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IV.6. Environmental Cleanup Grant Applications for Vista 44, YoungquistOctober 20, 2020 Council Report 2020-077 ENVIRONMENTAL CLEANUP GRANT APPLICATIONS FOR VISTA 44 Proposed Action Staff recommends adoption of the following motion: Move to approve Resolution 2020-056 approving applications to the Metropolitan Council Tax Base Revitalization Account, DEED Contamination Cleanup, and Hennepin County Environmental Response Fund programs for the Vista 44 project. Overview. In December 2019, Beacon Interfaith Housing Collaborative received land use entitlements for development of a 51-unit apartment building, located on the south one-acre portion of the St. Joseph’s Church parking lot site, along 1st Street South between 12th and 13th Avenues South. As part of the development of the project, known as Vista 44, Beacon has asked the City of Hopkins to support grant applications for environmental cleanup to the Minnesota Department of Employment and Economic Development (DEED), the Metropolitan Council, and Hennepin County. Contaminated soils were found on the property which must be remediated before development can begin. Grant funds from these programs will be used for soil remediation and associated costs. Applicants for grants from DEED and the Metropolitan Council must be local governmental units. Therefore, the City would act as the sponsor and applicant for these programs. Developers may apply directly to Hennepin County, with a resolution from the City. The projected cleanup costs are $265,077; the total amount of the three grants requests is $218,600. All costs associated with the development of the applications will be paid by Beacon, including any local match requirements. If approved, funds from DEED and the Metropolitan Council would be provided to the City of Hopkins and Beacon would be the subrecipient of the grant funds. The City would enter into a subrecipient agreement with Beacon. Supporting Information. • Resolution 2020-056 • Summary of Beacon Request ________________________________________ Jan Youngquist, AICP Community Development Coordinator Financial Impact: $_____0____Budgeted: Y/N ___ Source: __________ Related Documents (CIP, ERP, etc.): _______________________________________ CITY OF HOPKINS HENNEPIN COUNTY, MINNESOTA RESOLUTION 2020-056 RESOLUTION AUTHORIZING APPLICATIONS TO THE METROPOLITAN COUNCIL TAX BASE REVITALIZATION ACCOUNT, DEED CONTAMINATION CLEANUP, AND HENNEPIN COUNTY ENVIRONMENTAL RESPONSE FUND PROGRAMS FOR THE VISTA 44 PROJECT WHEREAS the City of Hopkins has identified a contamination cleanup project within the City located at on 1st Street South between 12th and 13th Avenues North, to be developed as Vista 44 by Beacon Interfaith Housing Collaborative that meets the purposes and criteria of these programs; and WHEREAS the City of Hopkins is located within the seven county metropolitan area defined in section 473.121, subdivision 2, is a participant in the Livable Communities Act's Local Housing Incentives Account Program for 2020 as determined by the Metropolitan Council, and is therefore eligible to make application apply for funds under the Tax Base Revitalization Account; and WHEREAS the City finds that the required contamination cleanup will not occur through private or other public investment within the reasonably foreseeable future without Tax Base Revitalization Account grant funding; and WHEREAS the City represents that it has undertaken reasonable and good faith efforts to procure funding for the activities for which Livable Communities Act Tax Base Revitalization Account funding is sought but was not able to find or secure from other sources funding that is necessary for cleanup completion and states that this representation is based on the following reasons and supporting facts; and WHEREAS the City 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; and WHEREAS the City has the legal authority to apply for financial assistance and the institutional, managerial and financial capability to ensure adequate project and grant administration; and WHEREAS the sources and amounts of the local match identified in the Department of Employment and Economic Development application are committed to the project identified; and WHEREAS the City certifies that it will comply with all applicable laws and regulations as stated in the contract grant agreements. THEREFORE BE IT RESOLVED that, the City Council of Hopkins authorizes the City Manager to submit an application for Metropolitan Council Tax Base Revitalization Account grant funds and, if the City is awarded a Tax Base Revitalization Account grant for this project, the City will be the grantee and agrees to act as legal sponsor to administer and be responsible for grant funds expended for the project contained in the Tax Base Revitalization grant application submitted on November 2, 2020. BE IT FURTHER RESOLVED that, the City Council of Hopkins approves the Contamination Cleanup grant application to be submitted to the Department of Employment and Economic Development (DEED) on November 2, 2020, by the City of Hopkins for the Vista 44 site. BE IT FURTHER RESOLVED that the City of Hopkins acts as the legal sponsor for project contained in the Contamination Cleanup Grant Program to be submitted on November 2, 2020 and that the City Manager is hereby authorized to apply to the Department of Employment and Economic Development for funding of this project on behalf of the City of Hopkins. BE IT FURTHER RESOLVED that, the City Council of Hopkins approves the submittal of an Environmental Response Fund grant application to the Hennepin County Environment and Energy Department on November 2, 2020 by Beacon Interfaith Housing Collaborative. NOW, THEREFORE BE IT FINALLY RESOLVED that, upon approval of the grant applications, the Mayor and the City Manager are hereby authorized to execute such agreements with the State of Minnesota and the Metropolitan Council as are necessary to implement the project on behalf of the City of Hopkins. Adopted this 20th day of October, 2020. By:__________________________ Jason Gadd, Mayor ATTEST: ____________________________ Amy Domeier, City Clerk Jan Youngquist City of Hopkins Re: Vista 44 Environmental Remediation Funding Applications Dear Ms. Youngquist, Beacon Interfaith Housing, the developer of Vista 44, requests approval from the City of Hopkins for funding applications to Hennepin County, the Metropolitan Council and the MN Department of Economic Development to address environmental contamination at the project site. The attached table provides a summary of the costs and funding requests by agency. In order to develop Vista 44 on the current project site, contamination from past infill and structures must be removed and disposed of according to State regulations. Based on the findings of third-party environmental testing, the Minnesota Pollution Control Agency approved a Response Action Plan (RAP) to address the contaminated soils. The activities associated with the RAP are eligible for environmental cleanup funds through the agencies listed above. Vista 44 will assume full responsibility for any local match or other costs associated with the applications. Respectfully, Chris Dettling Director of Housing Development I.INVESTIGATION AND CLEAN-UPCount Units RateTotal Cost TBRA DEEDCountyERFCounty GAPPrivateASITE INVESTIGATION & REMEDIATION PLAN DEV.1. Investigation Costs $ 20,072 $ - $ 3,131 $ - $ 14,533 $ 2,409 2. Preparation of RAP $ 4,000 $ 3,520 $ 480 Total Site Investigation and RAPBIMPLEMENTING THE PLAN: CLEANUP COSTS1. Soil handling costsMobilization and Demobilization $ 2,000 $ 1,000 $ 788 $ 212 Excavation and Loading of contaminated soils4905 CY $ 7.00 $ 34,335 $ 15,000 $ 15,215 $ 4,120 Transportation of contaminated soils 4905 CY $ 20.00 $ 98,100 $ 40,000 $ 46,315 $ 11,785 Landfill disposal of contaminated soils6870 Ton $ 10.60 $ 72,822 $ - $ 44,083 $ 20,000 $ 8,739 Landfill disposal of asbestos in soil20 CY $ 26.60 $ 532 $ 500 $ - $ 32 Lining of trucks for asbestos transportation1 Each $ 3,500.00 $ 3,500 $ 3,000 $ - $ 500 2. Excavation OversightEnvironmental Field Personnel (4 weeks, 10 hr Days)200 Hours $ 95.00 $ 19,000 $ 10,000 $ 3,720 $ 3,000 $ 2,280 Monitoring Equipment, PPE, Ice, etc.20 days $ 125.00 $ 2,500 $ 1,500 $ 700 $ 300 Travel200 Mile $ 0.58 $ 116 $ - $ 116 3. Reporting, Project Management and Meetings60 Hours $ 135.00 $ 8,100 $ 2,000 $ 3,128 $ 2,000 $ 972 Total Cleanup Implementation $ 265,077 $ 73,000 $ 120,600 $ 25,000 $ 14,533 $ 31,945 28% 45% 9% 5% 12%Vista 44 -Environmental Remediation Summary of Costs and Funding Requests