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HomeMy WebLinkAbout9A, City - County Joint Powers Agreement for TCAAP WREN HILLS Request for Council Action 9A Prepared By: Patrick Klaers, City Administrator Council Meeting Date: November 26, 2012 City—County Joint Powers Agreement for TCAAP Budgeted Amount: Actual Amount: Funding Source: N/A N/A N/A Recommendation: Approve the Joint Powers Agreement for the Redevelopment of the Twin Cities Army Ammunition Plant. Supporting Documents: 1. Memorandum dated November 26, 2012, from Patrick Klaers, City Administrator. 2. Proposed JPA,red-lined version. 3. Proposed JPA, clean version. 4. Amended Offer to Purchase Agreement between Ramsey County and General Services Administration. ,!Tt ,- DVEEN HILLS MEMORANDUM DATE: November 26, 2012 TO: Honorable Mayor and Councilmembers FROM: Patrick Klaers, City Administrator SUBJECT: Proposed Joint Powers Agreement for the Redevelopment of the Twin Cities Army Ammunition Plant Requested Action Approve the Joint Powers Agreement for the Redevelopment of the Twin Cities Army Ammunition Plant(TCAAP). Background The City Council has met to discuss the proposed City-County Joint Powers Agreement(JPA) for the TCAAP site at a work session on October 29, 2012, a regular meeting on November 13, 2012, and a work session on November 19, 2012. At each meeting, the City Council provided feedback which was incorporated into subsequent drafts. The attached red-lined and clean copies of the JPA incorporate the City Council's November 19 comments. The Ramsey County Board of Commissioners is expected to consider the proposed JPA and the amended Offer to Purchase (attached) at its November 27, 2012 meeting. Staff Recommendation Approve the Joint Powers Agreement for the Redevelopment of the Twin Cities Army Ammunition Plant. Attachments A. Proposed JPA, red-lined version B. Proposed JPA, clean version C. Amended Offer to Purchase Agreement between Ramsey County and General Services Administration City of Arden Hills City Council Meeting November 26, 2012 Page 1 of 1 Attachment Proposed TCAAP Joint Powers Agreement, red-lined version November 26, 2012, City Council Meeting DRAFT COPY 11/821/12 JOINT POWERS AGREEMENT FOR THE REDEVELOPMENT OF THE TWIN CITIES ARMY AMMUNITION PLANT By and Between THE CITY OF ARDEN HILLS, MINNESOTA and THE COUNTY OF RAMSEY STATE OF MINNESOTA Dated as of: 92012 This document was drafted by: KENNEDY & GRAVEN, Chartered (MTN) 470 US Bank Plaza 200 South Sixth Street Minneapolis, MN 55402 Telephone: (612) 337-9300 409894v9L1 MTN AR200-13 TABLE OF CONTENTS PREAMBLE ............................................................................................................................. 1 ARTICLE I Definitions Section1.1. Definitions...........................................................................................................3 ARTICLE II Joint Development Authority Section2.1. Authorization......................................................................................................6 Section 2.2. General Purpose..................................................................................................6 Section 2.3. Joint Development Authority..............................................................................6 ARTICLE III TCAAP Master Plan Section 3.1. Development of the AUAR and the TCAAP Master Plan; GeneralRequirements....................................................................................... 11 Section 3.2. Elements of TCAAP Master Plan..................................................................... I I Section 3.3. Amendment of the TCAAP Master Plan.......................................................... 14 Section 3.4. County Implementation Responsibilities.......................................................... 14 Section 3.5. City Implementation Responsibilities............................................................... 15 Section 3.6. Joint Responsibilities........................................................................................ 16 Section 3.7. Cost Allocation; Cost Recovery........................................................................ 16 Section 3.8. Development Site Cost Recovery Process........................................................ 17 Section 3.9. Additional Cost Recovery................................................................................. 17 ARTICLE IV Liability Section 4.1. Responsibility for Risks and Liabilities............................................................ 19 Section4.2 Insurance........................................................................................................... 19 Section 4.3. Liability Insurance............................................................................................ 19 Section 4.4. Worker's Compensation Insurance................................................................... 19 Section4.5. Requirements....................................................................................................20 ARTICLE V Default and Termination Section 5.1. Events of Default Defined ................................................................................21 Section 5.2. Remedies on Default.........................................................................................21 Section 5.3. No Remedy Exclusive.......................................................................................21 i Section 5.4. No Additional Waiver Implied by One Waiver................................................21 Section 5.5. Termination; Additional Term..........................................................................21 Section 5.6. City Option to Purchase Upon Termination.....................................................22 Section 5.7. County Option Upon Termination....................................................................22 Section 5.8. Winding Up JDA Activities..............................................................................22 ARTICLE VI Additional Provisions Section 6.1. Conflict of Interests...........................................................................................24 Section 6.2. Equal Employment Opportunity.......................................................................24 Section 6.3. Data Practices; Open Meeting ..........................................................................24 Section 6.4. Titles of Articles and Sections..........................................................................24 Section 6.5. Notices and Demands .......................................................................................24 Section6.6. Severability.......................................................................................................24 Section6.7. Enforcement......................................................................................................25 Section6.8. Construction......................................................................................................25 Section6.9. Entire Agreement..............................................................................................25 Section6.10. Counterparts......................................................................................................25 Section 6.11. Recording 25 Section 6.12. Representations of the Parties...........................................................................25 SCHEDULE A Depiction of TCAAP Site/Legal Description SCHEDULE B Elements of TCAAP Master Plan SCHEDULE C JDA Development Application Process SCHEDULE D JDA Fee Schedule ii JOINT POWERS AGREEMENT FOR THE REDEVELOPMENT OF THE TWIN CITIES ARMY AMMUNITION PLANT THIS JOINT POWERS AGREEMENT (the "Joint Agreement" or the "JPA") is made and entered into as of the day of , 2012, by and between the City of Arden Hills, a Minnesota municipal corporation (the "City") and the County of Ramsey, a political subdivision under the laws of Minnesota(the"County"). RECITALS A. The County of Ramsey(the "County") is the Purchaser under that certain Offer to Purchase, as Amended (the "OTP"), by and between the County and the United States of America, by the General Services Administration, as Seller ("GSA"), for a portion of the real property located in the City of Arden Hills (the "City") commonly referred to as the Twin Cities Army Ammunition Plant ("TCAAP"). (The real property which is the subject of the OTP contains approximately 48437 acres of land and is referred to in this Joint Agreement as the "TCAAP Site"). The purpose of County for purchasing the TCAAP Site is to facilitate the clean up of existing environmental contamination, elimination of blight and the redevelopment of the TCAAP Site for new development pursuant to the TCAAP Master Plan, as defined below. B. Portions of the TCAAP Site contain environmental contamination as more fully described in existing environmental reports (the "Contamination"). The OTP provides for remediation of the Contamination pursuant to a lease from GSA to County (the "Lease"l. At the closing of the sale and purchase as provided in the OTP, GSA will convey to County ownership of fee title to the land, and related improvements, of the TCAAP Site that is not contaminated (the "Initial Conveyance"), and will lease to County the contaminated portions of the TCAAP Site (the "Lease Site"). Pursuant to the Lease, County will undertake and complete within the time period as agreed to by and between County and GSA, which is currently contemplated to be at least three years, the remediation of the Contamination to a level sufficient to permit redevelopment on the Lease Site (the "County Remediation" and "Developer Remediation" as defined hereafter). Conveyance of ownership of good and marketable fee simple title to the entire TCAAP Site to County will take place when the County Remediation is finished (the "Final Conveyance"). C. The TCAAP Site also contains buildings and other improvements that are no longer useable, are blighting influences, and need to be removed for the TCAAP Site to be fully redeveloped (the"County Site Clearance" and "Developer Site Clearance" as defined herein). D. The "New Development" (as defined ''e! described in these Recitals and defined in Section 1.1 below) requires signif cant investment by County to purchase the TCAAP Site and complete the County Remediation and County Site Clearance,sifie investment by City to work with County to develop and implement the redevelopment plans to guide the New Development, and significant investment in public infrastructure by City and County pursuant to the TCAAP Master Plan (as defined below). 1 E. County and City (collectively the "Parties", individually a "Party") desire and intend that redevelopment of the TCAAP Site take place to remediate and eliminate blighting conditions and to make possible and result in significant amounts of New Development to provide employment opportunities, improve the tax base, and improve the general economy of the City, the local community and Ramsey County as a whole. The New Development will include the a4leeation by the Parties of the construction and Tina ein of necessary off-site and on-site transportation improvements such as the Spine Road, as well as internal streets, water and sanitary and storm sewer and other public facilities and other public and private 'utilities and improvements to be located on the TCAAP Site ( "City Public Improvements" and County Public Improvements", collectively, the "Public Improvements" as defined in Section 1.1). The Parties will develop plans to provide for a mix of residential, commercial, light industrial and other uses utilizing the Public Improvements (collectively, the Public Improvements and the uses proposed for the TCAAP Site comprise the "New Development"). The plans guiding the type of land uses, density, location and timing of implementation of the components of the New Development comprise the"TCAAP Master Plan", as further described belowin Section 1.1). F. The New Development will take place within the City. The New Development will require the participation of City to complete environmental review for the TCAAP Site as required by law, by means of a process described as alternative urban areawide review ("AUAR"), and application of the City's statutorily mandated planning and zoning authority to develop the TCAAP Master Plan. City will be required to implement its allocated portion of the Public Improvements on the TCAAP Site in a timely manner as identified in the TCAAP Master Plan, aandand as provided below The effective and beneficial land use planning and guiding of the New Development, consistent with state statutes and regulations, City's comprehensive plan, zoning code and other applicable ordinances, and the ability to recapture City costs incurred in providing its allocated responsibilities for the Public Improvements to serve the TCAAP Site are matters of great interest and importance to City. G. The Parties recognize that their cooperation and collaboration are critical for accomplishing the New Development in a manner that is a timely, cost-effective and efficient use of public resources in order to—a benefit the City, other local communities and Ramsey County as a whole. H. The Parties intend to exercise their respective authority granted by Minnesota Statutes § 471.59 (the "JPA Act") to establish a joint powers board to be named the "Joint Development Authority" (the "JDA") or such other name as the Parties may determine. The Parties intend that the JDA shall be a governmental entity of the State which is authorized to exercise to the extent permitted by the JPA Act, the general laws of the State of Minnesota , and Laws 2009, Chapter 88, §16 applicable to the TCAAP Site, the common powers of each Party for the redevelopment of the TCAAP Site as a governmental entity of the State. These powers include, but are not limited to, remediation of contamination and elimination of blight, infrastructure construction and financing, comprehensive planning and zoning, and redevelopment and economic development. 2 Therefore, Be It Resolved by the Parties, that this Joint Agreement is made and agreed to as follows: ARTICLE I DEFINITIONS Section I.I. Definitions. Unless the context requires otherwise, for the purpose of this Agreement, the terms defined in this section shall have the meanings specified: Agreement means this Joint Powers Agreement as it may be amended, and the "Joint Agreement" or the"JPA". Alternative urban areawide review ("AUAR") means the environmental review for the TCAAP Site required by law and to be prepared by City as the responsible governmental unit (the"RGU"), which will guide the development and implementation of the TCAAP Master Plan. to finanee the i I1I lJttl1V11 . City means the City of Arden Hills, a political subdivision of the State of Minnesota. City Investment means the expenditures by the City necessary to undertake its identified responsibilities in support of the New Development, including, but not limited to, preparation of the AUAR and TCAAP Master Plan and construction of the City Public Improvements. City Public Improvements means construction by the City of the trunk or sub-trunk water mains, storm and sanitary sewerT new pnvate utilities- and other public amenities identified deser-ibedas the City's direct responsibility, and the City's allocated responsibilities for Shared Public Improvements in the TCAAP Master Plan, ,,,e , needed for the New Development. Commencement Date means January 1, 2013 for the implementation of this Joint Agreement, or such other date as the Parties shall mutually agree. County means the County of Ramsey, a political subdivision of the State of Minnesota. County Investment means the expenditures by the County necessary to undertake its identified responsibilities in support of the New Development, including, but not limited to, County Remediation, County Site Clearance, and-County Public Improvements, initial survey and plat of the TCAAP Site and operations of the JDA. County Public Improvements means survey and plat of the TCAAP Site, construction by the County of the Spine Road;; initial survey and plat of the TCAAP Site; off site transportation 3 improvements--a-ad; associated private utilities—and; relocation of existing private utilities} maintenance of County Public Improvements; and possible relocation of all or nart of the Groundwater Treatment Infrastructure on the TCAAP Site,-all as described in Section 3.4. County Remediation means the preeess of addressingCount a a ctions to resolve the environmental contamination on the TCAAP Sit consistent with the requirements of the OTP and the Lease with the GSA. County Site Clearance means the removal by County of buildings and other improvements that are no longer useable, are blighting influences, and/or need to be removed for the TCAAP Site to be fully redeveloped pursuant to the TCAAP Master Plan, to b aeee pis a�the Getinly consistent with the requirements of the OTP and the Lease with the GSA. Developer Installed Improvements means the improvements desc+bed in Seetie 3:- ?within or serving a Development Site including trunk and sub-trunk water mains, storm and sanitary sewer new Private Utilities, streets, trails, parks and—other identified public amenities within or serving a Development Site constructed by a developer as described in a _. development agreement approved by the JDA pursuant to the TCAAP Master Plan Developer Remediation means the proce emoval by a developer of aa— g any remaining environmental contamination on a Development Site consistent with the requirements of the Minnesota Pollution Control Agency's ("MPCA") Voluntary Investigation and Cleanup Program ("VIC Program") pursuant to a response action plan ("RAP") approved by the MPCA; and any applicable County Remediation ("RAP-), in order for the Development Site to be fully redeveloped pursuant to the TCAAP Master Plan by a Deyeleperthe developer. Developer Site Clearance means the removal by a developer of any remaining buildings and other improvements that are no longer useable, are blighting influences, and/or need to be removed for a Development Site to be fully redeveloped pursuant to the TCAAP Master Plan by a Developer, and consistent with any applicable County Site Clearance, or response action plan ("RAP"). Development Site means a parcel (or parcels) of land on the TCAAP Site identified in the TCAAP Master Plan for location of the New Development as approved by the JDA. Groundwater Treatment Infrastructure means the network of monitoring wells, underground pipes and treatment plant necessary for remediation of groundwater contamination on and under the TCAAP Site. Market Study means the study to be prepared by the County designed to account for market considerations and assist the Parties to forecast the need and desirability of the elements of the New Development, which will guide the development and implementation of the TCAAP Master Plan. 4 New Development means off-site and on-site transportation improvements as well as internal streets, water and sanitary and storm sewer—and} other public facilities and Private Utilities (as defined in this Section) and related improvements (collectively the "Public Improvements" as defined in this Section) designed to support, and the approved mix of commercial, industrial and residential development authorized by the TCAAP Master Plan in a development agreement. Parties or a Party means the City and County collectively or individually. Plan Amendment means the process identified in Section 33-.63.3 required to amend the TCAAP Master Plan. Private Utilities means telephone cable satellite gas and electric service available on the TCAAP Site necessary to serve a Development Site. Public Improvements means the construction and financing of necessary off-site and on- site transportation improvements, as well as internal streets, water and sanitary and storm sewer and other public facilities and other public and private utilities and improvements to be located on the TCAAP Site and to be constructed by the City and County as described hereinin this Agreement. Shared Public Improvements means the design; and construction and finanein of the TCAAP Site regional storm water retention pond system to be developed as part of the Public Improvements, the cost of which shall be shared by the Parties: and any other public infrastructure improvements determined by the Parties to require, or be appropriate for, shared responsibility. TCAAP means the Twin Cities Army Ammunition Plant. TCAAP Joint Development Authority means the joint development agency ("JDA" created by the Parties to develop and implement the TCAAP Master Plan. TCAAP Master Plan means the plans, official controls and map guiding the density, location and timing of implementation of the components of the New Development on the TCAAP Site, as further defined in the Recitals above and Article III below of this Joint Agreement. TCAAP Site means the real property which is the subject of this Joint Agreement and which contains approximately 439437 acres of land where the New Development is proposed, as depicted on attached Exhibit A. Term means the Initial Term of this Joint Agreement ending in 2038 as provided in Section 5.5 of this Joint Agreement; and any Additional Term as defined therein (The remainder of this page left intentionally blank) 5 ARTICLE II JOINT DEVELOPMENT AUTHORITY Section 2.1. Authorization. City and County each certify that the authority to enter into this Joint Agreement has been established by a resolution approved by the governing body of each Party. This Joint Agreement is effective as of the date first stated above in the caption of this Joint Agreement and shall continue in force until modified or terminated by the Parties as provided herein. Section 2.2. General Purpose. Pursuant to the authority of the Joint Powers Act, the Parties desire and intend that the redevelopment of the TCAAP Site take place to remediate and eliminate blighting conditions and to make possible and result in signif e-ant ametintsimnlementation of new development ( the "New Development'' as fiiA er- defi a below). The New Development will inelude the alloeation by the Pal4ies of the eonstruetion streets, water- and sanitafy and stofm sewer and other- 1--ilklies and other publie an-, m €mThe-rccrcrcT will rdevelop to provide—for--u'--mix-vi-residential, ev,.,me:..� , light industrial and Othef uses utilizing the Publie impr-ovements (eolleetively, the Pii impr-ovements and the e tiles proposed for- the TG A A A Site eo ise the "New D e ..ent!> defined in Section 1.1 The plans guiding the type, density, location and timing of implementation of the components of the New Development comprise the "TCAAP Master Plan", as further described in this Joint Agreement. The goals of the New Development are to redevelop the TCAAP Site to provide employment opportunities, improve the tax base, and improve the general economy of the City, the local community and Ramsey County as a whole. Section 2.3. Joint Development Authority. Pursuant to the authority of the Joint Powers Act and this Joint Agreement, the Parties hereby create a joint powers board titled the TCAAP Joint Development Authority (the "JDA"). The purpose of the JDA is to exercise to the extent permitted by the Joint Powers Act and the general laws of the State, the authority found in Laws 2009, Chapter 88, §16 applicable to the TCAAP Site and the common powers of each 2 e Parties for the redevelopment of the TCAAP Site. These activities to be conducted under this authority include, but are not limited to, environmental remediation, elimination of blight, infrastructure construction and financing, comprehensive planning and zoning, and economic development and redevelopment. 2.3.1. JDA Board Membership. The JDA Board shall consist of five (5) members appointed as provided in this Section(also "the"Board"). Each Party shall appoint two (2) members from its respective governing body. City shall also appoint to the Board a suitable non-elected official member to serve as the Chair of the JDA Board. City Board members shall be residents of the City at the time of annointment and maintain residency during their term. The term of each member shall be a two (2) year term, t each member's's .-lecte c- ;n*°a *° : of^ Each Party may determine in its discretion the length of service of its 6 respective Board members. In the case of a vacancy on the Board of a member from either Party, that Party shall appoint a new member to fill the respective vacancy for the remainder of that term. Each member shall serve until their successor is appointed and qualified as provided by each Party. Each member shall serve without compensation; however each Party may determine whether to pay per diem to their respective members pursuant to their own policy and procedures. 2.3.2. JDA Board General Authority. The JDA Board shall have the general authority as described in this Section: a. The JDA Board shall . „lly eleet „ Viee Chair-to se in the absence „r the Chain Vice Chair shall be a member appointed by the County. b. The JDA Board shall adopt its own bylaws and rules of procedure to govern its activities and guide the setting, holding and cancellation of meetings. The Board may appoint committees or sub-committees. The Board shall meet monthly at such times and places as determined by the Board and as provided in its bylaws or rules of procedure, but shall not meet at times of regularly scheduled meetings of the Ramsey County Board or Arden Hills City Council unless agreed to by the Parties. Special meetings may be called by the Chair or any two other members. The JDA shall keep minutes of all proceedings. A majority of all the members shall constitute a quorum. A simple majority vote of the members present at a meeting with a valid quorum shall be required for the JDA to take action, unless otherwise provided in this Joint Agreement or by law. All meetings of the JDA, its committees and sub-committees shall be governed by the Open Meeting Law and the Data Practices Act. C. Each member of the JDA Board shall have one vote. d. Each Party may also name an alternate appointee to serve in the capacity as a substitute for any member appointee of that Party (and who meets the qualifications for membership on the Board), in the event a member appointee is unable to attend a scheduled meeting of the JDA or any committee or subcommittee thereof. Such substitute appointee shall also have the right to vote on any action requiring a vote of the member appointee, including all substantive as well as procedural actions, when performing as a substitute for a regular member. 2.3.3. Finances. Each Party will be responsible for payInents out of their respective budgets fc-- 'T-c ° ,• «gin staff costs, as well as any per die t,­­ ­­nditures for those staff to assist in implementing the JPA until the JDA commences operations. Upon approval of this Agreement, County shall fund the expenses of the JDA, including reimbursement of purchased services pursuant to Section 2.3.4.2. Consistent with its policies, County shall serve as the fiscal manager/agent for the JDA and assist in setting up such accounts as necessary for the JDA to conduct its activities ("Fiscal Agent"), as provided below and as shown on attached Schedule E. 7 2.3.3.1. The JDA may establish independent JDA bank accounts, to be managed by the Fiscal Agent, into which all revenue receipts generated by and belonging to the JDA, including the Annual Gentfibutieft by the Gotint5 and those proceeds which the Parties may authorize to be borrowed as interfund loans, shall be deposited intact to the credit of such JDA accounts. 2.3.3.2. No disbursements shall be made from such accounts except by check or Electronic Funds Transfer (EFT), nor unless a verified claim for services and/or commodities actually rendered or delivered has been submitted to and approved for payment by the JDA. 2.3.3.3. No disbursements shall be made from such accounts for non-JDA expenses and purposes. Payment and disbursement of funds by check or withdrawal shall require the signatures of the Chair of the JDA and the individual designated by the County to assist in JDA fiscal matters, which shall be the Director of Finance or designee. 2.3.3.4. Revenue collected by the JDA shall be paid to the Parties as described in Section 3.7. 2.3.4. Annual Budget. Dw4ngthe jDA's initial stai4 up operations, eaeh P i4 will be responsible for-pa�anents out of their-r-espeetive budgets fef their- own staff Oests, as as any per-them and other expenditufes for these staffl. County shall fund the initial and ongoing bThe JDA shall prepare an annual budget and submit it to the Parties as provided in this section. 2.3.4.1. With the first annual budget request and in subsequent years, the JDA shall each year prior to May 1, and in ____a____*`___ with the Parties' bttdget p! proms;l prepare an annual operations budget that estimates funding required by the JDA to conduct its business over the next calendar year. The JDA shall coordinate its budget r�with the Parties' budget planning process Prior to September 1 of each year, the JDA shall, after its review and approval, submit the annual budget to the City and County. The budget shall be substantially balanced. The budget shall follow the format as established by the JDA after consultation with the City Finance Director and the County Director of Budget a Finance, and at a minimum provide the following information: (1) Estimated Revenues, divided as follows: a. Any Grant monies,private, State or Federal b. Revenues from JDA Application fees c. Revenues from JDA Permit fees d. Gontfi utieMContributions from Qt-yCounty e. Gentr-ib;Aten fiom rCounty Reserves g_f. Developer escrow/fees hg. Miscellaneous revenues 8 (2) Estimated Expenditures, divided as follows a. Personnel services b. Contracts Services i. Legal ii. Engineering iii. Fiscal/Audit, including the Fiscal Agent iv. Planning v. Administrative C. Services other than personnel or consultants d. Supplies and materials C. Office administration, e.g., phones, supplies f. Capital Outlay (incl. Office and Building rent if applicable, equipment such as phones and computers) g. Payment of invoices for Gity and County investment pur-suantservices to the Cost " ° Fofm '° JDA provided i-n c° �bv a Party. h. Miscellaneous expenditures 2.3.4.2. The Parties may determine that a service or services as described above are available from a Party and direct the JDA to purchase such service from that Party at that Party's cost, with payment to be made by the JDA from its authorized funds as stated in the approved budget. 2.3.4.3. The proposed annual jDA budget proposed by the JDA shall be reviewed and transmitted to the Parties Each Party shall review,provide comments to the JDA and the other Partv and approve the annual budget. The proposed JDA annual budget a roved by the Parties whose � e:sio.-s (arr_„.__.,)pursuant to this process shall be reported back to the JDA by November 15 (preceding the ensuing calendar/fiscal year). Thereafter the JDA shall adopt and implement the budget approved by the Parties. The annual budget may be amended consistent with the process described in this Section. 2.3.4.4. The JDA may incur expenses and make expenditures that may be necessary to the effectuation of its purposes and powers, in conformance with the statutory requirements applicable to contracting and purchasing practices of the Parties, the approved annual budget and this Joint Agreement. 2.3.4.5. The JDA shall develop a reimbursement policy including payment priority for payment to the Parties of allocated fee or other income described in this Agreement The policy shall provide for monthly reimbursement to the Parties. 2.3.5. Taxes. The JDA itself shall not levy taxes, issue bonds or independently borrow money, and it shall not approve any claims or incur any obligations for expenditures unless there is unencumbered cash in the appropriate JDA accounts described herein, to the credit of the JDA with which to pay the same, or as otherwise approved by the Parties. Any sufplus in r-eventies over the eaPerating expenses of m n a assoeiated etiV ties 9 dese-fibed under- this joii# Agr-eefnent, may be t-r-ansfeffed by the jDA to the Par-ties as pro hereafter- in Seetion 3.8. However-, suTltts ay r-emain in the eontr_-ol of the jA,unexpended revenues in excess of the approved budget may remain deposited in JDA accounts and reported annually in the subsequent year's budget submission. 2.3.6. Interfund Loans. Notwithstanding the prohibition against independent borrowing, the JDA may borrow money from the Parties in the form of interfund loans to the extent that such loans are not made from dedicated funds or from funds or monies otherwise encumbered, subject to the mutual consent and approval of the Parties, and subject to the terms and conditions of repayment agreed to by the Parties. 2.3.7. Personnel. Unless otherwise approved by the Parties, the staff of the JDA shall be the City Administrator and the County Manager, or their designees. Each Party may also designate additional staffing as it deems appropriate or as requested by the JDA. The JDA may hire consultants including independent legal• engineering, planning and development consultants to assist in the development of the TCAAP Master Plan and amendments and revisions thereto, preparation of financing plans, marketing plans, developer proposals, the marketing and sale of Development Sites pursuant to the RFP process described in Section 3.2.4, and other matters which address growth and development on the TCAAP Site. 2.3.8. Reports. The JDA shall prepare an annual report at the end of each calendar/fiscal year and submit such report to the Parties not later than February 15 of the succeeding calendar/fiscal year. The JDA shall also prepare and present to federal and state officials such reports and audits as may be required by law, regulation, or contract. 2.3.9. Public Process. The JDA shall develop-extensive mechanisms for public involvement in any planning or review process, including the preparation and approval of the TCAAP Master Plan and approval of development agreements. All public meetings and hearings shall be conducted as required by law. The JDA shall take into consideration the concerns, issues and desires of each Party's governing body in on-going planning initiatives, discussions and process. 2.3.10. Other Authority. The JDA shall have such other authority under the general laws of Minnesota to carry out its purposes unless otherwise determined by the Parties. Where deemed by the Parties to be more convenient, the authority of the JDA may be exercised by the more appropriate Party. 2.3.11. Dispute Resolution. The Parties shall use good faith to attempt to resolve any dispute. Upon agreement, the Parties may also use any available dispute resolution process. 10 (The remainder of this page left intentionally blank) 11 ARTICLE III TCAAP MASTER PLAN Section 3.1. Development of the AUAR and the TCAAP Master Plan; General Requirements. The TCAAP Master Plan will provide for development phasing, taking into account market considerations as well as the financing and investment needs and capacity of County as the purchaser of the TCAAP Site, County's obligations to complete the County Remediation and County Site Clearance, survey and plat of the TCAAP Site and the financial commitment of both Parties for the Public Improvements. City will prepare the AUAR in conjunction with the preparation of the TCAAP Master Plan, as provided in this Article III, including the hiring of any planning and engineering or other consultants it deems reasonably necessary to prepare the AUAR and the TCAAP Master Plan. The City will exert its best efforts to complete the AUAR within eighteen (18) months of the effective date of this Joint Agreement, and to complete the TCAAP Master Plan within six (6)months of the adoption of the AUAR, but not later than twenty-four (24) months of the effective date of this Joint Agreement for completion of the AUAR and the Master Plan. The JDA and County shall have the ability to review and comment during the preparation of the AUAR and Master Plan. 3.1.1. City Development Standards. The Parties will work cooperatively to assure that the City's development standards and goals expressed in its comprehensive plan and zoning code, as each may be amended, are incorporated into the TCAAP Master Plan to enable the JDA to proceed with timely development of the TCAAP Site thfough the Development Sit pr-eeess deseribed speeifiea4ly in Seetions 3.2.2 thfough 3.2.6 below and generally in this Aftiele m—and-other-wise „, nt to this joint as provided in this Agreement. The Parties recognize that upon purchase of the TCAAP Site andC ,.­ ­ -nay desire to purs,�c d(,-vr 1r%-­not f Tevc1or.- ant Site prior to completion of all the County Remediation and the adoption of the TCAAP Master Plan Getinty may desire to pur-sue development of a Development Site an , . It is in the interest of the Parties for redevelopment of TCAAP to occur timely and responsively to market demand,, ,,may. As a result in-development of a Development Site(s) may occur before completion of the TCAAP Master Plan to the extent there are roads and public utilities available to serve the selected Development Site. In such event the Parties and JDA will proceed in accordance with this Joint Agreement to the extent feasible, However, the Parties agree that the City comprehensive plan-and.,zoning ordinance and city review process as required by statute shall guide and control such proposed development pending completion of the TCAAP Master Plan. 3.1.2. Approval of TCAAP Master Plan. The JDA shall recommend to the Parties a public process for consideration of the Master Plan prior to final approval by the Parties. Upon presentation of the TCAAP Master Plan as prepared pursuant to this Article III, the Parties shall review, comment, suggest revisions and reasonably exercise their discretion to approve the TCAAP Master Plan in a timely manner. The TCAAP Master Plan shall be approved by means of a resolution of each Party's governing body prior-to its implementation by the JD^_ The JDA shall implement the TCAAP Master Plan as approved by the Parties. 12 Section 3.2. Elements of TCAAP Master Plan. The City shall direct its staff and consultants to prepare the TCAAP Master Plan at City expense. The TCAAP Master Plan shall specify the planning requirements for the TCAAP Site consistent with the City's current approved comprehensive plan and official controls in the zoning code, and as such may be amended}in conjunction with the TCAAP Master Plan as it is initially developed. 3.2.1. Planning Elements. The TCAAP Master Plan shall include the following planning elements and as further provided in Schedule B: a. Definition of the public engagement process; b. Land Use Component; C. Circulation and Movement Component; d. Utilities Component; e. Environmental Remediation Component; f. Parks and Open Space Component; g. Implementation Plan; and h. Regulatory Plan Upon adoption by the Parties, the TCAAP Master Plan shall be an element of the City's approved comprehensive plan, and the City shall take all necessary actions to conform zoning code provisions applicable to the TCAAP Site to the TCAAP Master Plan. 3.2.2 Implementation Authority. Except as otherwise provided under this Joint Agreement, the JDA shall apply the TCAAP Master Plan and serve as the "governing body" for purposes of the implementation of the applicable sections of Minnesota Statutes §§ 462.357 — 462.365 with reference to developer initiated requests pursuant to the RFP process for approval of the redevelopment of a Development Site. The TCAAP Master Plan shall incorporate the planning and zoning authority of the City authorized by Minnesota Statutes §§ 462.357-462.358 and implement that authority as follows: a. Provide for development phasing, taking into account market considerations as well as the financing and investment needs and capacity of County as the purchaser of the TCAAP Site, County's obligations to complete the County Remediation and County Site Clearance, and the financial commitment of the Parties for the Public Improvements. b. The use of planned unit development (PUD) authority to implement development of the permitted uses described in the Master Plan; 13 C. Dedication of land for public rights of way, public and private utility easements and park dedication; d. Subdivision of the TCAAP Site and the platting of parcels and lots consistent with the requirements of general law and the policies and procedures of the Ramsey County Recorder and Registrar of Titles; C. The use of development agreements to embody the conditions of approval of development and the implementation of New Development on Development Sites; 3.2.3. Fees. The JDA is authorized to impose the customary fees used by City in its redevelopment activities. The JDA will develop a fee schedule and implement the fee schedule subsequent to approval by the Parties (Schedule Dl. 3.2.3.1. Pursuant to Minnesota Statutes Section 462.353, the JDA may prescribe fees sufficient to defray the costs incurred by it in reviewing and investigating an application for a permit or other approval required under an official control established pursuant to the TCAAP Master Plan and this Joint Agreement. The JDA may charge the applicant for direct costs relating to professional services provided during the review, approval and inspection of the project-, nosed development and may require the applicant to establish an escrow account or other financial security for the purpose of reimbursing the JDA for those costs. Such fees or fee schedule must be established by resolution of the Board subsequent to approval by the Parties, and be fair, reasonable, and proportionate and have a nexus to the actual cost of the service for which the fee is imposed. The fee schedule shall contain the elements described at Schedule D. 3.2.3.2. The JDA may exercise the authority in Minnesota Statutes Chapter 444 to develop and implement the Public Improvements necessary to serve the New Development, including but not limited to implementing a system of charges authorized therein to develop and maintain the Public Improvements. Such authority may also be exercised by the City on behalf of the JDA if the Parties determine it is more appropriate to do so. 3.2.3.3. The JDA may exercise the authority in Minnesota Statutes Chapter 429 to specially assess for the Public Improvements necessary to serve the New Development. Such authority may also be exercised by the City on behalf of the JDA if the Parties determine it is more appropriate to do so. 3.2.4. RFP Process. The JDA will implement a developer RFP process to facilitate development of each Development Site. Upon recommendation by staff and consultants that the proposed developer and its pr-ojeet development is in substantial conformance with the TCAAP Master Plan, the JDA will approve the respective project, and communicate its decision to the developer and the Parties. 3.2.5. Approval of Development Agreements. The JDA shall review and finally approve all development agreements for a Development Site which are consistent with the 14 TCAAP Master Plan. The JDA shall develop a process for review of development applications eensistent *''which will include elements listed in Schedule C. 3.2.6. City and County Responsibilities. Upon approval of a development agreement, the Parties shall consider such approval and take all actions necessary to implement the approved development agreement. 3.2.6.1. County will take all actions necessary and convenient to sell the respective parcel of land with good and marketable title. 3.2.6.2. City will take all actions necessary to conduct and complete any additional approval process identified by the JDA as necessary or appropriate to implement the development agreement. Section 3.3. Amendment of the TCAAP Master Plan. The Parties recognize that the passage of time, market forces and other applicable, but unforeseen events may require future amendments to the TCAAP Master Plan. Depending on the facts and issues relevant at that time, a proposed amendment could be either a major or minor amendment of the TCAAP Master Plan. In the event the Parties or the JDA believe that the TCAAP Master Plan should be amended to implement the New Development, such amendment shall be referred to the City and County for review and comment and for determination of whether the proposed amendment is a major or minor amendment. 3.3.1. Major Amendment. A major amendment is a proposed amendment which requires City to amend its comprehensive plan. If City finds that its comprehensive plan does not currently permit such amendment, City shall determine whether to amend its comprehensive plan with respect to the TCAAP Site to implement the proposed amendment, and consult with County on its decision. Thereafter, if City amends its comprehensive plan to implement the proposed amendment, the proposed amendment shall be considered by Count,-€ *� �' oT- County approva , the. The TCAAP Master Plan as proposed amendmentto be amended shall be adopted into the TCAAP "` + - P?a::unon County and City annroval. 3.3.2. Minor Amendment. A minor amendment does not involve an amendment to City's comprehensive plan, but relates to issues including but not limited to the location of public infrastructure or public amenities proposed to serve a Development Site; a change in location or density within a Development Site or other similar modification deemed desirable by the JDA to implement the New Development. The JDA shall recommend such minor amendment to the Parties, and if approved by the Parties, the TCAAP Master Plan shall be modified consistent with the approved amendment. Section 3.4. County Implementation Responsibilities. County will complete its obligations and responsibilities to assist in the implementation of the TCAAP Master Plan as described in this Section 3.4. 3.4.1. Acquisition of TCAAP Site. County will acquire the TCAAP Site and be responsible for completing the County Remediation within the time period established in the 15 OTP. County will use its own resources and seek and obtain resources from other agencies and entities to fund the County Remediation. The County Remediation will take place in an orderly manner and will be pursued to completion pursuant to the OTP and the Lease. Subsequent to acquisition of the TCAAP Site County will complete an initial survey and plat of the TCAAP Site. 3.4.2. County Site Clearance. County is responsible for causing the County Site Clearance to take place, using its own resources and any other resources that may become available through the development process. County Site Clearance will take place in a phased, orderly manner, consistent with the TCAAP Master Plan. County may elect to expedite the County Site Clearance, and will use its good faith efforts to complete the County Site Clearance in accordance with the goals for the phasing and timing thereof set out in the TCAAP Master Plan, or upon agreement of the Parties if the Master Plan has not then been approved by the Parties. 3.4.3. County Public Improvements. County will construct the Spine Road at County expense and coordinate the relocation and installation of private utilities (the "County Public Improvements") with City's installation of trunk utilities as part of its allocated elements of the Public Improvements. The TCAAP Master Plan will provide further specificity as to the desired schedule and goals for completing the respective elements of the Public Improvements described therein. 3.4.3.1. County will not require City participation in County's annual maintenance plan for County Public Improvements on the TCAAP Site. 3.4.3.2. County shall be responsible for implementation of any proposed changes to the Groundwater Treatment Infrastructure required for the construction of City Improvements. 3.4.4. Off-site Transportation Improvements• Private Utilities. County has the responsibility for causing the off-site transportation improvements and associated private utilities element of the Public Improvements to be constructed. It is the Parties'- he intent that the Public Improvements be constructed in accordance with a desired schedule and goal for completion set forth in the TCAAP Master Plan, and that in all instances to be timely constructed and phased to provide adequate transportation facilities for the New Development as it occurs. 3.4.5. Maintenance Plan. County will develop and implement a maintenance plan for its elements of the Public Improvements. 3.4.6. County Remediation. County will complete the County Remediation as described in the OTP and Lease. 3.4.7. County Survey and Plat County shall be responsible for the timely preparation of a survey and initial plat of the TCAAP Site for the implementation of the TCAAP Master Plan. 16 Section 3.5. City Implementation Responsibilities. City will complete its obligations and responsibilities to assist in the implementation of the TCAAP Master Plan as described in this Section 13.5 and this Agreement. 3.5.1. AUAR. City has the legal authority as the responsible governmental unit ("RGU"), and finanei 1 .1''1'4" for the development of the AUAR. City will coordinate the results of the AUAR with the Market Study and City's comprehensive plan and the devel^r,,.,°r* e4m order to develop the TCAAP Master Plan in guide the New Development as outline will be provided in the TCAAP Master Plan. City will exert its best efforts to complete the AUAR within eighteen (18) months of the effective date of this Joint Agreement, and to complete the TCAAP Master Plan within six (6) months of the adoption of the AUAR, but not later than twenty-four (24) months of the effective date of this Joint Agreement for completion of the AUAR and the Master Plan. 3.5.2. City Public Improvements. City has responsibility for the construction of the City Public Improvements. City- shall ethe oversight authority to insure that Remediation, Site Glear-anee, developer- installed impy-ovements stieh as water mains, stom a sanitary , i ri aidentified,t+l;tie and other- identif eu.1 uuv l, amenities element of the D„b,l; "Developer » and , °,.tive development agreement. It is the Parties' intent that theCity and County Public Improvements, and Developer Installed Improvements bare constructed in accordance with a desifed schedule and goal f „^m„letias in set forth in th,-TCAAP Master Plante amain all instanees to be in order that such improvements are timely constructed and phased to provide adequate utilities for the New Development as it occurs. However, unless otherwise agreed to by the Parties, the City will not construct the trunk and sub-trunk water mains, storm and sanitary sewer elements of the City Public Improvements unless thesothe costs can be charged to a developer pursuant to the City's petition process. 3.5.3. Code Enforcement; Development Review Process. T4ie-City has the legal authority and responsibility for building code enforcement and sfteon the TCAAP Site. City will assign staff to oversee the JDA development monitoring as „r^ ,idea in the TCAAP ::Taster Xanreview process to assure development is in accordance with the teffns of the TG^ A D TiT.,�t� Plan and the TDA RRFP proeess f developing Deyel r t Sites described b development agreement approved by the JDA pursuant to the JDA development review process described in Schedule C City's costs for oversight of the JDA review process and enforcement of approved development agreements will be reimbursed by the JDA from development fees described in Schedule D. Section 3.6. Joint Responsibilities. The Parties will complete their joint obligations and responsibilities in a timely manner. Where deemeddetermined by the Parties to be more appropriate, the authority necessary for the redevelopment of the TCAAP Site as provided in this Joint Agreement may be exercised by the more appropriate Party as determined by the Parties. 3.6.1. Legislative Authority. The Parties will jointly request legislative bonding authority or other financing for the off-site transportation improvements as agreed upon by the 17 Parties, and other initiatives with the Legislature deemed necessary for implementation of the TCAAP Master Plan, including the construction of the County and City Public Improvements. The Parties shall agree on a reasonable allocation of such funds to the City and County Improvements. 3.6.2. Coordination of Public Improvements. The Parties will coordinate the timing of the Public Improvements which are their separate responsibility to facilitate the staged redevelopment of the TCAAP Site pursuant to the TCAAP Master Plan. Each Party, with review and comment by the other Party, may elect to construct public improvements in advance of any identification of a Development Site or Sites. The Parties shall determine whether land for public amenities such as parks and trails shall first be dedicated by the County, or dedicated by developers as the New Development is implemented. The Parties will recover their costs when New Development takes place to the maximum extent feasible pursuant to Section 3.7. Section 3.7. Cost Allocation; Cost Recovery. The Parties will be undertaking activities in support of the New Development and operations of the JDA which will require e-i= public financial investment. It is the intent of the Parties that their respective investment be recovered to the maximum extent feasible (respectively "County Investment" and "City Investment" as defined in Section 1.1). The Parties will determine the respective cost allocation for the Shared Public Improvements, including the storm water pond retention system currently considered a likely requirement for the New Development. 3.7.1. County Cost Recovery. The County will recover the County Investment for the acquisition of the TCAAP Site, County Site Clearance, County Remediation, County Public Improvements, Off-site Transportation Improvements and the operations of the JDA primarily through the sale of land on the TCAAP Site. Not with standin;,,:N_�otwithstanding the schedule and goals stated in the TCAAP Master Plan, unless otherwise agreed to by the Parties, the County Public Improvements shall be constructed when a Development Site is approved by the JDA, sold by County to the selected Developer, and the selected Developer agrees to financially participate in the extension of the respective County Public Improvements. 3.7.2. City Cost Recovery. City shall recover the City Investment for the trunk utilities and sub-trunk utilities (serving a Development Site), eaeh elements of the City Public Improvements, and the preparation of the AUAR and TCAAP Master Plan. 3.7.2.1. City shall recover the City Investment for the trunk utilities and sub-trunk utilities when a Development Site is approved by the JDA, and the selected Developer agrees to financially participate in the extension of the respective City Public Improvements pursuant to City's petition process. 3.7.2.2. City shall recover the cost of the preparation of the AUAR and TCAAP Master Plan through a fee or surcharge on building permits or other approvals issued by City for the New Development as further described in Section 3.7.3 below. 3.7.2.3. Other City costs for serving Development Sites, including other public infrastructure such as parks, shall be recovered by City pursuant to a development fee 18 structure as described at Schedule D. The development fees shall be imposed by the JDA on developers pursuant to approved development agreements; special assessments; and park dedication fees as may be necessary for a Development Site. 3.7.2.4. City shall retain all fees for services relating to building permit and code enforcement activities performed on the TCAAP Site, as well as park dedication fees imposed by the JDA... 3.7.2.5. Not with stand nnNotwithstanding the schedule and goals stated in the TCAAP Master Plan, unless otherwise agreed to by the Parties, the trunk utility and sub- trunk utilities elements of the City Public Improvements serving a Development Site shall be constructed when a Development Site is approved by the JDA, and the selected Developer agrees to financially participate in the extension of the respective City Public Improvements. 3.7.3. City Cost Recovery Formula. City shall develop an equitable formula for the purpose of recovering the City Investment for the cost of the preparation of the AUAR and TCAAP Master Plan. The formula shall be applied to a Development Site and may be determined by City as follows: (i) on a per acre basis of a Development Site compared to the developable acreage of the TCAAP Site; (ii) a per acre basis on classes of land uses on the TCAAP Site or a Development Site; (iii) the value of the proposed development on a Development Site; (iv) or other reasonable formula (the "Cost Recovery Formula"). The Cost Recovery Formula may be a fee or surcharge attached to the building permit or other approval issued by City for a Development Site, and collected by City as part of the building permit review process. Section 3.8. Development Site Cost Recovery Process. The JDA shall impose the usual and customary development fees for a Development Site as provided in Section 3.2.3, and as described at Schedule D. Such fees shall be used by the JDA to pay the costs of the development review process;} purchase services from the Parties or consultants necessary and convenient for the review of Development RFPs and applications for Development Sites; and the drafting of development agreements for a Development Site. Section 3.9. Additional Cost Recovery. The Parties shall determine a reasonable method to distribute any funds generated by the redevelopment of the TCAAP site which are not specifically allocated as provided in this Section. 3.9.1. Non-Allocated Costs. Each Party shall be responsible for its respective costs and expenses not otherwise specifically allocated in this Joint Agreement, including but not limited to costs incurred in the preparation of this Joint Agreement, or costs for any other agreements or documents determined by the Parties to be necessary and convenient as the Parties move forward to implement this Joint Agreement. (The remainder of this page left intentionally blank) 19 ARTICLE IV LIABILITY Section 4.1. Responsibility for Risks and Liabilities. Each Party shall be liable for its torts and the torts of its employees, agents and consultants in undertaking its respective individual responsibilities as described in this Joint Agreement. Notwithstanding any language to the contrary in this Joint Agreement, the Parties agree that liability arising out of the activities of the JDA and the Parties shall be subject to the requirements of Minnesota Statutes Section 471.59, subdivision lab., as it may be amended. Section 4.2. Insurance. The Parties intend that the JDA be insured for its tort liability and general liability as a joint powers board. The Parties shall coordinate the insurance coverage and carriers, and allocate such responsibility pursuant to advice from its carriers, or as determined by its self-insurance advisors as the case may be. The costs of sueh ' e shall be split based on the ratio established by the Anntial Gentr-ibtiti insurance for the JDA shall be the responsibility of County. The JDA shall be insured as follows: 4.2.1. Comprehensive general liability insurance with limits against bodily injury and property damage of not less than $1,500,000 for each occurrence. 4.2.1. Workers' Compensation insurance providing statutorily required coverage. 4.2.3. Each Party shall primarily insure its staff assigned to the JDA and be primarily liable for injuries to its employee(s) while performing duties on behalf of the JDA. 4.2.4. The Parties intend that to the extent JDA activities take place on property owned or controlled by a Party, the JDA shall assume primary liability for injuries or death to any person, or any property damage that may occur. 4.2.4. At such time as the JDA may be authorized by the Parties to hire and retain employees, the JDA shall procure insurance as required by this Article and become primarily liable for injuries to and the tort liability of such employees. Section 4.3. Liability Insurance. Any costs for insurance by the Parties for their respective coverage as a member of the JDA shall be the responsibility of that Party. Each Party agrees that it shall, at its own expense, carry and maintain in full force and effect during the Initial Term and any Additional Term of this Joint Agreement (as Term and Additional Term are defined in Section 5.5 below) comprehensive public liability insurance, including personal injury liability coverage, in amounts which meet or exceed the maximum liability limits per claim or any number of claims per occurrence under Minnesota Statute Section 466.04, Laws of Minnesota 2012 or as thereafter amended, to address that Party's liability arising out of its respective activities under this Joint Agreement. 20 Section 4.4. Worker's Compensation Insurance. Each Party shall, at its own expense, obtain and maintain in full force and effect during the Initial Term and any Additional Term of this Joint Agreement worker's compensation insurance providing statutorily required coverage for any and all of its employees that it assigns to work for or on behalf of the JDA. Section 4.5. Requirements. All insurance required by this Section shall be taken out and maintained in responsible insurance companies authorized under the laws of the State of Minnesota to assume the risks covered thereby. Upon request, each Party will deposit annually with the other party policies evidencing all such insurance or a certificate or certificates or binders of the respective insurers stating that such insurance is in full force and effect. Unless otherwise provided in this Article IV of this Joint Agreement, each policy shall contain a provision that the insurer shall not cancel or modify it in such a way as to reduce the coverage provided below the amounts required herein without giving written notice to the Parties at least thirty (30) days before the cancellation or modification becomes effective. In lieu of separate policies, a Party may maintain a single policy, blanket or umbrella policies, or a combination thereof, having the coverage required herein, in which event the Party shall deposit with the other Party a certificate or certificates of the respective insurers as to the amount of coverage in force. (The remainder of this page left intentionally blank) I I i 21 ARTICLE V DEFAULT AND TERMINATION Section 5.1. Events of Default Defined. The following shall be "Events of Default" under this Joint Agreement and the term "Event of Default" shall mean, whenever it is used in this Joint Agreement (unless the context otherwise provides), any failure by any Party to observe or perform any other covenant, condition, obligation or agreement on its part to be observed or performed hereunder, or under the terms of this Joint Agreement. Section 5.2. Remedies on Default. Whenever any Event of Default referred to in Section 5.1 of this Joint Agreement occurs, the non-defaulting Party may exercise its rights under this Section 5.2 after providing thirty days written notice to the defaulting Party of the Event of Default, but only if the Event of Default has not been cured within said thirty days or, if the Event of Default is by its nature incurable within thirty days, the defaulting Party does not provide assurances reasonably satisfactory to the non-defaulting Party that the Event of Default will be cured and will be cured as soon as reasonably possible: a. Suspend its performance under the Agreement until it receives assurances that the defaulting Party will cure its default and continue its performance under the Agreement. b. Take whatever action, including legal, equitable or administrative action, which may appear necessary or desirable to collect any payments due under this Agreement, or to enforce performance and observance of any obligation, agreement, or covenant under this Agreement. Section 5.3. No Remedy Exclusive. No remedy herein conferred upon or reserved to the Parties is intended to be exclusive of any other available remedy or remedies, but each and every such remedy shall be cumulative and shall be in addition to every other remedy given under this Agreement or now or hereafter existing at law or in equity or by statute. No delay or omission to exercise any right or power accruing upon any default shall impair any such right or power or shall be construed to be a waiver thereof, but any such right and power may be exercised from time to time and as often as may be deemed expedient. In order to entitle a Party to exercise any remedy reserved to it, it shall not be necessary to give notice, other than such notice as may be required in this Article V. Section 5.4. No Additional Waiver Implied by One Waiver. In the event any agreement contained in this Joint Agreement should be breached by either Party and thereafter waived by the other Party, such waiver shall be limited to the particular breach so waived and shall not be deemed to waive any other concurrent, previous or subsequent breach hereunder. Section 5.5. Termination; Additional Term. Upon establishment of the JDA, this Joint Agreement may only be terminated by mutual agreement of the Parties prior to December 31, 2038 (the "Initial Term"). Thereafter, unless terminated by either Party (a "Terminating Party") 22 upon one calendar year prior notice (the "Notice of Termination"), the Joint Agreement shall automatically renew for a new term (or terms) of five (5) years (each an"Additional Term"). Section 5.6. City Option to Purchase Upon Termination. If County is the Terminating Party, City shall have the option to purchase any then undeveloped area of the TCAAP Site at the then fair market value of such land. The Parties may each exchange a certified appraisal of the value of such land, with the final fair market value to be determined by adding the two appraisal values together and dividing such figure in half(the"Land Option Value"). City shall have 180 days from the Notice of Termination within which to determine to exercise this option, and an additional 180 days thereafter to close on such sale. 5.6.1. County Public Improvements. If County has not yet completed any element of the County Public Improvements, the Parties shall determine the value of such work by securing two engineering estimates with the final value to be determined by adding the two values together and dividing such figure in half (the "County Improvements Option Value"). County shall pay such value to City within 180 days of closing on the sale of the remaining land on TCAAP Site, or provide such security or financing sufficient in the opinion of City to insure such County Public Improvements are completed in a timely manner. City at its sole option may determine to offset the Land Option Value against the County Public Improvements Option Value. County may determine to complete the remaining elements of the County Public Improvements, and provide reasonable assurances and such security or financing sufficient in the opinion of City to insure such County Public Improvements are completed in a timely manner. Section 5.7. County Option Upon Termination. If City has not yet completed any element of the City Public Improvements for a Development Site or Sites approved by the JDA, the Parties shall determine the value of such work by securing two engineering estimates with the final value to be determined by adding the two values together and dividing such figure in half(the "City Public Improvements Option Value"). City shall pay such value to the County within 180 days of Notice of Termination. City may determine to complete the remaining elements of the City Public Improvements, and provide reasonable assurances and such security or financing sufficient in the opinion of County to insure such City Public Improvements are completed in a timely manner. Section 5.8. Winding Up JDA Activities. In the event of armor termination, the JDA shall be dissolved upon each Party adopting a resolution terminating the Joint Agreement. In this event, the property of the JDA or its value, and any surplus moneys shall be disposed between the Parties pursuant to the Annual Contribution Ratio or as the Parties may otherwise agree. The Parties shall cooperate in good faith to wind down the activities of the JDA in an orderly manner to minimize loss of public assets and liability from such winding down. 5.8.1. Notwithstanding termination, powers of the JDA under this Joint Agreement shall continue to the extent necessary to: a. Continue operation of the JDA Board until all then pending applications for development of a Development Site have been reviewed and a final decision made; 23 b. The JDA can settle and wrap up its affairs, including discharge of any debt or liability associated with the operations pursuant to this Joint Agreement; and C. Completion of the disposition and distribution of records, and of all property contributed to or otherwise acquired for activities pursuant to this Joint Agreement. 5.8.2. Upon termination, no property of the JDA shall be disposed of until payment or performance of all obligations arising out of this Joint Agreement is complete as provided hefeinin this Agreement. 5.8.3. Subsequent to termination, any future development on the TCAAP Site shall be considered by City pursuant to the applicable elements of the TCAAP Master Plan, as it may be amended in the sole discretion of City. (The remainder of this page left intentionally blank) 24 ARTICLE VI ADDITIONAL PROVISIONS Section 6.1. Conflict of Interests. City and County, to the best of their respective knowledge, represent and agree that no official, or employee of the representing Party shall have any personal interest, direct or indirect, in this Joint Agreement, nor shall any such official, or employee participate in any decision relating to this Agreement which affects that persons personal interests or the interests of any corporation, partnership, or association in which the person is, directly or indirectly, interested. Section 6.2. Equal Employment Opportunity. The Parties agree for themselves and their successors and assigns, that each will comply with all applicable federal, state, and local equal employment and non-discrimination laws and regulations. Section 6.3. Data Practices; Open Meeting. The books, reports, and records of the JDA shall be available for and open to public inspection pursuant to the Minnesota Government Data Practices Act, Minnesota Statutes Chapter 13. The JDA shall conduct its meetings pursuant to the Open Meeting Law, Minnesota Statutes Chapter 13D. Section 6.4. Titles of Articles and Sections. Any titles of the several parts, Articles, and Sections of this Joint Agreement are inserted for convenience of reference only and shall be disregarded in construing or interpreting any of its provisions. Section 6.5. Notices and Demands. Except as otherwise expressly provided in this Joint Agreement, a notice, demand, or other communication under this Joint Agreement by either party to the other shall be sufficiently given or delivered if it is dispatched by registered or certified mail, postage prepaid, return receipt requested, or delivered personally; and a. in the case of the County, is addressed to or delivered personally to the County, Attn:: County Manager, Suite 250 Court House, 15 West Kellogg Boulevard, St. Paul, MN 55102; b. in the case of the City, is addressed to or delivered personally to the City at City Hall, Attn-: City Administrator, 1245 Highway 96 West, Arden Hills, MN 55112; or at such other address with respect to either such party as that party may, from time to time, designate in writing and forward to the other as provided in this Section. Section 6.6. Severability. If any of the terms or provisions contained herein shall be declared to be invalid or unenforceable by a court of competent jurisdiction, then the remaining provisions and conditions of this Joint Agreement, or the application of such to persons or circumstances other than those to which it is declared invalid or unenforceable, shall not be affected thereby and shall remain in full force and effect and shall be valid and enforceable to the fullest extent permitted by law. 25 Section 6.7. Enforcement. In addition to any remedy available to the Parties in this Joint Agreement or under law, specific performance of the provisions of this Joint Agreement may be enforced against a Party by the other Party. Section 6.8. Construction. This Joint Agreement and shall be construed according to the laws of the State of Minnesota. Section 6.9. Entire Agreement. Except as otherwise provided herein, the Joint Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof, and there are no other representations, warranties, or agreements except as herein provided. Section 6.10. Counterparts. This Joint Agreement may be executed in any number of counterparts, each of which shall constitute one and the same instrument. Section 6.11. Recording. Either party may record this Joint Agreement and, and any amendments thereto in the real estate records of Ramsey County at the Party's expense. Section 6.12. Representations of the Parties. Each Party represents that it has the authority to enter into this Joint Agreement and carry out its respective obligations thereunder. i I I IN WITNESS WHEREOF, City and County have entered into this Joint Agreement as of the date first stated in the caption of this Joint Agreement. (Signature pages to follow) 26 (Signature and acknowledgment page for Ramsey County) I 27 (Signature and acknowledgment page for Arden Hills) 28 SCHEDULE A Depiction of TCAAP Site/Legal Description (needed for recording) A-1 409894v911 MTN AR200-13 SCHEDULE B Elements of TCAAP Master Plan A. Public Engagement Process. Prior to beginning work on the Master Plan, a public engagement process will be defined. Public engagement activities will occur throughout the master planning process and will be correlated to significant decision points. The public engagement process will include: a. Interactive participation by stakeholders b. Community outreach and communication; and C. Input from the development community. B. Land Use Component to include: a. Density, intensity, and use framework that is consistent with existing Mixed Business and Mixed Residential zoning; b. Definition of development character including aesthetic, streetscape, and architecture themes; and C. Identification of zoning district overlay categories. C. Circulation and Movement Component to include: a. Traffic study; b. Location of spine road, major arterials, and collectors; C. Pedestrian and bicycle circulation plan; d. Street hierarchy including complete streets designations. Street hierarchy should be based on consideration of both land use and circulation; C. Identification of significant development nodes; f. Identification of transit opportunities; g. Principles of bridge design to incorporate site-wide design features; and h. Right-of-way management and maintenance policy. i. City right-of-way ii. County right-of-way iii. Privately maintained right-of-way D. Utilities Component to include: a. Private utilities plan to include location of Xcel substation; b. Water utility plan; C. Sewer plan; d. Stormwater plan to include consideration of regional or site-wide stormwater infrastructure; and e. Renewable energy opportunities. E. Parks and Open Space Component to include: a. Park and open space plan shall include: i. 20-acre central park; ii. 4 2-acre neighborhood parks; iii. Regional trail corridor; iv. Reference to trail/pedestrian/bicycle circulation plan; V. Cost estimate; and vi. Park dedication policy. B-1 409894911 MTN AR200-13 b. Park and open space hierarchy to include general characteristics and use categories; i. Amenities ii. Recreation options iii. Design features C. Management and maintenance policy including consideration of whether park and open space is publicly or privately managed and maintained. F. Environmental Remediation Component to include: a. Layer analysis of environmental features such as: i. Soil types ii. Topography iii. Wetlands iv. Contamination b. Description and timetable of remediation process; C. Description of how the remediation process is aligned to and affects the development process; and d. Site-specific remediation policy including the following requirements: i. Response Action Plan ii. Timeline iii. Action steps and implementation plan iv. Letter of Completion G. Implementation Plan to include: a. Identification of public improvements; b. Cost estimate of public infrastructure; C. Identification of financing options; d. Identification of repayment mechanisms; e. Public/private development phasing plan to align public infrastructure investments with private development; f. Analysis of public maintenance costs; and g. Analysis of public revenue compared to cost of public maintenance and services. H. Regulatory Plan to include: a. Approval of zoning district overlays; i. Design standards ii. Massing iii. Relationship with the street iv. Setbacks V. Parking b. Landscaping and tree preservation plan; C. Amenities in the right-of-way plan including gateway features; d. Signage plan; e. Lighting requirements; f. Park dedication requirements based on policy; g. Regulations on remediation policy enforcement; h. Subdivision ordinance i. Other regulations to support policies developed during the master planning process; B-2 j. Definition of fees, escrows, and cost of review; and k. Public hearing and notices requirements. B-3 SCHEDULE C JDA Developer Application Review Process 1. Site-specific traffic study 2. Land use site plan review including payment of fees and escrow 3. Site-specific plans for the following: a. Lighting b. Landscape and streetscape c. Grading and erosion control d. Architecture, design, and building elevations e. Parking f. Circulation 4. Site-specific Response Action Plan approved by the MPCA 5. Agreements on management and maintenance of infrastructure and right-of-way 6. Development agreements 7. Construction phasing plans 8. Preliminary and final platting 9. Surveys C-1 409894v9j 1 MTN AR200-13 SCHEDULE D JDA Fee Schedule (To be prepared by the JDAI D-1 409894v9ll MTN AR200-13 SCHEDULE E Fiscal Agent The Fiscal Agent shall: 1. Be responsible for cash management, payment processing,preparing budgets, and financial reporting. 2. Receive all funds of the JDA for deposit into and shall make disbursements from the JDA Accounts. The Fiscal Agent will manage the depository accounts with its primary bank, which as of the date of the JPA is US Bank. 3. Maintain current and accurate records relating to JDA accounts. 4. Account for all funds according to generally accepted accounting principles and County's usual accounting practices. 5. Provide financial reports to the Board quarterly, unless the Board directs that reports be more often. The reports shall include statements of revenue and expenses costs and disbursements) and budget reports, accounts receivable, accounts payable, and information as described in the JPA with respect to the annual budget. The reports shall be provided directly to the Chair and Vice-Chair and also delivered to the Board. 6. Disbursements and financial management shall be as provided in the JPA and with respect to cost recovery, as described in the JPA. The Fiscal Agent shall provide reports of disbursements relating to such cost recovery upon their occurrence directly to the Chair and Vice Chair of the JDA Board, the City Administrator and the County Manager and shall include reports thereof at least quarterly to the Board. 7. Maintain all financial records and reports for a period of six (6) full fiscal years. 8. The Fiscal Agent services shall be provided by the County Department of Finance. The Fiscal Agent shall charge fees for service to the JDA, and the fees shall be paid in accordance with the annual budget, and shall be subject to cost recovery as provided in the JPA. The Fiscal Agent shall report to the County Manager and City Administrator and to the Chair. 9. The Fiscal Agent shall report to Fees for Fiscal Agent services shall be charged to and paid by the JDA as an expense as provided in Section 2 of the JPA. 10. Audits will be conducted in accordance with the requirements of the State Auditor, Ramsey County policy, and the requirements of any agency providing funds for the activities of the JDA, and results shall be reported timely to the Ramsey County Audit Committee and the JDA Board. Audit fees will be charged to the JDA as an expense of the JDA. E-1 11. The Parties agreement regarding the engagement of the County as the Fiscal Agent shall be the same length as the term of the JPA and the termination process shall be as provided in the JPA for termination of the JDA. 12. The Parties shall use good faith to attempt to resolve by negotiation disputes relating to the Fiscal Agent and noncompliance with the requirements for the Fiscal Agent or the requirements of the Fiscal Agent with respect to the JDA, and upon agreement shall use any available dispute resolution process including mediation and arbitration and failing to negotiate or resolve the dispute by such means may elect to resolve the dispute by legal action. In the event the Fiscal Agent determines that there is a dispute relating to the Fiscal Agent, the Fiscal Agent shall report the existence of the dispute to the City Manager, City Administrator, Chair and Vice Chair of the JDA. 13. Changes to the scope of services and responsibilities of the Fiscal Agent shall be made by written agreement of the Parties, which shall be deemed an amendment of the JPA. 14. County shall not have any liability to City for acting as Fiscal Agent, and without limiting the liability of County as provided under the JPA as a Party, in its capacity as Fiscal Agent, County is not liable for management decisions of the JDA nor liable for cash shortfalls or any payments as a result of insufficient funds due to funding shortfalls of the JDA. I i I E-2 Attachment Proposed TCAAP Joint Powers Agreement, clean version November 26, 2012, City Council Meeting DRAFT COPY 11/21/12 JOINT POWERS AGREEMENT FOR THE REDEVELOPMENT OF THE TWIN CITIES ARMY AMMUNITION PLANT By and Between THE CITY OF ARDEN HILLS, MINNESOTA and THE COUNTY OF RAMSEY STATE OF MINNESOTA Dated as of: 92012 This document was drafted by: KENNEDY & GRAVEN, Chartered (MTN) 470 US Bank Plaza 200 South Sixth Street Minneapolis, MN 55402 Telephone: (612) 337-9300 409894v11 MTN AR200-13 TABLE OF CONTENTS PREAMBLE ............................................................................................................................. 1 ARTICLE I Definitions Section1.1. Definitions...........................................................................................................3 ARTICLE II Joint Development Authority Section2.1. Authorization......................................................................................................6 Section2.2. General Purpose..................................................................................................6 Section 2.3. Joint Development Authority..............................................................................6 ARTICLE III TCAAP Master Plan Section 3.1. Development of the AUAR and the TCAAP Master Plan; GeneralRequirements....................................................................................... l l Section 3.2. Elements of TCAAP Master Plan..................................................................... l l Section 3.3. Amendment of the TCAAP Master Plan.......................................................... 14 Section 3.4. County Implementation Responsibilities.......................................................... 14 Section 3.5. City Implementation Responsibilities............................................................... 15 Section 3.6. Joint Responsibilities........................................................................................ 16 Section 3.7. Cost Allocation; Cost Recovery........................................................................ 16 Section 3.8. Development Site Cost Recovery Process........................................................ 17 Section 3.9. Additional Cost Recovery................................................................................. 17 ARTICLE IV Liability Section 4.1. Responsibility for Risks and Liabilities............................................................ 19 Section4.2 Insurance........................................................................................................... 19 Section 4.3. Liability Insurance............................................................................................ 19 Section 4.4. Worker's Compensation Insurance................................................................... 19 Section4.5. Requirements....................................................................................................20 ARTICLE V Default and Termination Section 5.1. Events of Default Defined ................................................................................21 Section 5.2. Remedies on Default.........................................................................................21 i Section 5.3. No Remedy Exclusive.......................................................................................21 Section 5.4. No Additional Waiver Implied by One Waiver................................................21 Section 5.5. Termination; Additional Term..........................................................................21 Section 5.6. City Option to Purchase Upon Termination.....................................................22 Section 5.7. County Option Upon Termination....................................................................22 Section 5.8. Winding Up JDA Activities..............................................................................22 ARTICLE VI Additional Provisions Section 6.1. Conflict of Interests...........................................................................................24 Section 6.2. Equal Employment Opportunity.......................................................................24 Section 6.3. Data Practices; Open Meeting ..........................................................................24 Section 6.4. Titles of Articles and Sections..........................................................................24 Section 6.5. Notices and Demands .......................................................................................24 Section6.6. Severability.......................................................................................................24 Section6.7. Enforcement......................................................................................................25 Section6.8. Construction......................................................................................................25 Section6.9. Entire Agreement..............................................................................................25 Section6.10. Counterparts......................................................................................................25 Section6.11. Recording..........................................................................................................25 Section 6.12. Representations of the Parties...........................................................................25 SCHEDULE A Depiction of TCAAP Site/Legal Description SCHEDULE B Elements of TCAAP Master Plan SCHEDULE C JDA Development Application Process SCHEDULE D JDA Fee Schedule ii JOINT POWERS AGREEMENT FOR THE REDEVELOPMENT OF THE TWIN CITIES ARMY AMMUNITION PLANT THIS JOINT POWERS AGREEMENT (the "Joint Agreement" or the "JPA") is made and entered into as of the day of , 2012, by and between the City of Arden Hills, a Minnesota municipal corporation (the "City") and the County of Ramsey, a political subdivision under the laws of Minnesota (the"County"). RECITALS A. The County of Ramsey(the "County") is the Purchaser under that certain Offer to Purchase, as Amended (the "OTP"), by and between the County and the United States of America, by the General Services Administration, as Seller ("GSA"), for a portion of the real property located in the City of Arden Hills (the "City") commonly referred to as the Twin Cities Army Ammunition Plant ("TCAAP"). (The real property which is the subject of the OTP contains approximately 437 acres of land and is referred to in this Joint Agreement as the "TCAAP Site"). The purpose of County for purchasing the TCAAP Site is to facilitate the clean up of existing environmental contamination, elimination of blight and the redevelopment of the TCAAP Site for new development pursuant to the TCAAP Master Plan, as defined below. B. Portions of the TCAAP Site contain environmental contamination as more fully described in existing environmental reports (the "Contamination"). The OTP provides for remediation of the Contamination pursuant to a lease from GSA to County (the "Lease"). At the closing of the sale and purchase as provided in the OTP, GSA will convey to County ownership of fee title to the land, and related improvements, of the TCAAP Site that is not contaminated (the "Initial Conveyance"), and will lease to County the contaminated portions of the TCAAP Site (the "Lease Site"). Pursuant to the Lease, County will undertake and complete within the time period as agreed to by and between County and GSA, which is currently contemplated to be at least three years, the remediation of the Contamination to a level sufficient to permit redevelopment on the Lease Site (the "County Remediation" and "Developer Remediation" as defined hereafter). Conveyance of ownership of good and marketable fee simple title to the entire TCAAP Site to County will take place when the County Remediation is finished (the "Final Conveyance"). C. The TCAAP Site also contains buildings and other improvements that are no longer useable, are blighting influences, and need to be removed for the TCAAP Site to be fully redeveloped (the"County Site Clearance" and "Developer Site Clearance" as defined herein). D. The "New Development" (as described in these Recitals and defined in Section 1.1 below) requires investment by County to purchase the TCAAP Site and complete the County Remediation and County Site Clearance, investment by City to work with County to develop and implement the redevelopment plans to guide the New Development, and significant investment in public infrastructure by City and County pursuant to the TCAAP Master Plan (as defined below). E. County and City (collectively the "Parties", individually a "Party") desire and intend that redevelopment of the TCAAP Site take place to remediate and eliminate blighting conditions and to make possible and result in significant amounts of New Development to provide employment opportunities, improve the tax base, and improve the general economy of the City, the local community and Ramsey County as a whole. The New Development will include the construction of necessary off-site and on-site transportation improvements such as the Spine Road, as well as internal streets, water and sanitary and storm sewer and other public facilities and other public and private utilities and improvements to be located on the TCAAP Site ( "City Public Improvements" and County Public Improvements", collectively, the "Public Improvements" as defined in Section 1.1). The Parties will develop plans to provide for a mix of residential, commercial, light industrial and other uses utilizing the Public Improvements (collectively, the Public Improvements and the uses proposed for the TCAAP Site comprise the "New Development"). The plans guiding the type of land uses, density, location and timing of implementation of the components of the New Development comprise the "TCAAP Master Plan", as further described in Section 1.1). F. The New Development will take place within the City. The New Development will require the participation of City to complete environmental review for the TCAAP Site as required by law, by means of a process described as alternative urban areawide review ("AUAR"), and application of the City's statutorily mandated planning and zoning authority to develop the TCAAP Master Plan. City will be required to implement its allocated portion of the Public Improvements on the TCAAP Site in a timely manner as identified in the TCAAP Master Plan, and as provided below The effective and beneficial land use planning and guiding of the New Development, consistent with state statutes and regulations, City's comprehensive plan, zoning code and other applicable ordinances, and the ability to recapture City costs incurred in providing its allocated responsibilities for the Public Improvements to serve the TCAAP Site are matters of great interest and importance to City. G. The Parties recognize that their cooperation and collaboration are critical for accomplishing the New Development in a manner that is a timely, cost-effective and efficient use of public resources in order to benefit the City, other local communities and Ramsey County as a whole. H. The Parties intend to exercise their respective authority granted by Minnesota Statutes § 471.59 (the "JPA Act") to establish a joint powers board to be named the "Joint Development Authority" (the "JDA") or such other name as the Parties may determine. The Parties intend that the JDA shall be a governmental entity of the State which is authorized to exercise to the extent permitted by the JPA Act, the general laws of the State of Minnesota , and Laws 2009, Chapter 88, §16 applicable to the TCAAP Site, the common powers of each Party for the redevelopment of the TCAAP Site as a governmental entity of the State. These powers include, but are not limited to, remediation of contamination and elimination of blight, infrastructure construction and financing, comprehensive planning and zoning, and redevelopment and economic development. 2 Therefore, Be It Resolved by the Parties, that this Joint Agreement is made and agreed to as follows: ARTICLE I DEFINITIONS Section I.I. Definitions. Unless the context requires otherwise, for the purpose of this Agreement, the terms defined in this section shall have the meanings specified: Agreement means this Joint Powers Agreement as it may be amended, and the "Joint Agreement" or the "JPA". Alternative urban areawide review ("AUAR') means the environmental review for the TCAAP Site required by law and to be prepared by City as the responsible governmental unit (the "RGU"), which will guide the development and implementation of the TCAAP Master Plan. City means the City of Arden Hills, a political subdivision of the State of Minnesota. City Investment means the expenditures by the City necessary to undertake its identified responsibilities in support of the New Development, including, but not limited to, preparation of the AUAR and TCAAP Master Plan and construction of the City Public Improvements. City Public Improvements means construction by the City of the trunk or sub-trunk water mains, storm and sanitary sewer and other public amenities identified as the City's direct responsibility, and the City's allocated responsibilities for Shared Public Improvements in the TCAAP Master Plan needed for the New Development. Commencement Date means January 1, 2013 for the implementation of this Joint Agreement, or such other date as the Parties shall mutually agree. County means the County of Ramsey, a political subdivision of the State of Minnesota. County Investment means the expenditures by the County necessary to undertake its identified responsibilities in support of the New Development, including, but not limited to, County Remediation, County Site Clearance, County Public Improvements, initial survey and plat of the TCAAP Site and operations of the JDA. County Public Improvements means survey and plat of the TCAAP Site, construction by the County of the Spine Road; initial survey and plat of the TCAAP Site; off site transportation improvements; associated private utilities; relocation of existing private utilities; maintenance of County Public Improvements; and possible relocation of all or part of the Groundwater Treatment Infrastructure on the TCAAP Site as described in Section 3.4. 3 County Remediation means County actions to resolve the environmental contamination on the TCAAP Site consistent with the requirements of the OTP and the Lease with the GSA. County Site Clearance means the removal by County of buildings and other improvements that are no longer useable, are blighting influences, and/or need to be removed for the TCAAP Site to be fully redeveloped pursuant to the TCAAP Master Plan, consistent with the requirements of the OTP and the Lease with the GSA. Developer Installed Improvements means the improvements within or serving a Development Site, including trunk and sub-trunk water mains, storm and sanitary sewer, new Private Utilities, streets, trails, parks and other identified public amenities within or serving a Development Site constructed by a developer as described in a development agreement approved by the JDA pursuant to the TCAAP Master Plan Developer Remediation means the removal by a developer of any remaining environmental contamination on a Development Site consistent with the requirements of the Minnesota Pollution Control Agency's ("MPCA") Voluntary Investigation and Cleanup Program ("VIC Program") pursuant to a response action plan ("RAP") approved by the MPCA; and any applicable County Remediation in order for the Development Site to be fully redeveloped pursuant to the TCAAP Master Plan by the developer. Developer Site Clearance means the removal by a developer of any remaining buildings and other improvements that are no longer useable, are blighting influences, and/or need to be removed for a Development Site to be fully redeveloped pursuant to the TCAAP Master Plan by a Developer, and consistent with any applicable County Site Clearance, or response action plan ("RAP"). Development Site means a parcel (or parcels) of land on the TCAAP Site identified in the TCAAP Master Plan for location of the New Development as approved by the JDA. Groundwater Treatment Infrastructure means the network of monitoring wells, underground pipes and treatment plant necessary for remediation of groundwater contamination on and under the TCAAP Site. Market Study means the study to be prepared by the County designed to account for market considerations and assist the Parties to forecast the need and desirability of the elements of the New Development, which will guide the development and implementation of the TCAAP Master Plan. New Development means off-site and on-site transportation improvements as well as internal streets, water and sanitary and storm sewer, other public facilities and Private Utilities (as defined in this Section) and related improvements (collectively the "Public Improvements" as defined in this Section), and the approved mix of commercial, industrial and residential development authorized by the TCAAP Master Plan in a development agreement. Parties or a Party means the City and County collectively or individually. 4 Plan Amendment means the process identified in Section 3.3 required to amend the TCAAP Master Plan. Private Utilities means telephone, cable, satellite, gas and electric service available on the TCAAP Site necessary to serve a Development Site. Public Improvements means the construction and financing of necessary off-site and on- site transportation improvements, as well as internal streets, water and sanitary and storm sewer and other public facilities and other public and private utilities and improvements to be located on the TCAAP Site and to be constructed by the City and County as described in this Agreement. Shared Public Improvements means the design and construction of the TCAAP Site regional storm water retention pond system to be developed as part of the Public Improvements, the cost of which shall be shared by the Parties; and any other public infrastructure improvements determined by the Parties to require, or be appropriate for, shared responsibility. TCAAP means the Twin Cities Army Ammunition Plant. TCAAP Joint Development Authority means the joint development agency ("JDA") created by the Parties to develop and implement the TCAAP Master Plan. TCAAP Master Plan means the plans, official controls and map guiding the density, location and timing of implementation of the components of the New Development on the TCAAP Site, as further defined in the Recitals above and Article III below of this Joint Agreement. TCAAP Site means the real property which is the subject of this Joint Agreement and which contains approximately 437 acres of land where the New Development is proposed, as depicted on attached Exhibit A. Term means the Initial Term of this Joint Agreement ending in 2038 as provided in Section 5.5 of this Joint Agreement; and any Additional Term as defined therein (The remainder of this page left intentionally blank) 5 ARTICLE II JOINT DEVELOPMENT AUTHORITY Section 2.1. Authorization. City and County each certify that the authority to enter into this Joint Agreement has been established by a resolution approved by the governing body of each Party. This Joint Agreement is effective as of the date first stated above in the caption of this Joint Agreement and shall continue in force until modified or terminated by the Parties as provided herein. Section 2.2. General Purpose. Pursuant to the authority of the Joint Powers Act, the Parties desire and intend that the redevelopment of the TCAAP Site take place to remediate and eliminate blighting conditions and to make possible and result in implementation of the New Development as defined in Section 1.1 The plans guiding the type, density, location and timing of implementation of the components of the New Development comprise the "TCAAP Master Plan", as further described in this Joint Agreement. The goals of the New Development are to redevelop the TCAAP Site to provide employment opportunities, improve the tax base, and improve the general economy of the City, the local community and Ramsey County as a whole. Section 2.3. Joint Development Authority. Pursuant to the authority of the Joint Powers Act and this Joint Agreement, the Parties hereby create a joint powers board titled the TCAAP Joint Development Authority (the "JDA"). The purpose of the JDA is to exercise to the extent permitted by the Joint Powers Act and the general laws of the State, the authority found in Laws 2009, Chapter 88, §16 applicable to the TCAAP Site and the common powers of the Parties for the redevelopment of the TCAAP Site. These activities to be conducted under this authority include, but are not limited to, environmental remediation, elimination of blight, infrastructure construction and financing, comprehensive planning and zoning, and economic development and redevelopment. 2.3.1. JDA Board Membership. The JDA Board shall consist of five (5) members appointed as provided in this Section (also "the"Board"). Each Party shall appoint two (2) members from its respective governing body. City shall also appoint to the Board a suitable non-elected official member to serve as the Chair of the JDA Board. City Board members shall be residents of the City at the time of appointment and maintain residency during their term. The term of each member shall be a two (2) year term. Each Party may determine in its discretion the length of service of its respective Board members. In the case of a vacancy on the Board of a member from either Party, that Party shall appoint a new member to fill the respective vacancy for the remainder of that term. Each member shall serve until their successor is appointed and qualified as provided by each Party. Each member shall serve without compensation; however each Party may determine whether to pay per diem to their respective members pursuant to their own policy and procedures. 2.3.2. JDA Board General Authority. The JDA Board shall have the general authority as described in this Section: 6 a. The JDA Board Vice Chair shall be a member appointed by the County. b. The JDA Board shall adopt its own bylaws and rules of procedure to govern its activities and guide the setting, holding and cancellation of meetings. The Board may appoint committees or sub-committees. The Board shall meet monthly at such times and places as determined by the Board and as provided in its bylaws or rules of procedure, but shall not meet at times of regularly scheduled meetings of the Ramsey County Board or Arden Hills City Council unless agreed to by the Parties. Special meetings may be called by the Chair or any two other members. The JDA shall keep minutes of all proceedings. A majority of all the members shall constitute a quorum. A simple majority vote of the members present at a meeting with a valid quorum shall be required for the JDA to take action, unless otherwise provided in this Joint Agreement or by law. All meetings of the JDA, its committees and sub-committees shall be governed by the Open Meeting Law and the Data Practices Act. C. Each member of the JDA Board shall have one vote. d. Each Party may also name an alternate appointee to serve in the capacity as a substitute for any member appointee of that Party (and who meets the qualifications for membership on the Board), in the event a member appointee is unable to attend a scheduled meeting of the JDA or any committee or subcommittee thereof. Such substitute appointee shall also have the right to vote on any action requiring a vote of the member appointee, including all substantive as well as procedural actions, when performing as a substitute for a regular member. 2.3.3. Finances. Each Party will be responsible for payments out of their respective budgets for their own staff costs, as well as any per diem and other expenditures for those staff to assist in implementing the JPA until the JDA commences operations. Upon approval of this Agreement, County shall fund the expenses of the JDA, including reimbursement of purchased services pursuant to Section 2.3.4.2. Consistent with its policies, County shall serve as the fiscal manager/agent for the JDA and assist in setting up such accounts as necessary for the JDA to conduct its activities ("Fiscal Agent"), as provided below and as shown on attached Schedule E. 2.3.3.1. The JDA may establish independent JDA bank accounts, to be managed by the Fiscal Agent, into which all revenue receipts generated by and belonging to the JDA and those proceeds which the Parties may authorize to be borrowed as interfund loans, shall be deposited intact to the credit of such JDA accounts. 2.3.3.2. No disbursements shall be made from such accounts except by check or Electronic Funds Transfer (EFT), nor unless a verified claim for services and/or commodities actually rendered or delivered has been submitted to and approved for payment by the JDA. 7 2.3.3.3. No disbursements shall be made from such accounts for non-JDA expenses and purposes. Payment and disbursement of funds by check or withdrawal shall require the signatures of the Chair of the JDA and the individual designated by the County to assist in JDA fiscal matters, which shall be the Director of Finance or designee. 2.3.3.4. Revenue collected by the JDA shall be paid to the Parties as described in Section 3.7. 2.3.4. Annual Budget. The JDA shall prepare an annual budget and submit it to the Parties as provided in this section. 2.3.4.1. With the first annual budget and in subsequent years, the JDA shall each year prior to May 1 prepare an annual operations budget that estimates funding required by the JDA to conduct its business over the next calendar year. The JDA shall coordinate its budget process with the Parties' budget planning process Prior to September 1 of each year, the JDA shall, after its review and approval, submit the annual budget to the City and County. The budget shall be substantially balanced. The budget shall follow the format as established by the JDA after consultation with the City Finance Director and the County Director of Finance, and at a minimum provide the following information: (1) Estimated Revenues, divided as follows: a. Any Grant monies, private, State or Federal b. Revenues from JDA Application fees C. Revenues from JDA Permit fees d. Contributions from County e. Reserves £ Developer escrow/fees g. Miscellaneous revenues (2) Estimated Expenditures, divided as follows a. Personnel services b. Contract Services i. Legal ii. Engineering iii. Fiscal/Audit, including the Fiscal Agent iv. Planning v. Administrative C. Services other than personnel or consultants d. Supplies and materials e. Office administration, e.g., phones, supplies f. Capital Outlay (incl. Office and Building rent if applicable, equipment such as phones and computers) g. Payment of invoices for services to the JDA provided by a Party. h. Miscellaneous expenditures 8 2.3.4.2. The Parties may determine that a service or services as described above are available from a Party and direct the JDA to purchase such service from that Party at that Party's cost, with payment to be made by the JDA from its authorized funds as stated in the approved budget. 2.3.4.3. The annual budget proposed by the JDA shall be reviewed and transmitted to the Parties. Each Party shall review, provide comments to the JDA and the other Party and approve the annual budget. The proposed JDA annual budget approved by the Parties pursuant to this process shall be reported back to the JDA by November 15 (preceding the ensuing calendar/fiscal year). Thereafter the JDA shall adopt and implement the budget approved by the Parties. The annual budget may be amended consistent with the process described in this Section. 2.3.4.4. The JDA may incur expenses and make expenditures that may be necessary to the effectuation of its purposes and powers, in conformance with the statutory requirements applicable to contracting and purchasing practices of the Parties, the approved annual budget and this Joint Agreement. 2.3.4.5. The JDA shall develop a reimbursement policy including payment priority for payment to the Parties of allocated fee or other income described in this Agreement. The policy shall provide for monthly reimbursement to the Parties. 2.3.5. Taxes. The JDA itself shall not levy taxes, issue bonds or independently borrow money, and it shall not approve any claims or incur any obligations for expenditures unless there is unencumbered cash in the appropriate JDA accounts described herein, to the credit of the JDA with which to pay the same, or as otherwise approved by the Parties. Any unexpended revenues in excess of the approved budget may remain deposited in JDA accounts and reported annually in the subsequent year's budget submission. 2.3.6. Interfund Loans. Notwithstanding the prohibition against independent borrowing, the JDA may borrow money from the Parties in the form of interfund loans to the extent that such loans are not made from dedicated funds or from funds or monies otherwise encumbered, subject to the mutual consent and approval of the Parties, and subject to the terms and conditions of repayment agreed to by the Parties. 2.3.7. Personnel. Unless otherwise approved by the Parties, the staff of the JDA shall be the City Administrator and the County Manager, or their designees. Each Party may also designate additional staffing as it deems appropriate or as requested by the JDA. The JDA may hire consultants including independent legal, engineering, planning and development consultants to assist in the development of the TCAAP Master Plan and amendments and revisions thereto, preparation of financing plans, marketing plans, developer proposals, the marketing and sale of Development Sites pursuant to the RFP process described in Section 3.2.4, and other matters which address growth and development on the TCAAP Site. 9 2.3.8. Reports. The JDA shall prepare an annual report at the end of each calendar/fiscal year and submit such report to the Parties not later than February 15 of the succeeding calendar/fiscal year. The JDA shall also prepare and present to federal and state officials such reports and audits as may be required by law, regulation, or contract. 2.3.9. Public Process. The JDA shall develop mechanisms for public involvement in any planning or review process, including the preparation and approval of the TCAAP Master Plan and approval of development agreements. All public meetings and hearings shall be conducted as required by law. The JDA shall take into consideration the concerns, issues and desires of each Party's governing body in on-going planning initiatives, discussions and process. 2.3.10. Other Authority. The JDA shall have such other authority under the general laws of Minnesota to carry out its purposes unless otherwise determined by the Parties. Where deemed by the Parties to be more convenient, the authority of the JDA may be exercised by the more appropriate Party. 2.3.11. Dispute Resolution. The Parties shall use good faith to attempt to resolve any dispute. Upon agreement, the Parties may also use any available dispute resolution process. (The remainder of this page left intentionally blank) 10 ARTICLE III TCAAP MASTER PLAN Section 3.1. Development of the AUAR and the TCAAP Master Plan; General Requirements. The TCAAP Master Plan will provide for development phasing, taking into account market considerations as well as the financing and investment needs and capacity of County as the purchaser of the TCAAP Site, County's obligations to complete the County Remediation and County Site Clearance, survey and plat of the TCAAP Site and the financial commitment of both Parties for the Public Improvements. City will prepare the AUAR in conjunction with the preparation of the TCAAP Master Plan, as provided in this Article 111, including the hiring of any planning and engineering or other consultants it deems reasonably necessary to prepare the AUAR and the TCAAP Master Plan. The City will exert its best efforts to complete the AUAR within eighteen (18)months of the effective date of this Joint Agreement, and to complete the TCAAP Master Plan within six (6) months of the adoption of the AUAR, but not later than twenty-four (24) months of the effective date of this Joint Agreement for completion of the AUAR and the Master Plan. The JDA and County shall have the ability to review and comment during the preparation of the AUAR and Master Plan. 3.1.1. City Development Standards. The Parties will work cooperatively to assure that the City's development standards and goals expressed in its comprehensive plan and zoning code, as each may be amended, are incorporated into the TCAAP Master Plan to enable the JDA to proceed with timely development of the TCAAP Site as provided in this Agreement. The Parties recognize that upon purchase of the TCAAP Site County may desire to pursue development of a Development Site prior to completion of all the County Remediation and the adoption of the TCAAP Master Plan. It is in the interest of the Parties for redevelopment of TCAAP to occur timely and responsively to market demand. As a result development of a Development Site(s) may occur before completion of the TCAAP Master Plan to the extent there are roads and public utilities available to serve the selected Development Site. In such event the Parties and JDA will proceed in accordance with this Joint Agreement to the extent feasible. However, the Parties agree that the City comprehensive plan, zoning ordinance and city review process as required by statute shall guide and control such proposed development pending completion of the TCAAP Master Plan. 3.1.2. Approval of TCAAP Master Plan. The JDA shall recommend to the Parties a public process for consideration of the Master Plan prior to final approval by the Parties. Upon presentation of the TCAAP Master Plan as prepared pursuant to this Article 111, the Parties shall review, comment, suggest revisions and reasonably exercise their discretion to approve the TCAAP Master Plan in a timely manner. The TCAAP Master Plan shall be approved by means of a resolution of each Party's governing body. The JDA shall implement the TCAAP Master Plan as approved by the Parties. Section 3.2. Elements of TCAAP Master Plan. The City shall direct its staff and consultants to prepare the TCAAP Master Plan at City expense. The TCAAP Master Plan shall specify the planning requirements for the TCAAP Site consistent with the City's current 11 approved comprehensive plan and official controls in the zoning code, and as such may be amended, in conjunction with the TCAAP Master Plan as it is initially developed. 3.2.1. Planning Elements. The TCAAP Master Plan shall include the following planning elements and as further provided in Schedule B: a. Definition of the public engagement process; b. Land Use Component; C. Circulation and Movement Component; d. Utilities Component; e. Environmental Remediation Component; f. Parks and Open Space Component; g. Implementation Plan; and h. Regulatory Plan Upon adoption by the Parties, the TCAAP Master Plan shall be an element of the City's approved comprehensive plan, and the City shall take all necessary actions to conform zoning code provisions applicable to the TCAAP Site to the TCAAP Master Plan. 3.2.2 Implementation Authority. Except as otherwise provided under this Joint Agreement, the JDA shall apply the TCAAP Master Plan and serve as the "governing body" for purposes of the implementation of the applicable sections of Minnesota Statutes §§ 462.357 — 462.365 with reference to developer initiated requests pursuant to the RFP process for approval of the redevelopment of a Development Site. The TCAAP Master Plan shall incorporate the planning and zoning authority of the City authorized by Minnesota Statutes §§ 462.357-462.358 and implement that authority as follows: a. Provide for development phasing, taking into account market considerations as well as the financing and investment needs and capacity of County as the purchaser of the TCAAP Site, County's obligations to complete the County Remediation and County Site Clearance, and the financial commitment of the Parties for the Public Improvements. b. The use of planned unit development (PUD) authority to implement development of the permitted uses described in the Master Plan; C. Dedication of land for public rights of way, public and private utility easements and park dedication; 12 d. Subdivision of the TCAAP Site and the platting of parcels and lots consistent with the requirements of general law and the policies and procedures of the Ramsey County Recorder and Registrar of Titles; e. The use of development agreements to embody the conditions of approval of development and the implementation of New Development on Development Sites; 3.2.3. Fees. The JDA is authorized to impose the customary fees used by City in its redevelopment activities. The JDA will develop a fee schedule and implement the fee schedule subsequent to approval by the Parties (Schedule D). 3.2.3.1. Pursuant to Minnesota Statutes Section 462.353, the JDA may prescribe fees sufficient to defray the costs incurred by it in reviewing and investigating an application for a permit or other approval required under an official control established pursuant to the TCAAP Master Plan and this Joint Agreement. The JDA may charge the applicant for direct costs relating to professional services provided during the review, approval and inspection of the proposed development and may require the applicant to establish an escrow account or other financial security for the purpose of reimbursing the JDA for those costs. Such fees or fee schedule must be established by resolution of the Board subsequent to approval by the Parties, and be fair, reasonable, and proportionate and have a nexus to the actual cost of the service for which the fee is imposed. The fee schedule shall contain the elements described at Schedule D. 3.2.3.2. The JDA may exercise the authority in Minnesota Statutes Chapter 444 to develop and implement the Public Improvements necessary to serve the New Development, including but not limited to implementing a system of charges authorized therein to develop and maintain the Public Improvements. Such authority may also be exercised by the City on behalf of the JDA if the Parties determine it is more appropriate to do so. 3.2.3.3. The JDA may exercise the authority in Minnesota Statutes Chapter 429 to specially assess for the Public Improvements necessary to serve the New Development. Such authority may also be exercised by the City on behalf of the JDA if the Parties determine it is more appropriate to do so. 3.2.4. RFP Process. The JDA will implement a developer RFP process to facilitate development of each Development Site. Upon recommendation by staff and consultants that the proposed development is in substantial conformance with the TCAAP Master Plan, the JDA will approve the respective project, and communicate its decision to the developer and the Parties. 3.2.5. Approval of Development Agreements. The JDA shall review and finally approve all development agreements for a Development Site which are consistent with the TCAAP Master Plan. The JDA shall develop a process for review of development applications which will include elements listed in Schedule C. 13 3.2.6. City and County Responsibilities. Upon approval of a development agreement, the Parties shall consider such approval and take all actions necessary to implement the approved development agreement. 3.2.6.1. County will take all actions necessary and convenient to sell the respective parcel of land with good and marketable title. 3.2.6.2. City will take all actions necessary to conduct and complete any additional approval process identified by the JDA as necessary or appropriate to implement the development agreement. Section 3.3. Amendment of the TCAAP Master Plan. The Parties recognize that the passage of time, market forces and other applicable, but unforeseen events may require future amendments to the TCAAP Master Plan. Depending on the facts and issues relevant at that time, a proposed amendment could be either a major or minor amendment of the TCAAP Master Plan. In the event the Parties or the JDA believe that the TCAAP Master Plan should be amended to implement the New Development, such amendment shall be referred to the City and County for review and comment and for determination of whether the proposed amendment is a major or minor amendment. 3.3.1. Major Amendment. A major amendment is a proposed amendment which requires City to amend its comprehensive plan. If City finds that its comprehensive plan does not currently permit such amendment, City shall determine whether to amend its comprehensive plan with respect to the TCAAP Site to implement the proposed amendment, and consult with County on its decision. Thereafter, if City amends its comprehensive plan to implement the proposed amendment, the proposed amendment shall be considered by County. The TCAAP Master Plan as proposed to be amended shall be adopted upon County and City approval. 3.3.2. Minor Amendment. A minor amendment does not involve an amendment to City's comprehensive plan, but relates to issues including but not limited to the location of public infrastructure or public amenities proposed to serve a Development Site; a change in location or density within a Development Site or other similar modification deemed desirable by the JDA to implement the New Development. The JDA shall recommend such minor amendment to the Parties, and if approved by the Parties, the TCAAP Master Plan shall be modified consistent with the approved amendment. Section 3.4. County Implementation Responsibilities. County will complete its obligations and responsibilities to assist in the implementation of the TCAAP Master Plan as described in this Section 3.4. 3.4.1. Acquisition of TCAAP Site. County will acquire the TCAAP Site and be responsible for completing the County Remediation within the time period established in the OTP. County will use its own resources and seek and obtain resources from other agencies and entities to fund the County Remediation. The County Remediation will take place in an orderly manner and will be pursued to completion pursuant to the OTP and the Lease. Subsequent to 14 acquisition of the TCAAP Site, County will complete an initial survey and plat of the TCAAP Site. 3.4.2. County Site Clearance. County is responsible for causing the County Site Clearance to take place, using its own resources and any other resources that may become available through the development process. County Site Clearance will take place in a phased, orderly manner, consistent with the TCAAP Master Plan. County may elect to expedite the County Site Clearance, and will use its good faith efforts to complete the County Site Clearance in accordance with the goals for the phasing and timing thereof set out in the TCAAP Master Plan, or upon agreement of the Parties if the Master Plan has not then been approved by the Parties. 3.4.3. County Public Improvements. County will construct the Spine Road at County expense and coordinate the relocation and installation of private utilities (the "County Public Improvements") with City's installation of trunk utilities as part of its allocated elements of the Public Improvements. The TCAAP Master Plan will provide further specificity as to the desired schedule and goals for completing the respective elements of the Public Improvements described therein. 3.4.3.1. County will not require City participation in County's annual maintenance plan for County Public Improvements on the TCAAP Site. 3.4.3.2. County shall be responsible for implementation of any proposed changes to the Groundwater Treatment Infrastructure required for the construction of City Improvements. 3.4.4. Off-site Transportation Improvements; Private Utilities. County has the responsibility for causing the off-site transportation improvements and associated private utilities element of the Public Improvements to be constructed. It is the Parties' intent that the Public Improvements be constructed in accordance with a desired schedule and goal for completion set forth in the TCAAP Master Plan, and that in all instances to be timely constructed and phased to provide adequate transportation facilities for the New Development as it occurs. 3.4.5. Maintenance Plan. County will develop and implement a maintenance plan for its elements of the Public Improvements. 3.4.6. County Remediation. County will complete the County Remediation as described in the OTP and Lease. 3.4.7. County Survey and Plat. County shall be responsible for the timely preparation of a survey and initial plat of the TCAAP Site for the implementation of the TCAAP Master Plan. Section 3.5. City Implementation Responsibilities. City will complete its obligations and responsibilities to assist in the implementation of the TCAAP Master Plan as described in this Section 3.5 and this Agreement. 15 3.5.1. AUAR. City has the legal authority as the responsible governmental unit ("RGU") for the development of the AUAR. City will coordinate the results of the AUAR with the Market Study and City's comprehensive plan in order to develop the TCAAP Master Plan to guide the New Development as will be provided in the TCAAP Master Plan. City will exert its best efforts to complete the AUAR within eighteen (18) months of the effective date of this Joint Agreement, and to complete the TCAAP Master Plan within six (6) months of the adoption of the AUAR, but not later than twenty-four (24) months of the effective date of this Joint Agreement for completion of the AUAR and the Master Plan. 3.5.2. City Public Improvements. City has responsibility for the construction of the City Public Improvements. It is the Parties' intent that City and County Public Improvements, and Developer Installed Improvements are constructed in accordance with a schedule as in set forth in TCAAP Master Plan in order that such improvements are timely constructed and phased to provide adequate utilities for the New Development as it occurs. However, unless otherwise agreed to by the Parties, the City will not construct the trunk and sub- trunk water mains, storm and sanitary sewer elements of the City Public Improvements unless the costs can be charged to a developer pursuant to the City's petition process. 3.5.3. Code Enforcement; Development Review Process. City has the legal authority and responsibility for building code enforcement on the TCAAP Site. City will assign staff to oversee the JDA development review process to assure development is in accordance with the development agreement approved by the JDA pursuant to the JDA development review process described in Schedule C. City's costs for oversight of the JDA review process and enforcement of approved development agreements will be reimbursed by the JDA from development fees described in Schedule D. Section 3.6. Joint Responsibilities. The Parties will complete their joint obligations and responsibilities in a timely manner. Where determined by the Parties to be more appropriate, the authority necessary for the redevelopment of the TCAAP Site as provided in this Joint Agreement may be exercised by the more appropriate Party as determined by the Parties. 3.6.1. Legislative Authority. The Parties will jointly request legislative bonding authority or other financing for the off-site transportation improvements as agreed upon by the Parties, and other initiatives with the Legislature deemed necessary for implementation of the TCAAP Master Plan, including the construction of the County and City Public Improvements. The Parties shall agree on a reasonable allocation of such funds to the City and County Improvements. 3.6.2. Coordination of Public Improvements. The Parties will coordinate the timing of the Public Improvements which are their separate responsibility to facilitate the staged redevelopment of the TCAAP Site pursuant to the TCAAP Master Plan. Each Party, with review and comment by the other Party, may elect to construct public improvements in advance of any identification of a Development Site or Sites. The Parties shall determine whether land for public amenities such as parks and trails shall first be dedicated by the County, or dedicated by 16 developers as the New Development is implemented. The Parties will recover their costs when New Development takes place to the maximum extent feasible pursuant to Section 3.7. Section 3.7. Cost Allocation; Cost Recovery. The Parties will be undertaking activities in support of the New Development and operations of the JDA which will require public financial investment. It is the intent of the Parties that their respective investment be recovered to the maximum extent feasible (respectively "County Investment" and "City Investment" as defined in Section 1.1). The Parties will determine the respective cost allocation for the Shared Public Improvements, including the storm water pond retention system currently considered a likely requirement for the New Development. 3.7.1. County Cost Recovery. The County will recover the County Investment for the acquisition of the TCAAP Site, County Site Clearance, County Remediation, County Public Improvements, Off-site Transportation Improvements and the operations of the JDA primarily through the sale of land on the TCAAP Site. Notwithstanding the schedule and goals stated in the TCAAP Master Plan, unless otherwise agreed to by the Parties, the County Public Improvements shall be constructed when a Development Site is approved by the JDA, sold by County to the selected Developer, and the selected Developer agrees to financially participate in the extension of the respective County Public Improvements. 3.7.2. City Cost Recovery. City shall recover the City Investment for the trunk utilities and sub-trunk utilities (serving a Development Site), elements of the City Public Improvements, and the preparation of the AUAR and TCAAP Master Plan. 3.7.2.1. City shall recover the City Investment for the trunk utilities and sub-trunk utilities when a Development Site is approved by the JDA, and the selected Developer agrees to financially participate in the extension of the respective City Public Improvements pursuant to City's petition process. 3.7.2.2. City shall recover the cost of the preparation of the AUAR and TCAAP Master Plan through a fee or surcharge on building permits or other approvals issued by City for the New Development as further described in Section 3.7.3 below. 3.7.2.3. Other City costs for serving Development Sites, including other public infrastructure such as parks, shall be recovered by City pursuant to a development fee structure as described at Schedule D. The development fees shall be imposed by the JDA on developers pursuant to approved development agreements; special assessments; and park dedication fees as may be necessary for a Development Site. 3.7.2.4. City shall retain all fees for services relating to building permit and code enforcement activities performed on the TCAAP Site, as well as park dedication fees imposed by the JDA. 3.7.2.5. Notwithstanding the schedule and goals stated in the TCAAP Master Plan, unless otherwise agreed to by the Parties, the trunk utility and sub-trunk utilities elements of the City Public Improvements serving a Development Site shall be constructed when 17 a Development Site is approved by the JDA, and the selected Developer agrees to financially participate in the extension of the respective City Public Improvements. 3.7.3. City Cost Recovery Formula. City shall develop an equitable formula for the purpose of recovering the City Investment for the cost of the preparation of the AUAR and TCAAP Master Plan. The formula shall be applied to a Development Site and may be determined by City as follows: (i) on a per acre basis of a Development Site compared to the developable acreage of the TCAAP Site; (ii) a per acre basis on classes of land uses on the TCAAP Site or a Development Site; (iii) the value of the proposed development on a Development Site; (iv) or other reasonable formula (the "Cost Recovery Formula"). The Cost Recovery Formula may be a fee or surcharge attached to the building permit or other approval issued by City for a Development Site, and collected by City as part of the building permit review process. Section 3.8. Development Site Cost Recovery Process. The JDA shall impose the usual and customary development fees for a Development Site as provided in Section 3.2.3, and as described at Schedule D. Such fees shall be used by the JDA to pay the costs of the development review process; purchase services from the Parties or consultants necessary and convenient for the review of Development RFPs and applications for Development Sites; and the drafting of development agreements for a Development Site. Section 3.9. Additional Cost Recovery. The Parties shall determine a reasonable method to distribute any funds generated by the redevelopment of the TCAAP site which are not specifically allocated as provided in this Section. 3.9.1. Non-Allocated Costs. Each Party shall be responsible for its respective costs and expenses not otherwise specifically allocated in this Joint Agreement, including but not limited to costs incurred in the preparation of this Joint Agreement, or costs for any other agreements or documents determined by the Parties to be necessary and convenient as the Parties move forward to implement this Joint Agreement. (The remainder of this page left intentionally blank) 18 ARTICLE IV LIABILITY Section 4.1. Responsibility for Risks and Liabilities. Each Party shall be liable for its torts and the torts of its employees, agents and consultants in undertaking its respective individual responsibilities as described in this Joint Agreement. Notwithstanding any language to the contrary in this Joint Agreement, the Parties agree that liability arising out of the activities of the JDA and the Parties shall be subject to the requirements of Minnesota Statutes Section 471.59, subdivision lb., as it may be amended. Section 4.2. Insurance. The Parties intend that the JDA be insured for its tort liability and general liability as a joint powers board. The Parties shall coordinate the insurance coverage and carriers, and allocate such responsibility pursuant to advice from its carriers, or as determined by its self-insurance advisors as the case may be. The costs of insurance for the JDA shall be the responsibility of County. The JDA shall be insured as follows: 4.2.1. Comprehensive general liability insurance with limits against bodily injury and property damage of not less than $1,500,000 for each occurrence. 4.2.1. Workers' Compensation insurance providing statutorily required coverage. 4.2.3. Each Party shall primarily insure its staff assigned to the JDA and be primarily liable for injuries to its employee(s) while performing duties on behalf of the JDA. 4.2.4. The Parties intend that to the extent JDA activities take place on property owned or controlled by a Party, the JDA shall assume primary liability for injuries or death to any person, or any property damage that may occur. 4.2.4. At such time as the JDA may be authorized by the Parties to hire and retain employees, the JDA shall procure insurance as required by this Article and become primarily liable for injuries to and the tort liability of such employees. Section 4.3. Liability Insurance. Any costs for insurance by the Parties for their respective coverage as a member of the JDA shall be the responsibility of that Party. Each Party agrees that it shall, at its own expense, carry and maintain in full force and effect during the Initial Term and any Additional Term of this Joint Agreement (as Term and Additional Term are defined in Section 5.5 below) comprehensive public liability insurance, including personal injury liability coverage, in amounts which meet or exceed the maximum liability limits per claim or any number of claims per occurrence under Minnesota Statute Section 466.04, Laws of Minnesota 2012 or as thereafter amended, to address that Party's liability arising out of its respective activities under this Joint Agreement. 19 Section 4.4. Worker's Compensation Insurance. Each Party shall, at its own expense, obtain and maintain in full force and effect during the Initial Term and any Additional Term of this Joint Agreement worker's compensation insurance providing statutorily required coverage for any and all of its employees that it assigns to work for or on behalf of the JDA. Section 4.5. Requirements. All insurance required by this Section shall be taken out and maintained in responsible insurance companies authorized under the laws of the State of Minnesota to assume the risks covered thereby. Upon request, each Party will deposit annually with the other party policies evidencing all such insurance or a certificate or certificates or binders of the respective insurers stating that such insurance is in full force and effect. Unless otherwise provided in this Article IV of this Joint Agreement, each policy shall contain a provision that the insurer shall not cancel or modify it in such a way as to reduce the coverage provided below the amounts required herein without giving written notice to the Parties at least thirty (30) days before the cancellation or modification becomes effective. In lieu of separate policies, a Party may maintain a single policy, blanket or umbrella policies, or a combination thereof, having the coverage required herein, in which event the Party shall deposit with the other Party a certificate or certificates of the respective insurers as to the amount of coverage in force. (The remainder of this page left intentionally blank) 20 ARTICLE V DEFAULT AND TERMINATION Section 5.1. Events of Default Defined. The following shall be "Events of Default" under this Joint Agreement and the term "Event of Default" shall mean, whenever it is used in this Joint Agreement (unless the context otherwise provides), any failure by any Party to observe or perform any other covenant, condition, obligation or agreement on its part to be observed or performed hereunder, or under the terms of this Joint Agreement. Section 5.2. Remedies on Default. Whenever any Event of Default referred to in Section 5.1 of this Joint Agreement occurs, the non-defaulting Party may exercise its rights under this Section 5.2 after providing thirty days written notice to the defaulting Party of the Event of Default, but only if the Event of Default has not been cured within said thirty days or, if the Event of Default is by its nature incurable within thirty days, the defaulting Party does not provide assurances reasonably satisfactory to the non-defaulting Party that the Event of Default will be cured and will be cured as soon as reasonably possible: a. Suspend its performance under the Agreement until it receives assurances that the defaulting Party will cure its default and continue its performance under the Agreement. b. Take whatever action, including legal, equitable or administrative action, which may appear necessary or desirable to collect any payments due under this Agreement, or to enforce performance and observance of any obligation, agreement, or covenant under this Agreement. Section 5.3. No Remedy Exclusive. No remedy herein conferred upon or reserved to the Parties is intended to be exclusive of any other available remedy or remedies, but each and every such remedy shall be cumulative and shall be in addition to every other remedy given under this Agreement or now or hereafter existing at law or in equity or by statute. No delay or omission to exercise any right or power accruing upon any default shall impair any such right or power or shall be construed to be a waiver thereof, but any such right and power may be exercised from time to time and as often as may be deemed expedient. In order to entitle a Party to exercise any remedy reserved to it, it shall not be necessary to give notice, other than such notice as may be required in this Article V. Section 5.4. No Additional Waiver Implied by One Waiver. In the event any agreement contained in this Joint Agreement should be breached by either Party and thereafter waived by the other Party, such waiver shall be limited to the particular breach so waived and shall not be deemed to waive any other concurrent, previous or subsequent breach hereunder. Section 5.5. Termination; Additional Term. Upon establishment of the JDA, this Joint Agreement may only be terminated by mutual agreement of the Parties prior to December 31, 2038 (the "Initial Term"). Thereafter, unless terminated by either Party (a "Terminating Party") 21 upon one calendar year prior notice (the "Notice of Termination"), the Joint Agreement shall automatically renew for a new term (or terms) of five (5) years (each an"Additional Term"). Section 5.6. City Option to Purchase Upon Termination. If County is the Terminating Party, City shall have the option to purchase any then undeveloped area of the TCAAP Site at the then fair market value of such land. The Parties may each exchange a certified appraisal of the value of such land, with the final fair market value to be determined by adding the two appraisal values together and dividing such figure in half(the "Land Option Value"). City shall have 180 days from the Notice of Termination within which to determine to exercise this option, and an additional 180 days thereafter to close on such sale. 5.6.1. County Public Improvements. If County has not yet completed any element of the County Public Improvements, the Parties shall determine the value of such work by securing two engineering estimates with the final value to be determined by adding the two values together and dividing such figure in half (the "County Improvements Option Value"). County shall pay such value to City within 180 days of closing on the sale of the remaining land on TCAAP Site, or provide such security or financing sufficient in the opinion of City to insure such County Public Improvements are completed in a timely manner. City at its sole option may determine to offset the Land Option Value against the County Public Improvements Option Value. County may determine to complete the remaining elements of the County Public Improvements, and provide reasonable assurances and such security or financing sufficient in the opinion of City to insure such County Public Improvements are completed in a timely manner. Section 5.7. County Option Upon Termination. If City has not yet completed any element of the City Public Improvements for a Development Site or Sites approved by the JDA, the Parties shall determine the value of such work by securing two engineering estimates with the final value to be determined by adding the two values together and dividing such figure in half(the "City Public Improvements Option Value"). City shall pay such value to the County within 180 days of Notice of Termination. City may determine to complete the remaining elements of the City Public Improvements, and provide reasonable assurances and such security or financing sufficient in the opinion of County to insure such City Public Improvements are completed in a timely manner. Section 5.8. Winding Up JDA Activities. In the event of termination, the JDA shall be dissolved upon each Party adopting a resolution terminating the Joint Agreement. In this event, the property of the JDA or its value, and any surplus moneys shall be disposed between the Parties pursuant to the Annual Contribution Ratio or as the Parties may otherwise agree. The Parties shall cooperate in good faith to wind down the activities of the JDA in an orderly manner to minimize loss of public assets and liability from such winding down. 5.8.1. Notwithstanding termination, powers of the JDA under this Joint Agreement shall continue to the extent necessary to: a. Continue operation of the JDA Board until all then pending applications for development of a Development Site have been reviewed and a final decision made; 22 b. The JDA can settle and wrap up its affairs, including discharge of any debt or liability associated with the operations pursuant to this Joint Agreement; and C. Completion of the disposition and distribution of records, and of all property contributed to or otherwise acquired for activities pursuant to this Joint Agreement. 5.8.2. Upon termination, no property of the JDA shall be disposed of until payment or performance of all obligations arising out of this Joint Agreement is complete as provided in this Agreement. 5.8.3. Subsequent to termination, any future development on the TCAAP Site shall be considered by City pursuant to the applicable elements of the TCAAP Master Plan, as it may be amended in the sole discretion of City. (The remainder of this page left intentionally blank) 23 ARTICLE VI ADDITIONAL PROVISIONS Section 6.1. Conflict of Interests. City and County, to the best of their respective knowledge, represent and agree that no official, or employee of the representing Party shall have any personal interest, direct or indirect, in this Joint Agreement, nor shall any such official, or employee participate in any decision relating to this Agreement which affects that persons personal interests or the interests of any corporation, partnership, or association in which the person is, directly or indirectly, interested. Section 6.2. Equal Employrnent Opportunity. The Parties agree for themselves and their successors and assigns, that each will comply with all applicable federal, state, and local equal employment and non-discrimination laws and regulations. Section 6.3. Data Practices; Open Meeting. The books, reports, and records of the JDA shall be available for and open to public inspection pursuant to the Minnesota Government Data Practices Act, Minnesota Statutes Chapter 13. The JDA shall conduct its meetings pursuant to the Open Meeting Law, Minnesota Statutes Chapter 13D. Section 6.4. Titles of Articles and Sections. Any titles of the several parts, Articles, and Sections of this Joint Agreement are inserted for convenience of reference only and shall be disregarded in construing or interpreting any of its provisions. Section 6.5. Notices and Demands. Except as otherwise expressly provided in this Joint Agreement, a notice, demand, or other communication under this Joint Agreement by either party to the other shall be sufficiently given or delivered if it is dispatched by registered or certified mail, postage prepaid, return receipt requested, or delivered personally; and a. in the case of the County, is addressed to or delivered personally to the County, Attn: County Manager, Suite 250 Court House, 15 West Kellogg Boulevard, St. Paul, MN 55102; b. in the case of the City, is addressed to or delivered personally to the City at City Hall, Attn: City Administrator, 1245 Highway 96 West, Arden Hills, MN 55112; or at such other address with respect to either such party as that party may, from time to time, designate in writing and forward to the other as provided in this Section. Section 6.6. Severability. If any of the terms or provisions contained herein shall be declared to be invalid or unenforceable by a court of competent jurisdiction, then the remaining provisions and conditions of this Joint Agreement, or the application of such to persons or circumstances other than those to which it is declared invalid or unenforceable, shall not be affected thereby and shall remain in full force and effect and shall be valid and enforceable to the fullest extent permitted by law. 24 Section 6.7. Enforcement. In addition to any remedy available to the Parties in this Joint Agreement or under law, specific performance of the provisions of this Joint Agreement may be enforced against a Party by the other Party. Section 6.8. Construction. This Joint Agreement and shall be construed according to the laws of the State of Minnesota. Section 6.9. Entire Agreement. Except as otherwise provided herein, the Joint Agreement constitutes the entire agreement between the parties with respect to the subject matter hereof, and there are no other representations, warranties, or agreements except as herein provided. Section 6.10. Counterparts. This Joint Agreement may be executed in any number of counterparts, each of which shall constitute one and the same instrument. Section 6.11. Recording. Either party may record this Joint Agreement and, and any amendments thereto in the real estate records of Ramsey County at the Party's expense. Section 6.12. Representations of the Parties. Each Party represents that it has the authority to enter into this Joint Agreement and carry out its respective obligations thereunder. IN WITNESS WHEREOF, City and County have entered into this Joint Agreement as of the date first stated in the caption of this Joint Agreement. (Signature pages to follow) 25 (Signature and acknowledgment page for Ramsey County) 26 (Signature and acknowledgment page for Arden Hills) 27 SCHEDULE A Depiction of TCAAP Site/Legal Description (needed for recording) A-1 409894v11 MTN AR200-13 SCHEDULE B Elements of TCAAP Master Plan A. Public Engagement Process. Prior to beginning work on the Master Plan, a public engagement process will be defined. Public engagement activities will occur throughout the master planning process and will be correlated to significant decision points. The public engagement process will include: a. Interactive participation by stakeholders b. Community outreach and communication; and C. Input from the development community. B. Land Use Component to include: a. Density, intensity, and use framework that is consistent with existing Mixed Business and Mixed Residential zoning; b. Definition of development character including aesthetic, streetscape, and architecture themes; and C. Identification of zoning district overlay categories. C. Circulation and Movement Component to include: a. Traffic study; b. Location of spine road, major arterials, and collectors; C. Pedestrian and bicycle circulation plan; d. Street hierarchy including complete streets designations. Street hierarchy should be based on consideration of both land use and circulation; e. Identification of significant development nodes; f. Identification of transit opportunities; g. Principles of bridge design to incorporate site-wide design features; and h. Right-of-way management and maintenance policy. i. City right-of-way ii. County right-of-way iii. Privately maintained right-of-way D. Utilities Component to include: a. Private utilities plan to include location of Xcel substation; b. Water utility plan; C. Sewer plan; d. Stormwater plan to include consideration of regional or site-wide stormwater infrastructure; and e. Renewable energy opportunities. E. Parks and Open Space Component to include: a. Park and open space plan shall include: i. 20-acre central park; ii. 4 2-acre neighborhood parks; iii. Regional trail corridor; iv. Reference to trail/pedestrian/bicycle circulation plan; V. Cost estimate; and vi. Park dedication policy. b. Park and open space hierarchy to include general characteristics and use B-1 409894v11 MTN AR200-13 categories; i. Amenities ii. Recreation options iii. Design features C. Management and maintenance policy including consideration of whether park and open space is publicly or privately managed and maintained. F. Environmental Remediation Component to include: a. Layer analysis of environmental features such as: i. Soil types ii. Topography iii. Wetlands iv. Contamination b. Description and timetable of remediation process; C. Description of how the remediation process is aligned to and affects the development process; and d. Site-specific remediation policy including the following requirements: i. Response Action Plan ii. Timeline iii. Action steps and implementation plan iv. Letter of Completion G. Implementation Plan to include: a. Identification of public improvements; b. Cost estimate of public infrastructure; C. Identification of financing options; d. Identification of repayment mechanisms; e. Public/private development phasing plan to align public infrastructure investments with private development; f. Analysis of public maintenance costs; and g. Analysis of public revenue compared to cost of public maintenance and services. H. Regulatory Plan to include: a. Approval of zoning district overlays; i. Design standards ii. Massing iii. Relationship with the street iv. Setbacks V. Parking b. Landscaping and tree preservation plan; C. Amenities in the right-of-way plan including gateway features; d. Signage plan; C. Lighting requirements; f. Park dedication requirements based on policy; g. Regulations on remediation policy enforcement; h. Subdivision ordinance i. Other regulations to support policies developed during the master planning process; j. Definition of fees, escrows, and cost of review; and B-2 k. Public hearing and notices requirements. B-3 SCHEDULE C JDA Developer Application Review Process 1. Site-specific traffic study 2. Land use site plan review including payment of fees and escrow 3. Site-specific plans for the following: a. Lighting b. Landscape and streetscape c. Grading and erosion control d. Architecture, design, and building elevations e. Parking f. Circulation 4. Site-specific Response Action Plan approved by the MPCA 5. Agreements on management and maintenance of infrastructure and right-of-way 6. Development agreements 7. Construction phasing plans 8. Preliminary and final platting 9. Surveys C-1 409894v11 MTN AR200-13 SCHEDULE D JDA Fee Schedule (To be prepared by the JDA) I D-1 409894v11 MTN AR200-13 SCHEDULE E Fiscal Agent The Fiscal Agent shall: 1. Be responsible for cash management,payment processing, preparing budgets, and financial reporting. 2. Receive all funds of the JDA for deposit into and shall make disbursements from the JDA Accounts. The Fiscal Agent will manage the depository accounts with its primary bank, which as of the date of the JPA is US Bank. 3. Maintain current and accurate records relating to JDA accounts. 4. Account for all funds according to generally accepted accounting principles and County's usual accounting practices. 5. Provide financial reports to the Board quarterly, unless the Board directs that reports be more often. The reports shall include statements of revenue and expenses costs and disbursements) and budget reports, accounts receivable, accounts payable, and information as described in the JPA with respect to the annual budget. The reports shall be provided directly to the Chair and Vice-Chair and also delivered to the Board. 6. Disbursements and financial management shall be as provided in the JPA and with respect to cost recovery, as described in the JPA. The Fiscal Agent shall provide reports of disbursements relating to such cost recovery upon their occurrence directly to the Chair and Vice Chair of the JDA Board, the City Administrator and the County Manager and shall include reports thereof at least quarterly to the Board. 7. Maintain all financial records and reports for a period of six (6) full fiscal years. 8. The Fiscal Agent services shall be provided by the County Department of Finance. The Fiscal Agent shall charge fees for service to the JDA, and the fees shall be paid in accordance with the annual budget, and shall be subject to cost recovery as provided in the JPA. The Fiscal Agent shall report to the County Manager and City Administrator and to the Chair. 9. The Fiscal Agent shall report to Fees for Fiscal Agent services shall be charged to and paid by the JDA as an expense as provided in Section 2 of the JPA. 10. Audits will be conducted in accordance with the requirements of the State Auditor, Ramsey County policy, and the requirements of any agency providing funds for the activities of the JDA, and results shall be reported timely to the Ramsey County Audit Committee and the JDA Board. Audit fees will be charged to the JDA as an expense of the JDA. 11. The Parties agreement regarding the engagement of the County as the Fiscal Agent shall be the same length as the term of the JPA and the termination process shall be as provided in the E-1 JPA for termination of the JDA. 12. The Parties shall use good faith to attempt to resolve by negotiation disputes relating to the Fiscal Agent and noncompliance with the requirements for the Fiscal Agent or the requirements of the Fiscal Agent with respect to the JDA, and upon agreement shall use any available dispute resolution process including mediation and arbitration and failing to negotiate or resolve the dispute by such means may elect to resolve the dispute by legal action. In the event the Fiscal Agent determines that there is a dispute relating to the Fiscal Agent, the Fiscal Agent shall report the existence of the dispute to the City Manager, City Administrator, Chair and Vice Chair of the JDA. 13. Changes to the scope of services and responsibilities of the Fiscal Agent shall be made by written agreement of the Parties, which shall be deemed an amendment of the JPA. 14. County shall not have any liability to City for acting as Fiscal Agent, and without limiting the liability of County as provided under the JPA as a Party, in its capacity as Fiscal Agent, County is not liable for management decisions of the JDA nor liable for cash shortfalls or any payments as a result of insufficient funds due to funding shortfalls of the JDA. E-2 Attachment Amended Offer to Purchase Agreement November 26, 2012, City Council Meeting AMENDED OFFER TO PURCHASE The undersigned,County of Ramsey, a political subdivision of the State of Minnesota,having an address at 250 City Hall-Courthouse, St. Paul, Minnesota, 55102, (hereafter called the "Purchaser")hereby offers to purchase from the UNITED STATES OF AMERICA, acting by and through the General Services Administration, Property Disposal Division, Region One, 10 Causeway Street, Room 925, Boston, Massachusetts 02222, (hereafter called the "Government") on the terms and subject to the conditions set forth, a parcel of real property comprised of approximately 427 acres of land, including improvements thereon, known as a portion of the former Twin Cities Army Ammunition Plant (TCAAP), more particularly shown on the plan attached hereto as Exhibit A and incorporated herein (the"Property"). Notwithstanding the foregoing, all buildings and personal property comprising the groundwater remediation and monitoring well systems will be retained by the Government and are not a part of the Property. This Amended Offer to Purchase (the Amended Offer to Purchase is referred to herein as this "Offer") supersedes and replaces in its entirety the Offer to Purchase dated December 28, 2011 signed by Purchaser and with respect to the Property(referred to herein as the"Original Offer") and the acceptance hereof shall constitute an agreement("Agreement") between the Purchaser and the Government, effective as of the date of acceptance. The Agreement shall constitute the whole contract to be succeeded only by subsequent agreements, to be determined by the parties, and the formal instruments of transfer, unless modified in writing and signed by both parties. No oral statements or representations made by, or for, or on behalf of either party shall be a part of such contract. Prior to any closing, this Offer, or any interest herein, shall not be transferred or assigned by the Purchaser without the written consent of the Government, and any such action, without such consent, shall be void. Negotiated sales to public bodies under 40 U.-S.-C. 545(b)(8) will be considered only when the disposal agency has made a determination that a public benefit will result from the negotiated sale which would not be realized from a competitive sale disposal. TERMS AND CONDITIONS 1. PURCHASE PRICE. The purchase price for the Property is $28,000,000 and reflects the elimination from the Original Offer of the North Access Road (as was defined in the Original Offen(the"Purchase Price"). Pursuant to the Original Offer, the Government and the Purchaser reached an agreement on the dollar value of the following credits to the Purchase Price: (i) the agreed upon cost to demolish all structures on the Property(utilities, infrastructure and buildings), including the costs to remove and dispose of any contaminants present in the structures; (ii)the agreed upon cost to remediate hazardous substances and petroleum in the soil on the Property to achieve the highest and best use; and (iii) the agreed upon cost to relocate or otherwise alter the groundwater treatment and monitoring well systems. The Original Offer was an offer to purchase 430 acres of land and the land referred to in the Original Offer as the North Access Road. This Offer reflects the Army's expressed need to maintain the footprint on the Property for the groundwater treatment system and the request 1 176632v1 from Federal Highway Administration and subsequent agreement from GSA to transfer a portion of the Property for highway purposes that reduces the acreage and results in an adjustment of the Purchase Price as provided in this Section 1. The Government and the Purchaser have further reached an agreement on the dollar value of the following additional credits and adjustments to the Purchase Price (numbered to be continuous with the already agreed upon credits): (iv) the lack of utility for the land that is occupied by the ground water treatment plant and subgrade collection system; and(v) the land to be conveyed by the Government to the Federal Highway Administration for additional highway right-of-way for the improvement of Highways 96 and US 10 at their intersection/interchange. The amount of the credit for item (iv) is with respect to 5.5 acreas and is $357,500 and the amount for item (v) is with respect to 2.99 acreas and is $194,350.00. A summary is provided below: Item (iv)— 5.5 acres, or$357,500.00 Item (v)—2.99 acres or$194,350.00 Items (iv,v)—8.49 acres or$551,850 Purchase Price before credit items (i)—(v) $28,000,000.00 Original credit amount (Items i,ii,iii) $22,549,125.00 Items (iv) and (v) $551,850.00 Purchase Price after credits $4,899,025.00 Not included in the credit for remediation are the costs for due diligence activities: (i)typically performed by a purchaser in the acquisition of real property that is similar to the Property; and (ii) performed in connection with the development of the Property. Pursuant to the Original Offer,Purchaser delivered to the Government on or about December 28, 2011 an initial earnest money deposit (the"Initial Deposit") in the amount of Three Hundred Thousand and no/100 Dollars ($300,000.00), in the form of certified or cashier checks made payable to the U.S. General Services Administration,and also delivered to the Government on or about May 10, 2012 an additional earnest money deposit (the "Second Deposit") of Two Hundred Ninety-Five Thousand Eighty-Seven and 50/100 Dollars ($295,087.50). The amount of earnest money deposit already delivered to the Government is $595,087.50. The Initial Deposit and the Second Deposit are together the"Deposit". For the purposes of this Offer the Deposit shall be deemed as being delivered pursuant to this Offer. 2. DELIVERY OF INSTRUMENTS OF CONVEYANCE. The transfer of title to the Property to the Purchaser will be phased and will occur at two separate closings, which are described below: 2 176632v1 A. Initial Closing. The initial closing(the "Initial Closing") will occur within thirty (30) days following the later of. (i)the Government's acceptance of this Offer; or(ii) Purchaser's notice to the Government that the Remediation Financing (as defined in Section 6 below) is satisfactory. Notice to the Government shall be delivered to the Government on or before December 20, 2012, as provided in Section 6 below. At the Initial Closing: (i)the Deposit will be applied to the Purchase Price and the Purchaser will by certified or cashier check deliver to the Government such additional amount as required to cause the amount paid with respect to the Purchase Price to equal twenty percent (20%) of the outstanding Purchase Price (as adjusted by the credits referenced in Section 1 above); (ii) the Government will deliver to the Purchaser a deed (the "Initial Deed") for a portion of the Property containing approximately 397acres of land as described on Exhibit A-1 attached hereto (which does not include the land conveyed for highway purposes as provided in Section 1 above); (iii)the Government and the Purchaser will enter into a lease(the"Lease"), a draft of which is attached hereto as Exhibit C for approximately 30 acres of land(the "Leased Property"), which land is highlighted in red and brown on the map attached as Exhibit B; and (iv) the United States Department of Army(the"Army") and the Purchaser will enter into a Memorandum of Agreement in order to set forth the terms and conditions governing the interaction of the Purchaser and the Army relating to property management, environmental response actions, continued operation and maintenance by the Army of the groundwater remediation systems, and other matters. B. Final Closing. Within ten(10)business days following receipt by the Army of appropriate written assurances from the MPCA and concurrence from the United States Environmental Protection Agency("EPA") determining that the Leased Property has been remediated to the Minnesota Tier II Industrial/Commercial Soil Reference Values; and (ii) the Government's receipt of the balance of the Purchase Price due from Purchaser(as adjusted by the credits referenced in Section 1 above), as the same may be diminished by credits to the Purchaser for costs of Self Help as described in Section 27 of this Offer, the Government will deliver to the Purchaser a deed for the Leased Property(the"Final Deed"). The Initial Deed will retain all necessary rights to ensure that the Leased Property remains marketable(including,without limitation, a retention of rights for access to and from the Leased Property), which rights shall terminate if, as and when the deed for the Leased Property is delivered to the Purchaser. Each deed will include certain environmental covenants required by Chapter 114E of the Minnesota Statutes (the"Environmental Covenants") and certain land use controls required by the Land Use Control Remedial Design (the"Land Use Controls") prepared by the Army and approved by EPA and MPCA (the"LUCRD"). Each deed will contain all of the warranties set forth in the Comprehensive Environmental Response, Compensation and Liability Act ("CERCLA"), § 120(h)(3), 42 U.S.C. § 9620(h)(3). Each deed will also retain all necessary rights to allow the Government and its successors and assigns, to facilitate the continued 3 176632v1 operation and maintenance of the groundwater remediation and monitoring well systems including, without limitation, rights related to access. 3. CONTINUING OFFER. This Offer shall be deemed a firm and continuing offer from the date of receipt by the Government of this Offer executed by the Purchaser in accordance with the terms of this Offer along with the Deposit until accepted or rejected by the Government; provided,however, that after 120 days have elapsed from the date of such receipt,the Purchaser not having received notice of acceptance may consider this Offer rejected and shall be entitled to the return of the Deposit, and if the Government desires to accept the Offer after such 120 days, the consent of the Purchaser thereto shall be obtained, provide that if the Purchaser does not consent, the Government shall promptly return the Deposit to the Purchaser. 4. NOTICE OF ACCEPTANCE OR REJECTION. Notice by the Government of acceptance or rejection of this Offer shall be deemed to have been sufficiently given when delivered or mailed to the Purchaser or its duly authorized representative at the address indicated in this Offer. 5. RESOLUTION. There shall be attached to this Offer a copy of the Purchaser's duly executed resolution authorizing the purchase of and funding for the purchase price of the property. The resolution shall be duly certified under the County seal of the Purchaser to be a true copy. 6. RESCISSION. The Purchaser may rescind its offer, and the Government will return any earnest money(e.g. the Deposit) paid up until the date of rescission, i£ (i)State or other agency financing for the remediation and redevelopment of the Property in such amounts and form as deemed acceptable to Purchaser in Purchaser's sole discretion is not obtained or otherwise made available or committed to Purchaser in such manner as satisfactory to Purchaser in Purchaser's sole discretion(the"Remediation Financing") on or before December 20, 2012. If Purchaser does not deliver notice to the Government on or before December 20, 2012 that condition(i)has been satisfied or waived,this Offer shall be deemed rescinded by Purchaser,the Government shall promptly return the Deposit to Purchaser(without interest), and this Offer shall immediately terminate and the parties shall have no further obligation to each other expect the obligation of the Government to return the Deposit to Purchaser. Purchaser's notice shall be by a writing by the County Manager, or her designee, and shall be delivered to the Government by electronic delivery(email) to Kevin Legare, Real Property Utilization and Disposal, US General Services Administration, Thomas P. O'Neill Federal Building , Tenth Floor., 10 Causeway Street, Boston , MA 02222; kevin.legare&gsa.gov, with confirmation of transmittal to follow, or by U.S. Mail, and shall be deemed delivered upon execution by County of the electronic instruction to send the email notice or upon deposit in the U.S. Mail addressed as set forth above. The Government may rescind its acceptance of this Offer if it is reasonably determined by the Government that such action is justified for such causes as a military conflict, a national emergency, or evidence of default, by the Purchaser. For the purpose of this Offer, default shall include but not be limited to, misrepresentation or other wrongful conduct, assignment of the Offer, violation of the covenant against contingencies fees, and inability to 4 176632v1 effectuate a timely closing. Any rescission will be without liability on the part of the Government other than to return the earnest money deposit without interest 7. DEEDS WITHOUT WARRANTY. The Government shall transfer title to the Property by quitclaim deeds. 8. REVOCATION OF OFFER AND DEFAULT. In the event of revocation of the Offer prior to acceptance and after the date provided in Section 6 prior to which the Purchaser may elect to rescind its offer or elect not to consider the condition therein satisfied or waived and thereby the Government is obligated to return the Deposit to the Purchaser , or in the event of any default by the Purchaser in the performance of the contract created by such acceptance not cured within sixty(60) days, the Deposit, together with any payments subsequently made on account,may be forfeited at the option of the Government,in which event the Purchaser shall be relieved of further liability. 9. INSPECTION. Failure of the Purchaser to inspect or to be fully informed as to the condition of all or any portion of the Property shall not constitute grounds for any claim or demand for adjustment or withdrawal of the Offer. The Purchaser shall be deemed to have relied solely on its own judgment in assessing the overall condition of all or any portion of the Property. 10. CONDITION OF PROPERTY. Except as otherwise provided herein, the Property is offered"as is" and"where is"without representation, warranty, or guarantee as to quality, quantity, character, condition, size, or kind, or that the same is in condition or fit to be used for any purpose for which it is intended. 11. POSSESSION. Except as provided in this Section 11, possession by the Purchaser of the Property will be granted upon the Initial Closing. The Government will, within ten(10) business days of acceptance by the Purchaser of the Offer, enter into a License Agreement with Purchaser allowing the Purchaser to complete environmental testing on the Property. A draft of the License Agreement is attached as Exhibit D. 12. TITLE EVIDENCE. Any title evidence which may be desired by the Purchaser will be procured at its sole cost and expense. The Government will, however, cooperate with the Purchaser or its authorized agent in this connection by providing a copy of all documentation in its possession pertaining to the title of the Property. It is understood that the Government will not be obligated to pay for any expense incurred in connection with title matters or survey of the Property. 13. LIABILITY. If this Offer is not accepted for any reason or no reason at all, or if this Offer is accepted and (i) the Government fails for any reason to perform its obligations as set forth herein, or(ii)title to the Property does not transfer and vest in the Purchaser for reasons outside the Purchaser's control, the Government shall promptly refund to the Purchaser all amounts paid by Purchaser, without interest, whereupon the Government shall have no further liability to the Purchaser. 5 176632v1 14. TAXES AND RECORDING. The Purchaser shall pay all taxes imposed on this transaction and shall obtain at its own expense and affix to all instruments of conveyance and security documents such revenue and documentary stamps as may be required by Federal and local law. All instruments of conveyance shall be placed on record in the manner prescribed by local recording statutes at the Purchaser's expense. A recorded copy of the deeds shall be supplied by the Purchaser to the Government within ten (10)business days of conveyance. 15. COVENANT AGAINST CONTINGENT FEES. The Purchaser warrants that it has not employed or retained any person or agency to solicit or secure this Offer upon any agreement or understanding for a commission, percentage, brokerage, or contingent fee. Breach of this warranty shall give the Government the right to terminate the Offer without liability or in its discretion to recover from the Purchaser the amount of such commission,percentage,brokerage or contingent fee in addition to the consideration herein set forth. This warranty shall not apply to commission's payable by the Purchaser upon the contract secured or made through bona fide established commercial agencies maintained by the Purchaser for the purpose of doing business. "Bona fide established commercial agencies"has been construed to include licensed real estate brokers engaged in the business generally. 16. ZONING. Verification of the present zoning and determination of permitted uses hereunder, along with compliance of the Property for present or proposed future use, shall be the responsibility of the Purchaser and the Government makes no representation in regard thereto. The Government does not guarantee that any zoning information is necessarily accurate or will remain unchanged. Any inaccuracies or changes in the zoning information shall not be cause for adjustment or rescission of any contract resulting from the Government's acceptance of the Offer. 17. NON-DISCRIMINATION. The Purchaser covenants for itself, its successors and assigns and every successor in interest to the Property hereby conveyed, or any part thereof,that the said Purchaser and such successors and assigns shall not discriminate upon the basis of race, color, sex, religion, or national origin in the use, occupancy, sale, or lease of the Property, or in their employment practices conducted thereon. This covenant shall not apply, however, to the lease or rental of a room or rooms within a family dwelling unit;nor shall it apply with respect to religion to premises used primarily for religious purposes. The United States of America shall be deemed a beneficiary of this covenant without regard to whether it remains the owner of any land or interest therein in the locality of the Property hereby conveyed and shall have the sole right to enforce this covenant in any court of competent jurisdiction. 18. PROPERTY TO BE SOLD SUBJECT TO EASEMENTS AND LUCRD. The Property will be sold subject to the LUCRD and any and all existing recorded reservations, easements, restrictions, and rights including those reservations, easements, restrictions and rights for private and public roads,highways, streets, pipelines,railroads, utilities, waterlines, sewer mains and lines, drainage, power lines, rights-of-way and remediation controls imposed upon the Property. At the request of Purchaser or its successors or assigns, the Government will,within ten(10)business days of receipt by the Army of appropriate written assurances from 6 176632v1 the MPCA and concurrence from the EPA determining that the Property has been remediated to allow removal of applicable easements and LUCRD restrictions and authorizing the amendment of the LUCRD and deed, remove such easements and LUCRD restrictions and amend the deed to the Property. Notwithstanding the foregoing, the Purchaser or its successor or assigns shall make such request no more than two (2)times in total and,in the event the process for receiving such appropriate written assurances is lengthy and unduly cumbersome, the Government shall have the right to allow for the Purchaser or its successor or assigns to make only one (1) such request in total. 19. EXCLUSIONS. Buildings and personal property associated with the groundwater remediation and monitoring well systems shall be retained by the Army. The buildings and personal property associated with the groundwater remediation and monitoring well systems are identified in the attached Exhibit B. 20. EXCESS PROFITS COVENANT FOR NEGOTIATED SALES TO PUBLIC BODIES. This covenant shall run with the land starting the date of the Initial Deed and continuing until the date that is three years after the date of delivery of the Final Deed. If at any time before the date that is three years after the date of the transfer of title by the Government by the Final Deed, Purchaser, or it successors or assigns, shall sell the Property in a single transaction or shall sell all or any of it in a series of transactions, it is covenanted and agreed that all proceeds received in excess of Purchaser's or a subsequent seller's actual allowable costs will be remitted to the Government. In the event of a sale of less than the entire Property, actual allowable costs will be apportioned to the portion of the Property sold based on a fair and reasonable determination by the Government. a) For purposes of this covenant, Purchaser's or a subsequent seller's allowable costs shall include: (i) the purchase price of acquiring the Property; (ii) the direct costs actually incurred and paid for physical improvements on the subject Property for the following: improvements on the Property which serve only that Property, including road construction, storm and sanitary sewer construction, other public facilities or utility construction,building rehabilitation and demolition, landscaping, grading, and other site or public improvements; (iii) the direct costs actually incurred and paid for design and engineering services with respect to the improvements described; and (iv)the finance charges actually incurred and paid in conjunction with loans obtained to meet any of the allowable costs enumerated above. b) None of the allowable costs described in paragraph (a) of this section will be deductible if defrayed by Federal grants or if used as matching funds to secure Federal grants. To verify compliance with the terms and conditions of this covenant, the Purchaser, or its successors or assigns, shall submit to the Government on the anniversary date of the Initial Deed an annual report for each year after the date of the Initial Deed and shall continuing doing so on each such anniversary date until the end of the period that is three years after the date of the Final Deed(and if the date that is three years after the date of the Final Deed is not an anniversary date of the Initial Date, the report for the final year shall be for the partial year ending on date that is 7 176632v1 three years after the anniversary year of the Final Deed)..Each report will identify the portion of the Property involved in the transaction and will contain such of the following items of information as are applicable at the time of the submissions: (i) a statement indicating whether or not a resale has been made; (ii) a description of each portion of the Property that has been resold; (iii) the sale price of such resold portion (iv) the identify of each purchaser; (v) the proposed land use; and(vi)an enumeration of any allowable costs incurred that would offset any profit realized. The Government may monitor the Property involved and inspect records related thereto to ensure compliance with the terms and conditions of this covenant and may take any actions which it deems reasonable and prudent to recover any excess profits realized through the resale of the Property. 21. OBJECTS AFFECTING NAVIGABLE AIRSPACE.Pursuant to the requirements of House Report Number 95-1053 entitled"FAA Determinations of`No Hazard' For Structures Near Airports", it has been determined that the Property is located within six (6) nautical miles of the Blaine-Anoka County Airport. No construction on or alternation of the Property or any portion thereof shall be undertaken by the Purchaser, its heirs, successors or assigns unless and until a written determination of no hazard to air navigation shall have been issued the FAA pursuant to 14 CFR Part 77 "Objects Affecting Navigable Air Space" or under the authority of the Federal Aviation Act of 1958, as amended. This restriction shall run with the Property. 22. GOVERNMENT'S RIGHT TO EXTEND CLOSING. Upon mutual agreement between the Government and Purchaser, the Government may reasonably extend the date of the Initial Closing and/or the Final Closing for the purpose of executing any documents necessary for transfer of the Property, including but not limited to any necessary environmental certifications. 23. NOTICE OF THE POSSIBLE PRESENCE OF LEAD-BASED PAINT. Pursuant to the Residential Lead-Based Paint Hazard Reduction Act of 1992, Public Law 102-550 (Title X), the Government hereby acknowledges the required disclosure of the presence of any known lead-based paint and/or lead based paint hazards in target housing constructed prior to 1978 on the Property described in the Deed. The Property contains no improvements defined by Title X as target housing. The Purchaser warrants all structures will be demolished and no occupancy of any kind shall occur on the improvements now located on the Property. After the date of conveyance, the Government shall assume no liability for damages for personal injury, illness, disability or death to the purchaser, or to any other person, including members of the general public, arising from or incident to, the purchase, transportation, removal, handling, use disposition or other activity causing or leading to contact of any kind whatsoever with lead-based paint on the Property, whether the Purchaser has properly warned or failed to properly warn the individual(s) injured 24. ENVIRONMENTAL HAZARDOUS SUBSTANCE ACTIVITIES. Twin Cities Army Ammunition Plant was used in the manufacturing of small caliber ammunition. The 8 176632v1 Property is listed on the National Priorities List(NPL). A detailed disclosure of hazardous substances stored, released, or disposed on the Property is attached hereto as Exhibit E. 25. CERCLA ACCESS. Government reserves a right of access to all portions of the property for environmental investigation, remediation or other corrective action. This reservation includes the right of access to and use of available utilities at reasonable cost to Government. These rights shall be exercisable when a remedial action, response action or corrective action is found to be necessary after the date of this conveyance, or in which access is necessary to carry out a remedial action, response action, or corrective action on adjoining property. Pursuant to this reservation, the United States of America, and its respective officers, agents, employees,contractors and subcontractors shall have the right(upon reasonable advance written notice to the record title owner) to enter upon the Property and conduct investigations and surveys, to include drilling, test-pitting, borings, data and records compilation and other activities related to environmental investigation, and to carry out remedial or removal actions as required or necessary, including but not limited to the installation and operation of monitoring wells, pumping wells, and treatment facilities. Any such entry, including such activities, responses or remedial actions, shall be coordinated with the record title owner and shall be performed in a manner that minimizes interruption of activities of authorized occupants, and shall not unreasonably interfere with the conduct of business on the Property, and shall repair any damage to the Property, including improvements thereon, resulting from such entry to the condition existing immediately before its entry thereon. 26. REMEDIATION OF LEASED PROPERTY. The Army is ultimately responsible for ensuring that any and all necessary response actions are taken at the Leased Property for releases that are attributable to the Army. Notwithstanding the foregoing, the Purchaser agrees that the Lease will require that the Purchaser commence the remedial actions necessary to satisfy the Government's obligation under the Federal Facilities Agreement dated August 12, 1987 (the "FFA") and entered into by and between the MPCA,the EPA and the Army provided,however, that the Government will retain the obligation to investigate and remediate any"Unknown Environmental Conditions" at the Leased Property. The term "Unknown Environmental Conditions" will be defined in the Lease as: Any hazardous substance not identified as present on the Leased Property in the reports listed in Exhibit F hereto, which will be incorporated in the Lease, or the presence of any hazardous substance identified as present on the Leased Property in such reports, but discovered after the effective date of the Lease to be present in locations not identified in such reports. As indicated in Exhibit C,no rental payment under the Lease will be due by the Purchaser. The term of the lease will be for a period of time commencing on the date of the Initial Closing and expiring on the date on which the Government will deliver to the Purchaser a deed for the Leased Property. 27. SELF HELP FOR UNKNOWN ENVIRONMENTAL CONDITIONS. If Purchaser discovers Unknown Environmental Conditions on the Leased Property prior to the Final Closing, the Purchaser will, within five (5)business days of the discovery, notify the Government and will secure the area where the release was discovered for inspection by the 9 176632v1 Army. The Army will complete the inspection as soon as possible, but no later than five (5) business days after receipt by the U.S. Government of notification from the Purchaser of the discovery of the Unknown Environmental Condition. The Army and the Purchaser agree to confer regarding the scope of any investigation and remediation that may be necessary within five(5)business days of the Army's inspection of the release. If the Purchaser and Army agree that the Army can perform the investigation and remediation of the release (1) at less cost than the Purchaser and (2) within the same time frame as the Purchaser, the Army has the option to complete any necessary investigation and remediation required by the MPCA or EPA with respect to the Unknown Environmental Condition. If the Army cannot complete the investigation and remediation within the same time frame as the Purchaser, then the Purchaser will perform the investigation and remediation of the release. In either case, the Purchaser will provide the Government with all test results or reports produced or generated regarding the Unknown Environmental Condition. If the Purchaser conducts the investigation and remediation, the Purchaser may immediately utilize the balance of the Purchase Price held back at the Initial Closing to complete any necessary investigation and remediation required by the MPCA or EPA with respect to the Unknown Environmental Condition, and will provide the Government with written documentation of all costs it incurs to complete the work. Nothing in this Offer, including but not limited to this Section 27, will in any way limit the Government's obligation to investigate and remediate Unknown Environmental Conditions present on the Leased Property, and said obligation shall survive the Initial Closing and Final Closing. 28. RIGHT TO CURE. In the event a party hereto fails to observe or perform any of its obligations under this Offer, after having been provided written notice and failing to cure the default within sixty(60) days, the other party will be entitled to exercise any and all of the remedies for breach which are provided for herein. 29. RETAINED LIABILITIES AND RESPONSIBILITIES. The Government retains liability after the transfer of the Property to the Purchaser for remediation for: (1) nuclear, biological and chemical contamination; (2)munitions and explosives of concern, including unexploded ordnance; (3) groundwater remediation required under the FFA, as further described below; and(4) any other liability required by law to be retained by the Government pursuant to CERCLA, § 120(h)(3), 42 USC §9620(h)(3). All responsibility for remediation of the groundwater and management and operation of the groundwater treatment and monitoring well systems will be retained by the Army. Pursuant to the FFA, the Army is required to pump and treat or otherwise remediate groundwater on, at, under, or emanating from TCAAP (including the Property). Due to the foregoing, the Army previously constructed two (2) groundwater recovery systems consisting of eighteen (18) extraction wells(thirteen (13) on the Property), seventeen(17)pump houses (twelve(12)on the Property), one (1) groundwater collection trench, two (2) water treatment plants, underground force main infrastructure, and more than 40 monitoring wells. A map of the groundwater recovery systems is attached hereto as Exhibit B. All buildings and personal property associated with the groundwater remediation and monitoring well systems will be retained by the Army so long as the Army is required to perform its groundwater remediation responsibilities. If the Purchaser desires to relocate or otherwise alter the groundwater recovery system, the Purchaser must receive the prior written approval of the Army, EPA and MPCA. 10 176632v1 Upon completion of all necessary groundwater remediation and upon obtaining the necessary regulatory closures, the groundwater recovery systems (including all buildings and personal property associated therewith) will be conveyed without cost to the Purchaser. From the time of the First Closing and until the Army completes the groundwater remediation, the Government shall retain the right to access and perform the Government's remediation activities on the Property, and the Purchaser shall not perform construction on and/or otherwise restrict the Government's access to the extraction wells and monitoring wells shown on Exhibit B, or any new wells required by the MPCA or EPA to be installed on the Property. The Government shall have the right (in its sole and absolute discretion)to reserve all reasonably necessary rights in the deeds for the Property to allow the Army to effectively perform its groundwater remediation activities. 30. EXPLANATORY STATEMENT. An explanatory statement shall be prepared and transmitted to the appropriate Congressional Committees prior to the Government's acceptance of this Offer. The explanatory statement will provide a comprehensive review of the negotiations, the Property and terms of the transaction in accordance with 40 USC 545(b)(8). Within five(5) business days following a favorable review by the appropriate Congressional Committees, the Government will accept this Offer. 31. EXHIBITS. All exhibits referenced in this Offer and attached hereto are hereby incorporated herein and made a part of this Offer. [SIGNATURE PAGES FOLLOW] 11 176632v1 IN WITNESS WHEREOF, the County of Ramsey has caused this Offer to be executed and delivered to the United States of America acting by and through the General Services Administration this day of , 2012 COUNTY OF RAMSEY Rafael Ortega, Chair Ramsey County Board of Commissioners Date: Bonnie Jackelen, Chief Clerk Ramsey County Board of Commissioners Date: ACKNOWLEDGEMENT STATE OF MINNESOTA ) ss. COUNTY OF RAMSEY ) The foregoing instrument was acknowledged before me this day of , 2012 by Rafael Ortega and Bonnie Jackelen,the Chair and Chief Clerk respectively of the Board of Ramsey County Commissioners, a political subdivision of the State of Minnesota on behalf of the County. Notary Public My commission expires: Approved as to form: Assistant County Attorney 12 176632vl ACCEPTED THIS DAY OF , 2012. UNITED STATES OF AMERICA Acting by and through the U.S. General Services Administration BY: John E. Kelly Director, Real Property Utilization and Disposal ACKNOWLEDGEMENT Commonwealth of Massachusetts County of Suffolk In Boston, in said County and State on this day of 2012 before me personally appeared John E. Kelly, Director Real Property Utilization and Disposal, General Services Administration, Boston,Massachusetts, duly empowered and authorized,known by me to be the party executing the foregoing instrument and by him duly executed to be his free act and Deed in his capacity as Director Property Disposal, United States General Services Administration, Boston Massachusetts. Carol H. Chirico, Notary Public My commission expires August 13 176632v1 Exhibit A That part of the Southwest Quarter of the Northwest Quarter of Section 9, Township 30 North, Range 23 West, Ramsey County, Minnesota, lying southerly of the following described line: Commencing at a point on the north line of said Northwest Quarter of Section 9 distant fifty(50) feet westerly of the northeast corner of said Northwest Quarter; thence southerly along a line parallel with the east line of said Northwest Quarter a distance of 550.00 feet; thence westerly along a line parallel with the north line of said Northwest Quarter a distance of 1,425.22 feet to the point of beginning of the line to be described; thence southerly along a line parallel with the west line of said Northwest Quarter a distance of 1,235.00 feet; thence westerly along a line parallel with the north line of said Northwest Quarter a distance of 1,160.0 feet, more or less, to said west line of the Northwest Quarter, and said line there terminating. And lying westerly of the following described line: Commencing at the North Quarter corner of said Section 9; thence North 89 degrees 52 minutes 51 seconds West, assumed bearing, along the north line of said Northwest Quarter a distance of 50.00 feet; thence South 00 degrees 43 minutes 50 seconds East along a line parallel with the east line of said Northwest Quarter a distance of 550.00 feet; thence North 89 degrees 52 minutes 51 seconds West along a line parallel with the north line of said Northwest Quarter a distance of 1,425.22 feet to the point of beginning of the line to be described; thence South 00 degrees 33 minutes 53 seconds East along a line parallel with the west line of said Northwest Quarter a distance of 2,206.32 feet and said line there terminating And lying easterly of the following described line: Commencing at the west quarter corner of said Section 9; thence easterly on an azimuth of 90 degrees 01 minute 58 seconds along the east and west quarter line thereof and the boundary of Minnesota Department of Transportation Right of Way Plat No. 62-45, as the same is on file and of record in the office of the Registrar of Titles in and for said County, for 182.41 feet to Right of Way Boundary Corner B4406 and the point of beginning of the line to be described; thence on an azimuth of 359 degrees 18 minutes 09 seconds along the boundary of said plat for 5.78 feet to Right of Way Boundary Corner B7; thence on an azimuth of 359 degrees 25 minutes 22 seconds along the boundary of said plat for 850.31 feet to Right of Way Boundary Corner B6; thence continuing on said azimuth of 359 degrees 25 minutes 22 seconds, along the northerly extension of the last described boundary line, for 100.00 feet and said line there terminating. 14 176632v1 Together with that part of BROOK LAND ACRES, Ramsey Co., Minn., and that part of the South Half of Section 9, Township 30 North, Range 23 West, Ramsey County, Minnesota, and that part of Section 16, said Township 30 North, Range 23 West, EXCEPT the southerly 133.00 feet of said Section 16, all lying easterly of the following described line: Commencing at the west quarter corner of said Section 9; thence easterly on an azimuth of 90 degrees 01 minute 58 seconds along the east and west quarter line thereof and the boundary of Minnesota Department of Transportation Right of Way Plat No. 62-44,as the same is on file and of record in the office of the County Recorder in and for said County, for 182.41 feet to Right of Way Boundary Corner B4406 and the point of beginning of the line to be described; thence on an azimuth of 179 degrees 18 minutes 09 seconds along the boundary of said plat for 1,176.34 feet to Right of Way Boundary Corner B1; thence on an azimuth of 160 degrees 23 minutes 53 seconds along the boundary of said plat for 771.62 feet to Right of Way Boundary Corner B2; thence on an azimuth of 179 degrees 18 minutes 09 seconds along the boundary of said plat for 140.00 feet to Right of Way Boundary Corner B3; thence on an azimuth of 218 degrees 11 minutes 13 seconds along the boundary of said plat for 398.25 feet to Right of Way Boundary Corner B4; thence on an azimuth of 179 degrees 18 minutes 09 seconds along the boundary of said plat for 287.49 feet to Right of Way Boundary Corner B4405 as shown on said Plat No. 62-44 also being Right of Way Boundary Corner B4405 as shown on Minnesota Department of Transportation Right of Way Plat No. 62-43 as the same is on file and of record in the office of the County Recorder in and for said County; thence on an azimuth of 179 degrees 18 minutes 09 seconds along the boundary of said Plat No. 62-43 for 18.24 feet to Right of Way Boundary Corner B1; thence on an azimuth of 166 degrees 27 minutes 32 seconds along the boundary of said plat for 1,951.24 feet to Right of Way Boundary Corner B2; thence on an azimuth of 144 degrees 50 minutes 10 seconds along the boundary of said plat for 774.66 feet to Right of Way Boundary Corner B3; thence southeasterly for 113.63 feet along the boundary of said plat on a circular curve, concave to the northeast, having a radius of 5,579.58 feet, a delta angle of 01 degree 10 minutes 01 second, and a chord azimuth of 144 degrees 15 minutes 10 seconds, to Right of Way Boundary Corner B4; thence southeasterly for 275.90 feet along the boundary of said plat on a compound curve, concave to the northeast,having a radius of 5,579.58 feet, a delta angle of 02 degrees 49 minutes 59 seconds, and a chord azimuth of 142 degrees 15 minutes 10 seconds,to Right of Way Boundary Corner B5;thence on an azimuth of 140 degrees 50 minutes 10 seconds along the boundary of said plat for 51.18 feet to Right of Way Boundary Corner B4306 as shown on said Plat No. 62-43 also being Right of Way Boundary Corner B4306 as shown on Minnesota Department of Transportation Right of Way Plat No. 62-42 as the same is on file and of record in the office of the County Recorder in and for said County;thence continue on an azimuth of 140 degrees 50 minutes 10 seconds along the boundary of said Plat No. 62-42 for 1,579.05 feet, more or less, to a point on said boundary line distant 1,310.00 feet northwesterly of Right of Way Boundary Corner B2 as shown on said Plat No. 62-42; thence leaving said boundary line on an azimuth of 135 degrees 16 minutes 13 seconds for a distance of 567.07 feet, more or less, to a point on a line lying 55 feet northeasterly of, as measured at right angles to, and parallel with said boundary line; thence on an azimuth of 140 degrees 50 minutes 10 seconds, along said parallel line, for a distance of 347.74 feet; thence leaving said parallel line on an azimuth of 124 degrees 28 minutes 44 seconds for a distance of 312.47 feet, more or less, to a point on a line lying 143 feet northeasterly of, as measured at right angles to, and 15 176632v1 parallel with said boundary line; thence on an azimuth of 140 degrees 50 minutes 10 seconds, along said parallel line, for a distance of 154.84 feet, more or less, to a point 45 feet northerly of, as measured at right angles to, the boundary line of said Plat No. 62-42 lying between Right of Way Boundary Corners B2 and B3 as shown on said Plat No. 62-42; thence on an azimuth of 90 degrees 13 minutes 30 seconds for a distance of 1,192.96 feet, more or less, to a point on a line run northerly and perpendicular from the easterly extension of said boundary line from a point on said extended line distant 1,340.00 feet easterly of said Right of Way Boundary Corner B2 and said point on said perpendicular line being 30.00 feet northerly of said extended boundary line; thence on an azimuth of 179 degrees 30 minutes 16 seconds, along said perpendicular line, for a distance of 30.00 feet, more or less, to the northerly line of said southerly 133.00 feet of said Section 16, and said line there terminating. And all lying westerly of the following described line: Commencing at the north quarter corner of said Section 9; thence North 89 degrees 52 minutes 51 seconds West, along the north line of the Northwest Quarter of said Section 9, a distance of 50.00 feet; thence South 00 degrees 43 minutes 50 seconds East, along a line parallel with the east line of said Northwest Quarter, a distance of 550.00 feet; thence North 89 degrees 52 minutes 51 seconds West, along a line parallel with said north line of the Northwest Quarter, a distance of 1,425.22 feet to the point of beginning of the line to be described; thence South 00 degrees 33 minutes 53 seconds East, along a line parallel with the west line of said Northwest Quarter, a distance of 2,206.32 feet; thence South 18 degrees 39 minutes 57 seconds West a distance of 1,896.72 feet; thence South 82 degrees 05 minutes 01 second East a distance of 242.81 feet; thence North 72 degrees 44 minutes 31 seconds East a distance of 363.88 feet; thence North 26 degrees 57 minutes 40 seconds East a distance of 227.73 feet; thence North 46 degrees 51 minutes 46 seconds East a distance of 398.07 feet; thence North 53 degrees 46 minutes 21 seconds East a distance of 232.79 feet; thence South 83 degrees 27 minutes 05 seconds East a distance of 1,744.23 feet; thence South 25 degrees 05 minutes 46 seconds West a distance of 465.00 feet; thence South 05 degrees 24 minutes 36 seconds West a distance of 515.00 feet; thence North 89 degrees 48 minutes 32 seconds West a distance of 13 1.10 feet; thence South 01 degree 30 minutes 22 seconds East a distance of 1,737.59 feet; thence South 24 degrees 24 minutes 27 seconds East a distance of 754.68 feet; thence South 42 degrees 48 minutes 32 seconds East a distance of 2,248.42 feet; thence South 00 degrees 02 minutes 56 seconds West a distance of 1,466.80 feet,more or less,to the south line of the Southeast Quarter of said Section 16 and said line there terminating. EXCEPT that part thereof lying within a tract of land described as commencing at the southwest corner of said Section 9; thence North 00 degrees 45 minutes 09 seconds West, along the west line of said Section 9 a distance of 620.68 feet; thence North 89 degrees 18 minutes 06 seconds East a distance of 166.69 feet to the point of beginning of the tract of land to be described;thence continue North 89 degrees 18 minutes 06 seconds East a distance of 469.36 feet;thence South 01 degree 00 minutes 26 seconds West a distance of 67.70 feet;thence South 50 degrees 53 minutes 20 seconds West a distance of 458.87 feet; thence North 89 degrees 45 minutes 01 second West a distance of 94.10 feet; thence North 02 degrees 56 minutes 02 seconds West a distance of 351.49 feet to the point of beginning. 16 176632v1 Exhibit A-1 That part of the Southwest Quarter of the Northwest Quarter of Section 9, Township 30 North, Range 23 West, Ramsey County, Minnesota, lying southerly of the following described line: Commencing at a point on the north line of said Northwest Quarter of Section 9 distant fifty(50) feet westerly of the northeast corner of said Northwest Quarter; thence southerly along a line parallel with the east line of said Northwest Quarter a distance of 550.00 feet; thence westerly along a line parallel with the north line of said Northwest Quarter a distance of 1,425.22 feet to the point of beginning of the line to be described; thence southerly along a line parallel with the west line of said Northwest Quarter a distance of 1,235.00 feet; thence westerly along a line parallel with the north line of said Northwest Quarter a distance of 1,160.0 feet, more or less, to said west line of the Northwest Quarter, and said line there terminating. And lying westerly of the following described line: Commencing at the North Quarter corner of said Section 9; thence North 89 degrees 52 minutes 51 seconds West, assumed bearing, along the north line of said Northwest Quarter a distance of 50.00 feet; thence South 00 degrees 43 minutes 50 seconds East along a line parallel with the east line of said Northwest Quarter a distance of 550.00 feet; thence North 89 degrees 52 minutes 51 seconds West along a line parallel with the north line of said Northwest Quarter a distance of 1,425.22 feet to the point of beginning of the line to be described; thence South 00 degrees 33 minutes 53 seconds East along a line parallel with the west line of said Northwest Quarter a distance of 2,206.32 feet and said line there terminating And lying easterly of the following described line: Commencing at the west quarter corner of said Section 9; thence easterly on an azimuth of 90 degrees 01 minute 58 seconds along the east and west quarter line thereof and the boundary of Minnesota Department of Transportation Right of Way Plat No. 62-45, as the same is on file and of record in the office of the Registrar of Titles in and for said County, for 182.41 feet to Right of Way Boundary Corner B4406 and the point of beginning of the line to be described; thence on an azimuth of 359 degrees 18 minutes 09 seconds along the boundary of said plat for 5.78 feet to Right of Way Boundary Corner B7; thence on an azimuth of 359 degrees 25 minutes 22 seconds along the boundary of said plat for 850.31 feet to Right of Way Boundary Corner B6; thence continuing on said azimuth of 359 degrees 25 minutes 22 seconds, along the northerly 17 176632v1 extension of the last described boundary line, for 100.00 feet and said line there terminating. Together with that part of BROOK LAND ACRES, Ramsey Co., Minn., and that part of the South Half of Section 9, Township 30 North, Range 23 West, Ramsey County, Minnesota, and that part of Section 16, said Township 30 North,Range 23 West, EXCEPT the southerly 133.00 feet of said Section 16, all lying easterly of the following described line: Commencing at the west quarter corner of said Section 9; thence easterly on an azimuth of 90 degrees 01 minute 58 seconds along the east and west quarter line thereof and the boundary of Minnesota Department of Transportation Right of Way Plat No. 62-44, as the same is on file and of record in the office of the County Recorder in and for said County, for 182.41 feet to Right of Way Boundary Corner B4406 and the point of beginning of the line to be described; thence on an azimuth of 179 degrees 18 minutes 09 seconds along the boundary of said plat for 1,176.34 feet to Right of Way Boundary Corner B1; thence on an azimuth of 160 degrees 23 minutes 53 seconds along the boundary of said plat for 771.62 feet to Right of Way Boundary Corner B2; thence on an azimuth of 179 degrees 18 minutes 09 seconds along the boundary of said plat for 140.00 feet to Right of Way Boundary Corner B3; thence on an azimuth of 218 degrees 11 minutes 13 seconds along the boundary of said plat for 398.25 feet to Right of Way Boundary Corner B4; thence on an azimuth of 179 degrees 18 minutes 09 seconds along the boundary of said plat for 287.49 feet to Right of Way Boundary Corner B4405 as shown on said Plat No. 62-44 also being Right of Way Boundary Corner B4405 as shown on Minnesota Department of Transportation Right of Way Plat No. 62-43 as the same is on file and of record in the office of the County Recorder in and for said County; thence on an azimuth of 179 degrees 18 minutes 09 seconds along the boundary of said Plat No. 62-43 for 18.24 feet to Right of Way Boundary Corner B1; thence on an azimuth of 166 degrees 27 minutes 32 seconds along the boundary of said plat for 1,951.24 feet to Right of Way Boundary Corner B2; thence on an azimuth of 144 degrees 50 minutes 10 seconds along the boundary of said plat for 774.66 feet to Right of Way Boundary Corner B3; thence southeasterly for 113.63 feet along the boundary of said plat on a circular curve, concave to the northeast, having a radius of 5,579.58 feet, a delta angle of 01 degree 10 minutes 01 second, and a chord azimuth of 144 degrees 15 minutes 10 seconds, to Right of Way Boundary Corner B4; thence southeasterly for 275.90 feet along the boundary of said plat on a compound curve, concave to the northeast,having a radius of 5,579.58 feet, a delta angle of 02 degrees 49 minutes 59 seconds, and a chord azimuth of 142 degrees 15 minutes 10 seconds,to Right of Way Boundary Corner B5; thence on an azimuth of 140 degrees 50 minutes 10 seconds along the boundary of said plat for 51.18 feet to Right of Way Boundary Corner B4306 as shown on said Plat No. 62-43 also being Right of Way Boundary Corner B4306 as shown on Minnesota Department of Transportation Right of Way Plat No. 62-42 as the same is on file and of record in the office of the County Recorder in and for said County;thence continue on an azimuth of 140 degrees 50 minutes 10 seconds along the boundary of said Plat No. 62-42 for 1,579.05 feet, more or less, to a point on said boundary line distant 1,310.00 feet northwesterly of Right of Way Boundary Corner B2 as shown on said Plat No. 62-42; thence leaving said boundary line on an azimuth of 135 degrees 16 minutes 13 seconds for a distance of 567.07 feet, more or less, to a point on a line lying 55 feet northeasterly of, as measured at right angles to, and parallel with said boundary line; thence on an azimuth of 140 degrees 50 minutes 18 176632v1 10 seconds, along said parallel line, for a distance of 347.74 feet; thence leaving said parallel line on an azimuth of 124 degrees 28 minutes 44 seconds for a distance of 312.47 feet, more or less, to a point on a line lying 143 feet northeasterly of, as measured at right angles to, and parallel with said boundary line; thence on an azimuth of 140 degrees 50 minutes 10 seconds, along said parallel line, for a distance of 154.84 feet, more or less, to a point 45 feet northerly of, as measured at right angles to, the boundary line of said Plat No. 62-42 lying between Right of Way Boundary Corners B2 and B3 as shown on said Plat No. 62-42; thence on an azimuth of 90 degrees 13 minutes 30 seconds for a distance of 1,192.96 feet, more or less, to a point on a line run northerly and perpendicular from the easterly extension of said boundary line from a point on said extended line distant 1,340.00 feet easterly of said Right of Way Boundary Corner B2 and said point on said perpendicular line being 30.00 feet northerly of said extended boundary line; thence on an azimuth of 179 degrees 30 minutes 16 seconds, along said perpendicular line, for a distance of 30.00 feet, more or less, to the northerly line of said southerly 133.00 feet of said Section 16, and said line there terminating. And all lying westerly of the following described line: Commencing at the north quarter corner of said Section 9; thence North 89 degrees 52 minutes 51 seconds West, along the north line of the Northwest Quarter of said Section 9, a distance of 50.00 feet; thence South 00 degrees 43 minutes 50 seconds East, along a line parallel with the east line of said Northwest Quarter, a distance of 550.00 feet; thence North 89 degrees 52 minutes 51 seconds West, along a line parallel with said north line of the Northwest Quarter, a distance of 1,425.22 feet to the point of beginning of the line to be described; thence South 00 degrees 33 minutes 53 seconds East, along a line parallel with the west line of said Northwest Quarter, a distance of 2,206.32 feet; thence South 18 degrees 39 minutes 57 seconds West a distance of 1,896.72 feet; thence South 82 degrees 05 minutes 01 second East a distance of 242.81 feet; thence North 72 degrees 44 minutes 31 seconds East a distance of 363.88 feet; thence North 26 degrees 57 minutes 40 seconds East a distance of 227.73 feet; thence North 46 degrees 51 minutes 46 seconds East a distance of 398.07 feet; thence North 53 degrees 46 minutes 21 seconds East a distance of 232.79 feet; thence South 83 degrees 27 minutes 05 seconds East a distance of 1,744.23 feet; thence South 25 degrees 05 minutes 46 seconds West a distance of 465.00 feet; thence South 05 degrees 24 minutes 36 seconds West a distance of 515.00 feet; thence North 89 degrees 48 minutes 32 seconds West a distance of 13 1.10 feet; thence South 01 degree 30 minutes 22 seconds East a distance of 1,737.59 feet; thence South 24 degrees 24 minutes 27 seconds East a distance of 754.68 feet; thence South 42 degrees 48 minutes 32 seconds East a distance of 2,248.42 feet; thence South 00 degrees 02 minutes 56 seconds West a distance of 1,466.80 feet,more or less, to the south line of the Southeast Quarter of said Section 16 and said line there terminating. EXCEPT that part thereof lying within a tract of land described as commencing at the southwest corner of said Section 9; thence North 00 degrees 45 minutes 09 seconds West, along the west line of said Section 9 a distance of 620.68 feet; thence North 89 degrees 18 minutes 06 seconds East a distance of 166.69 feet to the point of beginning of the tract of land to be described;thence continue North 89 degrees 18 minutes 06 seconds East a distance of 469.36 feet;thence South 01 degree 00 minutes 26 seconds West a distance of 67.70 feet;thence South 50 degrees 53 minutes 19 176632v1 20 seconds West a distance of 458.87 feet; thence North 89 degrees 45 minutes 01 second West a distance of 94.10 feet; thence North 02 degrees 56 minutes 02 seconds West a distance of 351.49 feet to the point of beginning. Except: Those areas with soil contamination above Minnesota Pollution Control Agency(MPCA)Tier 2 Industrial Soil Reference Values, totaling approximately 3.9 acres, and depicted as red quadrilateral figures on the attached Exhibit A, and those areas identified as Slab 501, Building 101, and Building 102, as shown on Exhibit A, and excepting all buildings and personal property comprising the groundwater remediation and monitoring well systems, as shown on Exhibit A. 20 176632v1 Exhibit A to Exhibit A-1 r 4k i�.YEI Triitlr8e+rwPY�eiali pw:wdrl Mrri�2t4 Yt!�dat�t� *'�5 },. r !iW Y�Yl3f Y1i� tlMW if!riR r . �' ff.. iT • wArI1DRn a P � l/K 6i{u CMS_,`.1tiiR -r ::I an,+ a roc r*e zj YM��."M1fl Y FL.t:MK?E pVb dY, uai J r r�acn• a+�:ra� �4 i i Lee; F� r•i-,.n;rrru►r.big iv�.A t rr�,n}rArl'W 3�Yf11�1•a�k L�+iPr+�.�IWfi�9.s aib Ya�Yandtalrsiw'sti ..----Y xRSIl1lFF Exhibit B T at r 3M 51(IifP 6lhr.11^. r +4/M1 017 +. #11pri?ON r9 '2 °7Kre� y#b94 + at 7p -"3 f!6"'rrY13CYr 8! r t f,. 1.SM 4R i+Alfh."r!^+.Y 1.I AlIT�T A�rI I91' �..�.., efA b4Y/ sWA4'S1.f -M ma s wa 2"o#M t +A7111"97 +.Wn MLAM ..R'S.9f 'a5 4115M. I .wi.a..n+1 `rfip Ti17 i sm" o+ axoi=30 .,.. L*9—d .4b rd mtRt.ifn�w WICA T r 2 N.*WMd 3a r—o**v 4 r.. .hy Apssrrotav�rns. lrr.rr a 6"Yf e" A& ..rppM to.."m F.fto N M"lA..dOD!.eerilp .�pw nr�'7t trr r f�+rm�.T awAd.rt Mg1A. 7d.UAW"oT.bjmatir!;—NW—:f 4 FYlrtftq-Awl 73A 7 EA r rm...:t....+1........".s.ua.. Exhibit C DRAFT — 12/22/2011 LEASE AGREEMENT This Lease Agreement (this "Lease") dated 201 1 is made by and between the County of Ramsey, a political subdivision of the State of Minnesota (the "County"), having an address at 250 City Hall/Court House, 15 West Kellogg Boulevard, St. Paul,Minnesota 55102 and the General Services Administration, as agent for the United States of America ("Government"), having a business address at the Thomas P. O'Neill, Jr. Federal Building, 10 Causeway Street, Boston, Massachusetts 02222. WHEREAS, reference is made to certain real property known as the Twin Cities Army Ammunition Plant located at the intersection of Highways 10 & 96 in Arden Hills, Minnesota ("TCAAP"); WHEREAS, TCAAP contains certain environmental contamination and requires certain remediation, for which the United States Department of Army (the "Army") is ultimately responsible; WHEREAS, the Army, the United States Environmental Protection Agency ("EPA") and the Minnesota Pollution Control Agency ("MPCA") entered into the Federal Facility Agreement, dated August 12, 1987 (as amended, the "FFA"), which document serves to guide such remediation at TCAAP; WHEREAS, as of the date of this Lease, portions of TCAAP have been conveyed to the County; and WHEREAS, the County delivered an Offer to Purchase dated December 2011 to the Government ("OTP") regarding acquisition by the County from the Government of approximately 430 acres of TCAAP; WHEREAS, the Government desires the County to perform environmental remediation on certain portions of TCAAP that are still owned by the United States of America (the "Leased Property"), and the County has agreed to perform such remediation, all as more particularly set forth below, subject to the conditions, restrictions, and limitations hereinafter described. NOW THEREFORE, in consideration of the mutual promises, covenants and other good and valuable consideration set forth herein, the sufficiency of which is hereby acknowledged, and the above recitals, which are incorporated herein by this reference, the parties hereto agree as follows: 23 17663271 1. Leased Property. The Government hereby leases to the County, and the County hereby leases from the Government, for the term herein set forth, without any requirement for payment of rent by the County, the Leased Property. The Leased Property consists of those parcels of land highlighted in red and brown on the map attached hereto as Exhibit A (the "Map"). 2. Term. The term of this Lease shall be for a period of time (the "Term") commencing on the date of execution of this Lease as provided in Section 2.A of the OTP and expiring on the date (the "Expiration Date") on which the Army delivers a deed conveying ownership of the Leased Property to the County (the "Deed"). The Deed will be delivered to the County upon full completion of the County's work, as described in Section 3, below. 3. County's Work. (a) The Army is ultimately responsible for ensuring that any and all necessary response actions are taken at the Leased Property for releases that are attributable to the Army. Notwithstanding the foregoing, the County agrees that it will commence the environmental soil remedial actions on the Leased Property necessary to satisfy the Government's obligation under the FFA so that the Leased Property will be cleaned to at least meet the MPCA Tier II Industrial/Commercial Soil Reference Values ("Tier II SRVs") (collectively, the "County's Work"). (b) The County acknowledges that it has been provided with and has had an opportunity to fully review those certain environmental reports listed on Exhibit C attached hereto and incorporated herein by reference (collectively, the "Reports"). The County's Work shall include the remediation of substances required to be addressed in accordance with the Work Plan (such term is defined in Section 3 (d), below) even if any such substances vary in amount and/or concentration from what is stated in the Reports. Notwithstanding the foregoing, the Government will retain the obligation to investigate and remediate any Unknown Environmental Conditions. "Unknown Environmental Conditions"shall mean any hazardous substance not identified as present on the Leased Property in the Reports or the presence of any hazardous substance identified as present on the Leased Property in such Reports, but discovered after the effective date of the Lease to be present in locations not identified in the Reports. (c) If the County discovers Unknown Environmental Conditions on the Leased Property prior to the Expiration Date, the County will, within five (5) business days of the discovery,notify the Government and will secure the area where the release was discovered for inspection by the Army. The Army will complete the inspection as soon as possible, but no later than five (5) business days after receipt by the Government of notification from the County of the discovery of the Unknown Environmental Condition. The Army and the County agree to confer regarding the scope of any investigation and remediation that may be 24 176632v1 necessary within five (5) business days of the Army's inspection of the release. If the County and the Army agree that the Army can perform the investigation and remediation of the release (1) at less cost than the County and (2) within the same time frame as the County, the Army has the option to complete any necessary investigation and remediation required by the MPCA or EPA with respect to the Unknown Environmental Condition. If the Army cannot complete the investigation and remediation within the same time frame as the County, then the County will perform the investigation and remediation of the release. In either case, the County will provide the Government with all test results or reports produced or generated regarding the Unknown Environmental Condition. If the County conducts the investigation and remediation,the County may immediately utilize all or any portion of the balance of the Purchase Price held back at the Initial Closing (as Purchase Price and Initial Closing are defined in the OTP) to complete any necessary investigation and remediation required by the MPCA or EPA with respect to the Unknown Environmental Condition, and will provide the Government with written documentation of all costs it incurs to complete the work. Nothing in this Lease, including but not limited to this paragraph, will in any way limit the Government's obligation to investigate and remediate Unknown Environmental Conditions present on the Leased Property, and said obligation shall survive the Initial Closing and Final Closing (as Initial Closing and Final Closing are defined in the OTP). (d) The County acknowledges that it has enrolled in the MPCA Voluntary Investigation and Cleanup Program ("MPCA's VIC Program") and that it will receive MPCA approval for an environmental work plan (the "Work Plan") for the Leased Premises. It is understood by the parties hereto that the Work Plan will outline MPCA's oversight role in the cleanup, the process for regulatory closure of soil contamination exceeding the Tier II SRVs on the Leased Property, a schedule for implementation, and the applicable cleanup standards. The County agrees to comply fully with the Work Plan provided, however, in the event of any conflict or inconsistency between the terms of this Lease and the terms of the Work Plan, the terms of the Work Plan, as applicable, shall control and such terms of this Lease shall be deemed modified and/or deleted, as applicable, to allow the County and its contractors and agents to take such actions so as to comply with the Work Plan. (e) The County's Work shall be deemed completed upon receipt by the Army of appropriate written assurances from the MPCA and concurrence from the EPA determining that the Leased Property has been remediated to the Tier II SRVs. A. Use of the Leased Property. During the term of this Lease, the County (and its employees, agents and contractors) will enter upon and occupy the Leased Property, subject to the restrictions, conditions and limitations described herein, for the purpose of developing, implementing and performing the County's Work. The County shall use the Leased Property for no purpose other than as described in this Section 4. 5. Right to Inspect County's Work. Upon providing reasonable notice to the County, the Army and its designated representative shall have the right to inspect any actions 25 176632vl taken to implement the County's Work. The Army shall also have the limited authority to direct the County, its contractors, and/or agents to stop work if the work is not being performed in accordance with the Work Plan; provided, however, that unless such deficiency constitutes an emergency situation, prior to issuing any such stop work order the Army will identify the deficiency in writing to the County and GSA and the parties will promptly and cooperatively attempt to determine a method for curing such deficiency that does not require a work stoppage. This method for cure, if mutually agreed upon, shall be immediately commenced and diligently pursued by the County. In the event that work is so stopped, Army, GSA and the County shall promptly discuss and determine how to proceed and/or cure any deficiency. Any costs associated with a work stoppage or curative work for nonconforming work shall be the responsibility of the County. If the County's Work is determined not to be nonconforming, then any costs associated with a work stoppage shall be the responsibility of the Army. 6. Site Conditions and Security. The County will be responsible for the costs related to utilities, insurance, security and maintenance associated with the equipment and activities of the County, its employees, agents,and invitees on the Leased Property. In the event the Term is terminated by the Government in accordance with this Lease and does not expire on the Expiration Date, the County shall, at its sole cost and expense promptly repair or replace any property of the Government damaged or destroyed by the County incident to the use and occupation of the Leased Property. 7. Groundwater Remediation. The Army and/or its contractors will be performing certain groundwater remediation on the Leased Property during the Term. The County hereby agrees that it will not interfere with the groundwater remediation activities of the Army or its contractors. The Army shall use commercially reasonable efforts to provide to the County timely notification of its remediation activities that may interfere with the occupation and use of the Leased Property and to minimize potential conflicts between the groundwater remediation activities and the County's Work on the Leased Property. Any entry on the Leased Property by the Army to conduct response or remedial actions shall be coordinated with the County and shall be performed in a manner that minimizes interruption of activities of the County or its designated representatives, and shall not unreasonably interfere with the conduct of business on the Leased Property. The Army shall repair any damage to the Leased Property, including improvements thereon, resulting from such entry, to the condition existing immediately before its entry thereon. Notwithstanding anything in this Lease to the contrary, the County shall, at its sole cost and expense, promptly repair any damage made to any property used in connection with such groundwater remediation activities that is the result of actions by the County. 8. Insurance. As a political subdivision of the State of Minnesota, the County is self-insured. As a condition for this Lease, the County shall throughout the duration of the Term, cover (i) claims attributable to the County (and/or its employees, agents, invitees and contractors) and arising from bodily injury, personal injury and property damage occurring upon, in or about the Government Property; and (ii) Workers' Compensation claims as required by law. The County shall ensure that its contractors and agents maintain general liability insurance with respect to the Leased Property naming the County, the Army and the Government as additional insureds. 26 176632vl 9. Government's Cooperation. The Government will cooperate with and provide administrative assistance to the County to allow the County to complete all response actions and other activities contemplated by this Lease and the Offer to Purchase, including but not limited to signing waste profile sheets,manifests,owner and other permit or license requests, and any other documents required of an owner or generator of hazardous substances to be shipped from the Leased Property. Both the Government and the County recognize that the County and any of its contractors or agents are performing the function of being the Government's response action contractor, as is set forth in the Comprehensive Environmental Response, Compensation and Liability Act, 42 U.S.C. Sec 9619(a), and for purposes of the response actions undertaken by the County on behalf of the Government on the Leased Property, pursuant to Section 3(a) of this lease and the contractual terms in Section 26 of the Offer to Purchase. The Parties, however, also recognize that the Government is not holding harmless or indemnifying the County pursuant to 42 U.S.C. Sec. 9619(c). 10.Fire and Other Casualty. If the Leased Property shall be damaged or destroyed by fire or other unavoidable casualty, the Government and the Army shall not be responsible for any repair and/or restoration related to the same. 1 1.Compliance with Laws. The County shall, at its sole cost and expense, throughout the Term: (a) obtain and maintain as necessary all permits, licenses and approvals required by any governmental authority with jurisdiction thereof for the use by the County, its employees, agents, invitees or licensees of the Leased Property for uses permitted by this Lease; and (b) comply with all applicable laws, rules regulations and by-laws of governmental authorities, and with the terms and conditions of all permits, licenses and approvals issued to the County in connection with the use by the County and its employees, agents and contractors of the Leased Property for the uses permitted by this Lease. 12.Defaults and Remedies. In the event either party fails to observe or perform any of its obligations under this Lease or otherwise breach the Lease, after having been provided written notice and failing to cure the default within sixty (60) days, the other Party will be entitled to exercise any and all remedies for breach which are provided in the Lease, as well as any other remedies to which the Party is entitled at law or equity. 13. Representations and Warranties of the County. (a) The County has all of the requisite power and authority to deliver this Lease and the releases and indemnification's contemplated herein. 27 1766320 (b) This Lease has been duly executed and delivered by the County and constitutes the legal,valid and binding obligation of the County enforceable in accordance with its terms. (c) The execution and delivery of this Lease by the County does not, and the consummation of the transactions contemplated by this Lease and the compliance with its terms, conditions and provisions by the County will not conflict with or result in a breach of or constitute a default (or an event which might, with the passage of time or the giving of notice or both, constitute a default) under any of the terms, conditions or provisions of any agreement or instrument to which the County is a party or by which the County may be bound or affected, or any judgment or order of any court or governmental department, commission, board, agency or instrumentality, domestic or foreign, or any applicable law rule or regulation. 14.Miscellaneous Provisions. (a) No Third Party Beneficiaries. Nothing in this Lease, expressed or implied, is intended to confer upon any person, other than the Army, the County, and the Government; any benefits, rights or remedies under or by reason of this Lease. (b) Entire Agreement. Except for the OTP and the Memorandum of Agreement referenced in Section 2.A. of the OTP,this Lease and the Exhibits hereto,each of which is hereby incorporated herein and made a part hereof, set forth all of the agreements, promises, covenants, conditions and undertakings between the parties with respect to the subject matter hereof, and supersede all prior and contemporaneous agreements and understandings, inducements, or conditions, express or implied, oral or written. (c) Amendment. No waiver or modification of any of the terms of this Lease shall be valid unless in writing and signed by each of the parties hereto. (d) Assignment. The County agrees that it will not assign, mortgage, pledge or otherwise encumber or transfer this lease or any interest therein,or sublease the whole or any part of the Leased Property, without obtaining on each occasion the written consent of the Government. (e) No Waiver or Release. No failure of the Government to exercise,or delay by the Government in exercising, any right or remedy or option provided for herein shall be deemed to be a waiver of any of the covenants or obligations of the County hereunder or the right of the Government to enforce the same. No forbearance on the part of the Government or any other indulgence given by the Government to the County shall operate to release or in any manner affect the obligations of the County hereunder. A waiver by any party of a default hereunder in one or more instances shall not be construed as constituting a continuing waiver or as a waiver of other instances of default 28 176632v1 (f) Partial Invalidity. In the event any one or more of the provisions contained in this Lease shall for any reason be held to be invalid, illegal or unenforceable in any respect,the remainder of this Lease shall not be affected thereby, and each covenant and provision of this Lease shall be valid and enforceable to the fullest extent permitted by law. (g) Captions. The captions used as headings for the various sections of this Lease are used only as a matter of convenience for reference, and are not to be considered a part of this Lease or to be used in determining the intent of the parties to this Lease. 15. Governing Law. The construction and effect of the terms of this Lease shall be determined in accordance with federal law. 16. Notices. All notices and other communication which is required or permitted by this Lease shall be in writing and delivered by personal service, sent by registered or certified first class US mail, postage prepaid, properly addressed, return receipt requested, or by overnight receipt delivery service such as Federal Express, if intended for the County, addressed to the County of Ramsey at the address first set forth above, and if intended for the Government, addressed to the Director, Real Property Utilization & Disposal Division (1 PZ) at the address first set forth above. [SIGNATURE PAGE FOLLOWS] IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as a sealed instrument under federal law on the day and year first written above. UNITED STATES OF AMERICA COUNTY OF RAMSEY Acting by and through the Administrator of General Services By: John E. Kelly Victoria Reinhardt, Chair Director Ramsey County Board of Commissioners Real Property Utilization & Disposal Division, Public Buildings Service General Services Administration Bonnie Jackelen, Chief Clerk Ramsey County Board of Commissioners Date: Approval Recommended: Gregory A. Mack, Director Parks and Recreation Department 29 176632v1 Approved as to form and insurance: Exhibit A to Lease Agreement o.*...�.,o..�,r. .�..�_,.,...�. NOMMU01W Ow I awa 11. 43 41 w T } ? t WOW, ''S f'D•""it'a+OGtih X479 f" ♦Ylg ??. ' i+�3 aflar 7tT Aid "1-4W noY Mrh 2AY IBS as Ea a MA f ► d i i # Y" � r § E 4wiM2. at No ,Ie`p V ' 4S and 4 Id : '*� t ern yni_ •u i� '. r � P K. g YV i ,d a.rawrrn.®,. =v-:.• _ , '.« der♦Q�i 3 »m r. .9 WtAih 2W ear+, as 7 w N.a wor 4 MS 4af-1 4 750 375 0 7M k ■ caa.,r.p.r.rs.�rm Exhibit D DRAFT— 12/22/11 LICENSE AGREEMENT Agreement made this XXXth of XXX, 2011, by and between the Ramsey County Parks and Recreation Department, a regional agency of the State of Minnesota(the "Licensee"), having an address at 15 West Kellogg Boulevard, St. Paul, MN 55102 and the General Services Administration, as agent for the United States of America (the"Government"), having a business address at the Thomas P. O'Neill, Jr. Federal Building, 10 Causeway Street, Boston, Massachusetts 02222. WHEREAS,the Government is the owner of the former Twin Cities Army Ammunition Plant(TCAAP) located at the intersection of Highways 10 & 96 in Arden Hills, MN, (the "Government Property"); WHEREAS, the Licensee will perform due diligence in accordance with the Minnesota Pollution Control Agency(MPCA) and its Voluntary Investigation and Cleanup (VIC)program for remedial activities located on a portion of the Government Property(See Exhibit A, Parcels 1,2,3); WHEREAS, the Government is willing to grant to the Licensee a license to enter upon and use the Government Property for the purposes,and subject to the restrictions,limitations and conditions, specified herein; NOW THEREFORE, in consideration of the mutual promises, covenants and other good and valuable consideration set forth herein, the sufficiency of which is hereby acknowledged, the parties hereto agree as follows: 1. Term. The Government grants to the Licensee, a license (the "License"),pursuant to which the Licensee and its employees, agents and invitees shall have the right to enter upon, access and use portions of the Government Property for the Permitted Uses as described and defined in Paragraph 2 herein. The Licensee shall have the right to use the Government Property for the Permitted Uses, subject to the restrictions, conditions and limitations described herein, for that period of time(the "Term") commencing on the date the License Agreement is executed and ending 12 months from the date of execution(the"Termination Date"); provided however that the Government, upon the written request of Licensee, may in its sole discretion, extend such Term, and provided further that this License may be terminated by the Government with seven(7) days prior written notice or in accordance with the terms 31 176632v1 of Paragraph 7 of this Agreement if the Licensee breaches any of the conditions described herein. 2. Scope of License and Permitted Uses. Pursuant to this License, the Licensee and its employees, agents, and invitees may enter upon and occupy the Government Property for the purpose of conducting environmental due diligence in accordance with the MPCA approved field investigation work plan. Each of the conditions to this License is specifically made subject to the terms and conditions of an environmental field investigation work plan and the actions by Licensee and its contractors and agents commercially reasonably necessary to implement the field investigation work plan in accordance with the VIC program. In the event of any conflict or inconsistency between the terms of this license and the terms of the field investigation work plan or such commercially reasonably necessary actions, the terms of the field investigation work plan, as applicable, shall control and/or such conditions shall be deemed modified and/or deleted, as applicable, to allow Licensee and its contractors and agents to take such actions. Neither Licensee nor any of its contractors or agents are or shall be deemed to be an owner, an operator or a potentially responsible party, but rather each shall be deemed a response action contractor at the site, as those terms are used in CERCLA and other environmental statutes. As the ultimate responsibility for compliance with the remedial obligations lies with the US Dept of Army, Army and its designated representative will inspect any actions taken to implement the requirements of the field investigation work plan approved by MPCA. Army and its designated representative will have the limited authority to direct Licensee, its contractors, and/or agents to stop work if the work is not being performed in accordance with the field investigation work plan or other regulatory guidance; provided, that, unless such defiance constitutes an emergent situation,prior to issuing any such stop work order Army will identify the deficiency in writing to Licensee and GSA and the parties will promptly and cooperatively attempt to determine a method for curing such deficiency that does not require a work stoppage. This method for cure, if mutually agreed upon, shall be immediately commenced and diligently pursued by Licensee. In the event that work is so stopped,Army, GSA and Licensee shall promptly discuss and determine how to proceed and/or cure any deficiency. Any costs associated with a work stoppage or curative work for nonconforming work shall be the responsibility of the Licensee. 3. Site Conditions and Security. Throughout the Term of this License, the Licensee shall, at its sole cost and expense promptly repair or replace any property of the Government damaged or destroyed by the Licensee incident to the use and occupation of the Government Property as permitted in this License. The Licensee will be responsible for the costs related to utilities, insurance, security and maintenance associated with the equipment and activities of the Licensee, its employees, agents, and invitees on the Government Property pursuant to this 32 176632v1 License. Nothing in this License shall relieve the Government of the costs and other responsibilities it has for the Government Property independent of this License. 4. Insurance. As a State Agency, the Licensee is self insured. As a condition for the License,the Licensee shall throughout the duration of this License Agreement,cover (i) claims attributable to Licensee and arising from bodily injury,personal injury and property damage occurring upon, in or about the Government Property; and (ii) Workers' Compensation claims as required by law. 5. Release. The Licensee, by execution of this License Agreement, hereby agrees to assume responsibility for any and all claims and/or damage to persons or property arising out of or in any way related to its entry(and that of its employees, agents and contractors)upon the Government Property, and does hereby forever waive,release, relinquish, remise and discharge the Government, its agents, employees, successors and assigns from any and all losses, costs or expenses (including reasonable attorneys' fees), damages, demands, liabilities, claims, actions, causes of action, suits, or judgments (collectively, "Claims") whatsoever of every name and nature, in law and in equity, including without limitation those related in any manner to: (a) any accident or injury to, or death of, any person, or any damage to property occurring on, in or in the vicinity of the Government Property, or any part thereof, arising out of the presence in and use by the Licensee and/or its employees and contractors of the Government Property; or (b) any condition of the Government Property or any portion thereof caused by the Licensee or its employees or contractors; or (c) any failure of the Licensee or its employees or contractors to perform or comply with the terms of this License Agreement or the terms of any statute, law, regulation or ordinance affecting the Licensee's use of the Government Property, which the Licensee, its agents, employees, or contractors ever had, now have or might have (and whether or not asserted) against the Government and its agents, employees, successors or assigns arising from, pursuant to,or bearing any relationship whatsoever to the License Agreement or the Government Property, except only for Claims arising out of the gross negligence of the Government. 6. Compliance with Laws. Licensee shall, at its sole cost and expense, throughout the Term of this License: (a) obtain and maintain as necessary all permits, licenses and approvals required by any governmental authority with jurisdiction thereof for the use by Licensee, its employees, agents, invitees or licensees of the Government Property for the Permitted Uses; and 33 176632v1 (b) comply with all applicable laws, rules regulations and by-laws of governmental authorities, and with the terms and conditions of all permits, licenses and approvals issued to Licensee in connection with the use by Licensee and its employees and contractors of the Government Property for the Permitted Uses. 7. Defaults and Remedies. If at any time during the Term of this License, Licensee fails to perform or observe any term, covenant or condition contained in this License to be performed or observed by Licensee, and such failure continues for a period of seven(7) days after the Government gives written notice to Licensee specifying the nature of the default claimed(unless such default shall be of such nature that it cannot be completely cured within such seven(7) day period and Licensee commences to cure such default during such seven(7) day period and thereafter continues curing the same with reasonable diligence);then, in any such instance,the Government may terminate this License by written notice to Licensee, such termination to be effective on the date specified in such notice. 8. Representations and Warranties of the Licensee. (a) The Licensee has all of the requisite power and authority to deliver this Agreement and the releases and indemnification's contemplated herein. (b) This Agreement has been duly executed and delivered by the Licensee and constitutes the legal,valid and binding obligation of the Licensee enforceable in accordance with its terms. (c) The execution and delivery of this Agreement by the Licensee does not, and the consummation of the transactions contemplated by this Agreement and the compliance with its terms, conditions and provisions by the Licensee will not conflict with or result in a breach of or constitute a default(or an event which might, with the passage of time or the giving of notice or both, constitute a default) under any of the terms, conditions or provisions of any agreement or instrument to which the Licensee is a party or by which the Licensee may be bound or affected, or any judgment or order of any court or governmental department, commission, board, agency or instrumentality, domestic or foreign, or any applicable law rule or regulation. 9. Miscellaneous Provisions. (a) No Third Party Beneficiaries. Nothing in this Agreement, expressed or implied, is intended to confer upon any person, other than each of the parties hereto; any benefits,rights or remedies under or by reason of this Agreement. (b) Entire Agreement. This Agreement and the attachments hereto, each of which is hereby incorporated herein, set forth all of the agreements,promises, 34 176632v1 covenants conditions and undertakings between the parties with respect to the subject matter hereof, and supersede all prior and contemporaneous agreements and understandings, inducements, or conditions, express or implied, oral or written. (c) Amendment. No waiver or modification of any of the terms of this Agreement shall be valid unless in writing and signed by each of the parties hereto. Failure by any party to enforce any rights under this Agreement shall not be construed as a waiver of such rights, and a waiver by any party of a default hereunder in one or more instances shall not be construed as constituting a continuing waiver or as a waiver of other instances of default. (d) License Not Assignable. The rights granted to the Licensee hereunder are personal and are not assignable or otherwise transferable except as otherwise specified in this agreement. (e) No Waiver or Release. No failure of the Government to exercise or delay by the Government in exercising any right or remedy or option provided for herein shall be deemed to be a waiver of any of the covenants or obligations of the Licensee hereunder or the right of the Government to enforce the same. No forbearance on the part of the Government or any other indulgence given by the Government to the Licensee shall operate to release or in any manner affect the obligations of the Licensee hereunder. (f) Partial Invalidity. In the event any one or more of the provisions contained in this Agreement shall for any reason be held to be invalid, illegal or unenforceable in any respect, the remainder of this License shall not be affected hereby, and each covenant and provision of this Agreement shall be valid and enforceable to the fullest extent permitted by law. 10. Governing Law. The construction and effect of the terms of this Agreement shall be determined in accordance with federal law. 11. Notices. All notices and other communication which is required or permitted by this Agreement shall be in writing and delivered by personal service, sent by registered or certified first class US mail, postage prepaid,properly addressed, return receipt requested, or by overnight receipt delivery service such as Federal Express, if intended for the Licensee, addressed to the Ramsey County Parks and Recreation Department at the address first set forth above, and if intended for the Government, addressed to the Director, Office of Property Disposal at the address first set forth above. 35 176632v1 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed as a sealed instrument under federal law on the day and year first written above. UNITED STATES OF AMERICA RAMSEY COUNTY Acting by and through the Administrator of General Services By: John E. Kelly Victoria Reinhardt, Chair Director Ramsey County Board of Commissioners Office of Property Disposal Public Buildings Service General Services Administration Bonnie Jackelen, Chief Clerk Ramsey County Board of Commissioners Date: Approval Recommended: Gregory A. Mack, Director Parks and Recreation Department Approved as to form and insurance: Assistant County Attorney 36 176632v1 EXHIBIT A - ~ f 1 i 1 AY 041" ,. - i .ON � �I r � I !I RUNIM ),Ek i R'SO 1 FORM :'ARCELS �. r 37 176632v1 Exhibit E NOTIFICATION OF HAZARDOUS SUBSTANCE STORAGE, RELEASE OR DISPOSAL Site Name of Date of Remedial Actions Hazardous Storage, Substance(s) Release, or Disposal Area of None None The results of site characterization showed Unrestricted that a portion of the Property meets the Use remediation goals for residential use without any further remedial action. This area is designated as the Area with Unrestricted Use and only a groundwater use restriction will be imposed. See the Operable Unit 2 Record of Decision for additional information. Restricted Trichloroethene Unknown The results of site characterization showed Area 1,1-dichloroethene that a portion of the Property meets the remediation goals for industrial use without 1,2-dichloroethene any further remedial action, but may not 1,1-dichloroethane meet the standards for residential use. This area includes portions of Restoration 1,2-dichloroethane Program Site I and Site K and is designated 1,1,1-trichloroethan as the Restricted Area. Its use will be e restricted to non-residential purposes. See the Operable Unit 2 Record of Lead Decision for additional information. Copper Iron Poly Aromatic Hydrocarbons Site J Trichloroethene Unknown The soils and groundwater along and Heavy Metals surrounding the sanitary sewer servicing the production buildings were characterized. No further action was recommended in the Site J Closure Report, which was approved by the U.S. Environmental Protection Agency Region 5 and the Minnesota Pollution Control Agency in December 1993. 38 176632v1 Site Name of Date of Remedial Actions Hazardous Storage, Substance(s) Release, or Disposal Groundwater, Trichloroethene Unknown As part of the Operable Unit 2 remedy, a Operable Unit cis-1,2-dichloroethe groundwater containment pump and treat 2 ne system was completed in 1987. The TCAAP Groundwater Recovery System 1,1-dichloroethene (TGRS) includes 13 extraction wells along 1,1-dichloroethane the southwest boundary of the Property, and five source control wells near known 1,1,1-trichloroethan contamination sources. The TGRS has e been determined to be operating properly 1,1,2-trichloroethan and successfully. The U.S. Department of e the Army (Army) will continue to operate the TGRS after the Property transfer. Also as part of the Operable Unit 2 remedy, a groundwater containment pump and treat system was implemented at Site K and has been determined to be operating properly and successfully. In addition, the OU2 ROD is being amended to make monitoring and use restrictions the remedy for Site I. See the Operable Unit 2 Record of Decision; TCAAP Environmental Site Assessment, dated 20 February 2004 (ESA); and ESA Addendum, dated February 2006, for additional information. Building 502 Trichloroethene 1941 — Early Trichloroethene was stored in a 20,000 Tank 43 1990s gallon above ground storage tank for use in the production of military munitions and munitions constituents. No remedial actions were required. All Buildings Paints, solvents, 1941 - 2005 Records regarding the quantities and metals and specific identity of hazardous substances chemicals stored in the buildings are incomplete. associated with However, due to the long history of munitions industrial use of the buildings, these types manufacture and of hazardous substances are believed to facilities operations. have been stored and used. Any releases associated with the storage of these hazardous substances were remediated at the time of the releases or as part of the Installation Restoration Program. See the TCAAP Preliminary Assessment dated 39 176632v1 Site Name of Date of Remedial Actions Hazardous Storage, Substance(s) Release, or Disposal February 1988 for additional information. The information contained in this notice is required under the authority of regulations promulgated under section 120(h) of the Comprehensive Environmental Response, Liability, and Compensation Act (CERCLA or `Superfund') 42 U.S.C. §9620(h). This table provides information on the storage of hazardous substances for one year or more in quantities greater than or equal to 1,000 kilograms or the hazardous substance's CERCLA reportable quantity (which ever is greater). In addition, it provides information on the known release of hazardous substances in quantities greater than or equal to the substances CERCLA reportable quantity. See 40 CFR Part 373. 40 176632v1 Exhibit F https:Hpropertydisposal gsa gov/ResoureeCenter/PRHomePape/loadPropertv.do?propId =5335 The Soil database is the Exhibit 41 176632v1 42 176632v1