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5.j) Staff Report-Contract with SBP Associates for Zavoral Air Monitoring :`�'��_'y�,�, _ �_�� � � j Staff Report Date of Meeting: April 9, 2013 To: City Council From: Kristina Handt, Administrator Re: Contract with SBP Associates for Zavoral Air Monitoring Agenda Item #: S.j) Background: On February l9, 2013 the Council approved the 2013 Annual Operating Permit for the Zavoral Mine and Reclamation Project. That permit required the city or its consultant to perform various noise monitoring tasks. Steve Platisha assisted the City with drafting the noise monitoring conditions for the CUP and AOP for Zavoral Mine. He discussed these recommendations at the December 27, 2012 Planning Commission meeting. Issue: Should the City contract with SBP Associates, Inc. for noise monitoring at the Zavoral Mine site? Proposal Details: A proposed contract between the City and SBP Associates, Inc is included in your packet along with a cover letter from Mr. Platisha. The contract has been reviewed by the City Attorney and he identified no issues. Fiscal Impact: Per the Compliance and Reclamation Agreement, Tiller Corporation will be required to reimburse the city for all costs associated with monitoring so there is no impact to the City's budget. Options: 1) Approve contract 2) Amend and then Approve Contract 3) Take no action Recommendation: Option l. SBP ASSOCtATEs, INC. POBox165H7 .. - __ . . ..._ .. _. . ._... St.Louis Park,MN 55416 Phone:95Y-94O1500 March 21, 2013 Ms. Sherri Buss TKDA 444 Cedar Street, Suite I500 St. Paul, MN 55101 Dear Ms. Buss: RE: Proposed Zavoral Monitoring Protocol and Costs This letter provides proposed operating year noise monitoring protocol and costs for the Zavoral mine facility. Project Understanding Noise sources for the mine operations include the noise from the loading and excavating equipment, as well as noise from the haul trucks operating on site. The noise impacts from these sources must comply with standards contained in Minnesota Rule 7030.0040. Sensitive receptors include the residences near the site and the Scenic Riverway. The purpose of the proposed testing is to demonstrate compliance with the standards. Proposed Monitoring Tasks and Protocol Each mine operations noise monitoring event will consist of the following: 1) SBP will identify one or two worst-case representative residential locations for each phase of mining and conduct at least one hour of monitoring at each location during operations in the morning and one hour of monitoring during operations in the afternoon at each location. 2)Additionally, at least one hour of monitoring will be conducted at a representative location in the scenic riverway during mine operations. A monitoring event will be conducted within three weeks of the beginning of each mining phase, weather permitting and quarterly, thereafter. Monitoring will be conducted in accordance with Minnesota Rules. SBP will work through the City to notify residents of monitoring periods and to request access to properties as necessary to conduct the monitoring. Proposed Monitoring Costs The AOP calls for testing within three weeks of the beginning of each mining phase and quarterly, thereafter. SBP understands that the mine is expected to begin operations in late summer 2013. Therefore, the estimated costs are for one monitoring event in 2013. Following are estimated costs for the initial operating year. Estimated Noise Monitorin Costs Task Labor Cost($115/hr.) Notes Pro�ect Mana ement 8 hours $920 Mine Operations 25 hours $2,875 1 person x 25 Monitorin and Re ort hrs/test event. Other Direct Costs $100 Total Estimated Cost $3,895 Additional quarterly monitoring events would be conducted at the same total estimated cost. Additional services would be conducted at the labor rate of$115/hour. Please contact me with any questions you may have regarding these conditions, monitoring plans, or estimated costs. Sincerely, Stephen B. Platisha, P.E. CONTRACT AGREEMENT Between The City of Scandia, MN and SBP Assocates, Inc. for Noise Monitoring Services in connection with the CUP and AOP Conditions for the AGGREGATE MINING AND PROCESSING OPERATIONS - ZAVORAL MINE AND RECLAMATION PROJECT. THIS AGREEMENT is effective the 22nd day of March, 2013, between the City of Scandia, MN, hereinafter referred to as the CITY, and SBP ASSOCIATES, INC., a firm with a mailing address of P.O. Box 16587, St. Louis Park, Minnesota 55416, hereinafter referred to as the CONSULTANT. WITNESSETH : WHEREAS ,the CITY has included noise monitoring conditions in the Conditional Use Permit (CUP) and Annual Operating Permit (AOP) for the Zavoral Mine and Reclamation Project, hereinafter referred to as the Project, and WHEREAS , the City desires the CONSULTANT to provide certain Noise Monitoring Services in connection with the Project, NOW, THEREFORE , the City and the CONSULTANT for the consideration hereinafter named, agree as follows: ARTICLE 1. GENERAL DESCRIPTION OF WORK TO BE DONE CITY agrees to and hereby does retain and employ the CONSULTANT, and the CONSULTANT agrees to provide professional services hereinafter described in connection with the Project as described and delineated in the CONSULTANT' S proposal letter to Sherri Buss of TKDA dated March 21, 2013, attached hereto as EXHIBIT A and made a part hereof. ARTICLE 2. TIME FOR COMPLETION The CONSULTANT agrees to perform its work in a timely manner and to provide services in accordance with established work schedules for the Project. ARTICLE 3. COMPENSATION TO CONSULTANT CITY shall pay to the CONSULTANT and the CONSULTANT agrees to accept as full compensation for services under this Agreement, an amount not to exceed $3, 895. Requests for payment shall be submitted by the CONSULTANT to the CITY for review and submittal to the OWNER for payment. Such requests shall not be submitted more frequently than once per month. CITY shall make payment to the CONSULTANT for services rendered within 30 days after receipt of the request for payment. ARTICLE 4. EXTRA WORK AND SERVICES NOT INCLUDED IN THIS AGREEMENT If the CONSULTANT is of the opinion that any work it has been directed to perform is beyond the Scope of this Agreement and constitutes extra work, the CONSULTANT shall promptly notify CITY of that fact. Extra work, additional compensation for same, and extension of time for completion, shall be covered by a Supplemental Contract Agreement entered into by both parties to this Agreement. ARTICLE 5. GENERAL PROVISIONS It is understood and agreed by the parties that the entire agreement of the parties is contained herein and specifically includes EXHIBIT A attached hereto to the extent that it does not otherwise conflict with any of the terms of this Agreement herein, and that this Agreement supersedes all oral agreements and negotiations between the parties relating to the subject matter hereof a s well a s any previous agreements presently in effect between CITY and the CONSULTANT relating to the subject matter hereof. The parties hereto revoke any prior oral or written agreement between themselves and hereby agree that this Agreement is the only and complete agreement regarding the subject hereof. ARTICLE 6. INSURANCE CONSULTANT shall, before commencing any work under this Agreement, provide and maintain in effect insurance, at CONSULTANT' S expense, covering all of the work and services to be performed hereunder by the CONSULTANT as described below. A. Worker's Compensation coverage a s required by State law in the State in which the work is to be performed. B. Commercial General Liability occurrence form coverage including liability arising from premises, operations, independent contractors, products-completed operations, personal injury and advertising injury, and contractual liability assumed under this Agreement. The limits shall be $1, 000, 000 per occurrence; $1, 000, 000 general aggregate; $1, 000,000 Products Completed/Completed Operations Aggregate; and $1, 000, 000 Personal and Advertising Injury Limit. C . Automobile Liability coverage for liability, including bodily injury and property damage, arising out of the operation, maintenance or use of any automobile, whether owned, non-owned, rented or leased, in the amount of $1, 000, 000 combined single limit or the equivalent. All insurance shall be placed with insurance companies licensed to do business in the States in which the work is to be performed, with financial size Class X and current A.M. Best Rating of A or better. CITY shall be additional insured under the Commercial General Liability and Automobile Liability insurance. Any coverage afforded CITY, the Certificate Holder, as an additional insured shall be primary and non- contributory to any insurance issued in the name of CITY. Before commencing any work hereunder, the CONSULTANT shall furnish to CITY Certificates of Insurance evidencing issuance to the CONSULTANT policies of insurance providing the types of insurance and limits of liability prescribed herein, showing carrier rating and additional insured endorsement attached. ARTICLE 7. COMPLIANCE WITH LAWS CONSULTANT shall comply with the laws and regulations of national, state and local governments, and the rules, regulations and relevant orders promulgated thereunder, unless inapplicable. CONSULTANT agrees to indemnify CITY for any liability imposed on CITY as the result of any CONSULTANT noncompliance with said laws and regulations. IN WITNESS WHEREOF , the parties hereto have executed this Contract Agreement effective the day and year first above written. SBP Associates, Inc. The City of Scandia, MN By By Date Signed Date Signed ATTACHMENTS : Exhibit A