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HomeMy WebLinkAbout2010-01-06 PACKET 04.I.REQUEST OF CITY COUNCIL ACTION COUNCIL AGENDA MEETING ITEM # DATE 1-6-10 Community Development ORIGINATING DEPARTMENT Howard Blin STAFF AUTHOR COUNCIL ACTION REQUEST: Authorize submission of proposal to Newport for Inspections Services STAFF RECOMMENDATION: Approve the submission. BUDGET IMPLICATION: $ $ BUDGETED AMOUNT ACTUAL AMOUNT FUNDING SOURCE ADVISORY COMMISSION ACTION: ❑ PLANNING ❑ PUBLIC SAFETY F PUBLIC WORKS ❑ PARKS AND RECREATION ❑ HUMAN SERVICES/RIGHTS ❑ ECONOMIC DEV. AUTHORITY El SUPPORTING DOCUMENTS: NEW E MEMO/LETTER: ❑ RESOLUTION: ❑ ORDINANCE: ❑ ENGINEERING RECOMMENDATION: ❑ LEGAL RECOMMENDATION: ❑ OTHER: ADMINISTRATORS COMMENTS: REVIEWED APPROVED DENIED ❑ ❑ ❑ ❑ ❑ F ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ F ❑ ❑ ❑ CityAdministrator Date COUNCIL ACTION TAKEN: FYAPPROVED r - 1 DENIED ❑ OTHER CITY OF J MINNESOTA COTTAGE GROVE TO: Mayor and Members of the City Council Ryan Schroeder, City Administrator FROM: Howard Blin, Community Development Director DATE: December 30, 2009 RE: Authorization to Submit Proposal to City of Newport for Building Inspections Services ••• The City Council is requested to authorize the City Administrator to submit a proposal to the City of Newport for provision of building inspections services. Agreement The City of Newport contracts for building inspections. Newport has invited the City of Cottage Grove to submit a proposal for providing building inspections services. The attached draft contract serves as the proposal. Key elements of the contract include: • Cottage Grove will provide only building inspections services. No code enforcement activities would be provided. If requested, Cottage Grove may provide rental housing inspections. Permits would be accepted by Newport. • Permit review and inspections would be performed by the Cottage Grove Building Division. • inspections scheduling would be performed by Cottage Grove. Newport would pay Cottage Grove 25 percent of total permit revenues collected. The term of the agreement would be for one year beginning in May 2010, with automatic renewal extending the term to May 2012. Either party may terminate the agreement with 90 day notice. The Newport City Council is scheduled to review the Cottage Grove proposal and those from private firms in early January. If Cottage Grove is selected, the Council will be requested in a separate action to approve the agreement. Discussion Newport currently issues relatively few building permits. Currently Newport issues 200 - 300 permits per year compared to Cottage Grove's current annual volume of over 2,500 permits. This level of activity in Newport can be accommodated by Cottage Grove inspectors. If permit levels in Cottage Grove increase significantly in the future, the agreement with Newport could be reconsidered. The amount of payment Cottage Grove will receive form Newport will cover the costs of providing the inspections services outlined in the proposal. Any additional services provided will be reimbursed on a per hour basis. Recommendation Authorize submission of the proposal. DRAFT BUILDING INSPECTION SERVICES AGREEMENT This Agreement is made this day of March, 2010, by and between the City of Newport hereinafter referred to as "Newport") and the City of Cottage Grove (hereinafter referred to as "Cottage Grove "). WHEREAS, Newport is authorized and empowered to provide for various types of building inspections and code enforcement to ensure the public health, welfare and safety; and WHEREAS, it is the desire of the parties and the purpose of this Agreement that certain of such services be performed by Cottage Grove on behalf of Newport; NOW, THEREFORE, in consideration of the mutual covenants and conditions set forth below, the above parties hereto agree as follows: 1. The term of this agreement shall be from May 1, 2010 through May 1, 2011, and shall automatically renew for an additional one year term on May 1, 2011 and on May 1, 2012, unless either party to the Agreement provides notice to the other party that they shall terminate the contract at the end of the current term, and further subject to termination as provided in paragraph 9. 2. For the term of this Agreement, Cottage Grove shall provide Newport with the following services, in and on behalf of Newport and at the direction of Newport's City Administrator: a. Building inspections and code enforcement, as necessary. b. Property inspections for structural integrity for purposes of exercising eminent domain powers or protection of life. C. Planning and zoning reviews required for building permits. d. Issuing building permits (plumbing & mechanical included). e. Preparation of all reporting required by the State of Minnesota or any state agency. f. Preparation of an annual written report of work completed for the City Council of Newport. g. Provide copies of all permits issued and inspections made on a monthly basis. The services Cottage Grove will provide under this Agreement do not include property maintenance inspections and do not include planning or zoning review unless such review is specifically related to a building permit request for a structure permitted under the Newport Code. 3. Cottage Grove shall consult with and abide by the manner in which the inspections, plan review and activities are conducted and over the determination of what enforcement action is appropriate and consistent with Newport City Code Chapter 18, Article 11 (Building Code) and Article III (Housing Code) and Article IV (Swimming Pools) and other policies as established by Newport. Cottage Grove shall confer with Newport staff regarding interpretation of the Code. Newport shall have a duty to inform Cottage Grove of any and all updates or changes to the Newport Code. 4. Cottage Grove is not required to maintain office hours at Newport's City Hall. However, if Cottage Grove finds it necessary to meet with citizens at Newport's City Hall, Newport will arrange for a work area for such meetings. Cottage Grove's main contact at Newport shall be Newport's City Administrator and Cottage Grove shall take direction from Newport's City Administrator for all work performed under this Agreement. 5. Cottage Grove shall assume the expense of performing the inspections and code enforcement. 6. Newport will pay Cottage Grove 25% of the total permit and plan review fee. Such permit and plan review fees shall be separate from, and in addition to, the payment provided for by Paragraph 8 of this agreement. All other provisions of this agreement shall remain applicable with respect to the plan review and inspection services being provided. 7. In addition to the above fees Newport will pay Cottage Grove for services performed by Cottage Grove outside those contemplated by this agreement but only as specifically requested by Newport. These additional fees will be billed to Newport on a time and material basis. Services performed by the Cottage Grove Chief Building Official will be at the rate of $60 /hour plus expenses. Services performed by Cottage Grove Building Inspector(s) will be at the rate of $45 plus expenses. 8. This agreement shall terminate as follows: a. Upon the expiration of 90 days after service of written notice upon the other party; or b. At any time, upon agreement of the parties; or C. In any event on May 1, 2012. 9. Cottage Grove agrees to defend, indemnify and hold harmless Newport, and its officials, agents and employees from and against all claims, actions, damages, losses and expenses arising out of or resulting from Cottage Grove's performance of the duties required under this Agreement, provided that any such claim, action, damage, loss or expense is attributable to bodily injury, siclaress, disease, or death or to the injury to or destruction of property including the loss of use resulting therefrom and is caused in whole or in part by any negligent act or omission or willful misconduct of Cottage Grove. This provision shall not be construed as a waiver by either party of any defenses, immunities or limitators on liability with respect to claims made by third parties. 10. Newport agrees to defend, indemnify and hold harmless Cottage Grove, and its officials, agents and employees from and against all claims, actions, damages, losses and expenses arising out of or resulting from Newport's performance of the duties required under this Agreement, 2 provided that any such claim, action, damage, loss or expense is attributable to bodily injury, sickness, disease, or death or to the injury to or destruction of property including the loss of use resulting therefrom and is caused in whole or in part by any negligent act or omission or willful misconduct of Newport. This provision shall not be construed as a waiver by either party of any defenses, immunities or limitators on liability with respect to claims made by third parties. 11. Cottage Grove shall carry liability insurance in the amount of at least $1,000,000 per occurrence and $2,000,000 in the aggregate for both Bodily Injury and Property Damage. Newport shall be named as an additional insured, and a certificate of said insurance shall be provided to Newport. Cottage Grove shall carry Worker's Compensation Insurance as required by Minnesota Statutes, Section 176.181, Subd. 2 and further agrees to provide a certificate of said insurance to the Newport. 12. Any employee assigned by Cottage Grove to perform its obligations hereunder shall remain the exclusive employee of Cottage Grove for all purposes including, but not limited to, wages, salary and employee benefits. 13. In addition to the services listed in Paragraph 2 above, Cottage Grove shall, upon request, also provide for and on behalf of Newport: a. Collecting fees for issuing building permits and inspections. b. Inspection of all rental property once every two years. - Newport will provide Cottage Grove with a current list of rental property owners - Cottage Grove shall notify Newport rental property owners of upcoming rental inspections via letter and application and collect an inspection fee of $40.00 per unit. Fees must be paid before inspections can be performed. Cottage Grove shall receive $25.00 for each unit inspected and Newport shall receive $15.00 - Newport rental property owners shall apply for Certificate of Occupancy renewal no later than 60 days prior to the April 1 expiration date of the previously issued certificate. - Cottage Grove shall collect $40.00 per unit for reinspections. Cottage Grove shall receive $25.00 for each reinspection and Newport shall receive $15.00 - Cottage Grove shall provide copies of inspections as well as Certificate of Occupancy for each building C. Clerical and other office duties related to building inspections and review of building permits. 14. It is agreed that nothing herein contained is intended or should be construed in any manner as creating or establishing the relationship of co- partners between the parties hereto or as constituting the persons employed by Cottage Grove as the agent, representative or employee of Newport for any purpose or in any manner whatsoever. Cottage Grove is to be and shall remain an independent contractor with respect to all services performed under this contract. Cottage Grove represents that it has, or will secure at its own expense, all personnel and equipment required in performing services under this contract. Any and all personnel of Cottage Grove or other persons, 3 while engaged in the performance of any work or services required by Cottage Grove under this contract, and shall not be considered employees of Newport and any and all claims that may or might arise under the Workers' Compensation Act of the State of Minnesota on behalf of said personnel or other persons while so engaged, and any and all claims whatsoever on behalf of any such person or personnel arising out of employment or alleged employment including, without limitation, claims of discrimination against Cottage Grove, its officers, agents contracts or employees shall in no way be the responsibility of Newport; and Cottage Grove shall defend, indemnify and hold Newport, its officers, agents and employees harmless from any and all such claims regardless of any determination of any pertinent tribunal, agency, board, commission or court. Such personnel or other persons shall not require nor be entitled to any compensation, rights or benefits of any kind whatsoever from Newport, including, without limitation, tenure rights, medical and hospital care, sick and vacation leave, Workers' Compensations, Unemployment Compensation, disability, severance pay and PERA. 15. The books, records, documents, and accounting procedures of Cottage Grove relevant to this Agreement, are subject to examination by Newport and either the legislative or state auditor as appropriate, pursuant to Minnesota Statutes, Section 16C.05, Subd. 5. 16. This Agreement represents the entire Agreement between Cottage Grove and Newport and supersedes and cancels any and all prior agreements or proposals, written or oral, between the parties relating to the subject matter hereof, any amendments, addenda, alterations, or modifications to the terms and conditions of this Agreement shall be in writing and signed by both parties. 17. Cottage Grove and Newport agree to comply with the Americans With Disabilities Act and not to discriminate on the basis of disability in the admission or access to, or treatment of employment in its services, programs, or activities. Upon request, accommodation will be provided to allow individuals with disabilities to participate in all services, programs, and activities. Cottage Grove has designated coordinators to facilitate compliance with the Americans With Disabilities Act of 1990 (ADA), as required by Section 35.107 of the U.S. Department of Justice regulations, and to coordinate compliance with Section 504 of the Rehabilitation Act of 1973, as mandated by Section 8.53 of the U.S. Department of Housing and Urban Development regulations. For information contact the City Administrator, City of Cottage Grove, 7516 80 Street South, Cottage Grove, Minnesota 55016; telephone: 651 -458 -2800; TDD: 641 -458 -2880. Newport agrees to hold harmless and indemnify Cottage Grove from costs, including but not limited to damages, attorney's fees and staff time, in any action or proceeding brought alleging a violation of ADA by Newport. Cottage Grove agrees to hold harmless and indemnify Newport from costs, including but not limited to damages, attorney's fees and staff time, in any action or proceeding brought alleging a violation of ADA by Cottage Grove. 18. Both parties agree to comply with all applicable state, federal and local laws, rules and regulations. J IN WITNESS WHEREOF, the parties have set forth their hands on the day and year first written above. CITY OF COTTAGE GROVE By: Its Mayor Date By: Its City Administrator Date CT755- 4(JAE) 345959v.2 CITY OF NEWPORT By: Its Mayor Date By: Its City Administrator Date 5