9.b) Assessment Services Agreement Chase updated 4 14 2015ASSESSMENT SERVICES AGREEMENT
THIS ASSESSMENT SERVICES AGREEMENT ("Agreement"), is entered into and
made effective this day of April , 2015 ("Effective Date"), by and between CITY OF
SCANDIA, Minnesota municipal corporation ("City") and CHASE B. PELOQUIN, individually
("Assessor") (collectively, the "Parties"). The Parties hereby agree as follows:
1.0 Term; Services. For a period of five (5) years, commencing on the May 1, 2015
and at the later to occur of (i) April 30, 2020 and (ii) the date on which the Scandia Local Board
of Appeal and Equalization Meeting (the "Board") adjourns in 2020, unless terminated earlier
pursuant to the terms of this Agreement (the "Term"). For purposes of this Agreement, the phrase
"Assessment Year" shall refer to each assessment year during the Term commencing the day
following the adjournment of the Board for the prior assessment year and ending on the date on
which the Board Adjourns for the current assessment Year. During the Term, Assessor agrees to
provide all assessment services for real property in the City of Scandia for Assessment Years 2016
through 2020, including, without limitation, annually valuing and classifying all real property
parcels within the City of Scandia; physically inspecting and verifying property characteristics of
all real property parcels within the City of Scandia at least once every five years; valuing new
construction projects, staffing an annual meeting for Board of Appeal and Equalization Meetings;
coordinating with the County of Washington for any parcel splits, combinations, and
administration of new plats within the City of Scandia; processing and analyzing Certificates of
Real Estate Value, and compiling sale information to the Minnesota Department of Revenue;
monitoring all email and phone communication to Assessor in connection with the foregoing
services, and responding to property owner and City communications within one business day after
such communication was received by Assessor ("Services"), and such other tasks and
responsibilities which are mutually agreed to relate to the Services as requested by the City from
time to time. Assessor shall perform such Services in a professional, timely and workmanlike
manner.
2.0 Independent Contractor Relationship. It is the intention of the Parties to
establish by this Agreement an independent contractor relationship. Assessor is an independent
contractor and is not an employee, partner, or joint venture of the City for any purpose. Assessor
shall have no authority to bind the City or enter into any contract, obligation, or agreement on the
City's behalf except with the City's written permission. The City and Assessor acknowledge that
Assessor shall not be subject to the provisions of any employee handbook, personnel policy,
procedure manual, rules or regulations applicable to employees of the City. Assessor is not entitled
to receive, and hereby waives the right to participate in, any employer -paid or employer-sponsored
employee welfare, retirement, and/or pension benefits of the City, including but not limited to,
paid time off, paid vacation, paid sick leave, health insurance, dental insurance, retirement
contributions, 401(k), etc. Assessor shall fulfill Assessor's responsibility independent of, and
without supervisory control by, the City and shall utilize his independent professional judgment in
rendering services under this Agreement; provided, however, that the City shall be entitled to
exercise broad general powers of supervision and control over the results of work performed by
Assessor to ensure satisfactory performance.
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3.0 Compensation. Each Assessment Year during the Term, the City shall pay to
Assessor an annual fee in an initial amount of Twenty Thousand Six Hundred Fifteen Dollars
($20,615.00) ("Annual Fee"), plus Ten Dollars ($10.00) for each residential building permit
application submitted by the City to the Assessor for review during the Assessment Year (the
"Permit Fee"; the Permit Fee and Annual Fee are collectively referred to as the "Assessor's Fee").
The Assessor's Fee shall be paid in monthly installments of Fifteen Hundred Dollars ($1,500.00)
commencing on June 1, 2015 and on the first day of each month thereafter during the Term through
and including February 1, 2020. On or before February 10 of each Assessment Year, Assessor
shall provide the City an invoice for the balance of the Assessor's Fee for the Assessment Year,
and City shall pay any such balance within (10) days of the end of the Assessment Year. Each
Assessment Year, the Annual Fee will be increased by Ten Dollars ($10.00) for each new parcel
that has become subject to Assessor's Services during the prior Assessment Year (the Parties
acknowledging that there are 2,945 parcels as of the Effective Date). Each invoice should include
a brief summary of the Permit Fees and increase to the prior Assessment Year's Annual Fee.
4.0 Taxation. The City will issue to Assessor IRS Form 1099 at the end of the calendar
year for all payments provided to Assessor under this Agreement. The City shall not, and shall
not be obligated to, withhold or contribute any payroll, federal, state, and/or local income taxes
with respect to such payments. Assessor shall properly report all income received under this
Agreement to the appropriate taxing authorities as required by applicable law and shall be solely
responsible for paying, and hereby agrees to pay, all federal, state, and local income taxes, payroll
taxes, self-employment taxes, and all other taxes and assessments with respect to all payments
received by Assessor under this Agreement. Assessor shall indemnify and hold the City harmless
from and against all taxes, penalties, assessments, fines, audits, liability, claims, damages, and
other expenses, including reasonable attorney's fees and costs, asserted against or incurred by the
City due to Assessor's failure to report or pay any taxes due and owing on account of Assessor's
receipt of payments under this Agreement. Assessor reserves, at his sole discretion, the right to
assign payments due under this Agreement to another entity or third party. The covenants of this
Section survive the termination or expiration of this Agreement for any reason.
5.0 Workers' Compensation Insurance. Assessor understands that the City will not
provide workers' compensation coverage for injury, death, disease, or occupational injury suffered
by Assessor while performing the Services under this Agreement. Assessor shall be responsible
for obtaining any required workers' compensation insurance coverage for Assessor. Assessor
agrees to indemnify, hold harmless, and protect the City and its shareholders, owners, officers,
directors, employees, and insurers, and their successors and assigns, from and against any and all
damages, liability, attorney's fees, and costs arising from or related to any injury, death, disease,
or occupational injury suffered by Assessor or his agents or employees, except to the extent caused
by the grossly negligent, intentional, willful, or wanton acts of the City. The covenants of this
Section survive the termination or expiration of this Agreement for any reason.
6.0 Discretion and Judgment. The City is relying upon Assessor's education,
experience, skill, and wisdom in determining how to complete the Services under this Agreement.
Assessor shall use Assessor's independent judgment and discretion in the performance of the
Services under this Agreement.
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7.0 Warranty. Assessor warrants that Assessor will perform the Services hereunder
using Assessor's best efforts, in compliance with applicable laws and industry standards, and that
to the best of Assessor's knowledge, Assessor's entering into this Agreement or performance of
the Services called for by this Agreement does not and shall not violate any applicable law, rule,
or regulation, or any contracts with or obligations to third parties. The covenants of this Section
survive the termination or expiration of this Agreement for any reason.
8.0 Confidentiality. Assessor shall not alter, damage, destroy, delete, disable, conceal,
corrupt, remove, download, reverse -engineer, transfer, transmit, disclose, disseminate, share, sell,
use, transfer, disclose or give away any Confidential Information, except in the performance of the
Services under this Agreement or as required by any applicable law or court order. Assessor shall
return any and all such materials to the City immediately upon the request of the City and
immediately upon termination of this Agreement. The covenants of this Section survive the
termination or expiration of this Agreement for any reason. For purposes of this Agreement,
"Confidential Information" shall mean all non-public information related to or obtained in
connection with Services.
9.0 Indemnification by Assessor. Assessor agrees to protect, defend, indemnify and
hold harmless the City from and against any and all claims, proceedings, and investigations, and
all loss, costs, damages, liability and expenses (including court costs and reasonable attorney's
fees) arising out of any grossly negligent, willful misconduct, or wanton actions of Assessor or
his agents or employees, or arising out of any breach or violation of this Agreement by Assessor.
The obligation of Assessor arising under this section during the term of this Agreement shall
survive its expiration or termination.
10.0 Termination. The term of this Agreement shall commence as of the Effective Date
of this Agreement and shall continue until terminated in accordance with this provision. City or
Assessor may terminate this Agreement for any reason upon the delivery of ninety (90) days
written notice to the other. If the Agreement is terminated in accordance with this provision, City
shall be obligated to pay only the outstanding fees and expenses due and owing through the
effective date of termination, prorated daily for any partial Assessment Years.
11.0 Severability. Whenever possible, each provision of this Agreement shall be
interpreted in such a manner as to be effective and valid under applicable law, but if any provision
contained in this Agreement, or the application thereof, shall be held invalid, illegal or
unenforceable, such provision shall be ineffective only to the extent of such prohibition or
invalidity, without invalidating the remainder of such provision or this Agreement.
12.0 Entire Agreement. This Agreement and the Exhibit attached herein represents the
entire agreement of the Parties regarding its subject matter and supersedes any prior verbal or
written agreements, commitments, or communications regarding the same. The terms and
provisions of this Agreement may not be changed, waived, altered or amended except in a written
agreement signed by both Parties.
13.0 Governing Law and Venue. The performance, construction, and interpretation of
this Agreement and all disputes between the Parties that arise out of this Agreement or occur during
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the term of this Agreement shall be governed and construed in all respects by the laws of the State
of Minnesota, without regard to its conflicts of law principles. The Parties acknowledge and agree
that any disputes or litigation between the parties shall be brought exclusively in the state court
situated in the County of Washington, State of Minnesota. The Parties agree that such courts are
a convenient forum for the resolution of such disputes and waive the right to seek a change of
venue to any different court or forum.
14.0 Assignment. Assessor may not transfer or assign Assessor's rights or obligations
contained in this Agreement unless approved in writing by the City, nor may Assessor subcontract
for services which Assessor is to provide pursuant to this Agreement, without prior written
notification to the City. Any individual employed or subcontracted by Assessor for performance
of Services will hold appropriate licensure as required by the Minnesota State Board of Assessors.
15.0 Ancillary Agreements. Termination of this Agreement shall have no impact or
effect upon any other agreement entered into by City and Assessor or its affiliates.
16.0 Counterparts. This Agreement may be executed simultaneously in two or more
counterparts, each of which shall be an original, but all of which together shall constitute one and
the same instrument.
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IN WITNESS WHEREOF, the parties have executed this Agreement as of the date first
set forth above.
APPROVED AS TO FORM:
Scandia City Attorney
ASSESSOR:
CHASE B. PELOQUIN
CITY:
CITY OF SCANDIA
Date Its: Mayor
By:
Its: City Administrator
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Date
Date