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HomeMy WebLinkAbout06.29.18 Special Council Packet City of Fani*igton Mission Statement 430 Third Street Through teamwork and Farmington,MN 55024 cooperation, the City of Farmington provides quality services that preserve our proud past and foster a promising future. FARMINGTON CITY COUNCIL AGENDA CITY COUNCIL SPECIAL MEETING June 29, 2018 1:00 PM Farmington City Hall 1. CALL TO ORDER 2. PLEDGE OF ALLEGIANCE 3. ROLL CALL 4. APPROVE AGENDA 5. ANNOUNCEMENTS/COMMENDATIONS 6. CITIZEN COMMENTS/RESPONSES TO COMMENTS (This time is reserved for citizen comments regarding non-agenda items.No official action can be taken on these items. Speakers are limited to five minutes to address the Council during citizen comment time.) 7. CONSENT AGENDA (a) Appointment Recommendation Fire Department-Human Resources (b) Approve Seasonal Hiring-Human Resouces (c) Acknowledge Resignation Finance-Human Resources (d) Acknowledge Resignation Liquor Operations-Human Resources REGULAR AGENDA (The City Council takes a separate action on each item on the regular agenda.If you wish to address the City Council regarding any or all of the items on the regular agenda,please address the item when the item is discussed. Speakers will be given at least three minutes to speak per item.Additional time may be granted to speakers representing two or more persons.) 8. PUBLIC HEARINGS 9. AWARD OF CONTRACT 10. PETITIONS, REQUESTS AND COMMUNICATIONS 11. UNFINISHED BUSINESS 12. NEW BUSINESS (a) Contract for Construction of Akin Road Drainage Improvements (b) Development Contract for Express Auto (c) 821 Third Street Redevelopment 13. CITY COUNCIL ROUNDTABLE 14. ADJOURN .„;(41146%.\\ City of Farmington a - c 430 Third Street oe Farmington, Minnesota 4.1 651.280.6800 -Fax 651.280.6899 "' •4 www.ci.farmington.mn.us TO: Mayor, Councilmembers and City Administrator FROM: Brenda Wendlandt, Human Resources Director SUBJECT: Appointment Recommendation Fire Department-Human Resources DATE: June 29, 2018 INTRODUCTION The recruitment and selection process for the appointment of a paid on-call firefighter in the Fire Department has been completed. DISCUSSION After completing testing and a thorough review by the Fire Department and the Human Resources Office, a contingent offer of employment has been made to Tristen Zeimet, subject to ratification by the city council. Mr. Zeimet meets the qualifications for this position. BUDGET IMPACT Fire fighters are paid an hourly rate of$12.50 per hour for all training and call hours. Funding for this position is authorized in the 2018 budget. ACTION REQUESTED Approve the appointment of Mr. Tristen Zeimet as a paid on-call firefighter in the Fire Department effective on July 16, 2018 . oFkCity of Farmington 430 Third Street Farmington, Minnesota 651.280.6800 -Fax 651.280.6899 "�Sr•,�mow www.ci.farmington.mn.us TO: Mayor, Councilmembers and City Administrator FROM: Brenda Wendlandt, Human Resources Director SUBJECT: Approve Seasonal Hiring-Human Resouces DATE: June 29, 2018 INTRODUCTION The recruitment and selection process for the appointment of the attached list of seasonal staff has been completed. DISCUSSION After a thorough review by the Parks and Recreation Department and the Human Resources Office, offers of employment have been made to the individuals show on the attached spreadsheet, subject to a pre- employment drug test and ratification by city council. BUDGET IMPACT These positions are included in various departmental budgets. ACTION REQUESTED By motion approve the attached seasonal employment recommendations. ATTACHMENTS: Type Description D Backup Material Seasonal Staffing 2018 Spring/Summer Seasonal Staff 2017-18 Name Pay Rate Pos/Step RECREATION STAFF Cali Shoyay $ 10.75 Step 1 -Skating Instructor Braedon Kelly $ 9.86 Step 1 - Recreation Assistant Soren Vigesaa $ 9.86 Step 1 - Recreation Assistant City of Farmington ,A49 430 Third Street Farmington, Minnesota 11/4651.280.6800 -Fax 651.280.6899 �,.4 ,,. www.ci.farmington.mn.us TO: Mayor, Councilmembers and City Administrator FROM: Brenda Wendlandt, Human Resources Director SUBJECT: Acknowledge Resignation Finance-Human Resources DATE: June 29, 2018 INTRODUCTION The city has received notice that Ms. Kristin Dodson will be resigning from her position as administrative support technician. DISCUSSION The Human Resources Office received notification that Ms. Kristin Dodson will be resigning from her position effective June 27, 2018. Ms. Dodson has been with the city since July of 2016 and has been a valuable member of the organization. The city appreciates her commitment to the organization and wishes her well in her future endeavors. BUDGET IMPACT NA ACTION REQUESTED Acknowledge the resignation of Ms. Kristin Dodson effective June 27, 2018. �.��1A i r City of Farmington �.. Q 430 Third Street Farmington, Minnesota 651.280.6800 -Fax 651.280.6899 'fir.4 www.ci.farmington.mn.us TO: Mayor, Councilmembers and City Administrator FROM: Brenda Wendlandt, Human Resources Director SUBJECT: Acknowledge Resignation Liquor Operations-Human Resources DATE: June 29, 2018 INTRODUCTION The city has received notice that Ms. Tesa Andrson has resigned from her position as a part-time liquor clerk. DISCUSSION The Human Resources Office received notification that Ms. Tesa Anderson has resigned from her position effective May 15, 2018. Ms.Anderson has been with the city since August 2017 and has been a valuable member of the organization. The city wishes her well in her future endeavors. BUDGET IMPACT NA ACTION REQUESTED Acknowledge the resignation of Ms. Tesa Anderson effective May 15, 2018. o���► i City of Farmington 430 Third Street Farmington, Minnesota 651.280.6800 -Fax 651.280.6899 *..,, PROOIr' www.ci.farmington.mn.us TO: Mayor, Councilmembers and City Administrator FROM: Matt Decur,Assistant City Engineer SUBJECT: Contract for Construction of Akin Road Drainage Improvements DATE: June 29, 2018 INTRODUCTION As part of City Project 15-01 (195th Street-Flagstaff Avenue to Diamond Path), storm water runoff was routed onto property owned by the Bible Baptist Church, causing drainage concerns on the property. In cooperation with Dakota County and Bible Baptist Church, the city developed plans to reroute runoff through a new storm sewer system to the city owned wetland south of Bible Baptist Church. The plan includes construction of curb and gutter on the east side Akin Road adjacent to the church property, and construction of storm sewer stubs for future connection by the church. DISCUSSION An advertisement for bids was posted on June 6, 2018. Bids will be opened at 10:00 a.m. on June 27, 2018. A summary of bids and recommendation from staff will be presented to the city council at the meeting. The city council approved a joint powers agreement(JPA)with Dakota County for the project at the June 4, 2018 city council meeting. The JPA established a 55% County/45% City cost share for the project with county costs capped at$105,950. The Engineer's Estimate of Costs for the project is $205,040. City costs are estimated at$99,090. BUDGET IMPACT The project was anticipated to be funded from the Stormwater Trunk Fund reserve. The fund currently has a balance of$832,245 and will have additional revenue from interfund loan repayments. ACTION REQUESTED Accept bids and authorize a contract based on staff recommendation presented at the meeting funded from the Stormwater Trunk Fund. This project uses a long standing partnership with Dakota County and is a fiscally excellent approach to providing high quality core government services. ATTACHMENTS: Type Description D Backup Material. Project Map AKIN ROAD DRAINAGE IMPROVEMENTS OVERVIEW MAP f i .^ 4 `}auw yt. '*.aruri ti .,/ ,\,, \\\: 1 9690 Bible Baptist Church 19643 \ 19700 19700 r v le i :, i �� pp,� • 19687 -9I i IL } \\\ r. N. • Legend Proposed Storm Easement 19691 I Proposed Storm Easement . 4 -4 -ConstructionLimits 4 • Existing Catch Basin Manhole • Proposed Catch Basin Manhole A Proposed Flared End Section 19715 • Remove Catch Basin i A Remove Flared End Section ' ii ••••6 Proposed Storm Sewer Pipe Proposed Curb and Driveway --•�•• New Proposed Permanent Easement 1 9725 - Property Line I \I Old Proposed Exception Area 9629 1 ` Dakota Count'GIS N 0 62.5 125 250 375 500oFEaRM/yam Feet , z,, This drawing is neither a legally recorded map nor a survey and is not intended to be used as one. This drawing is a compilation of records, '` Date: 3/12/2018 information,and data located in various city,county,and state offices and other sources and is to be used for reference purposes only. • '� The city of Farmington is not responsible for any inaccuracies herein contained. o� aR i , City of Farmington y :9 430 Third Street Farmington, Minnesota 651.280.6800 -Fax 651.280.6899 N.i., 4no001P www.ci.farmington.mn.us TO: Mayor, Councilmembers and City Administrator FROM: Matt Decur,Assistant City Engineer SUBJECT: Development Contract for Express Auto DATE: June 29, 2018 INTRODUCTION John Mesenbrink of Mesenbrink Construction& Engineering, Inc. has submitted a site plan for Express Auto on Lots 1 and 2, Block 1, and Lots 1-3, Block 2, Farmington Business Park. The site plan proposes a 27,337 square foot office and truck terminal building on Block 1; and a paved vehicle storage lot on Block 2. The City of Farmington Planning Commission approved the site plan at its April 12, 2018 meeting. Utility easements in Block 1 were vacated by the city council at the meeting on May 21, 2018. DISCUSSION A development contract, establishing requirements for public improvements to be installed by the Developer, is attached for city council consideration. The developer has proposed to expand a storm water basin constructed with the Farmington Business Park development in order to meet storm water requirements for Express Auto. The developer will also connect to sewer and water stubs and construct driveway entrances on Canton Court and Canton Circle. BUDGET IMPACT N/A ACTION REQUESTED Approve the attached development contract and authorize its execution. ATTACHMENTS: Type Description D Contract Development Contract D Backup Material Site Plan Receipt:#582597 3281473 DEV $46.00 IIIIII Return to: III VIII VIII II IIHIIIIIIII VIIIA III CITY OF FARMINGTON Recorded on:11/20/2018 2:00 PM 430 THIRD ST FARMINGTON MN 55024 By:DDW,Deputy Office of the County Recorder Dakota County,Minnesota Joel T.Beckman,County Recorder DEVELOPMENT CONTRACT AGREEMENT dated , 2018, by, between, and among the City of Farmington, a Minnesota municipal corporation'CITY) and Mesenbrink Construction and Engineering, Inc., an Minnesota limited liability corporation (DEVELOPER). 1. Background. A. The Developer owns property in the City of Farmington, County of Dakota, State of Minnesota, and is legally described Lots 1 and 2, Block 1, and Lots 1, 2, and 3, Block 2, Farmington Business Park, Dakota County, Minnesota(hereinafter referred to as the"Subject Property"). B. The Developer has submitted a site plan for construction of a truck maintenance and vehicle storage facility on the Subject Property, construction of driveways on Canton Court and Canton Circle, and stormwater improvements on Lot 1,Block 2,Farmington Business Park. 2. Conditions of Approval. This Agreement is a condition of City approval and will be recorded against the subject property. Approval of the development is also subject to the following conditions: A. The Developer shall have recorded a permanent Drainage &Utility easement benefitting the City as described in the Plans. 4. Plans. The subject property shall be developed in accordance with the following plans on file with the City. Plans shall not be attached to this Agreement. If the plans vary from the written terms of this agreement, the written terms shall control. The Plans are: Plan A—Site Plan Plan B—Grading,Drainage,Erosion Control,and Utility Plan 5. Easements. The Developer shall furnish the City, at the time of execution of this Agreement, with the easement designated on the Plans. All existing easements dedicated with the Farmington Business Park plat shall remain,except the easements on Lot 1 and 2,Block 1 vacated by City Council on May 21,2018. 6. Sanitary Sewer. Sanitary sewer service will be extended to the truck maintenance building from an existing service stub in Canton Court. The Sanitary Sewer Connection Charge shall be collected prior to issuance of the building permit. 7. Watermain. The existing private water service in Canton Court will be extended into the subject property to provide water and fire suppression to the proposed truck maintenance building. The Water Connection Charge shall be collected prior to issuance of the building permit. 8. Drainage and Grading. The Development adds over one acre of new impervious surface, which is over the threshold of the permitting requirements of the MPCA Construction General Permit with respect to water quality volume. The parent parcels were included in the stormwater management facilities constructed with the Farmington Business Park development. Increased MPCA requirements require the Developer to construct additional stormwater management facilities. The proposed stormwater management plan consists of expansion of an existing stormwater basin in Lot 1, Block 2, Farmington Business Park. Impervious surfaces constructed with the development will runoff to existing storm 187307v2 1 sewer and drainage swales, which drain to the existing and proposed stormwater facilities in the Farmington Business Park. 9. Permits. The Developer shall obtain or require its contractors and subcontractors to obtain all necessary permits, which may include but are not limited to: A. Dakota County for County Road Access and Work in County Rights-of-Way B. MnDOT for State Highway Access and Work in State Rights-of-Way C. MPCA NPDES Permit for Construction Activity D. MPCA for Sanitary Sewer and Hazardous Material Removal and Disposal E. DNR for Dewatering F. City of Farmington for Building Permits G. City of Farmington for Retaining Walls 10. Dewatering. Due to the variable nature of groundwater levels and stormwater flows, it will be the Developer's and the Developer's contractors and subcontractors responsibility to satisfy themselves with regard to the elevation of groundwater in the area and the level of effort needed to perform dewatering and storm flow routing operations. All dewatering shall be in accordance with all applicable county, state and federal rules and regulations. DNR regulations regarding appropriations permits shall also be strictly followed. 11. Grading Plan. The Development shall be graded and drainage provided by the Developer in accordance with the approved Erosion and Sediment Control Plan and Grading Plan,Plan B. The plan shall conform to the City of Farmington Engineering Guidelines. Within thirty (30) days after completion of the grading and before the City approves individual building permits. The Developer shall provide the City with an "as-built" grading plan certified by a registered land surveyor or engineer that all stormwater treatment/infiltration basins and swales, have been constructed on public easements or land owned by the City. The"as-built"plan shall include field verified elevations of the following: A)cross sections of stormwater treatment/infiltration basins; b) location and elevations along all swales, wetlands, wetland mitigation areas if any,locations and dimensions of borrow areas/stockpiles, and installed"conservation area:posts; and c) lot corner elevations and house pads,and all other items listed in City Code. If the Developer needs to change grading affecting drainage the changes cannot take place until the City Engineer has approved the proposed grading changes. A MPCA Construction Storm Water Permit must be obtained before any grading can commence on the site. 12. Erosion and Sediment Control. Prior to initiating site grading, the erosion and sediment control plan, Plan B, shall be implemented by the Developer and inspected and approved by the City. The City may impose additional erosion and sediment control requirements if it is determined that the methods implemented are insufficient to properly control erosion and sedimentation. All areas disturbed by the grading operations shall be stabilized per the MPCA Stormwater Permit for Construction Activity. Seed shall be in accordance with the City's current seeding specification which may include temporary seed to provide ground cover as rapidly as possible. All seeded areas shall be fertilized, mulched and disc anchored as necessary for seed retention. The parties recognize that time is of the essence in controlling erosion and sedimentation. If the Developer does not comply with the MPCA Stormwater Permit for Construction Activity or with the erosion and sediment control plan and schedule, or supplementary instructions received from the City, or in an emergency determined at the sole discretion of the City, the City may take such action as it deems appropriate to control erosion and sedimentation immediately,without notice to the Developer. The City will endeavor to notify the Developer in advance of any proposed action, but failure of the City to do so will not affect the Developer's and the City's rights or obligations hereunder. If the Developer does not reimburse the City for any costs the City incurred for such work within thirty (30) days, the City may draw down the security to pay such costs. No development, utility or street construction will be allowed and no building permits will be issued unless the Development is in full compliance with the erosion and sediment control requirements. 13. Landscaping. The landscaping shall be accomplished in accordance with a time schedule approved by the City. The Developer shall be solely responsible for the installation of all project landscaping. All graded areas, including finish grade,will require a minimum of 6"of black dirt/topsoil. 14. Clean Up. The Developer shall, within twenty-four (24) hours, clear from the public streets any soil, earth or debris resulting from construction work by the Developer or its agents or assigns. Any soil, earth or debris resulting from construction work by the Developer or its agents or assigns on other property shall be removed weekly or more often if required by the City Engineer. All debris,including brush,vegetation,trees and demolition materials, shall be disposed of 187307v2 2 off site. Burning of trees and structures shall be prohibited, except for fire training only. The City will have the right to clean the streets as outlined in current City policy. The Developer shall promptly reimburse the City for street cleaning costs. 15. License. The Developer hereby grants the City, its agents, employees, officers and contractors, a license to enter the Subject Property to perform all necessary work and/or inspections deemed appropriate by the City during the installation of public improvements. The license shall expire after the public improvements installed pursuant to the Development Contract have been installed and accepted by the City. 16. Time of Performance. The Developer shall install all required public utilities,by October 31,2018.The Developer may, however, request an extension of time from the City, which the City will not unreasonably withhold. If an extension is granted, it shall be conditioned upon updating the security posted by the Developer to reflect cost increases. An extension of the security shall be considered an extension of this Contract and the extension of the Contract will coincide with the date of the extension of the security. 17. Ownership of Improvements. Upon the completion of the Improvements and written acceptance by the City Engineer, the Improvements lying within public easements shall become City property, except for cable TV, electrical, gas, and telephone,without further notice or action. 18. Building Permits. A. Prior to the release of the required grading and erosion control security that is submitted with this Contract, an as-built certificate of survey must be submitted to verify that the final as-built grades and elevations and all building setbacks are consistent with the approved grading plan for the development, and amendments thereto as approved by the City Engineer, and that all required property monuments are in place. If the fmal grading, erosion control and as-built survey is not timely completed, the City may enter the lot, perform the work, and apply the cash escrow toward the cost. Upon satisfactory completion of the grading, erosion control and as-built survey, the escrow funds, without interest,less any draw made by the City, shall be returned to the person who deposited the funds with the City. B. Only construction of noncombustible materials shall be allowed until the water system is operational. C. If permits are issued prior to the completion and acceptance of public improvements, the Developer assumes all liability and costs resulting in delays in completion of public improvements and damage to public improvements caused by the City,Developer,its contractors,subcontractors,materialmen, employees,agents or third parties. D. Retaining walls that require a building permit shall be constructed in accordance with plans and specifications prepared by a structural or geotechnical engineer licensed by the State of Minnesota. Following construction, a certification signed by the design engineer shall be filed with the building official evidencing that the retaining wall was constructed in accordance with the approved plans and specifications. All retaining walls identified on the development plans and by special conditions referred to in this contract shall be constructed before any other building permit is issued for a lot on which a retaining wall is required to be built. 19. Insurance. Developer and its general contractor shall furnish to the City a certificate of insurance showing proof of the required insurance required under this paragraph. Developer and its general contractor shall take out and maintain or cause to be taken out and maintained until six (6) months after the City has accepted the public improvements, such insurance as shall protect Developer and its general contractor and the City for work covered by the Contract including workers' compensation claims and property damage, bodily and personal injury which may arise from operations under this Contract, whether such operations are by Developer and its general contractor or anyone directly or indirectly employed by either of them. The minimum amounts of insurance shall be as follows: Commercial General Liability(or in combination with an umbrella policy) $2,000,000 Each Occurrence $2,000,000 Products/Completed Operations Aggregate $2,000,000 Annual Aggregate The following coverages shall be included: Premises and Operations Bodily Injury and Property Damage Personal and Advertising Injury 187307v2 3 Blanket Contractual Liability Products and Completed Operations Liability Automobile Liability $2,000,000 Combined Single Limit—Bodily Injury&Property Damage Including Owned,Hired&Non-Owned Automobiles Workers Compensation Workers Compensation insurance in accordance with the statutory requirements of the State of Minnesota, including Employer's Liability with minimum limits are as follows: $500,000—Bodily Injury by Disease per employee $500,000—Bodily Injury by Disease aggregate $500,000—Bodily Injury by Accident The Developer's and general contractor's insurance must be"Primary and Non-Contributory." All insurance policies (or riders) required by this Contract shall be (i) taken out by and maintained with responsible insurance companies organized under the laws of one of the states of the United States and qualified to do business in the State of Minnesota, (ii) shall name the City, its employees and agents as additional insureds (CGL and umbrella only)by endorsement which shall be filed with the City. A copy of the endorsement must be submitted with the certificate of insurance. Developer's and general contractor's policies and Certificate of Insurance shall contain a provision that coverage afforded under the policies shall not be cancelled without at least thirty (30) days' advanced written notice to the City, or ten (10) days'notice for non-payment of premium. An Umbrella or Excess Liability insurance policy may be used to supplement Developer's or general contractor's policy limits on a follow-form basis to satisfy the full policy limits required by this Contract. 20. Responsibility for Costs. The Developer shall pay all costs incurred by it or the City in conjunction with the Development, including but not limited to, Soil and Water Conservation District charges, legal,planning, administrative, construction costs, engineering, easements, inspection and utility testing expenses incurred in connection with approval, acceptance and development,the preparation of this Agreement,and all reasonable costs and expenses incurred by the City in monitoring and inspecting the construction for the development. The Developer shall pay in full all bills submitted to it by the City within thirty(30)days after receipt. If the bills are not paid on time,the City may halt all development work until the bills are paid in full. Bills not paid within thirty(30) days shall accrue interest at the rate of five percent(5%)per annum. If the bills are not paid within sixty(60)days,the City has the right to draw from the Developers Security to pay the bills. 21. Development Contract Administration. The Developer shall pay a fee for in-house administration of the development contract including monitoring of construction observation, consultation with the Developer and its engineer on the status of or problems regarding the project, coordination for final inspection and acceptance, project monitoring during the warranty period, and processing of requires for reduction in security. The fee for this service shall be three percent(3%) of construction costs and paid at the time of the execution of this agreement. 22. Construction Observation. The Developer shall pay for construction observation performed by the City's in-house staff or consultant. Construction observation shall include part of full time inspection of the Improvements, including erosion and sediment control inspections and will be billed on hourly rates. The Developer shall provide a cash escrow for these services estimated to be five percent(5%)of the estimated construction cost. 23. Security To guarantee compliance with the terms of this Agreement,payment of the costs of all public improvements in the Development, and construction of all public improvements in the Development, the Developer shall furnish the City with a cash escrow, irrevocable letter of credit, or alternative security acceptable to the City Administrator, from a bank (the "Security") for $ 70,200.00. The amount of the security is based on the calculations shown in Exhibit "A". This breakdown is for historical reference;it is not a restriction on the use of the Security. 187307v2 4 • The bank and form of the security shall be subject to the approval of the City Administrator. Letters of Credit shall be in the format and wording exactly as shown on the attached Letter of Credit form (Exhibit "B"). The Security shall be automatically renewing. The term of the Security may be extended from time to time if the extension is furnished to the City Administrator at least forty-five (45) days prior to the stated expiration date of the Security. If the required public improvements are not completed, or terms of the Agreement are not satisfied, at least thirty (30) days prior to the expiration of a letter of credit,the City may draw down the letter of credit. The City may draw down the Security,without prior notice,for any violation of this Agreement or Default of the Contract following applicable cure periods. Upon receipt of proof satisfactory by the Developer's Engineer to the City Engineer that work has been completed in accordance with the Plans (and specifications), and terms of this Agreement, and that all fmancial obligations to the City, subcontractors, or other persons have been satisfied,the City Engineer may approve reductions in the Security provided by the Developer under this paragraph from time to time by ninety percent(90%) of the fmancial obligations that have been satisfied. Ten percent (10%) of the amounts certified by the Developer's engineer shall be retained as Security until all Improvements have been completed, the required "as built" plans have been received by the City, a warranty security is provided, and the public improvements are accepted by the City Council. 24. Warranty. The Developer and the Developers Engineer represent and warrant to the City that the design for the project meets all laws, City Standards, Engineering Guidelines and Ordinances. The Developer warrants all improvements required to be constructed by it pursuant to this Contract against poor material and faulty workmanship. The warranty period for underground utilities is two years. The warranty period on underground utilities shall commence following its completion and acceptance by the City Engineer in writing. It is the responsibility of the Developer to complete the required testing of the underground utilities and request, in writing, City acceptance of the utilities. Failure of the Developer to complete the required testing or request acceptance of the utilities in a timely manner shall not in any way constitute cause for the warranty period to be modified from the stipulations set forth above. All trees shall be warranted to be alive, of good quality, and disease free for twelve (12) months after the security for the trees is released. Any replacements shall be warranted for twelve(12)months from the time of planting. The Developer shall post maintenance bonds in the amount of twenty five percent(25%) of the final certified construction cost or other surety acceptable to the City to secure the warranties. The City shall retain ten percent (10%) of the security posted by the Developer until the bonds or other acceptable surety are furnished to the City or until the warranty period has been completed,whichever first occurs. The retainage may be used to pay for warranty work. The City's Engineering Guidelines identify the procedures for final acceptance of streets and utilities. 25. Developer's Default. In the event of default by the Developer as to any of the Improvements to be performed by it hereunder, the City may, at its option, perform the work and the Developer shall promptly reimburse the City for any expense incurred by the City, provided the Developer, except in an emergency as determined by the City or as otherwise provided for in this Agreement, is first given written notice of the work in default,not less than seventy-two (72)hours in advance. This Agreement is a license for the City to act,and it shall not be necessary for the City to seek a Court order for permission to enter the land. When the City does any such work,the City may, in addition to its other remedies, assess the cost in whole or in part. 26. Miscellaneous. A. This Agreement shall be binding upon the parties, their heirs, successors or assigns, as the case may be. The Developer may not assign this Agreement without the written permission of the City Council. The Developer's obligation hereunder shall continue in full force and effect even if the Developer sells one or more lots, the entire Subject Property,or any part of it. B. Third parties shall have no recourse against the City under this Agreement. C. Breach of the terms of this Agreement by the Developer shall be grounds for denial of building permits,including lots sold to third parties. D. If any portion, section, subsection, sentence, clause, paragraph or phrase of this Agreement is for any reason held invalid,such decision shall not affect the validity of the remaining portion of this Agreement. E. Each right,power or remedy herein conferred upon the City is cumulative and in addition to every other right,power or remedy, express or implied, now or hereafter arising, available to City at law or in equity, or under any other agreement, and each and every right, power and remedy herein set forth or otherwise so existing may be exercised 187307v2 5 • from time to time as often and in such order as may be deemed expedient by the City and shall not be a waiver of the right to exercise at any time thereafter any other right,power or remedy. F. The action or inaction of the City shall not constitute a waiver or amendment to the provisions of this Agreement. To be binding, amendments or waivers shall be in writing,signed by the parties and approved by written resolution of the City Council. The City's failure to promptly take legal action to enforce this Agreement shall not be a waiver or release. G. Compliance with Laws and Regulations. The Developer represents to the City that the Development complies with all City, County, Metropolitan, State and Federal laws and regulations, including but not limited to: subdivision ordinances, zoning ordinances and environmental regulations. If the City determines that the Development does not comply, the City may, at its option, refuse to allow any construction or development work in the Development until the Developer does comply. Upon the City's demand,the Developer shall cease work until there is compliance. H. Upon breach of the terms of this Agreement, the City may, following the passing of all applicable notice and cure periods, draw down the Developer's Security as provided in Paragraph 23 (Security) of this Agreement. The City may draw down this Security in the amount of$500.00 per day that the Developer is in violation (following the passing of all applicable notice and cure periods). The City, in its sole discretion, shall determine whether the Developer is in violation of the Agreement. Subject to the provisions of Paragraph 31 (Developer's Default)hereof, this determination may be made without notice to the Developer. It is stipulated that the violation of any term will result in damages to the City in an amount,which will be impractical and extremely difficult to ascertain. It is agreed that the per day sum stipulated is a reasonable amount to compensate the City for its damages. I. The Developer will be required to conduct all major activities to construct the Improvements during the following hours of operation: Monday-Friday 7:00 A.M.until 7:00 P.M. Saturday 8:00 A.M.until 5:00 P.M. Sunday and Holidays Not Allowed This does not apply to activities that are required on a 24-hour basis such as dewatering,etc. Any deviations from the above hours are subject to approval of the City Engineer. Violations of the working hours will result in a $500 fine per occurrence in accordance with Paragraph I of this section. J. The Developer shall be responsible for the control of weeds in excess of twelve inches (12") on vacant lots or boulevards within their development as per City Code 6-7-1. Failure to control weeds will be considered a Developer's Default as outlined in Paragraph 31 (Developer's Default)of this Agreement and the Developer will reimburse the City as defined in said Paragraph 24(Responsibility for Costs). P. The City agrees at any time,and from time to time,within ten(10)days after receipt of written request by the Developer,a lender or a party purchasing the property,to execute, acknowledge and deliver a certification in writing and in such form as will enable it to be recorded in the proper office for the recordation of deeds and other instruments certifying: (a)that this Agreement is unmodified and in full force and effect, or if there have been modifications, the identify of such modifications and that the same are in full force and effect as modified;(b)that no party is in default under any provisions of this Agreement or, if there has been a default, the nature of such default; (c) that all Improvements to be performed under this Agreement have been performed, specifying the Improvements to be performed; and(d)as to any other matter that the requesting party shall reasonably request. It is intended that any such statement may be relied upon by any person,prospective mortgagee of, or assignee of any mortgage, upon such interest. Any such statement on behalf of the City may be executed by the City Administrator without City Council approval. Q. Indemnification. To the fullest extent permitted by law,Developer agrees to defend,indemnify and hold harmless the City, and its employees, officials, and agents from and against all claims, actions, damages, losses and expenses, including reasonable attorney fees, arising out of Developer's negligence or its performance or failure to perform its obligations under this Contract. Developer's indemnification obligation shall apply to developer's general contractor, subcontractor(s), or anyone directly or indirectly employed or hired by Developer, or anyone for whose acts Developer may be liable. Developer agrees this indemnity obligation shall survive the completion or termination of this Contract. ****************** 187307v2 6 27. Notices. Required notices to the Developer shall be in writing, and shall be either hand delivered to the Developer, its employees or agents,or mailed to the Developer by certified or registered mail at the following addresses: Mesenbrink Construction and Engineering,Inc. Attn:John Mesenbrink 7765 East 175th Street Prior Lake,MN 55372 Notices to the City shall be in writing and shall be either and delivered to the City Administrator,or mailed to the City by certified mail or registered mail in care of the City Administrator at the following address: David McKnight,City Administrator City of Farmington 430 Third Street Farmington,MN 55024 187307v2 7 SIGNATURE PAGE FOR THE CITY CITY: CITY OF FARMINGTON By: �� Todd Larson, ayor By. Ci.., ,1-1 .,..),L..."-- avid McKnig , 'ty Adistrator STATE OF MINNESOTA) )ss. COUNTY OF DAKOTA ) The foregoing instrument was acknowledged before me this c.14 day of , 20 le"by Todd Larson, Mayor, and by David McKnight, City Administrator, of the City of F.( in.07 , a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by the City Council. d c Fy ee.Ec/ ■ VO+tary Public \ r'': CYNTHIA A. MULLER "C-R-= ' NOTARY PUBLIC-MNNESOTA ' Y- My Commission Expires '%.?.s` January 31.2019 r • 187307v2 8 SIGNATURE PAGE FOR THE DEVELOPER DEVELOPER: John Mesenbrink By. �r ro"en 'sn / STATE OF MINNESOTA) )ss. COUNTY OF DAKOTA ) The foregoing instrument was acknowledged before me this j Itf1 day of :... kta.-- , 20 l by John Mesenbrink �l Qt144,1 7,13- -e — Notary Public M x l''`:-, SUSAN J, MILLER w �'.--u?' NOTARY PUBLIC•MINNESOTA 4 .a My Commission Expires y E, ` :'' January 31,2020 Y „ Drafted by: City of Farmington 430 Third Street Farmington,Minnesota 55024 (651)280-6800 187307v2 9 EXHIBIT "A" Construction Costs A. Removal and Restoration of Canton Court and Canton Way for Driveways(3) $ 10,000.00 B. Water&Sewer Connections $ 3,000.00 C. Erosion Control,Grading,Restoration,and Grading Record Drawings $ 52,000.00 Subtotal-Construction Costs $ 65,000.00 Other Costs A. Construction Observation(5%) $ 3,250.00-) B. Contract Administration(3%) $ 1,950.00 Subtotal—Other Costs $ 5,200.00 Total Project Security $ 70,200.00 187307v2 10 EXHIBIT "B" IRREVOCABLE LETTER OF CREDIT No. Date: TO: City of Farmington 430 Third Street Farmington,MN 55024 Dear Sir or Madam: We hereby issue,for the account of .and in your favor,our Irrevocable Letter of Credit in the amount of$ ,available to you by your draft drawn on sight on the undersigned bank. The draft must: a)Bear the clause,"Drawn under Letter of Credit No. ,dated ,20 ,of (Name of Bank) b)Be signed by the Mayor or City Administrator of the City of Farmington. c)Be presented for payment at (Address of Bank) . This Letter of Credit shall automatically renew for successive one-year terms from the date indicated above unless, at least forty-five (45) days prior to the next annual renewal date, the Bank delivers written notice to the Farmington City Administrator that it intends to modify the terms of, or cancel,this Letter of Credit. Written notice is effective if sent by certified mail,postage prepaid,and deposited in the U.S.Mail, at least forty-five(45)days prior to the next annual renewal date addressed as follows: Farmington City Administrator, 430 Third Street, Farmington, MN 55024, and is actually received by the City Administrator at least thirty(30)days prior to the renewal date. This Letter of Credit sets forth in full our understanding which shall not in any way be modified, amended,amplified,or limited by reference to any document,instrument,or agreement,whether or not referred to herein. This Letter of Credit is not assignable. This is not a Notation Letter of Credit. More than one draw may be made under this Letter of Credit. This Letter of Credit shall be governed by the most recent revision of the Uniform Customs and Practice for Documentary Credits,International Chamber of Commerce Publication No.400. We hereby agree that a draft drawn under and in compliance with this Letter of Credit shall be duly honored upon presentation. [NAME OF BANK] By: [name] Its: [identify official] 187307v2 11 OM490112[1 3714 OW.]sot'LSl-t Yl ON JO31Wd -RST N k0 ..vv.d ..PIH ...N NOlONI1121V.j d0 A113 Q „W. 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It a ,J. 11 di ! 1 R@ ' � 1 8 e 1'^ 'lle.f 11 z H z 1q 1!i_____#1 5 f -1 aB 4 ..-:*. d 4P' I1- w tltlpp } JR mm 4 00K4=11 €p 4 / a I� t. @5 .p i O c I'LL— - 1R k LI 6a1 III 2 1 999 II II � 1 II' �g o\ i €wy'g L�nllnll II.1 �g @ II= 1� _g 1 II IIS 11 Y� '.ii " 1 \. g. i14 , lila II_I-it-nen-nil h n 611 In 411 ey■1 ..' ,I� 4 Gni Y NI II 1 Si It j :�I ©� I .,, i 4� ! _III �o C IT-7." � �� 1 9 M Jl B 8. 1 1 -1-,..11-1,-1II I— 1 91 0 i ' a� a iniiililulll l�IIIIat111e L i1 11 1 'r iii 1 g1 IIw 1 1a1 � .l 111 1 �g ; dg \ �g j kl• iln I k a 1 ;1�9a7:T.7'eS9 .1 iii w y Ilii N .°,7.. .........a y1 41 .''11 (1�5p.e.=gar Y 8 4ikRikt, City of Farmington 430 Third Street Farmington, Minnesota 651.280.6800 -Fax 651.280.6899 4v n10,, www.ci.farmington.mn.us TO: Mayor, Councilmembers and City Administrator FROM: Matt Decur and Katy Gehler SUBJECT: 821 Third Street Redevelopment DATE: June 29, 2018 INTRODUCTION At the May 14, 2018 work session staff presented information related to management of the city's street network including discussion about alley improvements. At the time staff had inquiries from two developer's regarding redevelopment of properties that will utilize alley's at a different service level than today. Both developers had provided initial concepts as part of the due diligence for property acquisition. The city council provided input regarding developer support for paving of the alleys. Since that time, the developer of 821 Third Street("Old DEA" site)has furthered work and presented more detailed information regarding his plans for the site. DISCUSSION The work at 821 Third Street entails minimal improvements in the building such that it does not trigger the formal site plan review process. The primary work at the site includes completing maintenance on the paved parking area on the west side of the property which is nearly complete and also paving an apron area on the west side of the property in front of the large overhead doors. None of these improvements trigger a permitting process with the city(i.e. storm water treatment). Although staff requested that the developer pave the entire length of the alley, the developer has indicated that he will not pave the alley without a partnership. In short, the alley will remain gravel. Concerns have been raised regarding drainage from the 821 Third Street property from surrounding property owners. Typically concerns with drainage from one property to another are resolved between the affected property owners. In this case, the city owns the alley in between. In response to these concerns, staff has obtained topographic survey to better inform the discussion of drainage. The survey shows that the existing drainage flows from the 821 Third Street property, across the alley and along the back of two lots that are adjacent to the alley. While the proposed paving will not change the drainage patterns, it will potentially change the timing of the flows from what exists today. It should be noted that the apron on the east side of the building was concrete at one time, with gravel placed on top since initial construction in 1965. One of the challenges with work in this area, is that much of the development occurred long before many of our modern day regulations and design practices were in place. The area is also very flat so it makes retrofitting appropriate overland drainage challenging. Staff has identified two paths regarding the concerns. 1. Additional gravel could be placed in the alley to create a minimal barrier for drainage to the northern properties with the intention of directing flow down the alley to Fourth Street. Staff has concerns with potentially pushing drainage on other adjacent properties to the south and the longevity of a gravel barrier (i.e. loss of gravel during plowing operations and erosion). 2. Revisit a paving partnership project with the developer including installation of an area intake and pipe running east along the alley connecting into the Fourth Street storm sewer. Given the data received through the process, staff feels it is appropriate review this information with the Council and revisit the options if desired. BUDGET IMPACT The estimated cost of the improvements identified in option 2 is $35,000. $11,000 is related to the storm drainage improvements benefiting various properties. $12,000 is paving the portion of the alley from the east property line of 821 Third Street east to Fourth Street. The developer would support the estimated $12,000 cost of paving the west half of the alley. Funding is available for the drainage improvements in the stormwater fund. The proposed city portion of the paving could be supported by fund balance in the pavement maintenance fund. ACTION REQUESTED Staff will review the design information with the city council and discuss the options. If the council feels it is appropriate to pursue option 2, they should authorize staff to move forward with this option. ATTACHMENTS: Type Description D Backup Material Map of Area Drainage D Backup Material Existing Drainage Flow Photo fkOl, 3tln n y'J O a s �� t 1Y -✓ rti .. 4:::, qtr / O ....... 0) 0) Lwow P. v� g IS Hit I.I I I I t:7 ''''''-'''''' :j' - ' 416. tat fe z , Af 1, t .,. ill. -. . ,:::.,--:-,;,--- - ,....-_, o s w6. ' ........•..• ..,!-...„4_ .,..,, .. b; t =,�-.4010,- M � .....tea. exiilit N -- ,I • CO a -mss ` y ` + t . . 4 . d :r.. > 11 3" as . _ m �a isitir ' V•.'. -•'.'' t,i,..4,".'fi` •''''•••.'1,:. , ' ',':.;.•`:',. ; i . t ‘,,r.,,,,, .,,,...,,, -:;„. -,:„:„.„‘ ?,:-,.. i '•.':1,',.-,:?,',''.,•, 1 -, :'-,2,,,, .' , .. 1 ' ; - - [ ' -, t i. ., . / .. . . . • , . . 1,._...„. ,• ,,,,•,7,i,••.30., a'''4 .. 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