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2003-03-11 • AGENDA F i~ ~°~'~l MOUND HOUSING AND REDEVELOPMENT AUTHORITY MARCH 11, 2003 6:30 P.M. PAGE 1. OPEN MEETING 2. ACTION APPROVING AGENDA, WITH ANY AMENDMENTS 3. ACTION APPROVING MINUTES: FEB 11, 2003 REGULAR MTG 4. ACTION ON FIRST AMENDMENT TO THE DEVELOPMENT AGREEMENT BETWEEN MOUND HRA AND MOUND HARBOR RENAISSANCE, LLC, EXTENDING THE TERM OF THE AGREEMENT 5. ACTION APPROVING SPECIAL MEETINGS WORKSHOPS REQUESTED BY MOUND HARBOR RENAISANCE, LLC: APR 15, 6:30 MAY 20, 6:30 6. ACTION ENTERING INTO AN AGREEMENT WITH WESTPORT PROPERTIES, INC, FOR MANAGEMENT SERVICES FOR INDIAN KNOLL MANOR, PENDING ATTORNEY APPROVAL 7. PUBLIC SAFETY BUILDING PROJECT 1-2 3-9 10-15 A. UPDATE FROM TODD CHRISTOPHERSON OF AMCON 16-20 B. ACTION ON REQUEST FOR CONTINGENCY ALLOCATION 8. ADJOURN • CITY OF MOUND ', ~ HOUSING AND REDEVELOPMENT AUTHORITY FEBRUARY 25, 2Q03 The Housing and Redevelopment Authority of and for the City of Mound, Minnesota, met in regular session on Tuesday, February 25, 2003, at 6:30 p:m. in the council chambers ofi City Hall. Members Present: Chairperson Pat Meisel; Commissioners Bob Brown, Mark Hanus, David Osmek and Peter Meyer. Others Present:, City Attorney John Dean, City Manager Kandis Hanson, City Clerk Bonnie Ritter, Community Development Director Sarah. Smit~,~Lorrie Ham, Tom ~~ Stokes, Peter Pflaum, Bruce Chamberlain, Jim Fackler, Ca:,,.~~l~in Krall, Chuck Alcon, Michael Buelow, Susan & -Rick Bloomquist, David Newrt~ 1. OPEN MEETING ~ ,~..` .`"~ ~~... . Chairperson Meisel called the meeting to order 30 p 2. APPROVE AGENDA MOTION by Osmek, seconded by Hanu, o appro :.. ~ e agenda. All voted in favor. Motion carried. ~:: ` ' • 3. APPROVE MINUTES r ~ ~ ~ ~ : ` MOTION by Hanus, seconded ;~~``< , ek t~M `prove the minutes of the January 28, 2003 meeting. AI{ voted in,~ ~*~r. MG< ~ car ~~d. ~....~~ 4. REPORT BY VIP PROPE~ ~ ~:..: ANA MENT~ON INDIAN KNOLL MANOR Finance Director Gi .: , ."~ro''~ `, a the report to the council in the absence of the rep `'. k from V1P Propert.. '~~`~~>°'~ ~~ \~, MOTION by Brow , .: _conded ~.~.~y Hanus to approve payment of the February 2003 bills. All voted in favor. M ~_. ~n ca:" d. MOTION by Osmek, seconded by Hanus to approve the General Depository Agreement. All voted in favor. Motion carried. 5. AGREEMENT FOR MANAGEMENT SERVICES FOR INDIAN KNOLL MANOR It was noted that VIP Property Management's contract with the City will be terminated effective the end of March. MOTION by Brown, seconded by Hanus to authorize the City Manager to contact prospective companies to provide management services for Indian Knoll Manor, with recommendation to be brought back at the March 11, 2003 meeting. All voted in favor. Motion carried. • -1- 6. 11A PREi ~I Meisel stepped down as presided. Mound HRA -February 25, 2003 irperson for this discussion and Acting Chair Hanus John Dean explained that the preliminary agreement is due to expire today and the purpose of this meeting is to determine the future course with respect to continuing or not, the relation with Harbor Renaissance, LLC., for development of the downtown area: Dean continued by summarizing the memo from Jim Prosser. of Ehlers & Associates that gave his evaluation of the MHR (Mound Harbor Renaissance) Project status. Dave Newman of MHR reviewed the points of his memo to J' ~`~Prosser dated February 25, followed by a presentation by Carolyn Krall of .Land Fc~:~ 'on the proposed components of the project and how they have changed~W eir last meeting. Lengthy discussion followed regarding what has done onK~ roject to date and ~:~: what the future timeline is for the project. ~~,. ~ .~. MOTION b Osmek, seconded b Brown to exte ~.. Y Y ' , ` preliminary development 7a= agreement with MHR to June 24, 2003, ~ '~ . conditit~ ~ .~to include the following: 1) within 30 days the developer team shall provid" .. ~ :` ~ . RA "a~Council a list of parties who will have a role in MHR, and a descriptio try. `~' each will have; 2) provide monthly updates as to the progr~ ~ .<; n the letiorl of the site plans; 3) MHR begin preliminary work on the mar :.fin anci ~asibility studies, although not due by June 24, 2003; 4)~.MHR be.~ work ~q. ~ M ; ; o of Understanding and Contract for Development, although no '~une ~ :,2003. It was also understood that a further two-month extension ..<.~. a c~":'~°.. Bred if, by June 24, 2003, MHR had completed the site Ian and was ~~F "' ' ~` p ~ ,; .~fa progress on points 3 and 4. The fallowing voted in favor:. Brown ~ : nus, Os <~ an ~~Vleyer. Chair Meisel abstained from participating in discussion an ing. Mot`~~s,~0 carried. Rick Bloomquist expr,:. ' ~ ncern over Tom Stokes referring him to as the User of the hotel and not as a mem >'of the development team.. Stokes gave his commitment that Rick and Susan Bloomquist are the hotelers in this project and the list of the players will be reported to the HRA within 30 days. _ Chair Meisel returned to preside over the balance of the meeting. 7. ADJOURN MOTION by Osmek, seconded by Brown to adjourn at 8:00 p.m. All voted in favor. Motion carried. Attest: Bonnie Ritter, City Clerk Chair Pat Meisel 2 • .] -2- Mound Harbor Renaissance (MHR~ February 26 -March 4, 2003 -Update 1. Formalization of development group and affiliated relationships: a. Development Partners: It is anticipated that in addition to Tom Stokes and Chuck Alcon, MHR will include: Plum Investments, the Bancor Group, and VKO Enterprises. We are initiating the process of drafting necessary organizational documents. b. Preferred Relationships: MHR is currently formalizing the following relationships. i. Commercial General Contractor -Shaw-Lundquist Associates: The Developer is currently drafting a letter of intent to document this relationship. ii. Hotel Developer -Rick Bloomquist:- A meeting between the Developer and the Bloomquists is scheduled for March 5. 2. Determined priorities o t phase ~>; a. Lost Lake E~st~~~I~ is considering Lost Lake,~xst together with other areas as a part of the MHR first phase. 3. Authorized the following actions related to first and subsequent phases a. Wetland Delineation: Authorized Kjolhaug Environmental Services Company to delineate wetlands subject to verification at the appropriate time in the spring. ', • b. Survey of Site: Authorized Landform to move forward with completion of the missing portions of the site survey, determine the ordinary high water level, and survey the wetland edges. c. Shoreland: Authorized Landform to begin analyzing the detail of the shoreland density issue. 4. Initiated the following actions related to first and subsequent phases a. Dredging; and Docking Permits: Meeting with an attorney to discuss cost, timeline, etc. to get approval for dredging and docks for Lost Lake. b. Market Study: Evaluating potential consultants. c. Lost Lake Contamination: Determining which consultant is best suited to review testing and environmental data on contamination of Lost Lake parcels to ensure appropriate information exists to move forward; City is requested to provide information on additional testing (if any) on eastern parcel. 5. Other Issues a. Railroad Right of Way: The County is currently putting the lease of this property out for bid and will have more information by the end of the month. b. EIS/BAW/AUAR: We are looking to the City for advice guidance on this issue. • -3- Mound Harbor Renaissance (MHR) • March 5, 2003 -Meeting with Mound Project Team Attendance: Jim Prossor, Kandis Hanson, Rick Bloomquist, Tom Stokes, Peter Pflaum, Paul Robinson, Sarah Smith, Bruce Chamberlain, Chuck Alcon, John Dean Update: • MHR updated the project team on their progress to date.- (summary attached) Wetland Delineation: MHR authorized Mark Kjollhaug to conduct a wetland delineation to make an initial determination of the wetlands on site and verify wetlands previously delineated. This will need to be verified after May 15th City will send out a notification to the property owners along the wetland areas. City will provide the developer with the ALTA survey for Langdon Lake. Communication: Written Updates: MHR will provide staff with written updates on a semit-monthly basis, more often if significant issues arise. Council Work Session: In order to give a more through update and to work through some of the more significant issues Council input will be sought at two work sessions on April 15, 2003 and on May 20, 2003. Process & Timing Issues: Watershed: Staff suggested that MHR start meeting with the Minnehaha Creek Watershed District since their review process can often take several months.MHR stated they intended to after they develop a more formal strategy with their attorneys. Lost Lake Contamination: • Staff told MHR that the City would provide us with the testing data. Railroad Right of Way • MHR added that bids for the leasing of the railroad right of way are due to Hennepin County shortly. The County said that they have had 30 inquires about the right of way lease. If there is a qualified bidder they will award the bid in July-august. If there are no qualified bidders the county can start the abandonment process in September. • TDKA rail line elevation report due April 1 ? -4- Environmental Assessment Worksheet (EAW) /Environmental Impact Statement (EIS) /Alternate Urban Areawide Review (AUAR): • All agreed that some type of environmental review will be necessary. There was no consensus about the best approach. Staff said that Metro Plains went through a similar analysis and decided that the EAW/EIS was preferred over AUAR. The project team and consultants believe that a large portion of the required information already exists. MHR would like some further direction from the City on this issue. City Land: • Cost: Staff said they are not sure what the cost of the city land may be. They acknowledged that MHR may want the land donated to the project. They said that the cost of the city property and use of other financial incentives such as TIF will be evaluated in conjunction with the sources and uses statement provided by MHR. They suggested that, for now,. MHR use the City's purchase price to estimate the current cost of the property. Staff said they would provide this information to MHR. Identification: Staff said they would also provide a list of the 14 City owned parcels. This may be part of the ALTA Survey. Process Issues: • • Architectural review: Staff recommend working with the city directly in a collaborative process for design buildings rather than presenting completed designs to ensure the best match between the City's and the developers goals in the most cost and time efficient manner. Staff (Project Team) Recommendation for MHR next steps: • Determine the outside parameters for potential housing density and buildable area. • Analyze the estimated costs and revenues for the redevelopment project to ensure feasibility. o Make reasonable land cost estimates o Determine extent of potential relocation costs o Make sure public improvement costs have been considered: ^ Public Space Improvements, Stormwater, Burying of Utilities, Streetscape, etc, Get a handle on timing issues -Critical path (e.g. and EAW/EIS can take up to 6 months) • Present a concept plan that can be reviewed and is: o Consistent with the City's goals • o Implementable o Financially Feasible -5- Other: • Driveway Issues with church: MHR was encouraged to-work with the church on access issues sooner rather than later. MHR said they have been in touch with one of the churches board members. Park and Ride: MHR was encouraged to address early the location Extension Document: John Dean will draft a formal document extending Project Team: Kandis Hanson let us know that the project team was a resource to MHR to be used to assist the redevelopment project. • • -6- - - - Mar 05 03 02:52p p,1 i MHR Concept Plan Site plan issues to resolve in the ne~~t foru• months ' li ebruary 26, 2003 • A wetland delineation of Lost Lake in the CSAI-I 110 South District. • Identii-ication of contemplated stormwater infiltration and treatment techniques. • Coordination with Our Lake of the Lake Church over driveway access at the south edge of the Langdon District. • Wetland mitigation strategy for the Langdon and Lost Lake Districts. • Determination (with Watershed DistrictlDNR) whether added dredge/docks at Lost Lake will be permitted. • Determination and City Council buy-in of alternative farmers market location. • Determination and City Council buy-in of alternative park & ride location. Plan revision allowing for linear public access along Lake Langdon. • Design study of Lost Lake housing (views froixa. CSA.II 15, neighborhood character). • Further e~;ploration with Plaru~ing Commission and Council regarding proposed densities. M: IMOUNUIO!-241docslMHR site plan deeds 2-ZS-03.doc e 7671 o t Post-itm Fax N Date pages t~ ~1 ~~ To ~..~ LV~0.1~ t!V 1 Y+ From Co.tt?ept. Co. Phone # Phone # Fax # • ~..) Z • 061 Fax # • -7- 3/6/03 ST AMENDMENT TO AGREEMENT THIS AGREEMENT is made and entered into this day of , 2003, by and between the Housing and Redevelo ment Authority in and for the City of Mound, Minnesota, a Minnesota public body corporate and p litic ("HRA"), the City of Mound, a municipal corporation ("City") and Mound Harbor Ren 'ssance, LLC, a Minnesota limited liability company ("Developer"). WHEREAS, the parties heret did on or about July 23, 2003 make and enter into an agreement regarding the potential eevelopment of portions of downtown Mound (the "Agreement"); and WHEREAS, Agreement was ubsequently extended beyond its initial expiration date of December 31, 2002 to February 25, 20 3; and WHEREAS, at their meetings on February 25, 2003, both the HRA and the City, at the request of the Developer agreed, with nditions, to an amendment to the Agreement providing for additional time to complete the determi ations called for in the Agreement; and WHEREAS, the parties are entering into this First Amendment to Agreement to memorialize the extension of the to of the Agreement, and the conditions imposed on such extension. NOW THEREFORE, it is A. Paragraph 10 of the 10. Term. This Agreement this. Agreement 1 that Developer feasible, or the 1 the Redevelopm day written not provisions of Pa any claim or ca upon the termini B. Additional Requirements. a. Not later than N with a list of p. Developer, and a JBD-228506v1 Mt1195-15 by and between the parties as follows: is amended to read as follows: '.1 expire on June 24, 2003, the Developer may terminate ~ 30 day written notice to the HRA and City, in the event rmines, in good faith, that the Redevelopment is not . or City is not taking actions consistent with facilitating The HRA or City may terminate this Agreement on five to Developer if Developer fails to comply with the iph B a of the First Amendment. The parties each waive of action that they have against any other party based of this Agreement. 25, 2003 the Developer will provide the HRA and City who will have a role in the Development and in the iption of the role that each will have. • • -8- b. To the extent possible, the Developer will begin work on market and financial ® feasibility studies, and on the form of the final contract for development. None of these matters are required to be completed during the Term contained in Paragraph 10 of the Agreement. c. The Developer will provide the City and the HRA with monthly updates concerning progress toward completion of the site plans for the Redevelopment, and the matters described in sub paragraph b above. C. Additional Extensions of Term. In the event that the Redeveloper has developed a site plan for the Redevelopment within the Term, and is making reasonable progress on the other matters described in paragraph B b above, the City and the HRA will consider further extension or extensions of the Term for the purpose of concluding the market and financial feasibility studies, and preparing a final development contract. D. Effect of Amendment. Unless specifically modified by this First Amendment, the Agreement remains unaltered, fully enforceable and in full force and effect according to its terms. IN WITNESS WHEREOF, the parties have executed. this Agreement effective the date and year first above written. MOUND HOUSING AND REDEVELOPMENT AUTHORITY By: Its By: Its CITY OF MOUND By: Its By: Its MOUND HARBOR RENAISSANCE, LLC • By Its Chief Manager JBD-228506v1 2 MLJ 195-] 5 _g_ Management Agreement • THIS AGREEMENT, made by and between Mound Housing and Redevelopment Authority ("Owner") with offices at 5341 Maywood Road, Mound, Minnesota and Westport Properties Inc., a Minnesota corporation ("Agent") with offices at 2601 sunset Boulevard. Suite 2B Minneapolis, Minnesota 55416. In consideration of the covenants herein contained, the parties hereto agree as follows: 1. Appointment. The Owner hereby appoints the Agent, and the Agent hereby accepts appointment, on the terms and conditions hereinafter provided, as the Owner's exclusive agent to manage, and operate the SO unit apartment building located in Mound, Minnesota, commonly known as Indian Knoll Apartments, ("Premises"). 2.1 Renewal. The term of this Agreement shall be automatically renewed from year to year unless terminated as provided in sections 2.2 and 7. 2.2 Termination by either party. This Agreement may be terminated by either party during its term by the giving of written notice to the other party. The Agent must give 60-day notice to the Owner of such termination. The Owner will use its. best efforts to give 60-day notice to Agent, but may terminate upon the giving of 30-day notice. 3. Responsibilities of Agent. The Owners agree to give the Agent the following • authority and powers (all or any of which maybe exercised in the name of the Owner) and the Owner agrees to assume all expenses in connection therewith: 3.1 To prepare a management plan with the Owner that includes an operating budget, on site staffmg and market analysis along with recommendations, for approval by Owner; 3.2 To cause to be hired, paid and supervised all persons necessary to be employed in order to properly maintain and operate the Premises who, in each instance, shall be the Agent's and not the Owners employees, and cause to be discharged all persons unnecessary or undesirable 3,3 To cause the Premises to be maintained in such conditions as maybe deemed advisable by the Owners, and cause routine repairs and incidental alterations of the building to be made, including, but not limited to, electrical, plumbing, carpentry, masonry and any other routine repairs and incidental alterations as may be required in the course of ordinary maintenance and care of the prexnises. Subject to the requirements of Minnesota Statutes 469.01 S, repairs or alterations involving an expenditure in excess of One thousand Dollars ($1,000) for any one item shall be made only with the prior approval of the Owners, except that emergency repairs, i.e., those immediately necessary for the preservation of safety of the • Premises or for the safety of the residents of the Premises or other persons, or required to avoid -10- S the suspension of any necessary service in or to the Premises may be made by the Agent irrespective of the cost thereof, without the prior approval of the Owner if the Agent makes a reasonable attempt to communicate with the Owner in order to obtain such approval; 3.4 To recommend, and with the approval of the Owners, cause all such acts and things to be done in or about the Premises as may be necessary or desirable to comply with any and all orders or notice of violations affecting the Premises placed thereon by any federal, state, county or municipal authority having jurisdiction thereover, except that if failure promptly to comply with any such order or violation would or might expose the Owner or the Agent to crinunal liability, the Agent may cause such order or notice of violation to be complied with without the prior approval of the Owner if the Agent makes a reasonable attempt to communicate with the Owner to obtain such approval, it being understood that the Agent shall notify the Owner promptly after receipt of any order or notice of violation, as aforesaid; 3.5 Subject to the requirements of Minnesota Statutes 469.01 S, to enter into all necessary or desirable service contracts in respect of the repair and operation of the Premises, including without limitation contracts for electricity, gas, air conditioning, equipment maintenance, water treatment, janitorial, landscaping, window cleaning, rubbish removal, fuel oil, vermin extermination, architects' and engineers' services required for the planning and supervision of alterations and/or improvements made or proposed to be made to the Premises, but any such • contract having a term longer than one (1) year or requiring an annual payment in excess of One Thousand Dollars ($1,000} must be authorized by the Owner; 3.6 Subject to the requirements of Minnesota Statutes 469.01 S, to purchase all supplies which shall be necessary to properly maintain and operate the Premises, and credit to the Owner any discounts or commissions obtained for purchase; 3.7 To check all bills received for services, work and supplies ordered in connection with maintaining and operating the Premises and pay or cause all such bills to be paid, upon authorization of the Owner, from funds of the Owner; 3.8 Insurance coverage for the premises is to be determined by the HRA, such insurance to be obtained and/or maintained, at the expense of the Owner; 3.9 To cause all employees of the Agent who handle or are responsible for safekeeping of any moneys of the Owner to be covered by a fidelity bond in favor of the Owner in the amount equal to one months rent for the property; 3.10 To bill, or cause ~to be billed, residents for monthly rent; • 2 -11- 3.11 To maintain in a manner customary and consistent with generally accepted • accounting principles, a system of accounts to which shall be entered fully and accurately each and every financial transaction with respect to the operation of the Premises. To prepare and render to the Owner, monthly operating statements of operations and such other reports and in such frequency as specified by Owner; 3.12 To keep the Board informed of the financial status and physical condition of the Premises and other items that Owner should reasonably be made aware of; 3.13 To cause to be prepared and filed all necessary forms relating to the maintenance and operation of the Premises required by any federal, state, county or municipal authority having jurisdiction thereover; 3.14 To set up and maintain orderly files containing records for income and expenses, insurance policies, leases, correspondence, receipted bills and vouchers and all other documents and papers pertaining to the Premises and the operation and maintenance thereof, the same to be and at all times to remain the property of the Owner, and the Agent shall upon request of the Owner make same available to the Owner, and the Owner's accountants and attorneys; 3.15 To cooperate with the owners accountants and auditors in regard to the annual audit or any periodic audits of the books. 3.16 To cooperate with Owner's accountants in regard to the preparation and filing on behalf of federal, state, city and any other income and other filings required by any governmental authority; 3.17 To generally, do all things reasonably deemed necessary or desirable for the proper management of the Premises; and 3.18 To perform, for the Owner's account and on its behalf, any lawful. act and everything lawful and necessary or desirable in order to carryout the Agent°s agreements contained in this Agreement. It is expressly understood and agreed that everything done by the Agent under the provisions of this Agreement shall be done as agent of the Owner, and any and all obligations, costs or expenses incurred by the Agent in the performance of its obligations under this Agreement shall be borne by the Owner's and not by the Agent. It being expressly understood, however, that the Agent shall not be compensated for (i) the costs incurred by the Agent in maintaining its own office staff, and (ii) its general overhead. Any payments made by the Agent hereunder shall be made out of such funds as the Agent may from time to time hold for the account of the Owner or as may be provided by the Owner.. The Agent shall not be obligated to make any advance to, or for the account of, the Owner or pay any amount except out of funds held or provided aforesaid nor shall the Agent be obliged to incur any extraordinary liability or obligation unless the Owner shall furnish the Agent with the necessary funds for the discharge thereof. If agent shall elect to advance any money in connection with the property the Owner s 3 _12_ • agrees to reimburse the Agent forthwith and hereby authorizes the Agent to deduct such advances from any moneys due the Owner. 4. Banking. All funds of the property in the possession of the Agent shall be held by the Agent for the Owners, in trust, and shall be deposited by Agent in such bank as the Owners shall designate, in a special account maintained by the Agent, for the premises. Such funds shall not be commingled with other funds collected by the Agent for its own account or as agent for others, or with the Agent's own funds and shall remain on deposit until disbursed in accordance with the terms of this Agreement. The Agent shall furnish the Owner with true and complete copies of all statements issued by the Bank with respect to such bank account regularly after their receipt by the Agent. 5. Compensation. The Owner agrees to pay the Agent, during the term of this Agreement, each month: 5.1 An amount equal to $850 per month 5.2 Other fees of -0-. 6. Indemnity. The Owner shall indemnify, defend and save the Agent harmless from and against all claims, losses, costs and liabilities arising out of damage to property, or injury to, or death of persons (including the property and persons of the parties hereto, and their agents, subcontractors and employees) occasioned by or in connection with the use, management operation, ownership, maintenance or control of the Premises; except as to such claims, losses, costs, and liabilities that are the direct result of willful misconduct or negligence of Agent or its off cers, agents, subcontractors or em to ees. P Y 7. Termination. Within 30 days of termination of this Agreement, the parties shall account to each other with respect to all uncompleted business as follows: (i) the Agent shall deliver to the Owner all funds and other moneys, and all leases, subleases, corporate files, books, records and other instruments relating to the Premises and the Owner, that maybe in the possession of the Agent; and (ii) the Agent shall concurrently take payment of all fees required to be paid hereunder through the date of termination of the Agreement by deducting same from all funds and moneys otherwise transferred to the Owner under this paragraph. 8. Assignment. This Agreement may not be assigned by the Agent without the prior written consent of the Board of Commissioners. Subject to the provisions hereof, all of the covenants, conditions and obligations contained in this Agreement shall be binding upon and inure to the benefit of the respective successors and assigns of the Owner and the Agent to the same extent as if each successor and assign were in each case named as a party to this Agreement. 9. Severability. If any term or provision of this Agreement or the application thereof to • any person or circumstance shall, to any extent, be invalid or unenforceable, the remainder of this 4 -13- Agreement, or the application of such term or provision to persons or circumstances other than • those as to which it is held invalid or unenforceable, shall not be affected thereby, and each term and provision of this Agreement shall be valid and enforced to the fullest extent permitted bylaw. 10. Applicable Law. This Agreement shall be construed and enforced in accordance with the laws of the State of Minnesota. 11. Notices. All notices, demands, requests or other communications which maybe or are required to be given, served or sent by either party to the other, shall be in writing and delivered personally or by certified mail, return receipt requested, with postage prepaid, at the address first above mentioned. A party may change the name or address for the giving of notice provided above by written notice to the other party. 12. Entire Agreement. This Agreement and the documents to which reference in it has been made, shall be construed together and constitute the entire, full and complete agreement between the Owner and the Agent, and there are no representations, inducements, promises, or agreements, oral or otherwise, between the parties not embodied herein, which are of any force or effect. 13. Modifications. This Agreement may not be changed or modified except by written document signed by both the Owner and the Agent. 14. Workers Compensation Insurance. This Agreement shall not become effective until • Agent has provided Owner written evidence that Agent complies with all applicable worker compensation insurance requirements. 15. Relationship of Agent to Owner. The relationship of the parties to this Agreement shall be that of Principal and Agent, and all duties to be performed by Agent under this Agreement shall be for and on behalf of Owner, in Owner's name, and for Owner's account. In taking any action under this Agreement, Agent shall be acting only as Agent for Owner, and nothing in this Agreement shall be construed as creating a partnership, joint venture, or any other relationship between the parties to this Agreement except that of Principal and Agent, or as requiring Agent to bear any portion of losses arising out of or connected with the ownership or operation of the Premises. Nor shall Agent at any time during the period of this Agreement be considered a direct employee of Owner. Neither party shall have the power to bind or obligate the other except as expressly set forth in this Agreement, except that Agent is authorized to act with such additional authority and power as may be necessary to carry out the spirit and intent of this Agreement. l6. Save Harmless. Except as to the willful misconduct or negligence of Agent, Owner shall indemnify, defend, and save Agent harmless from all loss, damage, cost, expense (including attorney's fees), liability, or claims for personal injury or property damage incurred or occurring in, on or about the Premises. Agent shall indemnify, defend and save Owner harmless in the same manner based on the willful misconduct on negligence of Agent. • 5 -14- • I7. Liability Insurance. Owner shall obtain and keep in force adequate insurance against physical damage (e.g, fire with extended coverage endorsement, boiler and machinery, etc.) and against liability for loss, damage, or injury to property or persons which might arise out of the occupancy, management, operation, or maintenance of the Premises. The amounts and types of insurance shall be acceptable to both Owner and Agent, and any deductible required under such insurance policies shall be Owner's expense. Agent shall be covered as an additional insured on all liability insurance maintained with respect to the Premises. Liability insurance shall be adequate to protect the interests of both Owner and Agent and in form, substance, and amounts reasonably satisfactory to Agent. Owner agrees to furnish Agent with certificates evidencing such insurance or with duplicate copies of such policies within three business days of the execution of the Agreement. If Owner fails to do so, Agent may, but shall not be obliged to, place said insurance and charge the cost thereof to the Operating (and/or) Reserve Account(s). I8. Agent assumes no Liability Agent assumes no liability whatsoever for any acts or omissions of Owner, or any previous owners of the Premises, or any previous management or other agent of either. Agent assumes no liability for any failure of or default by any tenant in the payment of any rent or other charges due Owner or in the performance of any obligations owed by any tenant to Owner pursuant to any lease or otherwise, Nor does Agent assume any liability for previously unknown violations of environmental or other regulations which may become known during the period this Agreement is in effect. Any such regulatory violations or hazards discovered by Agent shall be brought to the attention of Owner in writing, and Owner shall promptly cure them. • IN WITNESS WHEREOF, the parties hereto intending to be legally bound hereby, have executed this Agreement as of the day and year first above written. OWNER: By: Kandis Hanson Its: Executive Director AGENT: Westport Properties, Inc. By: • Cynthia Reiter Its: President 6 -15- MOUND PUBLIC SAFETY FACILITY MEETING MONDAY, MARCH 3, 2003 Agenda 1. Demolition Schedule Update. 2. Review Updated Budget And Potential Cost Savings. 3. Evaluate Facility Color Options And Roof Materials. a. Precast Walls -Color b. Roofing Options ;. c. Trim -Windows, Trim, Doors, Etc. 4. Furniture Layout (Final}. 5. Kitchen Appliances And Possible Design Change. 6. Neighboring Property [ssues. 7. Miscellaneous Issues. 8. Adjourn. s • -16- 03;'07'2003 11:57 9529417596 AMCON CM SOUTH METRM PAGE 01 AMCON FAX -To: Kandis Hanson Company: City of Mound Fax Number: 952-472-06'20 Pages: 4 (includes cover page) Date: 3!7/2003 Subject: Budget Information Notes: • • Good morning Kandis, Don Geiger 952-890-1217 VOICE 952-890-0064 FAX Please find attached updated Budget Work Sheet, Proposed Cost Savings/Revised Alternate #1 and 03/03 Meeting Minutes. Please make the following recommendations to the HRA and City Council. 1. Accept Revised Alternate #1, with scaled back west wall and asphalt shingles, for a cost of $106,416. (CouncN) 2. Make allocations of $237,522 from contingency to source of funds to balance project costs. (HRA) At this time we have na contracts to recommend award, we will award additional contracts and SAC charges at the next HRA/Gounci! meeting. i just want to extend a small explanation in regards to the cost of asphalt shingles. The cost of the Base Bid is higher due to the quantity of shingle and mobilization costs in proportion to the work being completed. The overall cost of asphalt shingles did not change from our discussions on March 3 when you consider the Base Bid and Alternate #1. f you have any questions please feel free to call, 952,200-4390, Thank you, Don Geiger Amcon CM cc: Todd Christopherson, Amcon CM -17- 03107f2003 11:57 9529417596 AMCON CM SOUTH METRM PAGE 04 Meeting he/d on ~03~03 Date printed t).~OT/03 CITY OF MdUND Meeting Minutes Mound Public Safety Facility The meeting was convened at 4 PM Monday, March 3, Zt~3 at Mound Fire Station: Present; tCandis Hanson City KH Jeff Andersen City Jq John McKinley City JM Don Geiger Amcon TC Greg Pederson City GP Miles Britt SEH MB 1. Demolition, salvage, started today. Building demolition wilt start on Wednesday or Thursday. DG will contact GP on timing for building demolition, DG spoke to Demolition contractor and he will set aside bricks for the Ciry to salvage. Weld safety meeting on site today with Ameon Safety Consultant and Demolition contractor. 2. GP inquired on the retaining wall. If Site Clearing contractor has no intentions to salvage the Owner would like to remove and salvage the wall OG to call Greg Skinner. 3. Called Bitl Reynolds at Specialty Systems in regards to sheathing. Changing sheathing to'/." plywood, from, 2 tayers of ~~", w"ril save $700 on the base bid and X2,800 on Alternate #1. This change is acceptable with MB. 4. discussed precast cobr options and sample 1p7$ was selected. MB to contact Hanson to arrange monk-rap panels and discuss the possibility of two (2) panels being made. One panel will have water wash accents and the other panel to have a mix of water wash and sect wash accents. 5, GP received the furniture layout and pricing from Metro Systems. City inquired fF then3 would be 8 way that they could take this drawing and get bids from other suppliers to try and save costs. 8. A citizen who could possibly provide some of the kitchen equipment free of cost contacted GP. GP to discuss with this person, equipment would have to fd in the space currerltiy allotted on the drawings. 7. KH and GP to talk to the neighbor on possible acquisition of parcel of adjacent property. 8, MRA/Council meeting is on March 11. Amcon td provide KH with Bids to be Awarded, Construction Cost Update, Coat Savings and Meeting rninutea from this meeting. 9. Next meeting is Monday, Maroh 17 at 4 PM at Temporary Fre Station. 7 0. Meeting adjaumed at 6:3D PM. Minutes by DC3. CaN if any missing items or discrepancy. I4IVIGOW Page 7 of 1 • -~$- 03/0712003 11:57 9529417596 AMCON CM SOUTH METRM , r ` MOUnd Publlc Safety FadlHy Mound, MN Budget Work Sheet Deoemaer-02 Ma'CI-03 Funding 5aur+cs _ _ Past Sid (1Z14J02) R9comlr>4~nded Metr 2009 Lease Revenue Dona 3sie Proyecc Funea 5,960,000 6,3b0,000 HRA Contirpency 500,000 12,478 satsnpe Btteytrt • Gorrtinpsncy Aibatlion 237,522 Racatrrrtended albcedon Constnrdlon Cordingency r HRA 250,000 Set aside for consbTaetiott Tohtf 6880 000 0 000 ExpelttdltUres A!E Base Fee gp}f A/E Retmtwrsables SEH ScoQe Change Contingency 3EF1 Land Costs Cky of IlAatlyd LegslFeealNbn bond KerrlsdyH3raven FlnsnGng Costa/Non 9arW soR Coat - Mlsceliartiswls to data MisoaHatttewx CI(y Rose S Utlflty Fees {$ACj MCte$ Publlc U111tty dlatgee ~tcel GsnAedinlwd/EnvirontThrtGYt Salvias 8ntrt suroeytng MFiL4 Bid Advaatfastrmtf and PriMiry To bs Bld Lesse GoM of Texrspprsry FadJlty Moving Costa (two moves) Cmeuuttlon Teating In G0110trtKYiWf GCyt Fw]71f71Jgns a~~gy $ut~otltle FF~ Owner ~ Autllo visual Systems To De Die • Security and Acaast Systsrns/CCTV Ta ba !lid TeleWwne Systslri Ta tie Oki C~P~ ~ To bs fad Paging Bystem To bs bid Cable TV To bs bW Voioeli3eta Cablirp To be bid suGfictsis 371,250 30.300 30.000 0 2,000 5,000 48,832 2,400 50,400 e,aoo a,ooo 30,000 47,880 16,100 0 887,2E2 377,250 SEH 30.500 3EH 26.000 sei~1 30,000 City 2,D00 Itennedy Graven 3,000 Elders 4E,s3z cry ar Mouna - G.erta 2,4DR City 50.000 MFRA/Anwon e~oo Arrtcort e,ooo cry 30.000 Amcor 47,880 CNy a,ooo Clry 0 gnlcon 886,102 7sz,ooo as,ooo Gly 8,500 75,000 CIy 14,400 14,400 City 17,200 17,200 Clty s,7au e,7oo any 7,500 City 2.500 Cily ___ __ tesoo city 175,800 188,800 PAGE 02 3!7103 COLIsiLV.G1llMiS~ $uiltlirp H+rm Costs Gorr>,'+tcEOrs (ta bC bltl) 4,551,888 4,631,888 Amran Consouctlon Manelpr Fee Antoon CM 128,500 128.300 Antcorl Site Improvsnwrtts Included in tlulkfirq q~yn DentulRlon of Existing To be Die 37,200 37.200 Me% 3tetnntger, Removal of Well 10,230 10,230 8tev~s Dritflrg flaw (n4tt-cetrxr7t vralQ NOT itk~~1+! in 1xOjac4 0 0 CKy CoMingsnty - Calatrtlotlon 500,000 Tb0,000 Amcor Rscamn»nastl Altematts AtbmMa 1~1 108,418 t31t10• Committso Proposed COtt StWnpr: (80,754) Amoa+ tl;ttb.eetals 5.207.80E 5,003,580 Tovia FB,OQa,960 S5,E97,t122 U ncommitfre Funeac (Pure t3Nortspar) zoo sea sz 47a i • AMCOlV eon MI MPB 1102 aiht 0311.x1a TaW Woikt CoN 109 -19- 03/07,'2003 11:57 9529417596 Mound Public Safety Facility ' Mound, MN PROPOSED COST SAYINGS Miscellaneous Changes Plank Revision Foam Insulation Revised Precast t=finish Fencing Lights Retaining Wail R®move Additional Trees Revised Hauling of Excavation "" Rebid Dry Wail AMCON CM SOUTH METRM PFtOPOSE© COST 5AYlNGS REVISED ALTERNATE #1 Hassan Hanson Hanson Estimate Specialty Sales Veit Veit Veit Minuti-Ogle PR-#3 Revised Hale Tower Raof Roofing Reduce roof height, revise substrate Specialty Sales Delete rnetal shingles Specialty Sales .Add asphalt shingles ,Twin Cities Roofing TOTAL *" Still not final, there are potential issues related to viability of site. Need to verify dump site. REVISED ALTERNATE #1 Delete Mansard Roof at West Elevation Revised fame work and sheathing Specialty Safes Delete metat shingles Specialty Sales Add asphalt shingles Twin Cities Roofing Revised roof penetrations and flashing Oafco Roofing Revised steel supply Thombeck Steel Fabricatifln Revised steel erection Western Steel Erection Deduct sheathing in other contract Keliington Construction TOTAi_ PAGE 03 •, 3R/03 • (5,000) (~1,000> (21,840) (2,300) (4,100) (8,000) (1,380) (12,150) 3,200 (932) .(9,252) 1 ~ 000 (60,754) 93,528 (30,605) 19,500 21,750 5,863. 6, 630 10,250 106,416 • AMCON Poten#ial Cost Savings 03 11.x1s -20-