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01/19/2016 - City Council Regular AGENDA EAGAN CITY COUNCIL EAGAN MUNICIPAL CENTER BUILDING JANUARY 19, 2016 6:30 P.M. I. ROLL CALL AND PLEDGE OF ALLEGIANCE II. ADOPT AGENDA III. RECOGNITIONS AND PRESENTATIONS IV. CONSENT AGENDA (Consent items are acted on with one motion unless a request is made for an item to be pulled for discussion) A. APPROVE MINUTES B. PERSONNEL ITEMS C. APPROVE Check Registers D. APPROVE Contracts E. APPROVE Plans and Specifications for Contract 16-05 Fire Station One Project, and Authorize Advertisement for Bid Opening February 16, 2016 F. APPROVE Exempt Permit for The Open Door to hold a raffle on March 3, 2016 at St. John Neumann Catholic Church G. APPROVE Final Planned Development and Final Plat for Central Park Commons Second Addition H. APPROVE Final Plat for Epstein Addition I. APPROVE Plans & Specifications for Contract 16-04 Central Maintenance Facility Renovation, and Authorize Advertisement for a Bid Opening on February 18, 2016 J. APPROVE Agreement with Oak Leaf Energy Partners for Community Solar Garden Subscription K. RECEIVE Petition to Vacate Public Drainage & Utility Easements, Lot 1 Block 1 Gift of Mary and schedule Public Hearing for February 16, 2016 L. APPROVE Invoice Cloud service agreements for online payments and presentment for Utility Bills V. PUBLIC HEARINGS A. PROJECT 1193, Denmark Avenue, Timbershore Additions, Pilot Knob Heights Additions Street Improvements B. PROJECT 1142, Nicols Road (Silver Bell Road to 1,235’ North) Street Improvements C. PROJECT 1202, Eagan Business Commons (Commers Drive) Street Improvements D. PROJECT 1194, Whispering Woods 9th, 11th - 13th Additions Street Improvements E. PROJECT 1195, Oslund Timberline/McCarthy Ridge Street Improvements VI. CITY ORGANIZATIONAL BUSINESS A. ACTING MAYOR B. OFFICIAL LEGAL NEWSPAPER C. CITY DEPOSITORIES D. CITY COUNCIL MEETING SCHEDULE E. COUNCIL MEETING PROCEDURES F. STANDING COMMITTEE APPOINTMENTS AND REPRESENTATIVE APPOINTMENTS VII. OLD BUSINESS VIII. NEW BUSINESS IX. LEGISLATIVE / INTERGOVERNMENTAL AFFAIRS UPDATE X. ECONOMIC DEVELOPMENT AUTHORITY A. CALL TO ORDER B. ADOPT AGENDA C. CONSENT AGENDA 1. APPROVE EDA Minutes D. EDA ORGANIZATIONAL BUSINESS E. OLD BUSINESS F. NEW BUSINESS G. OTHER BUSINESS H. ADJOURN XI. ADMINISTRATIVE AGENDA A. City Attorney B. City Council Comments C. City Administrator D. Director of Public Works E. Director of Community Development XII. VISITORS TO BE HEARD (for those persons not on the agenda) XIII. CLOSED SESSION XIV. ADJOURNMENT *City of Ema TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS FROM: CITY ADMINISTRATOR OSBERG DATE: JANUARY 15, 2016 SUBJECT: AGENDA INFORMATION FOR JANUARY 19, 2016 CITY COUNCIL MEETING ADOPT AGENDA After approval is given to the January 19, 2016 City Council agenda, the following items are in order for consideration. Agenda Information Memo January 19, 2016 Eagan City Council Meeting The following items referred to as consent items require one (1) motion by the City Council. If the City Council wishes to discuss any of the items in further detail, those items should be removed from the Consent Agenda and placed under Old or New Business unless the discussion required is brief. A. Approve Minutes Action To Be Considered: To approve the minutes of January 5, 2016 regular City Council meeting and January 12, 2016 Special City Council meeting as presented or modified. Attachments: (2) CA -1 January 5, 2016 Minutes CA -2 January 12, 2016 Minutes MINUTES OF A REGULAR MEETING OF THE EAGAN CITY COUNCIL Eagan, Minnesota JANUARY 5, 2016 A Listening Session was held at 6:00 p.m. prior to the regular City Council meeting. Present were Mayor Maguire and Councilmembers Bakken, Fields, and Hansen. Councilmember Tilley was absent. Mike Wisniewski addressed the Council regarding an ordinance amendment to allow potbellied pigs on residentially zoned properties. The Council directed further research on the matter to be brought back to a future Council workshop. Sheryl Burkhardt addressed the Council regarding potentially installing a bus stop shelter on Duckwood Drive near the Wal-Mart store. The matter was directed to the Council's Public Works Committee for further review. A regular meeting of the Eagan City Council was held on Tuesday, January 5, 2016 at 6:30 p.m. at the Eagan Municipal Center. Present were Mayor Maguire and Councilmembers Bakken, Fields, Hansen and Tilley. Also present were City Administrator Osberg, Assistant City Administrator Miller, Finance Director Pepper, Director of Communications Garrison, Acting Parks & Recreation Director Flewellen, Director of Community Development Hohenstein, City Planner Ridley, Director of Public Works Matthys, and Executive Assistant Stevenson. AGENDA Councilmember Tilley moved, Councilmember Hansen seconded a motion to approve the agenda as presented. Aye:5 Nay:0 RECOGNITIONS AND PRESENTATION There were no recognitions and presentations to be heard. CONSENT AGENDA Councilmember Tilley moved, Councilmember Hansen seconded a motion to approve the Consent Agenda as presented: Aye: 5 Nay: 0 Councilmember Fields pulled Item H. for further comment. Councilmember Hansen pulled Item U. to acknowledge the donation from the J.A. Wedum Foundation in the amount of $5,000 for the 1914 Town Hall project. A. It was recommended to approve the minutes of December 15, 2015 regular City Council meeting as presented or modified. B. Personnel Items: 1. It was recommended to approve the hiring of Police Officer Vesel. 2. It was recommended to recognize the resignation of Officer Robbe Waller and authorize the replacement of the vacancy created. City Council Meeting Minutes January 5, 2016 2 page 3. It was recommended to recognize the resignation of Brian Tonnancour, Property Maintenance Specialist and authorize the replacement. 4. It was recommended to authorize the classification of Melissa Timm, Part Time Regular Clerical (Union) Technician 3, to Full Time Regular, Non Union Confidential Human Resources Assistant -Office Support Specialist. 5. It was recommended the hiring of listed seasonal employees. C. It was recommended to ratify the check register dated December 11 and December 18, 2015 as presented. D. It was recommended to approve the ordinary and customary contracts with Lifeworks Services, Inc., and Certification of Termination of Covenants for property owned by ML CASA III, LP. E. It was recommended to approve a resolution and accept the amendment to the 2015 grant on behalf of the Dakota County Drug Task Force. F. It was recommended to approve a resolution to accept a donation from a citizen in the amount of $100 for the Fire Department and authorize the necessary budget adjustment. G. It was recommended to adopt a resolution modifying the Antennae lease/rent as part of the 2016 Fee Schedule. H. It was recommended to adopt a resolution approving a Premise Permit for the Miesville Lions to conduct lawful gambling at Wyatt's Twisted Americana, 1965 Cliff Lake Road, Suite 108. I. It was recommended to approve a one-year extension of the Conditional Use Permit and Variance approvals for property legally described at Lot 1, Block 1, Spectrum Business Park. J. It was recommended to approve a Final Planned Development upon approximately 4.6 acres located north of Lone Oak Road and west of Ames Crossing Road. K. It was recommended to authorize submittal of the City's FY 2016 Community Development Block Grant (CDBG) Application and adopt a Resolution approving the funding application request. L. It was recommended to approve the final payment for Contract 15-16 (Parl(cliff Water Main Improvements) in the amount of $157,699.30 to Kusske Construction Co. and accept the improvements for perpetual City maintenance subject to warranty provisions. M. It was recommended to approve the plans and specifications for Contract 16-06 (Pond EP - 2.01 Improvements) and authorize the advertisement for a bid opening to be held at 10:30 a.m., on Thursday, February 11, 2016. N. It was recommended to receive the bids for Contract 16-07 (South Water Treatment Plant, Generator Controls — Water System Improvement) and award the contract to PowerSecure in the amount of $78,756.00, and authorize the Mayor and City Clerk to execute all related documents. 0. It was recommended to receive the Draft Feasibility Report for Project 1197 (Cedar Grove 4t" Addition — Street Improvements) and schedule a public hearing to be held on February 2, 2016. P. It was recommended to receive the Draft Feasibility Report for Project 1198 (Blackhawk Forest/Centex Vermillion Additions — Street Improvements) and schedule a public hearing to be held on February 2, 2016. Q. It was recommended to receive the Draft Feasibility Report for Project 1199 (Red Oaks Woodlands 4t" Verdant Acres Additions — Street Improvements) and schedule a public hearing to be held on February 2, 2016. City Council Meeting Minutes January 5, 2016 3 page R. It was recommended to receive the Draft Feasibility Report for Project 1200 (Diffley Commons — Street Improvements) and schedule a public hearing to be held on February 2, 2016. S. It was recommended to receive the Draft Feasibility Report for Project 1201 (Kingswood Ponds — Street Improvements) and schedule a public hearing to be held on February 2, 2016. T. It was recommended to authorize the review of Right -of -Way management options for future consideration of potential Ordinance Amendments to City Code. U. It was recommended to approve a resolution to accept a $5,000 donation from the J.A. Wedum Foundation to be used toward the 1914 Town Hall Project. PUBLIC HEARINGS Project 1191, Eagandale Corporate Center Street Improvements Project 1203, Mallard Park 2nd Addition Street Improvements Project 1196, Cedar Grove 3rd Addition Street Improvements Project 1192, Johnny Cake Ridge Road (Cliff Road to Teal Cove) Street Improvements Public Works Director Matthys introduced the items noting as part of Eagan's Street Revitalization Project, the City evaluates streets within the community throughout their life cycle and implements appropriate maintenance strategies. Assistant City Engineer Nelson gave a combined staff report and presentation on the following street improvements: Project 1191— Eagandale Corporate Center, Project 1203 — Mallard Park 2nd Addition, Project 1196 —Cedar Grove 3rd Addition, and Project 1192 — Johnny Cake Ridge Road. Mayor Maguire opened the public hearings on street improvements for Project 1191— Eagandale Corporate Center, Project 1203 — Mallard Park 2nd Addition, Project 1196 — Cedar Grove 3rd Addition, and Project 1192 —Johnny Cake Ridge Road. There being no public comment, he turned the discussion back to the Council. Councilmember Fields moved, Councilmember Tilley seconded a motion to close the public hearing and approve Project 1191 (Eagandale Corporate Center), Project 1203 (Mallard Park 2nd Addition), Project 1196 (Cedar Grove 3rd Addition), and Project 1192 (Johnny Cake Ridge Road) as presented and authorize the preparation of detailed plans and specifications. Aye: 5 Nay: 0 Project 1193, Denmark Ave / Timbershore 1" — 4th Additions / Pilot Knob Heights 4th & 5th Additions Street Improvements Public Works Director Matthys noted on Project 1193, Denmark Avenue/Timbershore 15t -4th Additions/Pilot Knob Heights 4th & 5th Additions Street Improvements, the January 5th Public Hearing is being asked to be continued to January 19, 2016, to allow more time for neighborhood communication in consideration of the proposed traffic control signage modifications. Mayor Maguire opened the public hearings on street improvements for Project 1193, Denmark Ave / Timbershore 1st —4th Additions / Pilot Knob Heights 4th & 5th Additions Street Improvements. There being no public comment, he turned the discussion back to the Council. City Council Meeting Minutes January 5, 2016 4 page Councilmember Fields moved, Councilmember Tilley seconded a motion to continue the public hearing for Project 1193 (Denmark Avenue / Timbershore 15t -4th Additions/ Pilot Knob Heights— Street Improvements) to be held on January 19, 2016. Aye: 5 Nay: 0 OLD BUSINESS Conditional Use Permit— Keith Hurley/ Nitti Sanitation City Administrator Osberg introduced the item noting this item was before the City Council on November 2, 2015. The Council continued the item and requested that the applicant provide a more detailed Site Plan. City Planner Ridley gave a staff report noting a revised Site Plan was received and identifies items to be stored in each area, shows the public utilities and easements, as well as required access lanes. Ridley stated the revised conditions are appropriate, and is requesting the Council to approve a change to Condition #6, and the deletion of Condition #10 tying all changes to the revised Site Plan received on 12- 21-15. The applicant Keith Hurley was available for questions. Mayor Maguire opened the public comment. There being no public comment, he turned the discussion back to the Council. Councilmember Bakken moved, Councilmember Hansen seconded a motion to approve a Conditional Use Permit to allow the outdoor storage of empty roll -off containers, smaller trash containers, trucks, construction materials and equipment, and an above -ground fuel tank, on property located at 1725 Meadow View Road, subject to the revised conditions presented to the Council: Aye:5 Nay:0 Building address numbers shall be reviewed for consistency with the standards in Section 2.78 of City Code and new address number signs installed if necessary to achieve compliance. The applicant shall include an appropriately sized and designed, privately owned and maintained, storm sewer structure to effectively separate and capture debris and contaminants (including hydrocarbons and sediment) from the storm water from this site prior to entering the public storm system. Details shall be included in applicable plan sheet(s). The design and location of the structure shall be approved by the City Engineer, and the system shall be installed and operational byJune 1, 2016. 3. The property owner shall enter into a long-term stormwater management system maintenance agreement with the City, detailing the inspection and maintenance required to occur to ensure proper operation and performance of the permanent stormwater management system, in a form acceptable to the City Attorney. 4. The applicant shall provide the City Engineer as -built plans that demonstrate that all modified and constructed stormwater structures/facilities (including conveyance) conform to design and/or construction plans, as approved by the City. The applicant shall submit to the City Engineer certification that the stormwater management facilities have been installed in accord with the plans and specifications approved. This certification shall be provided by a Professional Engineer licensed in the State of Minnesota. City Council Meeting Minutes January 5, 2016 5 page 5. The owner shall maintain all paved surfaces in good condition. 6. Outdoor storage shall be consistent with the Site Plan dated 12-21-15. 7. The plan shall depict the site layout, all drainage and utility easements, the City access easement, and all public utilities on the site. 8. Outdoor storage shall not restrict access to any storm sewer or sanitary sewer manholes, or fire hydrants. Direct access to the fire hydrant must be maintained free of obstruction, and allow for a minimum 20' drive aisle for trucks. 9. Required vehicle parking shall be as designated on the approved revised Site Plan. Parking stall striping shall be repainted on the pavement, and the area shall be reserved for employee and visitor passenger vehicle parking. Outdoor storage of commercial vehicles associated with the occupants of the building shall not be located in the required parking areas. 10. All outside storage shall not exceed 8 feet in height, and shall be maintained in an orderly fashion. 11. A minimum 20' drive aisle adjacent to the north side of the building must be maintained clear of storage and parked vehicles. 12. The owner shall install mesh fabric screening on the existing fence by June 30, 2016. The mesh screening fabric shall be kept in premium condition and replacement of the mesh fabric cover shall occur immediately if it falls into disrepair. Details of the proposed mesh screen shall be provided to City staff prior to installation. 13. The landscaping shall be replanted and restored in accordance with the approved Landscape Plan. Restoration includes removal of weeds and replanting of dead or missing landscape plants. New landscaping shall be installed by June 30, 2016, and measures taken to establish a regular maintenance plan to ensure healthy plants over time. 14. The applicant/owner shall provide a $7,500 financial guarantee that will be released two years after the installation of the approved landscaping. 15. At least the northerly 20' of the 30' City access easement for the lift station shall be kept clear of vehicle parking and outdoor storage at all times as shown on the Site Plan dated December 21, 2015. 16. Cleaning of trash containers, roll -offs and other equipment shall be done inside the building and not outdoors. 17. Trash containers serving the occupants of the building shall be stored within the principal building as noted on the approved revised Site Plan. 18. The applicant shall obtain a mechanical permit for the fuel tank and required inspections to ensure compliance with the Fire Codes, including the installation of bollards if required by the Fire Code. The permit must be obtained and satisfactorily inspected prior to the release of the Conditional Use Permit for recording. 19. Outdoor storage areas shall be visually delineated by pavement markings to contain the storage and keep required easements and emergency access paths open and free of obstruction. 20. Engineering and Planning staff shall be provided an opportunity to review the proposed delineation of the pavement markings at least five (5) days prior to the actual application. 21. New pavement markings, including restriping of parking stalls, shall be completed by June 1, 2016. Such markings shall be repainted every two years, or as necessary to maintain the markings in good condition. City Council Meeting Minutes January 5, 2016 6 page Reconsider CityVue Commons Condition of Approval — At Home Apartments, LLC City Administrator Osberg introduced the item noting before the Council tonight is to approve a modification to the Conditions of Approval for the CityVue Commons Preliminary Planned Development. The applicant and the City agreed to conditions of approval (#78 and #79) that essentially held Lot 3 as a "proof of parking" option, if necessary, by restricting development of the lot until at least 15 months following the opening of the 10 -story apartment building. City Planner Ridley gave a staff report and provided a site map. Michael Cashill, the applicant, was available for questions. Mayor Maguire opened the public comment. There being no public comment, he turned the discussion back to the Council. The Council discussed the request. After further discussion the Council agreed they were open to considering an alternative approach to developing the second apartment building but considering a change to conditions #78 and #79 at this time was premature and would more appropriately be discussed as part of a Planned Development Amendment request. The Council asked the applicant if he wanted to withdraw the request. The applicant agreed and withdrew his request. NEW BUSINESS Planned Development Amendment and On -Sale and Sunday Liquor License — Cliff Lake Market Place / Troy Dewitt City Administrator Osberg introduced the item noting the Council is being asked to approve a Planned Development Amendment to allow on -sale liquor in conjunction with a Full Service restaurant and outdoor patio and the On -Sale and Sunday Liquor License for Twisted Brothers Eagan LLC doing business at Wyatt's Twisted Americana located at 1965 Cliff Lake Road, Suite 108. City Planner Ridley gave a staff report and provided a site map. The applicant, Troy DeWitt, was available for questions. The Council discussed the Planned Development Amendment and On -Sale and Sunday Liquor License. Mayor Maguire opened the public comment. There being no public comment, he turned the discussion back to the Council. Councilmember Bakken moved, Councilmember Fields seconded a motion to approve a Planned Development Amendment to allow on -sale liquor in conjunction with a Full Service restaurant and an outdoor patio located at 1965 Cliff Lake Road, subject to the following amended conditions: Aye: 5 Nay: 0 The Planned Development Amendment shall be recorded at the Dakota County Recorder's Office within 60 days of City Council approval. City Council Meeting Minutes January 5, 2016 7 page 2. On -sale liquor sales shall comply and be operated in accordance with all relevant state laws and regulations. 3. Signage shall be subject to City Sign Code requirements. 4. The applicant shall be required to obtain all necessary permits and comply with all Code requirements for an outdoor patio and the service of alcohol on the patio. 5. All improvements/fixtures and patio materials shall be consistent with the color scheme and architecture of the existing building, as reviewed and approved by the Community Development Department. Councilmember Bakken moved, Councilmember Fields seconded a motion to approve the On -Sale and Sunday Liquor License for Twisted Brothers Eagan LLC doing business as Wyatt's Twisted Americana located at 1965 Cliff Lake Road, Suite 108. Aye: 5 Nay: 0 Rezoning, Preliminary Planned Development and Preliminary Subdivision (Cedar Grove Parkway 51" Addition) — Affinity of Eagan, LLC / Robert Ketner City Administrator Osberg introduced the item noting before the Council are three actions to be considered: a rezoning from CGD, Cedar Grove District to PD, Planned Development of approximately 4.1 acres, a preliminary planned development for the development of a multi -story 173 -unit age - restricted apartment upon approximately 2.7 acres, and medium density residential housing for future development upon approximately 1.4 acres, and a preliminary subdivision to create two lots upon approximately 4.1 acres all located at Cedar Grove Parkway and Nicols Road, legally described as Outlot A, Paragon Addition. City Planner Ridley gave a staff report and provided a site map. The applicant, Keith James with Inland Group, touched on the potential development for this site and was available for questions. The Council discussed the Rezoning, Preliminary Planned Development and Preliminary Subdivision. Mayor Maguire opened the public comment. There being no public comment, he turned the discussion back to the Council. Councilmember Bakken moved, Councilmember Fields seconded a motion to approve a Rezoning from CGD, Cedar Grove District to PD, Planned Development of approximately 4.1 acres located at Cedar Grove Parkway and Nicols Road, legally described as Outlot A, Paragon Addition. Aye: 5 Nay: 0 Councilmember Bakken moved, Councilmember Fields seconded to approve a Preliminary Planned Development for the development of a multi -story 173 -unit age -restricted apartment upon approximately 2.7 acres and CGD, Cedar Grove District, designation upon approximately 1.4 acres upon the property legally described as Outlot A, Paragon Addition, subject to the amended conditions: Aye: Nay: 0 A Preliminary Planned Development Agreement shall be executed for the development prior to issuance of a building permit. The following plans are necessary for the Preliminary Planned Development Agreement: • Preliminary Site Plan City Council Meeting Minutes January 5, 2016 8 page • Preliminary Building Elevations • Preliminary Landscape Plan • Preliminary Site Lighting Plan • Preliminary Signage Plan 1A. Prior to construction of building on site 2 the owner shall be required to submit an application for Preliminary Planned Development approval under the City process. A Final Planned Development Agreement shall be executed for each of Sites 1 and 2 prior to issuance of a building permit for the site. The Final Planned Development Agreement shall be recorded against the property at the Dakota County Recorder's office. The following plans are necessary for each Final Planned Development Agreement: • Final Site Plan • Final Building Elevations • Final Landscaping Plan • Final Site Lighting Plan • Final Signage Plan The term of the Preliminary Planned Development shall be three (3) years. 4. The property shall be platted. Airport Noise 5. Within the one -mile Buffer of Airport Noise Policy Zone 4, a minimum 19 dBa reduction in interior noise levels shall be required for new residential construction, to be provided at the time of application for Building Permit. Lighting 6. Pole mounted light fixtures shall be not more than 20 feet high. 7. All site lighting shall be downcast and shielded. 8. Public street lights shall be installed, by the developer, along all adjacent public roadways, with locations consistent with the existing street lighting on the other sides of the streets. Building Materials/Architecture 9. The stucco siding shall be integrally colored, and more than one complementary color utilized to provide horizontal and vertical relief. 10. Painted concrete is not an acceptable material. The exterior materials shall be revised to provide the stucco finish in place of the painted concrete on the lower levels. 11. Final Building Elevations at the time of Final Planned Development shall include a data table showing the percentage of primary and secondary materials to demonstrate compliance with the City Code standards. 12. A materials palette shall be provided with the Final Planned Development identifying the specific products and color selections for different materials. 13. The building shall provide consistent interior window treatments for windows that are visible from a public street or open space. 14. Individual entrances for each unit at street level shall be incorporated into the design of the future townhome development on Lot 2. Signage 15. The monument sign shall be constructed of masonry materials to match the principal building. A detailed sign plan shall be provided at the time of Final Planned Development demonstrating consistency with City Code standards. City Council Meeting Minutes January 5, 2016 9 page 16. The monument sign shall be relocated to achieve the minimum 10' setback and avoid placement within the easement. 17. Any future building signage shall be subject to City Code standards. 18. Building address numbers shall be installed consistent with the provisions of Section 2.78 of City Code. Mechanical Equipment/Trash Storage 19. Trash storage shall be located within the garage building's garage area. Landscaping 20. The Final Landscape Plan shall be revised to increase the number of trees to provide the required 1 tree /500 s.f. ratio. The Landscape Plan graphic and schedule shall be reconciled to match. Proposed plant materials shall utilize more evergreen plantings. 21. The Final Landscape Plan shall provide for landscaping around the base of the monument sign. Grading/Topography/Erosion Control 22. The grading plan shall be modified so no slopes exceed 3:1. 23. A detailed grading, drainage, erosion, and sediment control plan shall be prepared in accordance with current City standards and codes prior to final subdivision approval. 24. All erosion/ sediment control plans submitted for development and grading permits shall be prepared by a designer who has received current Minnesota Department of Transportation (MNDOT) training, or approved equal training as determined by the City Engineer in designing stormwater pollution prevention plans. 25. All personnel responsible for the construction and management of erosion/ sediment control devices, and the establishment of vegetation for the development, shall have received Erosion/Sediment Control site management certification through the University of Minnesota, or approved equal training as determined by the City Engineer. 26. Erosion control measures shall be installed and maintained in accordance with City code and engineering standards. 27. All public and private streets, drainage systems, and utilities necessary to provide service to this development shall be designed and certified by a registered professional engineer in accordance with City adopted codes, engineering standards, guidelines, and policies. Utilities 28. This development shall provide hydrant spacing and locations in accordance with City Fire Department and Public Works standards. 29. Fiber To The Premise Conditions: A. The applicant shall install two vaults (at their expense), one on the north side of the property along the ROW on Eagan Outlets Parkway and one on the south side of the property along the ROW on Cedar Grove Parkway. The vault size shall be at least 48"x36"x30". From each vault, the applicant shall install a minimum of 2-4" conduits with minimal or long sweeping bends that runs to the buildings MDF (Main Distribution Frame) closet. B. From the buildings MDF closet, the applicant shall install a minimum of 2-4" conduits with minimal or long sweeping bends to all other IN (Intermediate Distribution Frame) closets throughout the building. City Council Meeting Minutes January 5, 2016 10 page C. In all units within the development, the applicant shall install at least a lgbps Ethernet (Cat5e/Cat6 or fiber optic) connection to all livable spaces (i.e. kitchen, bedrooms and living room) that terminates in the LDF/MDF closet. D. The applicant shall submit a detailed low -voltage and/or electrical plan as part of its building permit, in a form acceptable to staff, depicting compliance with condition C above. Prior to receiving the final Certificate of occupancy, the applicant shall submit a certification to City staff that the low -voltage and/or electrical plan was built as designed and in compliance with condition C above. E. The applicant must select a service provider to install and provide fiber optic cabling into the MDF for high speed communication services with either AccessEagan or another provider. If AccessEagan is selected, the applicant shall enter into a service agreement in a form acceptable to the City Attorney. 30. The restoration of any streets and/or boulevards damaged during construction activities shall be restored in a manner acceptable to the City Engineer. Streets/Access/Pedestrian Circulation 31. The developer shall perform turn lane and striping modifications on Eagan Outlets Parkway to accommodate the parking lot access location, in a manner acceptable to the City Engineer. 32. The developer shall extend the public trail along Cedar Grove Parkway, and sidewalk along River Valley Way, in a manner acceptable to the City Engineer. 33. The existing access to Nicols Road shall be removed and restored by the developer, in a manner acceptable to the City Engineer. 34. The applicant shall enter into a participation agreement with the City for maintenance of the trails adjacent to the site. 35. No construction equipment or vehicles shall use the parking garage during development of this site. 36. All perimeter construction fencing shall be installed a minimum of 5' behind the curb, or behind the trail/sidewalk if one is present. 37. All existing trails/sidewalks shall remain fully open to pedestrian traffic throughout construction, and any damage to those facilities shall be the responsibility of the development to repair and/or replace in a manner acceptable to the City Engineer. 38. No construction staging or construction activities shall occur in the right-of-way, and no lane or shoulder restrictions shall occur on any adjacent roadways without prior approval by the City Engineer. Easements/Permits/Right-of-Way 39. Landscaping trees shall be planted in the City right-of-way between the curb and trail along Cedar Grove Parkway, by the developer, in a manner acceptable to the City Forester, and consistent with the other developed areas along Cedar Grove Parkway. 40. The applicant shall enter into an encroachment agreement, in a form acceptable to the City Attorney, for any retaining walls within public easement. 41. All entrance monuments shall be located outside all drainage and utility easements. 42. The applicant shall enter into a participation agreement with the City for maintenance of the trails adjacent to the site, in a form acceptable to the City Attorney. 43. The applicant shall provide a landscape easement, and enter into a landscape agreement, in a form acceptable to the City Attorney, for the rehabilitation and maintenance of the landscaping and monument at the intersection of Nicols Road and Cedar Grove Parkway. City Council Meeting Minutes January 5, 2016 11 page Parks and Recreation 44. Park dedication shall be satisfied through a cash dedication. The cash park dedication for proposed Lot 1 will be payable at the time of final plat at the rates then in effect. The cash dedication for proposed Lot 2 will be payable at the time of building permit at the rates then in effect. 45. Trail dedication for proposed Lot 1 shall be fulfilled through construction of adjacent trails as shown on the development plans. 46. Future development of proposed Lot 2 shall be subject to cash dedication at the time of development at the rates then in effect. Councilmember Bakken moved, Councilmember Fields seconded a motion to approve a Preliminary Subdivision (Cedar Grove Parkway 5t" Addition) to create two lots upon approximately 4.1 acres located at Cedar Grove Parkway and Nicols Road, legally described as Outlot A, Paragon Addition, subject to the following conditions: Aye: 5 Nay: 0 Standard Conditions 1. The applicant shall comply with these standards conditions of plat approval as adopted by Council on July 1, 2014: Al, B1, C1, C2, C4, E1, F1, G1. 2. The property shall be platted. Airport Noise 3. Within the one -mile Buffer of Airport Noise Policy Zone 4, a minimum 19 dBa reduction in interior noise levels shall be required for new residential construction, to be provided at the time of application for Building Permit. Lighting 4. Pole mounted light fixtures shall be not more than 20 feet high. 5. All site lighting shall be downcast and shielded. 6. Public street lights shall be installed, by the developer, along all adjacent public roadways, with locations consistent with the existing street lighting on the other sides of the streets. Building Materials/Architecture 7. The stucco siding shall be integrally colored, and more than one complementary color utilized to provide horizontal and vertical relief. 8. Painted concrete is not an acceptable material. The exterior materials shall be revised to provide the stucco finish in place of the painted concrete on the lower levels. 9. Final Building Elevations at the time of Final Planned Development shall include a data table showing the percentage of primary and secondary materials to demonstrate compliance with the City Code standards. 10. A materials palette shall be provided with the Final Planned Development identifying the specific products and color selections for different materials. 11. The building shall provide consistent interior window treatments for windows that are visible from a public street or open space. 12. Individual entrances for each unit at street level shall be incorporated into the design of the future townhome development on Lot 2. City Council Meeting Minutes January 5, 2016 12 page Signage 13. The monument sign shall be constructed of masonry materials to match the principal building. A detailed sign plan shall be provided at the time of Final Planned Development demonstrating consistency with City Code standards. 14. The monument sign shall be relocated to achieve the minimum 10' setback and avoid placement within the easement. 15. Any future building signage shall be subject to City Code standards. 16. Building address numbers shall be installed consistent with the provisions of Section 2.78 of City Code. Mechanical Equipment/Trash Storage 17. Trash storage shall be located within the garage building's garage area. Landscaping 18. The Final Landscape Plan shall be revised to increase the number of trees to provide the required 1 tree /500 s.f. ratio. The Landscape Plan graphic and schedule shall be reconciled to match. Proposed plant materials shall utilize more evergreen plantings. 19. The Final Landscape Plan shall provide for landscaping around the base of the monument sign. Grading/Topography/Erosion Control 20. The grading plan shall be modified so no slopes exceed 3:1. 21. A detailed grading, drainage, erosion, and sediment control plan shall be prepared in accordance with current City standards and codes prior to final subdivision approval. 22. All erosion/ sediment control plans submitted for development and grading permits shall be prepared by a designer who has received current Minnesota Department of Transportation (MNDOT) training, or approved equal training as determined by the City Engineer in designing stormwater pollution prevention plans. 23. All personnel responsible for the construction and management of erosion/ sediment control devices, and the establishment of vegetation for the development, shall have received Erosion/Sediment Control site management certification through the University of Minnesota, or approved equal training as determined by the City Engineer. 24. Erosion control measures shall be installed and maintained in accordance with City code and engineering standards. 25. All public and private streets, drainage systems, and utilities necessary to provide service to this development shall be designed and certified by a registered professional engineer in accordance with City adopted codes, engineering standards, guidelines, and policies. Utilities 26. This development shall provide hydrant spacing and locations in accordance with City Fire Department and Public Works standards. 27. Fiber To The Premise Conditions: A. The applicant shall install two vaults (at their expense), one on the north side of the property along the ROW on Eagan Outlets Parkway and one on the south side of the property along the ROW on Cedar Grove Parkway. The vault size shall be at least 48"x36"x30". From each vault, the applicant shall install a minimum of 2-4" conduits City Council Meeting Minutes January 5, 2016 13 page with minimal or long sweeping bends that runs to the buildings MDF (Main Distribution Frame) closet. B. From the buildings MDF closet, the applicant shall install a minimum of 2-4" conduits with minimal or long sweeping bends to all other IDF (Intermediate Distribution Frame) closets throughout the building. C. In all units within the development, the applicant shall install at least a lgbps Ethernet (CatSe/Cath or fiber optic) connection to all livable spaces (i.e. kitchen, bedrooms and living room) that terminates in the LDF/MDF closet. D. The applicant shall submit a detailed low -voltage and/or electrical plan as part of its building permit, in a form acceptable to staff, depicting compliance with condition C above. Prior to receiving the final Certificate of occupancy, the applicant shall submit a certification to City staff that the low -voltage and/or electrical plan was built as designed and in compliance with condition C above. E. The applicant must select a service provider to install and provide fiber optic cabling into the MDF for high speed communication services with either AccessEagan or another provider. If AccessEagan is selected, the applicant shall enter into a service agreement in a form acceptable to the City Attorney. 28. The restoration of any streets and/or boulevards damaged during construction activities shall be restored in a manner acceptable to the City Engineer. Streets/Access/Pedestrian Circulation 29. The developer shall perform turn lane and striping modifications on Eagan Outlets Parkway to accommodate the parking lot access location, in a manner acceptable to the City Engineer. 30. The developer shall extend the public trail along Cedar Grove Parkway, and sidewalk along River Valley Way, in a manner acceptable to the City Engineer. 31. The existing access to Nicols Road shall be removed and restored by the developer, in a manner acceptable to the City Engineer. 32. The applicant shall enter into a participation agreement with the City, in a form acceptable to the City Attorney, for maintenance of the trails adjacent to the site. 33. No construction equipment or vehicles shall use the parking garage during development of this site. 34. All perimeter construction fencing shall be installed a minimum of 5' behind the curb, or behind the trail/sidewalk if one is present. 35. All existing trails/sidewalks shall remain fully open to pedestrian traffic throughout construction, and any damage to those facilities shall be the responsibility of the development to repair and/or replace in a manner acceptable to the City Engineer. 36. No construction staging or construction activities shall occur in the right-of-way, and no lane or shoulder restrictions shall occur on any adjacent roadways without prior approval by the City Engineer. Easements/Permits/Right-of-Way 37. Landscaping trees shall be planted in the City right-of-way between the curb and trail along Cedar Grove Parkway, by the developer, in a manner acceptable to the City Forester, and consistent with the other developed areas along Cedar Grove Parkway. 38. The applicant shall enter into an encroachment agreement, in a form acceptable to the City Attorney, for any retaining walls within public easement. 39. All entrance monuments shall be located outside all drainage and utility easements. City Council Meeting Minutes January 5, 2016 14 page 40. The applicant shall enter into a participation agreement with the City for maintenance of the trails adjacent to the site, in a form acceptable to the City Attorney. 41. The applicant shall provide a landscape easement, and enter into a landscape agreement, in a form acceptable to the City Attorney, for the rehabilitation and maintenance of the landscaping and monument at the intersection of Nicols Road and Cedar Grove Parkway. Parks and Recreation 42. Park dedication shall be satisfied through a cash dedication. The cash park dedication for proposed Lot 1 will be payable at the time of final plat at the rates then in effect. The cash dedication for proposed Lot 2 will be payable at the time of building permit at the rates then in effect. 43. Trail dedication for proposed Lot 1 shall be fulfilled through construction of adjacent trails as shown on the development plans. 44. Future development of proposed Lot 2 shall be subject to cash dedication at the time of development at the rates then in effect. Rezoning — Minnesota Autism Center / Ryan Companies Us, Inc Action / Dan Mueller City Administrator Osberg introduced the item noting the Council is being asked to approve a rezoning from CGD, Cedar Grove District, to PD, Planned Development, upon approximately 0.75 acres located at the southeast corner of Silverbell Road and Nicols Road. City Planner Ridley gave a staff report and provided a site map. Mayor Maguire opened the public comment. There being no public comment, he turned the discussion back to the Council. Councilmember Hansen moved, Councilmember Fields seconded a motion to approve a Rezoning from CGD, Cedar Grove District to PD, Planned Development, upon approximately 0.75 acres located at the southeast corner of Silverbell Road and Nicols Road. Aye: 5 Nay: 0 LEGISLATIVE/ INTERGOVERNMENTAL AFFAIRS UPDATE There was no legislative/intergovernmental affairs update. ADMINISTRATIVE AGENDA CITY COUNCIL Councilmember Hansen noted on Friday, January 8 there is an open house for the retirement of Beverly Miller from the Minnesota Valley Transit Authority at the Eagan Bus Garage from 1-4:00 p.m. VISITORS TO BE HEARD There were no visitors to be heard. City Council Meeting Minutes January 5, 2016 15 page ADJOURNMENT Councilmember Tilley moved, Councilmember Hansen seconded a motion to adjourn the meeting at 8:07 p.m. Aye: 5 Nay: 0 Date Mayor City Clerk MINUTES SPECIAL CITY COUNCIL MEETING JANUARY 12, 2016 5:30 P.M. EAGAN MUNICIPAL CENTER City Councilmembers present: Mayor Maguire, Bakken, Fields, and Hansen. Councilmember Tilley arrived at 6:28 p.m. City staff present: City Administrator Osberg, Assistant City Administrator Miller, Acting Parks and Recreation Director Flewellen, Communications Director Garrison, Director of Community Development Hohenstein, Public Works Director Matthys and Police Chief McDonald. ROLL CALL AND ADOPTION OF THE AGENDA Councilmember Hansen moved, Councilmember Bakken seconded a motion to adopt the agenda as presented. Aye:3 Nay:0 VISITORS TO BE HEARD There were no visitors to be heard. JOINT MEETING WITH EAGAN'S LEGISLATIVE DELEGATION / 2016 LEGISLATIVE PRIORITIES Mayor Maguire welcomed State Senator Carlson and State Representatives Atkins, Halverson, and Masin. It was noted that Senator Metzen was unable to attend. Members of the legislative delegation introduced themselves to the City Council. City Administrator Osberg noted it is the tradition of the City Council to meet with the legislative delegation at the first Council workshop in January. Osberg walked through the 2016 legislative priorities of the City of Eagan. The City Council and delegation discussed the legislative priorities for 2016. Mayor Maguire thanked the legislative delegation for attending the meeting and their service to the community. 2015 BUSINESS SURVEY RESULTS Communications Director Garrison introduced the item noting a survey of Eagan businesses was conducted in the fall over a two month period. Eagan businesses were invited in writing to access the web link to take the confidential survey. Every business was given an opportunity to fill out the questionnaire and the results reflect those who chose to respond. As such, the data provides a snap shot of business conditions and opinions from a good cross section of industry sectors and size of companies. Garrison provided a presentation summarizing the survey results and was available for questions. The City Council offered their observations and feedback with regard to the survey results. The Council took a 10 minute break. Special City Council Minutes January 12, 2016 Page 2 REVIEW OF EAGAN FORWARD DRAFT PLAN Assistant City Administrator Miller introduced the item noting the Council is being encouraged to provide final feedback on the draft plan, and are being asked to accept and support the strategies set forth in the plan. Miller noted Director of Communications Garrison will provide an update on the January 28th roll out event. The City Council offered their observations and recommendations with regard to the draft plan. Garrison provided an update on the January 28th roll out event. Miller noted in the upcoming months the community will have the opportunity to form study action groups to further research the recommended strategies and actions of the Eagan Forward. There was no other business to be heard. OTHER BUSINESS ADJOURNMENT Councilmember Tilley moved, Councilmember Fields seconded a motion to adjourn at 8:17 p.m. Aye:S Nay:O Date Mayor City Clerk Agenda Information Memo January 19, 2016 Eagan City Council Meeting CONSENT AGENDA B. Personnel Items ITEM 1. Action To Be Considered: Approve the proposed 2016 non-union Compensation Plans for all employees who are not classified as a “regular part time” or “regular full time” employee. Facts: Typically, this includes but may not be limited to those with an employment status of the following; part time recurring (non benefit eligible), temporary and seasonal non-collective bargaining employees, and/or who average less than 30 hours per week. These employees typically work within the Parks and Recreation Department, including the City’s enterprise facilities; Eagan Community & Fitness Center, Civic Arena, Cascade Bay. Highlights include increases up to 2% for Level A through Level C, effective on or about January 1, 2016, to coincide with the pay period. The Compensation Plan will include adjustments to account for the mid-year change in the State Minimum wage from 9.00 per hour to 9.50 per hour effective August 1, 2016. ITEM 2. Action To Be Considered: Accept the resignation of Officer Jody Douglas and authorize replacement of the vacancy created. Facts:  Jody Douglas was hired June 1, 2015. ITEM 3. Action To Be Considered: Authorize the hiring of Ben Boening, Parks Maintenance Supervisor. Facts:  With the promotion of Paul Graham to Parks Superintendent, the Parks Maintenance Supervisor position is vacant.  Mr. Boening is being promoted from Parks Maintenance Worker to Parks Maintenance Supervisor. Staff wishes Council to authorize his replacement. ITEM 4. Action To Be Considered: Authorize the hiring of a Dale Stein to Full Time Fire Captain and authorize his replacement. Facts:  Dale Stein was temporarily reclassified to fulfill the Fire Captain duties under the SAFER Grant due to a vacancy in April 2015.  With the SAFER Grant expiring and the 2016 budget approval of a Full Time Regular Fire Captain, an internal recruitment effort was launched to seek out full time candidates for Fire Captain.  Dale Stein and other candidates were interviewed for the position. ITEM 5. Action To Be Considered: Authorize the hiring of the following seasonal employees: Lynda Speikers, Preschool Assistant Christopher Russell, Engineering Intern Dillon Weiman, Building Attendant 3 Wayne St. Martin, Park Laborer ITEM 6. Action To Be Considered: Authorize the hiring of the following Paid on-call Fire Fighter: Jennifer Wilkie Agenda Information Memo January 19, 2016 Eagan City Council Meeting CONSENT AGENDA C. Ratify Check Registers Action To Be Considered: To ratify the check register dated December 24, 2015 and January 8, 2016 as presented. No check register was run on December 31, 2015. Attachments: (2) CC -1 Check register dated December 24, 2015 CC -2 Check register dated January 8, 2016 Agenda Information Memo January 19, 2016, Eagan City Council Meeting CONSENT AGENDA D. Approve Contracts Action To Be Considered: To approve the ordinary and customary contract listed below. Facts: ➢ The contract listed below is in order for Council approval. Following approval, the contract will be electronically executed by the Mayor and City Clerk. Contracts to be approved: ➢ Joint Powers Agreement with Dakota County for Sentence to Service Program Work Crew services at park facilities. Attachments: (0) The contract is available from the City Clerk's Office. Agenda Information Memo January 19, 2016 Eagan City Council Meeting CONSENT AGENDA E. APPROVE Plans and Specifications for Contract 16-05 Fire Station One Project, and Authorize Advertisement for Bid Opening February 16, 2016. Action To Be Considered: APPROVE Plans and Specifications for Contract 16-05 Fire Station One Project, and Authorize Advertisement for Bid Opening February 16, 2016. Facts: ➢ The long term plan for fire services for Eagan is to consolidate fire stations from a total of five stations to three stations. ➢ Part of the consolidation plans include building a new Fire Station One to replace the existing Fire Station One that was constructed in 1963. o Once the new Station One is complete, Fire Stations One, Three and Five would be consolidated in to the new centrally located fire station. o The location for the new fire station is at the southeast corner of the intersections of Blackhawk Road and Diffley Road on four acres of land owned by the City of Eagan. ➢ In 2015 the City Council Authorized hiring CNH Architects firm to prepare plans and specifications for the new Fire Station One and to serve as the architect for the project in cooperation with City staff. ➢ CNH has completed the plans and specifications which have been reviewed by the City Attorney. ➢ We are requesting to have the plans/specs approved and authorization to advertise for bids for this project. ➢ Bid opening would be on February 16th, 2016 at 2pm at Eagan City Hall. ➢ The proposed total budget for this project is estimated at $5,923,159. This includes hard and soft costs. Attachments: (0) Agenda Information Memo January 19, 2016, Eagan City Council Meeting CONSENT AGENDA Approve Exempt Permit for The Open Door to hold a raffle on March 3, 2016 at St. John Neumann Catholic Church Action To Be Considered: To adopt a resolution approving an Exempt Permit for The Open Door to conduct a raffle on March 3, 2016 at St. John Neumann Catholic Church, 4030 Pilot Knob Road. Facts: ➢ The Open Door has applied for an Exempt Permit with the Gambling Control Board to hold a raffle as listed above. ➢ All requirements for the application have been met and staff deems it in order for approval. Attachments: (1) CF -1 Resolution RESOLUTION NO. CITY OF EAGAN APPLICATION FOR EXEMPT PERMIT THE OPEN DOOR WHERAS, The Open Door has applied for an Exempt Permit to conduct a raffle on March 3, 2016; and WHEREAS, the Eagan Police Department has reviewed the application and has not identified any reason to deny; and NOW, THEREFORE, BE IT RESOLVED that the City Council of Eagan, Dakota County, Minnesota, hereby approved the Exempt Permit for The Open Door to conduct a raffle on March 3, 2016 at 4030 Pilot Knob Road. Motion by: Seconded by: Those in favor: Those against: Date: January 19, 2016 CERTIFICATION CITY OF EAGAN CITY COUNCIL By: Its Mayor Attest: Its Clerk I, Christina M. Scipioni, Cleric of the City of Eagan, Dakota County, Minnesota, do hereby certify that the foregoing resolution was duly passed and adopted by the City Council of the City of Eagan, Dakota County, Minnesota, in a regular meeting thereof assembled this 19"' day of January, 2016. City Clerk Agenda Information Memo January 19, 2016, Eagan City Council Meeting CONSENT AGENDA G. Approve Final Plat and Final Planned Development for Central Park Commons 2nd Addition - CSM Corporation Actions To Be Considered: To approve a Final Plat (Central Park Commons 2nd Addition) for one lot upon approximately 3.54 acres located south of Central Parkway and west of Pilot Knob Road. To approve a Final Planned Development for a two-story approximately 43,000 s.f. medical office clinic upon Lot 1, Block 1, Central Park Commons 2nd Addition. Facts: ➢ The Preliminary Subdivision and Preliminary Planned Development for Central Park Commons were approved by the City on February 3, 2015. ➢ The preliminary development approval consisted of a multiple building commercial development containing retail, service, restaurant, and office uses upon approximately 47 acres located on the northwest corner of Pilot Knob and Yankee Doodle Roads. ➢ Central Park Commons 2nd Addition is a replat of Outlot E from the initial Central Park Commons subdivision. ➢ The final development plans and plat have been reviewed by staff and are consistent with the preliminary approvals for a medical office building. ➢ The Final Plat has been reviewed by staff and the Dakota County Surveyor, and has been approved for mylars. ➢ All documents and agreements are anticipated to be in order for execution at the City Council meeting on January 19, 2016. Issues: None Attachments: (2) CG -1 Location Map CG -2 Final Plat Aoft 0 U- CD E C� a. Z CV LO LO alo -ra- 06 0 m 9 Q CL W r- CD CL (L C'4 0 2 M m m :t rEgLQ 9 C:) v o LO CD u o cr U) (L 3AV)4�JVVqND(I x UR Y- cA > 5 i1i8noO NVV48AHS 0 0 W K. CO 3ARJClIV83lM]J nlff, 10 IV A(M -P OAA w Eq 03 ❑ FH IE IFl �cl o�O c LEIC- E [a W qVIN001- F _®� o 23 9 AD ANV I ON 0 EO 0 :Z�❑ (3 EB O C�)C CIVOU NVVqHOVOO 'd-RVVQHOVOO- o I RI 1 _ ss uj cc Yi RSI ial OTES HWON sVNOMO I RI 1 _ ss Yi RSI ial OTES HWON sVNOMO RI 1 _ ss Agenda Information Memo January 19, 2016, Eagan City Council Meeting CONSENT AGENDA H. Approve Final Plat (Epstein Addition) — Epstein Enterprises, LLC Actions To Be Considered: To approve a Final Plat (Epstein Addition) for one lot consisting of approximately 0.5 acres located at 3170 Pilot Knob Road, east of Pilot Knob Road and north of Jurdy Road. Facts: ➢ The proposed plat consists of one parcel and plats an unplatted parcel along on existing boundaries. ➢ The plat dedicates additional right-of-way for Pilot Knob Road, as identified by Dakota County. ➢ The parcel previously contained a house and detached garage built in 1996-97. Fire destroyed much of the house several years ago and the principal structure has since been removed. ➢ The property is now being sold, and the buyer intends to rebuild a single-family home on the property. City Code requires property to be platted before issuance of a building permit. ➢ The Final Plat has been reviewed by staff and the Dakota County Surveyor, and has been approved for mylars. Issues: None Attachments: (2) CH -1 Location Map CH -2 Final Plat r� r•1 Li WIG ■ a.. a� �.a. .p -Y --ROAD Gd Cd Uo u- o C WIG a.. a� �.a. .p -Y --ROAD Uo u- o LM k ne7 H N c o a e �aaAG"•a 00 f0 �.oa� N N y C 000 oo �oaod WIG a� �.a. .p -Y --ROAD Uo u- o 0 ne7 Z N c o � U f0 N N y C O N N C C C U U m Y =g d a m aC U W t J oo o o LO 10 r,as Em w T1500 NVMIDHS 0 BNVI i WIG Ell .- �,. -"4 �.a. .p -Y --ROAD ne7 W 10 r,as w T1500 NVMIDHS BNVI JP�y � N J O '210 U_I S0131HS T.--�,_ _ . _,. ...,,. _ :_ ._ .._ __�_._. ,, ,,--��adOa 80N1i1011d)•<�£�=ON�H'd'S � ...:.._.�_ ,__ Q }d 76 W V! U � t 3NVl N21V1000M Pl � tt 3N2i0 300121 3NId � Ell g m E!^ _'ono - clog - Xe I T_° I •J� - if a - o = �c Ec o mu cu uFE- o 0 oEi anH _ ZC ,' `h1.IZ,90.009 I� £9'66 I � aN Ie �, I Na n E , W u = uE I o )a wo � w.T v a o� _____________ u 3 Z90.00N `o E9'66 -- ( VMJ qMi 101id) M b2'OWHVS'J a l s 29.66 --- Mr o VZ.90.00N ? e 351✓ E OC =s� :?iv;y li?ild� �qfr — — — — — — — — — — — — — — — — — — — m z Agenda Information Memo January 19, 2016 Eagan City Council Meeting *0&I_:_[0ItffeT ► O Contract 16-04, Central Maintenance Facility Renovation Action To Be Considered: Approve the plans and specifications for Contract 16-04 (Central Maintenance Facility Renovation) and authorize the advertisement for a bid opening to be held at 10:00 a.m., on Thursday, February 18, 2016, in the Council Chambers at City Hall (3830 Pilot Knob Road). Facts: ➢ On June 9, 2015, at a Special Council workshop the City Council directed that the Central Maintenance Facility expansion move forward to the design stage of the project. ➢ Contract 16-04 provides for Phase I of a Central Maintenance Facility expansion and consists of additional heated vehicle storage and equipment bays, enlarged and updated service bays, as well as a salt storage shed. ➢ A contract was executed with Oertel Architects for services to complete the plans and specifications and to serve as the architect for the project in cooperation with City staff. ➢ The Architect's estimate for the proposed improvements is $5,828,500 which will be funded by the Facilities Capital ($4,669,000), Utility ($785,000) and Water Quality ($374,500) Funds. ➢ A material variance for the proposed salt/sand storage structure, along with the proposed brine production building has been approved. ➢ Project plans and specifications have been completed and are being presented to the City Council for its approval and authorization for the advertisement of bids. An advertisement will be published in the legal newspaper and appropriate trade publication informing contractors of the bid. Attachments (0) Agenda Information Memo January 19, 2016 Eagan City Council Meeting CONSENT AGENDA J. Oak Leaf Energy Partners Solar Garden Subscription Action To Be Considered: Approve the agreement with Oak Leaf Energy Partners for a Community Solar Garden Subscription in a form acceptable to the City Attorney and authorize the Mayor and City Clerk to execute all related documents. Facts: ➢ Oak Leaf Energy Partners (2645 E. 2nd Avenue, Suite 206, Denver, CO) has invited the City of Eagan to participate in a community solar gardens program proposed to be located on the Metropolitan Council's Seneca fly ash landfill, located at 3580 Kennebec Drive, Eagan (adjacent to the MVTA Bus Garage). Oak Leaf was the winning bidder in the Metropolitan Council's solar garden request for proposal (RFP). ➢ State law regarding community solar gardens was passed in 2013. Minnesota Public Utility Commission finalized rules in 2014 allowing establishment as of December 2014. Law allows homeowners, businesses and governments to "own" a piece of a solar farm. Requires a minimum of 5 subscribers per solar garden; a maximum of 40% ownership per legal entity per garden. Participants must reside in same, or contiguous, county as location of solar garden. ➢ Oak Leaf Energy Partners is one of the nation's largest solar developers. Oak Leaf works with municipalities with a special focus on locations at water and wastewater facilities. Oak Leaf has previous experience with Met Council (Blue Lake WWTP) and plans to build 6 solar gardens at the Metropolitan Council Environmental Services' Empire and Seneca WWTP (5 gardens adjacent to Empire, 1 garden adjacent to Seneca in Eagan). 23,365 solar (monocrystalline) panels on about 30 acres would generate about 7.6MM kWh annually. Met Council will receive 80% (40% MCES, 40% Metro Transit) or 6.1MM kWh with the remaining 20% going to local communities. Goal is to start construction in 2016. ➢ Twenty percent of garden subscriptions remain available (250k kWh in year 1). City of Eagan can subscribe at 6.67%. Subscription term is 25 years. No upfront cost to subscribers. Subscriptions offered to communities served by Seneca WWTP as well as Dakota County. ➢ Participation would involve the City paying Oak Leaf for the City's subscribed portion of electrical energy produced at a fixed rate for 25 years and Xcel Energy crediting the City for an equal amount of electrical energy at an anticipated higher and increasing rate over the 25 year period. Annual rebates are anticipated to begin at about $500 and increase to in excess of $3,000 by the end of the period. ➢ On January 12, 2016, the Energy and Environment Advisory Commission recommend participation in Oak Leaf Energy Partners' Community Solar Garden Subscription. ➢ Public Works staff and the City Attorney's office have worked with Oak Leaf Energy Partners on an acceptable subscription agreement in order for favorable Council action, but did not have a final version prepared in time for distribution with the Council packet. Attachments (0) Agenda Information Memo January 19, 2016 Eagan City Council Meeting CONSENT AGENDA K. Gift of Mary Easement Vacation Action To Be Considered: Receive the petition to vacate public drainage and utility easements on Lot 1, Block 1 Gift of Mary and schedule a public hearing to be held on February 16, 2016. Facts: ➢ On January 11, 2016, City staff received a petition from Peter Deanovic, representing Buhl Investors, requesting the vacation of existing drainage and utility easements over all of Lot 1 Block 1, Gift of Mary (510 Lone Oak Road), north of Highway 55 and south of Lone Oak Road, in northeast Eagan. ➢ Public easements were dedicated as part of the Gift of Mary plat as required for the previously proposed development and to provide for public drainage and utility needs. ➢ The purpose of the request is to allow the recording of a final plat of the property for the proposed Gateway Business Park development. The vacation of the easements would clean up the proposed plat by avoiding any underlying recorded dedications. ➢ The request would vacate the platted drainage and utility easements over all of the Gift of Mary property. The final plat for the Gateway Business Park will address all easements necessary for public drainage and easement purposes. ➢ The approval of the plat for the Gateway Business Park plat will be scheduled for Council consideration at a future City Council meeting. ➢ Notices for a public hearing will be published in the legal newspaper and sent to all potentially affected and/or interested parties for comment prior to the public hearing. Attachments (2) CK -1 Location Map CK -2 Legal Description Graphics Proposed e City of ka Lot9 Blk. 1, Gift of Mary 01/1212011 LONE OAK ROAD a� EASEMENTS TO BE VACATED: a ALL PLATTED DRAINAGE AND `'- UTILITY EASEMENTS OVER AND ACROSS THE RECORDED PLAT OF: GIFT OF MARY, DAKOTA COUNTY, MINNESOTA. Proposed Drainage & Utility T"Cal of Eap Easement Vacation JAN. 2016 rine Division Lot 1 , Blk. 1, Gift of Mary EnOn Mg. 2 Agenda Information Memo January 19, 2016, Eagan City Council Meeting CONSENT AGENDA L. Approve Invoice Cloud service agreements for online payment and presentment for Utility Bills Action To Be Considered: 1. Approve Invoice Cloud service agreements for online payment and presentment for Utility Bills Facts: ➢ The City's current online payment presentment and acceptance service solution is Infinity.Link and is a LOGIS supported application. ➢ Infinity.Link has become cost prohibitive for LOGIS to support and has caused some dissatisfaction to LOGIS membership due to an unfriendly interface to the residents. ➢ LOGIS membership began exploring a replacement solution in 2015 and staff determined that Invoice Cloud was the best solution. ➢ Invoice Cloud will allow additional convenient and secure methods of presenting a customer's utility bill and accepting electronic payments either through a secure website and an automated phone system. ➢ The service is optional for the utility customer and will replace our current service with an improved customer friendly interface and additional services. ➢ The service requires the approval of three agreements and : • Invoice Cloud services 1) Electronic Invoice Presentment and Payment Agreement 2) Exhibit A—Terms and Conditions • Sage ACH services 1) Sage ACH application 2) Virtual Check Merchant Agreement terms and Conditions 3) City of Eagan Virtual Check amendment • Sage Credit Card services 1) Sage Credit Card Application 2) Merchant Agreement Terms and Conditions 3) City of Eagan Merchant Agreement Amendment ➢ The initial terms of the agreements shall be for a period of 3 years and will renew on annual basis unless terminated by either party during the renewal period. ➢ Charges and fees are outlined in the agreements and will be charged to the City on a per transaction basis consistent with the current service provider. ➢ Estimated Costs for 2016 are expected to be the same and are expected to increase minimally in future years. These costs will be programmed as part of the Utilities Budgets moving forward. ➢ The services are anticipated to be phased in starting in June of 2016. Attachments: (3) CL -1 Invoice Cloud Services CL -2 Sage ACH services CL -3 Sage Credit card services Electronic Invoice Presentment and Payment Agreement Between Invoice Cloud, Inc., and City of Eagan This Agreement is made by and between Invoice Cloud, Inc., a Delaware corporation, ("Invoice Cloud") and the City of Eagan, a Minnesota municipal corporation, ("City") effective as of the date of approval by the City of Eagan 1. Service. Invoice Cloud shall provide the following services (collectively the "Service") to City: Invoice Cloud shall provide electronic invoice presentment and payment processing by providing a secure, PCI compliant, web based infrastructure. A. Invoice Cloud shall provide the following services to the City through Invoice Cloud's biller portal: 1. Invoice customization and creation templates 2. If PDF version of invoices include advertising and/or notices the material will be presented on the invoice. 3. Email notifications include the option to insert notices and links to communicate information to the customers of the City. 4. Retain invoices for 18 months (or longer if required by law) 5. Query reporting available for invoices issued, paid, when paid, how paid, etc. 6. Secure and compliant systems to relieve City of any need to store sensitive Customer payment information 7. Export invoice file for electronic mail 8. Opt -in and Opt -out adoption programs to drive paper suppression 9. Import non-delivery information (to alert for paper invoice preparation) 10. Import invoice payment results (to update receivable list at City) 11. Import ACH reject and credit card decline information 12. Import chargeback information (identify disputed invoices) 13. Export new Customer information 14. Export Customer change information (to update receivable list at Invoice Cloud) 15. Export payment received results (to update receivable list at Invoice Cloud) B. Invoice Cloud shall provide the following services to Customers through Invoice Cloud's web based customer portal: 1. Registration and preferences (email invoice, email receipt after payment, go paperless, save a copy of invoice) 2. Login, password administration and reset 3. Update customer information 4. Create payment methods 5. Create alternate, or multiple, payment methods 6. View current balance and pay now 7. Email City any questions or disputes on invoice 8. Cancel scheduled or pending payment transaction 9. Create and/or change recurring payments (amount, method, schedule, duration) 10. View invoice and payment history Page 11 C. Invoice Cloud shall provide the following services to Customers through Invoice Cloud's telephone Interactive Voice Response (IVR) system: 1. Review last payment 2. Review current balance and due date 3. Make payment 4. Cancel scheduled or pending payment transaction D. Invoice Cloud shall provide the following payment methods to Customers: 1. Visa 2. MasterCard 3. Discover 4. Electronic Funds Transfer (EFT) processed through the Automated Clearing House (ACH) electronic network The maximum payment for each credit card transaction shall be $1,000.00. 2. Charges and Payment of Fees. City agrees to pay the following fees to Invoice Cloud for the Service: • $0.75 per Customer credit card authorization (Visa/MasterCard/Discover) above interchange, fees, dues and assessments • $0.25 per Customer electronic funds transfer if Customer elects automatic payment via ACH • $0.50 per one-time Customer electronic funds transfer (if Customer does not elect automatic payment via ACH) • $10.00 per EFT/ACH rejection • $10.00 per credit card charge back Invoice Cloud's Service is subject to the following taxes, which Invoice Cloud may charge to the City: (none unless specified in this paragraph). Invoice Cloud shall provide a detailed invoice to City on a monthly basis showing all fees and taxes charged to City by Invoice Cloud and payments received from City. All fees will be billed in U.S. dollars. If City believes that any invoice or any fee, tax or payment shown thereon is incorrect, City must provide written notice to Invoice Cloud within 60 days after receipt of the invoice, with respect to the amount in question to be eligible to receive an adjustment or credit; otherwise such invoice or payment is deemed correct. Invoice Cloud reserves the right to modify any pricing with respect to fees owed by the City upon 60 days written notice to City based on increases incurred by Invoice Cloud on fees, assessments, and the like from credit card processers, bank card issuers, payment associations, ACH and check processers. City may cancel this Agreement without penalty within 60 days after receipt of such notice. 3. License Grant & Restrictions. Invoice Cloud hereby grants City a non-exclusive, non -transferable, worldwide right to use the Service described herein until termination as provided herein, solely for the following purposes, and specifically to bill and receive payment from City's own customers for utility services. All rights not expressly granted to City are reserved by Invoice Cloud and its licensors. City will provide to Invoice Cloud all utility bills generated for City's Customers. City's Customers may elect to pay their utility bills through Invoice Cloud via electronic data transmission according to Invoice Cloud's Page, 12 formats and procedures for each electronic payment type designated in this Agreement, or City's Customers may elect to pay their utility bills through any other means. City will sign all third party applications and agreements required for the Service including without limitation payment and credit card processing agreements and merchant agreements, subject to review and approval by City's attorneys and approval by City's City Council. City will not use a link from City's website to the credit card processing, ACH or check processing of any bank, payment processor, entity, or person, other than Invoice Cloud, for payment of utility bills using any electronic payment type designated in this Agreement, during the term of this Agreement. City shall not: (i) license, sublicense, sell, resell, transfer, assign, distribute or otherwise commercially exploit or make available to any third party the Service in any way not authorized by this Agreement; (ii) modify or make derivative works based upon the Service; (iii) Recreate, "frame" or "mirror" any portion of the Service on any other server or wireless or Internet -based device; (iv) reverse engineer the Service; or (v) copy any graphics of the Service. 4. Privacy & Security. Invoice Cloud's privacy and security policies may be viewed at http://www.invoicecloud.com/privacy.html. Invoice Cloud reserves the right to modify its privacy and security policies in its reasonable discretion from time to time which modification shall not materially adversely impact such policies. Invoice Cloud will maintain compliance with current required Payment Card Industry (PCI) standards and Cardholder Information Security standards. 5. Account Information, Data Practices and Audit. Invoice Cloud does not and will not own any Customer Data, in the course of providing the Service. Under Minn. Stat. § 13.05, subd. 11, all of the data created, collected, received, stored, used, maintained, or disseminated by Invoice Cloud in performing the City's functions under this Agreement is subject to the requirements of the Minnesota Government Data Practices Act, Minnesota Statutes Chapter 13, and Invoice Cloud must comply with those requirements as if it were a government entity. Under Minn. Stat. §§ 6.551 and 16C.05, subd. 5, Invoice Cloud's books, records, documents, and accounting procedures and practices relevant to this Agreement are subject to examination by the City of Eagan, State of Minnesota Legislative Auditor, and/or State of Minnesota Auditor, as appropriate, for a minimum of six years from the end of this Agreement. Invoice Cloud represents and warrants to the City that Invoice Cloud shall comply with the requirements set forth in this Section. 6. Confidentiality / Intellectual Property Ownership. Invoice Cloud agrees that it may be furnished with or otherwise have access to Customer Data that the City's customers considers being confidential. Invoice Cloud agrees to secure and protect the Customer Data in a manner consistent with the maintenance of Invoice Cloud's own Confidential Information, using at least as great a degree of care as it uses to maintain the confidentiality of its own confidential information, but in no event use less than commercially reasonable measures, in compliance with all applicable law. Invoice Cloud will not sell, transfer, publish, disclose, or otherwise make available any portion of the Customer Data to third parties, except as required to perform the Services under this Agreement or otherwise required by applicable law. Invoice Cloud (and its licensors, where applicable) owns all right, title and interest, including all related Intellectual Property Rights, in and to the Invoice Cloud Technology, the Content and the Service and any enhancement requests, feedback, integration components, suggestions, ideas, and application programming interfaces, recommendations or other information provided by City or any other party relating to the Service. In the event any such intellectual property rights in the Invoice Cloud Technology, the Content or the Service do Pose 13 not fall within the specifically enumerated works that constitute works made for hire under applicable copyright laws or are deemed to be owned by Invoice Cloud, City hereby irrevocably, expressly and automatically assigns all right, title and interest worldwide in and to such intellectual property rights to Invoice Cloud. City shall not infringe upon the Intellectual Property Rights of Invoice Cloud. The Invoice Cloud name, the Invoice Cloud logo, and the product names associated with the Service are trademarks of Invoice Cloud or third parties, and no right or license is granted to use them. City agrees that during the course of using or gaining access to the Service (or components thereof) it may be furnished with or otherwise have access to information that Invoice Cloud considers to be confidential including but not limited to Invoice Cloud Technology, customer and/or prospective customer information, pricing and financial information of the parties which are hereby deemed to be Invoice Cloud Confidential Information, or any other information by its very nature constitutes information of a type that any reasonable business person would conclude was intended by Invoice Cloud to be treated as proprietary, confidential, or private (the "Confidential Information"). City agrees to secure and protect the Confidential Information in a manner consistent with the maintenance of Invoice Cloud's rights therein, using at least as great a degree of care as it uses to maintain the confidentiality of its own confidential information, but in no event use less than reasonable efforts. City will not sell, transfer, publish, disclose, or otherwise make available any portion of the Confidential Information of the other party to third parties (and will ensure that its employee and agents abide by the requirements hereof), except as expressly authorized in this Agreement or otherwise required by applicable law. 7. Term and Termination. The initial term of this Agreement shall be for a period of three (3) years ("Initial Term") commencing on the Effective Date and will renew for successive one (1) year terms ("Renewal Term") unless terminated as set forth herein. This Agreement may be terminated by either party effective at the end of the Initial or any Renewal Term by such party providing written notice to the other party of its intent not to renew no less than ninety (90) days prior to the expiration of the then -current term. Additionally, this Agreement may be terminated by either party with cause in the event of a material breach of the terms of this Agreement by the other party and the breach remains uncured for a period of 30 days following receipt of written notice by the breaching party. Upon any early termination of this Agreement by Invoice Cloud as a result of the breach, City shall remain liable for all fees and charges incurred, and all periodic fees owed through the end of the calendar month following the effective date of termination. Upon any termination or expiration of this Agreement, City's password and access will be disabled and City will be obligated to pay the balance due on City's account computed in accordance with the Charges and Payment of Fees section above. City agrees that Invoice Cloud may charge such unpaid fees to City's Debit Account or credit card or otherwise bill City for such unpaid fees. 8. Invoice Cloud Responsibilities. Invoice Cloud represents and warrants that it has the legal power and authority to enter into this Agreement. Invoice Cloud warrants that the Service will materially perform as contemplated by this Agreement under normal use and circumstances. Invoice Cloud shall use commercially reasonable measures and comply with all applicable state and federal laws with respect to Customer Data. Invoice Cloud shall comply with all applicable laws and regulations in connection with the Service, including those related to data privacy, communications, export or import of data and the transmission of technical, personal or other data. Invoice Cloud will, at its own expense, correct any Transaction Data to the extent that such errors have been caused by Invoice Cloud, its licensors or payment processors, or by malfunctions of Invoice Cloud's processing systems or any third party applications required for the Service. 9. Limited Warranty EXCEPT AS PROVIDED IN SECTION 8, THE SERVICES AND ALL CONTENT AND TRANSACTION DATA IS PROVIDED WITHOUT ANY EXPRESS, OR IMPLIED WARRANTY, INCLUDING, WITHOUT LIMITATION, ANY IMPLIED WARRANTY OF MERCHANTABILITY, Page 14 FITNESS FOR A PARTICULAR PURPOSE, AND ALL OTHER WARRANTIES ARE HEREBY DISCLAIMED TO THE MAXIMUM EXTENT PERMITTED BY APPLICABLE LAW BY INVOICE CLOUD AND ITS LICENSORS AND PAYMENT PROCESSORS. INVOICE CLOUD AND ITS LICENSORS AND PAYMENT PROCESSORS DO NOT REPRESENT OR WARRANT THAT (A) THE USE OF THE SERVICE WILL BE UNINTERRUPTED OR ERROR -FREE, OR OPERATE IN COMBINATION WITH ANY OTHER HARDWARE, SOFTWARE, SYSTEM OR DATA, (B) THAT THE SERVICE WILL NOT DELAY IN PROCESSING OR PAYING, OR (C) THE SERVICE WILL MEET REQUIREMENTS WITH RESPECT TO SIZE OR VOLUME. Invoice Cloud's service may be subject to limitations, delays, and other problems inherent in the use of the internet and electronic communications. Invoice cloud is not responsible for any delays, delivery failures, or other damage resulting from such problems. City represents and warrants that City has not falsely identified itself nor provided any false information to gain access to the Service and that City's billing information is correct. 10. City's Responsibilities. City represents and warrants that it has the legal power and authority to enter into this Agreement. City shall: (i) notify Invoice Cloud immediately of any unauthorized use of any password or account or any other known or suspected breach of security related to the Service; (ii) report to Invoice Cloud and immediately stop any copying or distribution of Content that is known or suspected to be unauthorized by City; and (iii) not impersonate another Invoice Cloud user or provide false identity information to gain access to or use the Service. Invoice Cloud is not responsible for any City postings in error due to delayed notification from credit card processor, ACH bank and other related circumstances. City is required to ensure that it maintains a fair policy with regard to the refund, return or cancellation of services and adjustment of Transactions. City is also required to disclose a refund, return or cancellation policies to Invoice Cloud and any applicable payment processors and City's Customers, as requested. Any change in a return/ cancellation policy must be submitted to Invoice Cloud, in writing, not less than 21 days prior to the effective date of such change. If City allows or is required to provide a price adjustment, or cancellation of services in connection with a Transaction previously processed, City will prepare and deliver to Invoice Cloud Transaction Data reflecting such refund/adjustment within 2 days of resolution of the request resulting in such refund/adjustment. The amount of the refund/adjustment cannot exceed the amount shown as the total on the original Transaction Data. City may not accept cash or any other payment or consideration from a Customer in return for preparing a refund to be deposited to the Customer's account; nor may City give cash/check refunds to a Customer in connection with a Transaction previously processed, unless required by applicable law. 11. Indemnification. Invoice Cloud shall indemnify and hold City, employees, attorneys, and agents, harmless from any losses, liabilities, and damages (including, without limitation, City's costs, and reasonable attorneys' fees) arising out: (i) failure by Invoice Cloud to implement commercially reasonable measures against the theft of the Customer Data; or (ii) its total failure to deliver funds processed by Invoice Cloud as required hereunder (which relates to payments due from Invoice Cloud for Transaction Data). This indemnification does not apply to any claim or complaint relating to City's failure to resolve a payment dispute concerning debts owed to City or City's negligence or willful misconduct or violation of any applicable agreement or law. City shall indemnify and hold Invoice Cloud, its licensors and Invoice Cloud's, subsidiaries, affiliates, officers, directors, employees, attorneys, agents, and payment processors harmless from and against any and all claims, costs, damages, losses, liabilities and expenses (including attorneys' fees and costs) arising out of or in connection with any claim, cause of action, lawsuit, administrative or criminal investigation, charge, action or claim alleging: (i) that use of the Customer Data infringes the rights of a third party; (ii) a violation by City of City's representations and warranties or the breach by City or City's Users of this Agreement including without Pay o 15 limitation incomplete or inaccurate Transaction Data; or (iii) relating directly or indirectly to City's or its authorized users' use of the Service. 12. Limitation of Liability. INVOICE CLOUD'S LIABILITY TO THE CITY FOR DAMAGES FOR ANY AND ALL ACTIONS ASSOCIATED WITH THIS AGREEMENT OR THE SERVICE SHALL IN NO EVENT EXCEED THE AMOUNTS FOR WHICH INVOICE CLOUD IS REQUIRED TO MAINTAIN INSURANCE COVERAGE UNDER THIS AGREEMENT. IN NO EVENT SHALL INVOICE CLOUD AND/OR ITS LICENSORS BE LIABLE TO ANYONE FOR ANY INDIRECT, PUNITIVE, SPECIAL, EXEMPLARY, INCIDENTAL, CONSEQUENTIAL (INCLUDING LOSS OF DATA, REVENUE, PROFITS, USE OR OTHER ECONOMIC ADVANTAGE) ARISING OUT OF, OR IN ANY WAY CONNECTED WITH THIS SERVICE, EVEN IF THE PARTY FROM WHICH DAMAGES ARE BEING SOUGHT OR SUCH PARTY'S LICENSORS HAVE BEEN PREVIOUSLY ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. Certain states and/or jurisdictions do not allow the exclusion of implied warranties or limitation of liability for incidental, consequential or certain other types of damages, so the exclusions set forth above may not apply to the City. 13. Export Control. The City agrees to comply with United States export controls administered by the U.S. Department of Commerce, the United States Department of Treasury Office of Foreign Assets Control, and other U.S. agencies. 14. Notice. Any notice under this Agreement shall be given in writing and hand -delivered or mailed by first class U.S. Mail to the other party's address, as follows: For notice to City: City of Eagan Attention: City Cleric 3830 Pilot Knob Road Eagan, MN 55122 For notice to Invoice Cloud: Invoice Cloud, Inc. Attention: Client Services 30 Braintree Hill Office Park, Suite 303 Braintree, MA 02184 Notice shall be deemed to have been given upon receipt, if hand -delivered, or two business days after mailing. 15. Assignment. This Agreement may not be assigned by either party without the prior written approval of the other party but may be assigned without such party's consent to (i) a parent or subsidiary, (ii) an acquirer of assets, or (iii) a successor by merger. If this Agreement is assigned without the City's consent, the City may terminate this Agreement without penalty. Any purported assignment in violation of this section shall be void. 16. Insurance. Invoice Cloud agrees to maintain in full force and effect during the term of the Agreement, at its own cost, the following coverages: a. Commercial General or Business Liability Insurance with minimum combined single limits of One Million ($1,000,000) each occurrence and Two Million ($2,000,000) general aggregate. b. Umbrella Liability Insurance with minimum combined single limits of Five Million ($5,000,000) each occurrence and Five Million ($5,000,000) general aggregate. e 16 c. Automobile Liability Insurance with minimum combined single limits for bodily injury and property damage of not less than One Million ($1,000,000) for any one occurrence, with respect to each of the Invoice Cloud's owned, hired or non -owned vehicles assigned to or used in performance of the Services. d. Errors and Omissions/Professional Liability Insurance with limits of liability of at least One Million Dollars ($1,000,000) per claim and in the aggregate. Cyber Insurance with limits of liability of at least One Million Dollars ($1,000,000) per claim and in the aggregate. The City shall be endorsed as an additional insured on all of the insurance policies except Errors and Omissions/Professional Liability Insurance. Invoice Cloud agrees to provide certificates of insurance evidencing such coverages to City upon request. 17. Immigration Laws. For Services performed within the United States, Invoice Cloud will assign only personnel who are either citizens of the United States or legally eligible to work in the United States. Invoice Cloud represents and warrants that it has complied and will comply with all applicable immigration laws with respect to the personnel assigned to the City. 18. General. This Agreement shall be governed by the laws of the State of Minnesota, without regard to the choice or conflicts of law provisions of any jurisdiction. No text or information set forth on any other purchase order, preprinted form or document shall add to or vary the terms and conditions of this Agreement. If any provision of this Agreement is held by a court of competent jurisdiction to be invalid or unenforceable, then such provision(s) shall be construed, as nearly as possible, to reflect the intentions of the invalid or unenforceable provision(s), with all other provisions remaining in full force and effect. No joint venture, partnership, employment, or agency relationship exists between City and Invoice Cloud as a result of this agreement or use of the Service. The failure of either party to enforce any right or provision in this Agreement shall not constitute a waiver of such right or provision unless acknowledged and agreed to by such party in writing. All rights and obligations of the parties in Sections 4, 5, 6, 8, 9, 10, 11, 12, 13, 17 and 18 shall survive termination of this Agreement. This Agreement comprises the entire agreement between City and Invoice Cloud and supersedes all prior or contemporaneous negotiations, discussions or agreements, whether written or oral between the parties regarding the subject matter contained herein. City agrees that Invoice Cloud can disclose the fact that City is a paying customer and the edition of the Service that City is using. Additional terms and conditions and definitions are set forth in Exhibit "A" attached hereto and incorporated herein. IN WITNESS WHEREOF, the parties have executed this Agreement. Dated: .2016 Invoice Cloud, Inc., a Delaware corporation By: Its: <co �7 Dated: , 2016 City of Eagan, a Minnesota municipal corporation By: Mike Maguire Its: Mayor By: Christina M. Scipioni Its: City Clerk EXHIBIT A TERMS AND CONDITIONS 1. Definitions. "Chargeback" is a reversal of a Transaction initiated by a credit card company, processor, bank or other financial institution that City previously presented to Invoice Cloud under this Agreement. "Content" means the information and documents made available to City by Invoice Cloud in the course of using the Service. "Customer" shall include customers of water, sanitary sewer, storm sewer and street light utility services of City. "Customer Data" means any data, information or material provided or submitted by City or its Customers to the Service in the course of using the Service. "Effective Date" means the date this Agreement is fully executed by City and Invoice Cloud. "Intellectual Property Rights" means patents, copyrights, trademarks, service marks, trade names, domain name rights, and all other intellectual property rights under applicable law. "Invoice Cloud" means Invoice Cloud, Inc., a Delaware corporation. "Invoice Cloud Technology" means all of Invoice Cloud's proprietary technology made available to City or otherwise developed by Invoice Cloud in providing the Service. "Reserve Account" means a City account which is maintained in order to protect Invoice Cloud against the risk of, among other things, existing, potential, or anticipated Chargebacks and to satisfy the other obligations under the Agreement. "Service(s)" means Invoice Cloud's billing and payment service, the Content, the Invoice Cloud Technology and other corporate services developed, operated, and/or maintained by Invoice Cloud, accessible via www.invoicecloud.com or another designated web site or IP address, or ancillary online or offline products and services provided to City by Invoice Cloud, to which City are being granted access under this Agreement, including the Invoice Cloud Technology and the Content. "Transaction" means a transaction conducted between a Customer and Invoice Cloud for payment of utility bills of the City. "Transaction Data" means the written or electronic record of a Transaction, including but not limited to an authorization code or settlement record and utility bill. 2. City's Responsibilities City shall abide by all applicable laws and regulations in connection with City's use of the Service, including those related to data privacy, communications, export or import of data and the transmission of technical, personal or other data. City shall: (i) notify Invoice Cloud immediately of any unauthorized use of any password or account or any other known or suspected breach of security in regard to the Service; and (ii) not impersonate another Invoice Cloud user or provide false identity information to gain access to or use the Service. City may not: (i) knowingly send to Invoice Cloud material containing software viruses, worms, Trojan horses or other harmful computer code, files, scripts, agents or programs; (ii) interfere with or disrupt the integrity or performance of the Service or the data contained therein; or (iii) attempt to gain unauthorized access to the Service or its related systems or networks. City shall not: (i) license, sublicense, sell, resell, transfer, assign, distribute or otherwise commercially exploit or make available to any third party the Service in any way; (ii) modify or make derivative works based upon the Service; (iii) Recreate, "frame" or "mirror" any portion of the Service on any other server or wireless or Internet -based device; (iv) reverse engineer the Service; or (v) copy any graphics of the Service. Invoice Cloud is not responsible for any City postings in error due to delayed notification from credit card processor, ACH bank and other related circumstances. City agrees to provide Invoice Cloud with complete and accurate billing and contact information. This information includes City's legal name, street address, e-mail address, and name and telephone number of an authorized billing contact and License Administrator. City agrees to update this information within 30 days of any change to it. City is required to ensure that it maintains a fair policy with regard to the cancellation of services and adjustment of Transactions. City is also required to disclose any cancellation policies to Invoice Cloud and any applicable payment processors and City's Customers, as requested. Any change in a cancellation policy with the transactions underlying the Transaction Data must be submitted to Invoice Cloud, in writing, not less than 21 days prior to the effective P date of such change. If City allows or is required to provide a price adjustment, or cancellation of services in connection with a Transaction previously processed, City will prepare and deliver to Invoice Cloud Transaction Data reflecting such refund/adjustment within 2 days of resolution of the request resulting in such refund/adjustment. The amount of the refund/adjustment with respect to Transactions under the Service cannot exceed the amount shown as the total on the original Transaction Data. City may not accept cash or any other payment or consideration from a Customer in return for preparing a refund to be deposited to the Customer's account; nor, with respect to credit card transactions, may City give cash/check refunds to a Customer in connection with a Transaction previously processed, unless required by applicable law. Individual users, when they initially log in, may be asked whether or not they wish to receive marketing and other non-critical Service -related communications from Invoice Cloud from time to time. They may opt out of receiving such communications at that time or at any subsequent time by changing their preference under http://www.invoiceeloud.com/privacy.html. Note that because the Service is a hosted, online application, Invoice Cloud occasionally may need to notify all users of the Service (whether or not they have opted out as described above) of important announcements regarding the operation of the Service. 3. Chargebacks If City is subject of excessive Chargebacks, in addition to Invoice Cloud's other remedies under this Agreement, Invoice Cloud (or the payment processor) may take the following actions upon 60 days written notice to City: (i) request that City in every case commence issuing refund and related payments directly to Customer; (ii) notify City of a new rate that will be charged to process Chargebacks; (iii) collect from City an amount reasonably determined by Invoice Cloud (or the payment processor) to be sufficient to cover anticipated Chargebacks and all related fees, penalties, expenses, and fines or request a Reserve Account (where a Reserve Account is otherwise required under the terms of this Agreement or other agreement with Invoice Cloud or any payment processor); or (iv) terminate the Agreement. City may terminate this Agreement by written notice to Invoice Cloud within 60 days after receipt of any notice under this paragraph. City also agrees to pay any and all penalties, fees, fines and costs assessed against Invoice Cloud (or the payment processor) by any government entity relating to City's violation of this Agreement, or other agreement related thereto. 3 City agrees that it is fully liable if any Transaction, for which Invoice Cloud has provided City credit or paid City, is the subject of a Chargeback or ACH rejections or reversals or other refunds or credits. The City's Debit Account will contain sufficient funds to cover any estimated exposure based on reasonable criteria for Chargebacks, ACH rejections or reversals, credits, returns, and all additional liabilities anticipated under this Agreement, including, but not limited to, Chargebacks, fines, fees and penalties. Invoice Cloud may (but is not required to) apply funds in the City's Debit Account (to the extent applicable as provided in Section 4 below) toward, and set off any funds that would otherwise be payable to City against, the satisfaction of any amounts which are or may become due from City pursuant to this Agreement. Invoice Cloud may, at its sole discretion, collect fees related to Chargebacks and ACH rejections and reversals, or other refunds or credits from City's customers. The following are some of the most common reasons for Chargebacks; in no way is this intended to be an exhaustive list of possible Chargeback reasons: (1) Failure to issue a refund to a Customer as required. (2) Invoice Cloud did not receive City's response to a Retrieval Request within 7 days or any shorter time period required by the Payment Brand Rules. (3) A Customer disputes the Transaction, or claims that the Transaction is subject to a set- off, defense, or counterclaim. Invoice Cloud may receive a Chargeback from a Transaction where the possibility of Chargebacks are noted as part of the Service. Some common reasons for Chargebacks are listed. In the event that Invoice Cloud receives a Chargeback, City shall reimburse Invoice Cloud for such Chargebacks (which may include Invoice Cloud withdrawing such amounts from the City's Debit Account). In addition, City shall be responsible to Invoice Cloud for charges against any reserves required by payment or credit card processors; and any Chargebacks, by any party, including without limitation Chargebacks claimed by any payment and credit card processors, bank, or other financial services organization. 4. City Deposit Account Automatic Debit Except where prohibited by applicable law, City shall establish a Deposit Account(s) whereby Invoice Cloud will automatically withdraw from the City's account(s) used for this purpose 4 ("City's Debit Account(s)") the fees referenced in this Agreement and any Chargebacks, ACH rejections or reversals, refunds and other fees due hereunder resulting therefrom. City shall be responsible for and pay all fees or charges relating to City's Debit Account and the automatic debit facility, in accordance with the terms thereof. In addition, with respect to any invoices and/or payments that are processed through the Service, the City's agreements with all such credit card processers, bank card issuers, ACH and check processers shall require remittance and payment to Invoice Cloud, of all fees and to no other account. City shall maintain sufficient funds in the City's Debit Account to pay all periodic fees, Chargebacks, ACH rejections, reversals, refunds and other fees due hereunder resulting therefrom. 5 TERMS AND CONDITIONS FOR SAGE PAYMENT SOLUTIONS VIRTUAL CHECK The following terms and conditions govern Company's use of Sage Payment Solutions' ACH Processing Services (the "Services") for its virtual check products. The term "Sage" means "Sage Payment Solutions", a Virginia corporation. The term "Company" refers to the merchant receiving the Services. These are the terms and conditions referred to in the Sage Payment Solutions Virtual Check Merchant Processing Agreement attached hereto, the provisions of wliich are incorporated herein by reference. These terms and conditions and the attached application constitute the entire agreement between Sage and Company with respect to the subject matter hereof. Sage is providing an Internet gateway to enable Company's customers to pay for goods and services by means of the Automated Clearing House ("ACH") process. This Agreement and Sage's Web site includes important disclosures and regulatory information that are associated with the Services. The Services allow Company to collect periodic payment receivables from its customer accounts ("Customer Accounts") through Sage Virtual Clieck and/or transfer credits to its customers through use of the ACH process; Sage will act as Company's agent to initiate credit, debit and adjustment Entries through an Originating Depository Financial Institution (the "Bank"), all pursuant to the terms of this Agreement, the provisions of Title 31 Code of Federal Regulations Part 210 and the operating rules of the National Automated Clearing House Association, as amended firom time to time (collectively referred to herein as the "Rules"). Company agrees that it entering into this Agreement, that it will be bound by the Rules. Company understands that in order for the Services, including future services that may be available, to perform, Company is solely responsible for the hardware, software or other technology it uses to access the Services, which will be processed via ACH. Sage will not be responsible for any service difficulties resulting from Company's failure to possess technology adequate to use the Services. TERMS & CONDITIONS 1. Definitions. Except as otherwise defined herein, capitalized terms shall have the meanings provided in the Rules. The term "Entries" shall have the meaning provided in the Rules and shall also mean the data received from the Company hereunder from which Sage prepares Entries. 2. Transmittal of Entries by Company. The Company will use reasonable efforts to provide computer readable information that is accurate, current and in the format specified in the Rules and in conformance with other requirements set forth by Sage, as the sane may be amended from time to time, necessary to prepare debit and credit Entries in order to effect collection from and credit to Customer Accounts of the following types: ARC, PPD, WEB, CCD, TEL, POP, RCIi. The Company shall update such information from time to time in order that it remains current and accurate at all times. The Company hereby authorizes Sage to initiate ACH credits, debits and adjustments to the Authorized Account. This authorization will remain in effect after termination of this Agreement until all of the Company's obligations to Sage have been paid in full. Confirmation from Sage of a credit or debit ACH transaction does not constitute a warranty that the Company will be paid for the transaction. 3. Processing and Transmittal of Entries. (a) Debits. Sage shall process Entries received from the Company to conform with the file specifications set forth in the Rules, transmit Stich Entries to the Bank for re -transmittal to the ACH Operator or other location designated by the Bank, all in accordance with the Rules and applicable regulations and operating circulars adopted or issued by the Federal Reserve Board or applicable Federal Reserve Bank, as in effect from time to time. Each Entry or File shall be delivered to Sage by an authorized representative of the Company in accordance with the processing instructions attached hereto. Provided the Company delivers the necessary data in accordance with the processing instructions and in an acceptable format, Sage shall initiate debit Entries to electronically debit Customer Accounts for settlement on the Effective Entry Date (o• next banking day in the event that the Effective Entry Date falls on a non -banking clay at the customer's depository institution), however if any Debit Entries are returned to Sage in accordance with Sage Merchant Agreement the Rules, or if any Debit Entries originated by you were unauthorized, Sage reserves the right to charge the amount of such Debit Entries to the Authorized Account. All Net Settlement Amounts (as defined in Section 16 below) shall be deposited into the account at the financial institution designated in the Application attached hereto to which Sage and the Company are parties ("Authorized Account"). (b) Credits. Provided the Company delivers the necessary data in accordance with the processing instructions and in an acceptable format and deposits immediately available funds into the Agent Account (as hereinafter defined) in an aggregate amount equal to the Entries to be transmitted, Sage shall initiate credit Entries to electronically credit Custorner Accounts for settlement on the Effective Entry Date (or next banking clay in the event that the Effective Entry Date falls on a non - banking day at the customer's depository institution). Unless such funds are timely received, Sage shall be muter no obligation to transmit the related Entry (ies). Once an Entry is transmitted by Sage, the Company shall have no right to the cancellation or amendment of any Entry after its receipt by the Bank However, Sage shall use reasonable efforts to act on a request by the Company for cancellation of such Entry (ies) prior to crediting a Receiver's account. Except in the case of payroll entries, the total dollar amount of Credit Entries transmitted by the Company to the Banlc on any one day shall not exceed Three Thousand U.S. Dollars ($3,000. The Company acknowledges and agrees that, if an Entry describes its customer or other Receiver inconsistently by name and account number, payment of the Entry transmitted to the Receiving Depository Financial Lnstitution might be made by the Receiving Depository Financial Institution (or by the Bank in the case of an "on -us" Entry) on the basis of the account number even if it identifies a person different from the named customer or Receiver, and that the Company's obligation to pay the amount of the Entry to Sage is not excused in such circumstances. Company agrees that Sage may withhold any amounts due to the Company firom subsequent payments in the event of an overpayment by Sage to Company. 4. Authorizations: Prenotifications. The Company will obtain written authorizations for each requested Entry that it has received from its customers, or, in the event of in authorization for a TEL entry, the minimum information requirements in accordance with the Rules must be provided to Sage. The Company shall further retain the original or a microfilm record Page 1 of I for two (2) years after termination or revocation of such authorization, or in the case of an authentication made via telephone, the Internet or other on-line network, the Company must retain a copy of the authorization and a recorded record of the authentication. The foregoing authorizations shall be provided to Sage upon request. The Company agrees that, at its cost, it will periodically review its authentication techniques to ensure that its security measures are adequate, and make all necessary changes, to ensure that all authentication techniques are in accordance with all applicable laws, regulations and statutes and the Rules. Sage may, at its option, initiate a pre -notification entry for any ACH transaction. If Sage chooses to transmit pre- notification entries, it will not initiate live dollar entries until at least six (6) banking clays following the settlement date of the pre -notification entry. Such notice shall be provided to the Bank in the format and on the medium provided in the Rules. After Sage has received notice that any such notification has been rejected by a receiving financial institution, or that a receiving financial institution will not receive Entries without having first received a copy of the authorization signed by its custorner, Sage will not initiate any Entry to such customer unless and until the Company provides Sage and the receiving financial institution with such authorization within the time limits provided by the Rules. If individual ACH transaction values or the monthly total of the Company's ACH Debits and Credits exceeds Sage's standard limits, Company may request Sage to increase these limits by agreeing to additional underwriting review to be performed by Sage. If Rejects or Returns exceed two percent (2.0%) of total monthly transaction volume, Sage reserves the right to (i) adjust transaction fees and rates, (ii) require reserves, or additional reserves as defined in this Agreement; or (iii) to cease providing the Services described hereunder if Sage in its sole discretion determines that the Services provided to the Company hereunder contribute to an unacceptable volume of ACH returned items. Additional factors that may determine adjustment of fees, potential reserves or cancellation include average sale amount, processing volume, credit volume, and other factors that may affect the risk of fraud or merchant instability, in the sole discretion of Sage. 5. Rejects/Returns/Revocations of Authorization: Reserve Account. Sage shall notify the Company by PLEASE NOM The courplete VIRTUAL CHECK Merchant Agreement inchrdes these terms and conditions andan application on three (3) additional pages. Rev 11.11 fax or electronic transmission of the receipt of a returned Entry fi•om the ACH Operator no later than two (2) business clays after such receipt. Except for an Entry transmitted by the Company in accordance with Section 3, Sage shall have no obligation to re -transmit it returned Entry or reinitiate an Entry without further evidence of valid authorization. flll returned Entries are each subject to an additional $26.00 return fee, unless otherwise stated in this agreement. Company hereby agrees, if so requested by Sage, to maintain a reserve with Sage with a sufficient balance in Sage's sole discretion to cover Returns, NSF, reversal of ACH transactions and similar debits and fees payable hereunder and any other liabilities of Company as specified in Section 16 ("Reserve Account"). Company authorizes Sage to establish and maintain reserves in such Reserve Account by means of offset from daily settlement activity or provide such reserve funds requested by Sage within 418 hours of the request. Company will pay to Sage the amount of any returned debit that cannot, for any reason in part or in whole, be debited against Company. Company understands that electronic funds transfers can be "charged back" or "returned" against the Originating Financial Depository Institution's account for up to 60 clays following the statement (late of the receiving institutions' transaction notification to customers' accounts for debit and credit entries. If the Company wishes to revolve an authorization, (other than for it POP, TEL and Single Entry WEB entries) it must do so directly with Sage and provide an executed affidavit to the RDFT that the debit entry has been revolved directly with Sage. Sage's Bank may request it copy of the affidavit within one (1) year of the date on which the adjustment entry was initiated by the RDFI. 6. Compliance with Laws and the Rules; Notification of Change. The Company and its principals understand the Rules, agree to be bound by, and shall comply with the Rules. Furthermore, the Company agrees to comply with all applicable Federal, state and local laws, rules and regulations as amended from time to time regarding the subject matter of this Agreement, including but not limited to the Federal Fair Credit Reporting Act and Regulation E, 12 CFR 205 et. seq., Regulation CC, Articles 4� and 4A of the Uniform Commercial Code, and the Electronic Funds Transfer Act. The specific duties of the Company provided in this Agreement in no way limit the foregoing undertaking. The Company agrees that it will promptly respond to all Reports of Possible ACH Rules Violation to Sage. Company bears the final responsibility to ensure that its consumers' policies and procedures meet the requirements of the Rules. The Company agrees to consult with its counsel regarding compliance of its authorization and payment procedures and its compliance with the Rules, and shall not rely on Sage for any advice with respect to compliance with the Rules, or any Federal, state, or local rule, statute, regulation or law. Sage shall make reasonable attempts to provide the Company with a notification of' change ("NOC") from the ACH Operator within two (2) business days following the Bank's receipt of same, if the Bank has provided Sage with the NOC. Sage shall, following receipt of an NOC, reserve the right not to re -transmit SageMerchmrt Agreement or reinitiate an Entry without confirmation that the Entry is accurate. 6.01 IRS Withholdings and Reporting. Section 605OW of the Internal Revenue Code ("Code") requires payment providers and third party payment networks, such as Sage, to repot payment settlement amounts to the Internal Revenue Service ("IRS") for each Company processing through Sage. Company shall verify its identity by providing Sage with a Tax Identification Number ("TIN") such as a Social Security Number (SSN) or Employer Identification Number (EIN) for each Company Account. In the event Company fails to provide its TIN, Sage will place a restriction on Company's Account and may restrict the receipt of funds into Company's Account, or withhold a percentage of payments deposited into Company's Account in order to satisfy the backup withholding requirements of the IRS. 7. Rejected Entries. Sage shall use reasonable efforts to notify the Company of a rejected Entry by fax or electronic transmission no later than the following business day such Entry would have been transmitted by Bank or ACH Operator to Sage. Regardless of the reason for a rejected Entry, it shall be the responsibility of the Company to remake such Entries or provide sufficient data for Sage to remake the same; provided, however, that Sage shall remake such Entries in any case where such rejection by the ACH was clue to mishandling of such Entries by Sage and sufficient data is available to Sage to permit it to remake such Entries. The Company shall retain and provide Sage on request all information necessary to remake any file of Entries for three (3) clays after the midnight of the Settlement Date. 8. Reversals; Erroneous Entries, The Company shall be responsible for monitoring the accuracy of all transmittals and of notifying Sage of any duplication or error requiring correction. The Company shall not knowingly transmit any false information. Sage may assess a processing fee of up to $500 per occurrence for each instance in which it proves that the Company has knowingly transmitted false information as part of an Entry. If the Company discovers that any Entry it has initiated was in error, it must notify Sage within 24, hours of the discovery of the error. If such notice is received no later than three hours prior to the ACH receiving deadline, Sage will utilize reasonable efforts to initiate a reversing Entry or stop payment of any "on us" Entry within the time limits provided by the Rules. If such notice from the Company is received after the time provided above, Sage would utilize its reasonable efforts on behalf of the Company. Except for an Entry transmitted by the Company in accordance with Section 3, Sage shall have no liability for and shall be indemnified (including attorneys' fees ,incl costs) by the Company f'o• its efforts to affect an adjusting Entry or stop payment. J. Marketing Materials; Use of Sage Marks; Company's Marlys. The Company shall have a non- exclusive license to use Sage marketing materials containing the Sage name, service mark, symbols, and logos associated therewith as may be supplied by Sage from time to tine including but not limited to EFTCash© Sage•r'M, Sage Virtual Check""', and Sage Page 2 of 2 Gatewayr'M (the "Sage Marks"). The Company will use the Sage Marks only in a manner and form approved by Sage. Company is granted by Sage the right to use the Sage logo unaltered on its web -site in the reasonable representation of the Company's use of the Services until such time as this Agreement is terminated and solely in the connection with the solicitation of its customers' agreement to utilize the Services provided hereunder. All right, title, ownership and interest in and to the Sage Marks remain with Sage, and upon termination of this Agreement, the Company shall have no further right to the use of the Sage Marks, shall immediately cease all use and display thereof, and shall return to Sage all such marketing materials provided by Sage and remaining in Company's possession. If at any time (hiring the term of this Agreement, Sage determines that the Company is not utilizing the Sage Marks in accordance with the terms of this Agreement, Sage may demand that the Company cease and desist from all use of the Sage Marks and return all such marks directly to Sage. The Company is fully responsible for the content of its web site and for the advertising and promotion through any media of all of its offerings. The Company certifies and represents to Sage that it is the owner or that it has fill right and authority to use and disseminate all information, data, graphics, text, video, music or other intellectual property which either forms it part of its web -site, which is provided by Company to its consumers, or which is used by Company in its advertising or promotion, 10. Acceptance of ACH Rules. In order to facilitate the Company's compliance hereunder with the Rules and with applicable law, subject to the limitations set forth in Paragraph 6, Sage may provide certain materials, and forms ("Materials") and may make available appropriate personnel as it deems appropriate to assist the Company to maximize their use of the Services offered hereunder. The Company further acknowledges that it is an Originator under the Rules. All Materials are provided solely fo, the convenience of the Company, and Sage makes no representation or warranty as to the legal sufficiency thereof and assumes no liability therefore, and Company represents and warrants that it will have its own legal counsel review the sufficiency thereof and will rely on its own business an([ legal judgment in determining to what, if any, extent it wishes to utilize Sage Materials. All such forms shall be printed at the sole expense of the Company and all unused Materials shall be returned to Sage or destroyed by the Company upon termination of this Agreement. 11. Data Retention: Verification and Security. The Company shall retain data on file adequate to permit remaking of Entries for seven (7) banking (lays following the date of their transmittal by Sage as provided herein, and shall provide such data to Sage upon its request. For Internet -initiated Entries, the Company represents and warrants that it shall ensure that the financial information it receives is protected by security practices and procedures that include (i) physical security to protect against theft, tampering or damage, (ii) personnel and access controls to protect against unauthorized access and use, (iii) network security to ensure secure capture, storage and distribution, (iv) 128 -bit encryption technology for PLEASE NOM The complete VIRTUAL CHECK Merchant Agreement includes these terms and eonditimrs mrd mr application on three (3) additional pages. Rev 11.11 Internet transactions, (v) commercially reasonable fraud detection systems, (vi) procedures to verify routing numbers and authenticate consumer identity, and procedures to establish credit -worthiness and exposure limits for its customers. Company agrees that it shall conduct or have conducted annual audits to ensure that the financial information it obtains fi,om its customers is protected by security practices anal procedures that include, at a minimum level, the practices set forth in (i) through (iii), hereinabove. For each Entry initiated in response to a telephone authorization from a consunner, Company represents and warrants that its has employed commercially reasonable procedures to verify the identity of the consumer; and that it has utilized commercially reasonable procedures to verify that each routing number is valid. 12. Representations and Warranties of Company. The Company represents, warrants and agrees that (a) All information contained in this Agreement, any application or in any other documents delivered to Bank and/or Sage in connection therewith is true and complete and properly reflects Company's business, financial condition and principal partners, owners or officers; (b) this Agreement (i) has been duly authorized, and delivered by the Company; (ii) is in full force and effect; (iii) the person executing this Agreement is duly authorized to bind the Company to all provisions of this Agreement; and (iv) such person is authorized to execute any and all documents and to take any action on behalf of the Company which may be required by Sage now or in the future; (c) this Agreement aloes not violate any law or conflict with any other agreement to which the Company is bound; (d) There is no action, suit or proceeding pending or threatened which if decided adversely would impair Company's ability to carry on its business substantially as it is now being conducted; (e) the Company has obtained all necessary regulatory approvals, licenses and certificates to provide any services that it intends to offer; (f) the Company shall perform its obligations under this Agreement in accordance with all applicable laws and regulations, regardless of the nature of the laws and regulations, and shall continue to comply with all applicable laws and regulations that may apply to it in the future; (g) Company shall be bound by and comply with the Rules as in effect from time to time and acknowledges that Entries may not be initiated that violate the Rules, or laws of the United States; (h) it shall pay all taxes and other charges imposed by any governmental authority on the Services provided under this Agreement (i) each person shown as the Receiver oil an Entry received by Sage from Company has authorized the initiation of such Entry and the crediting and/or debiting of such person's account in accordance with the Rules, by Regulation E or other applicable law and this Agreement in the amount and on the Effective Entry Date shown on such Entry, and the Company will retain all of such authorizations fbr a period of six (G) years after their termination or revocation or for such longer period as may be required by the Rules or applicable law and provide a copy to Sage upon request; (j) such authorization is valid at the time of transmittal or crediting/debiting by Sage as provided herein and has not been revoked by operation of law or otherwise; (k) Entries transmitted to Sage by Company Sage Merchant Agreement are limited to those types of credit and debit Entries set forth in Schedule A, and is for an amount which, as of the applicable Settlement Date, will be clue and owing, has been specified to be paid, or is a correction of'a previously transmitted erroneous Entry; (1) except as otherwise notified by Company, each of the Customer Accounts is a "consumer account" within the meaning of Federal Reserve Board Regulation E; (in) all transactions submitted hereunder are bona fide; (n) Company has never been terminated for cause fi•on all agreement in which the Services contemplated herein are provided; (o) this Agreement constitutes the legal, binding and enforceable obligation of Company, enforceable in accordance with its terms; (p) each Entry conforms in all respects to the Rules and applicable law; and (q) Company authorizes Sage to audit its records to confirm compliance with this Agreement. All Sage instructions as set forth in this Agreement or in any schedule shall be complied with by Company. Non-compliance may result in immediate implementation of non-compliance fines and/or cessation of service by Sage. 13. Liability; Limitations on Liability. Sage shall be responsible only for performing the Services expressly provided for in this Agreement, and may be liable only for its gross negligence in performing those Services. Sage shall not be responsible for the acts or omissions of the Company or its owners, directors, officers, employees or representatives (including without limitation the amount, accuracy, timeliness of transmittal or clue authorization of any Entry received from the Company) or those of any other person, including, without limitation, the Bank, any Federal Reserve Bank or transmission or communications facility, any Receiver or Receiving Depository Financial Institution (including without limitation the return of an Entry by such Receiver or Receiving Depository Financial Institution), and no such person shall be deemed Sage's agent. Sage also will not be responsible for any loss, liability or delay caused by fres, earthquakes, wars, civil disturbances, power surges or failures, acts of government, labor disputes, failures in coin inunication, networks, legal constraints or other events beyond its control. Because of the difficulty of determining actual damages for any failure of Sage to perform its obligations under this Agreement, the parties agree that the extent of any damages hereunder, if any, shall be limited in amount to the greater of the Minimum Transaction Processing Fees or the amount of the Transaction Processing Fees based upon the Schedule of Charges (Fees) attached to this Agreement paid for the one calendar month preceding the month in which the loss occurred. IN NO EVENT SHALL SAGE BE LIAI3LE FOR ANY CONSEQUENTIAL, SPECIAL, PUNITIVE OR INDIRECT LOSS OR DAMAGE WHICH THE COMPANY MAY INCUR OR SUFFER IN CONNECTION WITH THE PERFORMANCE OF THIS AGREEMENT, INCLUDING ANY LOSS OR DAMAGE FROM SUBSEQUENT WRONGFUL DISHONOR RESULTING FROM SAGE's ACTS OR OMISSIONS PURSUANT TO THIS AGREEMENT. SAGE DISCLAIMS ALL WARRANTIES, EXPRESS OR IMPLIED, INCLUDING THOSE OF MERCHANTIBILITY AND FITNESS FOR A PARTICULAR PURPOSE, IN RELATION TO THE Page 3 of 3 SERVICE, ITS USE AND THE RESULTS OF SUCH USE. Without limiting the foregoing, Sage specifically disclaims any warranty (i) that the service will be uninterrupted or error -free, (ii) that defects will be corrected, (iii) that security methods employed will be sufficient, or (iv) the service will be correct, accurate or reliable. Ln addition, Sage shall be excused from failing to transmit or delay in transmitting an Entry if such transmittal would result in the Bank's having exceeded any limitation upon its intra -clay net £nils position established pursuant to Federal Reserve I3oard guidelines or if Sage otherwise would cause the violation of any provision of any risk control program of the Federal Reserve Board or any rule or regulation of any other US governmental regulatory authority. Sage's liability for loss of interest resulting from its unexcused error or delay shall be calculated by using a rate equal to the average Federal Funds rate at the Federal Reserve Bank of New York for the period involved. At Sage's option, payment of such interest may be made by crediting the Authorized Account resulting from any claim for which Sage is liable for under this Section 13. 14, Indemnification. The Company shall be liable for anal shall indemnify and hold harmless Sage and the Bank and their employees, officers, directors, agents and affiliates from and against any claim, loss, damage, penalty, cost or expense (including attorneys' fees and expenses) resulting or arising from (a) any breach of any of the representations, warranties and agreements of the Company contained in this Agreement, (b) any claim of any person whatsoever of whatever nature arising out of this Agreement, and for all attorneys' fees and other costs or expenses paid by Sage in the enforcement of this Agreement, including, but not limited to those resulting from any transaction processed under this Agreement and/or (c) any costs or expenses incurred by Sage related to any bankruptcy filing that Company may file. If any of the Entries that are on Sage's system belonging to Company are subpoenaed by legal process or otherwise, Sage shall use reasonable efforts to notify Company. If Company does not respond in a timely manner, and/or thirty (30) clays elapses from Sage's receipt of subpoena, Sage may produce records in accordance with the subpoena. Notwithstanding the foregoing, should Company request that Sage not produce any records in response to a valid subpoena, Company shall indemnify and pay all costs incurred, including attorneys' fees that Sage incurs in opposing the subpoena. Sage shall estimate the costs and attorneys' fees of opposing the subpoena, and Company shall pay those fees and costs to Sage BEFORE Sage has any obligation to take any action to oppose the subpoena. If Company fails to pay the costs and fees in advance, Sage shall have no obligation to oppose the subpoena and may respond to it in accordance with its terms. Should Company pay Sage's fees and costs in advance, Sage shall oppose the subpoena but does not warrant whether it will be successful in doing so, IG. Compensation. The Company shall pay Sage the fees and charges for the Services rendered hereunder in accordance with the Fees and Charges as set forth in this Agreement. Such fees and charges do not include, and Company shall be responsible for payment of, ally sales, use, excise, value added, utility or other similar PixAsr,Nmy, ne ea gvete VIRTUAL CHECK Merdimi Agreen,ent includes these (erns int! carditions and nn applira/ion on dvee (3) addi/ional pages. Rev ILII taxes relating to the Services provided for herein, and any fees or charges provicled fbr in any related account agreement with the Bank. The fees and charges ar suhiect to change upon so days' Prior written notice (hy electronic or U.S, mail) to the Coinpany. Upon receipt of any notice of fee increase, the Company may, by written notice to Sage given at least 10 clays prior to the effective date of any such fee increase, terminate this Agreement as set forth in Paragraph 17. In such event no cancellation fees will be charged. The effective (late of termination shall be no later than 90 days following the date of the Company's notice. Any such fee increase shall not be effective with respect to the Company during the notice period. If Company does not terminate the Agreement, it shall be cleemed to have accepted the fee and cost increase. 16. Collection of Amounts from Debit Entries and Fees. Concurrent with the execution and delivery of this Agreement, Sage shall have established a fiduciary account and a ledger account on its books in correction with its master account, titled "Sage Corporation/Ficluciary" (the "Agent Account") with the Bank(s) into which finds received from Customer Accounts shall be credited and from which finds may be debited by Sage for settlement in accordance with this Agreement. Within 5 clays of the Settlement Date of the respective debit Entries initiated by it hereunder (or such longer period as may be required by Sage as a condition to acceptance of this Agreement, which shall be specified in a written notice to the Company), Sage shall direct the remittance to the Company of the aggregate amount of such debit Entries less (i) all applicable fees and charges payable to Sage under this Agreement or required by Sage to fund or replenish the reserve established hereunder and (ii) the amount of rejected Entries and returns of debit Entries (the "Net Settlement Amount"). Periodic and other single charges payable hereunder shall be deducted fi•om the first transmittal of Entries received during the period in which the fee or charge is payable. From time to time, Sage shall debit the Agent Account, the Authorized Account, or related clearing account for fees and charges earned trader this Agreement and for any returns not previously deducted. The Company authorizes Sage and Bank to debit via ACH the Agent Account, the Authorized Account, the Reserve Account, any other account the Company has with Sage, an affiliate or subsidiary of Sage, Bank or at any other financial institution as an offset for any amount the Company owes under this Agreement o' under any other contract, note, guaranty, or dealing of any (rind now existing or later entered into between the Company and Sage or any subsidiary or affiliate, whether the Company's obligation is direct, indirect, primary, secondary, fixed, contingent, joint or several. hn the event such ACH does not fully reimburse Sage and Bank for the amount owed, the Company will immediately pay Sage and Bank such amount. The Company acknowledges that this Agreement is an agreement pursuant to which Sage is extending the Company financial accommodations within the meaning of Section 366(c) of the Bankruptcy Code. In the event Company becomes a clebtor in any bankruptcy or similar proceeding, this Agreement cannot be assumed or enforced by any other person Sage Merchant Agreement and Sage shall be excused from any further performance hereunder. 17. Term. Except as otherwise provided herein for earlier termination, the initial term of this Agreement shall be three (3) years commencing as of the Effective Date hereof and shall be automatically renewed for additional two (2) year terms, unless either party gives to the other party written notice of its intention not to renew at least ninety (90) clays prior to the expiration of the then current term. The effective date ("Effective Date") shall be defined by the date the contract is ratified by Sage. Upon receipt of any ''anterial modification to this 4greement as set forth in Paragraph 75 the Company may terminate this 11greentent within seven calendar days after delivery of notice of ter inination to Sage. Notwithstanding the foregoing, this Agreement shall not terminate beyond the term of Sage's agreement with the Bank for the origination of ACH entries. 1S. Default; Termination. Sage shall have the right to immediate termination of this Agreement if the Company's representations and warranties contained in this Agreement are not true and correct both on the clay made and at any time during the term of this Agreement. Sage may also cancel any account fbr any customer of Company or Company if it participates in any illegal, unethical or other unacceptable behavior that Sage, in its sole discretion, deems to adversely reflect on Sage's reputation, and either party may terminate this Agreement if the other party (i) is in default of any obligation under this Agreement (which shall include nonpayment offers and charges) and such default has continued for fifteen (15) days following notice and opportunity to cure, (ii) files or suffers the filing of a petition for relief nuclei- the bankruptcy laws or (iii) makes an assignment of all o• substantially all of its assets for the benefit of creditors. Any termination of this Agreement shall not affect any of the obligations of either party arising prior to such termination. Notice of termination must be given in writing by Company. Upon termination of this Agreement by Company during the Initial Term or any Renewal Term, Company shall pay to Sage a Termination Fee of Twenty -Five ($26.00) Dollars for every month remaining in any such term ("Termination Fee"), except that a Termination Fee shall not be owed to Sage in the event of a termination for a fee increase as set forth in Paragraph 16. Upon termination as set forth in this Paragraph, the Company shall notify Sage of the effective date of such termination, and any processing fees due to Sage must immediately be paid upon notice of cancellation. Sage shall retain in the Agent Account for it period of no less than one hundred fifty (150) clays following termination an amount in reserve sufficient, in its sole discretion, to pay for any items returned subsequent to the effective date of' termination to cover return items. Accounts are not closed until the account balance is paid in full. Sage is hereby authorized to draft from Company's bank account the amount of all fees clue upon cancellation. During this period, Sage shall forward to the Company return item verifications as they are received. At the expiration of such period, Sage shall return any remaining fiords owed the Company or invoice the Company for any return item amount still clue it. Any Page 4 of 4 termination by Company will not affect Sage's rights or obligations arising before the termination. 19. Status of Saee. The parties hereto acknowledge and agree that Sage is acting solely in the capacity of data processing agent for the Company, has no responsibility for providing any funds to the Bank to cover any Entry it transmits on behalf of the Company, and the Company, any accounts established by the Company, hereunder or otherwise, and/or the Guarantor(s) are liable for any and all compensation clue Sage for its Services as agent. 20. Security Procedures; Confidentiality. The Company agrees to comply with the procedures established by Sage or the Bank for security as are communicated to it either orally or in writing and will contact Sage immediately if it has reason to believe that confidentiality has been or is likely to be breached. 21. Notices. All notices, requests and other communications under or in connection with this Agreement shall be in writing and shall be given by electronic mail, facsimile transmission, express carrier or United States registered or certified mail, addressed to the applicable party or parties at the address provided to the other or as set forth above, or at such other address as may be designated by notice as provided herein. Any such communication shall be effective upon its receipt. 22. Binding Agreement; Third Party Beneficiary. The terms of this Agreement shall be binding upon and inure to the benefit of each party hereto and its respective successors and permitted assigns. The Company agrees that the Bank shall be a third party beneficiary of this Agreement and, without limitation as to other rights as it third party beneficiary, shall be entitled to rely on the representations, warranties and agreements of the Company as if made in a written agreement directly between the Bank and the Company. Except as expressly contemplated by herein, this Agreement shall not benefit or create any right or cause of action in or on behalf of any person other than the parties hereto and the Bank. 23. Amendment. From time to time Sage may amend any of the terms and conditions contained in this Agreement, including without limitation, any cut-off time, any business day in order to comply with modifications to applicable laws and regulations and the Rules. Such amendments shall become effective upon receipt of notice by the Company or such later (late as may be stated in Sage's notice to the Company. 24, Assignment. The Company may not assign this Agreement or any of the rights or obligations hereunder, without the prior written consent of Sage, which consent shall not be unreasonably withheld. 26. Entire Agreement; Headings. The terms and conditions contained herein together with the Agent Account, application, Authorized Account and any exhibits hereto constitute the entire agreement between the parties hereto relating to the subject matter hereof and supersede any prior agreement or understanding and except as set forth herein, may only be modified in writing executed by all parties. In the PLEASEN0I7K• The complete VIRTUAL CHECKMeachmrt Agreement includes these twins and conditions and an applicalion on Ihree (3) additional pages. Rev 11.11 event of any inconsistency between the terms of this Agreement and any Materials/Instructions provided by Sage, the terms of this Agreement shall govern. Headings contained in this Agreement are used for reference purposes only and are not a part and shall not of act the construction or interpretation of this Agreement. 26. Credit and Financial Inquiries. (a) Company authorizes Sage to make, at any time, any credit inquiries which either may consider necessary to accept or review acceptance of this Agreement subsequent to Sage's acceptance of this Agreement. Such inquiries shall include, but are not limited to, a credit check of the business including its proprietor, partners, principal owners or officers. If requested to do so by Sage, Company shall provide the written consent of any person for which an inquiry has been or is to be made if such person has not executed this Agreement and will ,provide any financial statements income tax and business tax returns and other financial information as Sage may consider necessary to perform initial or periodic reviews of Merchant's financial stability and business practices 27. _Severability. In the event performance of the Services required hereunder would result in a violation of any present or future statute, regulation or government policy to which Sage is subject, then any provision of this Agreement the performance of which would constitute such a violation shall be deemed null and void, and this Agreement shall be deemed amended to the extent necessary to comply with such statute, regulation or policy, and Sage sliall incur no liability to the Company as a result of its performance in accordance with any such amendment. 28. Survival. All representations, warranties, covenants, and agreements of the Company contained herein shall survive the execution, delivery and termination of this Agreement. 29. Governing Law; Jurisdiction; Waiver of Jury Trial. This Agreement shall be governed by and construed in accordance with the laws of the Commonwealth of Virginia without giving effect to choice of law rides. The Company consents to the jurisdiction and venue of the United States District Court for the Eastern District of Virginia and the courts of general jurisdiction of Fairfax County, Virginia as applicable, to the exclusion of all other forums. EACH PARTY HERETO IRREVOCABLY WAIVES ALL RIGHTS IT MAY HAVE TO TRIAL BY JURY IN ANY ACTION, PROCEEDING OR CLAIM OF ANY NATURE ARISING OUT OF, BY VIRTUE OF, OR IN ANY WAY CONNECTED TO TI -IIS AGREEMENT, ANY DOCUMENT EXECUTED IN CONNECTION HEREWITH, ANY AMENDMENT OR SUPPLEMENT HERETO OR THERETO, OR ANY OF THE TRANSACTIONS CONTEMPLATED HEREBY OR THEREBY. COMPANY ACKNOWLEDGES THAT THE FOREGOING WAIVER IS KNOWING AND VOLUNTARY. 30. Counterparts. This Agreement may be executed in any number of counterparts, each of which shall be Sage Merchant Agreement deemed an original, but all of which together shall be deemed to be one and the same instrument. A facsimile signature will be binding and legal in all respects as if' it were an original signature to the Agreement. 31. Consent to E -Mail Coin inunications. 13y entering into this Agreement with Sage the Company is consenting to the receipt of electronic snail ("e-mail") from Sage. 32. Non -Compliance. Non-compliance with the terms of this Agreement could result in immediate implementation of non-compliance fines to Company and/or cessation of the service described hereunder by Sage. 33. Appointment as Agent. The Company desires to effect settlement of credits and debits from the clearing account of Sage by means of ACH as anticipated by Agreement. In accordance with this desire, the Company authorizes Sage to initiate debit and credit entries to the Authorized Account. By signing this authorization, the Company states that it has authority to agree to such transactions and that the Authorized Account indicated is it valid and legitimate account for the handling of these transactions. This authority is to remain in effect until Sage receives written notice fi•om the Company withdrawing it. This authorization is for the payment of fees, returns, credit collections, and disbursements. The Company also certifies that the appropriate authorizations are in place to allow the Company to authorize this method of settlement. 34. Authorization and Notification Requirements. Transactions processed through the Automated Clearing House (ACH) are strictly controlled by Governmental Regulations and monitored by the Federal Reserve. The Company must have appropriate authorization from Receivers for initiation of Entries. The following directive is offered to promote accuracy and standardization for authorization requirements: A statement authorizing the Originator (Company) to initiate credit or debit entries to the consumer's account and authorizing the RDFI to accept and post them to such account including (i) Account and Routing numbers must be accurately stated; (ii) date and signattu•e(s) are required, except that in the case of Internet or other electronically initiated transactions, there must be evidence of similar authentication by the Receiver ; (iii) Originators (Companies) must ensure that the consumer is completely aware of the nature of the product or service that Ise or she is purchasing; (iv) provisions that permit the consumer to terminate the authorization by written notification to the Originator (Company) in such time and manner to afford the Originator (Company) and the RDFI reasonable opportunity to act on such notification. In an application where the debit amount varies, specific additional requirements apply. If a pre -authorized debit transfer varies from it previous transfer relating to the same authorization or from a fixed pre - authorized amount, the Originator (Company) must mail to the customer or deliver to him written notice of the amount and scheduled date of the transfer at least ten (10) calendar clays before the scheduled transfer date. Additionally, if the Originator (Company) informs the consumer of the right to receive notice of Page S of 5 all varying transfers, the consumer may elect to receive notice only when a transfbr does not fill within it specified range of amounts; or, alternately, the consumer may elect to receive notice only when a transfer differs from the most recent transfer by more than an agreed upon amount. 35. Attorneys Fees. Company will be liable for and will indemnify and reimburse Sage for all attorneys' fees and other costs and expenses paid or incurred by Sage in the enforcement of this Agreement, or in collecting any amounts due from the Company to Sage or resulting from any breach by Company of this Agreement. 36. Security Interest. TO SECURE ALL OBLIGATIONS OF COMPANY TO SAGE ARISING FROM THIS AGREEMENT, COMPANY HEREBY GRANTS SAGE A LIEN AND SECURITY INTEREST IN ALL TRANSACTIONS AND ITEMS SUBMITTED FOR PROCESSING, ALL RIGHTS RELATED TO THIS AGREEMENT, INCLUDING WITHOUT LIMITATION ALL AMOUNTS DUE COMPANY, ALL DEPOSITS REGARDLESS OF SOURCE, TO ANY OF COMPANY'S ACCOUNTS ESTABLISHED AS SET FORTH IN THIS AGREEMENT OR OF ANY PARTY SIGNING THIS AGREEMENT PERSONAL GUARANTY (THE "SECURED ASSETS"). Said security interest may be set off or otherwise be exercised by Sagewithout notice or demand of any kind. The exercise of this security interest shall be addition to any other rights of Sage under the Uniform Commercial Code, this Agreement, applicable laws or in equity. The parties specifically acknowledge and affirm that pursuant to the Uniform Commercial Code of Virginia, this Agreement shall constitute it security agreement and that Sage has a general lien upon the accounts described in this Agreement and right of offset against all funds that may be clue to Company, which shall stand as one continuing collateral security for the timely performance of Company's obligations to Sage. Sage shall also have the right to require the Company to furnish such other and different security, as Sage shall deem appropriate in its sole discretion in order to secure Company's obligations under this Agreement. Company agrees to execute any documents or take any actions required in order to comply with and perfect any security interest under this Section at Company's cost. To the extent permitted by law, Company authorizes Sage to execute any financing statement or other documents relating to this security interest. Company represents and warrants that no other party has a security interest or lien in the Secured Assets. 37. Force Majeure. Sage shall not have any responsibility and shall incur no liability for any failure to carry out, or any delay in carrying out, any of its obligations under this Agreement resulting frons acts, omissions, or inaccuracies of third parties not under its reasonable control, acts of God (including, but not limited to, fire, floods or adverse weather conditions), labor difficulty, legal constraint, war, terrorism, the unavailability or interruption of transmission or communication facilities or utilities, equipment or other technological failure, emergency conditions or any other cause beyond its reasonable control. PLEA SEN077,' Me cnnrplele VIRTUAL CHECKMuMeanl Agreement inchrdes these terwsand conditions and an application on three (3) additionalpages. Rev 11.11 VIRTUAL CHECK AGREEMENT BETWEEN CITY OF EAGAN AND SAGE PAYMENT SOLUTIONS AMENDMENT TO TERMS AND CONDITIONS This Terms and Conditions to the Virtual Check Agreement ("Agreement") by and between Sage Payment Solutions, Inc. ("Sage") and City of Eagan ("Company"), are hereby amended and is effective December 1, 2015 ("Effective Date"). Capitalized terms used, but not otherwise defined, herein shall have the same meanings assigned to those terms in the Agreement. WHEREAS, the Parties desire to modify the Agreement to amend the Terms and Conditions. NOW, THEREFORE in consideration of the foregoing and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties agree to amend as follows: The second sentence of the opening paragraph shall be deleted in its entirety and replaced with the following: The term "Sage" means "Sage Payment Solutions, Inc." a Delaware corporation. 2. Article 12(a) shall be deleted in its entirety and replaced with the following: All information contained in this Agreement, any application or in any other documents delivered to Bank and/or Sage in connection therewith is true and complete and properly reflects Company's business, financial condition and officers 3. The third sentence of Article 12(d) shall be deleted in its entirety and replaced with the following: Non-compliance may result in immediate cessation of service by Sage. 4. The fifth sentence of Article 12 shall be deleted in its entirety and replaced with the following: "EXCEPT AS SPECIFICALLY PROVIDED IN THIS AGREEMENT, SAGE DISCLAIMS ALL WARRANTIES, EXPRESS OR IMPLIED, INCLUDING THOSE OF MERCHANTIBILITY AND FITNESS FOR A PARTICULAR PURPOSE, IN RELATION TO THE SERVICE, ITS USE AND THE RESULTS OF SUCH USE." The first sentence of Article 14 shall be deleted in its entirety and replaced by the following: To the extent permitted by Minnesota law, the Company shall be liable for and shall indemnify and hold harmless Sage and the Bank and their employees, officers, directors, agents and affiliates from and against any claim, loss, damage, penalty, cost or expense (including attorneys' fees and expenses) resulting or arising from (a) any breach of any of the representations, warranties and agreements of the Company contained in this Agreement, (b) any claim of any person whatsoever of whatever nature arising out of this Agreement, and for all attorneys' fees and other costs or expenses paid by Sage in the enforcement of this Agreement, including, but not limited to those resulting from any transaction processed under this Agreement and/or (c) any costs or expenses incurred by Sage related to any bankruptcy filing that Company may file. 6. The fourth sentence of Article 15 shall be deleted in its entirety and replaced with the following: Upon receipt of any notice of fee increase, the Company may, by written notice to Sage terminate this Agreement. The fifth sentence of Article 16 shall be deleted in its entirety and replaced with the following: The Company authorizes Sage and Bank to debit via ACH the Agent Account, the Authorized Account, or the Reserve Account as an offset for any amount the Company owes under this Agreement or under any other contract, note, guaranty, or dealing of any kind now existing or later entered into between the Company and Sage or any subsidiary or affiliate, whether the Company's obligation is direct, indirect, primary, secondary, fixed, contingent, joint or several. The first sentence of Article 17 shall be deleted in its entirety and replaced with the following: "Except as otherwise provided herein for earlier termination, the initial term of this Agreement shall be three (3) years commencing as of the Effective Date hereof and shall be automatically renewed for additional one (1) year terms, unless either party gives to the other party written notice of its intention not to renew at least ninety (90) days prior to the expiration of the then current term. 9. The third sentence of Article 17 shall be deleted in its entirety. 10. The fifth sentence of Article 18 shall be deleted in its entirety. 11. The second sentence of Article 26 shall be deleted in its entirety and replaced with the following: Such inquiries shall include, but are not limited to, a credit check of the business. 12. The first two sentences of Article 29 shall be deleted in their entirety and replaced with the following: This Agreement shall be governed by and construed in accordance with the laws of the State of Minnesota without giving effect to choice of law rules. 13. Article 32 shall be deleted in its entirety and replaced with the following: 32. Non -Compliance. Non-compliance with the terms of this Agreement could result in immediate suspension or termination of the service described hereunder by Sage. 14. Article 35 shall be deleted in its entirety. 15. The first sentence of Article 36 shall be deleted in its entirety and replaced with the following: "TO SECURE ALL OBLIGATIONS OF COMPANY TO SAGE ARISING FROM THIS AGREEMENT, COMPANY HEREBY GRANTS SAGE A LIEN AND SECURITY INTEREST IN ALL TRANSACTIONS AND ITEMS SUBMITTED FOR PROCESSING, ALL RIGHTS RELATED TO THIS AGREEMENT, INCLUDING WITHOUT LIMITATION ALL AMOUNTS DUE COMPANY, ALL DEPOSITS TO AUTHORIZED ACCOUNT, OR RESERVE ACCOUNT AS SET FORTH IN THIS AGREEMENT (THE "SECURED ASSETS")." 16. The following Article shall be added to the Virtual Check Agreement: Data Practices and Audit. (a) If deemed applicable to SPS and required under Minn. Stat. § 13.05, subd. 11, all of the data created, collected, received, stored, used, maintained, or disseminated by SPS in performing the Company's functions under this Agreement is subject to the requirements of the Minnesota Government Data Practices Act, Minnesota Statutes Chapter 13, and SPS must comply with those requirements as if it were a government entity. (b) if applicable to SPS and required under Minn. Stat. §§ 6.551 and 16C.05, subd. 5, SPS's books, records, documents, and accounting procedures and practices relevant to this Agreement are subject to examination by the City of Eagan, State of Minnesota Legislative Auditor, and/or State of Minnesota Auditor, as appropriate, for a minimum of six years from the end of this Agreement. (c) SPS represents and warrants to Company that it will comply with the requirements set forth in this Section. 17. The following Article shall be added to the Virtual Check Agreement: SPS Responsibilities. SPS represents and warrants that it has the legal power and authority to enter into this Agreement. 18. The following Article shall be added to the Virtual Check Agreement: Insurance. Bank and SPS each agree to maintain in full force and effect during the term of the Agreement, at its own cost, the following coverages: (a) Commercial General or Business Liability Insurance with minimum combined single limits of One Million ($1,000,000) each occurrence and Two Million ($2,000,000) general aggregate; (b) Umbrella Liability Insurance with minimum combined single limits of Five Million ($5,000,000) each occurrence and Five Million ($5,000,000) general aggregate; (c) Errors and Omissions/Professional Liability Insurance with limits of liability of at least One Million Dollars ($1,000,000) per claim and in the aggregate; and (d) Cyber Insurance with limits of liability of at least One Million Dollars ($1,000,000) per claim and in the aggregate. Merchant shall be listed as an additional insured on certificate of insurance except for the Umbrella Liability and Errors and Omissions/Professional Liability policies. Bank and SPS agree to provide certificates of insurance evidencing such coverages to Merchant annually. This Amendment, together with the Agreement and any exhibits, schedules, attachments, appendices and amendments thereto, constitute the entire agreement between the Parties with respect to the subject matter hereof, supersede any other oral and written representations, understandings or agreements relating to the subject matter hereof, and may not be amended except by written agreement signed by the Parties. In the event of any inconsistency between this Amendment and the Agreement, the terms and conditions of this Amendment shall govern and control. If any provision of this Amendment is found to be void, invalid, or unenforceable, it shall be severed from and shall not affect the remainder of this Amendment, which shall remain valid and enforceable. Any such severed provision shall be replaced with a similar provision, which conforms to applicable law and embodies as closely as possible the original intent of the Parties. Except as modified by this Amendment, all other terms and conditions of the Agreement shall remain unchanged and in full force and effect. IN WITNESS WHEREOF, the Parties hereto, each acting with proper authority, have executed this Amendment as of the Effective Date. IN Name: Sage Payment Solutions, Inc. City of Eagan Name: Title: Title: TERMS AND CONDITIONS OF MERCHANT AGREEMENT These are the Terms and Conditions of Merchant Agreement referred to in the Merchant Processing Application ("Application") by and between Sage Payment Solutions, Inc. ("SPS"), BMO Harris N.A. ("Bank"), and the applicant ("Merchant") who has submitted the executed Application. ARTICLE I — ADDITIONAL DEFINITIONS 1.01 "Account" means it bank account maintained by Merchant as set forth in Section 6.10 for the crediting of collected finds and the debiting of fees and charges pursuant to this Agreement. 1.02 "ACH" means the Automated Clearing House paperless entry system operated by the Federal Reserve. 1.03 "Agreement" means the Application including the Schedule of Fees, these Terms and Conditions of Merchant Agreement with all exhibits and attachments, and any supplementary documents indicated herein, as amended from time to time, all of which constitute the Agreement. 1.04 "American Express" means American Express Travel Related Services Company, Inc. 1.05 "American Express Merchant Operating Guide" means the rules and regulations available at Nwww.americanexpress.con/mercliantopguide (or any successor or replacement website), as they may be amended from time to time by American Express. 1.06 "Authorization" means a computerized function or a direct phone call to it designated number to obtain credit approval for individual Transactions from the Card Issuer. 1.07 "Card" means any account or evidence of an account issued to a Cardholder under license from a Payment Brand, any or representative or member of a Payment Brand, that Merchant accepts as payment from Cardholders for goods or services. Cards include, but are not limited to, credit and debit/check cards, stored value cards, loyalty cards, electronic gift cards, authorized account or access numbers, paper certificates, and credit accounts and any other payment instrument with an embedded microcomputer EMV chip. 1.08 "Cardholder" (also referred to as "Card Member" in some Payment Brand materials) means the person whose name is embossed upon the face of the Card and who purports to be the person in whose name the Card is issued. 1.09 "Card Issuer" means the financial institution or company, which has provided it Card to the Cardholder. 1.10 "Chargeback" means the procedure by which, and the value of, a Sales Draft (o• disputed portion thereof) retuned to Bank by a Card Issuer. 1.11 "Credit Voucher" means a document executed by a Merchant evidencing any refund or price adjustment relating to Cards to be credited to a Cardholder account. 1.12 "Debit Card" means a plastic card used to initiate a debit Transaction, used primarily to purchase goods or services and obtain cash, for which the Cardholder's bank account is debited by the issuer. 1.13 "Discount Fee" means a fee charged on all Transactions that is payable by Merchant to SPS for processing Merchant's Transactions. 1.14 "Discover" means DFS Services, LLC. 1.15 "EMV" means Europay, MasterCard and Visa. 1.16 "Imprint" means: (i) an impression on a Sales Draft manually obtained from a Card through the use of an imprinter, or (ii) the electronic equivalent obtained by swiping a Card through a terminal and electronically printing a Sales Draft. 1.17 "MasterCard" means MasterCard International Incorporated. 1.18 "Payment Brand" means any payment method accepted by SPS for processing, including, without limitation, Visa, MasterCard, Discover, American Express and other credit and debit card providers, debit network providers, gift card, and other stored value and loyalty program providers. 1.19 "PCI DSS" means the Payment Card Industry Data Security Standards available at lnttp://www.peisecuritystandards.org, as amended from time to time. 1.20 "Reserve Account" has the meaning set forth in Section 6.06. 1.21 "Rules" means the rules, regulations, and other requirements of any Payment Brand or related authority, including, without limitation, those of the PCI Security Standards Council, LLC and the National Automated Clearing House Association, as amended from time to time. "Rules" includes without limitation the Visa USA, Inc. Operating Regulations, Visa International Operating Regulations, MasterCard Rules, Discover Operating Regulations, and the American Express Merchant Operating Guide. Capitalized terms not defined herein shall have the meanings set forth in the Rules. 1.22 "Sales Draft" means the paper form approved in advance by SPS, whether such form is electronically or manually imprinted, evidencing a sale Transaction. 1.23 "Transaction" means any retail sale of goods or services, or credit for such, from Merchant for which the customer makes payment through the use of any Card and which is presented to Bank for collection. 1.24 "Visa" means Visa Inc. 1.25 "Voice Authorization" means a direct phone call to a designated number to obtain credit approval on a Transaction. ARTICLE II - MERCHANT REPRESENTATIONS, WARRANTIES, COVENANTS AND AGREEMENTS 2.01 Honoring Cards. (a) Merchant will accept, without discrimination, all valid Cards properly presented for payment for bona fide, legitimate business transactions arising out of Merchant's usual trade or business and for Transactions originated by Merchant; (b) U.S. retailers may require a minimum purchase amount on credit card Transactions. The minimum purchase amount must not exceed $10.00 (ten dollars) and does not apply to transactions made with a Debit Card. Maximum transactions amounts may be established by Federal agencies and institutions of higher learning; (c) Merchant shall not require any Cardholder to pay any part of any fee imposed upon Merchant by this Agreement, whether through any increase in price or otherwise require a customer presenting a Card to pay any charge as a condition of sale that is not also required from a customer paying cash. However, Merchant may offer discounts to customers for cash purchases. Merchant may also charge it service fee on Transactions if Merchant charges a service fee: (i) for all payment methods (check, credit card, etc.) or (ii) for a specific payment mode (telephone) and not for other payment modes (face-to-face); (d) Merchant shall not accept a Card as payment (other than to the extent permitted by this Agreement), if the person seeking to use the Card does not present the Card to permit Merchant to examine it and obtain an Imprint or otherwise use the physical Card to complete the Transaction. Merchant shall not deposit any Transaction for the purpose ofobtaining or providing a cash advance either on Merchant's Card or the Card of any other party. Merchant agrees that any such deposit shall be grounds for immediate termination. Merchant shall not obtain under any circumstance Authorization for, not, process a sale on, any Card that Merchant is authorized to use. Processing Merchant's own Card is grounds for immediate termination, 2.02 Card Acceptance. When accepting a Card for a face-to-face Transaction, Merchant will follow the steps provided by Bank and SPS, and will: (a) Examine the Card for the Cardholder's signature and if the Card is not signed, request identification to confirm that the Cardholder is the person he/she purports to be and determine in good faith and to the best of its ability that the Card is valid on its face; (b) Check the effective date (if any) and the expiration date of the Card, examine any card security features (such as a hologram) included on the Card; and (c) Obtain Authorization before completing any Transaction (where Authorization is obtained, Merchant will be deemed to warrant the the identity of the customer as the Cardholder); (d) Unless the Sales Draft is electronically generated or is the result of an Internet, mail, telephone or preauthorized order, obtain an Imprint of the Card; (e) Enter a description of the goods or services sold and the price thereof (including any applicable taxes); (f) As required by the Rules, obtain the Cardholder's signature on the Sales Draft and compare that signature to the signature on the Card; (g) Deliver a true and completed copy of the Sales Draft to the Cardholder at the time of delivery of the goods or performance of the services, or if the Sales Draft is prepared by a point-of-sale terminal, at the time of the sale; (h) Provide the Sales Draft to the Cardholder following the purchase; and (i) Legibly reproduce the Cardholder's name, account number, expiration date, and the Merchant's name and place of business if that information is not legibly imprinted on the Sales Draft. In addition, for MasterCard Transactions, Merchant will legibly reproduce the name of the Card Issuer as it appears on the face of the Card. Each Sales Draft presented to Bank for collection shall be genuine and will not be the result of any fraudulent Transaction or telemarketing sale and shall not be deposited on behalf of any business other than Merchant. 2.03 Authorization. (a) Merchant will obtain a prior Authorization for all Card sales. If Merchant cannot, for any reason, obtain an electronic Authorization, Merchant will request it Voice Authorization from the designated authorization center, and will legibly print the authorization number on the Sales Draft; Sage Merchant Agreement Pagel of 9 Revision 20150806 PLEASE NOTE: The complete BANKCARD Merchant Agreement includes these terms and conditions and an application on three (3) additional pages. (b) Merchant will not obtain or attempt to obtain Authorization unless Merchant intends to submit a Transaction for the authorized amount; (c) Merchant will not divide a single Transaction between two or more Sales Drafts or two or more Cards; (d) Merchant will not attempt to obtain Authorization on an expired Card; (e) Merchant acknowledges that an Authorization provides only that the Cardholder account has sufficient credit available to cover the amount of the current sale, that an Authorization is not a guarantee of payment, and that an Authorization will not waive any provision ofthis Agreement or otherwise validate it fraudulent Transaction or a Transaction involving the use of an expired Card. Receiving an Authorization shall not relieve the Merchant o£liability for Chargeback on any Transaction; (f) Transactions will be deemed invalid on Cards that are expired, whether or not an Authorization has been obtained; (g) If Authorization is granted, Merchant shall print the Authorization number, or ensure that it appears legibly in the appropriate location on the Sales Draft; and (h) If Authorization is denied, Merchant shall not complete the Transaction and shall follow any instructions from the authorization center; (i) Merchant shall not obtain or attempt to obtain Authorization for a Transaction that it knows or should have known to be either fraudulent or not authorized by the Cardholder. 2.04 Retention and Retrieval of Cards. (a) Merchant shall use its best efforts, by reasonable and peaceful means, to retain or recover it Card upon receiving such instructions when making a request for Authorization or if Merchant has reasonable grounds to believe that the Card is counterfeit, fraudulent or stolen; (b) The obligation of Merchant imposed by this Section to retain or recover it Card does not authorize a breach of the peace or any injury to persons or property and Merchant will hold Bank and SPS harmless from any claim arising from any injury to person or property, or other breach of the peace in connection with the retention or recovery of a Card. 2.06 Compliance with Law: Payment Card Industry Data Security Standards; Non-Disclosture and Storage of Cardholder and Transaction Information Requirements. (a) Merchant confirms that it is, and shall be, in full compliance during the term ofthis Agreement with all laws, statutes and federal and/or state regulations, as well as the Rules as may be applicable to Merchant, its business and any Transaction (b) hnternet Merchants shall, at a minimum, include the following information and processes on their Internet sites, (i) prominent display of Merchant's name as "merchant" and as the name that will appear on the Cardholder statement, (ii) a complete description of goods or services offered; (iii) delivery standards including method and time for delivery; (iv) terms and conditions of purchase, and export or legal descriptions; (v) return/refund policy described in reasonable detail; (vi) opportunity to view and confirm order before order submission; (vii) secure method for payment data transmission; (viii) currency of transaction provided (USD); (ix) disclosure of Merchant's outlets to country of origin; (x) display of card association or payment network logos; (xi) clear disclosure of Merchant's privacy policy; (xii) alternate Merchant contact info options; and (xiii) display of web hosting company contact information; (c) Merchant hereby certifies that it (and any outside argent or contractor that it may utilize to submit Transactions to SPS) complies and will comply with the PCI DSS and Merchant hereby agrees to pay any fines and penalties that may be assessed by a Payment Brand as a result of Merchant's noncompliance with the requirements of PCI DSS), any data breaches, or by its fiailure to accurately validate its compliance. Merchant will review and monitor the PCI DSS and other related Rales in order to determine the timeframes and mandates for compliance under PCI DSS. The foregoing is all ongoing obligation during the term ofthis Agreement and as this Agreement may be renewed. Merchant acknowledges and understands that Merchant may be prohibited from participating in Payment Brand programs if it is determined that Merchant is non-compliant. The following lists certain (but not all) of the current PCI DSS requirements, all of which Merchant shall comply with, ifapplicable: (i) install and maintain a working network firewall to protect data accessible via the Internet; (ii) keep security patches up-to-date; (iii) encrypt stored data; (iv) encrypt data sent across networks; (v) use and regularly update anti-virus software; (vi) restrict access to data to business "need to know;' (vii) assign a unique ID to each person with computer access to data; (viii) do not use vendor supplied defaults for system passwords and other security parameters; (ix) track access data by unique ID; (x) maintain a policy that addresses information security for employees and contractus; and (xi) restrict physical access to Cardholder information. Merchant shall notify SPS i£it utilizes any third party that provides payment related services, directly or indirectly and/or stores transmits, or processes Cardholder data and Merchant is responsible ensuring compliance of any such third parties with PCI DSS. (d) To the extent Merchant is required under the Rules, or Merchant otherwise elects, to utilize EMV chip -capable terminals, all EMV chip -capable terminals used by Merchant must appear on the EMV co -approved terminal list maintained by the Payment Brands. (e) In the event of the failure, including bankruptcy, insolvency, or other suspension of Merchant's business operations, Merchant shall not sell, transfer, or disclose any materials that contain Cardholder account numbers, personal information, or other Transaction information to third parties. Merchant and/or its agent shall either return this information to SPS or provide SPS with acceptable proof of destruction ofthis information. (O I£ Merchant is undergoing a forensic investigation regarding PCI DSS compliance at the time Merchant executes this Agreement, then Merchant shall fully cooperate with the investigation until completed. SPS warrants that it complies with the applicable required PCI DSS regulations and that SPS is a PCI DSS Validated Service Provider. 2.06 Returns and Adjustments. (a) Merchant's policy fbr the exchange or return ofgoods sold and the adjustment for services rendered shall be established and posted in accordance with the Rules. If applicable, Merchant agrees to disclose to a Cardholder before a Card sale is made, that if merchandise is returned: (i) no refund, or less than a full refund, will be given; (ii) returned merchandise will only be exchanged for similar merchandise and of comparable value; (iii) only a credit toward purchases will be given; or (iv) special conditions or circumstances apply to the sale (e,g., late delivery, charges, or other noncredit terms); (b) Such disclosures must be made on all copies of Sales Drafts in letters approximately %. inches high in close proximity to the space provided for the Cardholder's signature on the Sales Draft and issuted at the time of sale; (c) If Merchant does not make these disclosures, it full refund in the form of a credit to the Cardholder's Card account must be given. Merchant shall not refund cash to a Cardholder who paid for the item by Card; (d) Credits must be made to the same Card account number on which the original sale Transaction was processed. 2.07 Merchant's Business. (a) Merchant shall provide Bank and SPS with immediate notice of its intent to (i) transfer or sell any substantial part of its total assets, or liquidate; (ii) change the basic nature of its business, including selling any products or services not related to its current business; (iii) change fifty percent (50%) or more of the ownership or transfer control of its business; (iv) enter into anyjoint venture, partnership or similar business arrangement whereby any person or entity not a party to this Agreement assumes any interest in Merchant's business; or (v) alter in any way Merchant's approved monthly volume and average ticket; (b) Failure to provide notice as required above may be deemed it material breach and shall be sufficient grounds for termination of this Agreement, or, at SPS's option may result in SPS amending the terms of this Agreement, holding funds and/or altering the Merchant funding schedule if SPS and Bank deem it necessary to protect against financial loss. If any of the changes listed above occur, Bank and SPS shall have the option to amend the terms ofthis Agreement or immediately terminate this Agreement; (c) Merchant will immediately notify SPS, with a copy to Bank, of any bankruptcy, receivership, insolvency or similar action initiated by or against Merchant or any of its principals. Merchant will include Bank and SPS on the list of creditors filed with the Bankruptcy Court, whether or not a claim exists at the time of filing; (d) Merchant must notify SPS, with a copy to Bank, in writing of any changes to the information in the Application, including but not limited to: a change to Merchant's financial condition (within 3 clays), any additional location or new business, the identity of principals and/or owners, the form of business organization, type of goods and services provided, and the manner in which sales are completed. Merchant must also notify SPS in writing, with a copy to Bank, if Merchant sells or closes its business. Except for a change to the financial condition, SPS and Bank must receive all such notices 7 clays prior to the change and otherwise upon request from SPS. Merchant is liable to SPS and Bank fin, all losses and expenses incurred by SPS and Bank arising out of Merchant's failure to report changes. SPS and Bank may immediately terminate this Agreement upon a change to the information in the Application, whether SPS and Bank independently discover such change or whether Merchant notifies SPS and Bank of such change. 2.08 Advertising. (a) Merchant will prominently display the promotional materials provided by Bank and SPS in its place(s) of business. Use of promotional materials and use ofany trade name, trademark, service mark or logotype ("Marks") associated with Card(s) shall be limited to informing the public that Card(s) will be accepted at Merchant's place(s) of business. Merchant's use of'promotionak materials and Marks is subject to the direction of Bank and SPS and must be utilized in accordance with the Rules; (b) Merchant may use promotional materials and Marks during the term ofthis Agreement and shall immediately cease use and return any inventory to Bank or SPS upon any termination thereof; (e) Merchant shall not use any promotional materials or Marks associated with any Payment Brand in any way which implies that the Payment Brand endorses any goods or services other than Card services and Merchant shall not refer to any Payment Brand in stating eligibility for Merchant's products or services. Merchant's rights to use the Marks shall terminate with termination of this Agreement and Merchant will cease all use of the Marks upon notification by the applicable Card Sage Merchant Agreement Page 2 of 9 Revision 20150806 PLEASE NOTE: The complete BANKCARD Merchant Agreement includes these terns and conditions and an application on three (3) additional pages. association to discontinue use. Merchant shall be fully liable to Bank and/or SPS for any and all loss, cost and expenses suffered or incurred by Bank and/or SPS, arising out of failure to return or destroy such materials following termination or Merchant's misuse of the Marks. If Merchant is a "Direct Mail Cardholder Solicitation Merchant," then Merchant acknowledges that the trademark `MasterCard' and the corresponding logotype are the property of MasterCard International Incorporated (herein, "the Corporation.'). Merchant shall not infringe upon the mark or logo, not, otherwise use the mark or logo in such a manner as to create the impression that Merchant's products or services are sponsored, produced, affiliated with, offered, or sold by this Corporation. Merchant shall not use the mark or logo on its stationery, letterhead, envelopes, or the like not, in its solicitation; provided, however, that Merchant may use one of the marl( or logo in close proximity to the payment or enrollment space in the solicitation in a size not to exceed 1 1/4, inches in horizontal length if a logo is employed, or, if a mark is used, in type not to exceed the size of the type used in the major portion of the text on the same page; provided further that the legend, 'Accepted for Payment' must accompany the marls or logo used and must be the equivalent size of the mark or logo. In no case, however, shall Merchant use any of the logo on the front or first page of its solicitation. One truthful statement that Merchant is directing or limiting its offer to MasterCard cardholders may appear in the body of the solicitation, other than in close proximity to the payment or enrollment space, subject to the limitation that: (i), only the word mark may be used; (ii) the word mark may not (1) exceed in type size the size of any other type on the same page, (2) differ in color from the type used in the text (as differentiated from the titles) on the same page, (3) be as large or as prominent as the name of Merchant, (4) be the first item appearing on any page, not- (5) in any other way be the most prominent element of the page; (iii) Merchant's name and/or logo must appear prominently on the same page as the marl; and (iv) the following disclaimer must appear in close proximity to the marls on the same page and in all equal size and type of print: 'MasterCard International Incorporated is not affiliated in any way with Merchant and has not endorsed or sponsored this offer.' Merchant farther agrees to submit its first direct mail solicitation(s), prior to mailing, to the MasterCard Law Department, to be reviewed only for compliance with this Corporation's trademark rules and sliall furthermore not distribute in any manner such solicitations until Merchant shall have obtained the Corporation's written approval of the manner in which it uses MasterCard mark and logo on such solicitations. Merchant shall likewise, upon request, submit to the Corporation any amended solicitations prior to mailing. 2.09 Representations and Warranties of Merchant. Merchant represents and warrants to Bank and SPS at the time of execution and during the term of this Agreement that: (a) All information contained in the Application or any other documents delivered to Bank and/or SPS in connection therewith is true and complete and properly reflects Merchant's business, financial condition and principal partners, owners or officers; (b) Merchant has the power to execute, deliver and perform this Agreement, and this Agreement is duly authorized, and does not and will not violate any provisions of federal or state law or regulation, or conflict with any other agreement to which Merchant is subject; (c) Merchant has all licenses, if any, required to conduct its business and is qualified to do business in everyjuriscliction where it is required to do so; (d) There is no action, suit or proceeding now pending or to Merchant's knowledge, threatened by or against or affecting Merchant which would substantially impair its right to carry on its business as now conclueted or adversely affect its financial condition or operations; (e) Merchant has performed and will perform all of its obligations to the Cardholder in connection with the Transaction evidenced by each Sales Draft; (f) Unless Merchant notifies SPS in writing (either on the Application or otherwise), no other processing relationship exists between Merchant and another bankcard processing institution, £or this, or any other business run or owned by Merchant; (g) With respect to all Transactions that Merchant requests SPS and Built to originate, Merchant continuously represents and warrants to Bank and SPS that: (i) Each Cardholder has authorized the debiting and/or crediting of its account; (ii) Each entry is for an amount the Cardholder has agreed to; and (iii) Each entry is in all other respects properly authorized; and (h) Merchant will not sell, purchase, provide or exchange any Cardholder's account name or number information in any form to any third party except to Bank or to SPS or pursuant to written government request, and then only upon prior notice to SPS given in sufficient time to permit SPS to file a protective motion. 2.10 Merchant Processing. Merchant will tender to SPS for processing all of Merchant's Transactions from all Merchant locations. Merchant will not use the services of any bank, corporation, or person other than SPS for Authorization or processing of Transactions during the term of this Agreement unless Merchant notifies SPS in writing and receives written approval from SPS prior to processing with another institution. 2.11 Additional Requirements for T&E Merchants. If Merchant is a Travel and Entertainment (T&E) merchant providing lodging the terms of this Section shall apply. Merchant must inform Cardholder of the following regarding reservations as applicable: (a) total obligation, (b) reserved rate and the Transaction amount, (c) exact name an([ location of lodging company, (d) that accommodations will be held for the number of nights paid for, and (e) Merchant's cancellation policy. Merchant must determine the T&E Advance Deposit Transaction amount, not to exceed the cost of the intended length of stay, not to exceed 1L nights lodging. Deposit amounts must be applied to the total obligation. Merchant must provide a confirmation code, an advance deposit amount, cancellation policy and the actual (late that cancellation privileges expire. Merchant must advise the Cardholder that it will hold accommodations according to the reservation and provide written confirmation of a Cardholder reservation if requested. Merchant must advise the Cardholder that it will retain the entire T&E Advance Deposit Transaction amount or the amount specified in Merchant's stated policy if the Cardholder does not cheek in by check-out time the day following the last night of lodging used to determine the deposit or cancel the reservation within the specified time frame. Merchant must complete a Transaction receipt with the following information: (i) advance deposit amount, (ii) the words "Advance Deposit" on the Transaction receipt signature line, (iii) confirmation code, (iv) scheduled check in, and (v) date and time that cancellation privileges (if any) expire without forfeiture. Merchant must mail the Cardholder a Transaction receipt copy within 3 days from the Transaction Date. Merchant shall mail to the Cardholder a Transaction receipt for cancellations within 3 clays of the Transaction (late. If the reserved accommodations are unavailable, Merchant must, at no charge, provide a complete refund of any deposit, comparable accommodations at an alternative establishment for the number of reserved nights not to exceed 14 or until the reserved accommodation become available, and transportation and two 3 -minute telephone calls to the alternative establishment. Any Central Reservation Service must have it written contract with the lodging establishment executed by an officer of the hotel and must accept full responsibility for resolving Cardholder problems related to T&E Advance Deposit Service. The Rules include additional requirement for T&E merchants that provide car rentals or cruises. ARTICLE III - PRESENTMENT, PAYMENT, CHARGEBACK; RESERVE ACCOUNTS; TYPES OF TRANSACTIONS 3.01 Acceptance. Bank and SPS shall accept from Merchant all valid Sales Drafts deposited by Merchant and shall present the same to the appropriate Card Issuers for collection against Cardholder accounts. All presentment and assignment of Sales Drafts, collection therefore and re -assignment or rejection of such Sales Drafts are subject to the terms of this Agreement and the Rules. Bank shall only provisionally credit the value of collected Sales Drafts to the Account and reserves the right to adjust amounts collected to reflect the value of Chargebacks, fees, penalties, late submission charges and items for which Bank did not receive final payment. Settlement of funds will be in United States Dollars. Bank and SPS may refuse to accept any Sales Draft or revoke its prior acceptance of a Sales Draft in the following circumstances: (a) the Transaction giving rise to the Sales Draft was not made in compliance with all terms and conditions of this Agreement; (b) the Cardholder disputes his liability to Bank for any reason, including but not limited to those Chargeback rights enumerated in the Rules; or (c) the Transaction giving rise to the Sales Draft was not directly between Merchant and the Cardholder. Bank will offset from payments due to Merchant, any amount previously credited to Merchant for a Sales Draft not accepted or later revoked by Bank and SPS. Merchant shall regularly and promptly review all statements of account, banking statements, and other communications sent to Merchant and shall immediately notify SPS if any discrepancy exists between Merchant's records and those provided by SPS, the Merchant's bank, or with respect to any transfer that Merchant believes was not authorized by Merchant or Cardholder. If Merchant flails to notify SPS in writing within fourteen (14) calendar clays after the date that SPS mails or otherwise provides a statement ofaccount or other report of activity to Merchant, Merchant will be solely responsible for all losses or other costs associated with any erroneous or unauthorized transfer. The foregoing does not limit in any way Merchant's liability for any breach of this Agreement. 3.02 Endorsement, The presentment of Sales Drafts for collection and payment is Merchant's agreement to sell and assign its right, title and interest in each Sales Draft completed in conformity with Bank's and SPS's acceptance procedures, and shall constitute all endorsement by Merchant to Bank of such Sales Drafts. Merchant hereby authorizes Bank to supply such endorsement on Merchant's behalf Merchant agrees that this Agreement is a contract of financial accommodation within the meaning of the Bankruptcy Code, 11 U.S.C. Sec. 365, as amended f ,om time to time. Merchant acknowledges that its obligation to Bank and SPS for all amounts owed under this Agreement arise out ofthe same transaction as Bank's obligation to deposit finds to the Account. Sage Merchant Agreement Page 3 of 9 Revision 20150806 PLEASE NOTE: The complete BANKCARD Merchant Agreement includes these terms and conditions and an application on three (3) additional pages. 3.03 Transmission Method. If Merchant utilizes electronic authorization and/or data capture services, Merchant will enter the data related to a sales or credit Transaction into a computer terminal or magnetic stripe reading terminal no later than the close ofbusiness on the date the Transaction is completed. If Merchant provides its own electronic terminal or similar device, such terminals must meet SPS's and Bank's requirements for processing Transactions. Information regarding a sales or credit Transaction transmitted with a computer or magnetic stripe reading terminal will be transmitted by Merchant to SPS or its agent(s) in the form SPS from time to time specifies, or as required under the Rules. If Bank and SPS request a copy of a Sales Draft, credit voucher or other Transaction evidence, Merchant will provide it within 3 business clays following the request. The means of trans mission indicated in the Application shall be the exclusive means utilized by Merchant until Merchant has provided SPS with at least 30 days prior written notice, with it copy to Bank, of Merchant's intention to change the means of such delivery or otherwise to alter in any material respect Merchant's medium of transmission of data to SPS. 3.04, Chargebacks. (a) Simultaneously with each Cardholder Transaction, a contingent and unmatured claim for Chargeback accrues against Merchant in favor ofSPS and Bank if under the Rules, SPS or Bank is required, or has the right, to pay to any Payment Brand any fees, discounts, customer credits and adjustments, charges, fines, assessments, penalties or other items which may be charged back to Merchant by SPS and Bank Merchant agrees that it is fully liable to Bank and SPS for all Chargebacks, and that Bank and SPS are authorized to offset from incoming Transactions and to debit via ACH the Account, the Reserve Account, or any other account held at any other financial institution in the amount of any Chargeback. Merchant agrees to accept for Chargeback any sale for which the Cardholder disputes the validity of the sale according to the Rules; or SPS and Bank determine that Merchant has in any way failed to comply with the Rules, this Agreement or SPS's procedures, including but not limited to the following: (i) The Sales Draft is illegible, not signed by the Cardholder or has not been presented to Bank within the required time -frames; (ii) The Sales Draft does not contain the Imprint of a valid, un -expired Card; (iii) A valid Authorization number has not been correctly and legibly recorded on the Sales Draft; (iv) The Sales Draft is a duplicate of a prior Transaction or is the result of two or more Transactions generated on one Card for a single sale; (v) The Cardholder alleges that he or she did not participate in the sale, authorize the use ofthe Card, receive goods or services purchased, or receive a required credit adjustment, or disputes the quality of the goods or services purchased; (vi) The price of goods or services on the Sales Draft differs fi•om the amount which Merchant presents for payment; (vii) The Transaction results from an Internet, mail, phone or preauthorizecd order and the Cardholder disputes entering into or authorizing the Transaction or the Transaction has been made on an expired or non -existing account uumber; (viii) SPS and Bank believe, within their sole discretion, that Merchant has violated any provision of this Agreement; (ix) SPS determines that the Transaction record is fraudulent or that the Transaction is not bona fide or is subject to any claim of illegality, cancellation, rescission, avoidance or offset for any reason whatsoever, including without limitation negligence, fraud or dishonesty on the part of Merchant or Merchant's agents or employees; (x) Merchant fails to provide a Sales Draft or legible copy thereof to Bank and SPS in accordance with this Agreement. (b) Merchant acknowledges that SPS and Bank shall have full recourse to charge back the amount of a Card sale for which the Cardholder disputes that he/she slid not authorize the charge if (i) the Imprint of the Card or (ii) the signature of the Cardholder was not obtained by Merchant; and (iii) Merchant shall not initiate a Transaction in an attempt to collect a Chargeback Merchant shall be liable for all fees arising out of the Chargeback dispute processes nuclei, the Rules. 3.06 Processing Limits. Merchant's "Approved Monthly Volume" for sales drafts is that monthly volume set fbrtln in the Application or as otherwise set forth in the Merchant account approval letter from SPS to Merchant or as may be later changed by SPS from time to time upon notice to Merchant. If' Merchant exceeds the Approved Monthly Volume, either in the aggregate or with respect to any "method ofsale": (i) SPS and Bank may suspend processing, hold the funds over the Approved Monthly Volume, and/or return all Sales Drafts evidencing fiords over the Approved Monthly Volume to Merchant; and (ii) Merchant is subject to it 6% fee on all monies processed over the Approved Monthly Volume. 3.06 Additional Requirements for Acceptance of Debit Cards. Merchant may honor at the locations set forth on the Application debit cards ("Debit Card") serviced by the electronic funds transfer networks in connection with the sales ("Debit Card Sale") of merchandise or services to the holders of such Debit Cards ("Debit Cardholders"). Bank and/or SPS agree to accept from Merchant via electronic transmission documents evidencing such Debit Card Sales ("Sales Transmittal") and Adjustment Drafts (as defined below). (a) Compliance; Authorization; Other Requirements. Merchant agrees to comply (and assume all liability for failure to comply) with the Rules of the Debit Card networks ("Networks") as amended from time to time. Any Authorization must be obtained immediately for every Debit Card Sale as directed by Bank and/o• SPS ("Authorization"). When Authorization is obtained, Merchant will electronically print the authorization number on the Sales Transmittal. Merchant agrees that: (i) for each Debit Card Sale, the Debit Cardholder must enter his Personal Identification Number ("PIN") through a PIN pact located at the point of sale ("POS") (ii) each PIN pad will be situated to permit Debit Cardholders to input their PINS without revealing them to other persons, including Merchant's personnel; (iii) Merchant will instruct personnel (a) that they may not ask any Debit Cardholder to disclose the PIN and (b) in the event that any of Merchant's personnel nevertheless becomes aware of any Debit Cardholder's PIN, such personnel will not use such PIN or create or maintain any record of such PIN, and will not disclose such PIN to any other person; (iv) the PIN message must be encrypted from the PIN pad to the POS terminal and from the POS terminal to the Network and back so that the PIN message will not be in the clear at any point in the Transaction; (v) Merchant will comply with any other requirements relating to PIN security as required by Bank or by any Network; (vi) for each Debit Card Sale a Transaction receipt in conformity with Regulation E of the Board of Governors of the Federal Reserve System will be made available to the Debit Cardholder; (vii) Merchant may not collect tax as a separate cash transaction; and (viii) POS terminals, including hardware and software, must be certified for use by Bank and by all of the Networks. POS terminals must include encrypted PIN pads which allow entry of up to sixteen character PINS, printers ander keyboard lock function. Merchants are responsible for compliance with all Rules regarding the use of POS terminals, regardless of whether such POS terminals are obtained through Bank or through SPS. Merchant will promptly initiate a refund to the customer (which may be made in cash, by an Adjustment Draft or with a check or cashier's check, as permitted by the Rules) whenever Merchant determines that a Debit Card Sale should be canceled or reversed. Merchant will cooperate with Bank and SPS, to resolve any alleged errors relating to Debit Card Sales. Merchant will maintain adequate records to assist in error resolution; records will be maintained for two years or the period required by the Rules, whichever is greater. Merchant will permit and will pay all expenses of periodic examination and audit of functions at such frequency, as SPS deems appropriate. Audits will meet SPS's standards, and the results will be made available to SPS. Merchant will not accept cash, checks or other negotiable items from any Debit Cardholder and forward a credit through any network (i.e., as a purported payment or deposit to an account maintained by the Debit Cardholder). Merchant will not forward through any network any Transaction or initiate any reversal of a Transaction that (lid not originate between Merchant and the Debit Cardholder. (b) Prevention of Fraud. Merchant will fully cooperate with SPS and Bank in the event that Bank or SPS determines that there is a substantial risk offraud arising From Merchant's access to the network. Merchant will take whatever actions Bank or SPS reasonably deem necessary in order to protect SPS and/or the Bank. Neither SPS, Bank not, any of their respective personnel will have any liability to Merchant for any action taken in good faith. (c) Display of Network Trademark(s); Protection of Trade Secrets. In order to inform Debit Cardholders that Debit Card Sales may be transacted at Merchant's locations, Merchant will prominently display the trademark and/or service marl( of each network at each location and will display signage ofeacln network at the entrance, near all POS terminals and oil the window of'such location. All uses by Merchant of any trademark and/or service mark will comply with the applicable Rules. Merchant acknowledges and agrees that in displaying any such trademark and/or service mark, Merchant will be acting under SPS's and/or Bank's control and subject to approval by the applicable network. Merchant will not be deemed, nuclei, any circumstances, a licensee or sub -licensee of any trademark or service mark of any network, nor will Merchant otherwise be deemed to have or to acquire any right, title or interest in trademarks or service marks. (d) Returns and Adjustments. Merchant will attempt to settle in good faith any dispute between it and a Debit Cardholder involving a Debit Card Sale. Merchant will establish a fair, consistent policy for the exchange and return of merchandise and for the adjustment of amounts clue oil Debit Card Sales. Merchant will not make any cash refunds or payments for returns or adjustments on Debit Card Sales but will instead complete a form provided or approved by Bank ("Adjustment Draft"). The Sales Transmittal for any Debit Card Sale for which no refund or return will be accepted by Merchant must be clearly and conspicuously marked (including on the Debit Cardholder's copy) as "final sale" or "no return" and must comply with the Rules. Sage Merchant Agreement Page 4 of 9 Revision 20150806 PLEASE NOTE.• The complete BANKCARD Merchant Agreement includes these terns and conditions and an application on three (3) additional pages. (e) Presentation of Sales Transmittals and Adjustment Drafts, Merchant will electronically transmit to Bank all Sales Transmittals or Adjustment Drafts in a manner acceptable to Bank. Merchant will make a good faith effort to electronically transmit data within one banking business clay after the Transaction date. Merchant will not extend the time of'payment for or extend credit for any part of a Debit Card Sale. Merchant represents and warrants that the electronic transmission of each Sales Transmittal and Adjustment Draft will evidence a hue record of the Debit Card Sale Transaction reflected on the document. Bank will process Debit Card Sales transmitted by Merchant, and Bank will promptly credit, debit or charge, as applicable, the appropriate amount to the Account. Within a reasonable time after the end of each calendar month, Bank will calculate the applicable amount of fees and other charges owed by Merchant, and Bank will debit the Account in the amount of such fees and other charges. The amount of such fees to be paid by Merchant are set forth on Schedule of Fees in the Application. Such fees may be amended at any time by Bank and/o• SPS upon written notice to Merchant. Bank may refuse to accept or may revoke its acceptance of any Sales Transmittal or Adjustment Draft, and Bank may debit, charge or credit the Account in the corresponding amount, if. (i) the Debit Card was completed without prior Authorization; (ii) the Sales Transmittal or Adjustment Draft involved circumstances constituting a breach of any agreement, representation, or warranty by Merchant; (iii) the Debit Card Sale was in violation of applicable law, the Rules or regulations; (iv) the Debit Cardholder is Merchant, any partner of or shareholder in Merchant, or any affiliate, spouse or immediate family member of any of them; (v) the Debit Card Sale was not made in connection with the sale of goods or services by Merchant. Bank may refuse or revoke the acceptance of any Sales Transmittal or Adjustment of Sales Transmittal upon the occurrence of any of the following events, and Bank may charge, debit or credit the Account in the corresponding amount ifi (a) Merchant clef colts in paying when (lute any obligation to Bank or SPS; (b) any material adverse change in Merchant's financial condition occurs; (c) any deposit account at Bank or any of Merchant's property in the possession of Bank is garnished or attached; (d) Merchant assigns its assets generally for the benefit of creditors; (e) a proceeding is commenced by or against it under any bankruptcy, insolvency or similar law seeking an order to adjudicate it a bankrupt or insolvent or other relief, or seeking appointment of a receiver or similar official for Merchant or lot, any substantial part of Merchant's assets. Merchant will notify Bank and/or SPS in writing immediately upon becoming aware that any such event has occurred or is likely to occur. Bank will notify Merchant promptly of all Adjustment Drafts. Additionally, Bank will advise Merchant on each debit, charge and credit processed to the Account. Merchant authorizes Bank to charge debits arising from this Agreement against any credit due Merchant, whether or not such charges create overdrafts or a debit balance in the Account. Merchant agrees to pay Bank or SPS, as applicable, the full amount of any such overdraft or debit balance or to replenish the Account io an amount sufficient to permit the amount of the charge to be made, as applicable, promptly upon request. Merchant further authorizes Bank to suspend in a segregated account amounts which otherwise would be credited to the Account if Bank or SPS reasonably believe that the Sales Transmittals submitted by Merchant are fraudulent. Bank or SPS will notify Merchant of the suspension of such amounts within a reasonable time; provided, however, that such notice will not be required if the appropriate law enforcement agency has been notified of the suspected fraud. ARTICLE IV — GATEWAY PROGRAMMING 4.01 Applicability to this Agreement. In addition to all the other provisions of this Agreement, the provisions of this Article IV shall apply if Merchant utilizes web services from SPS, including the SPS payments gateway, vault services, any application program interface, code samples, web services, integration specifications, and any offline components (collectively " Web Services'). 4.02 Programming of Web Site. While SPS provides specific API's or programming scripts to Merchant or Merchant's Web site programmer(s), Merchant acknowledges that such sample programming scripts are insufficient in and of themselves to allow Merchant's Web site to function with the Web Services. Programming of Merchant's Web site and its functionality are the sole responsibility of Merchant. 4.03 Merchant's Programming Agent. Merchant has the sole responsibility to select and employ any competent programming agent to accomplish the programming required to make Merchant's Web site function correctly with the Web Services. 4.04 Fees Subject to Fluctuation. Fees for the electronic commerce payment system offered by SPS may be based on the number and/o' volume of monthly transactions processed by the Merchant. Thus, notwithstanding anything to the contrary herein, the provisions of this Agreement which require notice prior to a change in fees shall not apply to any transactions or services covered by this Article 4. 4.05 Technical Support. Merchant shall be solely responsible for all technical support for Web site -related issues. 4.06 Shut Downs/Updates. SPS reserves the right, from time to time, without prior notice, to shut down and restart the Web Services for maintenance and/or Well Services upgrades or updates from time to time. SPS will use commercially reasonable efforts to keep service shutdowns as brief as possible. Merchant must monitor updates and upgrades to the Web Services and update Merchant's Web site and programming accordingly. 4.07 Disclaimer. SPS AND ITS LICENSORS MAKE NO REPRESENTATION, WARRANTY, OR GUARANTY AS TO THE RELIABILITY, TIMELINESS, QUALITY, SUITABILITY, TRUTH, AVAILABILITY, ACCURACY OR COMPLETENESS OF THE WEB SERVICES OR ANY CONTENT STORED THEREIN. SPS AND ITS LICENSORS DO NOT REPRESENT OR WARRANT THAT (A) THE USE OF THE WEB SERVICES WILL BE SECURE, TIMELY, UNINTERRUPTED OR ERROR -FREE OR OPERATE IN COMI3INATION WITH ANY OTHER HARDWARE, SOFTWARE, SYSTEM OR DATA, OR (B) THE WEB SERVICES WILL MEET MERCHANT'S REQUIREMENTS OR EXPECTATIONS. THE WEI3 SERVICES ARE PROVIDED ON AN "AS IS" BASIS. ALL CONDITIONS, REPRESENTATIONS AND WARRANTIES, WHETHER EXPRESS, IMPLIED, STATUTORY OR OTHERWISE, INCLUDING, WITHOUT LIMITATION, ANY IMPLIED WARRANTY OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, OR NON -INFRINGEMENT OF THIRD PARTY RIGHTS, ARE HEREI3Y DISCLAIMED TO THE MAXIMUM EXTENT PERMITTED BY APPLICABLE LAW BY SPS AND ITS LICENSORS. ARTICLE V - TERMINATION AND EFFECT OF TERMINATION 5.01 Term: Termination. (a) Sage Merchant Processing Account shall have an initial term of three (3) years and Sage Mobile Payments Account shall have an initial term ofone (1) month ( respectively the "Initial Term") and shall commence on the earlier of (i) SPS's acceptance hereof (evidenced by the execution of the Agreement by SPS); (ii) the date of written notice from SPS that Merchant's application is approved for processing; or (iii) the date on which Merchant's first Transaction is processed, and (iv) shall automatically renew as follows: (1) Sage Merchant Processing Account shall renew for consecutive (2) year terms; and (2) Sage Mobile Payments Account shall renew on a month-to-month basis (respectively the "Renewal Term"), and unless terminated as set forth below; (b) This Agreement may be terminated by any party effective at the end of the Initial or any Renewal Term by providing written notice to the other parties of its intent not to renew no less than thirty (30) clays prior to the expiration of the then -current term. Additionally, this Agreement may be terminated: (i) by SPS and Bank at any time with or without cause, and without prior notice, and (ii) by Merchant in the event of a material breach of the terms of this Agreement by SPS and Bank, provided Merchant provides SPS and I3ank written notice of the alleged breach and the breach remains uncured for a period of 30 (lays following receipt of written notice by the breaching party. (c) Upon early termination of this Agreement by Merchant, or by SPS should Merchant breach any of the terms of this Agreement (hiring the Initial Term or any Renewal Term, Merchant shall pay to SPS an early termimrtion fee equal to (i) Sage Merchant Processing Account —twenty-five dollars ($25.00) for every month remaining in any such Term or Renewal Term for each Merchant location; (ii) Sage Mobile Payments Account - no early termination fee (respectively the "Early Termination Fee"). In addition to the Early Termination Fee, Merchant shall pay any fees, fines, third party costs or penalties which SPS may be assessed clue to Merchant's breach of this Agreement and/or early termination. To the extent that applicable state law mandates lesser termination fees, the Early Termination Fee shall be the maximum allowed by applicable law. Merchant will not owe the Early Termination Fee if Merchant elects not to renew the Agreement upon the expiration of the then current term by providing written notice in accordance with this paragraph. All rights and obligations of the parties existing as of the effective time of termination will survive termination; (d) Within SPS's and Bank's sole discretion, if Merchant's or any of its principal(s)' business or personal credit deteriorates, if any significant circumstances exist that would create harm or loss to the goodwill of a card association or payment network system, or if any case or proceeding is commenced by or against Merchant under any federal or state law dealing with insolvency, bankruptcy, receivership or other debt relief, this Agreement shall simultaneously therewith automatically terminate, and any amounts due to Bank and SPS shall accelerate and become immediately due and payable, without the necessity of any notice, declaration or other act whatsoever by Bank and SPS. Merchant agrees to notify SPS and/or Bank immediately of any bankruptcy, receivership, insolvency or similar action initiated by or against Merchant. Sage Merchant Agreement Page 5 of 9 Revision 20150806 PLEASE NOTE: The complete BANIfCARD Merchant Agreement includes these terms and conditions and an application on three (3) additional pages. 5.02 Effect of Termination. (a) hi the event of termination for any reason, Merchant expressly authorizes Bank and SPS to withhold and discontinue the disbursement for all Cards and other payment Transactions of Merchant in the process of being collected and deposited; (b) Collected frauds will be placed in the Reserve Account (defined below) until Merchant pays any equipment and processing cancellation fees and any outstanding charges, losses or amounts for which Merchant is liable nuclei, this Agreement. Further, Bank reserves the right to require Merchant to deposit additional amounts based upon Merchant's processing history and/or anticipated risk of loss to Batik into the Reserve Account. The Reserve Account shall be maintained a minimum of 270 days after the termination date and for any reasonable period thereafter, during which Cardholder disputes may remain valid under the Rules. The provisions of this Agreement relating to the debiting and crediting of the Account shall be applied to the Reserve Account and shall survive termination of this Agreement until Bank terminates the Reserve Account. Any balance remaining after Chargeback rights have expired and all other expenses, losses and damages have been paid will be disbursed to Merchant; (c) Merchant expressly acknowledges that the MATCH system and Early Termination File (collectively, the "MATCH") is a maintained by MasterCard and Visa and contains the business name and the names and identification of principals of Merchant which have been terminated for one or more of the reasons specified in the Rules. Such reasons include, but are not limited to: fraud, counterfeit Paper, unauthorized Transactions, excessive Chargebacks or highly suspect activity. Merchant acknowledges that SPS and Bank are required to report the business name of the Merchant and the names and identification of its principals to MATCH when Merchant is terminated for such reasons. Merchant consents to such reporting to the card associations and/or payment networks as applicable by Bank and SPS. Further, Merchant waives and will hold harmless Bank and SPS from any claims that Merchant may raise because of such reporting; (d) Upon termination for any reason, Merchant will immediately cease requesting Authorizations and will cease transmitting Sales Drafts to Bank and SPS. In the event Merchant obtains any Authorization after termination, Merchant expressly acknowledges and agrees that the fact that any Authorization was requested or obtained shall not operate to reinstate this Agreement; (e) Following termination, Merchant shall upon request provide Bank and SPS with all original and microfilm copies of Sales Drafts and Credit Vouchers to be retained as of the (late of termination. ARTICLE VI - ACCOUNTS: SECURITY INTERESTS: INDEMNIFICIATION 6.01 Accounting Monitoring, (a) Merchant agrees that SPS and Bail( may suspend, within their sole discretion, the disbursement of Merchant's funds for any reasonable period of time required to investigate suspicious or unusual deposit activity. SPS and Bank will make good frith efforts to notify Merchant promptly. SPS and Bank shall have no liability for any losses, either direct or indirect, which Merchant may attribute to any suspension of fiords disbursement; (b) In the event of unusual Transactions that have been "suspended" and cannot be verified as valid sales or have been verified as Cardholder disputes, Merchant agrees that a security processing fee not to exceed 110%of the unusual Transaction(s) may be assessed; (c) Merchant's presentation to SPS and Bank of Excessive Activity will be a breach of this Agreement and cause for immediate termination of this Agreement. "Excessive Activity" refers to any period of two or more calendar months during which Merchant has a Chargeback ratio that exceeds 1°% by number of Transactions or a Chargeback( ratio that exceeds 1% by dollar volume. Merchant authorizes, upon the occurrence of Excessive Activity, Batik and SPS to take additional actions as either of them may deem necessary, including, but not limited to, suspension of processing privileges, increase of any fees that may be charged to Merchant and/or creation or maintenance of a Reserve Account in accordance with this Agreement. 6.02 Forms. Merchant shall use only such forms or modes of transmission of Sales Drafts and Credit Vouchers as are provided or approved in advance by SPS and Bank, and Merchant shall not use forms provided by Batik and SPS other than in connection with Transactions without SPS's and Banks prior written consent. 6.03 Records. In addition to any records routinely furnished to SPS and Bank under this Agreement, Merchant shall preserve a paper or electronic copy of all actual paper Sales Drafts, Credit Vouchers and Debit Card Sales and, if a mail, phone order or preauthorized order is involved, the Cardholder's signed authorization for the Transaction, for at least 3 years after the date Merchant presents the Transaction. If Records and/or data on SPS's system associated with Merchant are subpoenaed by legal process or otherwise, SPS shall produce such records in accordance with the subpoena without notice to Merchant. 6.04 Requests for Copies. Within 3 clays of receipt of any written or verbal request by Bank and SPS, Merchant shall provide either the actual paper Sales Draft, Credit Voucher and/or Debit Card Sales or a legible copy thereof (in size comparable to the actual voucher or draft ) and any other documentary evidence available to Merchant and reasonably requested by Batik or SPS to meet Bank's obligations under law (including its obligations under the Fair Credit Billing Act) or otherwise to respond to questions concerning Cardholder accounts. 6,05 IRS Withholdings and Reputing. Section 606OW of the Internal Revenue Code ("Code") requires payment providers and third party payment networks, such as SPS, to report payment settlement amounts to the Interni Revenue Service ("IRS") for each Merchant processing through SPS. Merchant shall verity its identity by providing SPS with a Tax Identification Number ("TIN") such as a Social Security Number (SSN) or Employer Identification Number (EIN) for each Merchant Account. In the event Merchant fails to provide its TIN, SPS will place a restriction on Merchant's Account and may restrict the receipt of finds into Merchant's Account, or withhold a percentage ofpayments deposited into Merchant's Account in order to satisfy the backup withholding requirements of the IRS. 6.06 Security Interests, Reserve Account, Recoupment and Set -Off. (a) This Agreement is a security agreement under the Uniform Commercial Code. Merchant grants to Bank and SPS a security interest in and lien upon: (i) the Account (as set forth in Section 6.10) and all fords at any time in the Account, whatever the source of such funds, (ii) the Reserve Account (as defined below) and all funds at any time in the Reserve Account, whatever the source of such funds, (iii) future Sales Drafts, (iv) all Merchant's rights relating to this Agreement including, without limitation, all rights to receive any payments or credits under this Agreement; and (v) all Merchant deposit accounts now owned or hereafter acquired and the proceeds of all of the foregoing (collectively, the "Secured Assets"). Upon request of Bank and SPS, Merchant will execute one or more financing statements or other documents to evidence this security interest. Merchant irrevocably authorizes bank to execute any financing statements or other documents necessary related to this security interest. Merchant represents and warrants that no other party has a security interest in the Secured Assets. These security interests and liens will secure all of Merchant's obligations under this Agreement and any other agreements between Merchant, SPS and Bank including, but not limited to, Merchant's obligation to pay any amounts clue to Bank and SPS. With respect to such security interests and liens, Bank and SPS will have all rights afforded under the Uniform Commercial Code, any other applicable law and in equity. Merchant will obtain from Bank and SPS written consent prior to granting a security interest of any kind in the Secured Assets to a third party; (b) SPS may establish and maintain a non-interest bearing account ("Reserve Account") in the name of Bank at any federally insured financial institution, with suns provided by Merchant that are sufficient to satisfy Merchant's current or future obligations as determined by Bank and SPS: (i) Bank and SPS shall have the right to initiate a debit to the Account or any other account at any institution to establish or maintain funds in the Reserve Account. Bank or SPS may deposit into the Reserve Account finds they would otherwise be obligated to pay Merchant, for the purpose of establishing or maintaining the Reserve Account in accordance with this Section, if they determine such action is reasonably necessary to protect their interests; (ii) Bank, on its own behalf or at SPS's request, may, without notice to Merchant, apply deposits in the Reserve Account against any outstanding amounts Merchant owes under this Agreement or any other agreement between Merchant and Bank or SPS. SPS or Bail( may exercise their rights ander this Agreement to collect any amounts clue to Bank or SPS including, without limitation, rights of set-offand recoupment. Merchant shall have no right to withdraw funds or debit the Reserve Account. In the event of a hankruptcy proceeding, Bank and SPS may exercise their rights nuclei, this Agreement to debit the Reserve Account for amounts due Bank and SPS regardless of the pre-petition or post-petition nature of the amount clue Bank and/or SPS. In the event of a bankruptcy proceeding, Merchant also agrees that it will not contest any Motion for Relief from the Automatic Stay, which Bank and SPS may file to debit the Reserve Account. As set forth in Section 6.02, funds in the Reserve Account will remain in the Reserve Account for a minimum of 270 days following termination. Band( will have sole control of the Reserve Account. In the event of a bankruptcy proceeding, Bank and SPS do not consent to the assumption of this Agreement. Nevertheless if this Agreement is assumed Merchant agrees that, in order to establish adequate assurance of future performance within the meaning of 11 U.S.C. Sec. 366, as amended from time to time, Merchant must establish or maintain a Reserve Account in an amount satisfactory to Bank and SPS; (c) Bank and SPS have the right of recoupment and set-off. This means that they may offset any outstanding/uncollected amounts owed to them from: (i) any amounts they would otherwise be obligated to deposit into the Account, and (ii) any other amounts SPS and Bank may owe Merchant under this Agreement or any other agreement; (d) The rights conferred upon Bank and SPS in this Section are Sage Merchant Agreement Page 6 of 9 Revision 20150806 PLEASE NOTE: The complete BANKCARD Merchant Agreement includes these terms and conditions and an application on three (3) additional pages. not intended to be exclusive of each other or of any other rights and remedies of Bank and SPS under this Agreement, at law or in equity. Rather, each and every right of Bank and SPS at law or in equity will be cumulative and concurrent and in addition to every other right. 6,07 Third Parties. (a) Merchant may be using special services or software provided by a third party to assist Merchant in processing Transactions, including authorizations and settlements, or accounting f actions. Merchant is responsible for ensuring compliance with the requirements of any third party in using their products. This includes malting sure Merchant has and complies with any software updates. SPS and Bank have no responsibility for any transaction until that point in time SPS receives data about the transaction; (b) Merchant will notify SPS immediately if Merchant decides to use electronic authorization or data capture terminals or software provided by any entity other than SPS or its authorized designee ("third party terminals") to process Transactions. I£ Merchant elects to use third party software or terminals, Merchant agrees (i) the third party providing the software or terminals will be Merchant's agent in the delivery of Transactions to Bank via Visa Net or a similar data processing system or network; and (ii) to assume fill responsibility and liability for any failure of that third party to comply with the Rules or this Agreement. Neither Bank not, SPS will be responsible for any losses or additional fees incurred by Merchant as a result of any error by a third party agent or a malfunction in a third party's software or terminal. 6.08 Modifications to Agreement. This Agreement is subject to amendment by SPS to conform to the Rules. Further, SPS and I3ank may, from time to time, amend any provision of this Agreement, including, without limitation, those relating to the discount rate or to other fees and charges payable by Merchant by providing written notice, including electronic written notice, to Merchant of the amendment, and the amendment shall become effective unless Bank and SPS receive Merchant's notice of termination of this Agreement within 7 days. Amendments due to changes in it Payment Brand's fees, interchange, assessments, Rules or any law, regulation orjudicial decision may become effective on such shorter period of time as SPS and Bank may specify if necessary to comply with the applicable Rule, law, regulation, decision or other change. 6.09 Limitation of Liability: Indemnity, (A) THE LIABILITY, IF ANY, OF BANK AND SPS UNDER TI -IIS AGREEMENT WHETHER TO MERCHANT OR TO ANY OTHER PARTY, WHATEVER THE BASIS OF THE LIABILITY, SHALL NOT EXCEED IN THE AGGREGATE THE DIFFERENCE I3ETWEEN (1) THE AMOUNT OF FEES PAID BY MERCHANT TO SPS AND BANK DURING THE MONTH IN WHICH THE TRANSACTION OUT OF WHICH THE LIABILITY AROSE OCCURRED, AND (II) ASSESSMENTS, CHARGEBACKS, AND ANY OFFSETS AUTHORIZED UNDER THIS AGREEMENT AGAINST SUCH FEES WIIICH AROSE DURING SUCH MONTH. IN THE EVENT MORE THAN ONE MONTH IS INVOLVED, THE AGGREGATE AMOUNT OF SPS AND BANK'S LIABILITY SHALL NOT EXCEED THE LOWESTAMOUNT DETERMINED IN ACCORD WITH THE FOREGOING CALCULATION FOR ANY ONE MONTH INVOLVED. IN NO EVENT WILL BANK, SPS, NOR ITS OR THEIR OFFICERS, AGENTS, DIRECTORS, OR EMPLOYEES BE LIABLE FOR ANY INDIRECT, SPECIAL, CONSEQUENTIAL OR PUNITIVE DAMAGES; (B) MERCHANT HEREBY AGREES TO INDEMNIFY AND HOLD BANK, SPS AND ITS AND/OR THEIR OFFICERS, DIRECTORS, EMPLOYEES AND AGENTS (THE "INDEMNIFIED PARTIES") HARMLESS FROM ANY CLAIM RELATING TO; (1) ANY DISPUTE 13ETWEEN MERCHANT AND A CARDHOLDER WITH RESPECT TO THE ALLEGED OR ACTUAL FAILURE BY MERCHANT TO PROCESS A TRANSACTION AS REQUESTED BY SUCH CARDHOLDER OR TO PROVIDE PHYSICAL SECURITY AT OR NEAR ANY TERMINALS OR OTHER PREMISES OF MERCHANT, OR THE TRANSMISSION OR DISCLOSURE OF ANY INFORMATION BY OR THROUGH SPS, (II) THE TRANSMISSION OF ANY INCORRECT OR INCOMPLETE INFORMATION TO A CUSTOMER OF ANY NETWORK MEMBER THROUGH THE NETWORK REGARDING AN ACCOUNT MAINTAINED BY SUCH CUSTOMER, OR THE DISCLOSURE THROUGH SUCH NETWORK TO ANY PARTY OF INFORMATION RELATING TO ANY SUCH ACCOUNT; AND (III) MERCHANT'S FAILURE TO COMPLY WITH ANY OF THE PROVISIONS OF THIS AGREEMENT AND APPLICABLE LAWS, RULES AND/OR REGULATIONS, INCLUDING WITHOUT LIMITATION DISPUTES RESULTING FROM MERCIdANT'S FAILURE TO PROVIDE A SALES TRANSMITTAL. MERCHANT FURTHER AGREES TO INDEMNIFY AND HOLD THE INDEMNIFIED PARTIES HARMLESS FROM ALL CLAIMS, LIABILITY AND EXPENSES ARISING OR RESULTING FROM ANY DISPUTE OR CLAIM MADE AGAINST BANK AND/OR SPS BY ANY THIRD PARTY ARISING OUT OF MERCHANT'S BREACH OF THIS AGREEMENT OR THE RULES. FURTHER, MERCHANT SHALL REIMBURSE BANK OR SPS, AS THE CASE MAY BE, FOR ALL EXPENSES AND COSTS, INCLUDING ATTORNEY'S FEES, WITH REGARD TO THE FORGOING; (C) NEITHER BANK NOR SPS MAKE ANY OTHER WARRANTY, EXPRESS OR IMPLIED, REGARDING ANY SERVICES IT PERFORMS IN ACCORDANCE WITH THIS AGREEMENT, AND NOTHING CONTAINED IN THE AGREEMENT WILL CONSTITUTE SUCH A WARRANTY. SPS AND BANK DISCLAIM ALL IMPLIED WARRANTIES, INCLUDING THOSE OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE. THIS SECTION SHALL SURVIVE TERMINATION OF THIS AGREEMENT. 6.10 Account. (a) Merchant will establish and maintain an account at Bank or at any federally insured financial institution ("Account") reasonably approved by Bank in the United States. Merchant will maintain sufficient funds in the Account to satisfy all obligations, including fees, contemplated by this Agreement. Merchant irrevocably authorizes SPS and/o• Bank to debit the Account for Chargebacks, fees and any other penalties or amounts owed under this Agreement. Merchant must obtain prior written consent from Bank and SPS to change the Account. If Merchant does not obtain that consent, SPS or Bank may immediately terminate the Agreement and may take other action necessary, as determined by them within their sole discretion; (b) Bank will deposit all Sales Drafts to the Account subject to Section 3.01 of this Agreement. Merchant authorizes Bank and SPS to initiate reversal or adjustment entries and initiate or suspend such entries as may be necessary to grant Merchant conditional credit for any entry; (c) Bank, in its sole discretion, may grant Merchant provisional credit for Transaction amounts in the process of collection, subject to receipt of find payment by Bank and SPS and subject to all Cha•gebacks and other amounts owed to Bank and SPS under this Agreement; (d) Merchant shall promptly examine all statements relating to the Account, and immediately notify SPS and Bank in writing o£any errors. Merchant's written notice must include: (i) Merchant name and account number, (ii) the dollar amount of the asserted error, (iii) a description of the asserted error, and (iv) an explanation of why Merchant believes an error exists and the cause of it, if known. That written notice must be received by SPS and Bank within 60 days after Merchant received the periodic statement containing the asserted error and failure to provide such notice shall bar any claim of errors. MERCHANT MAY NOT MAKE ANY CLAIM AGAINST BANK OR SPS FOR ANY LOSS OR EXPENSE RELATING TO ANY ASSERTED ERROR FOR Go DAYS IMMEDIATELY FOLLOWING RECEIPT OF MERCHANT'S WRITTEN NOTICE. Dining that GO clay period, SPS and Bank will be entitled to investigate the asserted error, and Merchant will not incur any cost or expense in connection with the asserted error without notifying SPS; (e) Merchant will indemnify and hold SPS and Bank harmless for any action they take against the Account pursuant to this Section. Merchant will also indemnify and hold harmless the institution at which Merchant maintains the Account fbr acting in accordance with any instruction from Bank or SPS regarding the Account. This Section will survive termination of this Agreement; (f) Merchant authorizes Bank and SPS to initiate debit/credit entries to the Account, as the Account may be changed from time to time, and to any other account maintained by Merchant at any institution that is a receiving bank ofACH, all in accordance with this Agreement. hn the event Merchant changes the Account, Merchant will notify SPS, with a copy to Bank, and this authorization will apply to the new Account. This authorization will be effective until both: (i) SPS and Bank have received written notification firom Merchant terminating this authorization, and (ii) all obligations of Merchant to SPS and Bank have been paid in full. Merchant will provide to SPS and Bank a voided Account check, and will fill in the Account numbers on the Application. 6.11 Fees and Other Amounts Owed. (a) Merchant shall pay the fees and charges as set forth on the Schedule of Fees included on the Application, the provisions of which are incorporated herein by reference. Unless otherwise noted, Merchant shall pay all fees monthly, with the exception of the Discount Fee and/or interchange, which shall be paid either monthly or daily, as determined by SPS in its sole discretion. Merchant may choose, however, to pay the discount fee on a daily basis by notice to SPS. The Account will be debited through ACH for such amounts and for any other fees, charges or adjustments incurred by Merchant and associated with processing services. Merchant is also obligated to pay all taxes and other charges imposed by any governmental authority on the services provided under this Agreement. Bank and SPS shall have the right to change fees, including adding fees for additional services utilized by Merchant, in accordance with Section 6.08. Interchange Pass Through pricing ("IPT") as specified on Application is comprised of interchange, fees, dues, and assessments assessed by card association. Cost -Plus pricing ("CP") is comprised of IPT plus the Cost Plus Rate set forth on your Application, which is charged to each settled Card and Debit Card Transaction. Merchant may call SPS customer service with any questions regarding pricing, Sage Merchant Agreement Page 7 of 9 Revision 20150806 PLEASE NOTE.• The complete BANICCARD Merchant Agreement includes these terms and conditions and an application on three (3) additional pages. qualifications exceptions, and billing. SPS does not refund fees for returns; (b) Merchant will immediately pay SPS and Bank any amount incurred by SPS attributable to this Agreement or any other agreement between Merchant and SPS or any subsidiary or affiliate of SPS, including but not limited to equipment fees, Chargebacks, fines imposed by a third party, non -sufficient fined fees, and ACH debits that overdraw the Account, Reserve Account, or are otherwise dishonored. Merchant authorizes SPS and Bank to debit via ACH the Account, Reserve Account, any other account Merchant has with SPS, an affiliate or subsicliary of SPS, Bank or at any other financial institution for any amount Merchant owes under this Agreement or under any other contract, note, guaranty, or dealing of any kind now existing or later entered into between Merchant end SPS or any subsidiary or affiliate, whether Merchant's obligation is direct, indirect, primary, secondary, fixed, contingent, joint or several. In the event such ACH does not fully reimburse SPS and Bank for the amount owed, Merchant will immediately pay SPS and Bank such amount. 6.12 Costs. Merchant will be liable for and will indemnify and reimburse SPS and Batik for all costs paid or incurred by SPS or Bank in the enforcement of this Agreement, including but not limited to attorneys' and investigators' fees, or in collecting any amounts clue from Merchant or resulting firom any breach by Merchant of this Agreement. ARTICLE VII- MISCELLANEOUS 7.01 Waiver. Failure by Bank or SPS to enforce one or more of the provisions of this Agreement shall not constitute a waiver of the right to enforce the same or other provision in the future. The waiving party must sign all waivers. 7.02 Notices. All notices and other communications required or permitted under this Agreement shall be deemed delivered when sent by e-mail or mailed, postage prepaid, addressed as follows: If to SPS: If to Bank: Sage Payment Solutions BMO Harris N.A. 12120 Sunset Hills Rd STE 500 111 W. Monroe Reston, Virginia 20190 Chicago, 11 60603 Attn: Chief Financial Officer Attn. Customer Service It to ivierenant, at the acturess provraea as the timing aactress ana to the contact listed on the Application or e-mail. 7.03 Choice of Law: Jurisdiction. This Agreement and all matter related thereto shall be construed in accordance with the laws of the Commonwealth of Virginia except those rules relating to conflicts of laws. Any action or proceeding arising out of or related to this Agreement shall be brought only in a court located in located in Fairfax County, Virginia. Each party expressly consents to thejurisdiction ofsuch courts. 7.01 Entire Agreement: Assignability. This Agreement, including the Application, these Terms and Conditions of Merchant Application and any supplementary documents indicated herein, expresses the entire understanding ofthe parties with respect to its subject matter and except as provided herein, may be modified only in writing executed by all parties. This Agreement may be assigned by SPS and Bank, but may not be assigned by Merchant, directly or by operation of law, without the prior written consent of Bank and SPS. In the event, for whatever reason, Application does not meet standard underwriting criteria, and satisfies only sub -standard underwriting criteria, Merchant acknowledges the completed Application may be forwarded to an alternative Member processor for review and approval. If Merchant nevertheless assigns this Agreement without such consent, the Agreement will be binding on the assignee. This Agreement shall be binding upon and inure to the benefit of the parties' respective successors and permitted assigns. . 7.05 Credit and Financial Inquiries: Inspections. (a) Merchant authorizes Bank and SPS to make, at any time, any credit inquiries which either may consider necessary to accept or review acceptance of this Agreement or investigate Merchant's deposit or Card acceptance subsequent to acceptance of this Agreement. Such inquiries shall include, but are not limited to, a credit check of the business including its proprietor, partners, principal owners or officers. If requested to do so by Bank or SPS, Merchant shall provide the written consent o£ any person for which an inquiry has been or is to be made if such person has not executed this Agreement and will provide any financial statements, income tax and business tax returns and other financial information as Bank or SPS may consider necessary to perform initial or periodic reviews of Merchant's financial stability and business practices; (b) Merchant may honor Cards only at locations approved by SPS and Bank. Additional locations may be added, subject to SPS and Bank's written approval. All current and future locations are bound by the terms and conditions of this Agreement. Either Merchant or SPS may delete any location by providing notice as provided in this Agreement; (c) Merchant agrees to permit Bank or SPS at any time from time to time, to inspect locations to confirm that Merchant has or is adhering to the terms of this Agreement and is maintaining the proper facilities, equipment, inventory, records and license or permit (where necessary) to conduct its business. However, nothing in this Section shall be deemed to waive Merchant's obligation to comply in all respects with the terms of this Agreement; (d) Representatives of Bank or SPS may, during normal business hours, inspect, audit and make copies of Merchant's boobs, accounts, records andfiles pertaining to any Transaction. 7.06 Marketing of Non-Bankcard Services bow From time to time, SPS may offer to Merchant certain additional products and services which may or may not be related to the processing of Transactions. Merchant consents to receipt of promotional materials via email and fax regarding such other products and services. 7.07 Attorneys' Fees. Merchant will be liable for and will indemnify and reimburse bank and/o' SPS for all attorneys' fees and other costs and expenses paid or incurred by Bank and/or SPS in the enforcement of this Agreement, or in collecting any amounts clue from merchant to Bank and/or SPS or resulting from any breach by Merchant of this Agreement. 7.08 American Express Card Acceptance. In addition to other applicable provisions of this Agreement, the following provisions apply to Merchant's acceptance ofAmerican Express Cards: (a) This Agreement governs Merchant's acceptance ofAmerican Express Cards uncler American Express's "OptBlue Program". Ifand when the Transactions submitted by American Express Cardholders exceed the charge volume eligibility criteria for the OptBlue Program, American Express may require Merchant to convert to a direct Card Acceptance Agreement with American Express. If this occurs, upon stch conversion, (i) Merchant will be bound by American Express's thea -current Card Acceptance Agreement; and (ii) American Express will determine the pricing and other fees payable by Merchant under the Card Acceptance Agreement; (b) Merchant's participation in the OptBlue Program is subject to the approval of American Express. Merchant authorizes SPS and/or its affiliates to submit Transactions to, and receive settlement on such Transactions from, American Express on behalf of Merchant; (c) Merchant shall not assign to any third party any payments due to it for American Express Card Transactions, and all indebtedness arising from such Transactions will be for bona fide sales of goods and services (o• both) at its business locations and free of liens, claims, and encumbrances other than ordinary sales taxes; provided, however, that Merchant may sell and assign future receivables to SPS, its affiliated entities and/or any other cash advance funding source that partners with SPS or its affiliated entities; (d) American Express shall have third -party beneficiary rights, but not obligations, to enforce the terms of this Agreement applicable to American Express Card acceptance against Merchant; (e) Merchant may opt out of accepting American Express Cards under this Agreement by providing so clays' notice to SPS without directly or indirectly affecting its rights to accept other Payment Brand Cards; (f) Except as provided in Section 7.08(8), SPS may disclose to American Express information regarding Merchant and Merchant's Transactions to American Express, and American Express may use such information to (i) perform its responsibilities in connection with American Express Card acceptance, (ii) promote American Express, (iii) perform analytics and create reports, and (iv) for any other lawful business purposes, including commercial marketing communications purposes within the parameters of American Express Card acceptance, and to provide important transactional or relationship communications from American Express. American Express may also use such information about Merchant obtained in connection with this Agreement at the time of setup to screen and/or monitor Merchant in connection with American Express marketing and administrative purposes; (g) Merchant may opt -out of receiving American Express commercial marketing communications about products and services by selecting the opt -out option on its Application or subsequently by providing written notice to its primary relationship contact at SPS. Merchant may continue to receive such communications from American Express after opting out while American Express Sage Merchant Agreement Page 8 of 9 Revision 20150806 PLEASE NOTE: The complete BANKCARD Merchant Agreement includes these terms and conditions and an application on three (3) additional pages. updates its records to reflect Merchant's opt -out choice; and (h) Merchant may not bill or attempt to collect from any Cardholder for any American Express Transaction unless a Chargeback has been exercised, Merchant has fully paid for such Chargeback, and it otherwise has the right to do so. 7.09 Signature. Merchant represents and warrants that the person executing this Agreement is duly authorized to bind Merchant to all provisions of this Agreement, and that such person is authorized to execute any documents and to take any action on behalf of Merchant, which may be required by SPS now or in the future. Merchant will execute a separate Entity Certification, as set out below, if requested to do so by SPS and Bank. 7.10 Force Majeure. The delay or inability of party to perform its obligations hereunder when required (other than Merchant's payment obligations) if caused by events of Force Majeure, as defined herein, shall not constitute a breach or default and shall not subject such party to liability to any other party so long as such Force Majeure event exists. Force Matjeure events shall include, without limitation, civil disturbances, epidemics, natural disasters, wars, acts of terrorism, acts of Gad, economic downturn and all other such events outside the control of the parties that make it impossible for one party to comply with its obligations hereunder. 7.11 General. I£ any provision of this Agreement is illegal or unenforceable, the invalidity of that provision will not affect any of the remaining provisions and this Agreement will be construed as if the illegal provision is not contained in the Agreement. Merchant is responsible for its employees' actions while in its employ. The parties do not intend to confer any benefits on any person or entity other than Merchant, Bank and SPS. Article I, Sections 3.02, 3.06, Article V, Article VI, Article VII and any other provision that by their nature should survive termination will survive expiration or termination of this Agreement. Sage Merchant Agreement Page 9 of 9 Revision 20150806 PLEASE NOTE: The complete BANICCARD Merchant Agreement includes these terms and conditions and an application on three (3) additional pages. MERCHANT AGREEMENT BETWEEN CITY OF EAGAN AND SAGE PAYMENT SOLUTIONS AMENDMENT TO TERMS AND CONDITIONS This Terms and Conditions to the Merchant Agreement ("Agreement") by and between Sage Payment Solutions, Inc. ("Sage") and City of Eagan ("Merchant"), are hereby amended and is effective November 23, 2015 ("Effective Date"), Capitalized terms used, but not otherwise defined, herein shall have the same meanings assigned to those terms in the Agreement. WHEREAS, the Parties desire to modify the Agreement to amend the Terms and Conditions. NOW, THEREFORE in consideration of the foregoing and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, the Parties agree to amend as follows: 1. The first paragraph of the Terms and Conditions shall be deleted in its entirety and replaced with the following: "These are the Terms and Conditions of Merchant Agreement referred to in the Merchant Processing Application ("Application") by and between Sage Payment Solutions, Inc., a Delaware corporation ("SPS"), BMO Harris N.A. (`Bank"), and the applicant ("Merchant") who has submitted the executed Application." 2. The first sentence of Article 2.07(d) shall be deleted in its entirety and replaced with the following: "Merchant must notify SPS, with a copy to Bank, in writing of any changes to the information in the Application, including but not limited to: a change to Merchant's financial condition (within 3 days), any additional location or new business, the form of business organization, type of goods and services provided, and the manner in which sales are completed. Merchant must also notify SPS in writing, with a copy to Bank, if Merchant sells or closes its business. 3. The second sentence of Article 3.04(a) shall be deleted in its entirety and replaced with the following: "Merchant agrees that it is fully liable to Bank and SPS for all Chargebacks, and that Bank and SPS are authorized to offset from incoming Transactions and to debit via ACH the Account or the Reserve Account in the amount of any Chargeback. 4. The second sentence of Article 3.05 shall be deleted in its entirety and replaced with the following: "If Merchant exceeds the Approved Monthly Volume, either in the aggregate or with respect to any "method of sale", SPS and Bank may suspend processing, hold the funds over the Approved Monthly Volume, and/or return all Sales Drafts evidencing funds over the Approved Monthly Volume to Merchant 5. Article 5.01(c) shall be deleted in its entirety and replaced with the following: "(c) Upon termination of this Agreement, during the Initial Term or any Renewal Term, Merchant shall have an ongoing obligation to pay any fees, fines, third party costs or penalties which SPS may be assessed due to Merchant's breach of this Agreement. All rights and obligations of the parties existing as of the effective time of termination will survive termination." 6. Article 601(b) shall be deleted in its entirety. Article 6.06(a) shall be deleted in its entirety and replaced with the following: (a) This Agreement is a security agreement under the Uniform Commercial Code. Merchant grants to Bank and SPS a security interest in and lien upon: (i) the Reserve Account (as defined below) and all funds at any time in the Reserve Account, whatever the source of such funds, (ii) future Sales Drafts, and (iii) all Merchant's rights relating to this Agreement including, without limitation, all rights to receive any payments or credits under this Agreement (collectively, the "Secured Assets"). Upon request of Bank and SPS, Merchant will execute one or more financing statements or other documents to evidence this security interest. Merchant irrevocably authorizes bank to execute any financing statements or other documents necessary related to this security interest. Merchant represents and warrants that no other party has a security interest in the Secured Assets. These security interests and liens will secure all of Merchant's obligations under this Agreement and any other agreements between Merchant, SPS and Bank including, but not limited to, Merchant's obligation to pay any amounts due to Bank and SPS. With respect to such security interests and liens, Bank and SPS will have all rights afforded under the Uniform Commercial Code, any other applicable law and in equity. Merchant will obtain from Bank and SPS written consent prior to granting a security interest of any kind in the Secured Assets to a third party; Article 7.03 shall be deleted in its entirety and replaced with the following: "This Agreement and all matter related thereto shall be construed in accordance with the laws of the State of Minnesota without giving effect to choice of law rules. Any action or proceeding arising out of or related to this Agreement shall be brought only in a court located in located in Minnesota. Each party expressly consents to the jurisdiction of such courts." 9. The third sentence of Article 7.04 shall be deleted in its entirety. 10. The second sentence of Article 7.05(a) shall be deleted in its entirety and replaced with the following: Such inquiries shall include, but are not limited to, a credit check of the business. 11. Article 7.05(d) shall be deleted in its entirety and replaced with the following: Representatives of Bank or SPS may, during normal business hours, inspect, audit and make copies of Merchant's books, accounts, records and files pertaining to any Transaction subject to the Minnesota Government Data Practices Act and any other applicable laws. 12. Article 7.07 shall be deleted in its entirety. 13. The following Article shall be added to the Virtual Check Agreement: Data Practices and Audit. (a) If deemed applicable to SPS and required under Minn. Stat. § 13.05, subd. 11, all of the data created, collected, received, stored, used, maintained, or disseminated by SPS in performing the Company's functions under this Agreement is subject to the requirements of the Minnesota Government Data Practices Act, Minnesota Statutes Chapter 13, and SPS must comply with those requirements as if it were a government entity. (b) if applicable to SPS and required under Minn. Stat. §§ 6.551 and 16C.05, subd. 5, SPS's books, records, documents, and accounting procedures and practices relevant to this Agreement are subject to examination by the City of Eagan, State of Minnesota Legislative Auditor, and/or State of Minnesota Auditor, as appropriate, for a minimum of six years from the end of this Agreement. (c) SPS represents and warrants to Company that it will comply with the requirements set forth in this Section. 14. The following Article shall be added to the Merchant Agreement: Insurance. Bank and SPS each agree to maintain in full force and effect during the term of the Agreement, at its own cost, the following coverages: (a) Commercial General or Business Liability Insurance with minimum combined single limits of One Million ($1,000,000) each occurrence and Two Million ($2,000,000) general aggregate; (b) Umbrella Liability Insurance with minimum combined single limits of Five Million ($5,000,000) each occurrence and Five Million ($5,000,000) general aggregate; (c) Errors and Omissions/Professional Liability Insurance with limits of liability of at least One Million Dollars ($1,000,000) per claim and in the aggregate; and (d) Cyber Insurance with limits of liability of at least One Million Dollars ($1,000,000) per claim and in the aggregate. Merchant shall be listed as an additional insured on certificate of insurance except for the Umbrella Liability and Errors and Omissions/Professional Liability policies. Bank and SPS agree to provide certificates of insurance evidencing such coverages to Merchant annually. This Amendment, together with the Agreement and any exhibits, schedules, attachments, appendices and amendments thereto, constitute the entire agreement between the Parties with respect to the subject matter hereof, supersede any other oral and written representations, understandings or agreements relating to the subject matter hereof, and may not be amended except by written agreement signed by the Parties. In the event of any inconsistency between this Amendment and the Agreement, the terms and conditions of this Amendment shall govern and control. If any provision of this Amendment is found to be void, invalid, or unenforceable, it shall be severed from and shall not affect the remainder of this Amendment, which shall remain valid and enforceable. Any such severed provision shall be replaced with a similar provision, which conforms to applicable law and embodies as closely as possible the original intent of the Parties. Except as modified by this Amendment, all other terms and conditions of the Agreement shall remain unchanged and in full force and effect. IN WITNESS WHEREOF, the Parties hereto, each acting with proper authority, have executed this Amendment as of the Effective Date. Sage Payment Solutions, Inc. City of Eagan LOW Name: C Name: Title: Title: Agenda Information Memo January 19, 2016 Eagan City Council Meeting PUBLIC HEARING A. Project 1193 — Denmark Ave., Timbershore Additions & Pilot Knob Heights Additions Street Improvements Action To Be Considered: Close the public hearing and approve Project 1193 (Denmark Ave., Timbershore Additons & Pilot Knob Heights Additions - Street Improvements) as presented and authorize the preparation of detailed plans and specifications; AND Authorize the modification of intersection traffic control at the intersection of Denmark Avenue and Denmark Court East that provides the following traffic control: Removal of the stop signs on Denmark Avenue. Facts — Project 1193: ➢ On June 2, 2015, the City Council directed staff to prepare a feasibility report considering the rehabilitation of residential/collector streets, including Denmark Avenue and those within the Timbershore and Pilot Knob Heights Additions located south of Duckwood Drive and east of Pilot Knob Road in central Eagan. ➢ A structural mill and overlay of these streets is programmed for 2016 in the City of Eagan's 5 -Year Capital Improvement Plan (2016-2020). ➢ On December 15, 2015, the draft Feasibility Report was presented to the City Council and a Public Hearing was scheduled for Tuesday, January 5, 2016. ➢ On January 5, the City Council continued the public hearing for Project 1193 to be January 19. ➢ An informational neighborhood meeting was held on January 11 for the adjacent property owners to discuss the proposed improvements. Of the 224 residential properties to be assessed under this improvement, 16 residents representing 15 properties attended the meeting. Facts — Intersection Traffic Control Modification: ➢ Currently, and for at least 30 years, the intersection of Denmark Avenue and Denmark Court East has been controlled by an all -way stop condition. Denmark Avenue is a minor collector roadway and accordingly has significantly higher volumes of traffic (3,800 to 4,500 vehicles per day) than the side street, Denmark Court East (90 vehicles per day), which is a cul-de-sac. ➢ Approximately 25 years ago, in response to concerns from area residents, the City Council established the traffic control at this intersection in the current manner in an attempt to control vehicle speeds on Denmark Avenue. ➢ At their May 12, 2015, workshop, the City Council received a presentation from Howard Preston (CH2M Hill, Inc.), the MN Department of Transportation's consultant for the Highway Safety Improvement Program, summarizing various traffic safety items, including a systemic assessment of Eagan's streets and the identification of potential safety projects. The portion of Mr. Preston's presentation regarding the use of stop signs included these project results: o STOP signs have never been proven to be effective at speed reduction o STOP signs are not a safety device o STOP signs have been deployed at many locations where we do not mean stop and as a result only about 20% of drivers actually stop ➢ At the close of the presentation, the Council indicated support of the incorporation of the project data to continue evaluating safety issues in Eagan, including the possible removal of unwarranted stop signs and warning signs in conjunction with street improvement projects. ➢ The current traffic control at Denmark Avenue and Denmark Court East does not comply with the Minnesota Manual on Uniform Traffic Control Devices (MnMUTCD) and it is unlikely that it is meeting the purpose for its installation. The volume of the side street traffic is less than 3% of the volume of the collector street (Denmark Avenue) traffic. ➢ A notification letter for the street improvements and traffic control modification was mailed to area residents. Both items were discussed at the January 11 neighborhood meeting. ➢ All 20 property owners in attendance at the neighborhood meeting expressed concern for the proposed removal of the stop signs. The concerns they believe the current stop signs address include the following: o Reduce vehicle speeds o Reduce vehicle volumes o Safety for crossing Denmark Avenue (access to park) ➢ There is no record of accidents (vehicle or pedestrian) at the intersection with the current traffic control configuration. ➢ In 2006, in response to a petition from area residents, the City Council had the following improvements constructed on this segment of Denmark Avenue for the purpose of addressing vehicle speeds and the lack of a safe walkway. The improvements may also provide a slight reduction in traffic volume. o Street narrowing (from 44' to 36' wide) with additional chokers (28' wide) o Sidewalk (west side) o Speed display sign o Landscaping (rain gardens) ➢ Staff have found the proposed stop sign removal to be appropriate, in compliance with the MnMUTCD, and in accordance with the Council direction of May 12, 2015. Attachments (2) PHA -1 feasibility Report PHA -2 Neighborhood Meeting Minutes —Street Improvement & Traffic Control Modification V 1 z To: Honorable Mayor and City Council From: Aaron Nelson, Assistant City Engineer Date: January 19, 2016 Re: Street Revitalization City Project No. 1193 Attached is the feasibility report for the Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions Street Revitalization, City Project No. 1193. The report represents and discusses the proposed improvements and includes a cost estimate, preliminary assessment roll and schedule. We would be pleased to meet with the City Council at your convenience to review and discuss the contents of this report. I hereby certify that this report was prepared by me or under my direct supervision and that I am a duly Licensed Professional Engineer under the laws of the State of Minnesota. Aaron Nelson Date: Reg. No. 45795 Reviewed By: Department of Public Works Date: Reviewed By: Finance Department Date: = ; �*R11ifBIZ11 Executive Summary ..................................................................................................... 1 Introduction/History.....................................................................................................2 Scope...........................................................................................................................3 AreaTo Be Included.....................................................................................................3 Street Pavement Evaluation.........................................................................................3 ProposedImprovements..............................................................................................4 Easements/Perm its......................................................................................................6 Feasibility/Recommendations......................................................................................7 CostEstimate...............................................................................................................7 Assessments................................................................................................................7 AssessmentFinancing Options.....................................................................................9 RevenueSource..........................................................................................................10 ProjectSchedule.........................................................................................................10 LIST OF APPENDICES Appendix A Preliminary Cost Estimate Appendix B Preliminary Assessment Roll Appendix C Figures - 1 Location Map - 2 Street Improvement/Assessment Area Map -- 3 Typical Section — Mill & Overlay Executive Summary Background Project petaus Denmark Ave, PC[ Rating 50/100 width mill & 1-1/2"-2" overlay) Timbershore Additions Repair Existing Concrete Curb & Gutter $ 98,500 • Replacement of damaged curb & Project Name & Pilot Knob Hts. Project # 1193 15% Additions $ 311,-600 (716) Street Area 23,950 Sq. Yds. i Street Len h�.�,24�11eet_.!� • Utility castings Residential Lots Denmark Ave. Constructed 1972,1974,1975,1976 Denmark Tr. W. Denmark Tr. E. Reconstructed 1997 Streets Included Denmark Ct. W. Crack Sealed Denmark Ct. E. Sea[ Coated 2002,2009 Timbershore Ln. I Kolstad Ln. SW Y. of section 15 South of Duckwood Drive Absolute Location Township 27, Range 23 Relative Location East of Pilot Knob Road Project petaus • Roadway resurfacing (edge/full PC[ Rating 50/100 width mill & 1-1/2"-2" overlay) Recommended Repair Existing Concrete Curb & Gutter $ 98,500 • Replacement of damaged curb & Improvement Overlay gutter Curb Removal 15% Scope e Adjustment/Replacement of:. $ 311,-600 (716) o Sanitary/Storm sewer • Utility castings Residential Lots 224 • Watergate valves • Street signage Cost Estimate/ Revenue Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 1 Property City Mill & Overlay wl Signage $311,600 $128,800 $182,800 Repair Existing Concrete Curb & Gutter $ 98,500 98,500 Utility Repairs $ 30,300 30,300 Total $440,400 i $ 128,800 (29%) $ 311,-600 (716) Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 1 Jan. 5, 2026 Pavement Management - As a part of Eagan's Pavement Management Program (PMP), the City evaluates streets within the community throughout their life cycle and implements appropriate maintenance strategies. In 1989, a Pavement Management System (PMS) was developed that allowed the City to evaluate the condition of the existing pavement surface for all the streets on a routine basis and schedule timely maintenance. A Five Year Capital Improvement Program (CIP) for street rehabilitation is developed from this information. The 6,245 feet of residential/collector streets, including Denmark Avenue and those within the Timbershore and Pilot Knob Heights Additions, in central Eagan have been identified for 2016 street revitalization improvements. Figure 1, located in Appendix C, illustrates the project location. The streets were originally constructed in 1972, 1974, 1975 & 1976, and were overlayed in 1997. Based on the data and engineering strategies available at this time, the City's current PMP incorporates local and ongoing maintenance strategies with seal coating occurring as needed (approximately 3 years after paving) with a bituminous overlay at approximately 20+ years. Overlaying the roads located within the project area, which are currently in the 19 year time frame, will prevent further decay of the pavement surface, thus protecting and extending the structural life of the street. Timely maintenance work, such as bituminous patching, crack sealing and seal coating have occurred at appropriate intervals during the life of the pavement in the area. The City of Eagan's maintenance records indicate that the streets were seal coated in 2002 and 2009. The Public Works maintenance program typically includes extensive patching and crack sealing during the summer prior to the overlay. The Public Works crews, as part of the Preparatory Pavement Management Plan, removed and replaced deteriorated pavement areas and placed leveling and maintenance overlays on portions of the streets under consideration, where necessary. These repairs alone will not substantially extend the life expectancy of the street section If not combined with the bituminous overlay proposed with this project. Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 2 Infrastructure Review - The Public Works Department has also inspected the utility infrastructure (sanitary sewer, water main, and storm sewer pipes and other structures) in the project area and determined the underground systems are generally in good working order and that no major repairs are necessary. To provide a comprehensive review of the project area, the condition and coverage of other infrastructure items maintained by the City and other public agencies within the public right-of- way ight-ofway and easements such as street lights, utility boxes, and above ground storm water ponds/access, and pedestrian features were evaluated. The rehabilitation of City -maintained items is included in this project, if needed. Scope This project will provide resurfacing (edge mill & 1-1/2" overlay on residential streets, full width mill and 2" overlay on Denmark Ave.) for approximately 6,245 feet of roadway. Figure 2 in Appendix C, illustrates the project limits. Included in this project are the following improvements; replacement of damaged curb and gutter, adjustments and/or replacement to sanitary/storm sewer utility castings, water gate valves, and replacement of street signage. Area to Be Included Properties included in the project lie within the SW Y, Section 15, lying South of Duckwood Drive and East of Pilot Knob Road, in Township 27, Range 23, in the City of Eagan, Dakota County, Minnesota. 1;��Street Pavement Evaluation The City of Eagan's Pavement Management System allows the City to evaluate the condition of the existing street surface to help schedule timely maintenance and improvements. The Pavement Condition Index (PCI) ranks the surface condition for each street. The general categories that define PCI rankings are as follows: PCI Recommended Improvement 56-100 Routine Maintenance/Crack Seal/Seal Coat 36-55 Patch/Repair and/or Overlay 0-35 Reconstruct/ Reclaim Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 3 The 2415 PCI rankings for the street segments have a weighted average pavement condition rating of 50, which falls in the "Patch/Repair and/or Overlay" category, as mentioned above. The street pavement has reached an age where, based on the City's past experience, the integrity of the pavement can rapidly decline if no Improvements are performed. Therefore, the 2016 construction season is the optimal time to construct the bituminous overlay on this street. Any delay of the project may reduce the structural benefit to the street sections and require more substantial rehabilitation. Proposed improvements Pavement - The proposed street improvements shown in Figure 3. The existing street section for the residential streets consists of 2"-3" bituminous pavement supported by 6" gravel base. The collector roadway, Denmark Avenue., consists of 5" bituminous pavement supported by 15" gravel base. The existing bituminous surface will be milled adjacent to the existing curb and gutter (6'-8' wide) to accommodate a 1% - inch bituminous overlay on the residential streets, and full width to accommodate a 2" overlay on Denmark Avenue. The overlay, combined with the existing street section, will provide a street section consistent with current City standards for residential and streets and collector roadways. The combination of patching and overlay will not eliminate cracking due to the temperature extremes experienced in Minnesota. Bituminous overlays will show some continued frost movements and reflective cracking consistent with the underlying pavement. Routine maintenance will still need to continue under the City's Pavement Management Program. Concrete curb & gutter - Damaged curb & gutter will be replaced if severely cracked, spelled, or settled. It is estimated that approximately 15% of the existing concrete curb and gutter will have to be replaced. Boulevard turf will be removed and replaced with seed. While the contractor who performs the work is responsible for its establishment (45 days for seed), adjacent property owners are encouraged to consistently water the new turf, where possible, to help ensure its growth Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 4 Utility Adjustment/Replacement —Sanitary/storm sewer manholes, catch basins, and gate valves will be adjusted, repaired, or replaced based on the condition of castings and supporting structures. Such repairs to the storm sewer, sanitary sewer, and water main infrastructures ensure quick and easy access by the City for maintenance and other purposes. There are a number of manholes and catch basins that require replacement due to deterioration. These structures will be financed through the Combined Utility Fund. Signage - Traffic and street identification signage within the project limits has reached the end of its useful life expectancy and is in need of replacement. Signs have been reviewed for compliance with the Minnesota Manual on Uniform Traffic Control Devices (MnMUTCD). Those that are required by the MnMUTCD will be replaced to improve safety and night time visibility, and those that are not will be permanently removed. Traffic Control Modifications — Staff is currently reviewing neighborhood stop signs and warning signs as part of street overlay projects and will incorporate any warranted sign revisions as part of feasibility reports that can be discussed at neighborhood meetings or public hearings. Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 5 A separate intersection control evaluation has been prepared for this intersection. The evaluation shows that the current traffic control does not comply with the Minnesota Manual on Uniform Traffic Control Devices (MnMUTCD) and is not meeting the purpose for its installation. There is no stop sign or right-of-way related accident history at this intersection, and the volume of the side street traffic is less than 10% of the volume of the collector street traffic. An all way stop condition at this intersection is not in compliance with the MnMUTCD. The MnMUTCD, and the Intersection control evaluation, recommend removal of the Denmark Avenue stop signs, and allow the Denmark Court East stop sign to remain. Street bights — The street lights in the project area (maintained by Dakota Electric Association) are in good condition and provide adequate coverage. No modifications to the existing street lights are proposed. Stormwater and Water Quality Improvements — Renovation of the rain gardens along Denmark Avenue has been identified in the 2016-2020 CIP for construction in 2016. Timing will be determined based on the scope of the improvements, so![ testing results, and the desirable time of year to construct the improvements. These improvements will be performed by a separate contractor. Because this work will not be assessed, but will be financed through the City's existing Storm Water Utility Fund 1126 — Storm Drainage System Renewal and Replacement, preliminary cost estimates are not included in this report. Complete Streets — "Complete Streets" is a transportation and design approach that plans, designs, operates, and maintains streets in a means to enable safe, convenient and comfortable travel and access for users of all ages and abilities regardless of their mode of transportation. Complete Streets allow for safe travel by those walking, bicycling, driving automobiles, riding public transportation, or delivering goods. In 2010, the State of Minnesota adopted a Complete Streets policy, which encourages, but does not require local governments to adopt this policy. The MN Department of Transportation has published a Complete Streets Guidelines for Local Agencies Resource Guide (Feb. 2013). The streets in this area were reviewed to determine if additional Complete Streets opportunities are available and/or feasible. The streets are relatively narrow at 32-36 feet wide, have low traffic volumes, limited access points, and a sidewalk along Denmark Ave. to connect pedestrians to the City and regional trail system. Pedestrian curb ramps in the project area at the intersecting sidewalks will be replaced if necessary to meet current ADA design standards. Given the existing and proposed elements available for all users, the streets in this neighborhood meet the intent of the complete streets guidelines. Easement Permits All work will be in the public right-of-way. No additional easements are anticipated. it is anticipated that no permits will be required for the resurfacing project. Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 6 q>Feasiblifty and Recommendations The mill and overlay project is necessary to maintain and enhance the structural integrity of the pavement section, create a safer driving surface, and increase rideability. It is cost effective in that the proposed improvement (resurfacing) is considerably less expensive than complete reconstruction of this street. The mill and overlay is feasible in that this type of improvement has been used successfully to extend the life expectancy of numerous other streets throughout the City and the region. This project is in accordance with the Five Year Capital Improvement Flan (2016 — 2020) for the City of Eagan and the schedule as outlined in the Pavement Management Program. It is recommended that the project be constructed as proposed in this report in combination with other similar projects in the area. st Estimate Detailed cost estimates are located in Appendix A. The estimates are based on anticipated 2016 construction costs and include a 5% contingency and indirect cost of 25%, which include legal, administration, engineering, and bond interest. A summary of the costs is as follows: Denmark Avenue, Timbershore Additions & Pilot Knob Heights Additions w Mill & Overlay........................................................................ $ 317.,600 ® Repair Existing Concrete Curb & Gutter ................................ $ 98,500 ® Utility Repairs......................................................................... S 30,30 Total ...................................................... ................ $ 440,400 ssessments Assessments are proposed to be levied against the benefited properties for the total improvement with costs allocated in accordance with the City of Eagan'sSpecial Assessment Policy for a mill and overlay improvement for residential streets. All assessments will be revised based on final costs. A preliminary assessment roll is included in Appendix B. a Total Front Feet (F.F.) = 12,490 F.F. Residential Streets = 7,776 F.F., 32' f -f width * Collector Roadways (Denmark Ave.) = 4,714 F.F., 36' f -f width Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 7 An early deterioration credit of 5% is proposed for all properties because the pavement condition has deteriorated 1 year prior to the anticipated 20 -year pavement life cycle (1/20=5%). The early deterioration adlustment factor is 100% - 5% = 95%. This reduced assessment rate is in accordance with the February 16, 2010 update of the City's Special Assessment Policy for addressing premature infrastructure failure. A pavement thickness adlustment factor is proposed for all residential properties to adjust the assessment to make it consistent with those on residential streets of similar age and condition. In this area, all residential streets (7,776 F.F.) are receiving a typical edge mill in 1-1/2" overlay. All collector roadways (Denmark Avenue) (4,714. F.F.) is receiving a full width mill and 2" overlay. To adjust the Denmark Ave. cost to be consistent with a typical residential street, a 1.5"/2.0"=75% multiplication factor is used for that length. Project wide, the pavement thickness adjustment factor Is prorated to [(7,776 F.F. x 1A) t (4,714 F.F. x 0.75)] / 12,490 F.F. = 90.6%. The adjustment factor anticipates Denmark Avenue will receive a 2" overlay, but the actual will be determined by the final design. A street width adlustment factor is proposed for all residential properties to adjust the assessment to make it consistent with those on residential streets of similar age and condition. In this area, all residential streets (7,776 F.F.) are 32' wide and do not receive a credit. All collector roadways (Denmark Avenue) (4,714 F.F.) are 36' wide. To adjust the Denmark Ave. cost to be consistent with atypical residential street, a 32'/ 36' = 0.89 multiplication factor is used for that length. Project wide, the street width adjustment factor is prorated to [(7,776 F.F. x 1.0) + (4,714 F.F. x 0.89)] / 12,490 F.F. 95.8%. City Special Assessment Policy Assessment Ratio Property City Mill & Overlay - Low -Density Residential (R-1,2,3) 50% 50% Repair Existing Concrete Curb & Gutter - 1.00% Utility improvements - 100% Residentiai & Neighborhood Park Lots — All residential and neighborhood park lots (57 single family homes, 1 unplatted single family home, 164 quad home units, and 2 park properties) as shown on Figure 2, having driveway access on to the street to be Improved are proposed to be assessed. The City's Assessment Policy states that 50% of the mill and overlay costs are assessable for local residential streets, based on a standard 32 -foot width. The two park properties have 200' of frontage to Denmark Avenue, which is equivalent to 2 residential units. 1320 Kolstad Lane is a 2 acre-unplatted-residential parcel with 145' of frontage to Kolstad Ln. This property is sub -dividable to two residential lots, so this property is equivalent to 2 residential units. Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 8 Following past practice, high density residential properties (R-3) are assessed at a rate of 75% of single family properties, so each unit is equivalent to 0.75 residential units. The estimated cost per ERU, based on the City's Assessment Policy, is $700 /ERU and is calculated as follows: Mill & Overlay: R-1 & R-3 Residential & Neighborhood Parks e 1 R-1 lot =1 Equivalent Residential Unit (ERU) 0 1 unpiatted R-1= 2 ERU a 1 R-3 unit = 0.75 ERU ® 1 neighborhood park =1 ERU ® TOTAL NUMBER OF ERU'S = (57 x 1.0 ERU) R-1 + (1 x 2.0 ERU) unpiatted R-1 + (164 x 0.75 ERU) R-3 + (2 x 1.0 ERU) neighborhood park =184 ERU's o 12,459' R1/R3/Park Frontage/ 12,490' Total Frontage= 99.8% o $311,600 (Mill & Overlay Costs) x 50% x 99.8% x 95% x 90.6% x 95.8% = $128,208 (Total R1/R3/Park Assessment) o $128,208/ 184 ERU's = $696.78, rounded to $700/ ERU R-1= $700 x 1.00 = $700/ lot ................................ (57 lots) Unpiatted R-1= $700 x 2.00 = $1,400/ lot ............. (1 lot) R-3 = $700 x 0.75 = $525/ unit .............................. (164 units) Neigh. Parks = $700 x 1.00 = $700/ parcel ............. (2 parcels) The remaining frontage within the project area (31' or 0.2%) is considered non- assessable under the City's Assessment Policy. <�;>Assessment Financing Options The property owner will have the option at the time of the assessment hearing to pay the full assessment or include the assessment in with their property tax statement. If the assessment is included with the property tax statement, the assessment and interest will be spread over five years for residential owners. In 2015, the interest rate was set at 4%. The 2016 rate is not yet available, however, it is expected to be comparable and based on City policy will be determined by the City Council in the spring. The following payment schedules are examples of a $700 R-1, $1,400 unplatted R-1, and $525 R-3 assessments with an estimated 4% interest for the assessed amounts, and assumes 14 months interest for the first year: R-1= $700 Prindpai / year Enterest / year cost / year 1 F ear 1 $140 $33 $173 5wn Fear $140 $6 r Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 9 Unplatted k-1 _ $1,400 Principal year Interest year � Cost I year ` I year � $2.80 � 65 $345 5 year .$280 $11 $291 Principal / Year interest ear Cost / Year Ii # a98,500 th i Utility Improvements 1 #4 Bonds may be issued to finance the improvements. <;�)Revenue Source A summary of revenue sources is listed below: .•.`I V I I I Is4 14 5 � Ii # a98,500 i Utility Improvements 1 #4 40 The Major Street Fund will finance the estimated street related project deficit of $281,300 (69% of total street related costs). The Combined Utility Fund will finance the estimated $30,300 (100%) of the utility improvements. Amwfi Proiect Scheduh,,-.' Present Feasibility Report to City Council/ Order Public Hearing............................................................................ November 30, 2015 Informational Meeting..............................................................................January 11, 2016 Public Hearing............................................................................................January 19, 2016 Approve Plans and Specifications............................................................ February 16, 2016 BidDate........................................................................................................ March 24, 2016 Award Contract.................................................................................................April 5, 2016 Start Construction............................................................................................. May 1, 2016 Project Completion...................................................................................... August, 2016 Final Cost Report ........................................................................................September, 2016 FinalAssessment Hearing...................................................................................... Fall, 2016 First Payment Due with Property Tax Statement ........................................... May 15, 2017 Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 10 Appendix A Preliminary Cost Estimate City_.P...ryjecl; i93 _DenmarkAue.,Tmbershore_Additions..&.Pilos..Kno6..He1gh� Additions Item No. I Item I Unit i I Unit Price ( Est Qty Estimated Cost I Part 1- Bituminous Street Overlay_ Part 11- Repair Existing Curb & Gutter I 2021.501 Mobilization LS $ 4,000.00 1 $ 4,000.00 2104.505 Remove Bituminous Pavement SY $ 10.00 180 $ 1,800.00 2232.501 Mill Bituminous Pavement (1-1/4" depth, 6' width) SY $ 1.50 7350 $ 11,025.00 2232.501 Mill Bituminous Pavement - Full Width (1-1/4" Depth) SY $ 3.00 8400 $ 25,200.00 2357.502 Bituminous Material for Tack Coat GAL $ 3.00 1560 $ 4,680.00 2360.501 SP WEA340B Wearing Course Mixture (Overlay) TON $ 60.00 2500 $ 150,000.00 2360.501 SP WEA340B Wearing Course Mixture (Patch) TON $ 130.00 60 $ 7,800.00 2504.602 Adjust Gate Valve Box EA $ 225.00 11 $ 2,475.00 2504.602 Repair Gate Valve Mid Section EA $ 400.00 2 $ 800.00 2504.602 Repair Gate Valve Top Section w/Cover EA $ 300.00 5 $ 1,500.00 2506.602 Adjust Frame and Ring Casting (Manhole) EA $ 700.00 22 $ 15,400.00 2506.602 Adjust Manhole Casting- Riser Adjustment EA $ 250.00 9 $ 2,250.00 2506.602 Remove & Replace Frame & Ring Casting (27") EA $ 950.00 1 $ 950.00 2563.601 Traffic Control LS $ 2,000.00 1 $ 2,000.00 SP -1 Signage Remove and Replace LS $ 7,500.00 1 $ 7,500.00 Subtotal 5% Contingency Subtotal 25% Indirect Costs Part I - Bituminous Street Overlay $ 237,380.00 $ 11,869.00 $ 249,249.00 $ 62,312.25 $ 311,561.25 Item No. Item Unit Unit Price Est Qty Estimated Cost Part 11- Repair Existing Curb & Gutter 2104.501 Remove Concrete Curb and Gutter LF $ 8.50 1830 $ 15,555.00 2104.503 Remove Concrete Sidewalk (4'.) SF $ 4.00 310 $ 1,240.00 2104.505 Remove Concrete Driveway Valley Gutter SY $ 16.00 20 $ 320.00 2211.501 6" Aggregate Base, CI.5 (100% Crushed) TON $ 28.00 9 $ 252.00 2360.501 SP WEA340B Wearing Course Mixture (Patch) TON $ 130.0D 61 $ 7,930.00 2504.602 Irrigation Repair EA $ 200.00 15 $ 3,000.00 2506.602 Adjust Frame & Ring Casting (CB) HDPE Rings EA $ 450.00 13 $ 5,850.00 2506.602 Remove & Replace Casting (Catch Basin) EA $ 800.00 2 $ 1,600.00 2506.502 Remove & Replace Casting (Catch Basin) Special EA $ 1,000.00 1 $ 1,000.00 2506.602 Remove & Replace CBMH Structure w/Cstg (4' Dia.) EA $ 5,200.00 1 $ 5,200.00 2506.602 Remove & Replace CBMH Structure w/Cstg (6' Dia.) EA $ 8,000.0D 1 $ 8,000.00 2506.602 Remove & Replace CB Structure w/Cstg (2'x 3') EA $ 4,800.00 1 $ 4,800.00 2506.602 Repair/ Grout CS or MH Invert/ Doghouses EA $ 500.00 5 $ 2,500.00 2506.602 install 2 x 3 CB Erosion Barrier Shroud EA $ 150.00 3 $ 450.00 2521.501 4" Concrete Sidewalk 5F $ 5.00 465 $ 2,325.00 2531.501 Concrete Curb and Gutter, 8618 LF $ 18.00 155 $ 2,790.00 2531.501 Concrete Curb and Gutter, D412 LF $ 16.00 1675 $ 26,800.00 2531.507 Concrete Valley Gutter- High Early SY $ 65.00 20 $ 1,300.00 2540.602 Repair Underground Electric Fence EA $ 100.00 5 $ 500.OD 2540.602 Repair Landscaping EA $ 250.00 5 $ 1,250.00 2572.503 Application of Water for Turf Establishment GAL $ 0.10 13600 $ 1,360.00 2573.530 Storm Drain Inlet Protection EA $ 125.00 3 $ 375.00 2575.551 Select Topsoil/ Grade 1 Compost Mix CY $ 60.00 35 $ 2,100.00 2575.609 Seeding (MnDOT 270 w/Type 5 Hydromulch) SY $ 5.50 305 $ 1,677.50 Subtotal 5% Contingency Subtotal 25% Indirect Costs Part II - Repair Existing Curb & Gutter Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 11 $ 4,908.73 $ 103,083.23 $¢ y y2Q5,770.81 $ 128, .03 Part I - Bituminous Street Overlay Part 11- Repair Existing Curb & Gutter Project 1123 Total Cost Denmark Avenue, Tirnbershore Additions and Pilot Knob Heights Additions 12 $ 311,561.25 $ 128,854.03 $ 440,415.28 Appendix B Preliminary Assessment Role City Project #1193 Denmark Ave., Timbershore Additions & Pilot Knob Heights Additions Denmark Avenue, Timbershore. Additions and Pilot Knob Heights Additions 13 Timbershore Lane R-3 Residential P.I,N. Parcels Lot Equivalent Unit Assessment Total 1162 TIMBERSHORE LN 107650316030 1 0.75 $ 700 $ 525 1163 TIMBERSHORE LN 107650301040 1 0.75 $ 700 $ 525 1164TIMBERSHORE LN 107650316040 1 0.75 $ 700 $ 525 1165 TIMBERSHORE LN 107650301030 1 0.75 $ 700 $ 525 1166TIMBERSHORE LN 107650315010 1 0.75 $ 700 $ 525 1167 TIMBERSHORE LN 107650302020 1 0.75 $ 700 $ 525 1168 TIMBERSHORE LN 107650315020 1 0.75 $ 700 $ 525 1169 TIMBERSHORE LN 107650302010 1 0.75 $ 700 $ 525 1170 TIMBERSHORE LN 107650315030 1 0.75 $ 700 $ 525 1171 TIMBERSHORE LN 1 107650302040 1 0.75 $ 700 $ 525 1172 TIMBERSHORE LN 107650315040 1 0.75 $ 700 $ 525 1173 TIMBERSHORE LN 107650302030 1 0.75 $ 700 $ 525 1174 TIMBERSHORE LN 107650314010 1 0.75 $ 700 $ 525 1175 TIMBERSHORE LN 107650303020 1 0.75 $ 700 $ 525 1176TIMBERSHORE LN 107650314020 1 0,75 $ 700 $ 525 1177 TIMBERSHORE LN 107650303010 1 0.75 $ 700 $ 525 1178 TIMBERSHORE LN 107650314030 1 0.75 $ 700 $ 525 1179 TI MBERSHORE LN 107650303040 1 0.75 $ 700 $ 525 1180 TIMBERSHORE LN 107650314040 1 0.75 $ 700 $ 525 1181 TIMBERSHORE LN 107650303030 1 0.75 $ 700 $ 525 1182TIMBERSHORE LN 107650313010 1 0.75 $ 700 $ 525 1183 TIMBERSHORE LN 107650304020 1 0.75 $ 700 $ 525 1184TIMBERSHORE LN 107650313020 1 0.75 $ 700 $ 525 1185 TIMBERSHORE LN 107650304010 1 0.75 $ 700 $ 525 1187 TIMBERSHORE LN 107650304040 1 0.75 $ 700 $ 525 1189 TIMBERSHORE LN 107650304030 1 0.75 $ 700 $ 525 1191 TIMBERSHORE LN 107650305020 1 0.75 $ 700 $ 525 1193 TIMBERSHORE LN 107650305010 1 1 0.75 $ 700 $ 525 1195 T)MBERSHORE LN 107650305040 1 0.75 $ 700 $ 525 1197 TIMBERSHORE LN 107650305030 1 0.75 $ 700 $ 525 1199 TIMBERSHORE LN 107650306030 1 0.75 $ 700 $ 525 1201 TIMBERSHORE LN 107650306020 1 0.75 $ 700 $ 525 1203 TIMBERSHORE LN 107650306010 1 0.75 $ 700 $ 525 1204 TIMBERSHORE LN 107650313030 1 0.75 $ 700 $ 525 1205 TIMBERSHORE LN 107650306040 1 0.75 $ 700 $ 525 1206 TIMBERSHORE LN 107650313040 1 0.75 $ 700 $ 525 ' 1207 TIMBERSHORE LN 107650307030 1 0.75 $ 700 $ 525 1209 TIMBERSHORE LN 107650307020 1 0.75 $ 700 $ 525 1211 TIMBERSHORE LN 107650307010 1 0.75 $ 700 $ 525 1213 TIMBERSHORE LN 107650307040 ' 1 0.75 $ 700 $ 525 1214TIMBERSHORELN 107650312020 1 0.75 $ 700 $ 525 1215 TIMBERSHORE LN 107650308030 1 0.75 $ 700 $ 525 1216 TIMBERSHORE LN 107650312030 1 0.75 $ 700 $ 525 1217 TIMBERSHORE LN 107650308020 1 0.75 $ 700 $ 525 J Denmark Avenue, Timbershore. Additions and Pilot Knob Heights Additions 13 1218TIMBERSHORE LN 107650312040 1 0.75 ` $ 700 $ 525 1219 TIMBERSHORE LN 107650308010 1 I 0.75 $ 700 $ 525 1220 TI MBERSHORE LN 107650312010 1 0.75 $ 700 $ 525 1221 TIMBERSHORE LN € 107650308040 1 0.75 $ 700 $ 525 1222 TIMBERSHORE LN 107650311020 1 0.75 $ 700 $ 525 1223 TIMBERSHORE LN 107650309030 1 0.75 $ 700 $ 525 1224 TIMBERSHORE LN 107650311030 1 0.75 $ 700 $ 525 1225 TIMBERSHORE LN 107650309020 1 0.75 $ 700 $ 525 .i 1226 TIMBERSHORE LN 107650311040 1 0.75 $ 700 $ 525 1227 TIMBERSHORE LN 107650309010 s 1 015 $ 700 $ 525 1228 TIMBERSHORE LN I 107650311010 1 0.75 $ 700 $ 525 1229 TIMBERSHORE LN 107650309040 1 0.75 $ 700 $ 525 1231 TIMBERSHORE LN 107650310030 1 0.75 $ 700 $ 525 1233 TIMBERSHORE LN 107650310020 1 0.75 $ 700 $ 525 1235 TIMBERSHORE LN 107650310010 1 0.75 ` ' $ 700 $ 525 1237TIMBERSHORE LN 107650310040 1 0.75 $ 700 $ 525 1238 TIMBERSHORE LN 107650207030 1 0.75 $ 700 $ 525 1239 TIMBERSHORE LN 107650206030 1 0.75 $ 700 $ 525 ' 1240TIMBERSHORE LN 107650207040 1 1 0.75 $ 700 $ 525 1241 TIMBERSHQRE LN 107650206020 1 0.75 $ 700 $ 525 1243 TIMBERSHORE LN 107650206010 ' 1 0.75 $ 700 $ 525 1245 TIMBERSHORE LN 107650206040 1 0.75 $ 700 $ 525 1247TIMBERSHORE LN 107650205040 1 0.75 $ 700 $ 525 1249 TIMBERSHORE LN 107650205030 1 0.75 $ 700 $ 525 1251 TIMBERSHORE LN 107650205020 1 0.75 $ 700 $ 525 1253 TIMBERSHORE LN 107650205010 1 0.75 $ 700 $ 525 1255 TIMBERSHORE LN 107650204040 1 0.75 $ 700 $ 525 1257 TIMBERSHORE LN 107650204030 1 0.75 $ 700 $ 525 1259 TIMBERSHORE LN 107650204020 1 0.75 $ 700 $ 525 1260TIMBERSHORE LN 107650207010 1 0.75 $ 700 $ 525 1261 TIMBERSHQRE LN 107650204010 1 0.75 $ 700 $ 525 1262TIMBER5HORE LN 107650207020 1 0.75 $ 700 $ 525 1263 TIMBERSHORE LN 107650203040 1 0.75 $ 700 $ 525 1264TIMBERSHORELN 107650208030 1 0.75 $ 700 $ 525 1265 TIMBERSHORE LN 107650203030 1 0.75 $ 700 $ 525 1266 TIMBERSHORE LN 107650208040 1 0.75 $ 700 $ 525 1267TIMBERSHORE LN 107650203020 1 0.75 $ 700 $ 525 1268 TIMBERSHORE LN 107650208010 1 0.75 $ 700 $ 525 1269 TIMBERSHORE LN 107650203010 1 0.75 $ 700 $ 525 1270 TIMBERSHORE LN 107650208020 - 1 0.75 $ 700 $ 525 1271 TIMBERSHORE LN 107650202040 1 0.75 $ 700 $ 525. 1272 TIMBERSHORE LN 107650209030 1 0.75 $ 700 $ 525 1273 TIMBERSHORE LN 107650202030 1 0.75 $ 700 $ 525 1274TIMBERSHORE LN 107650209040 1 0.75 $ 700 $ 525 1275 TIMBERSHORE LN 107650202020 1 1 0.75 $ 700 $ 525 1276 TIMBERSHORE LN 107650209010 1 0.75 $ 700 $ 525 1277 TIMBERSHORE LN 107650202010j 1 0.75 $ 700 $ 525 127STIMBERSHORE LN 107650209020 1 0.75 $ 700 $ 525 1279 TIMBERSHORE LN 107650201040. 1 0.75 , $ 700 $ 525 1280 TIMBERSHORE LN 107650210030 1 0.75 $ 700 $ 525 1281 TIMBERSHORE LN 107650201030 1 0.75 $ 700 $ 525 Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 14 1282TIMBERSHORELN j 107650210040 1 1 1 0.75 700 1 $ 52*1 j Subtotal 1 96 1 72 1 $ 50,400 Kolstad Lane R -I Residential P.I.N. Parcels I Lot Unit Total Equivalent Assessment 1320 KOLSTAD LN 100150051081 1 1 2 $ 700 $ 1,400 MEMOMMI" Subtotal 1 2 1,400 Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 15 Kolstad Lane Kolstad Road R-3 Residential P.I.N. I Parcels i Lot Equivalent Unit Assessment Unit Assessment Total 1292 KOLSTAD LN 107650103020 1 0.75 $ 700 525 1294 KOLSTAD LN 107650103030 1 0.75 $ 700 $ 525 1295 KOLSTAD LN 107650006010 Y 1 0.75 RD _j 700 $ 525 1296 KOLSTAD LN 1076501020 $ 0.75 $ 700 105767501030 525 1297 KOLSTAD LN 107650006040 1 0.75 $ 700 RD 525 1298 KOLSTAD LN 107650102020 1 0.75 $ 700 .3661 KOL-STAD 525 1300 KOLSTAD LN --107650102030 1 0.75 700 700 700 525 1302 KOLSTAD LN 107650102040 1 0.75 $ 700 $ 525 1304 KOLSTAD LN 107650101010 1 0.75 $ 700 $ 525 1305 KOLSTAD LN 107650007010 1 0.75 $ 700 $ 525 1306 KOLSTAD LN 107650101020 1 0.75 $ 700 $ 525 1307 KOLSTAD LN 107650007040 1 0.75 700 $ 525 1308 KOLSTAD LN 107650101030 1 0.75 $ 700 $ 525 —1-310 KOLISTAD LN 107650101040 1 0.75 700 $ 525 Subtotal 14 10.5 $ 7,350 Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 15 Kolstad Road Kolstad Road R-3 Residential R-1 Residential P.I.N. I Parcels Lot Equivalent Unit Assessment Total Total 3631 KOLSTAD RD 105767601010 1 1 700 3636 KOLSTAD RD 700 3637 KOLSTAD RD 105767501050 1 1 525 700 107650010020 700 3643 KOLSTAD RD _j 105767501040 1 1 3644 KOLSTAD RD 700 $ 700 3649 KOLSTAD RD 105767501030 1 1 107650010040 700 0.75 700 3655 KOLSTAD RD 105767501020 1 1 $ 700 700 .3661 KOL-STAD RD 105767501010 1 1 0,75 700 700 700 525 3652 KOLSTAD RD Subtotal 6 6 $ 700 $ 4,200 Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 15 Kolstad Road R-3 Residential P.I.N. Parcels i Lot Equivalent Unit t Assessment Total 3634 KOLSTAD RD 1 107650213010 1 0.75 $ 700 525 3636 KOLSTAD RD 107650213040 1 0.75 1 700 525 3642 KOLSTAD RD 107650010020 1 0.75 700 $ 525 3644 KOLSTAD RD 107650010030 1 0.75 700 $ 525 3646 KOLSTAD RD 107650010040 1 0.75 $ 700 $ 525 3648 KOLSTAD RD 1 107650010010 1 0.75 700 $ 525 3650 KOLSTAD RD 107650009020 1 0,75 $ 700 $ 525 3652 KOLSTAD RD 107650009030 1 0.75 $ 700 525 3654 KOLSTAD RD 107650009040 1 0.75 $ 700 5251. Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 15 3656 KOLSTAD RD ( 107650009010 ( 1 0.75 $ 700 $ 525 ' 3658 KOLSTAD RD i 107650008020 1 0.75 $ 700 $ 525 3660 KOLSTAD RD 107650008030 'i 1 0.75 $ 700 $ 525 3662 KOLSTAD RD 107650008040 1 0.75 $ 700 $ 525 3664 KOLSTAD RD 107650008010 '' 1 0.75 € $ 700 $ 525 3666 KOLSTAD RD 107650007020 1 0.75 $ 700 $ 525 3668 KOLSTAD RD ,: .- 107650007030 1 0.75 $ 700 $ 525 105750303070 Subtotal 16 ! 12 700 $ 700 ; 8,400 Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 16 Denmark Court R-1 Residential P.I.N. Parcels Lot Equivalent Assessment itTotal i 3711 DENMARK CT W 105750303020 1 1 $ 700 I $ 700 3715 DENMARK CT W 105750303030 1 1 $ 700 $ 700 3719 DENMARK CT W 105750303040 I 1 1 $ 700 $ 700 3723 DENMARK CT W 105750303050 1 1 $ 700 $ 700 3725 DENMARK CT W 105750303060 `' 1 1 $ 700 $ 700 3727 DENMARK CT W 105750303070 1 1 $ 700 $ 700 ; 3729 DENMARK CT W 105750303080 1 1 $ 700 $ 700 3733 DENMARK CT W 105750303090 1 1 $ 700 $ 700 3737 DENMARK CT W 105750303100 1 1 $ 700 $ 700 ' 3732 DENMARK CT E 105750302111 1 1 $ 700 $ 700 3728 DENMARK CT E 105750302120 1 1 $ 700 $ 700 3724 DENMARK CT E 105750302130 1 1 $ 700 $ 700 3720 DENMARK CT E 105750302141 1 1 $ 700 $ 700 3718 DENMARK CT 105750302150 1 1 $ 700 $ 700 3716 DENMARK CT E 105750302160 1 1 $ 700 $ 700 3712 DENMARK CT E 105750302170 1 1 $ 700 $ 700 3708 DENMARK CT E 105750302180 [ 1 1 $ 700 $ 700 3741 DENMARK CT W 105750303110 Subtotal 1 is 1 1s $ 700 $ $ 700 12.600 Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 16 Denmark Trail R-1 Residential P.I.N. Parcels Lot Equivalent Unit Assessment Total 3745 DENMARK TR W 105750303120 1 1 $ 700 $ 700 3747 DENMARKTR W 105750303130 1 1 $ 700 $ 700 3749 DENMARK TR W 105750303140 1 1 $ 700 $ 700 , 3751 DENMARK TRW 105750303150 1 1 $ 700 $ 700 3752 DENMARK TR E 105750302070 1 1 $ 700 $ 700 3753 DENMARK TRW 105750303160 1 1 $ 700 $ 700 3755 DENMARK TR W 105750303170 1 1 $ 700 $ 700 3756 DENMARK TR E 105750302060 1 1 $ 700 $ 700 ; 3757 DENMARK TR W 105750303180 1 1 $ 700 $ 700 3758 DENMARK TR E 105750302050 1 1 $ 700 $ 700 3759 DENMARK TRW 105750303190 1 1 $ 700 $ 700 3760 DENMARK TR E 105750302040 1 1 $ 700 $ 700 3761 DENMARK TR W 105750303200 1 1 $ 700 $ 700 3762 DENMARK TR E 105750302030 .i 1 1 $ 700 $ 700 3763 DENMARK TRW 105750303210 1 1 1 $ 700 $ 700 3765 DENMARK TR W 105750303220 1 1 $ 700 $ 700 Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 16 3766 DENMARK TR E 105750302020 1 1 $ 700 $ 700 3767 DENMARK TR W 105750303230 1 1 $ 700 $ 700 3769 DENMARK TR W 105750303240 1 1 -$--Y00 3702 DENMARK AVE $ 700 3770 DENMARK TR E 105750302010 1 1 $ 700 $ 700 3772 nENMARK TR W 105750303250 1 1 $ 700 $ 700 1 Subtotal Z1 21 700 3740 DENMARK AVE $ 14,7000 Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 17 Denmark Avenue R-1 Residential PIN. Parcels Lot Equivalent Unit Assessment unit Assessment Total 3698 DENMARK AVE 102450001010 1 1 $ 700 $ 700 3702 DENMARK AVE 102450001020 1 1 $ 700 $ 700 3704 DENMARK AVE 105750302190 1 1 $ 700 s $ 700 3705 DENMARK AVE 105750303010 1 1 $ 700 $ 700 3740 DENMARK AVE 105750302100 1 1 $ 700 $ 700 3744 DENMARK AVE 105750302090 1 1 $ 700 $ 700 3748 DENMARK AVE 105750302080 1 1 $ 700 $ 700 3779 DENMARK AVE 105750402010 1 1 $ 700 $ 700 3784 DENMARK AVE 105750401010 1 1 $ 700 $ 700 3787 DENMARK AVE 105750402020 1 1 $ 700 $ 700 3794 DENMARK AVE 105750401020 1 1 $ 700 $ 700 3795 DENMARK AVE 105750402030 1 1 $ 700 $ 700 � 525 Subtotal 12 I 12 0.75 ! $ $ 8,4Q0 Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 17 Denmark Avenue R-3 Residential P.I.N. Parcels Lot Equivalent unit Assessment Total 3634 DENMARK AVE 107650201010 I 1 0.75 $ 700 $ 525 3635 DENMARK AVE 107650002020 1 0.75 $ 700 $ 525 3636 DENMARK AVE 107650201020 1 0.75 $ 700 $ 525 3637 DENMARK AVE 107650002010 1 0.75 $ 700 $ 525 3643 DENMARK AVE 107650003030 1 0.75 $ 700 ' $ 525 3645 DENMARK AVE 107650003020 1 0.75 $ 700 $ 525 3647 DENMARK AVE 107650003010 1 0.75 $ 700 $ 525 3649 DENMARK AVE 107650003040 1 0.75 $ 700 $ 525 3650 DENMARK AVE 107650210010 1 0.75 $ 700 $ 525 3651 DENMARK AVE 107650004030 1 0.75 $ 700 $ 525 3652 DENMARK AVE 107650210020 1 0.75 $ 700 $ 525 3653 DENMARK AVE 107650004020 1 0.75 $ 700 $ 525 3655 DENMARK AVE 107650004010 1 0.75 ! $ 700 $ 525 3657 DENMARK AVE 107650004040 [ 1 0.75 $ 700 $ 525 3658 DENMARK AVE 107650211040 1 0.75 $ 700 $ 525 3659 DENMARK AVE 107650005030 1 0.75 $ 700 $ 525 3660 DENMARK AVE 107650211010 1 0.75 $ 700 $ 525 3661 DENMARK AVE 107650005020 1 0.75 $ 700 $ 525 3662 DENMARK AVE 107650211020 1 0.75 $ 700 $ 525 3663 DENMARK AVE 107650005010 1 0.75 $ 700 $ 525 3664 DENMARK AVE 107650211030 1 0.75 $ 700. $ 525 3665 DENMARK AVE 107650005040 1 0.75 $ 700 $ 525 3666 DENMARK AVE 107650212040 1 0.75 $ 700 $ 525 3667 DENMARK AVE 107650006030 1 0.75 $ 700 $ 525 Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 17 3668 DENMARK AVE 107650212010 1 0.75 i 700 $ 525 3669 DENMARK AVE 107650006020 1 0.75 $ 700 $ 700 525 �670 DENMARK AVE 107650212020 4 1 0.75 $ 700 700 525 3672 DENMARK AVE 107650212030 I 1 0.75 1,400 700 $ 525 3678 DENMARK AVE i 107650316010 1 0.75 700 $ 525 3680 DENMARK AVE 107650316020 1 0.75 700 525 3687 DENMARK AVE 107650103010 1 0.75 $ 700 $ 525 3689 DENMARK AVE 107650103040 1 0.75 700 $ 525 3691 DENMARK AVE 107650104080 1 0.75 700 $ 525 3693 DENMARK AVE 107650104020 1 0.75 $ 700 525 3694 DENMARK AVE 107650301010 1 0.75 1 700 525 3695 DENMARK AVE 107650104010 1 0.75 700 $ 525 3696 DENMARK AVE 107650301020 1 0.75 700 $ 525 3697 DENMARK AVE 107650104040 1 j 0.75 700 $ 525 Subtotal 33. 28.5 i $ 19,950 R-1 57 lots Denmark Avenue W I parcels R-3 Neighborhood Park P.I.N. I Parcels Lot Equivalent Unit Assessment I parcels Total Fish Lake Park 105750300020 1 1 $ 700 $ 700 Fishlake Park 105750300030 1 1 $ 700 $ 700 Subtotal 2 2 1,400 TOTAL 224 184 $ 128,800 R-1 57 lots Unplatted R-1 W I parcels R-3 164 units Park 2 parcels 224 total Residential Frontage 12459 99.8% Non -Assessable Frontage 31 0.2% Total Frontage 22490 100.0% Denmark Avenue, Timbershore Additions and Pilot Knob Heights Additions 18 CW911-22-2015 "Tw Denmark Ave] Timbershore Add. 1 Pilot Knob Heights Add. My of lain Street Revitalization - Project 1193 Fig, 2 —--- _EX. B618 & D412 CURB & GUTTER " 2 EX. BITUMINOUS OVERLAY (2" EX. BITUMINOUS OVERLAY -DENMARK AVE.) 3" BITUMINOUS SURFACE (2" KOLSTADRD.) 6" CL. 5 AGGREGATE BASE -&!w- -I=-. - 60' ROW 32'®44• F F 1— 2" FULL -WIDTH MILL (DENMARK AVE.) ,. I EDGE MIL (6'-8' wide) Typ. 11/2 TYPE 2360 BITUMINOUS OVERLAY (All Residential 2 Streets F** -'(2" TYPE 2360 BITUMINOUS OVERLAY -DENMARK AVE.) BITUMINOUS TACK COAT REPLACE EX. CURB & GUTTER AS DIRECTED 1112 EX. BITUMINOUS OVERLAY (2- EX. BITUMINOUS OVERLAY -DENMARK AVE.) 3" BITUMINOUS SURFACE (Z' KOLSTADRD.) 6" CL. 5 AGGREGATE BASE Bituminous Street Overlay Proposed Typical Section �72015 4q� �ty of Eap Denmark Me./ Timbershore Add. / Pilot Knob Heights Add. Street ReVitalization -Project 1193 Fig. 3 EngIneering Department r Typical Sections Denmark Ave., Timbershore Additions, & Pilot Knob Heights Additions Neighborhood Street Revitalization City Project No. 1193 Informational Meeting — 6:30 P.M. Monday, Jan. 11, 2016 Eagan Conference Room Attendance Aaron Nelson, Assistant City Engineer, 16 residents representing 15 single family homes were in attendance (see attached sign -in sheet). No one from the townhome area attended the meeting. Presentation of Project Details Nelson welcomed the residents and presented project information, including details such as construction, costs, schedule and assessments. A short ETV video on the street Improvement process was also shown. The meeting was split into two portions. The first was about the proposed street improvements, and the second addressed the proposed traffic control modifications (stop sign removal on Denmark Ave. at Denmark Ct. E.). The group was overwhelmingly supportive of the street improvements and acknowledged that they need to occur. Only general project related comments and questions were discussed as described below. 1. When was the last time the streets were overlayed? The streets were most recently overlayed 19 years ago (1997). 2. How long is it expected for the next overlay? The anticipated lifespan between overlays is 20 years. The city's past practice has been to provide a 5% credit on assessments for every year short of 20 years, so this neighborhood will receive a 5% credit in 2016. 3. How long will the construction last? How will it be phased? The contractor will have flexibility to determine how they phase each area, and construction is anticipated to begin as soon as early May (weather dependent), and needs to be complete by late June or early July. The size and scope of the improvements in this neighborhood will likely result in a 6 to 8 week construction timeframe. Contractors typically start on the outskirts of a neighborhood, so they will likely start on the side streets and do Denmark Ave. last. The City will mail more detailed construction specific information as construction nears. 4. What type of rain garden improvements will occur? Will there be a different design so the mulch doesn't wash away In large rain events? All the rain gardens on the east side of Denmark Avenue are scheduled to be updated this summer. Some concrete curb and storm water inlet improvements will be performed along with the street improvements, and then a separate contractor will remove the existing plants, perform some soil corrections, re- install some of the original plants, along with some new plants, and install new mulch. The design will change slightly to reduce the amount of mulch that washes out of the gardens during large rain events. The Water Resources staff will be managing this project, and will mail more detailed information to the adjacent residents later this spring. 5. How much damage to the concrete curb and gutter warrants repairs? It is common for concrete to crack. If the crack is tight and the curb is still functional, the curb will likely remain in place. If the crack is separated, heaved, or offset, or large chunks are missing that make the gutter not function properly, then the curb will likely be repaired. 6. How are assessments calculated? With residential properties, the city shares the cost of all work performed between the curbs 50/50 with the adjacent property owners. Any work in the curbs and boulevard, and the fire hydrant improvements, is paid 100% by the city. The property owner's portion is split evenly among all lots in the neighborhood. This neighborhood will receive a credit for maintenance being performed 1 year prior to its 20 year life expectancy, and a street width and pavement thickness credit along Denmark Avenue to make the assessment consistent with a typical residential street. 7. How and when will the final assessment amounts be determined? A letter will be mailed to all properties this fall after construction is complete. The letter will include the final assessment amounts associated with each property. It will also invite property owners to another public hearing that specifically addresses the final costs. At the close of this meeting and the City Council's corresponding approval of the final assessment costs, there is a 30 day window in which payments can be made without interest. Payment during this 30 -day period should be made at city hall. After the 30 -day period, any remaining portion of the assessment will be forwarded to Dakota County for collection as part of the property taxes. 4% to 5% interest is anticipated to be charged annually until paid in full. The 2015 Interest rate was 496, and the 2016 rate will be determined early next year. S. If an Irrigation system is damaged, how are repairs performed? The city will provide flags for property owners to mark their irrigation systems. If they are properly marked, the contractor will have a good chance to avoid damage to the systems. However, if the system is properly marked and still gets damaged, the city's contractor has historically made the repairs. 9. Will tree roots be damaged during curb removal and replacement? There aren't any trees in the city right-of-way. When curb is replaced, there is very little disturbance into yards, and there is very little excavation involved. We wouldn't anticipate any tree damage. The group indicated the primary reason they attended the meeting was to discuss the proposed stop sign removal on Denmark Avenue at Denmark Court East. There was about 1-1/4 hours of discussion regarding this topic. The group's main goal was safety for vehicles, pedestrians, and bicyclists. Ultimately, staff believes that the neighborhood will be safer than it currently is if the unwarranted stop signs are removed at this intersection. Staff began the discussion with the history, current conditions, previous Improvements to reduce traffic volumes and speeds, and the stop sign warrants that must be met for all -way stop signs to be recommended by the Minnesota Manual of Uniform Traffic Control Devices (MN MUTCD). A summary of these items is shown below: 1. The city's primary objective is safety. The main purpose for the proposed stop sign removal is to make the intersection safer for motorists, pedestrians, and bikers. 2. At their May 12, 2015, workshop, the City Council received a presentation from Howard Preston (CH2M Hill, Inc.), the MN Department of Transportation's consultant for the Highway Safety Improvement Program, summarizing various traffic safety items, including a systemic assessment of Eagan's streets and the identification of potential safety projects. The portion of Mr. Preston's presentation regarding the use of stop signs included these project results: o STOP signs have never been proven to be effective at speed reduction o STOP signs are not a safety device o STOP signs have been deployed at many locations where we do not mean stop and as a result only about 20% of drivers actually stop 3. At the May 12 meeting, the Council was supportive of the removal of unwarranted stop signs. 4. Traffic control is reviewed in each neighborhood as part of street overlay projects, and any proposed modifications are discussed at neighborhood meetings and public hearings. S. Staff is unable to find any documentation of when the stop signs were originally installed. They were likely intended to lower traffic speeds. 6. The average daily traffic volumes are approximately 3,800 vehicles per day (vpd). The most recent count information was from 2014, and counts have been performed every 2-3 years prior. The volumes have remained consistent for many years. 7. There is no reported stop sign related accident history at the intersection of Denmark Ave. and Denmark Ct, E. 8. There were 6 reported accidents in the last 10 years along Denmark Ave. between Wescott Road and Duckwood Road. (1 weather related, 3 distracted driving, 1 failure to yield, and 1 alcohol related). None of the accidents were at this intersection. 9. The majority of drivers do not stop at this stop sign, with drivers rolling through or not slowing at all. This was confirmed by the residents living in the vicinity. 10. Portions of Denmark Ave. were narrowed, and a speed monitoring device installed, in 2006 to help reduce traffic volumes and speeds. 11. The Minnesota Manual of Uniform Traffic Control Devices (MN MUTCD) is the universal manual that identifies how and where stop signs are installed. 12. No "warrants", as outlined In the MN MUTCD, have been met for this intersection. 13. Stop signs are to be used ONLY for identification of right-of-way at intersections. 14. Stop signs are NOT to be used as speed control devices. 15. Although there hasn't been a reported stop sign related' accident history to date, national, regional, and local studies indicate removal of the unwarranted stop signs would likely make the intersection safer than it currently is. 16. Vehicles tend to drive faster before and after the stop signs. 17. The stop signs contribute to additional noise as vehicles are slowing and accelerating. 18. It's unclear and difficult to determine if the stop signs reduce the volume of traffic using Denmark Avenue. The neighborhood provided numerous questions and comments. Overwhelmingly, the neighborhood's main concern is safety, and they want the stop signs to remain as "speed control devices". They recognize that the majority of the traffic does not stop, but like that drivers slows down for them. There were misconceptions of what stops signs are intended for (identification of right-of-way as opposed to speed control), and the false sense of security they provide for vehicles and pedestrians crossing at the intersection. Ultimately, "safety" is both the city's and neighborhood's primary objective. A summary of the questions/comments from the neighborhood are provided below. 1. Concern for pedestrians crossing Denmark Ave. Especially kids crossing near Fish Lake Park. 2. Many vehicles speed through the neighborhood (including residents of the neighborhood). The stop signs help slow traffic at that intersection. 3. It can be difficult to back out of driveways near the Intersection with speeding traffic. It's easier when cars slow down at the stop signs. 4. The stop signs might have a small contribution to lower traffic volumes. S. There is not much speed enforcement by the police. 6. If there hasn't been an accident history, don't change anything (if it's not broke, don't fix it) 7. There are sight distance issues (a side yard fence) at the SE corner of the intersection. This makes it difficult for drivers to exit the cul-de-sac if other motorists aren't slowing for the stop signs. S. The curves and trees along Denmark Ave. make it difficult to see vehicles in time if they are speeding. 9. Would like the speed monitoring sign to be re -calibrated. It consistently reads about 2 mph too low. 10. What can be done to make pedestrian crossings, backing out of driveways, pulling out of side streets, etc. safer if the stop signs are removed? The meeting adjourned at 8:30 p.m. 7T TT -71 TA Q City of Evan Denmark Avenue, Timbershore Addition and Pilot Knob Heights Addition City Project 1193 Informational Meeting Monday, Jan. 11, 2016 6:30 p.m. IS' 9. C' wcs sm6aC ADDRESS PHONE [ L c r �2-- e 376' -i n 3 41st -19d 2-111 ' 7 0- 13. 14. �4'f 6"2r3 L-166 / _-o-()� City Project • Informational MondayJanl l.. 2016 Agenda Information Memo January 19, 2016 Eagan City Council Meeting PUBLIC HEARING B. Project 1142 — Nicols Road (Silver Bell Road to 1,235' North) Street Improvements Action To Be Considered: Close the public hearing and approve Project 1142 (Nicols Road - Street Improvements) as presented and authorize the preparation of detailed plans and specifications. Facts: ➢ On June 2, 2015, the City Council directed staff to prepare a feasibility report considering the rehabilitation of Nicols Road, a residential street located north of Highway 13 and east of Highway 77 (Cedar Avenue) in west central Eagan. ➢ A structural mill and overlay of this street is programmed for 2016 in the City of Eagan's 5 -Year Capital Improvement Plan (2016-2020). ➢ On December 15, 2015, the draft Feasibility Report was presented to the City Council and a Public Hearing was scheduled for Tuesday, January 19, 2016. ➢ An informational neighborhood meeting was held on January 11 for the adjacent property owners to discuss the proposed improvements. Of the 3 properties (1 single-family, 1 public facility, 1 commercial/industrial) to be assessed under this improvement, no one attended the meeting. Attachments (1) PHB-1 Feasibility Report t To: Honorable Mayor and City Council From: Aaron Nelson, Assistant City Engineer Date: January 19, 2016 Re: Nicols Road (Silver Bell Road to 1,235' North) Street Revitalization City Project No. 1142 Attached is the feasibility report for the Nicols Road (Silver Bell Road to 1,235' North) Street Revitalization, City Project No. 1142.. The report presents and discusses the proposed improvements and includes a cost estimate, preliminary assessment roll and schedule. We would be pleased to meet with the City Council at your convenience to review and discuss the contents of this report. I hereby certify that this report was prepared by me or under my direct supervision and that I am a duly Licensed Professional Engineer under the laws of the State of Minnesota. Aaron Nelson Date: Reg. No. 4570r- Reviewed 5795 Reviewed By: Department of Public Works Date: Reviewed By: Finance Department Date: ExecutiveSummary..................................................................................................... 1 Introduction/History.......................................................................................................2 Scope...........................................................................................................................3 Area To Be Included.....................................................................................................3 StreetPavement Evaluation.........................................................................................3 ProposedImprovements..............................................................................................4 Easements/Permits............................................................................:.........................6 Feasibility/Recommendations......................................................................................6 CostEstimate...............................................................................................................7 Assessments................................................................................................................7 AssessmentFinancing Options.....................................................................................8 RevenueSource...........................................................................................................9 ProjectSchedule..........................................................................................................9 LIST OF APPENDICES Appendix A Preliminary Cost Estimate Appendix B Preliminary Assessment Roll Appendix C Figures - 1 Location Map 2 Street Improvement/Assessment Area Map 3 Typical Section — Mill & Overlay Executive Summary Background Project Details * Roadway resurfacing (edge mill & 1-1/2" overlay) Nicols Road (Silver Bell 19/100 Recommended Project Name Road to 1,235' North) Project # 1142 Street Area 4,650 S. Yds. Street Length 1235 Constructed 1960 Reconstructed 1995 Residential Lots • Water gate valves Nicols Road • Street signage Streets Included I Crack Sealed - Sea[Coated 2002 "I SW Xof Section 18 North of Hwy 13 Absolute Location I I Township 27, Range 2.3 Relative Location II East of Hwy 77 (Cedar Ave) Project Details * Roadway resurfacing (edge mill & 1-1/2" overlay) PCI Rating 19/100 Recommended Overlay * Replacement of damaged curb &I It gutter I Curb Removal 17% Scope a Adjustment/Replacement of: • Sanitary/Storm sewer • Utility castings Residential Lots • Water gate valves Public Facility • Street signage Commercial/industrial I Cost Estimate/ Revenue Nicols Road (Silver Bell Road to 1,235' North) 1 January 19, 2016 Neighborhood NicolsRoad Eagan.. Minnesota introduction History Pavement Management - As a part of Eagan's Pavement Management Program (PMP), the City evaluates streets within the community throughout their life cycle and implements appropriate maintenance strategies. In 1989, a Pavement Management System (PMS) was developed that allowed the City to evaluate the condition of the existing pavement surface for all the streets on a routine basis and schedule timely maintenance. A Five Year Capital Improvement Program (CIP) for street rehabilitation is developed from this information. The 1,235 feet of residential street in the in west central Eagan has been identified for 2016 street revitalization improvements. Figure 1, located in Appendix C, illustrates the project location. The street was originally constructed in 1960 and was overlayed in 1995. Based on the data and engineering strategies available at this time, the City's current PMP. incorporates local and ongoing maintenance strategies with seal coating occurring as needed (approximately 3 years after paving) and a bituminous overlay at approximately 20+ years. Overlaying the road located within the project area, which is currently in the 21 year time frame, will prevent further decay of the pavement surface, thus protecting and extending the structural life of the street. Timely maintenance work, such as bituminous patching, crack sealing and seal coating have occurred at appropriate intervals during the life of the pavement in the area. The City of Eagan's maintenance records indicate that the street was seal coated in 2002. The Public Works maintenance program typically includes extensive patching and crack sealing during the summer prior to the overlay. The Public Works crews, as part of the Preparatory Pavement Management Plan, removed and replaced deteriorated pavement areas and placed leveling and maintenance overlays on portions of the streets under consideration, where necessary. These repairs alone will not substantially extend the life expectancy of the street section if not combined with the bituminous overlay proposed with this project. Infrastructure Review - The Public Works Department has also inspected the utility infrastructure (sanitary sewer, water main, and storm sewer pipes and other structures) in the Nicols Road (Silver Bell Road to 1,235' North) project area and determined the underground systems are generally in good working order and that no major repairs are necessary. To provide a comprehensive review of the project area, the condition and coverage of other infrastructure items maintained by the City and other public agencies within the public right-of- way and easements such as street lights, utility boxes, and above ground storm water ponds/access, and pedestrian features were evaluated. The rehabilitation of City -maintained items is included in this project, if needed. q>Scope This project will provide resurfacing (edge mill and overlay) for approximately 1,235 feet of roadway. Figure 2 in Appendix C, illustrates the project limits. Included in this project are the following improvements; replacement of damaged curb and gutter, adjustments and/or replacement to sanitary/storm sewer utility castings, water gate valves, and replacement of street signage. q>Area to Be Included Properties included in the project lie'within the SW %, Section 18, lying North of Hwy. 13 and East of Hwy. 77 (Cedar Avenue), in Township 27, Range 23, in the City of Eagan, Dakota County, Minnesota. q -,>Street Pavement Evaluation The City of Eagan's Pavement Management System allows the City to evaluate the condition of the existing street surface to help schedule timely maintenance and improvements. The Pavement Condition Index (PCI) ranks the surface condition for each street. The general categories that define PCI rankings are as follows: PCI Recommended Improvement Routine Patch /Repair and/or Overlay !Reconstruct/ Reclaim The 2016 PCI rankings for the street segments have a weighted average pavement condition rating of 19, which falls in the "Reconstruct/reclaim" categories, as mentioned above. While the pavement condition falls into the Reconstruct/Reclaim category, the types of pavement Nicols Road (Silver Bell Road to 1,235' North) 3 distresses do not reflect significant subgrade issues, and the existing pavement still has substantial strength. Therefore, a mill & overlay of this street will provide a reasonable pavement life expectancy. The 2016 construction season is the critical time to construct the bituminous overlay on this street, before its condition deteriorates further and warrants more substantial rehabilitation. Proposed Improvements Concrete curb & gutter - Damaged curb & gutter will be replaced if severely cracked, spalled, or settled. It is estimated that approximately 17% of the existing concrete curb and gutter will have to be replaced. Boulevard turf will be removed and replaced with seed. While the contractor who performs the work is responsible for its establishment (45 days for seed), adjacent property owners are encouraged to consistently water the new turf, where possible, to help ensure its growth. Utility Adjustment/Replacement — Sanitary/storm sewer manholes, catch basins, and gate valves will be adjusted, repaired, or replaced based on the condition of castings and supporting Nicols Road (Silver Bell Road to 1,235' North) 4 structures. Such repairs to the storm sewer, sanitary sewer, and water main infrastructures ensure quick and easy access by the City for maintenance and other purposes. Signage - Traffic and street identification signage within the project limits has reached the end of its useful life expectancy and is in need of replacement. Signs have been reviewed for compliance with the Minnesota Manual on Uniform Traffic Control Devices (MnMUTCD). Those that are required by the MnMUTCD will be replaced to improve safety and night time visibility, and those that are not will be permanently removed. Traffic Control Modifications — A one-way stop sign is currently installed on Silver Bell Road at Nicols Road. This intersection does not meet any stop sign warrants outlined in the Minnesota Manual of Traffic Control Devices. Because this is a T -intersection, state statutes require vehicles on the intersecting street to yield. There are very low traffic volumes, and the predominant traffic movement is westbound Silver Bell Road to northbound Nicols Road, and southbound Nicols Road to eastbound Silver Bell Road. There are only a few vehicles that travel south of Silver Bell Road: Because of low traffic volumes, limited traffic traveling south of Silver Bell Road, and a lack of conflicts between turning movements, the stop sign can be removed safely. Street Lights —The street lights in the project area (maintained by Xcel Energy) are in good condition and provide adequate coverage. No modifications to the existing street lights are proposed. Complete Streets — "Complete Streets" is a transportation and design approach that plans, designs, operates, and maintains streets in a means to enable safe, convenient and comfortable travel and access for users of all ages and abilities regardless of their mode of transportation. Nicols Road (Silver Bell Road to 1,235` North) 5 Complete Streets allow for safe travel by those walking, bicycling, driving automobiles, riding public transportation, or delivering goods. In 2010, the State of Minnesota adopted a Complete Streets policy, which encourages, but does not require local governments to adopt this policy. The MN Department of Transportation has published a Complete Streets Guidelines for Local Agencies Resource Guide (Feb. 2013). Nicois Road was reviewed to determine if additional Complete Streets opportunities are available and/or feasible. The street is relatively narrow at 30 feet wide, has low traffic volumes, limited access points, and a sidewalk is available on Silver Bell Road to connect pedestrians to the City and regional trail system. Pedestrian curb ramps in the project area at the intersecting sidewalks will be replaced if necessary to meet current ADA design standards. Given the existing and proposed elements available for all users, the streets in this neighborhood meet the intent of the complete streets guidelines. Easernentjftrmlts All work will be in the public right-of-way. No additional easements are anticipated. It is anticipated that a permit from the rail road company will be required for the resurfacing project. Feasibility and Recommendations The mill and overlay project is necessary to maintain and enhance the structural integrity of the pavement section, create a safer driving surface, and increase rideability. It is cost effective in that the proposed improvement (resurfacing) is considerably less expensive than complete reconstruction of this street. The mill and overlay is feasible in that this type of improvement has been used successfully to extend the life expectancy of numerous other streets throughout the City and the region. This project is in accordance with the Five Year Capital Improvement Plan (2016 — 2020) for the City of Eagan and the schedule as outlined in the Pavement Management Program. It is recommended that the project be constructed as proposed in this report in combination with other similar projects in the area. Nicols Road (Silver Bell Road to 1,235' North) 6 ,;,->Co St Estimate Detailed cost estimates are located in Appendix A. The estimates are based on anticipated 2016 construction costs and include a 5% contingency and indirect cost of 30%, which include legal, administration, engineering, and bond interest. A summary of the costs is as follows: Nicols Road (Silver Bell Road to 1,235' North) ® Mill & Overlay........................................................................ $ 58,600 • Repair Existing Concrete Curb & Gutter ................................ 5,900 Total........................................................................... $ 64,500 4�>Assessrnents Assessments are proposed to be levied against the benefited properties for the total improvement with costs allocated In accordance with the City of Eagan's Special Assessment Policy for a mill and overlay Improvement for residential streets. All assessments will be revised based on final costs. A preliminary assessment roll is included in Appendix B. City Special Assessment Policy Assessment Ratio Property City Mill & Overlay - Low -Density Residential (R-1,2,3) 50% 50% MIII & Overlay—Public Facility 75% 25% Repair Existing Concrete Curb & Gutter - 100% Residential Lots—All residential lots (2 single family homes —467'total frontage) as shown on Figure 2, having driveway access on to the street to be improved are proposed to be assessed. The City's Assessment Policy states that 50% of the mill and overlay costs are assessable for local residential streets, based on a standard 32 -foot width. The estimated cost per residential unit, based on the City's Assessment Policy, is $11.86/ F.F. and is calculated as follows: Mill & Overlay - Residential Properties o $58,600 (Mill & Overlay Costs) / 2,470'=$23.72/F.F. a $23.72/F.F. x 50% assessment rate = $11.86/F.F. Residential assessment 0 3786 Nicols Rd = $11.86/residential F.F. x 182 F.F. _ $2,159 total assessment 0 3785Nicols Rd= $11.86/residential F.F. x 285 F.F. _ $3,380 total assessment Public Facility Properties — All public facility properties adjacent to Thomas Lake Road (Metro Sewer Board Metering Station —180 F.F.), as shown on Figure 2, are proposed to be assessed. The City's Assessment Policy states that 75% of the mill and overlay costs are assessable for Public Facilities based on a standard 32' width. The estimated cost, based on the City's Assessment Policy, is $9.7.79/ Public Facility F.F., and is calculated as follows: Nicols Road (Silver Bell Road to 1,235' North) 7 o $58,600 (Mill & Overlay Costs) / 2,470'= $23.72/F.F. o $23.72/F.F. x 75% assessment rate= $17.79/F.F. Public Facility assessment o $17.79/public facility F.F. x 180 F.F. _ $3,202.20, rounded to $3,202 total assessment The remaining frontage within the project area (1,823' or 73.8%) is considered non- assessable under the City's Assessment Policy. 1;-�>Assessment Financing Options The property owner will have the option at the time of the assessment hearing to pay the full assessment or include the assessment in with their property tax statement. If the assessment is included with the property tax statement, the assessment and interest will be spread over five years for residential owners, and 10 years for public facilities and commercial/industrial properties. In 2015, the Interest rate was set at 4%. The 2016 rate is not yet available, however, it is expected to be comparable and based on City policy will be determined by the City Council in the spring. The following payment schedule is an example each assessment with an estimated 4% interest for the assessed amounts, and assumes 14 months interest for the first year: Residential Assessment ($2,159) I Year Principal / year i $432 Interest /Year 1 Cost / year $533 . Residential Assessment ($3,380) Principal /year Interest / yearCess /'dear r15c Year _$676- 10�' $703 ._..�. Public Facility Assessment ($3,202) Principal / year Interest /year st {year Ist year $320 $150 $47€ 10th year $320 $13 $333 Bonds may be issued to finance the improvements. Nicols Road (Silver Bell Road to 1,235' North) 8 Revenue Source A ciFmm!%nr of ratirc mia cmurrac is fictarl KPInw- The Major Street Fund will finance the estimated street related project deficit of $55,759 (86% of total street costs). (;>Project Schedcrl Present Feasibility Report to City Council/ Order Public Hearing.............................................................................December 15, 2015 Informational Meeting..............................................................................January 11, 2016 PublicHearing............................................................................................January 19, 2016 Approve Plans and Specifications............................................................ February 16, 2016 BidDate........................................................................................................ March 24, 2016 AwardContract.................................................................................................April 5, 2016 StartConstruction............................................................................................. May 1, 2016 ProjectCompletion.......................................................................................... August, 2016 Final Cost Report........................................................................................September, 2016 FinalAssessment Hearing...................................................................................... Fall, 2016 First Payment Due with Property Tax Statement ........................................... May 15, 2017 Nicols Road (Silver Bell Road to 1,235' North) 9 «.11 , ada •:: 3 . r' The Major Street Fund will finance the estimated street related project deficit of $55,759 (86% of total street costs). (;>Project Schedcrl Present Feasibility Report to City Council/ Order Public Hearing.............................................................................December 15, 2015 Informational Meeting..............................................................................January 11, 2016 PublicHearing............................................................................................January 19, 2016 Approve Plans and Specifications............................................................ February 16, 2016 BidDate........................................................................................................ March 24, 2016 AwardContract.................................................................................................April 5, 2016 StartConstruction............................................................................................. May 1, 2016 ProjectCompletion.......................................................................................... August, 2016 Final Cost Report........................................................................................September, 2016 FinalAssessment Hearing...................................................................................... Fall, 2016 First Payment Due with Property Tax Statement ........................................... May 15, 2017 Nicols Road (Silver Bell Road to 1,235' North) 9 Appendix A Prellminary Cost Estimate City Project 1142 Nicols Road from Silver Bell Road North item No. i Item Part I - Bituminous Street Overlay 2021.501 Mobilization 2104.505 Remove Bituminous Pavement 2211.501 6" Aggregate Base, Cl. 5 (1004 Crushed) 2232.501 Mill Bituminous Pavement (1-1/4" depth, 6' Width) 2357.502 Bituminous Material forTack Coat 2360.501 SP WEA340B Wearing Course Mixture (Overlay) 2360.501 5P WEA3408 Wearing Course Mixture (Patch) 2504.602 Adjust Gate Valve Box 2504.602 Repair Gate Valve Top Section w/Cover 2505.602 Adjust Frame and Ring Casting (Manhole) 2563.601 Traffic Control SP -1 Signage Remove and Replace Subtotal Seeding (MnDOT270 w/Type 5 Hydromulch) 5% Contingency Subtotal 5% Contingency 30% Indirect Costs Part 1- Bituminous Street Overlay Item No. I Item Part u - Repair Existing Curb & Gutter 2104.501 Remove Concrete Curb and Gutter 2360.501 SP WEA340B Wearing Course Mixture (Patch) 2504.602 • Irrigation Repair 2506.602 Adjust Frame & Ring Casting (CB) HDPE Rings 2506.602 Repair/ Grout CB or MH Invert/ Doghouses 2506.602 Install 2x 3 CB Erosion Barrier Shroud 2531.501 Concrete Curb and Gutter, 8618 2540.602 Repair Underground Electric Fence 2540.602 Repair Landscaping 2572.503 Application of Water for Turf Establishment 2573.530 Storm Drain inlet Protection 2575.551 Select Topsoil/ Grade 1 Compost Mix 2575.609 Seeding (MnDOT270 w/Type 5 Hydromulch) Subtotal EA 5% Contingency Subtotal 3 30% Indirect Costs Part II - Repair Existing Curb &Gutter Part I - Bituminous Street Overlay Part 11- Repair Existing Curb & Gutter Project 1142 Total Cost LS $ 4,000.00 1 SY $ 10.00 45 TON $ 28.00 40 SY $ 1.50 420 GAL $ 3.00 305 TON $ 60.00 430 TON $ 130.00 17 EA $ 225.00 3 EA $ 300.00 1 EA $ 700.00 3 IS $ 2,000.00 1 LS $ 2,720.00 1 LF $ 8.50 45 TON $ 130.00 2 EA $ 200.00 1 EA $ 450.00 2 EA $ 500.00 2 EA $ 150.00 1 LF $ 18.00 45 EA $ 100.00 1 EA $ 250.00 1 GAL $ 0.10 360 EA $ 125.00 1 Cy $ 60.00 1 SY $ 5.50 8 Nicols Road (Silver Bell Road to 1,235' North) 10 Estimated Cost $ 4,000.00 $ 450.00 $ 1,120.00 $ 630.00 $ 915.00 $ 25,800.00 $ 2,210.00 $ 675.00 $ 300.00 $ 2,100.00 $ 2,000.00 $ 2,720.00 $ 42,920.00 $ 2,146.00 $ 45,066.00 $ 13,519.80 $ 58,585.80 $ 382.50 $ 260.00 $ 200.00 $ 900.00 $ 1,000.00 $ 150.00 $ 810.00 $ 100.00 $ 250.00 $ 36.00 $ 125.00 $ 60.00 $ 44.00 $ 4,317.50 $ 215.88 $ 4,533.38 $ 1,360.01 $ 5,893.39 $ 58,585.80 $ 5,893.39 $ 64,479.19 Appendix B Preliminary Assessment Role City Project #1142 Nicols Road Nicols Road 467 18.9% Public Facility Frontage R-1 Residential P.I.N. Front Feet unit Assessment `total 3786 NICOLS RD 107140001010 182 $ 11.86 $ 2,169 3785 NICOLS RD 100160060020 285 $ 11.86 3,380 Subtotal 467 $ 5,539 Total. $ 8,741 Residential Frontage 467 18.9% Public Facility Frontage 180 7.3% Non -Assessable Frontage 1823 73.8% Total Frontage 2470 100.0% Nicols Road (Silver Bell Road to 1,235' North) 11 —T ITT% NKEE-,DOODLE RD. Nicols Road Project 1142 !A orN't EpAp AA Ar IVA FW q2t. ma 3 mil MIM11 Fig. 1 Nicols Road (Silver Bell Road to 1,235' North) Cq of bun Street Revitalization - Project 1142 11/1512016 tom_ `1€ '--1:00190002 . 015 - SILVER BELL kciXC =s � �. ', RR" �� xr M 14.5' TO FACE I Z n- ami I AR &M 15, 11/2" TYPE 2360 BITUMINOUS OVERLAY 4" BITUMINOUS SURFACE 10" CL. 5 AGGREGATE BASE EX. B618 CURB & GUTTER EDGE MILL ALONG ABUTTING CURB & GUTTER (6'-8' wide) Typ. EX. 8618 CURB & GUTTER Nicols Road (Sliver Bell Road to 1,235' North 49"kDf, p Street Revitalization - Project 1142 Engineering Department Typical Sections Fig, 3 Agenda Information Memo January 19, 2016 Eagan City Council Meeting PUBLIC HEARING C. Project 1202 — Eagan Business Commons (Commers Drive) Street Improvements Action To Be Considered: Close the public hearing and approve Project 1202 (Eagan Business Commons - Street Improvements) as presented and authorize the preparation of detailed plans and specifications. Facts: ➢ On June 2, 2015, the City Council directed staff to prepare a feasibility report considering the rehabilitation of Commers Drive, a commercial street located north of Lone Oak Road and west of Highway 55 in northeast Eagan. ➢ A structural mill and overlay of this street is programmed for 2016 in the City of Eagan's 5 -Year Capital Improvement Plan (2016-2020). ➢ On December 15, 2015, the draft Feasibility Report was presented to the City Council and a Public Hearing was scheduled for Tuesday, January 19, 2016. ➢ An informational neighborhood meeting was held on January 11 for the adjacent property owners to discuss the proposed improvements. Of the 4 commercial / industrial properties to be assessed under this improvement, no one attended the meeting. Attachments (1) PHC-1 Feasibility Report 1 s UILY of Evfl Attached is the feasibility report for the Eagan Business Commons (Commers Drive) Street Revitalization, City Project No. 1202. The report presents and discusses the proposed improvements and includes a cost estimate, preliminary assessment roll and schedule. We would be pleased to meet with the City Council at your convenience to review and discuss the contents of this report. I hereby certify that this report was prepared by me or under my direct supervision and that i am a duly Licensed Professional Engineer under the laws of the State of Minnesota. Aaron Nelson Date: Reg. No. 45795 Reviewed By: Department of Public Works Date: Reviewed By: Finance Department Date: ExecutiveSummary..................................................................................................... 1 Introduction/History .......................................................................................................2 Scope...........................................................................................................................3 AreaTo Be Included.....................................................................................................3 Street Pavement Evaluation.........................................................................................3 Proposedimprovements..............................................................................................4 Easements/Perm its......................................................................................................6 Feasibility/Recommendations......................................................................................6 CostEstimate...............................................................................................................7 Assessments................................................................................................................7 AssessmentFinancing Options.....................................................................................8 Revenue Source...........................................................................................................8 ProjectSchedule..........................................................................................................9 LIST OF APPENDICES Appendix A Preliminary Cost Estimate Appendix B Preliminary Assessment Roll Appendix C Figures - Z Location Map 2 Street Improvement/Assessment Area Map - 3 Typical Section — Mill & Overlay Executive Summary Background Project Name Eagan Bus. Commons Project # 1202 (Commers Dr.) Street Area 8,150 S. Yds. Street Length 2035 Feet Improvement Constructed 1 1996 • Pedestrian ramp replacement Curb Removal Reconstructed N/A Streets Included Commers Drive Crack Sealed - • Sanitary/Storm sewer Seal Coate 20042011 • Utility castings Parcels 5 • Water gate valves SE Xof Section 2 • Street signage North of Lone Oak Road and Absolute Location Township 27, Range 23 Relative Location West of Hwy. 55 Project Details • Roadway resurfacing (edge mill & PCI Rating I 54/100 1-1/2" overlay) • Replacement of damaged curb & I Recommended Overlay gutter Improvement • Pedestrian ramp replacement Curb Removal 15% Scope e Concrete driveway replacement • Adjustment/Replacement of: • Sanitary/Storm sewer Commercial/industrial • Utility castings Parcels 5 • Water gate valves • Street signage Cost Estimate/ Revenue Eagan Business Commons (Commers Drive) 1 January 19, 2016 Neighborhood # DriveEagan Business Commons — Commers Minnesota IntroductionHistory Pavement Management = As a part of Eagan's Pavement Management Program (PMP), the City evaluates streets within the community throughout their life cycle and implements appropriate maintenance strategies. In 1989, a Pavement Management System (PMS) was developed that allowed the City to evaluate the condition of the existing pavement surface for all the streets on a routine basis and schedule timely maintenance. A Five Year Capital Improvement Program (CIP) for street rehabilitation is developed from this information. The 2,035 feet of commercial street in the Eagan Business Commons area in northeast Eagan has been identified for 2016 street revitalization improvements. Figure 1, located in Appendix C, illustrates the project location. The street was originally constructed in 1996. Based on the data and engineering strategies available at this time, the City's current PMP incorporates local and ongoing maintenance strategies with seal coating occurring as needed (approximately 3 years after paving) and a bituminous overlay at approximately 20+ years. Overlaying the road located within the project area, which is currently in the 20 year time frame, will prevent further decay of the pavement surface, thus protecting and extending the structural life of the street. Timely maintenance work, such as bituminous patching, crack sealing and seal coating have occurred at appropriate intervals during the life of the pavement in the area. The City of Eagan's maintenance records indicate that the street was seal coated in 2004 and 2011. The Public Works maintenance program typically includes extensive patching and crack sealing during the summer prior to the overlay. The Public Works crews, as part of the Preparatory Pavement Management Pian, removed and replaced deteriorated pavement areas and placed leveling and maintenance overlays on portions of the streets under consideration, where necessary. These repairs alone will not substantially extend the life expectancy of the street section if not combined with the bituminous overlay proposed with this project. Eagan Business Commons (Commers Drive) 2 Infrastructure Review - The Public Works Department has also inspected the utility infrastructure (sanitary sewer, water main, and storm sewer pipes and other structures) in the project area and determined the underground systems are generally in good working order and that no major repairs are necessary. To provide a comprehensive review of the project area, the condition and coverage of other infrastructure items maintained by the City and other public agencies within the public right-of- way and easements such as street lights, utility boxes, and above ground storm water ponds/access, and pedestrian features were evaluated. The rehabilitation of City -maintained items is included in this project, if needed. a This project will provide resurfacing (edge mill and overlay) for approximately 2,035 feet of roadway. Figure 2 in Appendix C, illustrates the project limits. Included in this project are the following improvements; replacement of damaged curb and gutter, adjustments and/or replacement to sanitary/storm sewer utility castings, water gate valves, and replacement of street signage. ��>Area to Be Included Properties included in the project lie within the SE 1, Section 2, lying North of Lone Oak Road & West of Hwy. 55, in Township 27, Range 23, in the City of Eagan, Dakota County, Minnesota. Street Pavement Evaluation The City of Eagan's Pavement Management System allows the City to evaluate the condition of the existing street surface to help schedule timely maintenance and improvements. The Pavement Condition Index (PCI) ranks the surface condition for each street. The general categories that dune PCI rankings are as follows: Recommended improvement 56-10 ,,-- •» ;, »v Patch/Repair36-55 0-35 ._ Reclaim The 2016 PCI rankings for the street segments have a weighted average pavement condition rating of 54, which falls in the "Patch/Repair and/or Overlay" category, as mentioned above. Eagan Business Commons (Commers Drive) 3 The street pavement has reached an age where, based on the City's past experience, the integrity of the pavement can rapidly decline if no improvements are performed. Therefore, the 2016 construction season is the optimal time to construct the bituminous overlay on this street. Any delay of the project may reduce the structural benefit to the street sections and require more substantial rehabilitation. q>Proposed Improvements Pavement - The proposed street improvements shown in Figure 3. The existing street section for this roadway consists of 5-1/2" bituminous pavement supported by 12" gravel base. The existing bituminous surface will be milled adjacent to the existing curb and gutter (6'-B' wide) to accommodate a 1% -inch bituminous overlay. The overlay, combined with the existing street section, will provide a street section consistent with current City standards for commercial streets. The combination of patching and overlay will not eliminate cracking due to the temperature extremes experienced in Minnesota. Bituminous overlays will show some continued frost movements and reflective cracking consistent with the underlying pavement. Routine maintenance will still need to continue under the City's Pavement Management Program. Concrete curb & gutter - Damaged curb & gutter will be replaced if severely cracked, spalled, or settled. It is estimated that approximately 15% of the existing concrete curb and gutter will have to be replaced. Boulevard turf will be removed and replaced with seed. While the contractor who performs the work is responsible for its establishment (45 days for seed), adjacent property owners are encouraged to consistently water the new turf, where possible, to help ensure its growth. Utility Adjustment/Replacement -- Sanitary/storm sewer manholes, catch basins, and gate valves will be adjusted, repaired, or replaced based on the condition of castings and supporting Eagan Business Commons (Commers Drive) 4 structures. Such repairs to the storm sewer, sanitary sewer, and water main infrastructures ensure quick and easy access by the City for maintenance and other purposes. Sldewaik/Fath & Pedestrian Ramps — Revisions to the Americans with Disabilities Act (ADA) requires jurisdictional agencies to provide detectable warnings at all existing pedestrian ramps of sidewalks and paths with public streets that; fis„r, are improved, including street surface improvements. The most common method of providing this detectable warning is through the installation of truncated domes a minimum of two feet in' length across the width of all pedestrian ramps. This project provides for the installation of truncated dome pedestrian ramps CI the existing trail wherever they currently do not exist. The pedestrian ramp, and several feet of adjacent curb and gutter, on the west side of Commers Drive will be removed and replaced so that ramp can meet current cross slope requirements. The pedestrian ramp on the east side of Commers Road will be replaced, but it will not meet cross slope requirements because the existing topography of Commers Drive and Lone Oak Road do not allow for the required substantial change in grade that would be needed to re -slope the cross walk. Driveway Replacement — Many of the adjacent properties were have concrete driveway aprons that are in disrepair, and are proposed to be replaced. The entrances will be reconstructed with 7” -thick concrete aprons in accordance with Eagan Standard Detail 440. These replacements will provide commercial entrances of adequate strength and width, and will be consistent with similar projects in commercial/industrial areas within the project area and throughout the City. Eagan Business Commons (Commers Drive) 5 MnMUTCD will be replaced to improve safety and night time visibility, and those that are not will be permanently removed. Street Lights — The street lights in the project area (maintained by Xcel Energy) are in good condition and provide adequate coverage. No modifications to the existing street lights are proposed. Complete Streets — "Complete Streets" Is a transportation and design approach that plans, designs, operates, and maintains streets in a means to enable safe, convenient and comfortable travel and access for users of all ages and abilities regardless of their mode of transportation. Complete Streets allow for safe travel by those walking, bicycling, driving automobiles, riding public transportation, or delivering goods. In 2010, the State of Minnesota adopted a Complete Streets policy, which encourages, but does not require local governments to adopt this policy. The MN Department of Transportation has published a Complete Streets Guidelines for Local Agencies Resource Guide (Feb. 2013). The streets in this area were reviewed to determine if additional Complete Streets opportunities are available and/or feasible. This area is commercial in nature, has limited access points, and a sidewalk is available along Lone Oak Road, and a trail along TH 55, to connect pedestrians to the City and regional trail system. Pedestrian curb ramps in the project area at the intersecting sidewalks will be replaced if necessary to meet current ADA design standards. Given the existing and proposed elements available for all users, the streets in this area meet the intent of the complete streets guidelines. asernent Perrnrts All work will be in the public right-of-way. No additional easements are anticipated. It is anticipated that a Mn/DOT right-of-way permit will be required for work in TH 55 right-of-way, and a Dakota County right-of-way permit will be required for work in Lone Oak Road right-of- way. Fasiblttty and. Recommendations The mill and overlay project is necessary to maintain and enhance the structural integrity of the pavement section, create a safer driving surface, and increase rideability. It is cost effective in that the proposed improvement (resurfacing) is considerably less expensive than complete reconstruction of this street. The mill and overlay is feasible in that this type of improvement has been used successfully to extend the life expectancy of numerous other streets throughout the City and the region. Eagan Business Commons (Commers Drive) 6 This project is in accordance with the Five Year Capital Improvement Plan (2016 — 2020) for the City of Eagan and the schedule as outlined in the Pavement Management Program. It is recommended that the project be constructed as proposed in this report in combination with other similar projects in the area. Cost Estimate Detailed cost estimates are located in Appendix A. The estimates are based on anticipated 2016 construction costs and include a 5% contingency and indirect cost of 25%, which include legal, administration, engineering, and bond interest. A summary of the costs is as follows: Eagan Business Commons (Commers Drive) eMill & Overlay........................................................................ $ 91,800 • Repair Existing Concrete Curb & Gutter ................................ $ 44,600 ® Concrete Entrance Replacement ........................................... 10,900 Total........................................................................... $147,300 1;_,�Assessments Assessments are proposed to be levied against the benefited properties for the total improvement with costs allocated in accordance with the City of Eagan's Special Assessment Policy for a mill and overlay improvement for residential streets. All assessments will be revised based on final costs. A preliminary assessment roll is included in Appendix B. City Special Assessment Policy Assessment Ratio Property City Mill & Overlay—Commercial/Industrial 100% - Repair Existing Concrete Curb & Gutter - 100% Concrete Driveway Replacement 100% - The assessments for commercial/industrial properties were determined based on the total net acres. The total acreage of the high density and commercial/ industrial properties is 22.98 acres. The "net acres" is 21.82 acres, and was determined by subtracting the 1.16 acres of drainage and utility easements used for ponding purposes from the total acreage. Mill & Overlay - Commercial/industrial — All commercial/industrial properties (5 total), as shown on Figure 2, within the project area are proposed to be assessed. The City's Assessment Policy states that 100% of the mill and overlay costs are assessable, regardless of street width. The estimated cost per net acre to be assessed, based on the City's Assessment Policy, is $4,217/Net Acre (C/i) and is calculated as follows; Eagan Business Commons (Commers Drive) 7 o 4,070' C/I Frontage / 4,070' Total Frontage =100% C/1 Frontage o $91,800 (Mill & Overlay Costs) x 100% (Assessment Rate) x 100% C/I frontage = $91,800 o $91,800 / 21.82 net acres = $4,207.15/ net acre, rounded to $4,210 / net acre (0) Driveway Entrance Replacement — Several properties have driveway entrances with damaged concrete driveway aprons that will be replaced. Properties are proposed to be assessed for the total cost of repairs. The estimated cost of driveway repairs is approximately $10,900 or $145/ SY and is calculated as follows: • Total area of concrete driveway apron repair = 75 SY • Total concrete driveway apron cost = $10,900 • Total cost/SY = $145.33, rounded to $145/ SY Assessment Financing Options _ The property owner will have the option at the time of the assessment hearing to pay the full assessment or include the assessment in with their property tax statement. If the assessment is included with the property tax statement, the assessment and interest will be spread over ten years for commercial/industrial properties. In 2015, the interest rate was set at 4%. The 2016 rate is not yet available, however, it is expected to be comparable and based on City policy will be determined by the City Council in the spring. The following payment schedule is an example of a commercial/industrial assessment of $1,000 with an estimated 4% interest for the assessed amounts, and assumes 14 months interest for the first year: Year Cost / Year Year 0 } or t Bonds may be issued to finance the improvements. Revenue Source U'V1111i'MiN♦ =6141T,'0 Eagan Business Commons (Commers Drive) 8 • ■ f • ♦ ,, Repair 4. Gutter ♦ 44,6001 ii ! jj0 Eagan Business Commons (Commers Drive) 8 The Major Street Fund will finance the estimated street related project deficit of $44,600 (30% of total street costs). 1;1->Prolect Schedule Present Feasibility Report to City Council/ Order Public Hearing...............................................................................December 15, 2015 InformationalMeeting..............................................................................January 11, 2016 PublicHearing............................................................................................January 19, 2016 Approve Plans and Specifications............................................................ February 16, 2016 BidDate........................................................................................................ March 24, 2016 AwardContract.................................................................................................April 5, 2016 StartConstruction............................................................................................. May 1, 2016 Project Completion.......................................................................................... August, 2016 FinalCost Report ........................................................................................September, 2016 Final Assessment Hearing...................................................................................... Fall, 2016 First Payment Due with Property Tax Statement ........................................... May 15, 2017 Eagan Business Commons (Commers Drive) 9 Appendix A Preliminary Cost Estimate City Project 1202 - Commons Drive Item No. 1 Item Part I - Bituminous Street Overlay 2021.501 Mobilization 2232.501 Mill Bituminous Pavement (1-1/4" depth, 6" Width) 2357.502 Bituminous Material for Tack Coat 2360.501 SP WEA3408 Wearing Course Mixture (Overlay) 2360.501 SP WEA340B Wearing Course Mixture (Patch) 2504.602 Adjust Gate Valve Box 2504.602 Repair Gate Valve Top Section w/Cover 2506.602 Adjust Frame and Ring Casting (Manhole) 2506.602 Adjust Manhole Casting- Riser Adjustment 2563.601 Traffic Control SP -1 Signage Remove and Replace Subtotal 591. Contingency Subtotal 25% Indirect Costs Part 1- Bituminous Street Overlay LS $ 4,000.00 1 $ 4,000.00 SY $ 1.50 3517 $ 5,275.50 GAL $ 3.00 530 $ 1,590.00 TON $ 60.00 757 $ 45,420.00 TON $ 130.00 5 $ 650.00 EA $ 225.00 9 $ 2,025.00 EA $ 30D.00 2 $ 600.00 EA $ 700.00 9 $ 6,300.00 EA $ 250.00 4 $ 1,000.00 LS $ 2,000.00 1 $ 2,000.00 LS $ 1,050.00 1 $ 11050.00 $ 69,910.50 $ 3,495.53 $ 73,406.03 $ 18,351.51 Item No. Item unit IJnit Price Est Estlmated Cost Part 11- Repair Existing Curb & Cutter 2104.501 Remove Concrete Curb and Gutter LF $ 8.50 675 $ 5,737.50 2104.503 Remove Bituminous Trail Pavement SF $ 2.00 500 $ 1,000.00 2105.501 Common Excavation CY $ 30.00 5 $ 150.00 2211.501 6" Aggregate Base, CI.5 (100% Crushed) TON $ 28.00 13 $ 364.00 2360.501 5P WEA340B Wearing Course Mixture (Patch) TON $ 130.00 26 $ 3,380.00 2504.6D2 Irrigation Repair EA $ 200.00 3 $ 600.00 2506.602 Adjust Frame & Ring Casting (CB) HDPE Rings EA $ 450.00 12 $ 5,400.00 2506.602 Install 2 x 3 CB Erosion Barrier Shroud EA $ 150.00 1 $ 150.00 2521.501 6" Concrete Ped Ramp w/ Wet Cast for Truncated Dome Inset SF $ 8.00 135 $ 1,080.00 2521.501 4" Concrete Sidewalk SF $ 5.00 80 $ 400.00 2531.501 Concrete Curb and Gutter, 8618 LF $ 18.00 660 $ 11,880.00 2531.501 Concrete Curb and Gutter, 8624 LF $ 20.00 15 $ 300.00 2531.618 Truncated Dome Detectable Warning Paver (2x2) EA $ 165.00 8 $ 1,320.00 2540.602 Repair Landscaping EA $ 250.00 1 $ 250.00 2572.503 Application of Water for Turf Establishment GAL $ 0.10 510D $ 51D.00 2573.530 Storm Drain Inlet Protection EA $ 125.00 1 $ 125.00 2575.551 Select Topsall/ Grade 1 Compost Mix CY $ 60.00 12 $ 720.00 2575.609 Seeding (MnDOT 270 w/Type 5 Hydromulch) SY $ 5.50 113 $ 621.50 Subtotal $ 33,988.00 SSS Contingency $ 1,699.40 Subtotal $ 35,687.40 25% Indirect Costs $ 8,921.85 Part 11- Repair Existing Curb & Gutter $ 44,609,25 Eagan Business Commons (Commers Drive) 10 Item No. I Item Part III - Concrete Driveway Entrance 2104.505 Remove Concrete Driveway Valley Gutter 2105.501 Common Excavation 2211.501 6 "Aggregate Base, Cl, 5 (100% Crushed) 2360.501 SP WEA340B Wearing Course Mixture (Patch) 2506.602 Adjust Frame and Ring Casting (Manhole) 2531.507 Repair 7" Concrete Driveway Pavement- High Early 2575.535 Water for Turf Establishment 2575.551 Select Topsoll/Compost (Grade 1) mix 2575.604 Seeding (MnDOT270'w/Type 5 Hydromulch) Subtotal 5% Contingency Subtotal 25% Indirect Costs Part III - Concrete Entrance Replacement Part I - Bituminous Street Overlay Part II - Repair Existing Curb & Gutter Part III - Concrete Entrance Replacement Project 1202 Total Cost SY $ 16,0D 75 $ 1,200.00 CY $ 30.00 3 $ 90.00 TON $ 28.00 3 $ 84.00 TON $ 130.00 9 $ 1,170.00 EA $ 700.00 1 $ 700.00 SY $ 65.00 75 $ 4,875.00 GAL $ 0.10 563 $ 56.30 TON $ 30.00 1.5 $ 45.Q0 SY $ 5.50 12.5 $ 68.75 Eagan Business Commons (Commers Drive) 11 $ 8,289.65 $ 414.45 $ 8,703.50 $ 2,175.88 $ 10,879.38 $ 91,757.53 $ 44,609.25 $ 10,879.38 $ 147,246.16 Appendix B Preliminary Assessment Role City Project #1202 Eagan Business Commons Commers Drive i concrete Concrete Total 1-1 industrial P.I.N. Gross t Net Acreage Acreage Unit Assessment (Total Street Assessment Entrance Entrance Replacement " Unit Concrete Entrance I Total : Assessment Area (SY) )'assessment 1 ($14S/SY} Assessment 102240201031 2915 COMMER5 DR. & 5.74 55.33 $4,210 1 t 102240201032 $22,439 32 $145 $4 665 $27,104 2945 COMMERS DR. 102240201020 7.24 f5,49 $4,210 $27,261 11 $145 $1,595 $28,856 2985 CdMMERS DR. 102240201012 6.00 6.00 $4,210 $25,260 r 8 $145 $1,160 $26,420 2W COMMEPS DR_ 102240301010 4.00 4.00 $4,210 $16,840 24 $145 $3,480 $20,320 Subtotal I 22.98 21.82 $81,800 75 1 $20,900 $102,700 Eagan Business Commons (Commers Drive) 12 ta' DIFFLEY, R®' P EXIST. B618 — CURB & GUTTER EDGE MIL (6'-8' wide) 'Af JINJA 4� Qq of Eap Engineering Department 512" SITUMINOUS,$URFACIS. GREG �RA E 12V i�,�L. 5 AGOR, ATE - 0 Eagan.Business; Commons (Commert DOI .Svae iRevitalization - Prpjed 1202 lWdcal Sections la im January 19, 2016 t � z City of Eap In To: Honorable Mayor and City Council From: Aaron Nelson, Assistant City Engineer Date: January 19, 2016 Re: Whispering Woods V', 11`x' -13t' Additions Street Revitalization Clty Project No.: 1194 Attached is the feasibility report for the Whispering Woods e, 11"'-13"' Additions Street Revitalization, City Project No. 1194. The report presents and discusses the proposed improvements and includes a cost estimate, preliminary assessment roll and schedule. We would be pleased to meet with the City Council at your convenience to review and discuss the contents of this report. Reviewed By: Department of Public Works Reviewed By: • I hereby certify that this report was prepared by me or under my direct supervision and that I am a duly Licensed Professional Engineer under the laws of the State of Minnesota. Aaron Nelson Date: Reg. No. 45795 Date: Date: Executive Summary..................................................................................................... 1 Introduction/History.......................................................................................................2 Scope...........................................................................................................................3 AreaTo Be Included.....................................................................................................3 StreetPavement Evaluation.........................................................................................3 Proposed Improvements..............................................................................................4 Easements/Permits ......................................................................................................6 Feasibility/Recommendations......................................................................................6 Cost Estimate...............................................................................................................7 Assessments................................................................................................................7 Assessment Financing Options.....................................................................................8 Revenue Source...........................................................................................................8 ProjectSchedule..........................................................................................................9 LIST OF APPENDICES Appendix A Preliminary Cost Estimate Appendix B Preliminary Assessment Roll Appendix C Figures - 1 Location Map - 2 Street Improvement/Assessment Area Map - 3 Typical Section — Mill & Overlay Executive Summary Background Project Details • Roadway resurfacing (full width Whispering Woods 9th' 57/100 I Project Name I 111h_ 13' Additions Project # 1194 Street Area 10,303 Sq. Yds. Street Length 2,765 Feet Improvement Constructed 1993,1995,1996,1998 & 2003 • Replacement of damaged curb & Wall Street Reconstructed I N/A Jamie Rose Court ® Adjustment/Replacement of: I o Sanitary/Storm sewer Streets Included Estates Drive Crack Sealed - 50 Whispering Way 2004 o Street signage Seat Coated 2010 Absolute Location SW Y4of Section 31 Relative Location West of Slater Road, South of Township 27, Range 23 Cliff Road Project Details • Roadway resurfacing (full width PCI Rating 57/100 pavement removal and replacement, Recommended full width mill & 1-1/2" overlay, edge Overlay mill & 1-1/2" overlay) Improvement • Replacement of damaged curb & Curb Removal 11% Scope gutter ® Adjustment/Replacement of: o Sanitary/Storm sewer o Utility castings Residential Lots 50 o Watergate valves o Street signage Cost Estimate/ Revenue Whispering Woods 9h, 11 ffi-1 3" Additions 1 January 19, 2016 Neighborhood SRevitalization Whispering Woods Additiol Eagan,, Minnesota 12�lntroductlon/into Pavement Management - As a part of Eagan's Pavement Management Program (PMP), the City evaluates streets within the community throughout their life cycle and implements appropriate maintenance strategies. In 1989, a Pavement Management System (PMS) was developed that allowed the City to evaluate the condition of the existing pavement surface for all the streets on a routine basis and schedule timely maintenance. A Five Year Capital improvement Program (CIP) for street rehabilitation is developed from this information. The 2,765 feet of residential streets in the Whispering Woods 9th, 11th -13th Additions in southwest Eagan has been identified for 2016 street revitalization improvements. Figure 1, located in Appendix C, illustrates the project location. The streets were originally constructed in 1993,1995,1996,1998 & 2003. Based on the data and engineering strategies available at this time, the City's current PMP incorporates local and ongoing maintenance strategies with seal coating occurring as needed (approximately 3 years after paving) and a bituminous overlay at approximately 20+ years. Overlaying the roads located within the project area, which are currently in the 13-23 year time frame, will prevent further decay of the pavement surface, thus protecting and extending the structural life of the street. Timely maintenance work, such as bituminous patching, crack sealing and seal coating have occurred at appropriate intervals during the life of the pavement in the area. The City of Eagan's maintenance records indicate that the streets were seal coated in 2004 and 2010. The Public Works maintenance program typically includes extensive patching and crack sealing during the summer prior to the overlay. The Public Works crews, as part of the Preparatory Pavement Management Plan, removed and replaced deteriorated pavement areas and placed leveling and maintenance overlays on portions of the streets under consideration, where necessary. These repairs alone will not substantially extend the life expectancy of the street section if not combined with the bituminous overlay proposed with this project. Whispering Woods Oh, 11th -13th Additions 2 Infrastructure Review - The Public Works Department has also inspected the utility infrastructure (sanitary sewer, water main, and storm sewer pipes and other structures) in the project area and determined the underground systems are generally in good working order and that no major repairs are necessary. To provide a comprehensive review of the project area, the condition and coverage of other infrastructure items maintained by the City and other public agencies within the public right-of- way and easements such as street lights, utility boxes, and above ground storm water ponds/access, and pedestrian features were evaluated. The rehabilitation of City -maintained items is included In this project, if needed. This project will provide resurfacing (combination of edge mill and overlay, full width mill and 1- 1/2" overlay, and full pavement removal and replacement) for approximately 2,765 feet of roadway. Figure 2 in Appendix C, illustrates the project limits. Included in this project are the following improvements; replacement of damaged curb and gutter, adjustments and/or replacement to sanitary/storm sewer utility castings, water gate valves, and replacement of street signage. (�;>Area to Be Included Properties included in the project lie within the SW %, Section 31, lying West of Slater Road and South of Cliff Road, in Township 27, Range 23, in the City of Eagan, Dakota County, Minnesota. zStreet Pavement Evaluation The City of Eagan's Pavement Management System allows the City to evaluate the condition of the existing street surface to help schedule timely maintenance and improvements. The Pavement Condition Index (PCI) ranks the surface condition for each street. The general categories that define PCI rankings are as follows: Whispering Woods 9i", 11t" -1e Additions 3 Recommended Improvement Routine Maintenance/Crack Sea[/Seal Coat Patch/Repair and/or Overlay a • Reclaim Reconstruct/ Whispering Woods 9i", 11t" -1e Additions 3 The 2016 PCI rankings for the street segments have a weighted average pavement condition rating of 57, which falls in the "Patch/Repair and/or overlay" category, as mentioned above. The street pavement has reached an age where, based on the City's past experience, the integrity of the pavement can rapidly decline if no improvements are performed. Therefore, the 2016 construction season is the optimal time to construct the bituminous overlay on this street. Any delay of the project may reduce the structural benefit to the street sections and require more substantial rehabilitation. The western 200' of Estates Drive was built in 2003, and has a 2015 PCI rating of 91. Because this section is so small, it is proposed to be overlayed with the remainder of the neighborhood. This will keep the street section and maintenance strategies consistent, and provide economies of scale discounts that would not be achieved If maintained separately. The neighborhood will also receive a 35% discount (5% for every year less than 20 years, or 10/20) for maintenance being performed prior to the 20 year anticipated rehabilitation timeframe. The discount will be spread to the entire assessable amount, prorated by front footage. The prorated discount is described in more detail in the assessments section of this report. pr®posed Improvements Pavement - The proposed street improvements shown in Figure 3. The existing street section for this roadway consists of 3 to 3-1/2" bituminous pavement supported by 6" to 8" gravel base. The existing bituminous surface will be milled adjacent to the existing curb and gutter (6'-8' wide) to accommodate a 1% -inch bituminous overlay. The easternmost 938' of Wall Street has a PCI range of 11 to 12. It is in very poor condition and warrants a total pavement removal and replacement (3" mill and overlay). The City will finance the removal and replacement of the base course pavement, and the wear course will be assessed as a typical mill and overlay at 50%. The remainder of Wall Street will receive a full width, 1-1/2" mill and 1-1/2" overlay to maintain a consistent street section. a street section consistent with current City standards for residential streets. The combination of patching and overlay will not eliminate cracking due to the temperature extremes experienced in Minnesota. Bituminous overlays will show some continued frost movements and reflective cracking consistent with the underlying pavement. Routine maintenance will still need to continue under the City's Pavement Management Program. Whispering Woods 9th, 11th -13th Additions 4 Concrete curb & gutter - Damaged curb & gutter will be replaced if severely cracked, spalled, or settled. It is estimated that approximately 11% of the existing concrete curb and gutter will have to be replaced. Boulevard turf will be removed and replaced with seed. While the contractor who performs the work is responsible for its establishment (45 days for seed), adjacent property owners are encouraged to consistently water the new turf, where possible, to help ensure its growth. Utility Adjustment/Replacement — Sanitary/storm sewer manholes, catch basins, and gate valves will be adjusted, repaired, or replaced based on the condition of castings and supporting structures. Such repairs to the storm sewer, sanitary sewer, and water main infrastructures ensure quick and easy access by the City for maintenance and other purposes. Signage - Traffic and street identification signage within the project limits has reached the end of its useful life expectancy, and is in need of replacement. Signs have been reviewed for compliance with the Minnesota Manual on Uniform Traffic Control Devices (MnMUTCD). Those that are required by the MnMUTCD will be replaced to improve safety and night time visibility, and those that are not will be permanently removed. Street Lights—The street lights in the project area (maintained by Dakota Electric Association) are in good condition and provide adequate coverage. No modifications to the existing street lights are proposed. Complete Streets — "Complete Streets" is a transportation and design approach that plans, designs, operates, and maintains streets in a means to enable safe, convenient and comfortable travel and access for users of all ages and abilities regardless of their mode of transportation. Whispering Woods 9'h, 11'h -13th Additions 5 Complete Streets allow for safe travel by those walking, bicycling, driving automobiles, riding public transportation, or delivering goods. In 2010, the State of Minnesota adopted a Complete Streets policy, which encourages, but does not require local governments to adopt this policy. The MN Department of Transportation has published a Complete Streets Guidelines for Local Agencies Resource Guide (Feb. 2013). The streets in this neighborhood were reviewed to determine if additional Complete Streets opportunities are available and/or feasible. The streets are relatively narrow at 32 feet wide, have low traffic volumes, limited access points, and a sidewalk is available along Slater Road to connect pedestrians to the City and regional trail system. Pedestrian curb ramps in the project area at the intersecting sidewalks will be replaced if necessary to meet current ADA design standards. Given the existing and proposed elements available for all users, the streets in this neighborhood meet the intent of the complete streets guidelines. semens Permits All work will be in the public right-of-way. No additional easements are anticipated. It is anticipated that no permits will be required for the resurfacing project. Feasibility and Recommendations The mill and overlay project is necessary to maintain and enhance the structural integrity of the pavement section, create a safer driving surface, and increase rideability. It is cost effective in that the proposed improvement (resurfacing) is considerably less expensive than complete reconstruction of this street. The mill and overlay is feasible in that this type of improvement has been used successfully to extend the life expectancy of numerous other streets throughout the City and the region. This project is in accordance with the Five Year Capital Improvement Plan (2015 — 2020) for the City of Eagan and the schedule as outlined in the Pavement Management Program. It is recommended that the project be constructed as proposed in this report in combination with other similar projects in the area. Whispering Woods 9", 11th -13th Additions 6 Cast Estimate Detailed cost estimates are located in Appendix A. The estimates are based on anticipated 2016 construction costs and include a 5% contingency and indirect cost of 25%, which include legal, administration, engineering, and bond interest. A summary of the costs is as follows: Whispering Woods 9", 11 "A 3"' Additions * Mill &®verlay........................................................................ $ 156,200 Repair Existing Concrete Curb & Gutter ................................ S 32.90 Total........................................................................... $ 189,100 ssessr°nents Assessments are proposed to be levied against the benefited properties for the total improvement with costs allocated in accordance with the City of Eagan's Special Assessment Policy for a mill and overlay improvement for residential streets. All assessments will be revised based on final costs. A preliminary assessment roll is included in Appendix B. An early deterioration credit of (5% per year) is proposed for all properties because the pavement condition has deteriorated prior to the anticipated 20 -year pavement life cycle (1/20=5%). The total front footage is 5,530'. 950' (450'x2) of Wall Street deteriorated 2 years before Its 20 year life expectancy. 400' (200'x2) of Estates Drive deteriorated 7 years before its 20 year life expectancy. sk The early deterioration adjustment factor for the neighborhood is [(950'x 2/20) + (400' x 7/20)] / 5,530' = 4.2% 100% - 4.2% = 95.8%. This reduced assessment rate is in accordance with the February 16, 2010 update of the City's Special Assessment Policy for addressing premature infrastructure failure. City Special Assessment Policy Assessment Ratio Property City Mill & Overlay - Low -Density Residential (R-1,2,3) 50% 50% Repair Existing Concrete Curb & Gutter - 100% Residential Lots—All residential lots (50 single family homes) as shown on Figure 2, having driveway access on to the street to be improved are proposed to be assessed. The City's Assessment Policy states that 50% of the mill and overlay costs are assessable for local Whispering Woods 9t", 11 i"A 3"' Additions 7 residential streets, based on a standard 32 -foot width. The estimated cost per residential unit, based on the City's Assessment Policy, is $1,200/ lot and is calculated as follows: Mill & Overlay - Residential Properties o Mill & Overlay costs = $156,200. $28,100 is for base course removal and replacement of the 938' (centerline feet) of Wall Street that is getting a full depth pavement removal and replacement (base course removal and replacement funded by City). The remaining $128,100 is assessed at 50%. 0 5,399' Residential Frontage / 5,530' Total Frontage = 97.6% o $128,100 (Mill & Overlay Costs) x 50% x 97.6% (Assessable Costs) x 95.8% (Early Deterioration Credit) _ $59,887 (Total R-1 Assessment) o $59,887/ 50 lots = $1,197.74, rounded to $1,200 / single-family lot The remaining frontage within the project area (131' or 2.4%) is considered non- assessable under the City's Assessment Policy. 4SSe5nient Financing00ions The property owner will have the option at the time of the assessment hearing to pay the full assessment or include the assessment in with their property tax statement. if the assessment is included with the property tax statement, the assessment and interest will be spread over five years for residential owners. In 2015, the interest rate was set at 4%. The 2016 rate is not yet available, however, it is expected to be comparable and based on City policy will be determined by the City Council in the spring. The following payment schedule is an example of a residential lot assessment of $1,200 with an estimated 4% interest for the assessed amounts, and assumes 14 months interest for the first year: Bonds may be issued to finance the improvements. Revenue Source A summary of revenue sources is listed below: Proje uaui• • • WIFIT- i$ 60,000 96,200 Repair a. Gutter' •�� Whispering Woods 9'', 11"'-1 3h Additions D pr�nc�pai � year Interest /Fear �..._..__ Cost year �.. .1 year � s� I....__�__�....-._., $__._.,� I 240 � 56 _ $ $2.96 5�s year $240 �_-..,�.. �..._ $1.0 _ _�..._ ..._. �- $ 250 � Bonds may be issued to finance the improvements. Revenue Source A summary of revenue sources is listed below: Proje uaui• • • WIFIT- i$ 60,000 96,200 Repair a. Gutter' •�� Whispering Woods 9'', 11"'-1 3h Additions D The Major Street Fund will finance the estimated street related project deficit of $129,100 (68% of total street costs). r9j Schedule Present Feasibility Report to City Council/ Order Public Hearing.............................................................................December 15, 2015 Informational M'eeting.............................................................................. January 11, 2016 PublicHearing............................................................................................January 19, 2016 Approve Plans and Specifications............................................................ February 16, 2016 SidDate........................................................................................................ March 24, 2016 AwardContract................................................................................................. April 5, 2016 StartConstruction............................................................................................. May 1, 2016 ProjectCompletion.......................................................................................... August, 2016 FinalCost Report ........................................................................................September, 2016 FinalAssessment Hearing...................................................................................... Fall, 2016 First Payment Due with Property Tax Statement ........................................... May 15, 2017 Whispering Woods 9t", 11th -1e Additions 9 Appendix A Preliminary Cost Estimate City Project 1194 - Whispering Woods 9th, 11th -13th Additions Item No. Item Unit Unit Price I Est � City ! Estimated Cost Part I - Bituminous Street Overlay LF $ 8.50 629 $ 5,346.50 2021.501 Mobilization LS $ 4,000.00 1 $ 4,000.00 2104.505 Remove Bituminous Pavement SY $ 10.00 45 $ 450.00 2105.501 Common Excavation CY $ 30.00 15 $ 450.00 2211.501 6" Aggregate Base, CI.5 (100% Crushed) TON $ 28.00 71 $ 1,988.00 2232.501 Mill Bituminous Pavement (1-1/4" depth, 6' Width) SY $ 1.50 2270 $ 3,405.00 2232.501 Mill Bituminous Pavement - Full Width (1-1/4" Depth) SY $ 3.00 1926 $ 5,778.00 2232.501 Mill Bituminous Pavement - Full Width - Full Depth SY $ 4.00 3040 $ 12,160.00 2357.502 Bituminous Material for Tack Coat GAL $ 3.00 670 $ 2,010.00 2360.501 SP WEA340B Wearing Course Mixture (Overlay) TON $ 60.00 1239 $ 74,340.00 2360.501 SP WEA340B Wearing Course Mixture (Patch) TON $ 130.00 13 $ 1,690.00 2504.602 Adjust Gate Valve Box EA $ 225.00 5 $ 1,125.00 2504.602 Repair Gate Valve Mid Section EA $ 400.00 1 $ 400.00 2504.602 Repair Gate Valve Top Section w/Cover EA $ 300.00 2 $ 600.00 2506.602 Adjust Frame and Ring Casting (Manhole). EA $ 700.00 10 $ 7,000.00 2506.602 Adjust Manhole Casting - Riser Adjustment EA $ 250.00 1 $ 250.00 2563.601 Traffic Control LS $ 2,000.00 1 $ 2,000.00 SP -1 Signage Remove and Replace LS $ 1,400.00 1 $ 1,400.00 subtotal 5% Contingency Subtotal 25% Indirect Costs Part I - Bituminous Street Overlay $119,046.00 $ 5,952.30 $124,998.30 $ 31,249.56 Item No. Item Unit knit Price i Est Estimated Qty Cost Part If - Repair Existing Curb & Gutter 2104.501 Remove Concrete Curb and Gutter LF $ 8.50 629 $ 5,346.50 2104.505 Remove Concrete Driveway Valley Gutter SY $ 16.00 18 $ 288.00 2211.501 6" Aggregate Base, CI.5 (100% Crushed) TON $ 28.00 5 $ 140.00 2360.501 SP WEA340B Wearing Course Mixture (Patch) TON $ 130.00 9 $ 1,170.00 2504.602 irrigation Repair EA $ 200.00 5 $ 1,000.00 2506.602 Adjust Frame & Ring Casting (CB) HDPE Rings EA $ 450.00 4 $ 1,800.00 2506.602 Install 2 x 3 CB Erosion Barrier Shroud EA $ 150.00 1 $ 150.00 2531.501 Concrete Curb and Gutter, B618 LF $ 18.00 10 $ 180.00 2531.501 Concrete Curb and Gutter, Surmountable LF $ 17.00 619 $ 10,523.00 2531.507 Concrete Valley Gutter - High Early SY $ 65.00 18 $ 1,170.00 2540.602 Repair Underground Electric Fence EA $ 100.00 5 $ 500.00 2540.602 Repair Landscaping EA $ 250.00 3 $ 750.00 2572.503 Application of Water forTurf Establishment GAL $ 0.10 4750 $ 475.00 2573.530 Storm Drain Inlet Protection EA $ 125.00 2 $ 250.00 2575.551 Select Topsoil/ Grade 1 Compost Mix CY $ 60.00 12 $ 720.00 2575.609 Seeding (MnDOT 270 w/Type 5 Hydromulch) SY $ 5.50 105 $ 577.50 Subtotal Whispering Woods 9th, 110'-130'Additions 10 $ 25,040.00 5% Contingency Subtotal 25% Indirect Costs Part 11- Repair Existing Curb & Gutter Part 1- Bituminous Street Overlay Part it - Repair Existing Curb & Gutter Project 1194 Total Cost Whispering Woods 9th, 11th -13th Additions 11 $ 1,252.00 $ 26,292.00 $ 6,573.00 $ 32,865.00 $156,247.88 $ 32,865.00 Appendix B Preliminary Assessment Roll City Project #1194 Whispering Woods 9th, 11t6 -13th Whispering Woods 9"', 11 "A 30'Additions 12 Whispering Way -1 Residential I PAIN. Lot Equivalent Unit Assessment Total � 4916 Whispering Way 108396001080 1 1 1$ $ 1,200 $ 1,200 4919 Whispering Way 108396001070 1 $ 1,200 $ 1,200 4920 Whispering Way 108396001090 1 $ 1,200 $ 1,200 4923 Whispering Way 108396001060 1 $ 1,200 $ 1,200 4924 Whispering Way 108396001100 1 $ 1,200 $ 1,200 4927 Whispering Way 108396001050 1 $ 1,200 $ 1,200 4928 Whispering Way 108396001110 1 $ 1,200 $ 1,200 4931 Whisperling Way f 108396001040 1 $ 1,200 $ 1,200 4932 Whispering Way 108396001120 1 $ 1,200 $ 1,200 4935 Whispering Way 108396001030 1 $ 1,200 $ 1,200 4936 Whispering Way 108396001130 1 $ 1,200 $ 11200 4939 Whispering Way 108396001020 1 $ 1,200 $ 1,200 4940 hisperingWay 108396001140 ' 1 $ 1,200 $ 1,200 4943 Whispering Way 108396001010 1 $ 1,200 $ 1,200 4944 Whispering Way 1 108396001150 1 $ 1,200 $ 1,200 Subtotal: 1S 1 $ 18,000 Whispering Woods 9"', 11 "A 30'Additions 12 Estates Dr. R-1 Residential P.I.N. Lot Equivalent Unit Assessment Total 2224 Estates Dr. 108396002020 1 $ 1.1200 $ 1,200 2225 Estates Dr. 108395901110 1 $ 1,200 $ 1,200 2229 Estates Dr. 108396001170 1 $ 1,200 $ 1,200 2228 Estates Dr. 108396002010 1 $ 1,200 $ 1,200 2232 Estates Dr. 108396201010 1 $ 1,200 $ 1,200 2233 Estates Dr. 108396001160 1 $ 1,200 $ 1,200 2236 Estates Dr. ' 108396201020 1 $ 1,200 $ 1,200 2239 Estates Dr. 108396201080 1 $ 1,200 $ 1,200 2240 Estates Dr. 108396201.030 1 $ 1,200 $ 1,200 2243 Estates Dr. 108396201070 1 $ 1,200 $ 1,200 2244 Estates Dr. 108396201040 1 $ 1,200 $ 11200 2247 Estates Dr. 108396201060 1 $ 1,200 $ 1,200 i 2248 Estates Dr. 108396201050 1 $ 1,200 $ 1,200 Subtotal: 13 15,600 Whispering Woods 9"', 11 "A 30'Additions 12 Wall St. R-1 Residential P.f.Pd. Lot Equivalent Unit Assessment Total 2226 Wall St. 1 108395502010 1 $ 1,200 $ 1,200 2229 Wail St. 108395803010 1 $ 1,200 $ 1,200 2233 Wall 5t. 108395803020 1 $ 1,200 $ 1,200 2237 Wall St. 1 108395803030 ' 1 $ 1,200 $ 1,200 2241 Wall St. 108395803040 1 $ 1,200 $ 1,200 2245 Wail St. 108395803050 1 $ 1,200 $ 1,200 2248 Wall St. 108395804010 1 $ 1,200 $ 1,200 2249 Wali St. 108395803060 1 $ 1,200 i $ 1,200 2253 Wali St. 108395803070 1 $ 1,200 $ 1,200 2257 Wall St. 108396101010 L 1 $ 1,200 $ 11200 Whispering Woods 9"', 11 "A 30'Additions 12 2260 Wall St. 108396101120 1 $ 1,200 $ 1,200 2261 Wall St. 108396101020 1 $ 1,200 $ 1,200 2264 Wail St. 108396101110 1 $ 1,200 $ 1,200 2265 Wall St. 108396101030 1 j $ 1,200 $ 1,200 2268 Wall St. „ 108396101100 1 $ 1,200 $ 1,200 2269 Wall St. 108396101040 1 $ 1,200 $ 1,200 2272 Wall St. 108396101090 1 1,200 $ 1,200 2273 Wal► St. 108396101050 1 $ 1,200 $ 1,200 2277 Wall St. 108396101060 1 $ 1,200 $ 1,200 2281 Wall St. 108396101070 1 $ 1,200 $ 1,200 2285 Wall St. 108396101080 1 $ 1,200 1$ 1,200 Subtotal. 21 $ 25,200 Wall St. R-1 Residential P.I.N. Lot Equivalent Unit Assessment "total 4907 Jamie Rose Ct. 108396302090 1 1$ 1,200 $ 1,200 Subtotal: 1 11200 Total, :50 $ 6%000 Residential Frontage 5399 97.6% Non -Assessable Frontage 131 2.4% Total Frontage 5530 100.0% Whispering Woods 9", 11 "A 3" Additions 13 11 YA.N.KEE, DOODLE RD. DIFFLEY. RD.'d m M -4- ' y .� c I F, OAD Whisperinq Woods 9th, 11th - 13th Addltl Project I I \Ot�L� APPLE VALLEY Fl,. I + Whispering Woods 9th, Ilth - 13th AdditiollS � qflapn Street Revitalization ® Project 1194 Whispering Woods 9th, 11th - 13th Additions cit ofEap Street Revitalization - Project 1194 r r AZ kk Whispering Woods 9th, 11th - 13th Additions cit ofEap Street Revitalization - Project 1194 EDGE MILL__. . . . . . ....... (61-81 wide) Typ- REPLACE EX. CURB & GUTTER AS DIRECTED Engineering Department EX. B618 & SURMOUNTABLE CURB & GUTTER oil 50'/ 60' ROW FULL WIDTH MILL (W. 480' WALL ST.) REMOVE EX. BITUMINOUS (E. 900',WALL ST.) 4. 2 TYPE 2360 BITUMINOUS OVERLAY (3" TYPE 2360 BITUMINOUS WIAIACOURSE (WALL ST.) - BITUMINOUS TACK COAT — 3" BITUMINOUS SURFACE (3/; ESTATES DR.) 6" CL. 5 AGGREGATE BASE (8- ESTATES DR.) Q My Whispering Woods. 9th, 11th - 13th Additions Street Revitalization - Project 1194 Fig. 3 Typical Sections BITUMINOUS SURFACE (3��*ESTATESDR� AGGREGATE BASE A oil 50'/ 60' ROW FULL WIDTH MILL (W. 480' WALL ST.) REMOVE EX. BITUMINOUS (E. 900',WALL ST.) 4. 2 TYPE 2360 BITUMINOUS OVERLAY (3" TYPE 2360 BITUMINOUS WIAIACOURSE (WALL ST.) - BITUMINOUS TACK COAT — 3" BITUMINOUS SURFACE (3/; ESTATES DR.) 6" CL. 5 AGGREGATE BASE (8- ESTATES DR.) Q My Whispering Woods. 9th, 11th - 13th Additions Street Revitalization - Project 1194 Fig. 3 Typical Sections Agenda Information Memo January 19, 2016 Eagan City Council Meeting PUBLIC HEARING D. Project 1194 — Whispering Woods 9th, 11th -13th Additions Street Improvements Action To Be Considered: Close the public hearing and approve Project 1194 (Whispering Woods 9th, 11th_13th Additions - Street Improvements) as presented and authorize the preparation of detailed plans and specifications. Facts: ➢ On June 2, 2015, the City Council directed staff to prepare a feasibility report considering the rehabilitation of residential streets within the Whispering Woods 9th, 11th_13th Additions, located west of Slater Road and south of Cliff Road in southwest Eagan. ➢ A structural mill and overlay of these streets is programmed for 2016 in the City of Eagan's 5 -Year Capital Improvement Plan (2016-2020). ➢ On December 15, 2015, the draft Feasibility Report was presented to the City Council and a Public Hearing was scheduled for Tuesday, January 19, 2016. ➢ An informational neighborhood meeting was held on January 11 for the adjacent property owners to discuss the proposed improvements. Of the 50 single-family properties to be assessed under this improvement, 3 residents representing 3 properties attended the meeting. Attachments (2) PHD-1 Feasibility Report PHD-2 Neighborhood Meeting Minutes To: Honorable Mayor and City Council From: Aaron Nelson, Assistant City Engineer Date: January 19, 2016 Re: Whispering Woods 9t', 11°iA31' Additions Street Revitalization City Project No.: 1194 Attached is the feasibility report for the Whispering Woods 9t", 11t"-13'" Additions Street Revitalization, City Project No. 1194. The report presents and discusses the proposed improvements and includes a cost estimate, preliminary assessment roll and schedule. We would be pleased to meet with the City Council at your convenience to review and discuss the contents of this report. I hereby certify that this report was prepared by me or under my direct supervision and that I am a duly Licensed Professional Engineer under the laws of the State of Minnesota. Aaron Nelson Date: Reg. No. 45795 Reviewed By: Department of Public Works Date: Reviewed By: Finance Department Date: Executive Summary..................................................................................................... 1 introduction/History ......................................................................................................2 Scope...........................................................................................................................3 AreaTo Be Included.................................................................................................3 StreetPavement Evaluation.........................................................................................3 Proposed Improvements..............................................................................................4 Easements/Permits......................................................................................................6 Feasibility/Recommendations......................................................................................6 Cost Estimate...............................................................................................................7 Assessments................................................................................................................7 Assessment Financing Options.....................................................................................8 RevenueSource...........................................................................................................8 -------------- Project Schedule.......................................................................................................... LIST OF APPENDICES Appendix A Preliminary Cost Estimate Appendix B Preliminary Assessment Roll Appendix C Figures - 1 Location Map - 2 Street Improvement/Assessment Area Map - 3 Typical Section — Mill & Overlay Executive Summary Background Project Details • Roadway resurfacing (full width PCI Rating 57/100 pavement removal and replacement, Recommended full width mill & 1-1/2" overlay, edge Improvement Overlay mill & 1-1/2" overlay) • Replacement of damaged curb & Curb Removal 11% Scope gutter • Adjustment/Replacement of: • Sanitary/Storm sewer • Utility castings Residential Lots 50 • Watergate valves • Street signage Cost Estimate/ Revenue Property City Mill & Overlay wl Signage $156,200 $60,000 $96,200 Repair Existing Concrete Curb & Gutter $ 32,900 - $32,900 Total $189,100ii Whispering Woods 9th, 11"-13" Additions 1 Whispering Woods 9th' 1 Project Name 11"-13 Additions project —# 1194 I Street Area 10,303 Sq. Yds. Street Length 2,765 Feet Constructed 1993,1995,1996,1998 & 2003 Wall Street Reconstructed I N/A Jamie Rose Court I I Streets Included Estates Drive Crack Sealed - Whispering Way 2004 Seal Coated 2010 Absolute Location SW 34 of Section 31 Relative Location West of Slater Road, South of Township 27, Range 23 , I Cliff Road Project Details • Roadway resurfacing (full width PCI Rating 57/100 pavement removal and replacement, Recommended full width mill & 1-1/2" overlay, edge Improvement Overlay mill & 1-1/2" overlay) • Replacement of damaged curb & Curb Removal 11% Scope gutter • Adjustment/Replacement of: • Sanitary/Storm sewer • Utility castings Residential Lots 50 • Watergate valves • Street signage Cost Estimate/ Revenue Property City Mill & Overlay wl Signage $156,200 $60,000 $96,200 Repair Existing Concrete Curb & Gutter $ 32,900 - $32,900 Total $189,100ii Whispering Woods 9th, 11"-13" Additions 1 January 19, 2016 Neighborhood Street Revitalization Whispering Woods 9t", 11t" -13th Additions Eagan, Minnesota ® Intra uction Histo!y Pavement Management - As a part of Eagan's Pavement Management Program (PMP), the City evaluates streets within the community throughout their life cycle and implements appropriate maintenance strategies. In 1989, a Pavement Management System (PMS) was developed that allowed the City to evaluate the condition of the existing pavement surface for all the streets on a routine basis and schedule timely maintenance. A Five Year Capital improvement Program (CIP) for street rehabilitation is developed from this information. The 2,765 feet of residential streets in the Whispering Woods 9th, 11th -13th Additions in southwest Eagan has been identified for 2016 street revitalization improvements. Figure 1, located in Appendix C, illustrates the project location. The streets were originally constructed in 1993,1995,1996,1998 & 2003. Based on the data and engineering strategies available at this time, the City's current PMP incorporates local and ongoing maintenance strategies with seal coating occurring as needed (approximately 3 years after paving) and a bituminous overlay at approximately 20+ years. Overlaying the roads located within the project area, which are currently in the 13-23 year time frame, will prevent further decay of the pavement surface, thus protecting and extending the structural life of the street. Timely maintenance work, such as bituminous patching, crack sealing and seal coating have occurred at appropriate intervals during the life of the pavement in the area. The City of Eagan's maintenance records indicate that the streets were seal coated in 2004 and 2010. The Public Warks maintenance program typically includes extensive patching and crack sealing during the summer prior to the overlay. The Public Works crews, as part of the Preparatory Pavement Management Plan, removed and replaced deteriorated pavement areas and placed leveling and maintenance overlays on portions of the streets under consideration, where necessary. These repairs alone will not substantially extend the life expectancy of the street section if not combined with the bituminous overlay proposed with this project. Whispering Woods 9th, 11"'-131' Additions 2 Infrastructure Review - The Public Works Department has also inspected the utility infrastructure (sanitary sewer, water main, and storm sewer pipes and other structures) in the project area and determined the underground systems are generally in good working order and that no major repairs are necessary. To provide a comprehensive review of the project area, the condition -and coverage of other infrastructure items maintained by the City and other public agencies within the public right-of- way and easements such as street lights, utility boxes, and above ground storm water ponds/access, and pedestrian features were evaluated. The rehabilitation of City -maintained items is included in this project, if needed. This project will provide resurfacing (combination of edge mill and overlay, full width mill and 1- 1/2" overlay, and full pavement removal and replacement) for approximately 2,765 feet of roadway. Figure 2 in Appendix C, illustrates the project limits. Included in this project are the following improvements; replacement of damaged curb and gutter, adjustments and/or replacement to sanitary/storm sewer utility castings, water gate valves, and replacement of street signage. ,;-,>Area to Be Included Properties included in the project lie within the SW %, Section 31, lying West of Slater Road and South of Cliff Road, in Township 27, Range 23, in the City of Eagan, Dakota County, Minnesota. 1 Street Pavement Evaluation The City of Eagan's Pavement Management System allows the City to evaluate the condition of the existing street surface to help schedule timely maintenance and improvements. The Pavement Condition Index (PCI) ranks the surface condition for each street. The general categories that define PCI rankings are as follows: Recommended p, . 156-100 - rReclaim Whispering Woods 9t", 11t" -1e Additions 3 The 2016 PCI rankings for the street segments have a weighted average pavement condition rating of 57, which falls in the "Patch/Repair and/or Overlay" category, as mentioned above. The street pavement has reached an age where, based on the City's past experience, the integrity of the pavement can rapidly decline if no improvements are performed. Therefore, the 2016 construction season is the optimal time to construct the bituminous overlay on this street. Any delay of the project may reduce the structural benefit to the street sections and require more substantial rehabilitation. The western 200' of Estates Drive was built in 2003, and has a 2015 PCI rating of 91. Because this section is so small, it is proposed to be overlayed with the remainder of the neighborhood. This will keep the street section and maintenance strategies consistent, and provide economies of scale discounts that would not be achieved if maintained separately. The neighborhood will also receive a 35% discount (5% for every year less than 20 years, or 10/20) for maintenance being performed prior to the 20 year anticipated rehabilitation timeframe. The discount will be spread to the entire assessable amount, prorated by front footage. The prorated discount is described in more detail in the assessments section of this report. Proposed Improvements Pavement - The proposed street improvements shown in Figure 3. The existing street section for this roadway consists of 3 to 3-1/2" bituminous pavement supported by 6" to 8" gravel base. The existing bituminous surface will be milled adjacent to the existing curb and gutter (6'-8' wide) to accommodate a I% -inch bituminous overlay. The eastern most 938' of Wall Street has a PCI range of 11 to 12. It is in very poor condition and warrants a total pavement removal and replacement (3" mill and overlay). The City will finance the removal and replacement of the base course pavement, and the wear course will be assessed as a typical mill and overlay at 50%. The remainder of Wall Street will receive a full width, 1-1/2" mill and 1-1/2" overlay to maintain a consistent street section. a street section consistent with current City standards for residential streets. The combination of patching and overlay will not eliminate cracking due to the temperature extremes experienced in Minnesota. Bituminous overlays will show some continued frost movements and reflective cracking consistent with the underlying pavement. Routine maintenance will stili need to continue under the City's Pavement Management Program. Whispering Woods 9t", 11th -13" Additions 4 Concrete curb & gutter - Damaged curb & gutter will be replaced if severely cracked, spalled, or settled. It is estimated that approximately 11% of the existing concrete curb and gutter will have to be replaced. Boulevard turf will be removed and replaced with seed. While the contractor who performs the work is responsible for its establishment (45 days for seed), adjacent property owners are encouraged to consistently water the new turf, where possible, to help ensure its growth. Utility Adjustment/Replacement — Sanitary/storm sewer manholes, catch basins, and gate valves will be adjusted, repaired, or replaced based on the condition of castings and supporting structures. Such repairs to the storm sewer, sanitary sewer, and water main infrastructures ensure quick and easy access by the City for maintenance and other purposes. _ Signage - Traffic and street identification signage within the project limits has reached the end of its useful life expectancy, and is in need of replacement. Signs have been reviewed for compliance with the Minnesota Manual on Uniform Traffic Control Devices (MnMUTCD). Those that are required by the MnMUTCD will be replaced to improve safety and nighttime visibility, and those that are not will be permanently removed. Street Lights—The street lights in the project area (maintained by Dakota Electric Association) are in good condition and provide adequate coverage. No modifications to the existing street lights are proposed. Complete Streets — "Complete Streets" is a transportation and design approach that plans, designs, operates, and maintains streets in a means to enable safe, convenient and comfortable travel and access for users of all ages and abilities regardless of their mode of transportation. Whispering Woods 9", 11"-13"' Additions 5 Complete Streets allow for safe travel by those walking, bicycling, driving automobiles, riding public transportation, or delivering goods. In 2010, the State of Minnesota adopted a Complete Streets policy, which encourages, but does not require local governments to adopt this policy. The MN Department of Transportation has published a Complete Streets Guidelines for Local Agencies Resource Guide (Feb. 2013). The streets in this neighborhood were reviewed to determine if additional Complete Streets opportunities are available and/or feasible. The streets are relatively narrow at 32 feet wide, have low traffic volumes, limited access points, and a sidewalk is available along Slater Road to connect pedestrians to the City and regional trail system. Pedestrian curb ramps in the project area at the intersecting sidewalks will be replaced if necessary to meet current ADA design standards. Given the existing and proposed elements available for all users, the streets in this neighborhood meet the intent of the complete streets guidelines. Easeme t Permlts All work will be in the public right-of-way. No additional easements are anticipated. It is anticipated that no permits will be required for the resurfacing project. <�;> Feas�� ! ty ' i I and Recommendations The mill and overlay project is necessary to maintain and enhance the structural integrity of the pavement section, create a safer driving surface, and increase rideability. It is cost effective in that the proposed improvement (resurfacing) is considerably less expensive than complete reconstruction of this street. The mill and overlay is feasible in that this type of Improvement has been used successfully to extend the life expectancy of numerous other streets throughout the City and the region. This project is in accordance with the Five Year Capital Improvement Plan (2016 — 2020) for the City of Eagan and the schedule as outlined in the Pavement Management Program. It is recommended that the project be constructed as proposed in this report in combination with other similar projects in the area. Whispering Woods 9", 11th -130, Additions 6 49_�� Cost Estimate Detailed cost estimates are located in Appendix A. The estimates are based on anticipated 2016 construction costs and include a 5% contingency and indirect cost of 25%, which include legal, administration, engineering, and bond interest. A summary of the costs is as follows: Whispering Woods 9t", 11 "A 3" Additions o Mill & Overlay........................................................................ $ 156,200 • Repair Existing Concrete Curb & Gutter ................................ S 32,90 Total........................................................................... $ 189,100 ssessrnents Assessments are proposed to be levied against the benefited properties for the total improvement with costs allocated in accordance with the City of Eagan's Special Assessment Policy for a mill and overlay improvement for residential streets. All assessments will be revised based on final costs. A preliminary assessment roll is included in Appendix B. • An early deterioration credit of (5% per year) is proposed for all properties because the pavement condition has deteriorated prior to the anticipated 20 -year pavement life cycle (1/20=5%). The total front footage is 5,530'. 950' (450'x2) of Wall Street deteriorated 2 years before its 20 year life expectancy. 400' (200'x2) of Estates Drive deteriorated 7 years before its 20 year life expectancy. is The early deterioration adiustment factor for the neighborhood is [(950'x 2/20) + (400' x 7/20)] / 5,530' = 4.2% 100% - 4.2% = 95.8%. This reduced assessment rate is in accordance with the February 16, 2010 update of the City's Special Assessment Policy for addressing premature infrastructure failure. City Special Assessment Policy Assessment Ratio Property City Mill & Overlay - Low -Density Residential (R-1.,2,3) 50% 50% Repair Existing Concrete Curb & Gutter - 100% Residential Lots—All residential lots (50 single family homes) as shown on Figure 2, having driveway access on to the street to be improved are proposed to be assessed. The City's Assessment Policy states that 50% of the mill and overlay costs are assessable for local Whispering Woods 9th, 11f" -13th Additions 7 residential streets, based on a standard 32 -foot width. The estimated cost per residential unit, based on the City's Assessment Policy, is $1,200/ lot and is calculated as follows: Mill & Overlay - Residential Properties o Mill & Overlay costs = $156,200. $28,100 is for base course removal and replacement of the 938' (centerline feet) of Wall Street that is getting a full depth pavement removal and replacement (base course removal and replacement funded by City). The remaining $128,100 is assessed at 50%. o 5,399' Residential Frontage / 5,530' Total Frontage = 97.6% o $128,100 (Mill & Overlay Costs) x 50% x 97.6% (Assessable Costs) x 95.8% (Early Deterioration Credit) _ $59,887 (Total R-1 Assessment) o $59,887/ 50 lots = $1,197.74, rounded to $1,200 / single-family lot The remaining frontage within the project area (131' or 2.4%) is considered non- assessable under the City's Assessment Policy. n 4>Assessment FIC1ia dn e Options The property owner will have the option at the time of the assessment hearing to pay the full assessment or include the assessment in with their property tax statement. If the assessment is included with the property tax statement, the assessment and interest will be spread over five years for residential owners. In 2015, the interest rate was set at 4%. The 2016 rate is not yet available, however, it is expected to be comparable and based on City policy will be determined by the City Council in the spring. The following payment schedule is an example of a residential lot assessment of $1,200 with an estimated 4% interest for the assessed amounts, and assumes 14 months interest for the first year: Bonds may be issued to finance the improvements. Revenue Source f revenue sources is listed below: r�ncaldear $ 96,200 Interest Year Cost / year "5 Year w PT $240 $56 296 5 'year 240 $10 $250 Bonds may be issued to finance the improvements. Revenue Source f revenue sources is listed below: Whispering Woods 9o", 11"-13" Additions 8 060,000 $ 96,200 Whispering Woods 9o", 11"-13" Additions 8 The Major Street Fund will finance the estimated street related project deficit of $129,100 (68% of total street costs). ��Pro,lect Schedule Present Feasibility Report to City Council/ Order Public Hearing.............................................................................December 15, 2015 Informational Meeting..............................................................................January 11, 2016 Public Hearing............................................................................................January 19, 2016 Approve Plans and Specifications............................................................ February 16, 2016 SidDate........................................................................................................ March 24, 2016 AwardContract.................................................................................................April 5, 2016 StartConstruction............................................................................................. May 1, 2016 ProjectCompletion.......................................................................................... August, 2016 FinalCost Report........................................................................................September, 2016 FinalAssessment Hearing...................................................................................... Fall, 2016 First Payment Due with Property TaxStatement........................................... May 15, 2017 Whispering Woods 9th, 11th -13th Additions 9 Appendix Preliminary Cost Estimate City Project 1194 - Whispering Woods 9th, lith -13th Additions Item No. Item Unit Unit Price Est i EstimatedQty Cost Part I - Bituminous Street Overlay 2021.501 Mobilization LS $ 4,000.00 1 $ 4,000.00 2104.505 Remove Bituminous Pavement SY $ 10.00 45 $ 450.00 2105.501 Common Excavation CY $ 30.00 15 $ 450.00 2211.501 6" Aggregate Base, Cl. 5 (100% Crushed) TON $ 28.00 71 $ 1,988.00 2232.501 Mill Bituminous Pavement (1-1/4" depth, 6' Width) SY $ 1.50 2270 $ 3,405.00 2232.501 Mill Bituminous Pavement - Full Width (1-1/4" Depth) SY $ 3.00 1926 $ 5,778.00 2232.501 Mill Bituminous Pavement - Full Width - Full Depth SY $ 4.00 3040 $ 12,160.00 2357.502 Bituminous Material for Tack Coat GAL $ 3.00 670 $ 2,010.00 2360.501 SP WEA340B Wearing Course Mixture (Overlay) TON $ 60.00 1239 $ 74,340.00 2360.501 SP WEA340B Wearing Course Mixture (Patch) TON $ 130.00 13 $ 1,690.00 2504.602 Adjust Gate Valve Box EA $ 225.00 5 $ 1,125.00 2504.602 Repair Gate Valve Mid Section EA $ 400.00 1 $ 400.00 2504.602 Repair Gate Valve Top Section w/Cover EA $ 300.00 2 $ 600.00 2506.602 Adjust Frame and Ring Casting (Manhole) EA $ 700.00 10 $ 7,000.00 2506.602 Adjust Manhole Casting- Riser Adjustment EA $ 250.00 1 $ 250.00 2563.601 Traffic Control LS $ 2,000.00 1 $ 2,000.00 SP -1 Signage Remove and Replace LS $ 1,400.00 1 $ 1,400.00 Subtotal 5% Contingency Subtotal 25% Indirect Costs Part I - Bituminous Street Overlay $119,046.00 $ 5,952.30 $124,998.30 $ 31,249.58 $156,247.88 Item No. Item Unit Unit Price Est I Estimated City Cost Part If - Repair Existing Curb & Gutter 2104.501 Remove Concrete Curb and Gutter LF $ 8.50 629 $ 5,346.50 2104.505 Remove Concrete Driveway Valley Gutter SY $ 16.00 18 $ 288.00 2211.501 6" Aggregate Base, CI.5 (100% Crushed) TON $ 28.00 5 $ 140.00 2360.501 5P WEA340B Wearing Course Mixture (Patch) TON $ 130.00 9 $ 1,170.00 2504.602 Irrigation Repair EA $ 200.00 5 $ 1,000.00 2506.602 Adjust Frame & Ring Casting (CB) HDPE Rings EA $ 450.00 4 $ 1,800.00 2506.602 Install 2 x 3 CB Erosion Barrier Shroud EA $ 150.00 1 $ 150.00 2531.501 Concrete Curb and Gutter, B618 LF $ 18.00 10 $ 180.00 2531.501 Concrete Curb and Gutter, Surmountable LF $ 17.00 619 $ 10,523.00 2531.507 Concrete Valley Gutter - High Early SY $ 65.00 18 $ 1,170.00 2540.602 Repair Underground Electric Fence EA $ 100.00 5 $ 500.00 2540.602 Repair Landscaping EA $ 250.00 3 $ 750.00 2572.503 Application of Water for Turf Establishment GAL $ 0.10 4750 $ 475.00 2573.530 Storm Drain Inlet Protection EA $ 125.00 2 $ 250.00 2575.551 Select Topsoll/ Grade 1 Compost Mix CY $ 60.00 12 $ 720.00 2575.609 Seeding (MnDOT 270 w/Type 5 Hydromulch) SY $ 5.50 105 $ 577.50 Subtotal Whispering Woods 9t', 11 "'-13 h Additions 10 $ 25,040.00 5% Contingency Subtotal 25% Indirect Costs Part 11- Repair Existing Curb & Gutter Part 1- Bituminous Street Overlay Part it - Repair Existing Curb & Gutter Project 1194 Total Cost Whispering Woods Stn, 111"_13"' Additions 11 $ 1,252,00 $ 26,292.00 $ 6,573.00 $ 32,865.00 $156,247.88 $ 32,865.00 $189.112.88 Appendix B Preliminary Assessment Roll City Project #11194 Whispering Woods 9th, 11th _ 13th Whispering Woods 9t', 11 "A 3�" Additions 12 Whispering Way R-1 Residential i P.B.N. Lot Equivalent Unit Assessment Total 4916 Whispering Way 108396001080 1 $ 1,200 $ 1,200 4919 Whispering Way 108396001070 1 $ 1,200 $ 1,200 4920 Whispering Way 108396001090 1 $ 1,200 $ 1,200 4923 Whispering Way 108396001060 1 $ 1,200 $ 1,200 4924 Whispering Way 108396001100 1 $ 1,200 $ 1,200 4927 Whispering Way 108396001050 1 $ 1,200 $ 1,200 4928 Whis Bring Way 108396001110 1 $ 11,200 $ 11200 4931 Whisperfing Way 108396001040 1 $ 1,200 $ 1,200 4932 Whispering Way 108396001120 1 $ 1,200 $ 1,200 4935 Whispering Way 108396001030 1 $ 1,200 $ 1,200 4936 Whispering Way 108396001130 1 $ 1,200 $ 11200 4939 Whispering Way 108396001020 1 $ 1,200 $ 1,200 4940 Whispering Way 108396001140 1 $ 1,200 $ 1,200 i 4943 Whispering Way 1 108396001010 1 $ 1,200 $ 1,200 4944 Whispering Way 108396001150 1 $ 1,200 $ 1,200 Subtotal: Whispering Woods 9t', 11 "A 3�" Additions 12 Estates Dr. R-1 Residential P.I.N. Lot Equivalent Unit Assessment Total 2224 Estates Dr. 108396002020 1 $ 1,200 $ 1,200 2225 Estates Dr. 108395901110 1 $ 1,200 $ 1,200 2229 Estates Dr. 108396001170 1 $ 1,200 $ 1,200 2228 Estates Dr, 108396002010 1 $ 1,200 $ 1,200 2232 Estates Dr. 108396201010 1 $ 1,200 $ 1,200 2233 Estates Dr. 108396001160 1 $ 1,200 $ 11200 2236 Estates Dr. 108396201020 1 $ 1200 $ 1,200 2239 Estates Dr, 108396201080 1 $ 1,200 $ 1,200 2240 Estates Dr. 108396201030 1 $ 1,200 $ 1,200 i 2243 Estates Dr. 108396201070 1 $ 1,200 $ 1,200 2244 Estates Dr. 108396201040 1 $ 1,200 $ 1,200 2247 Estates Dr. 108396201060 1 $ 1,200 $ 1,200 2248 Estates Dr. 108396201050 1 $ 1,200 $ 1,200 Subtotal: 13 $ 15,600 Whispering Woods 9t', 11 "A 3�" Additions 12 Wall St. R-1 Residential P.I.N. Lot Equivalent Unit Assessment Total 2226 Wall St. 108395802010 1 $ 1,200 $ 1,200 2229 Wall St. 108395803010 1 $ 1,200 $ 1,200 2233 Wall St. 108395803020 1 $ 1,200 $ 1,200 2237 Wall St. 108395803030 1 $ 1,200 $ 1,200 2241 Wail St, 108395803040 1 $ 1,200 $ 1,200 2245 Wall St. 108395803050 1 $ 1,200 $ 1,200 2248 Wall St. 108395804010 1 $ 1,200 $ 1,200 2249 Wali St. 108395803060 1 $ 11200 $ 1,200 2253 Wali St. 108395803070 1 $ 1,200 $ 1,200 2257 Wall St. 108396101010 L 1 $ 1,200 $ 1,200 Whispering Woods 9t', 11 "A 3�" Additions 12 2260 Wall St. 108396101120 1 $ 1,200 $ 1,200 2261 Walt 5t. 148396101020 1 $ 1,200 $ 1,200 2264 Wali St. 108396101110 1 $ 1,200 $ 1,200 2265 Wali St. 148396101030 1 ! $ 1,200 $ 1,200 2268 Wall St. 108396101100 1 $ 1,200 $ 1,200 2269 Wall St. 108396101040 1 $ 1,200 $ 7.,200 2272 Wall St. 108396101090 1 $ 1,200 $ 1,200 2273 Wall St. 108396101050 1 $ 1,200 $ 1,200 2277 Wall St. 1 108396101060 1 $ 1,200 $ 1,200 2281 Wall St. 108396101070 1 $ 1,200 $ 11200 2285 Wall St. 3 108396101080 1 $ 1,200 Subtotal» 1 $ 25,200 Wall 5t. R-1 Residential P.M. Lot Equivalent Unit Assessment . Total 4907 Jamie Rose Ct. 148396302090 1 $ 1,200 $ 1,200 Subtotal: L 1 1,200 Totah 50 $ 60,000 Residential Frontage 5399 97.6% Non -Assessable Frontage 131 2.4% Total Frontage 5530 100.0910 Whispering Woods 9t", 11t"-13'" Additions 13 8 YANKEE, DOODLE RD. 4CDIFFLEY;-TR0.) t �`�, ♦ice ��, � ..� ri .ri1 t i a �1M1 �1 � UFF'ROAD MIMI w Whispering Woods 9th, 11th - 13th Additions. Project 1194 APPLE VALLEY Fig. I Whispering Woods 9th, 11th -13th Additions + - Project 1194 MV of Ekin Street Revitalization Whispering Woods 9th, 11th - 13th Additions Street Revitalization - Project 1194 LEGEND Assessable Area Edge MITI overlay �� F Full Width Mill, 1112" Overlay Full Depth Pavement s Removal & Replacement Whispering Woods 9th, 11th - 13th Additions Street Revitalization - Project 1194 EDGE MILL (6'-8' wide) Typ- REPLACE EX. CURB & GUTTER AS DIRECTED Q My of Eap Engineering Department EX. 8618 & SURMOUNTABLE CURB & GUTTER K,," BITUMINOUS SURFACE AGGREGATE BASE ( 8" ESTATES DIR 50'/ 60' ROW FULL WIDTH MILL (W. 480' WALL ST.) REMOVE EX. BITUMINOUS (E. 900'WALL ST.) 2 TYPE 2360 BITUMINOUS OVERLAY (3" TYPE 2360 BITUMINOUS WEAR COURSE (WALL ST.) II — -- I— BITUMINOUS TACK COAT 3" BITUMINOUS SURFACE (3/; ESTATES DR.) 6" CL. 5 AGGREGATE BASE (8- ESTATES DR.) I M• -1 09 0 "0 "0 a Own Whispering Woods. 9th, 11th - 13th Additions Street Revitalization - Project 1194 Typical Sections Fig. 3 .5 Whispering Woods 9th, 11th -13th Additions Neighborhood Street Revitalization City Project No. 1194 Informational Meeting — 5:30 P.M. Monday, Jan. 11, 2016 Conference Rooms 1A&B Attendance Aaron Nelson, Assistant City Engineer, 3 residents representing 3 single family homes were in attendance (see attached sign -in sheet). Presentation of Project Details Nelson welcomed the residents and presented project information, including details such as construction, costs, schedule and assessments. A short ETV video on the street improvement process was also shown. Questions/ Comments 1. Why is a portion of Wall Street proposed to have the entire pavement removed and replaced? How is that section being funded? The streets in this development were constructed between 1993 and 2003, and have a PCI range from 11 to 91. Rehabilitation on Wall Street was previously delayed because it was premature to rehabilitate the rest of the streets in the neighborhood, and there is an economies of scale cost savings to the city and neighborhood by grouping streets into one project. However, the condition of a portion of Wall Street deteriorated beyond the point where an edge mill & overlay would be possible. In that area, a full depth pavement removal and replacement is warranted. To keep the assessments consistent to other residential neighborhoods, and the other streets in this neighborhood, the city is paying 100% of the cost of the bottom 1-1/2" of asphalt, and the top 1-1/2" will be assessed as typically done. 2. Will access be maintained to driveways? All roads will be open to traffic during construction. Access to driveways should be maintained throughout construction. If curb needs to be replaced at a driveway, residents can park in front of their homes while the concrete cures. In the area where all the pavement is removed and replaced, the contractor will construct gravel ramps to each driveway to maintain access throughout construction. 3. Why are the residents being assessed? Every city finances road rehabilitation differently. Some communities assess 100% of the costs to those that live in the neighborhood and benefit most from the streets, where others don't assess anything and fund the improvements entirely through property taxes. Eagan has had a consistent policy throughout its pavement management program history, where the City finances the majority of the costs through property taxes, and a portion of the costs is assessed to everyone that lives in the neighborhood. Most cities in the metro area assess a portion of the costs. 4. How and when will the final assessment amounts be determined? A letter will be mailed to all properties this fall after construction is complete. The letter will include the final assessment amounts associated with each property. It will also invite property owners to another public hearing that specifically addresses the final costs. At the close of this meeting and the City Council's corresponding approval of the final assessment costs, there is a 30 day window in which payments can be made without interest. Payment during this 30 -day period should be made at city hall. After the 30 -day period, any remaining portion of the assessment will be forwarded to Dakota County for collection as part of the property taxes. 3.5% to 5% interest is anticipated to be charged annually until paid in full. The 2015 interest rate was 4%, and the 2016 rate will be determined in early 2016. 5. Will the city install additional street lights or a sidewalk if requested by the neighborhood? There currently are street lights throughout the neighborhood, but there aren't any sidewalks along the residential streets within this neighborhood. This was common practice when this area developed. If residents within the neighborhood would like more street lights, or sidewalks constructed, they can petition for the improvements. However, all associated costs would be paid by the neighborhood. 6. There is a manhole partially in the curb that is tipped. Will that manhole be adjusted? New adjusting rings are scheduled to be installed, and the manhole will be adjusted to match the surrounding curb and street surface. 7. Will there be a lot of dust and noise during construction? Since the majority of the asphalt is being left in place, there won't be a lot of dust generated during construction. However, in the area where all of the asphalt is being removed and replaced, people will be driving on a gravel base during a portion of construction, so there will be some dust generated. The contractor will be responsible to perform dust control as needed. The contractor is allowed to work between 7 am and 7 pm, and typical construction noise should be expected while they are working. The meeting adjourned at 6:15 p.m. City of Eaaan Whispering Woods gtn and 11 tn_13tn Additions City Project 1194 Agenda Information Memo January 19, 2016 Eagan City Council Meeting ;1�J13SL�lC�I1�1►};�] E. Project 1195 — Oslund Timberline/ McCarthy Ridge Street Improvements Action To Be Considered: Close the public hearing and approve Project 1195 (Oslund Timberline / McCarthy Ridge Additions - Street Improvements) as presented and authorize the preparation of detailed plans and specifications. Facts: ➢ On June 2, 2015, the City Council directed staff to prepare a feasibility report considering the rehabilitation of residential streets within the Oslund Timberline / McCarthy Ridge neighborhood, located south of Lone Oak Road and east of Highway 13 in north central Eagan. ➢ A structural mill and overlay of these streets is programmed for 2016 in the City of Eagan's 5 -Year Capital Improvement Plan (2016-2020). ➢ On December 15, 2015, the draft Feasibility Report was presented to the City Council and a Public Hearing was scheduled for Tuesday, January 19, 2016. ➢ An informational neighborhood meeting was held on January 11 for the adjacent property owners to discuss the proposed improvements. Of the 107 single- family properties to be assessed under this improvement, 6 residents representing 3 properties attended the meeting. Attachments (2) PHE-1 Feasibility Report PHE-2 Neighborhood Meeting Minutes From: Aaron Nelson, Assistant City Engineer Date: January 19, 2016 Re: Oslund Timberline t McCarthy Ridge Street Revitalization City Project No. 1195 Attached is the feasibility report for the Oslund Timberline f McCarthy Ridge Street Revitalization, City Project No. 1195. The report presents and discusses the proposed improvements and includes a cost estimate, preliminary assessment roll and schedule. We would be pleased to meet with the City Council at your convenience to review and discuss the contents of this report. Reviewed By: Department of Public Works Reviewed By: I hereby certify that this report was prepared by me or under my direct supervision and that I am a duly Licensed Professional Engineer under the laws of the State of Minnesota. Aaron Nelson Date: Reg. No. 45795 Date: Finance Department Date: TABLE OF • ExecutiveSummary..................................................................................................... 1 Introduction/History.......................................................................................................2 Scope.....................................................................................+.................................3 AreaTo Be Included.....................................................................................................3 Street Pavement Evaluation.........................................................................................3 ProposedImprovements..............................................................................................4 Easements/Permits......................................................................................................6 Feasibility/Recommendations......................................................................................6 Cost Estimate...............................................................................................................7 Assessments................................................................................................................7 AssessmentFinancing Options.....................................................................................8 Revenue Source...........................................................................................................8 ProjectSchedule..........................................................................................................9 LIST OF APPENDICES Appendix A Preliminary Cost Estimate Appendix B Preliminary Assessment Roll Appendix C Figures - 1 Location Map 2 Street Improvement/Assessment Area Map 3 Typical Section — Mill & Overlay Executive Summary Background Project erne Timberline Project # 1195 Recommended McCarthy Ridge McCarthy 1-1/2" overlay) improvement Overlay • Replacement of damaged curb & Curb Removal 156 Street Area 22,993 Sq. Yds- Street Length i 6,640 Feet McCarthy Road Constructed 1969,1970 r Reconstructed 1995 Red Cedar Road Residential Lots Loon Lane I • Street signage Streets included Cherrywood Court Crack Seated Woodiark Lane 1999 Pine Ridge Drive Seal Coated 2008 Absolute Location North 1/2 of Section 9 Relative Location South of Lone Oak Road East of Highway #13 Township 27, Range 23 Project Details Cost Estimate/ Revenue PCI Rating 51/100 • Roadway resurfacing (edge mill & Recommended $136,070 1-1/2" overlay) improvement Overlay • Replacement of damaged curb & Curb Removal 156 gutter $ 105,930 (26%) I $ 297,370 (74%) Scope a Adjustment/Replacement of: • Sanitary/Storm sewer • Utility castings Residential Lots 107 • Water gate valves • Street signage Cost Estimate/ Revenue Oslund Timberline / McCarthy Ridge 1 Property City Mill & Overlay wl Signage $242,000 $105,930 $136,070 Repair Existing Concrete Curb & Gutter $121,300 - $ 121,300 Utility Improvements $40,000 $ 40,000 Total $403,300 $ 105,930 (26%) I $ 297,370 (74%) Oslund Timberline / McCarthy Ridge 1 January 19, 2016 Neighborhood Revitalization Oslund Timberline / McCarthy Ridge Eagan,, Minnesota Introduction/ History Pavement Management - As a part of Eagan's Pavement Management Program (PMP), the City evaluates streets within the community throughout their life cycle and implements appropriate maintenance strategies. In 1989, a Pavement Management System (PMS) was developed that allowed the City to evaluate the condition of the existing pavement surface for all the streets on a routine basis and schedule timely maintenance. A Five Year Capital Improvement Program (CEP) for street rehabilitation is developed from this information. The 6,640 feet of residential streets in the Oslund Timberline / McCarthy Ridge neighborhood in north central Eagan has been identified for 2016 street revitalization improvements. Figure 1, located in Appendix C, illustrates the project location. The streets were originally constructed in 1969 and 1970. Based on the data and engineering strategies available at this time, the City's current PMP incorporates local and ongoing maintenance strategies with seal coating occurring as needed (approximately 3 years after paving) and a bituminous overlay at approximately 20+ years. Overlaying the roads located within the project area, which are currently in the 21 year time frame, will prevent further decay of the pavement surface, thus protecting and extending the structural life of the street. Timely maintenance work, such as bituminous patching, crack sealing and seal coating have occurred at appropriate intervals during the life of the pavement in the area. The City of Eagan's maintenance records indicate that the streets were seal coated in 1999 and 2008. The Public Works maintenance program typically includes extensive patching and crack sealing during the summer prior to the overlay. The Public Works crews, as part of the Preparatory Pavement Management Plan, removed and replaced deteriorated pavement areas and placed leveling and maintenance overlays on portions of the streets under consideration, where necessary. These repairs alone will not substantially extend the life expectancy of the street section if not combined with the bituminous overlay proposed with this project. Oslund Timberline / McCarthy Ridge 2 Infrastructure Review - The Public Works Department has also inspected the utility infrastructure (sanitary sewer, water main, and storm sewer pipes and other structures) in the project area and determined the underground systems are generally in good working order and that no major repairs are necessary. To provide a comprehensive review of the project area, the condition and coverage of other infrastructure items maintained by the City and other public agencies within the public right-of- way and easements such as street lights, utility boxes, and above ground storm water ponds/access, and pedestrian features were evaluated. The rehabilitation of City -maintained items is included in this project, if needed. Scone - This project will provide resurfacing (edge mill and overlay) for approximately 6,640 feet of roadway. Figure 2 in Appendix C, illustrates the project limits. included in this project are the following improvements; replacement of damaged curb and gutter, adjustments and/or replacement to sanitary/storm sewer utility castings, water gate valves, and replacement of street signage. fn Luded area is C c Properties included in the project lie within the North Y2of Section 9, lying South of lone Oak Road, East of Highway #13, in Township 27, Range 23, in the City of Eagan, Dakota County, Minnesota. Street Pavement Evaluation The City of Eagan's Pavement Management System allows the City to evaluate the condition of the existing street surface to help schedule timely maintenance and improvements. The Pavement Condition Index (PCI) ranks the surface condition for each street. The general categories that define PCI rankings are as follows: Oslund Timberline / McCarthy Ridge 3 Recommended Improvement it Routine_ -; -. I Coat PatchRepair ani • �,�M Reconstruct/ Reclaim Oslund Timberline / McCarthy Ridge 3 The2016 PCI rankings for the street segments have a weighted average pavement condition rating of 51, which falls in the "Patch/Repair and/or Overiay" category, as mentioned above. The street pavement has reached an age where, based on the City's past experience, the Integrity of the pavement can rapidly decline if no improvements are performed. Therefore, the 2016 construction season is the optimal time to construct the bituminous overlay on this street. Any delay of the project may reduce the structural benefit to the street sections and require more substantial rehabilitation. Proposed tm rovements Pavement - The proposed street improvements shown in Figure 3. The existing street section for this roadway consists of 3" bituminous pavement supported by 6" gravel base. The existing bituminous surface will be milled adjacent to the existing curb and gutter (6'-8' wide) to accommodate a 1% -inch bituminous overlay. The overlay, combined with the existing street section, will provide a street section consistent with current City standards for residential streets. The combination of patching and overlay will not eliminate cracking due to the temperature extremes experienced in Minnesota. Bituminous overlays will show some continued frost movements and reflective cracking consistent with the underlying pavement. Routine maintenance will still need to continue under the City's Pavement Management Program. Concrete curb & gutter - Damaged curb & gutter will be replaced if severely cracked, spalled, or settled. It is estimated that approximately 15% of the existing concrete curb and gutter will have to be replaced. Boulevard turf will be removed and replaced with seed. While the contractor who performs the work is responsible for its establishment (45 days for seed), adjacent property owners are encouraged to consistently water the new turf, where possible, to help ensure its growth. Oslund Timberline /.McCarthy Ridge 4 Utility Adjustment/Replacement — Sanitary/storm sewer manholes, catch basins, and gate valves will be adjusted, repaired, or replaced based on the condition of castings and supporting structures. Such repairs to the storm sewer, sanitary sewer, and water main infrastructures ensure quick and easy access by the City for maintenance and other purposes. There is 1-4' CBMH and 3-2'x3' CB's proposed to be removed and replaced because of their condition, and 1- 6' CBMH constructed in place of a smaller deteriorated structure. These improvements are funded 100% through the utility fund. Signage - Traffic and street identification signage within the project limits has reached the end of its useful life expectancy and is in need of replacement. Signs have been reviewed for compliance with the Minnesota Manual on Uniform Traffic Control Devices (MnMUTCD). Those that are required by the MnMUTCD will be replaced to improve safety and night time visibility, and those that are not will be permanently removed. Street Lights —The street lights in the project area (maintained by Xcel Energy) are in good condition and provide adequate coverage. No modifications to the existing street lights are proposed. Complete Streets — "Complete Streets" is a transportation and design approach that plans, designs, operates, and maintains streets in a means to enable safe, convenient and comfortable travel and access for users of all ages and abilities regardless of their mode of transportation. Complete Streets allow for safe travel by those walking, bicycling, driving automobiles, riding public transportation, or delivering goods. Oslund Timberline / McCarthy Ridge 5__. In 2010, the State of Minnesota adopted a Complete Streets policy, which encourages, but does not require local governments to adopt this policy. The MN Department of Transportation has published a Complete Streets Guidelines for Local Agencies Resource Guide (Feb. 2013). The streets in this neighborhood were reviewed to determine if additional Complete Streets opportunities are available and/or feasible. The streets are relatively narrow at 28-34 feet wide, have low traffic volumes, and limited access points. Given the existing and proposed elements available for all users, the streets in this neighborhood meet the intent of the complete streets guidelines. �"EasementLftrmlts All work will be in the public right-of-way.. No additional easements are anticipated. It is anticipated a permit will be necessary for work with the Mn/DOT right-of-way for TH 13, and Dakota County right-of-way for Lone Oak Road (CSAH 26) �"Feasibilltv and Recommendations The mill and overlay project is necessary to maintain and enhance the structural integrity of the pavement section, create a safer driving surface, and increase rideability. It is cost effective in that the proposed improvement (resurfacing) is considerably less expensive than complete reconstruction of this street. The mill and overlay is feasible in that this type of improvement has been used successfully to extend the life expectancy of numerous other streets throughout the City and the region. This project is in accordance with the Five Year Capital Improvement Plan (2015 — 2020) for the City of Eagan and the schedule as outlined in the Pavement Management Program. It is recommended that the project be constructed as proposed in this report in combination with other similar projects in the area. Oslund Timberline / McCarthy Ridge 6 q>Cost sti ate Detailed cost estimates are located in Appendix A. The estimates are based on anticipated 2016 construction costs and include a 5% contingency and indirect cost of 25%, which include legal, administration, engineering, and bond interest. A summary of the costs is as follows: Oslund Timberline ! McCarthy Ridge • Mill & Overlay........................................................................ $ 242,000 ® Repair Existing Concrete Curb & Gutter ................................ $ 121,300 • Utility Improvements............................................................. S 40,000 Total........................................................................... $ 403,300 1;��Assessments Assessments are proposed to be levied against the benefited properties for the total improvement with costs allocated in accordance with the City of Eagan's Special Assessment Policy for a mill and overlay improvement for residential streets. All assessments will be revised based on final costs. A preliminary assessment roll is included in Appendix B. City SpecialAssessment Policy Assessment Ratio Property City Mill & Overlay - Low -Density Residential (R-1,2,3) 50% 50% Repair Existing Concrete Curb & Gutter 100% Utility Improvements 100% Residential Lots — All residential lots (107 single family homes) as shown on Figure 2, having driveway or private street access on to the street to be improved are proposed to be assessed. The City's Assessment Policy states that 50% of the mill and overlay costs are assessable for local residential streets, based on a standard 32 -foot width. The estimated cost per residential unit, based on the City's Assessment Policy, is $990/ lot and is calculated as follows: Mill & Overlay - Residential Properties o 11,589' Residential Frontage / 13,280' Total Frontage = 87.3% o $242,000 (Mill & Overlay Costs) x 50%x87.3% = $105,633 (Total R-1 Assessment) o $105,633 / 107 lots = $987.22, rounded to $990 / single-family lot Oslund Timberline / McCarthy Ridge 7 The remaining frontage within the project area (1,691' or 12.7%) is considered non- assessable under the City's Assessment Policy. Assessment Financing ORtions The property owner will have the option at the time of the assessment hearing to pay the full assessment or include the assessment in with their property tax statement. If the assessment is included with the property tax statement, the assessment and interest will be spread over five years for residential owners. In 2015, the interest rate was set at 4%. The 2016 rate is not yet available, however, it is expected to be comparable and based on City policy will be determined by the City Council in the spring. The following payment schedule is an example of a residential lot assessment of $990 with an estimated 4%interest for the assessed amounts, and assumes 14 months interest for the first year: i principal year interest year _ ost TeW l 1 year $198 5�ear $198 s $8 $206 Bonds may be issued to finance the improvements. Revenue Source Aummary of revenue sources is listed below: The Major Street Fund will finance the estimated street related project deficit of $257,370) (71% of total street costs). The Combined Utility Fund will finance the utility improvements in the estimated amount of $40,000 (100%). Oslund Timberline / McCarthy Ridge 8 Project Cost II Property Assessment City Contributiorl, Mill and Overlay (including Signage) $ 105,930 136,070 Repair i a Gutter min 4 0 li - utility Improvements 40,000 A# # # $105,930 0 The Major Street Fund will finance the estimated street related project deficit of $257,370) (71% of total street costs). The Combined Utility Fund will finance the utility improvements in the estimated amount of $40,000 (100%). Oslund Timberline / McCarthy Ridge 8 Project Schedule Present Feasibility Report to City Council/ Order Public Hearing............................................................................December 15, 2015 Informational Meeting...............................................................................January 11, 2016 PublicHearing...........................................................................................January 19, 2016 Approve Plans and Specifications............................................................ February 16, 2016 BidDate........................................................................................................ March 24, 2016 AwardContract.................................................................................................April 5, 2016 StartConstruction............................................................................................. May 1, 2016 ProjectCompletion.......................................................................................... August, 2016 FinalCost Report.......................................................................................September, 2016 FinalAssessment Hearing......................................................................................Fall, 2016 First Payment Due with Property Tax Statement ........................................... May 15, 2017 Oslund Timberline _/ McCarthy Ridge 9 Appendix A Preliminary Cost Estimate City Project 1785 Osland Timberland/ McCarthy Ridge Item No. Item I Unit Unit Price Qty Estimated Cost i Part I - Bituminous Street Overlay 2021.501 Mobilization LS $ 4,000.00 1 $ 4,000.00 2104.505 Remove Bituminous Pavement SY $ 10.00 25 $ 250.00 2232.501 Mill Bituminous Pavement (1-1/4" depth, 6" Width) SY $ 1.50 9450 $ 14,175.00 2357.502 Bituminous Material for Tack Coat GAL $ 3.00 1500 $ 4,500.00 2360.501 SP WEA340B Wearing Course Mixture (Overlay) TON $ 60.00 2135 $ 128,100.00 2360.501 SP WEA340B Wearing Course Mixture (Patch) TON $ 130.00 25 $ 3,250.00 2504.602 Adjust Gate Valve Box EA $ 225.00 5 $ 1,125,00 2504.602 Repair Gate Valve Mid Section EA $ 400.00 2 $ 800.00 2504.602 Repair Gate Valve Top Section w/Cover EA $ 300.00 3 $ 900.00 2506.602 Adjust Frame and Ring Casting (Manhole) EA $ 700.00 29 $ 20,300,00 2506.602 Adjust Manhole Casting- Riser Adjustment EA $ 250.00 2 $ 500.00 2506.602 Remove & Replace Frame & Ring Casting (27") EA $ 950.00 1 $ 950.00 2563.601 Traffic Control LS $ 2,000.00 1 $ 2,000.00 SP -1 Signage Remove and Replace LS $ 3,500.00 1 $ 3,500.00 Subtotal Install 2 x 3 CS Erosion Barrier Shroud EA $ 150.00 4 $ 184,350.011 5% Contingency Concrete Curb and Gutter, B618 LF $ 18.00 $ 9,217.50 Subtotal 2531.507 Concrete Valley Gutter- High Early SY $ 65.00 $ 193,567.50 25% Indirect Costs 2540.602 Repair Underground Electric Fence EA $ $ 48,391.88 part 1- Bituminous Street Overlay $ 500.00 2540.602 Repair Landscaping EA $ 241,959.38 item No. Itemunit Unit Price Est r Estimated Cost Part it - Repair Existing Curb a Gutter 2104.501 Remove Concrete Curb and Gutter LF $ 8.50 2030 $ 17,255.00 2104.505 Remove Concrete Driveway Valley Gutter SY $ 16.00 40 $ 640.00 2104.523 Salvage Casting EA $ 150.00 5 $ 750.00 2105.501 Common Excavation CY $ 30.OD 10 $ 300.00 2211.501 6" Aggregate Base, CI.5 (100% Crushed) TON $ 28.00 10 $ 280.00 2360.501 SP WEA3408 Wearing Course Mixture (Patch) TON $ 130.00 80 $ 10,400.00 25134.602 Irrigation Repair EA $ 200.00 5 $ 1,000.00 2506,521 Install Casting EA $ 550.00 5 $ 2,750.00 2506.602 Adjust Frame & Ring Casting (CB) HDPE Rings EA $ 450.00 28 $ 12,600.00 2506.602 Remove & Replace Casting (Catch Basin) EA $ 800.00 1 $ 800.00 2506.602 Remove & Replace CBMH Structure w/Cstg (4' Dia.) EA $ 5,200.00 1 $ 5,200.00 2506.602 Construct CBMH Structure (6' Dia.) EA $ 10,000.00 1 $ 10,000.00 2506.602 Remove & Replace CB Structure (2'x 3') EA $ 4,000.00 3 $ 12,000.00 2506.602 Repair/ Grout CB or MH Invert/ Doghouses EA $ 500.00 5 $ 2,500.00 2506.602 Install 2 x 3 CS Erosion Barrier Shroud EA $ 150.00 4 $ 600.00 2531.501 Concrete Curb and Gutter, B618 LF $ 18.00 2030 $ 36,540.00 2531.507 Concrete Valley Gutter- High Early SY $ 65.00 40 $ 2,600.00 2540.602 Repair Underground Electric Fence EA $ 100.00 5 $ 500.00 2540.602 Repair Landscaping EA $ 250.00 2 $ 500.00 2572.503 Application of Water for Turf Establishment GAL $ 0.10 15300 $ 1,530.00 2573.530 Storm Drain Inlet Protection EA $ 125.00 4 $ 500.00 2575.551 Select Topsoil/ Grade 1 Compost Mix CY $ 60.00 30 $ 1,800.00 Oslund Timberline / McCarthy Ridge 10 2575.609 Seeding (Mn00T 270 w%Type 5 Hydromulch) Subtotal 5% Contingency Subtotal 2596 Indirect Costs Part II - Repair Existing Curb & Gutter Part I - Bituminous Street Overlay Part 11- Repair Existing Curb & Gutter Project 1123 Total Cost SY $ 5.50 340 Osiund Timberline / McCarthy Ridge 11 $ 1,870.00 $ 122,915.00 $ 6,145.75 $ 129,060.75 $ 32,265.19 $ 161,325.94 $ 241,959.38 $ 161,325.94 $ 403,285.31 Appendix B Preliminary Assessment Roll City Project 1195 Oslund Timberline/ McCarthy Ridge ©slund Timberline / McCarthy Ridge 12 Woodlark Ln. R-1 Residential P.I.N. Lot Equivalent Unit Assessment Total 3004 Woodlark Ln. 105530001010 1 5 990 $ 990 3005 Woodlark Ln. I 105530002010 1 $ 990 $ 990 3012 Woodlark Ln. 105530001020 1 $ 990 $ 990 3013 Woodlark Ln. 105530002020 1 $ 990 $ 990 3017 Woodlark Ln. 105530002030 1 $ 990 $ 990 3020 Woodlark Ln. 105530001030 1 $ 990 $ 990 3025 Woodlark Ln. 105530002040 1 $ 990 $ 990 3028 Woodlark Ln. 105530001040 1 ( $ 990 $ 990 3030 Woodlark Ln. 105530001050 1 $ 990 $ 990 3035 Woodlark Ln. 1055300020050 1 $ 990 $ 990 3040 Woodlark Ln. 105530001060 1 $ 990 $ 990 3041 Woodlark Ln. 105530002060 1 $ 990 $ 990 3045 Woodlark Ln. 105530002070 1 $ 990 $ 990 3046 Woodlark Ln. 105530001070 1 $ 990 $ 990 3052 Woodlark Ln. 105530001080 1 $ 990 $ 990 3053 Woodlark Ln. 105530002080 1 $ 990 $ 990 3058 Woodlark Ln. 105530001090 1 $ 990 $ 990 3060 Woodlark Ln. 105530001100 1 $ 990 $ 990 3061 Woodlark Ln. 105530002090 1 $ 990 ' $ 990 3062 Woodlark Ln. 105530001110 1 $ 990 $ 990 1545 Red Cedar Rd. Subtotal: 20 $ 990 $ 19,800 ©slund Timberline / McCarthy Ridge 12 Red Cedar Rd. R-1 Residential PEI N. Lot Equivalent UnitASNSSfilefit Total City of Eagan 105530001.120 ' 1 $ 990 $ 990 1460 Red Cedar Rd. 105530001130 1 $ 990 $ 990 1461 Red Cedar Rd. 105530002100 1 $ 990 $ 990 1466 Red Cedar Rd. 105530001140 1 $ 990 $ 990 1470 Red Cedar Rd. 105530001150 1 $ 990 $ 990 1480 Red Cedar Rd. 105530005010 1 $ 990 $ 990 1486 Red Cedar Rd. 105530005020 1 $ 990 $ 990 1492 Red Cedar Rd. 105530005030 1 $ 990 $ 990 1498 Red Cedar Rd. 105530005040 1 $ 990 5 990 1504 Red Cedar Rd. 105530005050 1 $ 990 1 $ 990 1510 Red Cedar Rd. 105530005060 1 $ 990 $ 990 1516 Red Cedar Rd. 105530005070 1 $ 990 $ 990 1522 Red Cedar Rd. 105530005080 1 $ 990 $ 990 2528 Red Cedar Rd. 105530005090 1 $ 990 $ 990 1529 Red Cedar Rd. 105530004203 1 $ 990 $ 990 1534 Red Cedar Rd. 105530005100 3 $ 990 $ 990 1535 Red Cedar Rd. 105530004190 1 $ 990 $ 990 1540 Red Cedar Rd. 105530005110 1 $ 990 $ 990 1541 Red Cedar Rd. 105530004180 1 , $ 990 $ 990 1544 Red Cedar Rd. 105530005120 1 $ 990 $ 990 1545 Red Cedar Rd. 105530004170 1 $ 990 $ 990 1550 Red Cedar Rd. 105530005130 1 $ 990 $ 990 1551 Red Cedar Rd. 105530004160 1 $ 990 $ 990 1556 Red Cedar Rd. 105530005140 1 $ 990 $ 990 1562 Red Cedar Rd. 105530005150 1 5 990 $ 990 ©slund Timberline / McCarthy Ridge 12 1565 Red Cedar Rd. 105530004150 1 $ 990 S 990 1566 Red Cedar Rd. 102040001010 1 $ 990 $ 990 Subtotal- 27 $ 26,730 Oslund Timberline / McCarthy Ridge 13 McCarthy Rd. R -I Residential P.I.N. Lot Equivalent Unit Assessment Total 1481 McCarthy105530003010 105530004320 1 $ 990 $ 990 1484 McCarthy Rd. 105530004020 1 $ 990 $ 990 1485 McCarthy Rd. 105530003020 1 $ 990 $ 990 1490 McCarthy Rd. 105530004031 1 $ 990 $ 990 1491 McCarthy Rd. 105530003030 1 $ 990 $ 990 ---1496 McCarthy Rd. 105530004041 1 $ 990 $ 990 1497 McCarthy Rd. 105530003040 1 $ 990 $ 990 1501 McCarthy Rd. 105530003050 1 $ 990 $ 990 1502 McCarthy Rd. 10553000405 1 —1 990 990 1505 McCarthy Rd. 105530003060 1 T--$ 990 $ 990 1508 McCarthy Rd. 105530004060 1 990 $ 990 1 1514 McCarthy Rd. 105530004070 1 $ 990 990 1517 McCarthy Rd. 105530003080 1 $ 990 990 1520 McCarthy Rd. 105530004080 1 990 $ 990 1526 McCarthy Rd. 105530004090 1 990 $ 990 1529 McCarthy Rd. 105530003100 1 $ 990 $ 990 Vacant Lot; Owned by 1529 McCarthy Rd. 105530003090 1 $ 990 990 1532 McCarthy Rd. 105530004100 1 $ 990 990 1535 McCarthy Rd. 105530003110 1 990 990 1538 McCarthy Rd. 105530004110 1 $ 990 990 1541 McCarthy Rd. 105530003120 1 $ 990 $ 990 1544 McCarthy Rd. 105530004120-- 1 $ 990 $ 990 1547 McCarthy Rd. 105530003130 1 $ 990 $ 990 isw McCarthy Rd. 105530004130 1 $ 990 $ 990 1553 McCarthy Rd. 105530003140-1 1 $ 990 $ 990 1558 McCarthy Rd. 105530004140 1 $ 990 990 1559 McCarthy Rd. 105530003150 1 $ 990 990 1563 McCarthy Rd. 105530003160 1 $ 990 $ 990 1569 McCarthy Rd. 105530003170 1 $ 990 $ 990 1575 McCarthy Rd. 105530003180 1 $ 990 $ 990 1580 Rd McCarthyY 102040001020 $ 990 $ 990 1581 McCarthy =---� 104770101010 1 $ 990 $ 990 1589 McCarthy Rd. 1 104770000072 $ 990 $ 990 1595 McCarthy Rd. 105381501020 1 $ 990 990 1601 McCarthy Rd. 1 1015381501010 1 $ 990 990 I Subtotal: 35 34,650 Oslund Timberline / McCarthy Ridge 13 Cherrywood Ct. R-1 Residential P.I.N. Lot Equivalent Unit Assessment Total 3038 Cherrywood Ct. 105530004320 1 $ 990 $ 990 3039 Cherrywood Ct. 105530004310 1 $ 990 $ 990 3044 Cherrywood Ct. 105530004330 1 $ 990 $ 990 3045 Cherrywood Ct. 105530004300 1 $ -990 $ 990 3052 Cherrywood Ct. 105530004340 1 $ 990 $ 990 3053 Cherrywood Ct. 105530004290 1 $ 990 $ 990 3060 Cherrywood Ct. 105530004350 1 1 $ 990 $ 990 3061 Cherrywood Ct. 1 105530004280 !. 1 $ 990 $ 990 Oslund Timberline / McCarthy Ridge 13 3068 Cherrywood Ct. 105530004360 1 $ 990 $ 990 3069 Cherrywood Ct. 105530004270 3 $ 990 $ 990 Subtotal: 10 $ 9,900 Total;: 1 107 .$1051930 Residential Frontage Non -Assessable Frontage Total Frontage 11589 1691 13280 87.3% 12.7% 100.0% Oslund Timberline / McCarthy Ridge 14 Sibley Memorial Highway Loon Ln. R-1 Residential P.I.N. Lot Equivalent Unit Assessment R-1 Residential R -I Residential P.i.N, Let Equivalent I 3004 Pine Ridge Dr. Unit Assessment 1590 McCarthy Rdg Rd. Total 3052 Loon Ln. 105530004240 1 j $ 990 $ 990 3053 Loon Ln. 105530004230 990 $ 990 1 990 3060 Loon Ln. 105530004250 1 $ 990 $ 990 3061 Loon Ln. 105530004220 1 $ 990 $ 990 3068 Loon Ln. 105530004260 5 $ 990 $ 990 3069 Loon Ln. 105530004211 1 $ 990 990 Subtotal: 6 5,940 Total;: 1 107 .$1051930 Residential Frontage Non -Assessable Frontage Total Frontage 11589 1691 13280 87.3% 12.7% 100.0% Oslund Timberline / McCarthy Ridge 14 Sibley Memorial Highway McCarthy Ridge Rd. R-1 Residential P.I.N. Lot Equivalent Unit Assessment R-1 Residential P.I.N. Lot Equivalent Unit Assessment 3004 Pine Ridge Dr. Total 1590 McCarthy Rdg Rd. 104-770006030 1 $ 990 $ 990 3030 McCarthy Rdg Rd. 104770000070 1 $ . . ............. 990 $ 990 3036 McCarthy Rdg Rd. 1047700000717 1 $ . 990 $ 990 3040 mccarthy Rdg Rd. 104770000060 1 $ 990 $ 990 3070 McCarthy Rdg Rd. 104770000051 1 $ 990 $ 990 Subtotal: 5 $ 4,950 Total;: 1 107 .$1051930 Residential Frontage Non -Assessable Frontage Total Frontage 11589 1691 13280 87.3% 12.7% 100.0% Oslund Timberline / McCarthy Ridge 14 Sibley Memorial Highway Pine Rldge Or. R-1 Residential P.I.N. Lot Equivalent Unit Assessment P.I.N. Total 3030 Sibley Hwy 104770000022 1 $ 990 3004 Pine Ridge Dr. 990 3034 Sibley Hwy 104770000020 1 $ 990 $ 990 Subtotal., 2 $ 1,980 Total;: 1 107 .$1051930 Residential Frontage Non -Assessable Frontage Total Frontage 11589 1691 13280 87.3% 12.7% 100.0% Oslund Timberline / McCarthy Ridge 14 Pine Rldge Or. R-1 Residential P.I.N. Lot Equivalent Unit Assessment Total 3004 Pine Ridge Dr. 105530002200 1 990 $ 990 3012 Pine Ridge Dr. 105530002190 1 $ 990 $ 990 Subtotal: 2 $ 1,981 Total;: 1 107 .$1051930 Residential Frontage Non -Assessable Frontage Total Frontage 11589 1691 13280 87.3% 12.7% 100.0% Oslund Timberline / McCarthy Ridge 14 4jr Oslund Timberline g•. Fig. 1 iFIiWK111.. REPLACE EX. CURB & GUTTER AS DIRECTED 11/2 TYPE 2360 BITUMINOUS 12 BITUMINOUS TACK COAT 3" BITUMINOUS SURFACE Bituminous Street Overlay Proposed Typical Section 0 JTTER Oslund Timberline / McCarthy Ridge fifty of EVa Street Revitalization -Project 1195 Fig. 3 Engineering Department Typical Sections Oslund Timberline and McCarthy Ridge Neighborhood Street Revitalization City Project No. 1195 Informational Meeting — 5:30 P.M. Monday, Jan. 11, 2016 Conference Rooms 1A&B Attendance Aaron Nelson, Assistant City Engineer, 6 residents representing 3 single family homes were in attendance (see attached sign -in sheet). Presentation of Project Details Nelson welcomed the residents and presented project information, including details such as construction, costs, schedule and assessments. A short ETV video on the street improvement process was also shown. Questions/ Comments 1. A portion of Pine Ridge Drive is not shown as being rehabilitated. Why? The section of Pine Ridge Drive not included in this project was rehabilitated in 2012. 2. Will the road be open during construction? Will access be maintained to driveways? All roads will be open to traffic during construction. We do not anticipate any road closures during the work. Access to driveways should be maintained throughout construction. If curb needs to be replaced at a driveway, residents can park in front of their homes while the concrete cures. 3. What happens if irrigation gets damaged? Prior to the beginning of construction, the city will mail a letter with more construction specific information. The letter will ask residents to mark their irrigation systems so the contractor knows they are there. Quite often, if the contractor knows they are there they can avoid damage. However, if property is marked and damage occurs, the contractor will make the repairs. 4. How long will the construction last? The 2016 project is being split into 2 separate contracts, each with 7 project areas. The contractor will have flexibility to determine how they phase each area, but construction is anticipated to begin in the first area early May (weather dependent). The size and scope of the improvements in this neighborhood will likely result in approximately a 5 to 6 week construction timeframe. The City will mail more detailed construction information as construction nears. 5. The curb and street has sunk/tipped in front of my home, making it very difficult to get in and out of the driveway without bottoming out. This has been occurring for at least the last three years, and the city has previously indicated it would be addressed when the streets in the neighborhood are rehabilitated. How will the city address the issue? Staff will meet with the homeowner to get a better handle of what is causing the sinking/tipping curb, street, and driveway. Both the engineer and engineering technician met with the homeowner the next day to see the extent of the issue. It appears there are bad soils and groundwater trapped under the street surface. Staff will investigate further what is causing the issue, and will make repairs during the project. The meeting adjourned at 6:15 p.m. A-4 C-Ity of Ealan Oslund Timberline an McCarthy Ridge CityProject1195 i Informational ftleeting Monday, Jan. 11, 2016 5:30 p.m. Co-iference Room 1AB NAME ADDRESS 1, �Jurl 2. v e C YA 4. Jl 7. 8. 9. 10. 11. 12. 13. 14. Is. 16. Agenda Information Memo January 19, 2016 Eagan City Council Meeting VI. 2016 CALENDAR YEAR CITY ORGANIZATIONAL BUSINESS Each calendar year, Organizational Business is considered at the second regular City Council meeting in January. Items to be acted upon are: A. Acting Mayor B. Official Legal Newspaper C. City Depositories D. City Council Meeting Dates City Council Meeting Procedures Council Standing Committee and Representative Appointments ACTING MAYOR Requested Action: The Mayor is asked to appoint a member of the City Council as Acting Mayor, which must be ratified by the City Council. A. Acting Mayor —There is a statutory requirement that a member of the City Council be appointed as Acting Mayor. All Councilmembers are eligible for this appointment. The Acting Mayor presides in the absence of Mayor Maguire at Council meetings and all other activities pertaining to the City of Eagan. Councilmember Paul Bakken was Acting Mayor in 2015. OFFICIAL LEGAL NEWSPAPER Requested Action: Approve retention of Burnsville/Eagan Sun Thisweek Newspaper as the City of Eagan's official legal newspaper. B. Official Legal Newspaper — There is a statutory requirement to designate a legal newspaper as the official newspaper for the City. The City can only designate a legal newspaper of general circulation in the City as its official newspaper for publication of items required by law, and other matters that the Council deems advisable and in the public interest to be published. The City has received a proposal from the Sun Thisweek newspaper. Currently, Sun Thisweek newspaper is the designated official legal newspaper. Sun Thisweek Legal Notices: Deadline: 4:00 p.m. on Tuesday for publication on Friday of the same week Publication: weekly on Fridays Attachments: (1) Proposal from Sun Thisweek newspaper CITY DEPOSITORIES Requested Action: Designate Anchor Bank and US Bank Trust as the City's depositories. C. City Depositories - Minnesota Statutes requires the City designate its depositories each year. The City currently uses Anchor Bank for its demand deposit (checking) account and US Bank Trust for settling investment purchases and maturities. No changes are proposed for 2016. CITY COUNCIL MEETING DATES Requested Action: Approve or modify the 2016 Schedule of City Council meetings as presented noting the alternate dates, if any. D. City Council Meetings—The City Council must designate the dates and times of regular City Council meetings, which have traditionally been the first and third Tuesday of each month at 6:30 p.m. A tentative schedule is included designating the first and third Tuesdays as regular City Council meeting dates, with the exception of March 1 (Precinct Caucuses), and August 2 (National Night Out). Staff is proposing Wednesday, March 2 and Monday, August 1. A Listening Session will be held at 6:00 p.m. before each regular City Council meeting. Also included is a list of workshops to be scheduled at 5:30 p.m. the second and fourth Tuesdays of each month on an as needed basis, with the exception of August 9 (Primary Elections), October 11 (Yom Kipper), and November 8 (General Election). Staff is proposing Monday, August 8, Monday, October 10, and Wednesday, November 9. The fourth Tuesday is listed as tentative and might not be used, with the exception of March 22, staff is proposing March 29. If the Council prefers an alternate date to the ones proposed on the schedule, this should be discussed at the meeting. Attachments: (2) Schedule of proposed regular City Council meetings Schedule of proposed City Council workshop meetings CITY COUNCIL MEETING PROCEDURES Requested Action: To acknowledge Robert's Rules of Order as the means to conduct official business at all regular City Council meetings, and approve the guidelines for public participation in City Council meetings. E. Council Meeting Procedures —The City Council has adopted Robert's Rules of Order to govern all business conducted at regular City Council meetings. Attachment: (1) Guidelines for public participation in City Council meetings Requested Action: Formally ratify the practice that at least two members of the City Council must make the request of the City Administrator to place an item on an upcoming City Council agenda. Adding an Item to the Agenda — It has been the past practice of the City Council to require two members of the City Council to make a request of the City Administrator that an unscheduled item be added to a City Council meeting agenda. For example, if a resident has a concern needing a timely response and at least two members of the City Council would like to discuss the concern, the two Councilmembers could request that the City Administrator include the concern on the next workshop or regular City Council meeting. This practice of requiring two members of the City Council to place an item on an agenda does not usually apply to items of business that are already scheduled to go through the regular process and procedures such as development proposals, ordinance amendments, etc. If it is the Council's understanding that this again be the practice for 2016, formal ratification of the policy is requested. COUNCIL STANDING COMMITTEE AND REPRESENTATIVE APPOINTMENTS Requested Action: Ratify the appointed members of Council standing committees, intergovernmental committees and other appointments as amended. F. Council Committee Appointments —Standing committees of the City Council have been used to examine a specific subject matter at the request of the City Council. The 2016 standing committees are as follows. The Mayor and Council shall determine whether any changes to these committees should be made. Standing Committees: Communications Committee: Councilmember Tilley and Councilmember Hansen Finance Committee: Mayor Maguire and Councilmember Bakken Personnel Committee: Mayor Maguire and Councilmember Fields Public Works Committee: Councilmember Fields and Councilmember Bakken Advisory Commission Liaisons: Advisory Parks and Recreation Commission: - Councilmember Tilley Advisory Planning Commission — Councilmember Hansen Airport Relations Committee — Councilmember Fields Energy and Environment Advisory Commission — Councilmember Bakken Intergovernmental Committee Appointments: Caponi Art Park Board — Acting Parks and Recreation Director Flewellen (to be replaced by Parks and Recreation Director upon hire) DCC 2015-2016 Board - Councilmember Hansen (Councilmember Fields as alternate) DCC 2015-2016 Executive Board — City Administrator Osberg (Assistant City Administrator Miller as alternate) Eagan Convention and Visitors Bureau — Mayor Maguire LOGIS Board of Directors — Director of Finance Pepper (Assistant City Administrator Miller and IT Manager Cook as alternates) MSP Noise Oversight Committee — Councilmember Fields (Assistant City Administrator Miller and City Administrator Osberg as alternates) Metro Cities Board of Directors — Councilmember Hansen Minnesota Valley Transit Authority Board — Councilmember Hansen (Assistant Finance Director Feldman as alternate) Monthly Mayor/Manager Breakfasts — Mayor Maguire Municipal Legislative Commission Board — Mayor Maguire Other (No appointment by City Council — information only): LMC & Metro Cities Policy Advisory Committees — Councilmember Hansen Testimony at Legislature — all as needed Fire Relief Association Board of Trustees — State Statute 424A.04 requires that a relief association that is directly associated with a municipal fire department must be managed by a board of trustees consisting of nine members. Six trustees must be elected from the membership of the relief association and three trustees must be drawn from the officials of the municipality served by the fire department to which the relief association is directly associated. The three municipal trustees must be one elected municipal official and one elected or appointed municipal official who are designated as municipal representatives by the municipal governing board annually and the chief of the municipal fire department. In addition to Fire Chief Scott, the annual designations have been the Mayor and Director of Finance Pepper. D JANUARY 2017 JANUARY 5 MAY 17 OCTOBER 4 JANUARY 19 JUNE 7 OCTOBER 18 FEBRUARY 2 JUNE 21 NOVEMBER 1 FEBRUARY 16 JULY 5 NOVEMBER 15 MARCH 2 1 Wednesday JULY 19 DECEMBER 6 MARCH 15 AUGUST 1 2 Monday DECEMBER 20 APRIL 5 AUGUST 16 JANUARY 3, 2017 APRIL 19 SEPTEMBER 6 JANUARY 17, 2017 MAY 3 SEPTEMBER 20 1Wednesday, March 2 due to Precinct Caucuses 2Monday, August 1 due to National Night Out There will be a Listening Session at 6:00 p.m. before each regular Council meeting. 2016 SCHEDULE OF SPECIAL CITY COUNCIL MEETINGS, AND FIRST JANUARY 2017 MEETING JANUARY 12 MAY 24 (tentative) OCTOBER 10 2 Monday JANUARY 26 (tentative) JUNE 14 OCTOBER 25 (tentative) FEBRUARY 9 JUNE 28 (tentative) NOVEMBER 9 3 Monday February 23 (tentative) JULY 12 NOVEMBER 22 (tentative) MARCH 8 JULY 26 (tentative) DECEMBER 13 MARCH 29 (tentative) AUGUST 8 1 Monday No tentative meeting the week of Christmas APRIL 12 AUGUST 23 (tentative) JANUARY 10, 2016 APRIL 26 (tentative) SEPTEMBER 13 JANUARY 24, 2016 (tentative) MAY 10 SEPTEMBER 27 (tentative) 1Monday, August 8 due to Primary Elections 2Monday, October 10 due to Yom Kipper 3Wednesday, November 9 due to General Election December 2015 City of Eagan City Council 3830 Pilot Knob Road Eagan, MN 55122 Dear City Council Members: Please accept the following bid from the Burnsville/Eagan Sun Thisweek for legal newspaper designation for the City of Eagan. This newspaper is qualified by the State of Minnesota as a legal newspaper under Minnesota Statutes Section 331A.02, Subd. 1. The following rate structure for legals is effective January 1, 2016: Per column inch rate: $8.18 Characters per inch: 320 Lines per inch: 9 A notarized affidavit will be provided for each notice published. Additional affidavits are $2.50 each. A $20.00 charge will be assessed on legal notices that require typing. All published legal notices are posted on the Sun Thisweek website at no additional charge. The Sun Thisweek is published weekly on Fridays. The deadline is 4:00 p.m. on Tuesday for publication on Friday of the same week. Please email legal notices to bv.legals@ecm-inc.com. Thank you for considering the Sun Thisweek as the official newspaper for the City of Eagan for the upcoming year. We appreciate the opportunity to serve the needs of your community. Sincerely, Michael Jetchick Sales Manager 10917 VALLEY VIEW ROAD, EDEN PRAIRIE, MN 55344 • 952-846-2019 a SUNTHISWEEK.COM Eagan City Council Meeting Procedures And Public Participation Guidelines Welcome to a meeting of the Eagan City Council. In order to ensure that this and future Council meetings can be meaningful for the attending public, the City Council uses a set of rules to govern the conduct of its meetings. These "Rules of Procedure" are for the convenience of those attending the meeting. The City Council follows "Robert's Rules of Order" for conducting official business. The following is a brief summary of the order of business for a City Council meeting which may be of interest. COUNCIL MEETING PROCEDURES Order of Business The schedule for a Council meeting is shown on the Agenda. An agenda is simply a list of business to be considered at a meeting and includes: • Roll Call & Pledge of Allegiance • Adopt Agenda/Approve Minutes • Consent Agenda • Public Hearings • Old Business • New Business • Legislative/Intergovernmental Affairs Update • Economic Development Authority • Administrative Agenda • Visitors to be Heard (10 minute total time limit) • Closed Session To find out about specific agenda items, refer to the City Web site at www.citayo%agan.com, or call the Municipal Center at (651) 675-5000. Agendas are available at the entrance to the Council Chambers at the time of meetings. ROLE OF THE PUBLIC The City Council welcomes the public to all Council meetings, workshops, and hearings and encourages individuals to express opinions during these meetings. To keep the agenda moving smoothly, the Council has adopted basic guidelines for malting presentations before the Council. The purpose of these guidelines is: • To provide for an orderly meeting. • To provide equal and adequate time for review and consideration of agenda items. • To provide equal rights to all members of the public who address the Council. • To provide the City Council with an equal and rational approach to all decisions. Eagan City Council Meeting Procedures Page 2 MEETING CONDUCT GUIDELINES The City Council has established the following guidelines for the conduct of City Council meetings: 1. Persons attending a Council meeting may address the Council at the time at which specific items appear on the agenda. 2. When addressing the Council, the presenter shall approach the podium and begin presenting by stating his/her name and address. 3. All persons who speak must address the Mayor. 4. At public hearings, all audience remarks are limited to four (4) minutes and shall be addressed to the Mayor. Each person may speak only once. The Mayor may use discretion whether to allow repeat statements. S. Presentations concerning items will be heard only upon approval of the Mayor. 6. To help maintain order, applause or other disturbances are discouraged. 7. Petitions should be presented to the City Administrator. 8. Audience members are encouraged to address the Council but can't make motions or otherwise participate in the meeting. NON -AGENDA ITEMS Individuals wishing to appear at regular meetings of the City Council relative to items not included on an agenda may speak or make presentations under the sections of the agenda entitled, Visitors to be Heard.* The Visitors to be Heard section at the end of the meeting and the total time limit for all speakers is 10 minutes. No Council action on a visitor's presentation should be expected at this meeting, since the Council will want to study all proposals or requests before malting a decision. *LISTENING SESSIONS are held prior to each regular City Council meeting (generally beginning at 6:00 p.m. in the Eagan Room of City Hall), also for the purpose of addressing items not included on the City Council Agenda. Individuals wishing to address the City Council may speak or make presentations in this less formal meeting environment. Y_M_:i �[K��tky �1► Y II:Ce7 �h117a1 The Eagan City Council uses a Consent Agenda for routine items needing little or no deliberation. Those items are identified on the agenda and are approved with one vote unless a councilmember or citizen requests that the item be discussed or considered separately. PUBLIC HEARINGS Certain items on the agenda are identified as Public Hearings. These are formal proceedings giving citizens an opportunity to express their concerns on a specific issue. Some issues on which the Council is required to hold public hearings are the annual budget, public improvement projects, and levying of special assessments. The Council endeavors to complete action on each issue the same night as the hearing. However, there may be circumstances where additional information or action is needed malting it desirable to defer action until a later date. Depending on the situation, the hearing may be closed or continued to a future meeting date. Eagan City Council Meeting Procedures Page 3 GENERAL HEARING PROCEDURES 1. Mayor opens the hearing. 2. Staff describes the proposal. 3. Formal action is taken to close the hearing. 4. The hearing is closed. S. Council takes action on the issue or defers decision. HOW THE COUNCIL VOTES Three members of the Council constitute a quorum. A majority vote is needed to adopt motions and general resolutions. A vote of 3/5 is required for most ordinances. Hearings on preliminary reports for improvements, comprehensive plan revisions, and zoning ordinance changes require a 4/5 vote. Publication of an ordinance in the official newspaper of the City is required before it actually takes effect. lu_I P1 p0ILI 147eU Y *1 With few exceptions, the City Council meets at 6:30 p.m. on the first and third Tuesdays of each month in the Council Chambers of the Municipal Center Building located at 3830 Pilot Knob Road. The Council also meets in special session as needed with notice of these meetings posed at the Municipal Center Building and on the City Web site, www.cityofeaaan.com. Occasionally meeting dates are changed to avoid conflicts with holidays or other events. The City Web site provides the most up-to-date information on specific meeting dates. CABLE AND WEBCASTING With few exceptions, the regular City Council meetings are televised live on Eagan -TV channel 16. These meetings are also Webcast, via Webcast Central at www.cityofeagan.com. Cable replay information is available by calling Eagan -TV or on their Web site at www.Eagan-TV.com. Copies of a televised City meeting are available by contacting Eagan -TV at (651) 848-4698. Updated 1-13-14 AGENDA CITY OF EAGAN REGULAR MEETING OF THE ECONOMIC DEVELOPMENT AUTHORITY EAGAN MUNICIPAL CENTER JANUARY 19, 2016 A. CALL TO ORDER B. ADOPT AGENDA C. CONSENT AGENDA 1. APPROVE EDA Minutes D. EDA ORGANIZATIONAL BUSINESS E. OLD BUSINESS NEW BUSINESS G. OTHER BUSINESS H. ADJOURN Agenda Information Memo January 19, 2016 Eagan Economic Development Authority Meeting NOTICE OF CONCURRENT ACTIONS The Council acting as the Board of Commissioners of the Economic Development Authority ("EDA") may discuss and act on the agenda items for the EDA in conjunction with its actions as a Council. A. CALL TO ORDER ACTION TO BE CONSIDERED: To convene a meeting of the Economic Development Authority to run concurrent with the City Council meeting. B. ADOPT AGENDA ACTION TO BE CONSIDERED: To adopt the Agenda as presented or modified. C. CONSENTAGENDA ON TO BE CONSIDERED: To approve the Consent Agenda as presented or modified. 1. APPROVAL OF MINUTES EDAC1-1 Minutes of the January 5, 2016 EDA meeting. D. EDA ORGANIZATIONAL BUSINESS 1. Election of Officers ACTION TO BE CONSIDERED: To elect/appoint officers of the Eagan Economic Development Authority. FACTS: ® As a part of its annual organizational business, the EDA elects its officers and appoints its Executive Director and Secretary/Deputy Director. ® In 2015, the officers of the Authority were as follows: President: Mike Maguire Vice President: Paul Bakken Treasurer: Cyndee Fields Executive Director: City Administrator Dave Osberg Secretary/Deputy Executive Director: Community Development Director Jon Hohenstein 2. 2016 Meeting Schedule — No Action Necessary FACTS: Under its bylaws, the Eagan Economic Development Authority's regular meetings are scheduled to coincide with the regular meetings of the City Council. At its meeting of December 1, 2003, the EDA confirmed the meeting schedule defined in the bylaws and adopted a mechanism by which the Authority may cancel such meetings as a part of the adoption of the City Council agenda if no EDA business is in order on that date. Staff is recommending that this schedule and process continue for 2016. 3. Single Action for EDA and Council Resolutions— No Action Necessary FACTS: In 2004, the City Council also adopted a process by which the actions that are required to be taken by both the City Council and the EDA can be accomplished through a single motion. Under this process, the Council meeting remains in session (does not recess) when the EDA meeting is convened. For each business item that requires an action by both the EDA and the Council, two resolutions are included in the background and one motion by the Council, also hearing the item as the EDA, approves both resolutions. At the completion of the EDA Business items, the EDA meeting is adjourned and the remainder of the Council meeting is completed. E. OLD BUSINESS There are no Old Business items at this time. F. NEW BUSINESS There are no New Business items at this time. G. OTHER BUSINESS There are no other items at this time. H. ADJOURNMENT ACTION TO BE CONSIDERED: To adjourn the EDA Meeting. MINUTES OF A MEETING OF THE EAGAN ECONOMIC DEVELOPMENT AUTHORITY Eagan, Minnesota January 5, 2016 A meeting of the Eagan Economic Development Authority was held on Tuesday, January 5, 2016 at the Eagan Municipal Center. Present were President Maguire, Commissioner Bakken, Commissioner Fields, Commissioner Hansen and Commissioner Tilley. Also present were Executive Director Osberg, City Attorney Dougherty, and Community Development Director Hohenstein. CALL TO ORDER President Maguire called the Economic Development Authority meeting to order. ADOPT AGENDA Commissioner Bakken moved, Commissioner Fields seconded a motion to approve the agenda as presented. Aye:5 Nay:0 CONSENT AGENDA Commissioner Fields moved, Commissioner Bakken seconded a motion to approve the Consent Agenda as presented. Aye: 5 Nay: 0 1. It was recommended to approve the minutes of November 30, 2015. 2. It was recommended to approve the Joint Powers Agreement with CDA for Open To Business Program. There was no Old Business. There was no New Business. There was no Other Business. OLD BUSINESS NEW BUSINESS OTHER BUSINESS ADJOURNMENT Commissioner Tilley moved, Commissioner Hansen seconded a motion to adjourn the meeting. Aye: 5 Nay: 0 Date David M. Osberg, Executive Director