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HomeMy WebLinkAboutCouncil Workshop Packet 08.06.2024 AGENDA CITY OF LAUREL CITY COUNCIL WORKSHOP TUESDAY, AUGUST 06, 2024 6:30 PM COUNCIL CHAMBERS Public Input: Citizens may address the Council regarding any item of City business that is not on tonight’s agenda. The duration for an individual speaking under Public Input is limited to three minutes. While all comments are welcome, the Council will not take action on any item not on the agenda. Because of the Rules that govern public meetings, Council is not permitted to speak in response to any issue raised that is a non-Agenda item. The Mayor may provide factual information in response, with the intention that the matter may be addressed at a later meeting. In addition, City Council may request that a particular non-Agenda item be placed on an upcoming Agenda, for consideration. Citizens should not construe Council’s “silence” on an issue as an opinion, one way or the other, regarding that non-Agenda matter. Council simply cannot debate an item that is not on the Agenda, and therefore, they must simply listen to the feedback given during public input. If a citizen would like to speak or comment regarding an item that is on tonight’s agenda, we ask that you wait until the agenda item is presented to the Council by the Mayor and the public is asked to comment by the Mayor. Be advised, if a discussion item has an upcoming public hearing, we would request members of the public to reserve your comments until the public hearing. At the public hearing, the City Council will establish an official record that will include all of your comments, testimony, and written evidence. General Items Executive Review 1. Resolution - Resolution To Approve Street Vacation For Portion Of South Montana Avenue, Laurel Montana. 2. Resolution - A Resolution Of The City Council Declaring Certain City Of Laurel Property As “Surplus” Available For Sale Or Trade To The Public Or Other Governmental Entities Or Vendors. 3. Resolution - A Resolution Of The City Council Approving Agreement Regarding School Resource Officer Program By And Between The City Of Laurel And Laurel Public Schools, District 7 & 7-70. 4. Resolution - A Resolution Of The City Council Approving A Commitment Of Funding For The Completion Of The West Railroad Street Project. 5. Resolution - A Resolution Of The City Council Authorizing The Mayor To Execute The Consultant Agreement With Peaks Planning And Consulting LLC. Council Issues 6. Budget Discussion Other Items Attendance at Upcoming Council Meeting Announcements The City makes reasonable accommodations for any known disability that may interfere with a person’s ability to participate in this meeting. Persons needing accommodation must notify the City Clerk’s Office to make needed arrangements. To ma ke your request known, please call 406-628-7431, Ext. 5100, or write to City Clerk, PO Box 10, Laurel, MT 59044, or present your request at City Hall, 115 West First Street, Laurel, Montana. 1 File Attachments for Item: 1. Resolution - Resolution To Approve Street Vacation For Portion Of South Montana Avenue, Laurel Montana. 2 R24-____ Approve Street Vacation Petition RESOLUTION NO. R24-_____ RESOLUTION TO APPROVE STREET VACATION FOR PORTION OF SOUTH MONTANA AVENUE, LAUREL MONTANA. WHEREAS, McDonald Land Holdings LLC and Fox Lumber Sales, Inc. (hereinafter “the Property Owners”) have petitioned the City of Laurel to vacate a portion of South Montana Avenue, Laurel, Montana, more particularly described as: That portion of South Montana Avenue in the City of Laurel described as follows, to wit: Beginning at a point which is the northeast corner of Lot 1 in Block 5 of the Plat of Hageman Subdivision Second Filing; thence, from said Point of Beginning, N 71°20’35” E a distance of 63.26 feet; thence S 00°10’40” E a distance of 250.43 feet; thence N 89°35’47” W a distance of 60.00 feet; thence N 00°10’40” W a distance of 229.77 feet to the Point of Beginning; containing an area of 14,406 square feet, more or less. WHEREAS, the general location of the street is in Section 16, Township 2 South, Range 24 East, PMM, and the street is adjacent to Block 5, Lots 1-8, Hageman Subdivision, Second Filing, and Tract A1A1, Certificate of Survey 1424, Amended A1A, all within the City of Laurel, Yellowstone County, Montana; WHEREAS, South Montana Avenue borders the Eastern portion of Hageman Subdivision in the City of Laurel, Yellowstone County, Montana, and intersects with East Railroad Street in a “T” intersection that is uncontrolled; WHEREAS, the street at issue is reflected on the attached Exhibit A to Street Vacation Petition; WHEREAS, the street is presently classified as an undeveloped public road; WHEREAS, the street is of no present use to the City of Laurel, and the City has determined that it is in the best interests of the City, the inhabitants thereof, and the owners of the property adjacent to the land for the street to be vacated; WHEREAS, vacation of the street will allow for increased development in the area, and the City does not believe that any reason exists not to vacate the street; 3 R24-____ Approve Street Vacation Petition WHEREAS, pursuant to Mont. Code Ann. § 7-14-4114, Petitioners that constitute one hundred percent (100%) of all owners of lots on a street may petition for abandonment; WHEREAS, Petitioners have filed the attached Street Vacation Petition, in which they have set forth all legal requirements for vacation of the street, as well as have acknowledged and agreed that, if the Petition is granted by the City, the vacation of the street shall not affect the right of any public utility to continue to maintain its plant and equipment pursuant to Mont. Code Ann. § 7-14-4115; WHEREAS, the City conducted public hearings as follows: ___________________________________, in City Council Chambers, regarding the Street Vacation Petition; and WHEREAS, no objections were received, and therefore, the City believes it to be in the best interests of the City to move forward with the Street Vacation. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Laurel, Montana, as follows: 1. The City Council hereby adopts this Resolution to approve the Street Vacation Petition; 2. The Street Vacation Petition is hereby approved, adopted, and instructed to be filed with the Clerk and Recorder. Introduced at a regular meeting of the City Council on the _____ day of ____________________, 2024, by Council Member ________________. PASSED and APPROVED by the City Council of the City of Laurel the _____ day of ____________________, 2024. APPROVED by the Mayor the _____ day of ____________________, 2024. CITY OF LAUREL ___________________________ Dave Waggoner, Mayor 4 R24-____ Approve Street Vacation Petition ATTEST: _______________________________ Kelly Strecker, Clerk-Treasurer APPROVED AS TO FORM: ______________________________ Michele L. Braukmann, Civil City Attorney 5 6 7 8 9 10 11 12 13 14 15 File Attachments for Item: 2. Resolution - A Resolution Of The City Council Declaring Certain City Of Laurel Property As “Surplus” Available For Sale Or Trade To The Public Or Other Governmental Entities Or Vendors. 16 R24-____ Approve Surplus Items and Sale and Disposal of Such RESOLUTION NO. R24-_____ A RESOLUTION OF THE CITY COUNCIL DECLARING CERTAIN CITY OF LAUREL PROPERTY AS “SURPLUS” AVAILABLE FOR SALE OR TRADE TO THE PUBLIC OR OTHER GOVERNMENTAL ENTITIES OR VENDORS. WHEREAS, the City of Laurel has inventoried vehicles, equipment, and other items that are no longer of use to the City; and WHEREAS, in accordance with Mont. Code Ann. § 7-8-420(1), the City of Laurel City Council has the authority to sell or otherwise dispose of the property by declaring it surplus; and WHEREAS, the surplus items shall be offered to the public for sale or utilized by the City for purposes of trade or sale to obtain new equipment or property for use by the City of Laurel. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Laurel, Montana that: 1. The City of Laurel City Council declares the property included on the attached “Schedule A” as “surplus property” pursuant to Montana law; and 2. The Mayor and City Staff are authorized to dispose of the surplus property through public sale or trade with any governmental entity or group in order to obtain new property for City use. Introduced at a regular meeting of the City Council on the _____ day of _____________________, 2024, by Council Member ________________. PASSED and APPROVED by the City Council of the City of Laurel the _____ day of _____________________, 2024. APPROVED by the Mayor the _____ day of _____________________, 2024. CITY OF LAUREL ___________________________ Dave Waggoner, Mayor 17 R24-____ Approve Surplus Items and Sale and Disposal of Such ATTEST: _______________________________ Kelly Strecker, Clerk-Treasurer APPROVED AS TO FORM: ______________________________ Michele L. Braukmann, Civil City Attorney 18 Squad Car Old Office Materials Bikes Outdated Backboards Outdated Training Supplies Brush Truck School Bus Military Truck Broken Compressor Backhoe Roll Off Truck Suburban Lawnmower Broken Hydrants Trench Box 19 File Attachments for Item: 3. Resolution - A Resolution Of The City Council Approving Agreement Regarding School Resource Officer Program By And Between The City Of Laurel And Laurel Public Schools, District 7 & 7-70. 20 R24-__ Approve SRO Agreement RESOLUTION NO. R24-__ A RESOLUTION OF THE CITY COUNCIL APPROVING AGREEMENT REGARDING SCHOOL RESOURCE OFFICER PROGRAM BY AND BETWEEN THE CITY OF LAUREL AND LAUREL PUBLIC SCHOOLS, DISTRICT 7 & 7-70. WHEREAS, the City of Laurel (hereinafter “the City”) and the Laurel Public Schools, District 7 & 7-70 (hereinafter “the District”) desire to maintain a cooperative and coordinated approach to deterring and addressing criminal activity on school property and at District- sponsored events and activities; WHEREAS, Montana law authorizes the District to contract with the City to have municipal law enforcement provide a School Resource Officer (hereinafter “SRO”) and SRO- related law enforcement services; WHEREAS, Montana law further authorizes the District to levy for an appropriate portion of the costs the City incurs in paying wages, providing benefits, and providing transportation for law enforcement officers who are assigned to perform SRO duties in the District; and WHEREAS, the City and the District have agreed to an Agreement Regarding School Resource Officer Program (hereinafter “SRO Agreement”), which is attached hereto and incorporated herein. NOW THEREFORE BE IT RESOLVED, by the City Council of the City of Laurel, Montana: Section 1: Approval. The SRO Agreement by and between the City of Laurel and the District, a copy attached hereto and incorporated herein, is hereby approved. Section 2: Execution. The Mayor is hereby given authority to execute the SRO Agreement on behalf of the City. Introduced at a regular meeting of the City Council on the __ day of ____ 2024 by Council Member _____. PASSED and APPROVED by the City Council of the City of Laurel, Montana on the ___ day of ____ 2024. APPROVED by the Mayor on the ____ day of ____ 2024. 21 R24-__ Approve SRO Agreement CITY OF LAUREL ___________________________ Dave Waggoner, Mayor ATTEST: _______________________________ Kelly Strecker, Clerk-Treasurer APPROVED AS TO FORM: ______________________________ Michele L. Braukmann, Civil City Attorney 22 23 24 25 26 27 28 29 30 File Attachments for Item: 4. Resolution - A Resolution Of The City Council Approving A Commitment Of Funding For The Completion Of The West Railroad Street Project. 31 R24-____ Approve Commitment of Funding for West Railroad Street RESOLUTION NO. R24-_____ A RESOLUTION OF THE CITY COUNCIL APPROVING A COMMITMENT OF FUNDING FOR THE COMPLETION OF THE WEST RAILROAD STREET PROJECT. BE IT RESOLVED by the City Council of the City of Laurel, Montana, Section 1: Approval. The Montana Department of Transportation Memorandum regarding estimated costs of completion for the West Railroad Street Project (hereinafter “the MDT Memorandum”), a copy attached hereto and incorporated herein, is hereby approved. Section 2: Execution. The Mayor is hereby given authority to execute the MDT Memorandum on behalf of the City. Section 3: City Obligations. The City hereby agrees that it will commit to a funding addition up to and including the amount of $2,737,319.00 for the completion of this project. The City further understands and agrees that payment is not required until an estimated sixty days before bid letting. Introduced at a regular meeting of the City Council on the _____ day of March, 2024, by Council Member ________________. PASSED and APPROVED by the City Council of the City of Laurel the _____ day of March, 2024. APPROVED by the Mayor the _____ day of March, 2024. CITY OF LAUREL ___________________________ Dave Waggoner, Mayor ATTEST: _______________________________ Kelly Strecker, Clerk-Treasurer 32 R24-____ Approve Commitment of Funding for West Railroad Street APPROVED AS TO FORM: ______________________________ Michele L. Braukmann, Civil City Attorney 33 AMENDMENT 1 UPN 10121 WEST RAILROAD STREET – LAUREL MEMORANDUM OF AGREEMENT BETWEEN THE MONTANA DEPARTMENT OF TRANSPORTATION AND CITY OF LAUREL The City of Laurel (CITY) and the Montana Department of Transportation (MDT) do hereby agree and acknowledge that the WEST RAILROAD STREET, LAUREL UPN 10121000 Memorandum of Agreement (MOA) entered January 2, 2023, is amended as follows: The purpose of this amendment is to update information to reflect the current scope of work and associated cost estimates for reconstruction of WEST RAILROAD STREET, LAUREL UPN 10121000 (PROJECT) and increase the CITY funding contribution required to complete the PROJECT. PARAGRAPH 2 IS AMENDED TO READ: This PROJECT is in the city of Laurel on West Railroad Street (U-6902) from the junction with 1st Avenue (N-4) to the junction with 8th Avenue (L-56-419A). The scope of work includes reconstruction work on West Railroad Street from the intersection of 1st Avenue to 8th Avenue. This includes one travel lane in each direction, curb, gutter, sidewalks, ADA installations, storm drain installation, and utility relocations to the existing roadway. 5th RECITAL AND FOOTNOTE 1 ARE AMENDED TO READ: WHEREAS, the current estimated cost for all phases of the PROJECT is approximately $10,441,0001 including indirect costs (IDC) and inflation. FN 1 Cost estimate includes all phases, inflation, and IDC. SECTION III C (1) IS AMENDED TO READ: 1. Agree and understand Section 17-1-106 MCA requires any state agency, including MDT, which receives non-general funds to identify and recover its indirect costs. These costs are in addition to direct PROJECT costs. MDT’s indirect cost rate is determined annually as a percentage of the PROJECT’S direct costs to cover the PROJECT’S share of MDT’s indirect costs as defined by 2 CFR Part 200 Appendix VII. MDT’s current IDC rate is 11.32% for fiscal year 2025 (July 1, 2024, to June 30, 2025). For this PROJECT, MDT billings to the CITY will include a charge for the indirect costs at the current fiscal year indirect cost rate. This amount will be applied toward the total PROJECT contribution of the CITY, if this PROJECT extends across more than one fiscal 34 year, more than one annual rate will be involved, as the rates may change during the life of the PROJECT. SECTION III C (3) AND FOOTNOTE 2 ARE AMENDED TO READ: 3. Agree current PROJECT cost estimate for all phases is $10,441,000, this includes IDC, contingency, and inflation to FFY27. The CITY is responsible for all project costs in excess of available STPU funds. Available funding from PROJECT funding sources include: STPU funds FFY 20272: $ 5,203,681 Local Funding: $ 5,237,319 $ 10,441,000 FN 2 Estimated Annual Allocations are subject to MDT Transportation Commission Approval. Funding projections are based on the best available information and are subject to change given funding uncertainties and unknown impacts of future congressional or other federal and state actions. Surface Transportation Program Urban (STPU) funds available are dependent on the delivery year of the PROJECT. SECTION IX (7) IS AMENDED TO READ: 7. Invoicing and Indirect Cost (IDC) a. If MDT incurs any costs resulting from this Agreement, MDT shall be entitled to be compensated for such costs by the CITY and the CITY shall pay the same within thirty (30) days of its receipt of such invoices. Mont. Code Ann. §17-1-106, requires any state agency, including MDT, which receives non-general funds to identify and recover its indirect costs (IDC). These costs are in addition to direct PROJECT costs. MDT’s IDC rate is determined annually as a percentage of the PROJECT’S direct costs to cover the PROJECT’S share of MDT’s IDC as defined by 2 CFR Part 200, Appendix VII. MDT’s current IDC rate is 11.32% for fiscal year 2025 (July 1, 2024, to June 30, 2025). If the work occurs or extends into fiscal year 2026 or beyond the IDC rate will be charged at the rate agreed to by MDT and the Federal Highway Administration (FHWA). i. Invoice will be sent to: Kelly Strecker City Clerk/Treasurer 115 West 1st St. Laurel, MT 59044 ii. Payments shall be made to: Montana Department of Transportation Attention: Collections 2701 Prospect Avenue 35 PO Box 201001 Helena, MT 59620-1001 The remaining terms and provisions of the original Memorandum of Agreement, including any subsequent amendments, remain in full force and effect and are incorporated fully herein. 36 IN WITNESS WHEREOF, the parties have caused this agreement to be executed. CITY OF LAUREL By: ___________________________ Mayor STATE OF MONTANA - DEPARTMENT OF TRANSPORTATION By: ___________________________ Date: _________________________ Montana Department of Transportation Approved for Legal Content: By: _________________________ MDT Legal Services Approved for Civil Rights Content: By: _________________________ MDT Office of Civil Rights 37 1 MEMORANDUM OF AGREEMENT BETWEEN CITY OF LAUREL AND THE MONTANA DEPARTMENT OF TRANSPORTATION FOR THE PLANNING AND CONSTRUCTION OF WEST RAILROAD STREET This memorandum of agreement (MOA) by and between CITY of Laurel, 115 W. 1st Street, Laurel, MT 59044 (CITY), and the Montana Department of Transportation, PO Box 201001, Helena, MT 59620-1001 (MDT) establishes the roles, responsibilities, and commitments relative to the planning, costs, and administration responsibilities necessary for the reconstruction of West Railroad Street from 1st Avenue to 8th Avenue within the Laurel Urban Area. This PROJECT is in the city of Laurel on West Railroad Street (U-6902) from the junction with 1st Avenue (N-4) to the junction with 8th Avenue (L-56-419A). The scope of work includes reconstruction work on West Railroad Street from the intersection of 1st Avenue to 8th Avenue. This includes one travel lane in each direction, new two-way left- turn lane, curb, gutter, sidewalks, and improvements to the existing roadway. WHEREAS, MDT is responsible for assuring that the planning, design, approvals and environmental clearances, construction, and maintenance of state and federally- designated highway system facilities provide for the benefit of the traveling public in a safe and efficient manner in accordance with Title 23 United States Code (U. S. C.) and related federal regulation and guidance and Title 60, Montana Code Annotated (MCA); and WHEREAS, the CITY agrees to be responsible for items identified in this MOA and be responsible for preparing the financial package for the PROJECT; and WHEREAS, the CITY agrees and understands that the PROJECT will not be programmed for the construction phase until a funding package for all improvements, including contingencies and overruns, is in place to MDT’s satisfaction.; and WHEREAS, the CITY agrees this PROJECT is and will remain the CITY’s Urban Highway Program funding priority until constructed; and WHEREAS, the current estimated cost for all phases of the PROJECT is approximately $7,600,0001 including indirect costs (IDC); WHEREAS, it is mutually agreed upon that a cooperative delineation and identification of duties and responsibilities of the parties is essential to the overall development of this PROJECT. NOW THEREFORE, the parties set forth below the fundamental duties and responsibilities necessary for this proposed PROJECT. 1 Cost estimate based on preliminary estimates dated 11/2021, includes all phases, inflation, and IDC. DocuSign Envelope ID: 96F66C54-EAA6-4FDA-857B-15D4739E3B7C 38 2 I. PROJECT DEVELOPMENT A. MDT: 1. Will develop and let the PROJECT for construction including consultant management, administration, engineering analysis, surveying, design, public involvement, environmental documentation, clearances, plans preparation, acquisition of all appropriate permits, and the provisions of other services required to complete the preconstruction phase, right of way acquisition, and utility relocations in preparation to let and to construct the PROJECT. 2. Agrees all design will be in accordance with MDT's Project Development Procedures and Design Manuals and, where applicable, current MDT and AASHTO urban standards. 3. Agrees to collaborate with the CITY and the consultant on design specific details in all public involvement activities. B. CITY: 1. Agrees to act as the PROJECT sponsor and will provide appropriate and timely input during the PROJECT’s development. The CITY will issue local permits for applicable construction activities. 2. Acknowledges PROJECT design decisions and changes have potential to impact PROJECT schedule and fundability. 3. Agrees to participate and support MDT in public forums, present in collaboration with the consultant and MDT design specific details and PROJECT elements. 4. Agrees to update the local Transportation Coordinating Committee (TCC) regularly. Updates to include PROJECT status including PROJECT decisions affecting STPU funding. II. ENVIRONMENTAL REVIEW A. MDT: 1. Will be responsible for the development of documents necessary for compliance with the National Environmental Policy Act (NEPA), 23 CFR 771, Section 106 of the National Historic Preservation Act (NHPA), Section 4(f) of the DOT Act, and the Montana Environmental Policy Act (MEPA), in connection with the actions contemplated in this agreement. MDT will coordinate with FHWA for their approval of the NEPA document, as necessary. B. All Parties: 1. Understand that the decisions made by MDT and FHWA pursuant hereto and the execution of this agreement do not constitute the irretrievable commitment of resources by MDT or the CITY until all necessary steps are taken with regard to any particular decision to comply with NEPA/MEPA and other applicable state and federal laws. III. FUNDING A. MDT: 1. Will bill the CITY for costs in excess of available federal funding or elements that are not federal-aid eligible prior to programming. DocuSign Envelope ID: 96F66C54-EAA6-4FDA-857B-15D4739E3B7C 39 3 B. CITY: 1. Agrees to and acknowledges its responsibility for all costs associated with the PROJECT in excess of available STPU funds, for 100% of non-federal aid eligible costs, and payback of state and federal funds expended on the PROJECT if required. 2. Will provide any necessary local or non-federal match funds and associated indirect costs to MDT within thirty (30) days of billing. MDT will not submit programming requests to FHWA for individual PROJECT phases until the required matching funds and funds for costs in excess of available federal funds, if any, have been transferred to MDT. 3. Agrees, if the CITY actions cause MDT to terminate the PROJECT development at any time, it will reimburse MDT for any and all costs incurred by MDT, including any required payback of Federal funds already expended on the PROJECT, up to the date of the stoppage. 4. Agrees, if the CITY actions result in federal nonparticipation, it will reimburse MDT for any and all costs incurred by MDT, including any required payback of Federal funds already expended on the PROJECT related to all nonparticipation costs. 5. Will develop a comprehensive financial plan, for MDT review and approval, for the PROJECT. The financial plan must address sources of funds in the event of unanticipated cost overruns. This financial plan must be approved before MDT will request programming for the construction phase of the PROJECT. C. All Parties: 1. Agree and understand Section 17-1-106 MCA requires any state agency, including MDT, which receives non-general funds to identify and recover its indirect costs. These costs are in addition to direct PROJECT costs. MDT’s indirect cost rate is determined annually as a percentage of the PROJECT’S direct costs to cover the PROJECT’S share of MDT’s indirect costs as defined by 2 CFR Part 200 Appendix VII. MDT’s current indirect cost rate is 10.71% for fiscal year 2023 (July 1, 2022, to June 30, 2023). For this PROJECT, MDT billings to the CITY will include a charge for the indirect costs at the current fiscal year indirect cost rate. This amount will be applied toward the total PROJECT contribution of the CITY, if this PROJECT extends across more than one fiscal year, more than one annual rate will be involved, as the rates may change during the life of the PROJECT. 2. Agree and understand the PROJECT will not be programmed for the construction phase until a funding package for all improvements, including contingencies and overruns, is in place to MDT’s satisfaction. 3. Agree current PROJECT cost estimate for all phases is $7,600,000, this includes IDC, contingency, and inflation to FFY26. Project costs will be assessed at final design. If at final design, the estimate exceeds the available STPU funds described in this Section, the CITY will have the option to modify PROJECT features to best fit the PROJECT needs and budget. DocuSign Envelope ID: 96F66C54-EAA6-4FDA-857B-15D4739E3B7C 40 4 PROJECT funding sources include: STPU funds FFY 20262: $ 5,200,000 Local funding: $ 2,500,000 $ 7,700,000 4. Agree PROJECT estimates will be updated at PROJECT milestones or as more refined estimates become available until PROJECT closeout. All Parties will meet regularly during the PROJECT development process and during each phase to exchange PROJECT information, ensure PROJECT and funding are tracking together, and identify any outstanding issues. 5. Acknowledge PROJECT design details and changes have potential to impact PROJECT schedule and fundability. PROJECT cost increases above available funding will delay PROJECT delivery timeframes until a complete funding package has been secured. IV. PROJECT DESIGN PHASE A. MDT: 1. Will develop constructible design plans, in accordance with MDT design policies, practices, guidelines, and the environmental process for the PROJECT. 2. Will provide the CITY a design phase cost estimate including indirect costs to cover MDT administrative expenses and request for any non-federal match funds. V. RIGHT-OF-WAY ACQUISITION A. MDT: 1. Will request federal authorization to proceed with right-of-way acquisitions. 2. Will follow standard procedures to appraise, acquire and certify that all right- of-way donated or purchased for this PROJECT was acquired in accordance with all applicable federal and state laws and regulations required for federal funded projects such as 49 CFR Part 24, Uniform Relocation Assistance and Real Property Acquisition Regulation for Federally Assisted Programs, and the guidelines and procedures contained in MDT’s Right of Way Manual. 3. Acknowledges that any right of way donated toward the PROJECT will reduce the overall PROJECT costs and be considered as participation in the PROJECT funding package, subject to limitations of federal/state match requirements, the right of way requirements of the PROJECT, and subject to FHWA approval. B. CITY: 1. Acknowledges that, according to federal regulations, if right-of-way is donated to a PROJECT, the value of the right-of-way can only be credited 2Estimated Annual Allocations are subject to MDT Transportation Commission approval. Funding Projections are based on best available information and are subject to change given current funding uncertainties and unknown impacts of future congressional or other federal and state actions. Surface Transportation Program (STPU) funds available is dependent on the delivery year of the PROJECT. DocuSign Envelope ID: 96F66C54-EAA6-4FDA-857B-15D4739E3B7C 41 5 after notification from MDT that FHWA authorization to proceed with right- of-way acquisition has been issued and is subject to the following provisions: a. Any right-of-way acquired or donated for the PROJECT must be procured in accordance with 49 CFR Part 24, Uniform Relocation Assistance and Real Property Acquisition Regulations for Federally Assisted Programs, and the guidelines and procedures contained in MDT’s Right of Way Manual. Per MDT Policy Procedure 8.03.004.1, donated right of way for the PROJECT as in in-kind contribution can be used to reduce the overall PROJECT costs, not to match federal funds. Donated right of way will be valued by MDT as consistent with state and federal requirements. C. All Parties: 1. Agree valuation of CITY’s right of way acquired for the PROJECT will be determined by a qualified appraiser per MDT’s discretion. VI. UTILITIES A. MDT: 1. Will inform the utility companies responsible for water, storm and sanitary sewer, power, gas, and phone of the future plans for the area and encourage the utility companies to make provision for any utility additions, adjustments, or replacement anticipated within 20 years after the estimated completion of the PROJECT. 2. Will prepare necessary utility agreements for facilities that must be moved because of conflicts with the proposed PROJECT. 3. Will follow standard procedures for utility relocations and will coordinate with the CITY. VII. CONTRACT AWARD ADMINISTRATION A. MDT: 1. Will provide a detailed breakdown of all estimated PROJECT costs and bill the CITY accordingly for local contributions as necessary to complete the funding package and bill the CITY in advance for construction of the PROJECT no more than (60) days before bid opening. 2. Bid, award, and administer the construction contract for the PROJECT, once a complete funding package is in place, in accordance with the standard MDT procedures, including obtaining concurrence of award from FHWA. 3. Will not award the PROJECT contract without the CITY’s concurrence if the bid price exceeds the available funds or exceeds MDT’s Project Award Guidelines. B. CITY: 1. Will submit payment for its portion of PROJECT cost based on the MDT engineer’s estimate for the construction and construction engineering costs to the MDT within thirty (30) days of billing. 2. Agrees if the federal government requires a reimbursement or return of any federal funds because a PROJECT doesn’t advance due to CITY’s failure to make any scheduled payment, the CITY will reimburse MDT for those federal funds within thirty (30) days of billing. DocuSign Envelope ID: 96F66C54-EAA6-4FDA-857B-15D4739E3B7C 42 6 3. Agrees if at bid opening the CITY concurs with cost increases greater than MDT’s Project Award Guidelines, the CITY will pay the increased costs in excess of available STPU funds within thirty (30) days of MDT’s billing. 4. Agrees if at bid opening the CITY does not concur with cost increases greater than 10% of MDT’s estimate, MDT will not award the PROJECT. 5. Agrees payments to this PROJECT will be coordinated through the MDT’s Administration Division and will be provided to MDT staff in the form of a check to be deposited and credited to this PROJECT. Please make the check payable to the “Montana Department of Transportation” and send your payment to: Montana Department of Transportation Attention: Collections P.O. Box 201001 Helena, MT 59620-1001 The contact for billing and accounting questions for the MDT will be: Ben Ternes Special Project Accountant P.O. Box 201001 Helena, MT 59620-1001 The contact for billing and accounting questions for the CITY will be: Kelly Strecker City Clerk/Treasurer 115 West 1st St. Laurel, MT 59044 C. All Parties: 1. Agree project costs will be assessed at final design. If at final design, the estimate exceeds the available STPU funds described in Section III, the CITY will have the option to modify PROJECT features to best fit the PROJECT needs and budget. 2. Understand it is possible that the PROJECT estimate may be exceeded once construction has begun. MDT will inform the CITY beforehand, and as early as possible, of anything that appears will result in a cost increase in excess of available STPU funds and will discuss the need for any possible change order with the CITY. It is agreed the CITY does not have the ability to veto or delay, or refuse to pay for, any change orders deemed necessary by MDT. Change orders, costs increase or unforeseen expenses in excess of available STPU funds will be borne by the CITY. 3. Agree the CITY’s portion of the cost of any change order will be billed as early as it can be readily determined and will be due and payable by the CITY within thirty (30) days of the statement. 4. Agree within six (6) months after the PROJECT has been finally accepted with the final costs submitted, MDT will submit a final statement to the CITY. The final statement will be in the form of an invoice and provide details of any expenses that may be identified as “miscellaneous,” billing the CITY for cost overruns, or it will be a check, for overpayment by the CITY. The CITY must DocuSign Envelope ID: 96F66C54-EAA6-4FDA-857B-15D4739E3B7C 43 7 submit payment to MDT within thirty (30) days of billing. If payment is not made within that thirty (30) day period, interest on the unpaid amount will accrue at the rate of 10% per year and continue to accrue until paid in full. If the CITY is billed for additional funds, MDT will not participate in any future funding agreements with the CITY until full payment, including interest, is received from the CITY. VIII. PROJECT CONSTRUCTION PHASE A. MDT: 1. Will request programming of STPU funds and program local funds necessary to complete the funding package for the construction phase of the proposed PROJECT. B. CITY: 1. Acknowledges the funding plan must demonstrate that all components of the PROJECT will be completed. 2. Acknowledges FHWA construction phase approval is contingent on an acceptable and comprehensive funding plan for the completed PROJECT. 3. Acknowledges the value of quantifiable materials and other MDT and FHWA approved in-kind contributions can also be credited to reduce overall PROJECT costs if all specifications are met and the transfer of ownership is accomplished after the PROJECT is programmed. No other contributions or services will be credited. C. All Parties: 1. Agree and understand that MDT’s funding contribution is contingent on the conditions described herein and therefore the PROJECT will not be programmed for the construction phase until: a. a funding package for the PROJECT through construction, including contingencies and overruns, is in place to MDT’s satisfaction; and b. all approvals, clearances and permits are obtained. IX. GENERAL TERMS AND CONDITIONS 1. Term – The term of this Agreement shall be ten (10) years. After the initial ten (10) year term, this Agreement will renew automatically, for successive one (1) year terms, unless superseded by a new Agreement between the parties. 2. Termination – This Agreement may be terminated by MDT if the CITY violates or breaches any term, condition, or article of this Agreement and the CITY has failed to correct (or reasonably initiate correction) within 60 days of receiving notice in writing addressed to the CITY’s representative, of such violation or breach of any term, condition, or article of this Agreement. 3. Other Agreements – Other Agreements pertaining to the PROJECT area remain in full force and effect. In the case of a conflict between this Agreement and a previously executed Agreement, the terms of this Agreement apply. 4. Hold Harmless & Indemnification a. The CITY agrees to protect, defend, indemnify, and hold MDT, its elected and appointed officials, agents, and employees, while acting within their duties as such, harmless from and against all claims, liabilities, demands, causes of action, and judgments ( including the cost of defense and DocuSign Envelope ID: 96F66C54-EAA6-4FDA-857B-15D4739E3B7C 44 8 reasonable attorney fees) arising in favor of or asserted by the CITY’s employees or third parties on account of personal or bodily injury, death or damage to property, arising out of the acts or omissions of the CITY, its agents, or sub-contractors, under this Agreement, except the negligence of MDT. b. The State and Department of Transportation agrees to protect, defend, indemnify, and hold the CITY, its elected and appointed officials, agents, and employees, while acting within their duties as such, harmless from and against all claims, liabilities, demands, causes of action, and judgments ( including the cost of defense and reasonable attorney fees) arising in favor of or asserted by the MDT’s employees or third parties on account of personal or bodily injury, death or damage to property, arising out of the acts or omissions of MDT, its agents, or sub-contractors, under this Agreement, except the negligence of the CITY. 5. Insurance a. General Requirements: Each party shall maintain for the duration of this Agreement, at its own cost and expense, insurance against claims for injuries to persons or damages to property that may arise from or in connection with the performance of the duties and obligations in this Agreement by each party, its agents, employees, representatives, assigns, or sub-contractors. This insurance shall cover such claims as may be caused by any negligent act or omission. b. General Liability Insurance: Each party shall purchase and maintain occurrence coverage with combined single limits for bodily injury, personal injury, and property damage of $1 million per occurrence and $2 million aggregate per year to cover such claims as may be caused by or arising out of any negligent acts or omissions in work or services performed under this Agreement, or as established by statutory tort limits as provided by a public entity self-insurance program either individually or on a pool basis as provided by Mont. Code Ann. Title 2, Chapter 9. c. General Provisions: All insurance coverage must be with a carrier licensed to do business in the State of Montana or by a public entity self-insured program either individually or on a pool basis. Each party must notify the other immediately of any material change in insurance coverage, such as changes in limits, coverage, change in status of policy, etc. Each party reserves the right to request complete copies of the other party’s insurance policy or self-insured memorandum of coverage at any time. d. Workers’ Compensation Insurance: The CITY must maintain workers’ compensation insurance and require its contractors and its contractor’s sub- contractors to carry their own workers compensation coverage while performing work within MDT right-of-way in accordance with Mont. Code Ann. §§39-71-401 and 39-71-405. Neither the contractor nor its employees are employees of MDT. This insurance/exemption must be valid for the entire Agreement period. 6. Public Safety a. It is agreed, if any repairs to the elements of the PROJECT must be performed to address or prevent a public hazard, the CITY will immediately protect the area from public access, contact the appropriate MDT District DocuSign Envelope ID: 96F66C54-EAA6-4FDA-857B-15D4739E3B7C 45 9 Maintenance Office, and make reasonable and timely effort to correct or repair the hazard. 7. Invoicing and Indirect Cost (IDC) a. If MDT incurs any costs resulting from this Agreement, MDT shall be entitled to be compensated for such costs by the CITY and the CITY shall pay the same within thirty (30) days of its receipt of such invoices. Mont. Code Ann. §17-1-106, requires any state agency, including MDT, which receives non-general funds to identify and recover its indirect costs (IDC). These costs are in addition to direct PROJECT costs. MDT’s IDC rate is determined annually as a percentage of the PROJECT’S direct costs to cover the PROJECT’S share of MDT’s IDC as defined by 2 CFR Part 200, Appendix VII. MDT’s current IDC rate is 10.71% for fiscal year 2023 (July 1, 2022, to June 30, 2023). If the work occurs or extends into fiscal year 2024 or beyond the IDC rate will be charged at the rate agreed to by MDT and the Federal Highway Administration (FHWA). i. Invoice will be sent to: Kelly Strecker City Clerk/Treasurer 115 West 1st St. Laurel, MT 59044 ii. Payments shall be made to: Montana Department of Transportation Attention: Collections 2701 Prospect Avenue PO Box 201001 Helena, MT 59620-1001 8. Choice of Law and Venue – This Agreement shall be governed by the laws of Montana. The parties agree that any litigation concerning this Agreement must be brought in the First Judicial District Court, in and for the County of Lewis and Clark, State of Montana, and each party shall pay its own costs and attorney fees except as otherwise noted in this agreement. In case of conflict between the terms and conditions of this Agreement and the laws of the State of Montana, the laws of the State of Montana shall control. 9. Binding Effect -- The benefits and obligations set forth in this Agreement shall be binding upon, and inure to the benefit of, their respective successors, administrators and assigns of the Parties. 10. Relationship of Parties -- Nothing contained in this Agreement shall be deemed or construed (either by the parties hereto or by any third party) to create the relationship of principal and agent or create any partnership joint venture or other association between the Parties. 11. Non-Discrimination – The CITY will require that during the performance of any work arising out of this Agreement the CITY, for itself, assignees, and successors shall comply with all applicable non-discrimination regulation set forth in Attachment “A” attached hereto and made part of this Agreement. DocuSign Envelope ID: 96F66C54-EAA6-4FDA-857B-15D4739E3B7C 46 10 12. ADA - MDT requires that any construction resulting from this Agreement must include appropriate pedestrian facilities that meet or exceed current MDT policies and guidelines for accessibility as set forth by the United States Department of Justice 2010 ADA Standards for Accessibility Design, United States Access Board Proposed Guidelines for Pedestrian Facilities in the Public Right-of-Way (2011 PROWAG), and MDT’s detailed drawings, 608 series. 13. Audit – The CITY grants to the Legislative Auditor and the Legislative Fiscal Analysts the right, without prior notice and during normal business hours, to audit, at their own costs and expense, all records, reports, and other documents, the CITY maintains in connection with this Agreement. 14. Utilities -- This Agreement is subject to the right of any private or public utility entity now lawfully occupying the right-of-way to continue to operate and maintain utility facilities thereupon. Copies of existing utility permits may be obtained from the MDT District Utility Agent. 15. Amendment and Modification -- This Agreement may be modified or amended only by written Addendum signed by the parties. In addition to the terms and conditions contained herein, the provisions of any Addendum may be incorporated and made a part hereof by this reference in the terms of the amendment so provided. In the event of any conflict between the terms and conditions hereof and the provisions of any Addendum, the provision of the Addendum shall control, unless the provisions thereof are prohibited by law. 16. Representatives a. CITY’s Representative: The CITY’s Representative for this Agreement shall be the CITY Manager or designee or such other individual as CITY shall designate in writing. Whenever approval or authorization from or communication or submission to CITY is required by this Agreement, such communication or submission shall be directed to the CITY’s Representative and approvals or authorizations shall be issued only by such Representative; provided, however, that in exigent circumstances when CITY’s Representative is not available, MDT may direct its communication or submission to other designated CITY personnel or agents. b. MDT’s Representative: The MDT Representative for this Agreement shall be the District Administrator or Maintenance Chief or such other individual as MDT shall designate in writing. Whenever direction to or communication with MDT is required by this Agreement, such direction or communication shall be directed to MDT’s Representative; provided, however, that in exigent circumstances when MDT’s Representative is not available, CITY may direct its direction or communication or submission to other designated MDT personnel or agents. 17. Counterpart Execution – This Agreement may be executed in two or more counterparts, each of which shall be deemed an original but all of which together shall constitute one and the same Agreement. The counterparts of this Agreement may be executed and delivered by facsimile or other electronic signature by any of the parties to any other party and the receiving party may rely on the receipt of such document so executed and delivered by facsimile or other electronic means as if the original had been received. DocuSign Envelope ID: 96F66C54-EAA6-4FDA-857B-15D4739E3B7C 47 11 CITY OF LAUREL By: ___________________________ City Manager STATE OF MONTANA - DEPARTMENT OF TRANSPORTATION By: ___________________________ Date: ___________________________ Montana Department of Transportation Approved for Legal Content: Approved for Civil Rights Content: By: _________________________________ By: __________________________ MDT Legal Services Office of Civil Rights DocuSign Envelope ID: 96F66C54-EAA6-4FDA-857B-15D4739E3B7C 1/2/2023 48 Rev. 01/2022 MDT NONDISCRIMINATION AND DISABILITY ACCOMMODATION NOTICE Montana Department of Transportation (“MDT”) is committed to conducting all of its business in an environment free from discrimination, harassment, and retaliation. In accordance with State and Federal law MDT prohibits any and all discrimination and protections are all inclusive (hereafter “protected classes”) by its employees or anyone with whom MDT does business: Federal protected classes State protected classes Race, color, national origin, sex, sexual orientation, gender identity, age, disability, income-level & Limited English Proficiency Race, color, national origin, parental/marital status, pregnancy, childbirth, or medical conditions related to pregnancy or childbirth, religion/creed, social origin or condition, genetic information, sex, sexual orientation, gender identification or expression, ancestry, age, disability mental or physical, political or religious affiliations or ideas, military service or veteran status, vaccination status or possession of immunity passport For the duration of this contract/agreement, the PARTY agrees as follows: (1) Compliance with Regulations: The PARTY (hereinafter includes consultant) will comply with all Acts and Regulations of the United States and the State of Montana relative to Non- Discrimination in Federally and State-assisted programs of the U.S. Department of Transportation and the State of Montana, as they may be amended from time to time, which are herein incorporated by reference and made a part of this contract. (2) Non-dis crimination: a. The PARTY, with regard to the work performed by it during the contract, will not discriminate, directly or indirectly, on the grounds of any of the protected classes in the selection and retention of subcontractors, including procurements of materials and leases of equipment, employment, and all other activities being performed under this contract/agreement. b. The PARTY will provide notice to its employees and the members of the public that it serves that will include the following: i. A statement that the PARTY does not discriminate on the grounds of any protected classes. ii. A statement that the PARTY will provide employees and members of the public that it serves with reasonable accommodations for any known disability, upon request, pursuant to the Americans with Disabilities Act as Amended (ADA). iii. Contact information for the PARTY’s representative tasked with handling non- discrimination complaints and providing reasonable accommodations under the ADA. iv. Information on how to request information in alternative accessible formats. DocuSign Envelope ID: 96F66C54-EAA6-4FDA-857B-15D4739E3B7C 49 Rev. 01/2022 c. In accordance with Mont. Code Ann. § 49-3-207, the PARTY will include a provision, in all of its hiring/subcontracting notices, that all hiring/subcontracting will be on the basis of merit and qualifications and that the PARTY does not discriminate on the grounds of any protected class. (3) Participation by Disadvantaged Business Enterprises (DBEs): a. If the PARTY receives federal financial assistance as part of this contract/agreement, the PARTY will make all reasonable efforts to utilize DBE firms certified by MDT for its subcontracting services. The list of all currently certified DBE firms is located on the MDT website at mdt.mt.gov/business/contracting/civil/dbe.shtml b. By signing this agreement, the PARTY assures MDT that: The contractor, sub recipient or subcontractor shall not discriminate on the basis of race, color, national origin, or sex in the performance of this contract. The contractor shall carry out applicable requirements of 49 CFR part 26 in the award and administration of DOT-assisted contracts. Failure by the contractor to carry out these requirements is a material breach of this contract, which may result in the termination of this contract or such other remedy as the recipient deems appropriate. c. The PARTY must include the above assurance in each contract/agreement the PARTY enters. (4) Solicitation for Subcontracts, Including Procurement of Materials and Equipment: In all solicitations, either by competitive bidding, or negotiation, made by the PARTY for work to be performed under a subcontract, including procurements of materials, or leases of equipment, each potential subcontractor or supplier will be notified by the PARTY of the PARTY’s obligation under this contract/agreement and all Acts and Regulations of the United States and the State of Montana related to Non-Discrimination. (5) Information and Reports: The PARTY will provide all information and reports required by the Acts, Regulations, and directives issued pursuant thereto and will permit access to its books, records, accounts, other sources of information and its facilities as may be determined by MDT or relevant US DOT Administration to be pertinent to ascertain compliance with such Acts, Regulations, and instructions. Where any information required of a contractor is in the exclusive possession of another who fails or refuses to furnish the information, the PARTY will so certify to MDT or relevant US DOT Administration, as appropriate, and will set forth what efforts it has made to obtain the information. (6) Sanctions for Noncompliance: In the event of a PARTY’s noncompliance with the Non- discrimination provisions of this contract/agreement, MDT will impose such sanctions as it or the relevant US DOT Administration may determine to be appropriate, including, but not limited to: a. Withholding payments to the PARTY under the contract/agreement until the PARTY complies; and/or b. Cancelling, terminating, or suspending the contract/agreement, in whole or in part. DocuSign Envelope ID: 96F66C54-EAA6-4FDA-857B-15D4739E3B7C 50 Rev. 01/2022 (7) Pertinent Non-Discrimination Authorities: During the performance of this contract/agreement, the PARTY, for itself, its assignees, and successor in interest, agrees to comply with the following non-discrimination statutes and authorities; including but not limited to: Federal - Title VI of the Civil Rights Act of 1964 (42 U.S.C. § 2000d et seq., 78 stat. 252), (prohibits discrimination on the basis of race, color, national origin); and 49 CFR Part 21; - The Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970, (42 U.S.C. § 4601), (prohibits unfair treatment of persons displaced or whose property has been acquired because of Federal or Federal-aid programs and projects); - Federal-Aid Highway Act of 1973, (23 U.S.C. § 324 et seq.), (prohibits discrimination on the basis of sex); - Section 504 of the Rehabilitation Act of 1973, (29 U.S.C. § 794 et seq.), as amended, (prohibits discrimination on the basis of disability); and 49 CFR Part 27; - The Age Discrimination Act of 1975, as amended, (42 U.S.C. § 6101 et seq.), (prohibits discrimination on the basis of age); - Airport and Airways Improvement Act of 1982, (49 U.S.C. § 471, Section 47123), as amended, (prohibits discrimination based on race, creed, color, national origin, or sex); - The Civil Rights Restoration Act of 1987, (PL 100-209), (broadened the scope, coverage, and applicability of Title VI of the Civil Rights Act of 1964, The Age Discrimination Act of 1975, and Section 504 of the Rehabilitation Act of 1973, by expanding the definition of the terms “programs or activities” to include all of the programs or activities of the Federal-aid recipients, sub-recipients, and contractors, whether such programs or activities are Federally funded or not); - Titles II and III of the Americans with Disabilities Act, which prohibits discrimination on the basis of disability in the operation of public entities, public and private transportation systems, places of public accommodation, and certain testing entities (42 U.S.C. §§ 12131-12189) as implemented by Department of Transportation regulations at 49 CFR parts 37 and 38; - The Federal Aviation Administration’s Non-Discrimination statute (49 U.S.C. § 47123) (prohibits discrimination on the basis of race, color, national origin, and sex); - Executive Order 12898, Federal Actions to Address Environmental Justice in Minority Populations and Low-Income Populations, which prevents discrimination against minority populations by discouraging programs, policies, and activities with disproportionately high and adverse human health or environmental effects on minority and low-income populations; - Executive Order 13166, Improving Access to Services for Persons with Limited English Proficiency, and resulting agency guidance, national origin discrimination includes discrimination because of Limited English Proficiency (LEP). To ensure compliance with Title VI, you must take reasonable steps to ensure that LEP persons have meaningful access to your programs (70 Fed. Reg. at 74087 to 74100); DocuSign Envelope ID: 96F66C54-EAA6-4FDA-857B-15D4739E3B7C 51 Rev. 01/2022 - Title IX of the Education Amendments of 1972, as amended, which prohibits you from discriminating because of sex in education programs or activities (20 U.S.C. § 1681 et seq.). - Executive Order 13672 prohibits discrimination in the civilian federal workforce on the basis of gender identity and in hiring by federal contractors on the basis of both sexual orientation and gender identity. State - Mont. Code Ann. § 49-3-205 Governmental services; - Mont. Code Ann. § 49-3-206 Distribution of governmental funds; - Mont. Code Ann. § 49-3-207 Nondiscrimination provision in all public contracts. (8) Incorporation of Provisions: The PARTY will include the provisions of paragraph one through seven in every subcontract, including procurements of materials and leases of equipment, unless exempt by the Acts, the Regulations and/or directives issued pursuant thereto. The PARTY will take action with respect to any subcontract or procurement as MDT or the relevant US DOT Administration may direct as a means of enforcing such provisions including sanctions for noncompliance. Provided, that if the PARTY becomes involved in, or is threatened with litigation by a subcontractor, or supplier because of such direction, the PARTY may request MDT to enter into any litigation to protect the interests of MDT. In addition, the PARTY may request the United States to enter into the litigation to protect the interests of the United States. DocuSign Envelope ID: 96F66C54-EAA6-4FDA-857B-15D4739E3B7C 52 Exhibit B ************************************************************************ MONTANA TRANSPORTATION COMMISSION POLICY STATEMENT Adopted by the Montana Transportation Commission during regular session on April 7, 1998 – Revised November 22, 2002 Policy Number 06 ************************************************************************ URBAN HIGHWAY PROGRAM BORROW POLICY Background Each year the Transportation Commission allocates a portion f the Federal Aid Surface Transportation Program funds to the Urban Highway System. The annual allocation is used to fund construction projects on the designated urban highways in Montana s fifteen urban areas. State statutes and past commission action have allowed urban areas to borrow against their anticipated Urban Highway Program funds. Recognizing that Urban Highways Program funds are apportioned solely on the basis of urban population and that the apportionments vary greatly among the fifteen urban areas, this policy seeks to better manage the program through setting understandable borrowing limits. Policy 1. The projects must be on the State Urban Highway System as defined by the Montana Transportation Commission to be eligible for Urban Highway Program funds. 2. Each city (urban area) can borrow up to five years of its current year apportionment for the benefit of eligible projects but the total amount advanced cannot exceed one-half the total amount apportioned to the State Urban Highway Program. DocuSign Envelope ID: 96F66C54-EAA6-4FDA-857B-15D4739E3B7C 53 File Attachments for Item: 5. Resolution - A Resolution Of The City Council Authorizing The Mayor To Execute The Consultant Agreement With Peaks Planning And Consulting LLC. 54 R24-__ Approve Consultant Agreement with Peaks Planning and Consulting RESOLUTION NO. R24-__ A RESOLUTION OF THE CITY COUNCIL AUTHORIZING THE MAYOR TO EXECUTE THE CONSULTANT AGREEMENT WITH PEAKS PLANNING AND CONSULTING LLC. BE IT RESOLVED by the City Council of the City of Laurel, Montana, Section 1: Approval. The Consultant Agreement by and between the City of Laurel (hereinafter “the City”) and Peaks Planning and Consulting LLC, for consulting services for a TIF District Coordinator, a copy attached hereto and incorporated herein, is hereby approved. Section 2: Execution. The Mayor is hereby given authority to execute the Consultant Agreement with Peaks Planning and Consulting LLC on behalf of the City. Introduced at a regular meeting of the City Council on the _____ day of August, 2024, by Council Member ______. PASSED and APPROVED by the City Council of the City of Laurel on the _____ day of August, 2024. APPROVED by the Mayor on the _____ day of August, 2024. CITY OF LAUREL ___________________________ Dave Waggoner, Mayor ATTEST: _______________________________ Kelly Strecker, Clerk-Treasurer APPROVED AS TO FORM: ______________________________ Michele L. Braukmann, Civil City Attorney 55 AGREEMENT BETWEEN OWNER AND CONSULTANT FOR PROFESSIONAL SERVICES THIS IS AN AGREEMENT effective from August 13, 2024, to June 30, 2028 (“Effective Dates”) between the City of Laurel, Montana (“Owner”) and Peaks Planning and Consulting LLC (“Consultant”). Owner’s Project, of which Consultant’s services under this Agreement are a part, is generally identified as follows: Tax Increment District (TIF) Coordinator (“Project”). Consultant’s services under this Agreement are generally identified as follows: On-Call TIF Coordinator (“Services”). Owner and Consultant further agree as follows: 1.01 Basic Agreement and Period of Service A. Consultant shall provide or furnish the Services set forth in this Agreement. If authorized by Owner, or if required because of changes in the Project, Consultant shall furnish services in addition to those set forth above (“Additional Services”). B. Consultant shall complete its Services within a reasonable period of time. C. If, through no fault of Consultant, such periods of time or dates are changed, or the orderly and continuous progress of Consultant’s Services is impaired, or Consultant’s Services are delayed or suspended, then the time for completion of Consultant’s Services, and the rates and amounts of Consultant’s compensation, shall be adjusted equitably. D. The Owner’s authorized representative is the Planning Director or his designee. 2.01 Payment Procedures A. Invoices: Consultant shall prepare invoices in accordance with its standard invoicing practices and submit the invoices to Owner on a monthly basis. Invoices are due and payable within 30 days of receipt. If Owner fails to make any payment due Consultant for Services, Additional Services, and expenses within 30 days after receipt of Consultant’s invoice, then (1) the amounts due Consultant will be increased at the rate of 1.0% per month (or the maximum rate of interest permitted by law, if less) from said thirtieth day, and (2) in addition Consultant may, after giving seven days written notice to Owner, suspend Services under this Agreement until Consultant has been paid in full all amounts due for Services, Additional Services, expenses, and other related charges. Owner waives any and all claims against Consultant for any such suspension. B. Payment: As compensation for Consultant providing or furnishing Services and Additional Services, Owner shall pay Consultant as set forth in Paragraphs 2.01, 2.02 (Services), and 2.03 (Additional Services). If Owner disputes an invoice, either as to amount or entitlement, then Owner shall promptly advise Consultant in writing of the specific basis for doing so, may withhold only that portion so disputed, and must pay the undisputed portion. 56 2.02 Basis of Payment—Direct Labor, Plus Reimbursables A. Owner shall pay Consultant for Services as follows: 1. An amount equal to Consultant’s Direct Labor Costs as outlined in Exhibit ‘A’ for services of Consultant’s employees engaged in the Project, plus reimbursable expenses. Reimbursable expenses include accommodations, meals plus gratuity associated with work on the Project. 2. Sub-consultants shall be reimbursed at the rate of 115% of actual invoiced costs including reimbursables. Consultant shall not use sub-consultants without prior authorization from Owner. B. The portion of the compensation amount billed monthly for Consultant's Services will be based upon Consultant's estimate of the percentage of the total Services actually completed during the billing period. 2.03 Additional Services: For Additional Services, Owner shall pay Consultant an amount equal to the cumulative hours charged in providing the Additional Services by each class of Consultant’s employees and in accordance with Exhibit ‘A’; plus reimbursement of expenses incurred in connection with providing the Additional Services and Consultant’s consultants’ charges, if any. 3.01 Termination A. The obligation to continue performance under this Agreement may be terminated: 1. For cause, a. By either party upon 30 days written notice in the event of substantial failure by the other party to perform in accordance with the Agreement’s terms through no fault of the terminating party. Failure to pay Consultant for its services is a substantial failure to perform and a basis for termination. b. By Consultant: 1) upon seven days written notice if Owner demands that Consultant furnish or perform services contrary to Consultant’s responsibilities as a licensed professional; or 2) upon seven days written notice if the Consultant’s Services are delayed for more than 90 days for reasons beyond Consultant’s control, or as the result of the presence at the Site of undisclosed Constituents of Concern, as set forth in Paragraph 5.01.I. c. Consultant shall have no liability to Owner on account of a termination for cause by Client. d. Notwithstanding the foregoing, this Agreement will not terminate as a result of a substantial failure under Paragraph 3.01.A.1.a if the party receiving such notice begins, within seven days of receipt of such notice, to correct its substantial failure to perform and proceeds diligently to cure such failure within no more than 30 days of receipt of notice; provided, however, that if and to the extent such substantial failure cannot be reasonably cured within such 30 day period, and if such party has diligently attempted to cure the same and thereafter continues diligently to cure the same, then the cure period provided for herein shall extend up to, but in no case more than, 60 days after the date of receipt of the notice. 57 2. For convenience, by Owner effective upon Consultant's receipt of written notice from Owner. B. In the event of any termination under Paragraph 3.01, Consultant will be entitled to invoice Owner and to receive full payment for all Services and Additional Services performed or furnished in accordance with this Agreement, plus reimbursement of expenses incurred through the effective date of termination in connection with providing the Services and Additional Services, and Consultant’s consultants’ charges, if any. 4.01 Successors, Assigns, and Beneficiaries A. Owner and Consultant are hereby bound and the successors, executors, administrators, and legal representatives of Owner and Consultant (and to the extent permitted by Paragraph 4.01.B the assigns of Owner and Consultant) are hereby bound to the other party to this Agreement and to the successors, executors, administrators, and legal representatives (and said assigns) of such other party, in respect of all covenants, agreements, and obligations of this Agreement. B. Neither Owner nor Consultant may assign, sublet, or transfer any rights under or interest (including, but without limitation, money that is due or may become due) in this Agreement without the written consent of the other party, except to the extent that any assignment, subletting, or transfer is mandated by law. Unless specifically stated to the contrary in any written consent to an assignment, no assignment will release or discharge the assignor from any duty or responsibility under this Agreement. C. Unless expressly provided otherwise, nothing in this Agreement shall be construed to create, impose, or give rise to any duty owed by Owner or Consultant to any Constructor, other third-party individual or entity, or to any surety for or employee of any of them. All duties and responsibilities undertaken pursuant to this Agreement will be for the sole and exclusive benefit of Owner and Consultant and not for the benefit of any other party. 5.01 General Considerations A. The standard of care for all professional Consulting and related services performed or furnished by Consultant under this Agreement will be the care and skill ordinarily used by members of the subject profession practicing under similar circumstances at the same time and in the same locality. Consultant makes no warranties, express or implied, under this Agreement or otherwise, in connection with any services performed or furnished by Consultant. Subject to the foregoing standard of care, Consultant and its consultants may use or rely upon design elements and information ordinarily or customarily furnished by others, including, but not limited to, specialty contractors, manufacturers, suppliers, and the publishers of technical standards. B. Consultant or sub-consultants shall not at any time supervise, direct, control, or have authority over any Constructor’s work, nor shall Consultant or sub-consultants have authority over or be responsible for the means, methods, techniques, sequences, or procedures of construction selected or used by any Constructor, or the safety precautions and programs incident thereto, for security or safety at the Project site, nor for any failure of a Constructor to comply with laws and regulations applicable to such Constructor’s furnishing and performing of its work. Consultant or sub- consultants shall not be responsible for the acts or omissions of any Constructor. C. Consultant or sub-consultants neither guarantees the performance of any Constructor nor assumes responsibility for any Constructor’s failure to furnish and perform its work. 58 D. Consultant shall not be responsible for any decision made regarding the construction contract requirements, or any application, interpretation, clarification, or modification of the construction contract documents other than those made by Consultant or its consultants. E. Owner shall have all rights and title to the documents on the Project, extensions of the Project, and for related uses of the Owner, subject to receipt by Consultant of full payment due and owing for all Services and Additional Services relating to preparation of the documents and subject to the following limitations: 1. Owner acknowledges that such documents are not intended or represented to be suitable for use on the Project unless completed by Consultant, or for use or reuse by Owner or others on extensions of the Project, on any other project, or for any other use or purpose, without written verification or adaptation by Consultant; 2. any such use or reuse, or any modification of the documents, without written verification, completion, or adaptation by consultant, as appropriate for the specific purpose intended, will be at Owner’s sole risk and without liability or legal exposure to Consultant or to its officers, directors, members, partners, agents, employees, and sub-consultants; 3. such limited license to Owner shall not create any rights in third parties. F. Owner and Consultant may transmit, and shall accept, Project-related correspondence, documents, text, data, drawings, information, and graphics, in electronic media or digital format, either directly, or through access to a secure Project website, in accordance with a mutually agreeable protocol. G. To the fullest extent permitted by law, Owner and Consultant (1) waive against each other, and the other’s employees, officers, directors, members, agents, insurers, partners, and consultants, any and all claims for or entitlement to special, incidental, indirect, or consequential damages arising out of, resulting from, or in any way related to this Agreement or the Project, and (2) agree that Consultant’s total liability to Owner under this Agreement shall be limited to $2,000,000 or the total amount of compensation received by Consultant, whichever is greater. H. Neither Party shall be considered to be in default of this Agreement if delays in or failure of performance are due to forces beyond the reasonable control of the nonperforming Party, the effect of which the nonperforming Party could not avoid by the exercise of reasonable diligence. Such forces include, but are not limited to: fire, acts of God, flood, earthquake, storm, lightning, tornados, epidemic, war, riot, civil disturbance, sabotage, strike, work slowdown, or other labor disturbances, judicial restraint, action or inaction of any Government entity in either its sovereign or contractual capacity, quarantine restrictions, freight embargoes, delays in long lead time items and severe weather. Any changes to the terms of this agreement impacted by a Force Majeure event shall be documented in an Amendment to the Agreement. I. The parties acknowledge that Consultant’s Services do not include any services related to unknown or undisclosed Constituents of Concern. If Consultant or any other party encounters, uncovers, or reveals an unknown or undisclosed Constituent of Concern, then Consultant may, at its option and without liability for consequential or any other damages, suspend performance of Services on the portion of the Project affected thereby until such portion of the Project is no longer affected, or terminate this Agreement for cause if it is not practical to continue providing Services. J. Owner and Consultant agree to negotiate each dispute between them in good faith during the 30 days after notice of dispute. If negotiations are unsuccessful in resolving the dispute, then the 59 dispute shall be mediated. If mediation is unsuccessful, then the parties may exercise their rights at law. K. This Agreement is to be governed by the law of the state in which the Project is located. L. Consultant’s Services and Additional Services do not include: (1) serving as a “municipal advisor” for purposes of the registration requirements of Section 975 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (2010) or the municipal advisor registration rules issued by the Securities and Exchange Commission; (2) advising Owner, or any municipal entity or other person or entity, regarding municipal financial products or the issuance of municipal securities, including advice with respect to the structure, timing, terms, or other similar matters concerning such products or issuances; (3) providing surety bonding or insurance-related advice, recommendations, counseling, or research, or enforcement of construction insurance or surety bonding requirements; or (4) providing legal advice or representation. M. Consultant shall abide by the requirements of 41 CFR 60-1.4(a), 60-300.5(a) and 60- 741.5(a). These regulations prohibit discrimination against qualified individuals based on their status as protected veterans or individuals with disabilities, and prohibit discrimination against all individuals based on their race, color, religion, sex, sexual orientation, gender identity or national origin. Moreover, these regulations require that covered prime contractors and subcontractors take affirmative action to employ and advance in employment individuals without regard to race, color, religion, sex, sexual orientation, gender identity, national origin, disability or veteran status. 6.01 Total Agreement A. This Agreement (including any expressly incorporated attachments), constitutes the entire agreement between Owner and Consultant and supersedes all prior written or oral understandings. This Agreement may only be amended, supplemented, modified, or canceled by a duly executed written instrument. Definitions B. Constructor—Any person or entity (not including the Consultant, its employees, agents, representatives, and consultants), performing or supporting construction activities relating to the Project, including but not limited to contractors, subcontractors, suppliers, Owner’s work forces, utility companies, construction managers, testing firms, shippers, and truckers, and the employees, agents, and representatives of any or all of them. C. Constituent of Concern—Asbestos, petroleum, radioactive material, polychlorinated biphenyls (PCBs), hazardous waste, and any substance, product, waste, or other material of any nature whatsoever that is or becomes listed, regulated, or addressed pursuant to (a) the Comprehensive Environmental Response, Compensation and Liability Act, 42 U.S.C. §§9601 et seq. (“CERCLA”); (b) the Hazardous Materials Transportation Act, 49 U.S.C. §§5101 et seq.; (c) the Resource Conservation and Recovery Act, 42 U.S.C. §§6901 et seq. (“RCRA”); (d) the Toxic Substances Control Act, 15 U.S.C. §§2601 et seq.; (e) the Clean Water Act, 33 U.S.C. §§1251 et seq.; (f) the Clean Air Act, 42 U.S.C. §§7401 et seq.; or (g) any other federal, State, or local statute, law, rule, regulation, ordinance, resolution, code, order, or decree regulating, relating to, or imposing liability or standards of conduct concerning, any hazardous, toxic, or dangerous waste, substance, or material. 60 Attachments: Scope of Work IN WITNESS WHEREOF, the parties hereto have executed this Agreement, the Effective Dates of which is indicated on page 1. Owner: City of Laurel, Montana Consultant: Peaks Planning and Consulting, LLC By: By: Print name: Dave Waggoner Print name: Forrest Sanderson Title: Mayor Title: President Date Signed: Date Signed: Address for Owner’s receipt of notices: Address for Consultant’s receipt of notices: City of Laurel Peaks Planning & Consulting LLC Attn: Kelly Strecker, Clerk/Treasurer P.O. Box 307 115 West 1st Street Roberts MT 59070 Laurel MT 59044 61 1 This is EXHIBIT A, consisting of [3] pages, referred to in and part of the Agreement between Owner and Consultant for Professional Services dated [August 13, 2024]. Consultant’s Services Article 1 of the Agreement is supplemented to include the following agreement of the parties. Consultant shall provide Basic and Additional Services as set forth below. PART 1 – BASIC SERVICES A1.01 Planning Phase A. Consultant shall, in accordance with Locally Adopted Rules and Regulations: 1. Tax Increment District Coordinator. a. Advise and Assist the City authorities in the coordination of TIF programs, policies and activities; and b. Serve as the primary liaison between the LURA Board and the Laurel City Council; and c. Provide staff assistance to LURA; and d. Provide assistance to parties interested in utilizing TIF funding to develop or improve commercial property within the TIF District; and e. Assist in the negotiation of TIF Agreements on behalf of LURA; and f. Monitor the implementation of TIF projects and agreements; and g. Prepare the annual budget of the TIF Special Allocation Fund; and h. Prepare the annual report of the TIF District as required by statute; and i. Provide advice as needed to the City authorities on related financial matters, including but not limited to property tax levies, bonded indebtedness, utility rates, investment of funds, and budgeting. and j. Other general duties as assigned by the LURA Board. 2. Other Planning Related Items as deemed appropriate by the LURA Borad or Governing Body. 3. Prepare Staff Reports and Recommendations to the LURA Board and Governing Body. PART 2 – ADDITIONAL SERVICES A2.01 Additional Services Requiring Owner’s Written Authorization 62 2 A. If authorized in writing by Owner, Consultant shall provide Additional Services of the types listed below. These services are not included as part of Basic Services and will be paid for by Owner. 1. Services resulting from Owner’s request to evaluate additional Study and Report Phase alternative solutions beyond those agreed to in Paragraph A1.01.A.1 and 2. 2. Services required as a result of Owner’s providing incomplete or incorrect Project information to Consultant. 3. Providing renderings or models for Owner’s use, including services in support of building information modeling or civil integrated management. 4. Undertaking investigations and studies. 5. Furnishing services of other Consultants for other than Basic Services. 6. Services during out-of-town travel required of Consultant, other than for visits to the Site or Owner’s office as required in Basic Services (Part 1 of Exhibit A). 7. Assistance to Owner in training Owner’s staff. 8. Preparing to serve or serving as a consultant or witness for Owner in any litigation, arbitration, lien or bond claim, or other legal or administrative proceeding involving the Project. 9. Overtime work requiring higher than regular rates. 10. Providing more extensive services required to enable Consultant to issue notices or certifications requested by Owner. 11. Other additional services performed or furnished by Consultant not otherwise provided for in this Agreement. A2.02 Additional Services Not Requiring Owner’s Written Authorization A. Consultant shall advise Owner that Consultant is commencing to perform or furnish the Additional Services of the types listed below. For such Additional Services, Consultant need not request or obtain specific advance written authorization from Owner. Consultant shall cease performing or furnishing such Additional Services upon receipt of written notice to cease from Owner. 1. NONE. Hourly Rate Schedule Peaks Planning LLC The below standard hourly rates are subject to review and adjustment annually as of June 30, 2025. Hourly rates for services effective July 1, 2024. Principal Planner/Owner $165.00 63 3 Project Engineer $165.00* Project Assistant $75.00 Sub-Consultant Actual Cost Plus 15% *Project Engineer (Doug Whitney MIC) is not a sub-consultant for the purposes of this agreement. All invoices for MIC will follow the Peaks Planning and Consulting format, protocols and standards for submittal to the City of Laurel. 64 File Attachments for Item: 6. Budget Discussion 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101