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Home My WebLink About5.b. Rural Water SystemCITY OF ROSEMOUNT EXECUTIVE SUMMARY -FOR ACTION CITY COUNCIL MEETING DATE: June 16, 1992 AGENDA ITEM: Rural Water System Acceptance We AGENDA SECTION: Old Business PREPARED BY: Stephan Ji1k, City AdministratorAGENDA "'A"M # 5 9 ATTACM1ENTS: Draft Agreement of Ownership -E B .01 APR�/r- have placed this item back on the agenda for your consideration and request your approval of the agreement for transfer of the ownership of the University of Minnesota Rural Water System to the City of Rosemount. The system has been completed and the city has been operating the system, at University of Minnesota expense, for several months. The system is fully operational and meets all State of Minnesota requirements for health standards. The University has complied with all requests that the City has made of them in this matter. The City of Rosemount's Utility Commission has made final consideration of the project and has made a motion to recommend the City Council's adoption of the agreement and acceptance of the system'. I will be pleased to answer any further questions you may have on this. matter and do recommend your approval. AGREEMENT THIS AGREEMENT made and entered into this day of 1992, by and between REGENTS OF THE UNIVERSITY OF MINNESOTA, a Minnesota public educational corporation, hereinafter 'University", and CITY OF ROSEMOUNT, a Minnesota municipal corporation, hereinafter "City". WHEREAS, University has contructed two wells and water storage facilities on the property described on Exhibit A,. together with a distribution system, hereinafter "Water System", to serve the needs of certain residents of City; and WHEREAS, University has obtained utility permits from Dakota County and the State of Minnesota to construct, operate and maintain the Water System in the respective rights-of-way; and WHEREAS, pursuant to an agreement between University and City dated March 19, 1991, City has since July 1, 1991 provided the personnel to operate and monitor the Water System at University's expense, and WHEREAS, City has found the Water System to be functional and providing potable water to participating City residents in accordance with applicable codes as required in the plans and specifications for the Water System. NOW THEREFORE, IT IS AGREED: 1. University warrants that construction was completed on July 1, 1991, according to the Plans and Specifications of the water system prepared by Dewild, Grant, Reckert & 1 Associates, Co., a copy of which is on file in the City Engineer's office, and which is incorporated herein by reference. University has provided City with two complete sets of "As built drawings acceptable to the City Engineer. 2. University hereby assigns all design, construction and equipment warranties for the water system to City. University further warrants all work performed by it against poor material and faulty workmanship of its contracting for a period of five (S) years after July 1, 1991- University further warrants that, on date of this Agreement, the water system will provide potable water that is fit for human consumption. City warrants that it will operate the Water ------------ system in accordance with the design capabilities of the system, instructions in the contractors and materials suppliers manuals, all applicable codes and regulations, and in otherwise safe and reasonable manner. City shall be responsible for its willful misconduct or negligence which results in equipment damage, failure, or system downtime. 3. University shall comply with all city, county, metropolitan, state and federal laws and regulations, including but not limited to subdivision ordinances, zoning ordinances, and environmental regulations; and shall provide evidence acceptable to city, that the Water System has been approved and accepted by the Minnesota Department of Health. Also, University has furnished test results from samples taken at each residence or property connected to the Water system. 2 4. University agrees to hold City harmless and indemnify it from and against all liability for personal or bodily injury or damage resulting from this Agreement, unless caused by the negligence of City. City agrees to hold University harmless and indemnify it from and against all liability for personal bodily injury or damage resulting from this Agreement, unless caused by the negligence of University, its agents or employees. 5. University shall take out and maintain until five (5) years after July 1, 1991, public liability and property damage insurance covering personal injury, including death, and claims for property damage which may arise out of University's work or the work of its subcontractors or by one directly or indirectly employed by any of them. Limits for bodily injury and death shall not be less than $500,000 for one person and $1,000,000 for each occurrence; limits for property damage shall be not less than $200,000 for each occurrence; or a combination single limit policy of $1,000,000 or more. City shall be named as an additional insuredonthe policy, and University shall file with City a certificate evidencing coverage. The certificate shall provide that City must be given ten (10) days advance written notice of the cancellation of the insurance. 6. By execution of this Agreeent, University hereby quit claims and assigns to City all rights in the Water System and -the utility right-of-way permits, and City, upon acceptance shall release and discharge University from all 3 obligations to City regarding-ownership, maintenance, repair, replacement or expansion of the Water System, except as otherwise provided in this Agreement. 7. University shall pay all reasonable costs incurred by it or City in conjunction with the Agreement and the_ construction of the Water System, including but not limited o, legal, planning, engineering and inspection expenses_ incurred in connection with acceptance of the Water System, and all City expenses relating to the preparation and execution of this Agreement. 8. University accepts liability and agrees to indemnify and hold City harmless for any contamination to the water System that is a result of groundwater contamination from pollutants on University owned property from pollutants on the property when owned by the University. This provision shall continue in force and effect after the completion and — acceptance of the Water System. This provision does not bar the identification of additional responsible parties. 9. Third parties shall have no recourse against City for construction of the Water System, or under this Agreement, and University agrees to indemnify and hold City harmless from any such claims. 10. Notices. Required notices to University shall be in writing and shall be either hand delivered to University, its employees, or agents, or mailed to University by registered mail at the following address: Regents of the University of Minnesota c/o University Attorney 330 Morrill Hall 100 Church Street Southeast Minneapolis, MN 55455 Notices to City shall be in writing an shall be either hand delivered to the City Administrator, or mailed to City by registered mail in care of the City Administrator at the following address: Mr. Stephan Jilk City Administrator Rosemount City Hall 2875 - 145th Street West P.O. Box 510. Rosemount, MN "55066 11. This Agreement is subject to the approval of the Board of Regents of the University of Minnesota and by the City Council of the City of Rosemount. IN'WITNESS WHEREOF, City and University have executed this Water System Agreement to be effective the day and year first above written. 5 CITY OF ROSEMOUNT By: E. B. MCMenomy, Mayor By Stephan Jilk, City Administrator REGENTS OF THE UNIVERSITY OF MINNESOTA By: Its: By Its rR