total costs. 4. Following certification of the final estimate, the City may request reimbursement for costs eligible for federal funds. The City's request will be made to Mn/DOT Page 4 (Mn /DQT Agreement No. 97327) 5. Reimbursement of costs under this agreement will be based on actual costs. and will include a copy of the certified final estimate along with the required records. G. LIMITATIONS. The City will comply with all applicable Federal, State, and local laws, ordinances, and regulations. Nondiscrimination. It is the policy of the FHWA and the State of Minnesota that no person in the United States will, on the grounds of race, color, or national origin, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity receiving Federal financial assistance (42 U.S.C. 2000d). Through expansion of the mandate for nondiscrimination in Title VI and through parallel legislation, the prescribed bases of discrimination include race, color, sex, national origin, age, and disability. In addition, the Title VI program has been extended to cover all programs, activities and services of an entity receiving Federal financial assistance, whether such programs and activities are Federally assisted or not. Even in the absence of prior discriminatory practice or usage, a recipient in administering a program or activity to which this part applies, is expected to take affirmative action to assure that no person is excluded from participation in, or is denied the benefits of, the program or activity on the grounds of race, color, national origin, sex, age, or disability. It is the responsibility of the City to carry out the above requirements. 3. Workers' Compensation. Any and all employees of the City or other persons while engaged in the performance of any work or services required or permitted by the City under this agreement will not be considered employees of Mn/DOT, and any and all claims that may arise under the Workers' Compensation Act of Minnesota on behalf of said employees, or other persons while so engaged, will in no way be the obligation or responsibility of Mn/DOT. The City will require proof of Workers' Compensation Insurance from any contractor and sub- contractor. H. AUDIT, 1. The City will comply with the Single Audit Act of 1984 and Office of Management and Budget (OMB) circular A -133 including amendments and successors thereto, which are incorporated herein by reference. 2. As provided under Minnesota Statutes Section 16C.05, subdivision 5, all books, records, documents, and accounting procedures and practices of the City are subject to examination by the United States Government, Mn/DOT, and either the Legislative Auditor or the State Auditor as appropriate, for a minimum of six years. The City will be responsible for any costs associated with the performance of the audit. Page 5 (Mn/DOT Agreement No. 97327) MAINTENANCE. The City assumes full responsibility for the operation and maintenance of any facility constructed or improved under this Agreement. J. CLAIMS. The City acknowledges that Mn/DOT is acting only as the City's agent for acceptance and disbursement of federal funds, and not as a principal or co- principal with respect to the Project. The City will pay any and all lawful claims arising out of or incidental to the Project including, without limitation, claims related to contractor selection (including the solicitation, evaluation, and acceptance or rejection of bids or proposals), acts or omissions in performing the Project work, and any ultra vices acts. The City will indemnify, defend (to the extent permitted by the Minnesota Attorney General), and hold Mn/DOT harmless from any claims or costs arising out of or incidental to the Project, including reasonable attorney fees incurred by Mn/DOT. The City's indemnification obligation extends to any actions related to the certification of DBE participation, even if such actions are recommended by Mn/DOT. II. DUTIES OF Mn/DOT. A. ACCEPTANCE. Mn/DOT accepts designation as Agent of the City for the receipt and disbursement of federal funds and will act in accordance herewith. B. PROJECT ACTIVITIES. Mn/DOT will make the necessary requests to the FHWA for authorization to use federal funds for the Project, and for reimbursement of eligible costs pursuant to the terms of this agreement. 2. Mn/DOT will provide to the City copies of the required Federal -aid clauses to be included in the proposal solicitation and will provide the required Federal -aid provisions to be included in the Proposal. 3. MnIDOT will review and certify the DBE participation and notify the City when certification is complete. If certification of DBE participation cannot be obtained, then the City must decide whether to proceed with awarding the contract. Failure to obtain such certification will result in the project becoming ineligible for federal assistance, and the City must make up any shortfall. C. PAYMENTS. Mn/DOT will receive the federal funds paid by the FHWA for the Project, pursuant to Minnesota Statutes § 161.36, Subdivision 2. 2. Mn/DOT will review and certify each partial pay request. Following certification of the partial estimate, Mn/DOT will reimburse the City, from said federal funds made available to the Project, for each partial payment request, subject to the availability and limits of those funds. Page 6 (Nn /DOT Agreement No 973271 3. Upon completion of the Project, the City will prepare a final payment request in accordance with the terms of this agreement. Mn/DOT will review and certify the final payment request with a final audit. 4. No more than 90% of the reimbursement due under this agreement will be paid until completion of the final audit and approval by Mn /DOT's authorized representative. 5. If Mn/DOT does not obtain funding from the FHWA or other funding source, or funding cannot be continued at a sufficient level to allow for the processing of the federal aid reimbursement requests the City may continue the work with local funds only, until such time as Mn/DOT is able to process the federal aid reimbursement requests. AUTHORITY. Mn/DOT may withhold federal funds, if Mn /DOT or the FHWA determines that the Project was not completed in compliance with federal requirements. E. INSPECTION. Mn/DOT, the FHWA, or duly authorized representatives of the state and federal government will have the right to audit, evaluate and monitor the work performed under this agreement. The City will make available all books, records, and documents pertaining to the work hereunder, for a minimum of seven years following the closing of the construction contract. III. AUTHORIZED REPRESENTATIVES. Each authorized representative will have responsibility to administer this agreement and to ensure that all payments due to the other party are paid pursuant to the terms of this agreement. A. The City authorized representative is Keith Nelson, City Engineer, City of Lakeville, 20195 Holyoke Avenue West, Lakeville, MN 55044, phone 952 -985- 4500, or his successor. B. Mn/DOT's authorized representative is Mark biers, Minnesota Department of Transportation, State Aid for Local Transportation, Mail Stop 500, St Paul, MN 55155, phone 651 -366 -3833, or his successor. IV. TORT LIABILITY. Each party is responsible for its own acts and omissions and the results thereof to the extent authorized by law and will not be responsible for the acts and omissions of any others and the results thereof. The Minnesota Tort Claims Act, Minnesota Statutes Section 3.736, governs Mn/DOT liability. V. ASSIGNMENT. Neither party will assign or transfer any rights or obligations under this agreement without prior written approval of the other party. VI. AMENDMENTS. Any amendments /supplements to this Agreement must be in writing and be executed by the same parties who executed the original agreement, or their successors in office. Page 7 (Mn/DOT Agreement No. 97327) VII. TERM OF AGREEMENT. This agreement will be effective upon execution by the City and by appropriate State officials, pursuant to Minnesota Statutes Section 16C.05, and will remain in effect for five (5) years from the effective date or until all obligations set forth in this agreement have been satisfactorily fulfilled, whichever occurs first. VIII. TERMINATION. This agreement may be terminated by the City or Mn/DOT at any time, with or without cause, upon ninety (90) days written notice to the other party. Such termination will not remove any unfulfilled financial obligations of the City as set forth in this Agreement. In the event of such a termination the City will be entitled to reimbursement for Mn/DOT- approved federally eligible expenses incurred for work satisfactorily performed on the Project to the date of termination subject to the terms of this agreement. Page 8 (Mn /17OT Agreement No. 97327) IN WITNESS WHEREOF, the parties have caused this Agreement to be duly executed: intending to be bound thereby. CITY DEPARTMENT OF TRANSPORTATION City certifies that the appropriate person(s) By: have executed the contract on its behalf as required by applicable resolutions, ordinances, or charter Title: Director, provisions State Aid for Local Transportation By: Date: Title: By: Date: Title: Page 9 Date: COMMISSIONER OF ADMINISTRATION By: Date: (Mn/DOT Agreement No 97327) STATE OF MINNESOTA AGENCY AGREEMENT BETWEEN DEPARTMENT OF TRANSPORTATION AND CITY OF LAKEVILLE FOR FEDERAL PARTICIPATION IN FORCE ACCOUNT FOR S.P. 188 -591 -003; M.P. SRTS 1910(165) Mn/DOT Agreement No. 97438 This agreement is entered into by and between CITY OF LAKEVILLE ( "City ") and the State of Minnesota acting through its Commissioner of Transportation ( "Mn/DOT "), Pursuant to Minnesota Statutes Section 161.36, the City desires Mn/DOT to act as the City's agent to accept and disburse federal funds for the construction, improvement, or enhancement of transportation financed in whole or in part by federal funds, hereinafter referred to as the "Project "; and The City is proposing a federal aid project to conduct preliminary engineering and implement education, enforcement and evaluation activities for Safe Routes to School in Lakeville, MN. A public interest finding has determined 100% of the project can be completed more economically as a Force Account hereinafter referred to as the "FORCE ACCOUNT "; and The FORCE ACCOUNT is eligible for the expenditure of federal aid funds, and is identified in Mn/DOT records as State Project 188 - 591 -003, and in Federal Highway Administration ( "FHWA ") records as Minnesota Project SRTS 1910(165); and Mn /DOT requires that the terms and conditions of this agency be set forth in an agreement. THE PARTIES AGREE AS FOLLOWS: DUTIES OF THE CITY. A. DESIGNATION. The City designates Mn/DOT to act as its agent to accept and disburse federal funds made available for the Project. B. ELIGIBILITY / COSTS. The estimated cost of the FORCE ACCOUNT is $26,000.00. . It is anticipated that 100% (up to $26,000.00) of the cost of the FORCE ACCOUNT is to be paid from federal funds made available by the FHWA. The City will pay any part of the cost or expense of the work that the FHWA does not pay. Agreement no. 97438 2. Any costs incurred by the City prior to authorization, will not be eligible for federal participation. 3. Eligible cost and expense, if approved, may consist of the following: a) Preliminary engineering — local forces ($23,000) b) Education, enforcement and evaluation — local forces ($3,000) 1. City of Lakeville Police officers will conduct classroom teaching of pedestrian and bicycle safety practices. 2. City of Lakeville Police officers will provide enforcement of traffic laws around schools 3. Promote program awareness and physical activity through participation in the Presidential fitness program, Olympic Games Festival and the Juvenile diabetes walk 4. Produce marketing materials for National Walk to School day. 5. Promote /encourage walking and biking to school through classroom recognition and incentives for students walking and biking to school. 6. Review program effectiveness to determine if additional measures are needed to further improve safety. 7. Conduct a post SRTS project survey of students and parents to gauge the effectiveness of the improvements c) Provide Mn/DOT with copies of the survey and any promotional or informational materials developed. d) The direct labor charges for City employees for the time that said employees are engaged in the work to be performed by the City pursuant to this agreement. Said labor charges may include the prorata share of "labor additives" applicable to said labor charges. Costs to the City of "labor additives" consisting of holiday pay, vacation, sick leave, retirement, pension, unemployment taxes, compensation and liability insurance, lost time charges and similar costs incidental to labor employment will be reimbursed only when supported by adequate records. e) The applicable equipment rental charges for City owned equipment used by the City and mileage charges for employee owned vehicles used by the City on the work to be performed pursuant to this agreement, at rates reflective of the City actual cost. f) Expenditures for materials, supplies, mechanical data processing and equipment rental, limited to the actual expenditures for the purposes of this agreement. 4. Expenditures for general administration, supervision, maintenance and other overhead or incidental expenses of the City are not eligible for federal participation. -2- Agreement no. 97438 5. Acceptability of costs under this agreement will be determined in accordance with the cost principles and procedures set forth in the applicable Federal Acquisition Regulations, Contract Cost Principals and Procedures, 48 Code of Federal Regulations (CFR) 31 which is hereby incorporated by reference and made a part of this agreement. C. STAFFING. 1. The City will designate a publicly employed project manager, ( "Project Manager "), to be in responsible charge of the Project and to supervise and direct the work to be performed under any construction contract let for the Project. If City elects to use a private consultant for engineering services, the City will provide a qualified, full -time public employee of the City, to be in responsible charge of the Project. The services of the City to be performed pursuant to this agreement may not be assigned, sublet, or transferred unless the City is notified in writing by Mn/DOT that such action is permitted under 23 CFR 1.33 and 23 CFR 635.105 and state law. This written consent will in no way relieve the City from its primary responsibility for performance of the work. 2. During the progress of the work on the Project, the City authorizes its Project Manager to request in writing specific engineering and /or technical services from Mn/DOT, pursuant to Minnesota Statutes Section 161.39. Such services may be covered by other technical service agreements. If Mn/DOT furnishes the services requested, and if Mn/DOT requests reimbursement, then the City will promptly pay Mn/DOT to reimburse the state trunk highway fund for the full cost and expense of furnishing such services. The costs and expenses will include the current Mn/DOT labor additives and overhead rates, subject to adjustment based on actual direct costs that have been verified by audit. Provision of such services will not be deemed to make Mn/DOT a principal or co- principal with respect to the Project. 3. The City will furnish the personnel, services, supplies, and equipment necessary to properly supervise, inspect, and document the work for the Project. D. CONTRACT ADMINISTRATION. 1. The City of Lakeville is responsible for all costs in excess of the amount of federal funds. 2. The City will prepare reports, keep records, and perform work so as to enable Mn/DOT to collect the federal aid sought by the City. The City will retain all records and reports in accordance with Mn/DOT's record retention schedule for federal aid projects. 3. Upon completion of the Project, the Project Manager will determine whether the work will be accepted. -3- Agreement no. 97438 E. PAYMENTS. 1. The entire cost of the Project is to be paid from federal funds made available by the FHWA and by other funds provided by the City. The City will pay any part of the cost or expense of the Project that is not paid by federal funds. 2. The City may request partial payments not more than once each thirty (30) days. The Project Manager will certify each partial estimate. 3. The invoice and supplements thereto, will contain all details that may be necessary for a proper audit. Such details will consist of at least the following: (a) A breakdown of labor by individual, classification, dates and hours worked times the applicable rate to arrive at a total dollar amount for each individual. (b) The labor additive may be applied to total labor dollars, not including overtime labor dollars. (c) The equipment charges must be broken down by type of equipment times the applicable rate and dates used to arrive at total equipment charges. (d) A detailed breakdown of outside services used and supporting invoices. Documentation that costs of outside services have been paid. (e) Detail for materials, supplies, and other items with the description, units, and unit prices included in the invoice. If materials or supplies are purchased from an outside source, a copy of that invoice must be included. (f) The invoices will include 100% of eligible charges applicable to the Force Account so that the prorata share of federal and City participation can be applied to the total costs. 4. Following certification, by the Project Manager, of the final estimate, the City may request reimbursement for costs eligible for federal funds. The City's request will be made to Mn/DOT and will include a copy of the certified final estimate along with the required records. 5. Reimbursement of costs under this agreement will be based on actual costs, but limited to eligible items. F. LIMITATIONS. 1. The City will comply with all applicable Federal, State, and local laws, ordinances, and regulations. 2. Nondiscrimination. It is the policy of the Federal Highway Administration and the State of Minnesota that no person in the United States will, on the grounds of Agreement no. 97438 -4- race, color, or national origin, be excluded from participation in, be denied the benefits of, or be subjected to discrimination under any program or activity receiving Federal financial assistance (42 U.S.C. 2000d). Through expansion of the mandate for nondiscrimination in Title VI and through parallel legislation, the proscribed bases of discrimination include race, color, sex, national origin, age, and disability. In addition, the Title VI prograrn has been extended to cover all programs, activities and services of an entity receiving Federal financial assistance, whether such programs and activities are Federally assisted or not. Even in the absence of prior discriminatory practice or usage, a recipient in administering a program or activity to which this part applies, is expected to take affirmative action to assure that no person is excluded from participation in, or is denied the benefits of, the program or activity on the grounds of race, color, national origin, sex, age, or disability. It is the responsibility of the City to carry out the above requirements. 3. Workers' Compensation. Any and all employees of the City or other persons while engaged in the performance of any work or services required or permitted by the City under this agreement will not be considered employees of Mn/DOT, and any and all claims that may arise under the Workers' Compensation Act of Minnesota on behalf of said employees, or other persons while so engaged, will in no way be the obligation or responsibility of Mn/DOT. The City will require proof of Workers' Compensation Insurance from any contractor and sub- contractor. G. AUDIT. 1. The City will comply with the Single Audit Act of 1984 and Office of Management and Budget (OMB) circular A -133 including amendments and successors thereto, which are incorporated herein by reference. 2. As provided under Minnesota Statutes Section 16C.05, subdivision 5, all books, records, documents, and accounting procedures and practices of the City are subject to examination by the United States Government, Mn/DOT, and either the Legislative Auditor or the State Auditor as appropriate, for a minimum of six years. The City will be responsible for any costs associated with the performance of the audit. MAINTENANCE. The City assumes full responsibility for the operation and maintenance of any facility constructed or improved under this Agreement. CLAIMS. The City will pay any and all lawful claims arising out of or incidental to the performance of the Project work. The City acknowledges that Mn /DOT is acting only as the City's agent for receipt and disbursement of federal funds, and not as a principal or coprincipal with respect to the Project. In all events, the City will indemnify Mn /DOT and hold Mn/DOT harmless from any claims arising out of the Project. -5- Agreement no. 97438 II. DUTIES OF Mn/DOT. A. ACCEPTANCE. Mn/DOT accepts designation as Agent of the City for the receipt and disbursement of federal funds and will act in accordance herewith. B. PROJECT ACTIVITIES. Mn /DOT will make the necessary requests to the FHWA for authorization to use federal funds for the Project, and for reimbursement of eligible costs pursuant to the terms of this agreement. C. PAYMENTS. Mn/DOT will receive the federal funds to be paid by the FHWA for the Project, pursuant to Minnesota Statutes § 161.36, Subdivision 2. 2. Mn/DOT will review and certify each partial pay request. Following certification of the partial estimate, Mn/DOT will reimburse the City, from said federal funds made available to the Project, for each partial payment request, subject to the availability and limits of those funds. 3. Upon completion of the Project, the City will prepare a final payment request in accordance with the terms of this agreement. Mn/DOT will review and certify the final payment request with a final audit. 4. No more than 90% of the reimbursement due under this agreement will be paid until completion of the final audit and approval by Mn /DOT's authorized representative. 5. In the event Mn/DOT does not obtain funding from the FHWA or other funding source, or funding cannot be continued at a sufficient level to allow for the processing of the federal aid reimbursement requests, the City may continue the work with local funds only, until such time as Mn/DOT is able to process the federal aid reimbursement requests. D. AUTHORITY. Mn/DOT may withhold federal funds, where Mn/DOT or the FHWA determines that the Project was not completed in compliance with federal. requirements. E. INSPECTION. Mn/DOT, the FHWA, or duly authorized representatives of the state and federal government will have the right to audit, evaluate and monitor the work performed under this agreement. The City will make available all books, records, and documents pertaining to the work hereunder, for a minimum of seven years following the closing of the contract. TTT . AUTHORIZED REPRESENTATIVES. Each authorized representative will have responsibility to administer this agreement and to ensure that all payments due to the other party are paid pursuant to the terms of this agreement. -6- Agreement no. 97438 A. The City authorized representative is Keith Nelson, City Engineer, City of Lakeville, 20195 Holyoke Avenue West, Lakeville, MN 55044, phone 952 -985- 4500, or his successor. B. MnIDOT's authorized representative is Mark P. Piers, Minnesota Department of Transportation, State Aid for Local Transportation, 395 John Ireland Boulevard, Mail Stop 500, St Paul, MN 55155, phone 651.366.3833, or her successor. IV. TORT LIABILITY. Each party is responsible for its own acts and omissions and the results thereof to the extent authorized by law and will not be responsible for the acts and omissions of any others and the results thereof. The Minnesota Tort Claims Act, Minnesota Statutes Section 3.736, governs Mn/DOT liability. V. ASSIGNMENT. Neither party will assign or transfer any rights or obligations under this agreement without prior written approval of the other party. VI. AMENDMENTS. Any amendments /supplements to this Agreement must be in writing and be executed by the same parties who executed the original agreement, or their successors in office. VII. TERM OF AGREEMENT. This agreement will be effective upon execution by the City and by appropriate State officials, pursuant to Minnesota Statutes Section 16C.05, and will remain in effect for five (5) years from the effective date or until all obligations set forth in this agreement have been satisfactorily fulfilled, whichever occurs first. VIII. TERMINATION. This agreement may be terminated by the City or Mn/DOT at any time, with or without cause, upon ninety (90) days written notice to the other party. Such termination will not remove any unfulfilled financial obligations of the City as set forth in this Agreement. In the event of such a termination the City will be entitled to reimbursement for Mn/DOT- approved federally eligible expenses incurred for work satisfactorily performed on the Project to the date of termination subject to the terms of this agreement. -7- Agreement no. 97438 IN WITNESS WHEREOF, the parties have caused this Agreement to be duly executed intend to be bound thereby. City DEPARTMENT OF TRANSPORTATION City certifies that the appropriate person(s) have executed the contract on its behalf as required By: by applicable resolutions, ordinances, or charter provisions Title: Director State Aid for Local Transportation By: Date: Title: By: Date: Title: -8- Date: COMMISSIONER OF ADMINISTRATION By: Date: Agreement no. 97438