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CR 12-026 Approve Inter-Governmental Agreement-44co City of Hopkin March 20, 2012 Council Report 2012-026 APPROVE INTER -GOVERNMENTAL AGREEMENT MCES LIFT STATION L27 CITY PROJECT 2009-11 Proposed Action Staff recommends the following motion: "Move that Council adopt Resolution 2012-016, Resolution Approving Inter -Governmental Agreement with the Metropolitan Council. City Project 2009-11." Overview On December 8, 2009, the Metropolitan Council Environmental Services (MCES) published a facility plan which, among other improvements, studied the replacement of their sanitary sewer lift station L27. This lift station is currently located on the NW corner of Lake Street and Blake Road. Because the current site is not large enough to house the new station within zoning regulations, staff has worked with MCES to site the lift station in a suitable location Attached is an agreement to site the lift station in Oakes Park. The agreement allows for a property swap with MCES and a financial payment from MCES. The background and details are illustrated in this report. Primary Issues to Consider ■ Scope of Improvements ■ Project Schedule ■ Estimated Costs and Funding Supporting Information ■ Location Map ■ Typical Lift Station Picture ■ Agreement ■ Resolution 2012-016 ,,avii �a✓l/ J�W(n R. Bradford, P.E. City Engineer Financial Impact: $0 Budgeted: Y/N Yes_ Source: Related Documents (CIP, ERP, etc.): Notes: Council Report 2012-026 Page 2 Analysis of Issues • Scope of Improvements This MCES project is very large in scope and includes the following elements in Hopkins: • Construct new lift station L27 • Construct storage vault in Lake Street adjacent to Oakes Park • Construct force main from the new lift station to Texas Avenue along Lake St. • Restoration of disturbed ground (streets and park). • Demolish old lift station L27 and restore the lot. Lift Station L27 pumps most of the sanitary sewage generated in Hopkins all the way to Minneapolis. It then travels downstream to the Pig's Eye Treatment Plant. The current lift station was built 42 years ago. The structure has deteriorated and replacement parts are increasingly difficult to get for the existing equipment. Additionally, sewer flow has increased markedly during the last 42 years and the emergency storage capacity of one hour of flow is no longer being met. The Facility Plan looked at nine sites in Hopkins and St. Louis Park (see attached Figure 2-1). The Cities preferred sites were in the expanded Cottageville Park the City has been working on with the Minnehaha Creek Watershed District (sites 6 and 7). The MCES preferred to stay in its current location (site 1). Each of these sites presented challenges that were difficult to overcome. The existing site is not large enough to accommodate the new lift station and stay far enough back from Blake Road and Lake Street to meet the setback requirements. Site 6 (NE corner of Blake Road and Lake Street) was too low relative to Minnehaha Creek to be a suitable location. Site 7 would have required the construction of a 30 inch gravity sewer 30 feet below Blake Road and across Minnehaha Creek. This would have added more than a million dollars to the project. The Oakes Park site minimizes public expenditures while the MCES compensation for the land allows the City to better implement it Cottageville Park vision. The basic elements of the agreement are: • The City will deed to the Met Council, a parcel in the northwest corner of Oakes Park that is approximately 22,500 SF in area. • The City will grant a temporary easement of approximately 52,000 SF. • The City will review and approve the lift station site plan and building within that parcel. • Met Council will deed to the City, 435/437 Blake Road. • Met Council will pay $50,000 for the temporary easement in Oakes Park. • The City will include the Lake Street forcemain in the reconstruction project east of Blake Road, north of the Atlas Cold Storage site. Work will commence within 5 years. • Met Council will reimburse the City for the cost of the forcemain and overlaying pavement on Lake Street in the reconstruction project + 25% for engineering, legal and admin costs. • Met Council will pay an additional $300,000 for its share of associated utility construction that occurs with the construction of the forcemain on Lake Street. Council Report 2012-026 Page 3 • Public Input In September 2011, the Park Board looked at proposed locations for the lift station in Oakes Park. The currently proposed location was selected because it had the minimum disruption to existing park facilities and activities. One proposed location was near the existing warming house. Construction there would impact the play equipment, tennis courts and remove additional trees. A location near the existing picnic shelter would impact the open play space that is heavily used. On March 5, 2012, we held an information meeting for the neighborhood. Of the 62 properties we notified of the project and meeting, only two attended. At the meeting, MCES staff described the function of the lift station, noted the daily visit by maintenance personnel, and that an emergency generator inside the building would run for about an hour each week. Odors and noise should not be noticeable by nearby residents because of filter systems and noise abatement requirements. One was a resident of Parkside Village. She had concerns about moving the hockey rink to the south because of the noise generated in the summer by soccer players inside the rink. The Park Board is looking at the use of the hockey rink and examining alternative locations if it is retained. The second resident, from Oak Park Lane, was concerned that the lift station building would destroy the visual beauty of the existing park. He would like to see the building located near the existing warming house on the east side of the park. A third resident sent an email asking about the project. Our response summarized the information meeting and he was subsequently unconcerned with the station. During the design process, this summer, neighboring residents will be invited to participate in a design meeting to plan the architectural elements of the lift station. The stations are typically about 2,000 SF, single story buildings. Our intent is to have the lift station look like an attractive park building. An example of a lift station recently completed in Long Lake is attached. Project Schedule Approve Agreement March 20, 2012 Neighborhood Design Meeting Summer 2012 Park Board Site Approval Fall 2012 Zoning and Planning Site Approval Fall 2012 City Council Site Approval Fall 2012 Construction 2013-2015 Construction of a lift station is a 2 year process. The first year consists of deep excavations, building exteriors and restoration. The second year is primarily equipment installation and generally less disruptive work. �.....L.....__......2 I m 4,0 �1 - I -NNOLLWOOO.NALL-FCCES I � 1 / + I t� / Wr ri � ,.. _ 3 o '� ,1 AOv0.p'AV"X N I i I CAMRRIDGE... 1 % T- /g. \ J r' EpOae� !i 1r/ i \ '. `'�`\ I � 7 � j/• i�l I' 1 ems ,4oX �•. /�/ FQo../�� .�,��,., i \,� " ._ -...-.LAKE V /"/ � +,/.��• I ' /•/•�' ,x.,-�- i I � I (I I -JOAN PARK-! I ' ! i I �,. SIINNYSIOE I � I ii OISON , WEL GO � •i �imprMO�a Yu�tW1, � r f • /'� I ,REGENCY.. jt �i CAMIR 0 ,�o /��/ I 4 iIi AOOW� gROOK� i I •, I. 4 W• ' Metropolitan Council 0 DNR Floodplain FIGURE 2-1 Erwirorr.m.entrcl Sen ices ®Potential L-27 Site L-27 Alternative Sites 0 495 990 Parcel Feet N Hopkins Force Main (MSB -7026) Hopkins/St. Louis Park/ Minneapolis 1 inch = 535 feet I 12/11/2009 qr-9mw-- .7 ---loan Aw INTER -GOVERNMENTAL AGREEMENT Between City of Hopkins and Metropolitan Council THIS AGREEMENT ("Agreement") is made and entered into on the day of 2012, by and between the City of Hopkins, a Minnesota municipal corporation ("City"), and the Metropolitan Council, a public corporation and political subdivision of the State of Minnesota ("Council"). RECITALS 1. The Council's Capital Improvement Program includes the replacement of its Hopkins Lift Station, located near the intersection of Blake Road and Lake Street in Hopkins, as well as replacement, rehabilitation, and/or modification of its associated wastewater pipelines. 2. The Minnehaha Creek Watershed District has acquired property and plans improvements along Minnehaha Creek near the intersection of Blake Road and Lake Street in Hopkins, as part of the District's program to restore and protect Minnehaha Creek and its environs within the developed urban area. 3. The City plans to expand and improve the Cottageville Park, in coordination with the foregoing Minnehaha Creek Watershed District program. 4. The Council has evaluated alternative sites for replacement of its lift station, and has considered the District's program and the City's plans into its evaluation. 5. The Council has concluded that a portion of a nearby Oakes Park on Lake Street, between Parkside and Tyler, is the most beneficial site considering costs, operability, maintainability, and compatibility with land use, parks, and transportation plans for the area. 6. The Council and the City have determined that it is in their best interests to enter into this Agreement in order to specify the terms for acquisition of the Council lift station site, compensation for the lift station site and projected -related City permits, and such other matters as necessary to ensure coordination as each party implements its respective programs and responsibilities. 7. The Council and the City acknowledge that relocation of the Hopkins Lift Station and replacement of the associated waste water pipelines will result in the need to reconstruct a portion of Lake Street and the utilities located within the right-of-way of Lake Street as provided in this Agreement. 8. The Council and the City agree that each is authorized to enter into this Agreement pursuant to Minnesota Statutes § 471.59, § 473.129, and § 473.504, Metropolitan Council Business Item 2012-36 passed on February 8, 2012 and City Resolution No. passed by the City Council on March 20, 2012. NOW, THEREFORE, for valuable consideration, the receipt of which is acknowledged by each party, the parties agree as follows: ARTICLE I RESPONSIBILITIES OF EACH PARTY 1.01 Council a. Council shall be responsible for design and construction of its new wastewater lift station and its new and modified pipelines, as well as re -location, replacement, and/or extension of City sanitary sewers in order to maintain the City's current level of continuous wastewater service. Such construction shall be performed in accordance with plans and specifications mutually agreed upon and approved by the City and the Council. Such plans and specifications shall be prepared and approved as soon as reasonably possible after the date of this Agreement. b. Council, at its cost, shall replace, repair and/or modify the City park facilities as necessary to restore Oakes Park following the transfer of the Lift Station Site (as defined below) and construction of the Council's lift station and pipelines, in accordance with plans to be mutually agreed upon and approved by the City and the Council. The plans and specifications for the restoration of Oakes Park shall be approved by the City and the Council, in writing, as soon as reasonably possible after the date of this Agreement. C. Council shall be responsible, at its sole cost, for title search, surveying, environmental site assessment, re -platting, recording and title transfer costs and regulatory permitting with respect to the Lift Station Site. d. Council shall be responsible for utility preservation, and re -location as necessary, restoration of streets, sidewalks, and other affected property as directly impacted by construction of Council's facilities and associated City facilities. The work to be performed by Council shall include the restoration or reconstruction of Lake Street between Blake Road and Tyler Avenues and shall include replacement of sanitary sewer, water main, individual water services for affected properties from the water main to the right-of-way line, storm sewer, curb and gutter and street reconstruction. All such work shall be designed and completed in accordance with the City's standards for reconstruction of public streets and utilities. e. Council shall acquire duplex at 435/437 Blake Road North legally described or depicted in Exhibit A, and transfer ownership and title to the City, without cost to the City. Council shall be solely responsible for relocation assistance benefits, if any, due to occupants of 435/437 Blake Road. This property will be incorporated into the City's park development plan, and offset loss of City park property for the Council's lift station. f. Council agrees to work collaboratively and cooperate with the City regarding the design of the Lift Station and associated pipelines, as well as affected park, utilities, streets and sidewalks. Such cooperation shall include incorporating special design considerations required by the City into the site plan and restoration improvements to Oakes Park described in Paragraph 1.01 b. 2 1.02 City a. City agrees to work collaboratively with Council regarding Council's design of its lift station and associated pipelines, as well as affected park, utilities, streets, and sidewalks, and to not unreasonably withhold approval of required permits, re -platting, park revisions, zoning, and other requirements. This paragraph shall not be interpreted to limit the application of the City's ordinances or review process for such approvals. b. The land to be transferred to the Council for construction of the new waste water lift station (the "Lift Station Site") is graphically depicted in Exhibit B attached hereto. City agrees to transfer ownership and title of the Lift Station Site to the Council promptly upon Council's completion of the actions described in 1.01 c., except approval of plans and specifications by the Minnesota Pollution Control Agency, and transfer of title to the property at 435/437 Blake Road North to the City as provided in 1.0l.e above. C. In order to further offset and compensate the City for the loss of park land resulting from the transfer of the Lift Station Site to the Council, the City intends to negotiate for the acquisition of the property at 431 Blake Road North (Property ID No. 19-117-21- 11-0078), such acquisition to be at the expense of the City. d. City agrees to incorporate one new 18 -inch forcemain, to be designed, owned, financed, operated, and maintained by Council, in City's future street and utility replacement/ rehabilitation project between Blake Road and Texas Avenues. This project shall be initiated within five years of the date of execution of this agreement. e. City hereby acknowledges the real property at 43 5/43 7 Blake Road North was damaged by fire on January 10, 2012. City accepts the real property at 435/437 Blake Road with the January 10, 2012 fire damage. City will not require the Metropolitan Council to repair said damage or impose any fees, fines, or penalties for not repairing said fire damage. City further accepts the property in "as -is" condition subject to existing easements and right-of-way. f. City grants temporary construction easement to Council, as shown on Exhibit B, for duration of eighteen months. Commencement of the easement shall be thirty days after written notice to City by Council. ARTICLE II FINANCIAL TERMS 2.01 Council a. Council shall acquire the property at 435/437 Blake Road North at the Council's cost. b. With the exception of any fees, permits or other municipal impositions due in connection with the actions to be undertaken by the Council as described in Section 1.01 and the municipal approvals required for such actions, Council shall not be required to pay any additional fees for permits and approvals from City. C. Council shall pay City $300,000 for its share of utility reconstruction between Blake Road and Texas Avenues, within 30 days of receipt of title to Lift Station Site and all City approvals associated with Council's lift station project. d. Council shall pay City all costs incurred in the construction of Council's forcemain and a 10 foot wide strip of pavement section (bituminous and aggregate section) over the forcemain, per Paragraph 1.02.d, based on construction bid prices, plus 25% for engineering, inspection, and contract administration, upon completion of construction by City and acceptance by Council. e. All costs associated with the work described in Paragraph 1.01.d shall be paid by Council, including engineering and design fees. f. Council shall pay City $50,000 for the temporary construction easement described in Paragraph 1.021, within sixty days after execution of this agreement. ARTICLE III NOTICES Any notice or demand which may or must be given or made by either party to this Agreement, under the terms of this Agreement and any statute or ordinance, shall be in writing and shall be sent by certified mail, return receipt requested, or delivered in person, to the other party addressed or delivered as follows: General Manager Environmental Services Metropolitan Council 390 North Robert Street St. Paul, MN 55101 City Manager City of Hopkins 1010 First Street South Hopkins, MN 55343-7573 Mailed notice shall be effective one (1) business day after being deposited with the US postal service. Notices that are delivered in person shall be effective upon delivery. ARTICLE IV GENERAL PROVISIONS 4.01 Successors and Assignment The Covenants of this Agreement shall be binding upon and inure to the benefit of the parties, their successors, and assigns. 4.02 Amendments The terms of this Agreement may be changed only by the mutual agreement of the parties. Such changes shall be effective only upon execution of written amendments executed by authorized representatives of the parties to this Agreement. 0 4.03 Non -Waiver If a party fails to enforce any provision of this Agreement, that failure does not waive the provision or any other provision or the party's right to enforce it at a later date. 4.04 Contract Complete This Agreement and the attached Exhibits contains all negotiations and agreements between the parties related to the matters included herein. No other understanding regarding the subject matter of this Agreement, whether written or oral, may be used to bind the parties unless executed in accordance with the provisions of Section 4.02. 4.05 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 which are void, invalid or otherwise unenforceable shall substantially impair the value of the entire agreement with respect to either Party. 4.06 Liability Except as provided elsewhere in this Agreement, each Party agrees that it will be responsible for its own acts and the results thereof to the extent authorized by law and shall not be responsible for the acts of the other Party and results thereof. The liability of each party shall be governed by the provisions of Minnesota Statutes, chapter 466, and other applicable law. Nothing in this Agreement shall constitute or be construed as a waiver by parties of any statutory limits on or exceptions to liability. 4.07 Council Audits In accordance with Minnesota Statutes, section 16C.05, sub. 5, the District's books, records, documents, and accounting procedures and practices relevant to this Agreement are subject to examination by the Council and/or the State Auditor or Legislative Auditor, as appropriate, for a minimum of six years from the end of this Agreement. 4.08 Government Data Practices The parties shall comply with the Minnesota Government Data Practices Act, Minnesota Statutes, chapter 13, as it applies to all data provided by the Council under this Agreement, and as it applies to all data created, collected, received, stored, used, maintained, or disseminated by the parties under this Agreement. The civil remedies of Minnesota Statutes, section 13.08, apply to the release of the data referred to in this clause by any of the parties. 4.09 Conformance to Law This Agreement is entered into in and under the laws of the State of Minnesota and shall be interpreted therewith. 5 4.10 No Third Party Beneficiaries There are no third party beneficiaries of this Agreement, intended or otherwise. The terms and conditions of this Agreement may be enforced only by the parties hereto. 4.11 Recitals The Recitals are hereby incorporated into and made a part of this Agreement. IN WITNESS WHEREOF, the parties have executed this Agreement effective as of the date stated in the first paragraph hereof. METROPOLITAN COUNCIL Approved as to Form: By: Office of General Counsel Approved as to Form: City Attorney Its: Regional Administrator Date: CITY OF HOPKINS Bv: Eugene J. Maxwell Its: Mayor By: Michael Mornson Its: City Manager Date: 301 EXHIBIT A DESCRIPTION OF PROPERTY AT 435/437 BLAKE ROAD TO BE ACQUIRED BY COUNCIL Hennepin County Tax ID 19-117-21-11-0077 The North %2 of that part of the South 128 feet of the North 240 feet of Lot 70, Auditor's Subdivision Number 239, Hennepin County Minnesota, lying West of the East 385 feet thereof, according to the recorded plat thereof, and situate in Hennepin County, Minnesota, EXCEPTING therefrom Parcel Number 30D on Hennepin County Right of Way Number 2. 7 EXHIBIT B DRAWING DEPICTING LOCATION AND DIMENSIONS OF LIFT STATION SITE Hopkins L27 Lift Station Relocation - Park Site Legend N Property Boundary WE It Metropolitan Council Temporary Easement s City of Hopkins Hennepin County, Minnesota RESOLUTION NO. 2012-016 RESOLUTION APPROVING INTER -GOVERNMENTAL AGREEMENT WITH THE METROPOLITAN COUNCIL CITY PROJECT 2009-11 WHEREAS, The Metropolitan Council's Capital Improvement Program includes the replacement of its Hopkins Lift Station, located near the intersection of Blake Road and Lake Street in Hopkins, as well as replacement, rehabilitation, and/or modification of its associated wastewater pipelines; and WHEREAS, The Minnehaha Creek Watershed District has acquired property and plans improvements along Minnehaha Creek near the intersection of Blake Road and Lake Street in Hopkins, as part of the District's program to restore and protect Minnehaha Creek and its environs within the developed urban area; and WHEREAS, The City plans to expand and improve the Cottageville Park, in coordination with the foregoing Minnehaha Creek Watershed District program; and WHEREAS, The Metropolitan Council and the City have determined that it is in their best interests to enter into this Agreement in order to specify the terms for acquisition of the Metropolitan Council lift station site, compensation for the lift station site and projected -related City permits, and such other matters as necessary to ensure coordination as each party implements its respective programs and responsibilities. NOW THEREFORE BE IT RESOLVED, that the City Council of the City of Hopkins hereby authorizes and directs the Mayor and City Manager to execute the Inter -Government Agreement with the Metropolitan Council; and BE IT FURTHER RESOLVED, that the proceeds from the land transaction be used for the improvement of Cottageville Park. Adopted by the City Council of the City of Hopkins this 20th day of March 2012 go ATTEST: Kristine Luedke, City Clerk Gene Maxwell, Mayor