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• <br />SECTION 2. DESIGN AND CONSTRUCTION. <br />A. Lino Lakes is responsible for the design and construction of both the portion of <br />the Project located within Centerville and the portion of the Project located within <br />Lino Lakes. Therefore, the parties agree that: <br />1) Lino Lakes shall design the Project, administer the construction and <br />conduct inspections of the construction process. Centerville shall have the <br />right to inspect, review and comment upon construction of the Project. <br />Centerville shall have the right to review and approve the final plans and <br />specifications prior to advertisement for bids. <br />2) For purposes of performing its obligations under this Agreement, <br />Centerville hereby grants to Lino Lakes the right to use the streets, public <br />ways, and easements of Centerville for purposes of constructing the <br />Project, including any excavations necessary to perform work incidental to <br />the performance of this agreement. <br />3) Lino Lakes agrees to notify and coordinate with businesses in Centerville <br />that are located along 21st Avenue as early as practical regarding the <br />construction schedule for the Project. <br />4) Centerville and Lino Lakes will each acquire the necessary right -of -way to <br />permit the construction of the street extension as well as water mains, <br />sanitary sewer, storm sewer and storm water ponds. <br />B. Centerville shall contribute its share of the project as estimated on the attached <br />Exhibit _B, and may collect its share as a special assessment against benefited <br />property owners of Centerville. The remaining portion of the project shall be paid <br />by Lino Lakes who may specially assess all or a portion of its share from <br />benefiting property owners of Lino Lakes. Each municipality shall be responsible <br />for the sale of bonds, if any, and levy of special assessments against properties <br />within their city's boundaries. <br />C. Each city has the right to terminate this Agreement prior to award of a <br />construction contract. The terminating party is responsible for all design costs <br />incurred up to the date of termination. <br />D. Lino Lakes shall receive from Centerville ninety percent (90 %) of its estimated <br />share of the project cost within 60 days of award of a construction contract. Prior <br />to billing this estimate will be updated by Lino Lakes to reflect actual bid prices <br />as awarded. An updated cost estimate shall be provided to Centerville at the time <br />of billing. <br />