CR 91-170 Inspection Agreement With WayzataJuly 29, 1991 Council Report No. 91-170
INSPECTION AGREEMENT WITH WAYZATA
Proposed A ction
Staff recommends the following motion: Move to anorove th
agreement between the City of Wayzata and Hopkins to allow
Hopkins to provide temporary b ildincr'inspert servic to
Wayzata.
Approval of this motion will allow the Mayor and City Manager
to execute an agreement with Wayzata to provide temporary
inspection services to Wayzata.
Overview,
The City of Wayzata recently lost their Building Official and
contacted the Hopkins Inspection Department about providing
temporary inspection services until a replacement is found.
The Hopkins Inspection Department feels that it can handle
0 the additional work load for the approximate two month
duration of the agreement.
The Inspection Departments permits are up slightly from last
year, but revenues are down. The fees generated from Wayzata
will help the departments budget revenue.
Primary Issues to consider:
o - Will the fees collected cover the associated costs.
o Will the service to Hopkins residents suffer.
o What liability will the City incur.
o What does the staff recommend.
o Alternatives
Supportina documents
• Analysis of issues °
• Pyopos _Qd,� agreement
Thomas Anderson
City Building Official
C�
• Cr91 -170
Page 2
Primary Issues to Consider.
o Will the fees collected cover the associated costs?
The fees as proposed in the agreement are $40.00 /HR for all
inspection time. The clock begins when the inspector leaves the
Hopkins city limits. The $40.00 /HR was based on the hourly rate
of the highest paid employee expected to be involved plus an
additional 40% for fringe benefits and an additional 10% for
mileage costs. The agreement allows the City of Hopkins to
receive 50% of the building permit fees for plan checks when a
plan is required. Wayzata is required to group inspections and
attempt to schedule them first thing in the morning and last
thing in the afternoon. This was put into the agreement to
reduce driving time since three of the Hopkins inspectors live
beyond Wayzata, This fee structure should allow us to more than
cover our costs.
o Will the service to Hopkins residents suffer?
The Inspections Department has
last year but has not had the
customarily do by this time of
revenues are below last years.
projects on the drawing boards
until fall. We feel confidant
issued a few more permits than
one or two large projects we
year. Consequently the department
There are a couple of the larger
but none is scheduled to start up
that this project can be taken on
a temporary basis with little or no drop in service to the
Hopkins residents. The proposed agreement is for two Months but
can be terminated with 30 days notice.
o What liability will the City incur?
The City of Wayzata in the proposed contract holds harmless and
indemnifies the City,its employees and Council against all
losses, claims, damages or expenses incurred, including legal
fees, arising as a result of this agreement. The,City of Hopkins
must maintain workers compensation on all of the employees
assigned to inspections in Wayzata. If the Council approves the
agreement workers compensation will be automatically extended to
this function by our insurance carrier at no additional cost to
the City.
o What does the staff recommend
The staff recommends the Council authorize the Mayor and City
Manager to execute the agreement with Wayzata. There appears to
be adequate staff to perform inspection services on a temporary
basis without affecting service to the Hopkins residents. The
funds generated will assist the department in reaching its
annual budget revenues.
•
Cr91 -170
Page 3
o Alternatives
M
1. Approve staff's recommendation.
2. Disapprove staff recommendation. Staff will inform
Wayzata that the City of Hopkins will not be able to,
provide inspection services.
3. Continue for further information. Due to the loss of
Wayzata's inspector, Wayzata is in some what of a
difficult situation and needs to determine very soon how
there inspection needs will be met, both short and long
term.
.7
AGREEMENT AND CONTRACT FOR
BUILDING INSPECTION SERVICES
This agreement is made and entered into this y day
of — J t& ' 1991, by and between the City of Hopkins,
Minnesot (hereinafter "Hopkins "); and the City of Wayzata
(hereina ter "Wayzata ") and is made under and by virtue of
Minn. Stat. 16B.62, Subd. 1 and 471.59, Subd. 1.
Witnesseth:
WHEREAS, Wayzata is desirous of contracting
with Hopkins for the performance of the hereinafter specified
building inspection services within Wayzata; and
WHEREAS, Hopkins, has agreed to render such
services on the terms and conditions hereinafter set forth;
and
WHEREAS, an agreement such as this is
0 authorized under and by virtue of the provisions of Minn.
Stat. 16B.62, Subd. 1 and 471.59, Subd. 1.
NOW, THEREFORE, Hopkins agrees that it will
provide building inspection services for Wayzata subject to
the following terms and conditions:
1. Definition of Building Code. The "Building Code"
administered and enforced under the terms of this
agreement shall mean the current edition of the
Minnesota State Building Code as adopted by Minn.
Stat. 16B.59- 16B.73 including the following rules and
codes adopted by reference therein; and including
revised or updated editions of said rules and codes as
may from time to time be duly adopted by the State and
City.
2. Adoption of Building Code. Wayzata agrees to adopt
by ordinance the Minnesota State Building Code as
defined above, and to keep such adoption current as new
model code editions are subsequently adopted by the
State. Wayzata may adopt the standard fee schedule or
any alternate schedule as provided by 2MCAR 1.10111 (UBC
304 a). Hopkins shall inform Wayzata whenever the
ordinance of Wayzata must be revised to include a new or
revised code edition.
40 Page -1 of 8
3. Level of Buildina Official Services (hereinafter
"sel. - V The level of services rendered for Wayzata
by the Hopkins Building Official shall be essentially
the same as the services rendered in Hopkins, except as
hereinafter stated. The basic services shall include
reconstruction plan review and on -site construction
inspection as required for enforcement and
administration of the Building Code as defined above.
Specifically included are all services relating to
general construction, plumbing, heating, ventilating,
air conditioning and refrigeration work. Specifically
excluded are any services relating to administration or
enforcement of the National Electrical Code which is
under the jurisdiction of the State Board of
Electricity. The services shall be performed by a
certified Building Official of the State of Minnesota,
or by a qualified building inspector working under the
direct supervision of the Hopkins Building Official.
4. Administration Procedures. This section is set
forth to clarify the responsibilities of each
participant and to establish procedures for issuing
permits and performing inspectional service.
A) Responsibility of Permittee (Owner or
Contractor):
1. Provide pre - permit confirmation of all
Building Code requirements with sufficient site
and construction design information as may be
required by Wayzata and /or the Hopkins Building
Official.
2. Perform all construction in compliance with
all Building Code requirements.
3. Pay all required license, plan review,
permit and inspection fees to Wayzata.
4. Call for all required inspections with
sufficient notice for proper scheduling (24 hour
notice).
B) Responsibility of Wayzata.
1. Administer and enforce all zoning
requirements including but not limited to
approval of site plan, building size, location
and use, and general performance standards.
2. Administer all contractor licensing
requirements.
0 Page 2 of 8
3. Issue all permits and collect local permit
fees and state or regional charges including
Metropolitan Waste Control SAC charges and State
Building Code Surcharges.
4. Maintain permanent records.
5. Complete all periodic reports and
governmental surveys.
6. Prosecute all violations.
7. Endeavor to schedule inspections during
regular business hours and in groups for first
thing in the morning or last in the afternoon to
minimize travel time for the inspectors.
C) Responsibility of Hopkins.
1. Perform all preconstruction building plan
reviews.
2. Perform all construction inspections'
required for Building Code enforcement.
3. Provide inspection reports and 'other
information for the permanent records kept by
Wayzata.
4. Assist in all Building Code violation
prosecutions with Hopkins Building Official's
time, records, and expert information.
5. Provide general Building Code information
to the citizens of Wayzata on the same basis as
provided the citizens of Hopkins.
6. Provide other inspection services or
technical recommendations related to building
code matters as may from time,to time be
requested by Wayzata.
D) Procedure for Building Code Administration.
1. Wayzata shall review all pertinent zoning
requirements and site plan including building
size, location and use and certifies same to the
Hopkins Building Official as meeting Wayzata's
approval.
2. The Hopkins Building Official shall review
the building construction plans for conformance
(a Page 3 of 8
with the Building Code and approve, modify or
reject same.
3., Wayzata, upon approval of the plan by the
Hopkins Building Official and consistent with
all local requirements, issues the Building
Permit, collects the plan review fee, the local
and regional fees and notifies Hopkins of the
permit day, number and other pertinent
information.
4. The Permittee commences construction and
calls for all required inspections.
5. The Hopkins Building Official performs
required inspections and notifies Wayzata of
monthly progress, any violations, and final
completion.
6. Wayzata, upon final approval by the Hopkins
Building Official, and consistent with all local
requirements, issues the Certificate of
Occupancy.
5. Administrative Responsibility. The daily
administration of the building inspection services
rendered to Wayzata shall be under the sole direction of
Hopkins. The degree of services rendered, the standards
of performance and other matters relating to regulations
and policies shall remain under the control of Hopkins.
Headquarters for the services rendered to Wayzata under
this agreement shall be located at the City offices of
Hopkins. Hopkins shall submit to Wayzata a monthly
report of services rendered and charges due, in such
form and detail as Wayzata may reasonably require, as
well as periodic suggestions regarding other matters
relating to the inspectional service.
, 6. Communications Equipment and Supplies. Hopkins
shall provide the'necessarx supplies, equipment and
vehicles to the Hopkins Building Official, except
Wayzata shall provide any necessary supplies which must
be specially printed for Wayzata such as permits, forms,
etc.
7. Personnel. Employees of Hopkins. Personnel assigned
to perform the building inspection services for Wayzata
shall be employees of Hopkins which latter City shall
assume all obligations arising out of the employment
relationship, including but not limited to salary,
worker's compensation, P.E.R.A., withholding tax and
health insurance with respect to such personnel.
Page 4 of 8
•
Wayzata shall not be required to furnish any fringe
benefits or compensation whatsoever.
8. All Personnel to be Officers of Wayzata. The
Hopkins Building Official assigned to duty within
Wayzata shall be provided specific authority to
administer and enforce the Building Code as provided by
this agreement. Such authority shall be granted by
proper action of the City of Wayzata.
9. Cost to Wayzata. For and in consideration of the
rendition of the services described herein, Wayzata
shall pay Hopkins as follows:
See Appendix A.
10. Effective Date of Service. The effective date of
service shall be on the day of
1991. '
11. Hold Harmless and Indemnification Agreement.
Wayzata shall indemnify and hold harmless the City, the
City Council, and the agents and employees of the City
of Hopkins from and against all claims, damages, losses
or expenses, including attorney fees, which the City,
City Council and agents and employees of the City may
suffer or for which it may be held liable, arising out
of or resulting from the assertion against them of any
claims, debts or obligations in consequence of the
performance of the Hopkins Building Department in the
enforcement and administration of the Building Code per
the directive of Wayzata.
12. Termination of Agreement. This agreement shall
remain in force and effect from the effective date of
service until cancelled by either party. The agreement
shall terminate following notice in writing by either
party as set forth below. Wayzata shall pay for all
services rendered after the termination date which might
be necessarily incurred to complete work begun before
the termination date.
A)' Cancellation by Wayzata shall require 15 days
written notice to Hopkins.
B) Cancellation by Hopkins shall require 30 days
written notice to Wayzata.
Wayzata agrees to pay to Hopkins any expenses,
including reasonable attorney's fees, incurred by Hopkins in
enforcing the terms of this agreement.
Page 5 of 8
IN WITNESS WHEREOF, the parties have executed this
agreement in duplicate this day of ,
1991, and shall remain in effect until the day of
1991, unless otherwise cance ell d m in accordance
with Section 12 of this agreement.
n
ATTEST:
CITY OF HOPKINS
Mayor
City Manager
CITY OF WAYZ TA
1
Mayor
City Man ger
Page 6 of 8
Ll
APPENDIX A
BUILDING INSPECTION SERVICES AGREEMENT
The following appendix outlines terms. While it is
anticipated that this contract will last approximately 2
months, nothing written here shall prohibit its continuation
by mutual agreement of the parties.
1. PLAN REVIEWS - Under the Wayzata fee schedule the
charge for plan review is 65% of the building permit
fees for all construction based on their currently
adopted fees. It is agreed that Hopkins will charge for
its plan review services 50% of the building permit fees
leaving Wayzata 15% for any attendant
services.
2. BUILDING INSPECTION SERVICES - Hopkins will charge a
building inspection fee of $40.00 per hour. This
fee shall be charged for all building inspections,
structural inspections (but not on large projects
requiring outside structural plan review), mechanical
inspections and plumbing inspections. The start of the
billing period begins whenever the Inspector crosses the
Hopkins border and continues until such time as the
Inspector returns across the Hopkins border, excluding
any breaks the Inspector takes or any time spent doing
plan reviews. Hopkins is, responsible for all mileage
and fees for the Inspector.
3. ELECTRICAL INSPECTIONS - All electrical inspections
will be done by the State.
r
4. FIRE CODE ENFORCEMENT - The Building Inspector of
Hopkins will work with Wayzata's Fire Marshal on all
pre construction, construction and Fire Code violations
as part of the regular services, to be compensated at
$40.00 per hour.
5. PERMIT ISSUANCE - All permits will be issued by
Wayzata through their offices and all fees will be
collected by Wayzata 'at their offices.
6. OFFICE HOURS - As part of the contract, the Hopkins
Building Inspector will be available for up to four
hours per week of office time at the Wayzata City
Offices. The hours shall be agreed upon between the
parties and can be changed without amending this
contract. If the Inspector is not needed at the time
established for office hours, the Inspector can conduct
other duties, including inspections, during this period.
Page 7 of 8
of time. During the office hours, the rate of
compensation will be $40.00 per hour, unless the time is
spent on plan reviews and then compensation shall be as
set forth in Paragraph 1 above.
7. OTHER INSPECTIONAL SERVICES - As need be, the
Hopkins Inspector will assist Wayzata in other
inspectional services for items such as hazardous
buildings proceedings, etc. which will be billed out at
the normal inspection rate.
8. CLERICAL FEE - For all correspondence prepared by
Hopkins clerical staff, Wayzata will be charged in
fifteen minute increments at an hourly rate of $16.00
per hour. This will cover clerical work done over and
above that related to plan checks, i.e. correspondence
done on Wayzata letterhead for violations, building
inspections, etc.
n
Page 8 of 8
0