08-27-2003 Council Agenda - Laserfiche WebLink

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Grant Program Agreement between the City and Ramsey County Housing and Redevelopment Authority dated July 1, 2001 (the "Program Agreement" attached as Exhibit "C "). 2. CUP Application. North Star has applied for a Conditional Use Permit on the City's behalf to allow the construction of the Storm Shelter on the Storm Shelter Site. The Conditional Use Permit has been granted. Only one storm shelter is to be constructed instead of the two shelters originally identified and discussed in the Grant Application. 3. Grant/Program Funds. Pursuant to the terms and conditions of the Grant Application and Program Agreement, funds in the amount of Ninety Five Thousand and 00 /00 ($95,000) Dollars (the "Grant Funds ") have been granted and earmarked to defray the cost of construction, materials and labor, among other costs, associated with the Storm Shelter. 4. Cash Deposit. Concurrent with the execution of this Agreement, North Star will make a cash deposit (the "Cash Deposit ") with the City in the amount of Thirty Four Thousand Five Hundred and 00 /100 ($34,500) Dollars to be used for costs associated with the construction of the Storm Shelter, including but not limited to legal, administrative, planning, engineering, soil borings and analysis, surveying, etc. North Star may credit against the Cash Deposit the amounts paid by North Star for soil borings and up to Five Thousand and 00 /100 ($5,000) Dollars of North Star's legal expenses. The Cash Deposit shall be exhausted before any money from the Grant Funds are used for the Storm Shelter. 5. City Reimbursement of Costs. City and North Star agree that after exhaustion of the Cash Deposit, all of the construction costs shall be paid from the Grant Funds until such funds are depleted. The City will contract with an appropriately licensed third party contractor to construct the Storm Shelter (the "Contract "). The City will negotiate the terms of the Contract so that the cost provisions will not exceed the aggregate amount of One Hundred Twenty Nine Thousand Five Hundred and 00 /100 ($129,500.00), including a ten (10) percent contingency fee. If, after using its best efforts, the City is unable to negotiate the terms of the Contract in accordance with the terms of this Section 5, the City will notify North Star. Thereafter, North Star will have the opportunity to suggest modifications to the plans and specifications that would result in cost reductions in an effort to reduce construction costs. North Star and the City will use their best efforts to quickly review and approve such revisions. In no event shall North Star suggest revisions to the plans and specifications that would impair the purpose and use of the Storm Shelter. Once North Star and the City agree upon such modifications and /or revisions, if any, the City will proceed with execution of the Contract. If the City and North Star are unable to agree upon any revisions or modifications, the City shall use its reasonable judgment to determine and implement changes to plans and specifications and the costs associated therewith. North Star shall pay any additional, reasonable costs exceeding the aggregate amount of the Cash Deposit and the Grant Funds within twenty (20) days after receipt of request for same from City to be delivered to North Star's Michigan address. The Contract will require that contractor furnish all risk, all perils, comprehensive general liability insurance, and shall name North Star as an additional named insured. Copy of said 2 3 Development Agreement v4l .DOC942-7330 03 (BLM)[08/22/0308/2- 1/03/3:00 PM3:49 I'M]