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CR 99-196 Approval of Submission of Grant Apps for Contamination Cleanup-Stiele/Bakken ProjectOctober 13, 1999 Council Report 99 -196 Proposed Action Staff recommends approval of the following motion: Adopt Resolution 99 -101 authorizing submission of applications for a Contamination Cleanup Grant from the Minnesota Department of Trade & Economic Development and a Tax Base Revitalization Account from the Metropolitan Council. subject to staff conditions as detailed in Council Report 99 -196. Overview O 1TY OF NopKiNs APPROVAL OF SUBMISSION OF GRANT APPLICATIONS FOR CONTAMINATION CLEANUP — STIELEBAKKEN PROJECT On April 6, 1999, the Council approved authorization to submit applications for the Contamination Cleanup Grant from the Department of Trade & Economic Development and Tax Base Revitalization Account (TBRA) from the Metropolitan Council. The project received funding from last spring's grant cycle. It is now estimated that the cost for soil cleanup and the piling system could be more than originally projected. The Beard Group is expecting to determine if additional funding is required in the near future. If such funding is necessary, the application would need to be submitted by November 1, 1999. If more funds are not needed, then the applications will not be submitted. Staff is requesting approval of Resolution 99 -101, authorizing applications for these funding programs in case more funding is needed. To submit to these programs, it is required that the local unit of government in which the project is located approve of a resolution authorizing a submission. Primary Issues to Consider • What are the changes to the grant applications from last cycle? • What are the staff conditions? Sunnortina Documents • Resolution 99 -101 m Hartshorn conomic Development Coordinator Council Report 99 -196, October 14, 1999 —Page 2 Primary Issues To Consider • What are the changes to the grant applications from last cycle? The amount of grant funding requested will be determined by a report expected from the Minnesota Pollution Control Agency (MPCA). The report is expected to state what kind of contamination was found in the additional barrels located on the site and where and how to transport these contaminants. The total amount of funding to be requested is not known at this time. • What are staff conditions? Alternatives Staff would propose the following conditions: • That the application be submitted to DTED, only if additional funding can be sufficiently demonstrated to be necessary prior to November 1, 1999. • Additional funds are required to address only site contamination. • The developer pay all necessary legal/consulting fees associated with the new application. The City Council has the following alternatives regarding this matter: 1. Approve Council Resolution 99 -101, as recommended by staff. 2. Continue this item for additional information. The implications of this alternative would be that a delay would be caused in the developer's completion of this project. 3. Deny Council Resolution 99 -101. It is assumed that, based on this alternative, the developer will not proceed with the proposed project as detailed. • CITY OF HOPKINS HENNEPIN COUNTY, MINNESOTA RESOLUTION 99 -101 RESOLUTION AUTHORIZING APPLICATIONS FOR CONTAMINATION CLEANUP GRANT FROM THE DEPARTMENT OF TRADE AND ECONOMIC DEVELOPMENT AND A TAX BASE REVITALIZATION ACCOUNT FROM THE METROPOLITAN COUNCIL-- HOPKINS BUSINESS CENTER BE IT RESOLVED that the City of Hopkins act as the legal sponsor for the project contained in the Contamination Cleanup Grant and Tax Base Revitalization programs to be submitted on , 1999, and that the mayor of the City of Hopkins is hereby authorized to apply to the Department of Trade and Economic Development and the Metropolitan Council for funding of this project on behalf of the City of Hopkins. BE IT FURTHER RESOLVED that the City of Hopkins has the legal authority to apply for financial assistance, and the institutional, managerial, and financial capability to ensure adequate project administration. BE IT FURTHER RESOLVED that staff is authorized to prepare and execute an agreement with the developer which details the following: The developer shall reimburse the City for any legal or consultant fees incurred with the preparation, processing, and administration of the application or disbursement of funds; and The developer shall reimburse the City or HRA for any local match payments. BE IT FURTHER RESOLVED that the sources and amounts of the local match identified in the application are committed to the project identified. BE IT FURIHtR RESOLVED that the City of Hopkins has not violated any federal, state, or local laws pertaining to fraud, bribery, graft, kickbacks, collusion, conflict of interest, or other unlawful or corrupt practice. BE IT FURTHER RESOLVED that upon approval of its application by the state, the City of Hopkins may enter into an agreement with the State of Minnesota for the above referenced project, and that the City of Hopkins certifies that it will comply with all applicable laws and regulations as stated in all contract agreements. NOW, THEREFORE, BE IT RESOLVED that the mayor of the City of Hopkins is hereby authorized to execute such agreements as are necessary to implement the project on behalf of the applicant. Adopted this day of , 1999. SIGNED: Charles D. Redepenning, Mayor ATTEST: Terry Obermaier, City Clerk