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(Mn/DOT Agreement No. 90473) <br />K:\435\43506119\Word\Work_In_Progress\Federal Participation Agreement\Revisions per City Attorney\MnDOT_Agency_Agreement - Revised version <br />for Approval 1-19-09.DOC 2/5/00 Page 6 <br />II.DUTIES OF Mn/DOT. <br />A.ACCEPTANCE. Mn/DOT accepts designation as Agent of the City for the receipt <br />and disbursement of federal funds and will act in accordance herewith. <br />B.PROJECT ACTIVITIES. <br />1.Mn/DOT will make the necessary requests to the FHWA for authorization to use <br />federal funds for the Project(s), and for reimbursement of eligible costs pursuant <br />to the terms of this agreement. <br />2.Mn/DOT will provide to the City copies of the required Federal-aid clauses to be <br />included in the bid solicitation and will provide the required Federal-aid provisions <br />to be included in the Proposal for Highway Construction. <br />3.Mn/DOT will review and certify the DBE participation and notify the City when <br />certification is complete. If certification of DBE participation (or good faith <br />efforts to achieve such participation) cannot be obtained, then City must decide <br />whether to proceed with awarding the contract. Failure to obtain such <br />certification will result in the project becoming ineligible for federal assistance, <br />and the City must make up any shortfall. <br />4.Mn/DOT will provide the required labor postings. <br />C.PAYMENTS. <br />1. Mn/DOT will receive the federal funds to be paid by the FHWA for the Project(s), <br />pursuant to Minnesota Statutes § 161.36, Subdivision 2. <br />2. Mn/DOT will reimburse the City, from said federal funds made available to each <br />Project, for each partial payment request, subject to the availability and limits of <br />those funds. <br />3.Upon completion of the Project(s), Mn/DOT will perform a final inspection and <br />verify the federal and state eligibility of all the payment requests. If the Project is <br />found to have been completed in accordance with the plans and specifications, <br />Mn/DOT will promptly release any remaining federal funds due the City for the <br />Project(s). <br />4.In the event Mn/DOT does not obtain funding from the Minnesota Legislature or <br />other funding source, the City may continue the work with local funds only, until <br />such time as Mn/DOT is able to process the federal aid reimbursement requests. <br />D.AUTHORITY. Mn/DOT may withhold federal funds, where Mn/DOT or the FHWA <br />determines that the Project(s) was not completed in compliance with federal <br />requirements.