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2. As pro��ded under Minnesota S#atutes Sect�on 16C.05, subdi�isior� 5, alI boo�Cs, <br />records, documen#s, and accountir�g procedures and prac#ices of the Ci#y are <br />subject to exatninatian by the United States Go�ernm�nt, MnIDOT, and ei#her <br />�he Legislative Auditor or the Stat� Auditor as apprapriate, for a mir�imum of six <br />years. `f�e C�ty will be responsibfe for any c�sts associated wifh the <br />performa�ce of the audit. <br />H_ MAINTENANCE. The City �S5UCTIES #ull responsibili#y for the operation and <br />mair�tenance a# any facifity cor�s#ructed ar irr3proved under this Agreement. <br />CLAIMS. The City acknowledges that Mn/DOT is ac#ing only as the City's ager�t <br />for accepta�ce and tfisbursemeni of federal #unds, and riat as a principa! or co- <br />pr�ncipal with respect to the Project. The Gity wil! pay any and all lawfu! cfairns <br />arising o�t ofi o� incidenia! io the Project includir�g, without limitaiior�, clairns <br />related #o co�tractor selection �inciud�ng the so�iciiation, e�aluation, and <br />acceptance or rejection of bids or proposals), acts or ornissions in perfor�nir�g th� <br />Pro�ect work, and any ultra vires acts. The Ci�y will inder�nify, defend (ta the <br />extent permi#ted by the Minneso#a Ai�o�ney General}, ar�d hoid MnIDOT <br />harmless frar� ar�y claims or costs arisi�g out of or incidenial to the Praject, <br />ir�cluding reasonable attarney fees ir�curred by Mn/DOT_ Tf�e City's <br />indemnifcation ob9igatian extends ta any actior�s related ta the certification af <br />DBE participatio�, e�en if suc� actions are rec�mrnended by MnIDOT. <br />fl_ DUTIES OF MnIDOT. <br />A. ACCEPTANCE. Mn/DOT acc�pts designafior� as Agent of ihe City for the receip# <br />ancE disburseme�# of f�deral fur�cis ar�d will act in accordance herewith_ <br />B_ PROJECT ACTIViTIES. <br />1. Mr�lDOT will make tt�e r�ecessary requests to th� FHWA for authorization to use <br />federaE funds for the Prajeci, and far reimbursement of eligibfe cosis pursua�t io <br />the terms of this agreem�nt. <br />2. MnID�T will provide to the City copies o# the required �ed�ral-aid clauses to be <br />i�ctud�d in the propasa! soiicitation and wilf pro�ide the required Federal-aid <br />pra�isions to be i�cluded in the Proposaf_ <br />3. Mn/DQT will review and certify t�e DBE part�cipation and notify the City wh�n <br />certificat�o� is compiete. If certifcation of DBE �articipation cannot be o�tained, <br />then the City must decici� whet�er to proceed with awarding #he �ontract_ FaiEure <br />to obtain such certificatior� will resul# ir� ihe project becor�ing ineligible far federal <br />assistance, and the City must make up any st�ori#all_ <br />C. PAYMENTS. <br />MnIDOT will receive ti�e federa! funds paid by the �HWA far th� Project, <br />pursuar�t �o Minnesata Statut�s § 1fi�_36, Subdivisior� 2. <br />2. Mn/�OT wili re�iew a�d certify each partial pay rec�uest_ �ollowing certifcation of <br />the partial estimafe, Mn1�4T wilf reimburse t�e City, from said federal funds <br />made a�ailable #o the Praject, for each partia� payment request, subj�ci #a the <br />a�ailability ar�d �imits of #hose funds. <br />(Mn/DOT AgreeiaenC No. 98�30) <br />Page 5 <br />