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HomeMy WebLinkAboutAuthorize Memorandum of Understanding with Prospera and MT Dept. of Natural Resources_51 Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Brit Fontenot, Economic Development Director SUBJECT: Memorandum of Understanding (MoU) between the City of Bozeman (the “City”), the Prospera Business Network (“Prospera”), and the Montana Department of Natural Resources and Conservation (the “DNRC”) enabling Prospera to manage funds granted from the Big Sky Trust Fund (BSTF) for the completion of a preliminary engineering report (PER) for the North Park properties. This grant was awarded to Prospera and requires a match by both the City and the DNRC. MEETING DATE: June 24, 2013 AGENDA ITEM TYPE: Consent RECOMMENDATION: Authorize the City Manager to Sign the Memorandum of Understanding with the Prospera Business Network. BACKGROUND: For a complete history of the North Park project please refer to the following link: North Park Project. On January 19, 2013, the City Commission approved the North Park Concept Land Use Plan. One of the items under the Possible Next Steps section of the January 14, 2013 City Commission memo (p. 9, No. 2) was the completion of a PER. Through Prospera, the City and the DNRC jointly applied for a BSTF grant to assist in funding a PER on the North Park property. As part of the grant application, the City and the DNRC each committed a required match amount of $12,500. The North Park PER grant application was awarded $17,500 to partially fund the PER activities. (ATTACHMENTS 1 & 2) The MoU details the relationship between each organization for the fulfillment of the grant obligations, both management of the grant funds and the match requirements. (ATTACHMENT 3) The most recent Commission action on the North Park project was the May 13, 2013 public hearing wherein the Commission voted 5 – 0 to release an RFQ for realty services for the sale of the City-owned portion of North Park. One response was received by CTA Architects Engineers. If approved, CTA will be awarded the contract for the PER on North Park and work on the project will begin in earnest. The PER is an effort to answer as many questions as possible about the site development of the North Park property. When compiled with the market based concept land use plan, 56 2 marketing brochure and the Phase 1 Environmental Assessment and other due diligence type work performed by the City and the DNRC on the site, we have assembled an attractive due diligence package on the properties. The PER likely represents final piece of work that the City and the DNRC plan to perform on the project. UNRESOLVED ISSUES: None identified at this time. ALTERNATIVES: As determined by the Commission. FISCAL EFFECTS: The City of Bozeman has committed the match amount of $12,500 to the BSTF grant which will partially fund the PER. The City’s matching funds will be drawn from the Economic Development/Big Box Fund which currently has a balance of $22,000. Additionally, the DNRC has committed $12,500 to the PER and the BSTF has awarded $17,500 for a total available amount of $42,500 for the completion of the PER. Attachments: 1) BSTF grant application; 2) BSTF grant award letter; and 3) Memorandum of Understanding. Report prepared on June 13, 2013 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 88 1 MEMORANDUM OF UNDERSTANDING PURPOSE: This Memorandum of Understanding (MOU) is entered into the date of last signature set out herein below by and between the Montana Department of Natural Resources, whose address is P.O. Box 201601, Helena, MT 59620-1601 (hereinafter referred to as “DNRC”) , the City of Bozeman, whose address is P.O. Box 1230, Bozeman, MT 59771 (hereinafter referred to as “City”) and Prospera Business Network, (formerly known as the Gallatin Development Corporation, a non-profit corporation) whose address is 2015 Charlotte Street, Suite 1, Bozeman, MT 59718 (hereinafter referred to as “Prospera”) The specific purposes of this MOU are to: 1. Enable Prospera to manage the Big Sky Trust Fund grant that was issued to fund the preparation of a Preliminary Engineering Report (PER) to examine the development of the North Park Properties in Bozeman, Montana, for the benefit of both DNRC and the City. 2. Define the obligations and cooperative roles of the parties to this MOU in the development of the PER for the North Park Properties. 3. Plan for a cooperative funding budget for preparation of the PER. 4. Authorize both DNRC and the City to utilize the completed PER and own rights in the data gathered by the PER. PROJECT INFORMATION: The parties herein seek to produce a PER for the North Park Properties, an un-developed tract of land on the north of the City of Bozeman. This PER shall identify the contributing service area that may be served by the indicated utilities and roadway and roadway connections for the proposed phased development. With the defined service area, population and building projections must be estimated for a planning horizon defined by the City and the DNRC. Water demand and wastewater flows must be estimated, contributing stormwater basins identified, and roadway projections calculated based upon the development projections along with the DEQ and City approved design values and standards. All work must coordinated with City’s Engineering and Planning Divisions, along with MRL and MDoT and other public and private entities as appropriate. 89 2 DNRC AND THE CITY AGREE TO: 1. A project budget whereby they will contribute no more than $12,500, each, to this project. 2. Review and approve anticipated contract award amounts prior to Prospera awarding a contract to a third-party contractor, which shall produce the PER. 3. Provide input, data and review at each preparation stage of the PER. 4. Accept and pay invoices submitted from Prospera as a cooperative agent of the parties, subject to the fiscal limitations and terms and conditions of this MOU set out herein. 5. Notify Prospera at the earliest possible time of any foreseeable changes to the status or availability of project funding. It is understood and agreed that all payments described herein are subject to their availability by legislative appropriation and all the terms and condition of this MOU. PROSPERA AGREES TO: 1. Administer all required contracts as the agent of the parties associated with the project. 2. Provide oversight to ensure the project is completed according to the PER standards. 3. Provide DNRC and the City with all project contracts and invoices, if requested. 4. Deliver a completed PER to State of Montana Department of Commerce, State of Montana DNRC, and the City of Bozeman at the completion of this project. ALL PARTIES AGREE THAT: 1. IMPLEMENTATION. Contractor selection has been implemented through an open RFP process to comply with applicable State of Montana and City of Bozeman procurement laws. 2. RIGHT TO KNOW. Any information furnished under this instrument is subject to Montana’s right to know provision found at Article 2, Section 9 of the 1972 Montana Constitution, and this provision’s implementing legislation found in Title 2, Chapter 6 of the Montana Code Annotated. 3. MODIFICATION. Modifications within the scope of the instrument shall be made by mutual consent of the parties, by the issuance of a written modification, signed and dated by all parties, prior to any changes being performed. 90 3 4. COMMENCEMENT/EXPIRATION DATE. The instrument is executed as of the date of the last signature and is effective through calendar year 2013 at which time it will expire unless extended in writing. 5. TERMINATION. Either party may terminate the instrument in whole or in part at any time before the date of expiration by giving 30 days written notice to the other party. No party shall incur any new obligations for the terminated portion of the instrument after the effective date and shall cancel as many obligations as possible. Full credit shall be allowed for each Party’s expenses and all non-cancelable obligations properly incurred up to the effective date of termination. 6. PRINCIPAL CONTACTS. The principal contacts for this instrument are: DNRC Contact Prospera Project Contact Craig Campbell Stuart Leidner 2273 Boothill Ct., #110 2015 Charlotte Street Suite 1 Bozeman, MT 59715 Bozeman, MT 59718 Phone: Phone: 406-587-3113 FAX: FAX: E-Mail: E-Mail: sleidner@prosperabusinessnetwork.org City of Bozeman Contact Brit Fontenot Phone: FAX: E-Mail: 91 4 THE PARTIES HERE TO have executed this instrument: MONTANA DEPARTMENT OF NATURAL RESOURCES AND CONSERVATION Date: __________ __________________________________________ By:__________________, its__________________ THE CITY OF BOZEMAN Date: __________ __________________________________________ By:___________________, its_________________ PROSPERA BUSINESS NETWORK Date: June 12, 2013 __________________________________________ By: Stuart R. Leidner, its Executive Director 92