HomeMy WebLinkAbout2010-06-16 PACKET 04.M.REQUEST OF CITY COUNCIL ACTION COUNCIL AGENDA
MEETING ITEM #
DATE 6/16/10
Community Development
ORIGINATING DEPARTMENT
Howard Blin
STAFF AUTHOR
COUNCIL ACTION REQUEST
Consider approving an agreement with Denmark Township to provide building inspections and
code enforcement services.
STAFF RECOMMENDATION
Approve the agreement.
BUDGET IMPLICATION $ $
BUDGETED AMOUNT ACTUAL AMOUNT FUNDING SOURCE
ADVISORY COMMISSION ACTION
❑ PLANNING
❑ PUBLIC SAFETY
❑ PUBLIC WORKS
❑ PARKS AND RECREATION
❑ HUMAN SERVICES /RIGHTS
❑ ECONOMIC DEV. AUTHORITY
SUPPORTING DOCUMENTS
DATE REVIEWED
APPROVED
DENIED
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® MEMO /LETTER: Memo from Howard Blin dated 6/11/10
❑ RESOLUTION:
❑ ORDINANCE:
❑ ENGINEERING RECOMMENDATION:
❑ LEGAL RECOMMENDATION:
® OTHER: Agreement
ADMINISTRATORS COMMENTS
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M. City Administrator Date
COUNCIL ACTION TAKEN: APPROVED ❑ DENIED ❑ OTHER
CITY OF COTTAGE GROVE
MINNESOTA
TO: Mayor and Members of the City Council
Ryan Schroeder, City Administrator
FROM: Howard Blin, Community Development Director
DATE: June 11, 2010
RE: Denmark Township Inspections Agreement
•••
The City Council is requested to approve an agreement with Denmark Township to provide
building inspections and code enforcement services.
Discussion
The Denmark Township Board approved the attached agreement on June7, 2010. Under the
agreement Cottage Grove will provide inspections services to the Township. The agreement is
similar to those in effect with the Cities of Newport and St. Paul Park in that Cottage Grove will
charge 25 percent of the building permit fees as compensation for work preformed. This
agreement with Denmark differs for those earlier contracts on the following items:
• Building permits will be issued by Cottage Grove. Applications for Denmark building
permits will be submitted at Cottage Grove City Hall.
® Cottage Grove will provide code enforcement services in Denmark. Newport and St.
Paul Park continue to perform their own code inspections. The Denmark agreement
stipulates that Cottage Grove will initiate code enforcement inspections only at the
direction of the Township Board.
•.
Approve the agreement.
BUILDING INSPECTION AND CODE
ENFORCEMENT SERVICES AGREEMENT
This Building Inspection and Code Enforcement Services Agreement ( "Agreement ") is
made this _ day of , 2010, by and between Denmark Township, a public corporation
(hereinafter referred to as 'Denmark "), and the City of Cottage Grove, a municipal corporation
(hereinafter referred to as "Cottage Grove ").
WHEREAS, Denmark 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
those services be performed by Cottage Grove on behalf of Denmark within the jurisdictional
boundaries of Denmark.
NOW, THEREFORE, in consideration of the mutual covenants and conditions set forth
below, the above parties hereto agree as follows:
1. Term. The term of this Agreement shall be from July 1, 2010 through July 1, 2011 (with
Cottage Grove commencing inspection services as of July 10, 2010), and shall automatically
renew for an additional one year term on July 1, 2011 and then again on July 1, 2012, unless
either party to the Agreement provides written notice to the other party at least 90 days prior to
the end of the then current term of its intent to terminate this Agreement at the end of the term.
This Agreement may also be terminated as provided in Section 9 of this Agreement
2. Services For the entire term of this Agreement, Cottage Grove shall provide Denmark with the
following services, on behalf of Denmark and at the direction of the liaison appointed by
Denmark to work with Cottage Grove for the purposes of this Agreement:
a. Perform all duties necessary to review, conduct inspections, and issue building permits
within Denmark in accordance with the Minnesota State Building Code and the
Denmark Township Development Code (`Denmark Code ");
b. Perform all duties necessary to enforce building codes within Denmark as needed;
c. Where necessary, the Cottage Grove Fire Marshal will conduct inspections for
compliance with fire codes;
d. Conduct property inspections for structural integrity for purposes of exercising eminent
domain powers or protection of life;
e. Review of building plans, including ensuring conformance with the Denmark Code;
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f. Issue building permits (plumbing & mechanical included);
g. Issue driveway permits in accordance with applicable Denmark ordinances and policies;
h. Prepare and submit all reports required by the State of Minnesota or any state agency
related to the administration and enforcement of building codes;
i. Prepare and submit to Denmark an annual written report of work completed for
Denmark pursuant to this Agreement;
j. Provide to Denmark copies of all permits issued and inspections made on a monthly
basis;
k. As directed by the Denmark Town Board, conduct property maintenance inspections to
ensure compliance with the Denmark Code;
1. Collect all fees for issuing building permits and conducting inspections, and provide an
accounting to Denmark of all such fees each month; and
m. Perform clerical and other office duties as may be required related to performing
building inspections and reviewing building permits.
3. Valuations and Fees Valuations related to building permit applications shall be determined by
Cottage Grove and shall be calculated by multiplying the square foot area of the proposed
structure times the building valuation factor as published annually by the Building Codes and
Standards Division of the State of Minnesota Department of Administration. The building
permit and HVAC fees shall be those listed in the 1997 edition of the Uniform Building Code
which are attached hereto as Exhibit A and are incorporated herein by reference. All other
permit fees shall be approved by Denmark.
4. Consultation Cottage Grove shall consult with Denmark concerning its usual method of
conducting inspections, plan reviews, and related inspection and enforcement activities and will
follow those methods and procedures to the extent reasonably possible and in a manner which is
consistent with the Denmark Code and the building code. Cottage Grove shall confer with
Denmark staff regarding interpretation of the Denmark Code. Denmark shall have a duty to
inform Cottage Grove of any and all updates or changes to the Denmark Code. Cottage Grove
will also abide by all land use decisions of Washington County which relate to the exercise of
building plan reviews and inspections to the extent applicable.
5. Office Hours Cottage Grove is not required to maintain office hours at Denmark's Town Hall.
Building permits for Denmark will be issued at the Cottage Grove City Hall. Meetings required
or associated with carrying out the duties set out in this Agreement shall be held at the Cottage
Grove City Hall.
6. Payment Cottage Grove shall assume the expense of performing the inspections and code
enforcement services provided for in this Agreement and shall be paid for those services
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through the retention of a percentage of the fees paid by applicants for building permits and
inspections performed pursuant to this Agreement within Denmark.
7. Collection and Retention of Fees Applications for building permits shall be submitted directly
to Cottage Grove. Cottage Grove will collect all fees related to the applications submitted to it
from Denmark, including State required surcharges. On a monthly basis, Cottage Grove will pay
to Denmark seventy -five percent (75 %) of all fees it collected from Denmark and shall retain
the remaining twenty -five percent (25 %) as payment for the services it provides under this
Agreement. Cottage Grove will pay the State of Minnesota for all state surcharge fees collected
as required by law from the amounts it collects.
8. Additional Services Denmark may request Cottage Grove provide it services in addition to
those contemplated and required to be performed under this Agreement. Any such request for
additional services shall be submitted to Cottage Grove in writing. If Cottage Grove agrees to
provide the additional requested services, Denmark shall pay Cottage Grove at the rate of $60
per hour for services provided by the Cottage Grove Chief Building Official and $45 per hour
for services provided by other Cottage Grove Building Inspectors. Denmark shall also be
responsible for paying Cottage Grove for the actual expense incurred by its inspectors to
provide the requested additional service. These additional fees will be billed to Denmark on a
time and material basis each month in which the additional services are provided.
a. Additional Enforcement Services Enforcement is part of the services Cottage Grove is to
provide Denmark trader this Agreement and for which Cottage Grove is paid through the
retained fees. However, at the point where the Denmark attorney initiates a legal action
in district court to enforce the Denmark Code, the services Cottage Grove thereafter
provides in furtherance of that enforcement action shall be considered additional services
and shall be billed to Denmark at the hourly rates provided herein for such additional
services until such time as a final decision has been issued by the courts or the matter is
otherwise resolved. Cottage Grove shall provide the additional enforcement services only
in consultation with Denmark or its attorney.
9. Termination This Agreement shall terminate as follows:
a. Upon the expiration of 90 days after delivery of a written notice of termination to the
other party; or
b. At any time, upon written agreement of the parties; or
c. In any event on July 1, 2013.
10. Indemnification Cottage Grove agrees to defend, indemnify and hold harmless Denmark, and
its officials, agents and employees from and against: all claims, actions, damages, losses and
expenses, including attorneys fees, 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 caused in whole or in part by an alleged negligent act or omission or willful
misconduct of Cottage Grove. Denmark agrees to defend, indemnify and hold harmless Cottage
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Grove, and its officials, agents and employees from and against all claims, actions, damages,
losses and expenses, including attorneys' fees, arising out of or resulting from Denmark's
performance of the duties required under this Agreement, provided that any such claim, action,
damage, loss or expense is caused in whole or in part by an alleged negligent act or omission or
willful misconduct of Denmark This provision shall not be construed as a waiver by either
party of any defenses, immunities or limitations on liability to which they are entitled, under
Minnesota Statues, Chapter 466 or otherwise.
11. Insurance Cottage Grove shall carry liability insurance in the amount of at least $1,500,000.
Denmark shall be named as an additional insured on Cottage Grove's policy and Cottage Grove
shall provide Denmark a certificate of said insurance. 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 Denmark. A policy issued by the
League of Minnesota Cities Insurance Trust shall be deemed acceptable insurance coverage for
the purposes of this Agreement so long as it provides both liability and workers' compensation
coverages.
12. Service Contract This is a service contract. The parties do not intend to create, and nothing
herein shall be construed as creating, a joint powers agreement, joint venture, or joint enterprise.
However, to the extent a court of competent jurisdiction may find such a relationship exists,
Cottage Grove and Denmark shall be considered a single governmental entity as provided in
Minnesota Statutes, section 471.59, subdivision la for the purposes of determining total
liability. The limits of liability for Cottage Grove and Denmark shall not be added together to
determine the maximum amount of liability for either party.
13. Independent Contractor Cottage Grove is to be and shall remain at all times an independent
contractor with respect to all services performed under this Agreement. Cottage Grove
represents that it has, or will secure at its own expense, all personnel and equipment required in
performing services under this Agreement. Any and all personnel of Cottage Grove engaged in
the performance of any work or services required by Cottage Grove under this Agreement shall
be considered employees of Cottage Grove and shall not be considered employees of Denmark.
Any and all claims that may arise under the Workers' Compensation Act of the State of
Minnesota by Cottage Grove personnel while performing services under this Agreement, and
any and all other claims whatsoever that may arise out of the personnel's employment or alleged
employment with Cottage Grove including, without limitation, claims of discrimination against
Cottage Grove, its officers, agents contracts or employees shall in no way be the responsibility
of Denmark; and Cottage Grove shall defend, indemnify and hold Denmark, 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
Denmark, including, without limitation, tenure rights, medical and hospital care, sick and
vacation leave, Workers' Compensations, Unemployment Compensation, disability, severance
pay, or PERA. 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.
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14. Retention of Government Records Cottage Grove shall retain all government records received
or created by it in the performance of its services under this Agreement. Cottage Grove shall
provide for the safe storage of the records during the entire term of this Agreement. Any
Denmark government records held by Cottage Grove that become subject to destruction
pursuant to Denmark's records retention schedule may either be destroyed by Cottage Grove at
Denmark's direction or transferred to Denmark for destruction. For the purposes of this
Agreement, the term "government records" shall have the meaning given it in Minnesota
Statutes, section 138.17, subdivision l(b)(1). Cottage Grove shall transfer to Denmark all
records held by it for Denmark at the termination of this Agreement.
15. Examination of Records The books, records, documents, and accounting procedures of Cottage
Grove relevant to this Agreement, are subject to examination by Denmark and either the
legislative or state auditor as appropriate, pursuant to Minnesota Statutes, section 16C.05,
subdivision 5.
16. Data Practices Cottage Grove shall administer any data on individuals it may receive in the
course of performing its duties under this Agreement consistent with the provisions of the
Minnesota Government Data Practices Act (Minn. Star. Chap. 13).
17. Entire Agreement This Agreement represents the entire Agreement between Cottage Grove
and Denmark 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 or conditions of this Agreement must be in writing and
signed by both parties.
18. Leaai Compliance Both parties agree to comply with all applicable state, federal and local
laws, rules and regulations in the performance of their duties under this Agreement.
19. No Waiver The failure of either party to insist upon the strict and prompt performance of the
terns, covenants, or agreements, and conditions contained herein by the other party shall not
constitute or be construed as a waiver or relinquishment of any party's right thereafter to enforce
any such term, covenant agreement or condition, and the same shall continue in force and effect.
20. Provisions Severable The provisions of this Agreement shall be severable so that the
unenforceability or invalidity of any provision or provisions of this Agreement shall not render
any other provision or provisions unenforceable or invalid. If for any reason this Agreement or
any provision hereof, is riled invalid, in whole or in part, such decision shall not affect the
validity of the remaining portions of the Agreement.
21. Third Parties This Agreement does not confer any rights upon any third parties or parties who
are not signatories to this Agreement.
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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
DENMARK TOWNSHIP
By:
Its Chairperson
Date
Bv:
Its Clerk- Treasurer
Date
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EXHIBIT A
Fees Under 1997 UBC
(attached hereto)
369348v3 TRY DE325 -13 A -1