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HomeMy WebLinkAbout1992 10-13 EDAP Regular Session EDA AGENDA CITY OF BROOKLYN CENTER OCTOBER 13, 1992 (following adjournment of City Council meeting) 7 p.m. 1. Call to Order 2. Roll Call 3. Approval of Minutes: a. EDA Minutes - September 28, 1992 - Special Session 4. Resolutions: a. Authorizing Execution of Purchase Agreement for the Acquisition of 6601 Bryant Avenue North in Brooklyn Center and Authorizing Payment for Acquisition Costs b. Accepting Quotations and Awarding Contract for Demolition of 5206 Drew Avenue North 5. Adjournment CITY OF BROOKLYN CENTER council Meeting Date Octobcr 13.1992 Agenda Item Number — 3 REQUEST FOR COUNCIL CONSIDERATION ITEM DESCRIPTION: EDA MINUTES - SEPTEMBER 28, 1992 - SPECIAL SESSION DEPT. APPROVAL: Brad Hoffman, EDA Coordinator MANAGER'S REVIEWlRECONEIl IENDATION: No comments to supplement this report Comments below /attached • SUMMARY EXPLANATION: (supplemental sheets attached ) RECOMMENDED CITY COUNCIL ACTION • MINUTES OF THE PROCEEDINGS OF THE ECONOMIC DEVELOPMENT AUTHORITY OF THE CITY OF BROOKLYN CENTER IN THE COUNTY OF HENNEPIN AND THE STATE OF MINNESOTA SPECIAL SESSION SEPTEMBER 28, 1992 CITY HALL CALL TO ORDER The Brooklyn Center Economic Development Authority met in special session and was called to order by President Todd Paulson at 10.20 p.m. ROLL CALL President Todd Paulson, Commissioners Celia Scott, Jerry Pedlar, Dave Rosene, and Philip Cohen. Also present were City Manager Gerald Splinter, EDA Coordinator Brad Hoffman, Assistant EDA Coordinator Tom Bublitz, City Attorney Charlie LeFevere, Director of Planning and Inspection Ron Warren, and Council Secretary Nancy Berg. APPROVAL OF MINUTE SEPTEMBER 28, 1992 - SPECIAL SESSION There was a motion by Commissioner Scott and seconded by Commissioner Pedlar to approve the minutes of the September 14, 1992, EDA meeting, The motion passed unanimously. DISCUSSION ITEM. The City Manager prescntcd the Minnesota Housing Finance Agency (MHFA) Multi- Family Blighted Property Removal Program. He explained the 1992 legislature appropriated $750,000 to the MHFA for the acquisition and /or removal of blighted multi- family residential buildings. He further explained the grant funds can be used to acquire and demolish blighted multi - family properties. The Assistant EDA Coordinator recommended the application be targeted to the four boarded -up fourplexes in the 6700 block of Humboldt Avenue North. He further stated the deadline for submission of the grant request is October 26, 1992. Mr. Gene Ranieri with Publicorp stated the Program is limiting in that the houses would have to be replaced with the same type housing which is not always the best use of the property, 9/28/92 - 1 - Commissioner Rosene thanked Mr. Ranieri for his input and for staying until such a ]at hour. RESOLUTIONS The City Manager presented a resolution authorizing execution of purchase agreement for the acquisition of 5206 Drew Avenue North in Brooklyn Center and authorizing payment for acquisition costs. RESOLUTION NO. 92 -35 Member Celia Scott introduced tho following resolution and moved its adoption; RESOLUTION AUTHORIZING EXECUTION OF PURCHASE AGREEMENT FOR THE ACQUISITION OF 5206 DREW AVENUE NORTH IN BROOKLYN CENTER AND AUTHORIZING PAYMENT FOR ACQUISITION COSTS The motion for the adoption of the foregoing resolution was duly seconded by Member ,Terry Pedlar, and the motion passed unanimously. ADJOURNMENT There was a motion by Commissioner Cohen and seconded by Commissioner Pedlar to adjourn the meeting. The motion passed unanimously. The Brooklyn Center Economic Development Authority adjourned at 10:30 p.m. Todd Paulson, President Recorded and transcribed by: Nancy Berg Northern Counties Secretarial Services 9/28/92 -2, CITY OF BROOKLYN CENTER council Meeting Date October 13, 1992 Agenda Item Number REQUEST FOR COUNCIL CONSIDERATION ITEM DESCRIPTION: RESOLUTION AUTHORIZING EXECUTION OF PURCHASE AGREEMENT FOR THE ACQUISITION OF 6601 BRYANT AVENUE NORTH IN BROOKLYN CENTER AND AUTHORIZING PAYMENT FOR ACQUISITION COSTS DEPT. APPROVAL: Tom'$ublitz, Assistant EDA Coordinator MANAGER'S REVIEW/RECONBIENDATION: No comments to supplement this report Comments below /attached SUIVIrMIARY EXPLANATION: (supplemental sheets attached )Les EDA Resolution 92 -34 authorized EDA staff to make an offer of $43,000 for the single family property at 6601 Bryant Avenue North. This acquisition would be undertaken as part of the EDA's Scattered Site Acquisition Program. The original owner of the property is deceased and the property is currently in an estate. Negotiations for the acquisition are being conducted through Mr. Jon Perkins, the realtor representing the executor of the estate, and Mr. Glenn Froberg, attorney for the executor. The executor of the estate is located in the state of Pennsylvania. The executor of the estate has agreed to the $43,000 purchase price, and the terms of the enclosed purchase agreement. This acquisition is being undertaken as a voluntary acquisition, and staff is recommending Community Development Block Grant (CDBG) funds be used for the acquisition. RECOMMENDATION Staff recommends approval of resolution. Commissioner introduced the following resolution i n and moved its adoption: tion: EDA RESOLUTION NO. RESOLUTION AUTHORIZING EXECUTION OF PURCHASE AGREEMENT FOR THE ACQUISITION OF 6601 BRYANT AVENUE NORTH IN BROOKLYN CENTER AND AUTHORIZING PAYMENT FOR ACQUISITION COSTS WHEREAS, on September 14, 1992, the Brooklyn Center Economic Development Authority approved Resolution 92 -34, Resolution Authorizing the Acquisition of Certain Real Property Within the City of Brooklyn Center and Establishing Offer of Just Compensation for Said Property Located at 6601 Bryant Avenue North in Brooklyn Center; and WHEREAS, Resolution 92 -34 established the fair market value of the real property located at 6601 Bryant Avenue North and authorized the Economic Development Authority staff to make a written offer of $43,000.00 to the owner of the real property at 6601 Bryant Avenue North for the acquisition of the property; and WHEREAS, the owner of the real property described in Resolution 92 -34 has accepted the Economic Development Authority's offer of just compensation and has agreed to execute a purchase agreement for the acquisition of the real property; and NOW, THEREFORE, BE IT RESOLVED by the Brooklyn Center Economic Development Authority that: 1. The terms of the purchase agreement for acquisition of 6601 Bryant Avenue North in Brooklyn Center are hereby approved and the President and Executive Director of the Brooklyn Center Economic Development Authority are hereby authorized to execute the purchase agreement on behalf of the Brooklyn Center Economic Development Authority. 2. The Brooklyn Center Economic Development Authority hereby authorizes payment of $43,000.00 for the acquisition of 6601 Bryant Avenue North in Brooklyn Center to be paid to the owner on the day of closing for the property at 6601 Bryant Avenue North as per the terms of the purchase agreement. Date Todd Paulson, President EDA Resolution No. The motion for the adoption of the foregoing resolution was duly seconded by Commissioner and upon vote being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted. PURCHASE AGREEMENT This Purchase Agreement made this day of 1992, by and between Joyce V. Costello as executor of the estate for the deceased Charles Scheel, Owner(s) and Seller(s) (collectively the "Seller ") , and the Economic Development Authority in and for the City of Brooklyn Center, with offices at 6301 Shingle Creek Parkway, Brooklyn Center, Minnesota, Buyer. WITNESSETH: WHEREAS, Seller is the owner of that certain real estate described in paragraph 1 below (the "Subject Property "); and WHEREAS, Buyer desires to acquire the Subject Property to own in fee simple for redevelopment purposes; and WHEREAS, Seller agrees to sell the Subject Property to Buyer; NOW, THEREFORE, the parties hereto hereby agree as follows: 1. Earnest Money That in consideration of the mutual agreements herein contained and the sum of One Dollar and No Cents ($1.00) ( "Earnest Money ") paid by the Buyer to the Seller, the receipt of which is hereby acknowledged, the Seller hereby grants unto the buyer the exclusive right to purchase the Is following tract or parcel of land (Subject Property) situated in the County of Hennepin, State of Minnesota, to -wit. That part of Lot 43 lying easterly of a line running from a point in the north line thereof, distance 163.3 feet west from the northeast corner thereof, to a point in the south line thereof, distance 163.28 west from the southeast corner thereof except street, Lot 43, Auditor's Subdivision 310 to Hennepin County. PID #36- 119 -21 -24 -0009 2. Purchase Price The purchase price for the Subject Property shall be Forty -Three Thousand and No /100 Dollars ($43,000.00) payable by check on the Closing Date. The Earnest Money shall be applied as a partial pre - payment thereof. The Buyer, in its discretion and in partial payment of the purchase price, may assume or take title subject to any existing indebtedness encumbering the Subject Property, in which case the cash to be paid at the time of closing shall be reduced by the then remaining indebtedness. 3. Marketability of Title The Seller shall, within ten (10) days of the date of this Purchase Agreement, deliver to the Buyer all unrecorded instruments relating to interests in the 1 Subject Property, and abstract of title or a registered property abstract continued to the date of delivery and including proper searches for judgments, bankruptcies, state and federal tax liens, real estate taxes and special assessments, showing marketable title to the Subject Property in the Seller. After delivery of said abstract or registered property abstract, the Buyer shall have twenty (20) days for the examination thereof, and to deliver written objections, if any, to the Seller. Seller shall permit no additional encumbrances to be made upon the Subject Property between the date of this Purchase Agreement and the Closing Date. In the event that title to the Subject Property is found by the Buyer to be unmarketable, and cannot be made marketable by the Seller by the Closing Date, then, at the option of the Buyer, this Agreement shall be null and void, and the Earnest Money shall be refunded forthwith to the Buyer. 4. Closing Date The closing of the sale of Subject Property shall take place sixty (60) days after the date of this Purchase Agreement, or at such earlier or later date as may be mutually agreed upon by the Seller and Buyer. 5. Deed Delivered at Closing Seller agrees to give good and marketable title to Subject Property in fee - simple, together with all improvements, hereditaments and appurtenances thereunto belonging and all of the right, title and interest of the Seller in and to any streets or alleys adjoining or abutting thereon, and to convey the same by personal representative deed joined in by all individuals known collectively as Seller herein, and in form acceptable to counsel for Buyer. 6. Seller's Representations and Adjustments The Seller agrees to free the Subject Property from all taxes, assessments, leases, liens, and encumbrances and charges of any kind to the date of closing, except that it is agreed that all real estate taxes due and payable in the year of the Closing Date and all rents, utilities, insurance premiums on transferable policies and other income and expenses relating to the Subject Property, shall be pro -rated to Seller and Buyer as of the Closing Date. Seller warrants that there has been no labor or material furnished to the property for which payment has not been made. This warranty shall survive the delivery of the deed at closing. 7. Costs to Clear Title and Closing Costs If the Seller fails to clear title to the extent herein required, or to submit evidence of his ability to do so, and such failure continues for ninety (90) days after the notice of defects, the Buyer may clear title to the extent required and charge the cost of clearing to the Seller. All expenses of examination of title, recording the Seller's personal representative deed, transfer 2 taxes, documentary stamps, evidence of title, boundary survey and legal description of the Subject Property, and similar expense incidental to conveying the Subject Property to the Buyer shall be paid by the Buyer. 8. Exceptions to Marketable Title Seller shall convey marketable title to the Subject Property to the Buyer subject only to the following exceptions: a. Building and zoning laws, ordinances, State and Federal regulations. b. Reservation of any minerals or mineral rights to the State of Minnesota. C. Utility and drainage easements. 9. Possessions and Insurance Seller shall continue in possession of the Subject Property until the Closing Date, and shall maintain it in its present condition. On the Closing Date possession shall be transferred to the Buyer. Risk or loss from casualty or any liability incurred by or as a result of the use or contact with the Subject Property shall be the Seller's until delivery of possession to the Buyer as herein provided. 10. Personal Property On Closing Date, or vacation date, whichever is later, the Seller shall have removed from the Subject Property any and all personal property belonging to him. The Seller shall hold the Buyer harmless for the disposal of personal property left in or at the Subject Property by the Seller after the date of closing or date of vacation if later. 11. Entire Agreement; Amendments This Purchase Agreement constitutes the entire agreement between the parties and no other agreement prior to this Purchase Agreement or contemporaneous herewith shall be effective except as expressly set forth or incorporated herein. Any purported amendment hereto shall not be effective unless it shall be set forth in writing and executed by both parties hereto or their respective successors or assigns. 12. Binding Effect; Assignment This Purchase Agreement shall be binding upon and inure to the benefit of the parties hereto and their respective heirs,, executors, administrators, successors and assigns. Buyer shall not assign his rights and interest hereunder without notice to Seller except to the State of Minnesota, and Seller shall give notice to Buyer of assignment of its interests in the manner prescribed in paragraph 15 hereof. 13. Notice Any notice, demand, request or other communication which may or shall be given or served to or on Seller by Buyer 3 or to or on Buyer by Seller shall be deemed to have been g iven or served on the date the same is deposited in the United States mail, registered or certified, postage prepaid and addressed as follows: a. If to Seller: Joyce V. Costello, Personal Representative c/o Jon Perkins Edina Realty 7100 Brooklyn Boulevard Brooklyn Center, MN 55429 b. If to Buyer: Economic Development Authority in and for the City of Brooklyn Center 6301 Shingle Creek Parkway Brooklyn Center, MN 55430 With Copy To: Corrine Heine Holmes and Graven, Chartered 470 Pillsbury Center Minneapolis, MN 55420 14. Default by Buyer If title is marketable or is made marketable as provided herein and Buyer defaults in any of the agreements herein, Seller may cancel this agreement as provided by statute. 15. Default by Seller If title is marketable or is made marketable and Seller defaults in any of the agreements herein, Buyer may seek damages from Seller, including costs and reasonable attorney's fees or seek specific performance within six (6) months after such right of action arises. 16. Agency Disclosure Mr. Jon Perkins, a licensed real estate agent with the State of Minnesota, stipulates he is representing the Seller in this transaction. 4 IN WITNESS WHEREOF, the parties hereto have hereunto set their hands, the day and year first printed above. Seller Seller STATE OF MINNESOTA) ) SS. COUNTY OF HENNEPIN) On this the day of 1992, before me, a Notary Public, personally appeared and , known to me to be the persons whose names are subscribed to the within instrument and who executed the same for the purpose therein contained as their free and voluntary acts. Notary Public Buyer, Todd Paulson Its President Buyer, Gerald G. Splinter Its Executive Director STATE OF MINNESOTA) SS. COUNTY OF HENNEPIN) On this the day of , 1992, before me, a Notary Public, personally appeared and , known to me to be the persons whose names are subscribed to the within instrument and who executed the same for the purpose therein contained as their free and voluntary act. Notary Public 5 i CITY OF BROOKLYN CENTER Council Meeting Date OctoberI3. 1992 Agenda Item Number REQUEST FOR COUNCIL CONSIDERATION ITEM DESCRIPTION: RESOLUTION ACCEPTING QUOTATIONS AND AWARDING CONTRACT FOR DEMOLITION OF 5206 DREW AVENUE NORTH DEPT. APPROVAL: T m Bublitz, Assistant ED Coordinator MANAGER'S REVIEW/RECONEWENDATION: .0 ' ' {� �� No comments to supplement this report Comments below /attached • SU MLARY EXPLANATION: (supplemental sheets attached Yes Quotations for demolition of 5206 Drew Avenue North were requested from three (3) demolition companies: HRS Construction, Inc., Doty & Sons, Inc., and Veit and Company, Inc. Quotes were received from Doty & Sons, Inc., and Veit and Company, Inc. HRS Construction, Inc., indicated their current workload and schedule did not permit them to submit a quote on the demolition, but they would be interested in future demolition work for the City. Both HRS Construction, Inc., and Doty & Sons, Inc., have done demolition work for the City before and have performed very well. Veit and Company has not done demolition work for the City of Brooklyn Center, but they have done demolition work for the City of Brooklyn Park and, according to Brooklyn Park City staff, have performed very well for them. Staff is recommending acceptance of the quotation from Veit and Company, for demolition g P q Inc., of 5206 Drew Avenue North. A co of the contract for demolition is included with this request uest Q form. RECOMMENDATION Staff recommends approval of resolution. Commissioner introduced the following resolution and moved its adoption: EDA RESOLUTION NO. RESOLUTION ACCEPTING QUOTATIONS AND AWARDING CONTRACT FOR DEMOLITION OF 5206 DREW AVENUE NORTH WHEREAS, quotations were received for the demolition of 5206 Drew Avenue North; and WHEREAS, the following quotations were received: Company Name Ouote HRS Construction, Inc. no quote Doty & Sons, Inc. $4,825.00 Veit and Company, Inc. 3,691.00 NOW, THEREFORE, BE IT RESOLVED by the Economic Development Authority in and for the City of Brooklyn Center, that the quotation for demolition of 5206 Drew Avenue North submitted by Veit and Company, Inc., in the amount of $3,691.00, is hereby accepted; and the EDA Executive Director is hereby authorized to enter into a contract for demolition of the property described herein, contingent upon the EDA taking possession of the property. Date Todd Paulson, President The motion for the adoption of the foregoing resolution was duly seconded by Commissioner and upon vote being taken thereon, the following voted in favor thereof: and the following voted against the same: whereupon said resolution was declared duly passed and adopted. CONTRACT FOR SITE DEMOLITION 5206 DREW AVENUE NORTH BROOKLYN CENTER, MINNESOTA This Agreement made this day of , 1991, by and between Veit and Company, Inc. hereinafter called the CONTRACTOR, and the Economic Development Authority in and for the City of Brooklyn Center hereinafter called the OWNER, witnesseth: That the CONTRACTOR and OWNER for the consideration stated herein agree as follows: I Scope of Work The CONTRACTOR shall furnish all of the labor, materials and equipment and perform all of the work described in the Contract Documents for the following work: Site demolition at 5206 Drew Avenue North, Brooklyn Center, Minnesota The CONTRACTOR shall do everything required of this Agreement and the Contract Documents, and all work shall be done in the best and workmanlike manner. The CONTRACTOR shall make good, replace and renew, at his own cost and expense, any loss or damage to said work and adjacent properties and facilities during the performance of the work or prior to the final acceptance thereof by the OWNER and shall be wholly responsible for the performance and completion of such work. II Commencement and Completion of Work The CONTRACTOR shall commence work under this Contract after issuance of written Notice to Proceed and shall begin the work in accordance with the Specifications for Demolition, including paragraph number 3 in the Instructions to Bidders' section of the Specifications for Site Demolition. III The Contract Sum The OWNER shall pay the CONTRACTOR for the performance of this Contract the sum of $3,691.00 upon satisfactory completion of the work under this Contract in accordance with Specifications for Site Demolition. IV Insurance, Performance Bond and Indemnification This Contract shall be in full force and effect after execution hereof upon the filing and acceptance of the insurance documents and the performance bond as required in the Contract Documents. Said insurance documents shall be issued in accordance with the provisions of Sections 3 through 6 of the General Conditions of the Specifications for Site Demolition. The performance bond shall be enforceable by the OWNER. In addition to the kinds and amounts of insurance specified, the CONTRACTOR shall indemnify and hold harmless the OWNER, its officers and employees from all suits, actions or claims of any character brought a result of bodily injury to persons or of damage to property arising out of the CONTRACTOR'S negligent or otherwise wrongful act or omission, including breach of a specific contractual duty. V Contract Documents Contract Documents shall consist of the following component parts: 1. The Accepted Proposal of the Contractor 2. Specifications for Site Demolition 3. Addenda and Change Orders 4. This Instrument This instrument, together with the documents hereinabove mentioned, form the Contract; and they are as fully a part of the Contract as if hereto attached or herein repeated. IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed in duplicate as of the day and year first above written. In the presence of: CONTRACTOR: BY AND OWNER: Economic Development (SEAL) Authority in and for the City of Brooklyn Center BY Executive Director Economic Development Authority in and for the City of Brooklyn Center (Corporate Acknowledgment) STATE OF MINNESOTA) ) SS. COUNTY of HENNEPIN) On this day of , 1991, before me personally appeared and to me personally known, who, being each by me duly sworn, did say that they are respectively the President and the of the corporation named in the foregoing instrument, and that the seal affixed to said instrument is the corporate seal of said corporation by authority of its Board of and said and acknowledged said instrument to be the free act and deed of said corporation. Notary Public My commission expires (Non- corporate acknowledgment) STATE OF MINNESOTA) ) ss. COUNTY OF HENNEPIN) On this day of , 1991, before me personally appeared to me personally known, who being duly sworn, did say that he is the of the company named in the foregoing instrument, and the said acknowledged said instrument to be the free act and deed of said company. Notary Public My commission expires STATE OF MINNESOTA) ) BS. COUNTY OF HENNEPIN) .On this day of , 1991, before me a Notary Public within and for said County, personally appeared to me personally known who, being by me duly sworn, did say that he is the Executive Director of the Economic Development Authority in and for the City of Brooklyn Center (EDA), and the seal affixed to the foregoing instrument is the seal of said EDA, and that said instrument was signed and sealed in behalf of the Economic Development Authority in and for the city of Brooklyn Center by the authority of its Board of Commissioners and said Executive Director acknowledged said instrument to be the free act and deed of the Economic Development Authority in and for the City of Brooklyn Center. Notary Public My commission expires PROPOSAL FORM SITE DEMOLITION AT 5206 DREW AVENUE NORTH BROOKLYN CENTER, MINNESOTA OWNER Brooklyn Center Economic Development Authority 6301 Shingle hingle Creek Parkway Brooklyn Center, MN 55430 TO: The Brooklyn Center Economic Development Authority: The undersigned has examined the project documents, including the instructions to bidders, general contract conditions, special contract conditions, is familiar with the site and location of the project, the nature of the work and local conditions affecting the cost of the work and hereby proposes to furnish all equipment, labor, materials and supervision to complete the work, in accordance with the specifications contained herein, for the sum of $ _''3: It is understood by the undersigned that the right is reserved by the owner to reject any or all quotes and to waive irregularities and formalities in order to serve the best interests of the owner. If this quote is accepted, the undersigned agrees to promptly furnish a performance bond in the full amount of the contract award within ten (10) days of the contract award. Respectfully submitted,1� Bidder is Corporat' „) (Part rship) (Individual) r Firm :. By Title Address LET �J2c.f ��— ZIP Code Telephone hlZ SPECIFICATIONS FOR SITE DEMOLITION 5206 DREW AVENUE NORTH BROOKLYN CENTER, MINNESOTA INSTRUCTIONS TO BIDDERS 1. Quotations will be received by the Brooklyn Center Economic Development Authority (owner) at: Brooklyn Center Economic Development Authority Attention: Tom Bublitz City of Brooklyn Center 6301 Shingle Creek Parkway Brooklyn Center, MN 55430 until 4:30 p.m., October 8 1992, for site demolition at 5206 Drew Avenue North Brooklyn Center, Minnesota. 2. Each contractor shall carefully examine specifications and fully inform himself of the nature, location and conditions under which the work is to be performed, and if awarded a contract, shall not be allowed extra compensation because of failure to have so informed himself. Contractors shall not rely upon statements or representations of officers or employees of the owner with reference to the site or the conditions of the work. Contractors are invited to visit and inspect the site. Contact Tom Bublitz, Assistant EDA Coordinator, at 569 -3433 to arrange a visit. 3. Work under this contract is to begin on or about October 22, 1992. The contractor shall complete the work by November 13, 1992. GENERAL CONDITIONS 1. ACCEPTANCE OF PROPOSAL The Brooklyn Center Economic Development Authority reserves the right to accept or reject any or all proposals wherein the acceptance or rejection of such would be in the best interests of the Brooklyn Center Economic Development Authority. 2. PERFORMANCE BOND The successful bidder shall be required to furnish a performance bond in the full amount of the contract award within ten (10) days of the contract award and prior to the commencement of work. 3. INSURANCE Prior to commencement of work under this contract, certificates of all insurance, in an acceptable form (ACORD) to the Brooklyn Center Economic Development Authority, shall be submitted by the contractor. -1- A. Liability Insurance 1) Required insurance and amounts as follows: a. Commercial General Liability, including the following: Premises /Operations Coverage Products /Completed Operations Independent Contractors Liability Contractual Liability Coverage, to comply with Indemnification Agreement under Section 3.D Indemnification. Limits of Liability shall not be less than: $1,000,000 Each Occurrence $2,000,000 General Aggregate $2,000,000 Products /Completed Operations Aggregate Combined Single Limits for Bodily Injury and Property Damage Liability b. Business Automobile, including the following: All Owned Automobiles Hired Automobiles Employer's Nonownership Liability Limits of Liability: $1,000,000 Each occurrence combined single limit for bodily injury and property damage. Statutory for personal injury protection C. Workers' Compensation coverage to include all employees and employees of any subcontractor should such subcontractor not carry Workers' Compensation insurance. Limits of Liability shall not be less than: Coverage A: Statutory Coverage B: Bodily Injury by Accident $100,000 Each Accident Bodily Injury by Disease $100,000 Each Person $500,000 Policy Limit 2) The policy shall be a standard form policy provided for by a carrier with certificate of authorization by the State of Minnesota and shall not contain any exclusions that will restrict coverage on any operations performed by this contractor or any subcontractor thereof. 3) The policy or policies shall afford contractual liability coverage to provide coverage for the Indemnification Agreement set out in Section 3.D Indemnification. 4) It is a condition of the contract that the policy or policies waive any or all governmental immunity as a defense in any action brought against the insured or any other party to the contract, up to policy limits. 5) Acceptance of the insurance by the Brooklyn Center Economic Development Authority (EDA) shall not in any way relieve or decrease the liability of the contractor hereunder, and it is expressly understood that the EDA does not in any way represent -2- that the above specified insurance or limits of liability are sufficient or adequate to protect the contractor's interest or liabilities. 6) In the event of cancellation or nonrenewal of any of the policies, the company issuing the Certificate of Insurance shall provide 30 days Prior written notice to the EDA, and all wording that limits this requirement shall be eliminated. Failure to do so shall impose obligation and /or liability upon the issuing company. Certificate of Insurance forms shall be drafted or altered to reflect these conditions. B. Deductibles All responsibility for payment of sums resulting from any deductible provision, corridor or self- insured retention conditions of the policy or policies shall remain with the contractor. C. Errors and Omissions Any insurance agent that provides coverage for this contract shall have in force Errors and Omission coverage with limits of not less than $1,000,000 occurrence and $1,000,000 aggregate. D. Indemnification The contractor shall indemnify and hold harmless the Brooklyn Center Economic Development Authority, the City, its elected officials, commissioners either elected or appointed, officers, agents and /or employees from and against all claims, damages, losses or expenses, including attorney fees, for which they may be held liable, arising out of or resulting from the assertion against them of any claims, debts or obligations resulting from or arising out of directly or indirectly, the performance of this contract by the contractor, his employees, agents or subcontractors. 4. OWNER'S RIGHT TO TERMINATE CONTRACT Failure by the contractor to comply with any section of the contract documents may result in the termination of the contract with 48 hours written notice from the owner. 5. PROSECUTION OF WORK Contractor shall furnish all equipment, labor, materials and supervision to perform all work in accordance with the specifications. The work shall commence on the day stated in item number 3 in the Instructions to Bidders and shall continue until completed on or before the completion date specified in item number 3 in the Instructions to Bidders. Failure to do so may result in the termination of the contract with 48 hours written notice from the owner. The following circumstances will, at the owner's discretion, be considered legitimate cause for a change in the start or completion date: A. Adverse weather conditions that directly affect the scheduling or completion of work under the contract. Contractor must contact owner for acceptance of extension of time due to weather. B. Change Orders - Significant changes in the original scope of work which can be reasonably shown to require an extension of the completion time. -3- 6. PERMITS AND /OR LICENSES The contractor shall, 1 t his own expense, procure all re e P P required licenses and permits, including a demolition permit from the City of Brooklyn Center; pay all charges and fees; and give all notices necessary and incidental to the due and lawful prosecution of the work. When requested, the contractor shall furnish the owner with evidence indicating that he has complied with the permit requirements. 7. FINAL CLEAN UP Before final acceptance of the site, the contractor shall remove all surplus and discarded materials, equipment and rubbish; and all parts of the work shall be left in a condition acceptable to the owner. 8. CONDITION OF SITE The Brooklyn Center Economic Development Authority assumes no responsibility for the condition of the site or the buildings or structures on the site nor the continuance in the existing condition after the award of contract. All damage or loss by reason of fire, theft or other casualties to the building and structures shall be at the risk of the contractor, and no damage or loss shall relieve the successful contractor from any obligations under his proposal following the award of the contract. 9. PROTECTION AND RESTORATION OF PROPERTY AND LANDSCAPE The contractor shall assume full responsibility for all damages to property of any character, resulting from any act, omission, neglect or misconduct in the execution or nonexecution of the work. To the extent of his liability, and at his own expense, the contractor shall restore damage to property to a condition similar or equal to that existing before the damage was done, by repairing, rebuilding or replacing it as directed, or he shall otherwise make good the damage in a manner acceptable to the owner. 10. PRE - CONSTRUCTION MEETING Subsequent to the award of the contract for work or notice to proceed, a pre- construction meeting will be held to review all items which will affect the proper execution and expediting of the work. The meeting shall be attended by qualified persons representing the contractor and the owner. SPECIAL CONDITIONS 1. RESTORATION PROCEDURES All work shall comply with applicable rules and regulations of the Minnesota Pollution Control Agency, Hennepin County Solid Waste Disposal Ordinances and all requirements of the City of Brooklyn Center. It shall be the contractor's responsibility to become knowledgeable with regard to all applicable rules and regulations. The contractor shall demolish all building and structures and remove all debris along with any existing debris on the site. This will include, but is not limited to, steps, walks, driveways, foundations, basement walls, basement floors or concrete surface slabs, and miscellaneous debris found on the site. All materials removed, other than utility -owned fixtures, and debris resulting from the clean -up operations, shall become the property of the contractor and disposed of by him in an approved public landfill. -4- All depressions resulting from structure removals, basement excavations, grubbing operations and other causes shall be backfilled and compacted with approved fill material. Six (6) inches of pulverized and screened black dirt shall be placed on any areas of the property disturbed by the demolition to finish in reasonable close conformity with the established grades. The area upon which the black dirt is placed shall also be seeded with grass seed. 2. CITY OF BROOKLYN CENTER REQUIREMENTS FOR WATER AND SANITARY SEWER DISCONNECTION The sanitary sewer services shall be cut off at the property line, and the sewer capped with Fernco (or equivalent) coupling and cap and concrete thrust block. Mark with 4 -inch x 4 -inch post. Water services shall be disconnected at the property line. Water service shall be shut off at the curb stop. Disconnect water line at the curb stop (house side). Install one -foot section of 3/4 -inch copper pipe, crimped and silver soldered, to house side of curb stop. Mark with 4 -inch x 4 -inch post. The City shall require notification prior to service removal so accurate ties can be obtained at all cut -off locations. 3. OTHER UTILITIES Termination of gas, electric, telephone or water service shall be completed by or supervised by the utility company or unit owning the service. The successful bidder shall also secure the necessary permits for such work from the proper authority. Electric, telephone, cable television and other wires shall be disconnected in strict accordance with the rules and regulations of the utility and City ordinances. All expenses arising from or in conjunction with the performance of the provisions of this paragraph shall be borne by the successful bidder. All utility terminations shall be completed and shall be approved by the owner prior to issuance of a demolition permit by the City. 4. SALVAGE MATERIAL All salvage material and /or debris shall be removed from the premises as soon as possible and shall not be stored on the site. 5. STORAGE OF EQUIPMENT The contractor shall not store any equipment on the demolition site except during the time period from start to completion of the contract work. All equipment shall be removed from the site prior to final payment. 6. HOURS OF WORK Work under the contract shall be conducted during normal business hours Monday through Friday but in no case shall the work begin prior to 7 a.m. nor after 6 p.m. No work shall be done on Saturday or Sunday. 7. DEBRIS AND DUST CONTROL During the contract period (start to completion) , the contractor shall keep debris and dust from the demolition work on site as much as is reasonably practicable by whatever means necessary. -5- 8. FINAL ACCEPTANCE Upon due notice from the contractor that all work has been completed on the site, the owner will make an inspection of the site. If any work is found unsatisfactory or incomplete, instructions for correction will be issued and another inspection will be made after receiving notice that the instructions have been carried out. When final inspection reveals that all work has been completed in accordance with the terms of the contract, the owner will so notify the contractor. The workmanship will then be accepted forthwith relieving the contractor of further responsibility therefore. 9. PAYMENT Payment shall be made to the contractor upon acceptance of the contract work by the owner and receipt of payment request by the contractor. No partial payments shall be made. All claims for payment in excess of the contract amount shall be documented by written authorization from the owner. The owner shall not allow any claims for payment in excess of the contract amount after final payment is accepted by the contractor. -6-