CR 98-134 Consider Cost Allocation & Maintenance Agreement- Oakridge Country Club0
August 14, 1998
Consider Cost Allocation and Maintenance Agreement — Oakridge Country Club
Proposed Action.
Staff recommends adoption of the following motion: Move that Council authorize
the Mayor and City Manager to sign a cost allocation and maintenance
agreement with Oakridae Country Club.
Overview.
A major element of the 6 Avenue storm sewer improvement project is the
diversion of stormwater runoff north of Highway 7 into the existing Eisenhower
detention pond. This diversion creates the need to increase the storage capacity
of this pond. This will be done by allowing the pond level to rise, as it has always
done, plus allowing approximately 2.1 acre-feet of additional stormwater to be
stored on Oakridge Country Club property, just north of the existing pond. Staff
reported to Council in February, '98 that design and construction planning of the
additional Oakridge ponding was underway. In April, '98 staff recommended
award of the 6 Avenue storm sewer project, described the additional Oakridge
Country Club detention ponding and estimated the city cost at $150,000 -
$160,000. The Oakridge detention ponds design work has been completed,
design and construction cost items have been obtained, and an agreement
protecting the city's investment has been negotiated with Oakridge Country Club.
Construction work is scheduled to start shortly after Labor Day.
Primary Issues to Consider.
• Major elements of the agreement
• Funding
Supporting Information.
• Oakridge CC Agre = me t
1
ITN
Steven J. Stadler, Public Works Director
Council Report 98 -134
0 Council Report 98 -134
Page 2
0
Analysis of Issues.
Major elements of the agreement
The City Attorney prepared the agreement in order to protect the city's
investment in this stormwater ponding while not requiring a potentially expensive
permanent property easement. The agreement includes the following:
• Oakridge CC is responsible for design and construction, subject to city
approval.
• The city is obligated to maintain and clean the retention ponds and
Oakridge CC must grant periodic access and right of entry.
• City agrees to pay a sum not to exceed $157,803 and will reimburse
Oakridge through progress payments until final project acceptance.
• Future modifications shall occur only upon mutual consent and
approval of the City and Oakridge CC.
• The agreement can be terminated if agreed to by both parties.
• Funding
Funding for this project will come from the 1998 storm sewer utility fund. The
current 1998 storm sewer budget includes a $600,000 inter -fund loan from the
sanitary sewer utility fund. An additional inter fund loan of approximately
$50,000 will be required to cover all 1998 storm sewer project costs. This
additional transfer will be made later in the year when project costs are more
certain.
0
COST ALLOCATION AND MAINTENANCE AGREEMENT3
FOR RETENTION PONDS
This Agreement made this ji%day of August, 1998, by and between the CITY OF
HOPKINS, 1010 First Street South, Hopkins, Minnesota 55343 ( "City ") and OAK RIDGE
COUNTRY CLUB, 700 Oak Ridge Road, Hopkins, Minnesota 55343 ( "Oak Ridge ").
RECITALS:
1. The City is engaged in a storm sewer project to alleviate the occurrence of surface
flooding in north Hopkins.
2. The project design includes certain improvements to the Eisenhower pond located north
of Highway 7 to increase storage of rain water and surface drainage as set forth on the plan design
attached hereto and made a part hereof as Exhibit A.
3. Such improvements to Eisenhower pond may create an adverse effect of flooding on the
Oak Ridge golf course located at or near its ninth hole.
4. Both parties desire to coordinate the plan design (Exhibit A) to reduce the possibility of
increased flooding and to share in the improvements on the property of Oak Ridge to alleviate this
possibility from occurring.
NOW, THEREFORE, it is mutually agreed between the parties as follows:
1. The parties shall agree to approve and adopt a design plan substantially in the form hereto
attached and made a part hereof by reference marked as Exhibit A which provides for the
construction of three water detention basins, relocation of a golf cart path and fairway grading
affecting the ninth tee, installation of storm sewer piping, landscaping and sodding to achieve an
a,�
approximate ,_:5 acre /feet of pond flood storage capacity to accommodate the 6th Avenue North
storm sewer project.
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2. Final plan design, as set forth on said Exhibit A, bid proposals and contractor selection
0 shall be undertaken by Oak Ridge subject to review and approval by the City and Oak Ridge of such
plans and designs. City shall further furnish assistance in the inspection and review of the project
and work of the contractors to ensure compliance with such approved design plans, at no additional
cost to Oak Ridge.
3. City shall assume the obligation to maintain and clean each of said retention ponds and
storm piping system in order to be assured that proper storage capacity remains undiminished. Oak
Ridge shall and does hereby accommodate City by granting to it periodic access and right of entry
to accomplish such purposes by the City upon the premises described on Exhibit B attached hereto
and incorporated herein by reference. Such access allowed at reasonable times and with due notice
prior thereto with approval of Oak Ridge so as to minimize inconvenience to golf course usage.
4. City shall maintain insurance coverage including workman's compensation covering its
employees, agents and contractors accessing the site for maintenance and the City shall indemnify,
hold harmless and defend Oak Ridge from any claims that may arise by third parties for damages
due to bodily injury or property damage in the course of the City's performance of maintenance on
the site.
5. City agrees to contribute the sum not to exceed $157,803.00 in payment of construction
costs directly attributable to said project as calculated on Exhibit C attached hereto and incorporated
herein by reference. Payments of the aforementioned sum shall be made within thirty (30) days
following receipt of an invoice requesting a progress payment from such contractors involved in the
project from Oak Ridge until final acceptance and approval of the project or said sum of $157,803.00
has been paid in full.
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6. Project costs shall be modified only by mutual agreement by both parties and pursuant
to issuance of written change orders outlining the modifications agreed to in the project.
7. Any future modifications as to location, size, capacity, dimension or runoff of the property
(Exhibit A) other than the maintenance obligations agreed to by the City in Paragraph 3 above shall
occur only upon mutual consent and approval of both parties.
8. City shall assume responsibility to repair or replace damages to the golf course caused by
such access.
9. This instrument embodies the entire agreement of the parties, there being no promises,
terms, conditions or obligations referring to the subject matter other than contained herein.
10. This Agreement may only be amended, supplemented, modified, cancelled or terminated
by a duly executed written instrument agreed to and signed by both parties.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed in
their behalf.
City of Hopkins Oak Ridge Country Club
By By
Its Its
B By
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CL. S
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UTILITY AND PENDING EASEMENT DESCRIPTION
OAK RIDGE COUNTRY CLUB
SEC- 13, T 117, R 22
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TOTAL
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EXHIBIT C
PROJECT COSTS
1. Clear and grub, grading, export, topsoil salvage and respread,
storm sewer, catch basins, cart path removal and replacement
and re- sodding entire work area including access road -
Nord Excavating, Inc.
2. Landscaping - Tree Planting - Minnesota Valley 25 4" trees
$400.00 each
3. Irrigation - Installation - Oak Ridge Country Club Parts and Labor
4. Engineering - RLK
Professional Services,/, T7
Staking
5. Architect - Craig Schreiner
Design & Construction Documents
Construction Observation
4
$123,803.00
10,000.00
5,000.00
6,500.00
2,500.00
7,000.00
3,000.00
$157,803.00