HomeMy WebLinkAboutResolution No. 2020-50JC Sponsored by: Admin is tration
Kt;NAI
CITY OF KENAI
RESOLUTION NO. 2020-50
A RESOLUTION OF THE CITY OF KENAI, ALASKA, AUTHORIZING THE CITY MANAGER TO
EXECUTE AN IN-KIND MEMORANDUM OF UNDERSTANDING WITH THE DEPARTMENT OF
THE ARMY FOR DESIGN WORK PRIOR TO EXECUTION OF A DESIGN AGREEMENT FOR
THE KENAI BLUFF STABILIZATION PROJECT.
WHEREAS, the Kenai Bluff Stabilization Project has been a top priority of the City of Kenai for at
least the last 40 years; and,
WHEREAS, on September 21, 2011 the Kenai City Council passed Resolution 2011-67
authorizing the City Manager to enter into an agreement with the United States Army Corps of
Engineers to complete a feasibility study of the project; and,
WHEREAS, on April 10, 2019, the Director's Report, approving the feasibility study and allowing
the project to move into the Pre-construction Engineering and Design (PED) phase of the project
was provided by the United State Army Corps of Engineers; and,
WHEREAS, while the City continues to pursue a PED agreement to allow design of the project to
commence with full participation from the United States Army Corps of Engineers the City also
pursued an agreement with the United States Army Corps of Engineers for design work prior to
execution of the PED agreement, an agreement that is authorized under Section 221{a)(4) of the
Flood Control Act of 19 70 , as amended (221 MOU); and,
WHEREAS, the 221 MOU allows the City to conduct in-kind work that is integral to the project,
such as engineering and design, real estate , economic and environmental analyses, and
evaluation costs; supervision and administration costs ; and documented incidental costs
associated with providing the work; and,
WHEREAS , conduct ing this work under the 221 MOU allows work to begin on t he project during
this construction season , in anticipation of finalizing the PED Agreement towards the end of 2020.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA:
Secti on 1. That the City Manager is authorized to execute an in-kind memorandum of
understanding with the United States Army Corps of Engineers for design work prior to execution
of a design agreement for the Kenai Bluff Stabilization Project.
Section 2. That this resolution takes effect immediately upon passage.
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 17th day of June , 2020.
Resolution No. 2020-50
Page 2 of 2
BRIAN GABRJELSR::MAYQR
TIM NAVARRE , COUNCIL MEMBER
City of Kenai I 210 l=ida lgo Ave , Kenai, AK 99611 -7 7941907.283.7535 I www.kenai .cily
MEMORANDUM
TO:
FROM:
DATE:
SUBJECT:
Mayor Gabriel and Council Members
Paul Ostrander, City Manager
June 11, 2020
Resolution 2020-50 -In-kind MOU with the Army Corps of Engineers in
support of the Kenai Bluff Stabilization Project
The City of Kenai has been pursuing the Kenai Bluff Stabilization Project for at least 40 years . It
is a critical first step in the revitalization of Old Town Kenai , an area of cultural and historical
significance to Alaska. Preservation and development efforts have been restrained in this area
due to the consistent erosion of the nearby bluff. Stabilization of this bluff will eliminate uncertainty
and allow for investment in businesses, residences, and public parks and recreation areas.
Beyond Old Town, this project makes the statement that the City of Kenai is a worthy investment.
With Federal , State, and Local monies being utilized to construct this project, all levels of
government are investing towards a vibrant and stable Kenai that can preserve its cultural identity
as well as fulfill its potential as a hub of tourism, fishing, and business development.
The benefits of this project are significant, including stabilization of 31 bluff parcels and saving 27
structures including the senior center and senior housing complex. Roads and other valuable
infrastructure will be saved . It will protect against cultural vulnerability such as the loss of historical
and archaeological sites, and it will provide residents of Old Town Kenai and visitors who frequent
the bluffs greater safety.
While the City continues to pursue a PED agreement to allow design of the project to commence
with full participation from the United States Army Corps of Engineers the City also pursued an
agreement with the United States Army Corps of Engineers for design work prior to execution of
the PED agreement, an agreement that is authorized under Section 221(a)(4) of the Flood Control
Act of 1970, as amended (221 MOU).
This resolution authorizes the City Manager to execute an in-kind memorandum of understanding
with the United States Army Corps of Engineers for design work prior to execution of a design
agreement for the Kenai Bluff Stabilization Project.
Your consideration is appreciated.
IN-KIND MEMORANDUM OF UNDERSTANDING
BETWEEN
THE DEPARTMENT OF THE ARMY
ANDTHE
CITY OF KENAI, ALASKA
FOR DESIGN WORK
PRIOR TO EXECUTION OF
A
DESIGN AGREEMENT
FOR THE
KENAI BLUFFS BANK STABILIZATION PROJECT
THIS IN-KIND MEMORANDUM OF UNDERSTANDING (hereinafter the "In-Kind
MOU") is entered into this day of , __ ,by and between the Department of
the Army (hereinafter the "Government"), represented by the District Commander for Alaska
District (hereinafter the "District Commander") and the City of Kenai, Alaska (hereinafter the
"Non-Federal Interest"), represented by the City Manager.
WITNESSETH, THAT:
WHEREAS, Section 221(a)(4) of the Flood Control Act of 1970, as amended (42 U.S.C.
1962d-5b(a)(4)), provides that a cost sharing agreement may provide credit for the value of
materials or services provided before the execution of such cost sharing agreement if the
Secretary and the non-Federal interest enter into an In-Kind MOU under which the non-Federal
interest shall carry out such work and only work carried out following the execution of such In-
Kind MOU shall be eligible for credit;
WHEREAS, the Non-Federal Interest understands and acknowledges that any credit for
eligible in-kind contributions will be afforded only toward the required non-Federal contribution
of funds (i.e. cash contribution) under the Design Agreement for the project or separable element
thereof; and
WHEREAS, by letter dated May 19, 2020, the Non-Federal Interest stated its intent to
provide certain design work (hereinafter the "Design Work", as defined in Paragraph 1 of this In-
Kind MOU) prior to the execution of the Design Agreement for the Kenai Bluffs Bank
Stabilization Project at Kenai , Alaska.
NOW, THEREFORE, the parties agree as follows:
1. The Non-Federal Interest shall provide the Design Work in accordance with the terms and
conditions of this In-Kind MOU and requirements of applicable Federal laws and implementing
regulations. The Design Work shall consist of, performance of design of all of the Federal
project, including data collection related to design work as generally described in the letter from
the Non-Federal Interest.
2 . The Non-Federal Interes t shall keep books, records, documents, and other documentation of
costs and expenses incurred for the Design Work in accordance with this In-Kind MOU. The
value of the Design Work shall be equivalent to the costs, documented to the satisfaction of the
Government, that the Non-Federal Interest incurred to provide the Design Work. Such costs may
include, but are not necessarily be limited to: engineering and design, real estate, economic and
environmental analyses, and evaluation costs; supervision and administration costs; and
documented incidental costs associated with providing the Design Work, but shall not include
any costs associated with betterments, as determined by the Government. Appropriate
documentation includes invoices and certification of specific payments to contractors, suppliers,
and the Non-Federal Interest's employees.
3 . The Non-Federal Interest understands that eligibility for credit for the Design Work is subject
to:
a. A determination by the Division Commander for Pacific Ocean Division that the
Design Work is integral to the project;
b . R eview and verification by the Government that the Design Work was accomplished
in a satisfactory manner and in accordance with applicable Federal laws , regulations, and
policies; and
c. An audit by the Government to determine the reasonableness, allocability, and
allowability of such costs.
4. The Non-Federal Interest understands further that:
a. No interest charges or adjustment will be applied to the costs incurred for the Design
Work to reflect changes in price levels ;
b. Federal program funds may not be used to meet any of its obligations under this In-
Kind MOU unless the Federal agency providing the funds verifies in writing that the funds are
authorized to be used for the project. Federal program funds are those funds provided by a
Federal agency, plus any non-Federal contribution required as a matching share therefor;
c. Only the costs of the Design Work that do not exceed the Government's estimate of
the cost of such work if the work had been accompl ished by the Government are eligible for
credit;
d. No credit will be provided for the value of Design Work obtained at no cost to the
Non-Federal Interest or performed prior to the effective date of this In-Kind MOU;
e. Crediting for the costs of the Design Work may be withheld, in whole or in part, as a
result of the Non-Federal Interest's failure to comply with the terms of this In-Kind MOU; and
f . Credit may be afforded only if a Design Agreement is executed subsequently by the
Government and the Non-Federal Interest.
2
5. In the exercise of their respective rights and obligations under this In-Kind MOU, the
Government and the Non-Federal Interest each act in an independent capacity, and neither is to
be considered the officer, agent, or employee of the other.
6. Execution of this In-Kind MOU does not constitute, represent, or imply any Federal assurance
or commitment regarding approval of the project or execution of any future agreement that may
include provisions for affording credit for Design Work undertaken under this In-Kind MOU. In
addition, execution ofthis In-Kind MOU in no way prevents the Government from modifying
the project even if it results in the Design Work provided by the Non-Federal Interest no longer
being an integral part of the project.
7. Nothing herein shall constitute, represent, or imply any commitment to budget or appropriate
funds for the project in the future ; and nothing herein shall represent, or give rise to, any duty,
obligation, or responsibility for the United States. Any activity undertaken by the Non-Federal
Interest for the Design Work is solely at the Non-Federal Interest's own risk and responsibility.
8. Notices.
a. Any notice, request, demand, or other communication required or permitted to be given
under this In-Kind MOU shall be deemed to have been duly given if in writing and delivered
personally or mailed by registered or certified mail, with return receipt, as follows:
If to the Non-Federal Interest:
City of Kenai, Alaska
Attn: City Manager
210 Fidalgo A venue
Kenai, Alaska 99611 -7796
If to the Government:
U.S. Army Corps of Engineers, Alaska District
Attn: District Engineer
PO Box 6898
JBER, Alaska 99506-0898
b. A party may change the recipient or address to which such communications are to be
directed by giving written notice to the other party in the manner provided in this paragraph.
9. This In-Kind MOU may be modified or amended only by written, mutual agreement of the
parties.
3
IN WITNESS WHEREOF, the pruties hereto have executed this In-Kind MOU, which
shall become effective upon the date it is signed by the District Commander.
DEPARTMENT OF THE ARMY
DAVID R. HIBNER
Colonel, U.S. Army
District Commander
THE CITY OF KENAI ALASKA
4
PAUL OSTRANDER
City Manager
CERTIFICATE OF AUTHORITY
I, Scott Bloom, do hereby certify that I am the principal legal officer for the CITY
OF KENAI, ALASKA, that the CITY OF KENAI, ALASKA is a legally constituted public
body with full authority and legal capability to perform the terms of the In-Kind
Memorandwn of Understanding for Design Work Prior to Execution of a Design
Agreement between the Department of the Army and the CITY OF KENAI, ALASKA in
connection with the KENAI BLUFFS BANK STABILIZATION PROJECT, and to pay
damages, if necessary, in the event of the failure to perform in accordance with the terms of
this Memorandum of Understanding , as required by Section 221 of Public Law 91-611, as
amended (42 U.S.C. I 962d-5b), and that the person who executed this Memorandwn of
Understanding on behalf of the CITY OF KENAI, ALASKA acted within his statutory
authority.
IN WITNESS WHEREOF, I have made and executed this certification this
______ day of 20
SCOTT BLOOM
City Attorney
CERTIFICATION REGARDING LOBBYING
The undersigned ce11ifies , to the best of his or her knowledge and belief that:
(1) No Federal appropriated funds hav e been paid or will be paid, by or on behalf of the
undersigned, to any person for influencing or attempting to influence an officer or employee of
any agency, a Member of Congress, an officer or employee of Congress, or an employee of a
Member of Congress in connection with the awarding of any Federal contract, the making of any
Federal grant, the making of any Federal loan, the entering into of any cooperative agreement,
and the extension, continuation, renewal , amendment, or modification of any Federal contract,
grant, loan, or cooperative agreement.
(2) If any funds other than Federal appropriated funds have been paid or will be paid to
any person for influencing or attempting to influence an officer or employee of any agency, a
Member of Congress, an officer or employee of Congress, or an employee of a Member of
Congress in connection with this Federal contract, grant, loan, or cooperative agreement, the
undersigned shall complete and submit Standard Form-LLL, "Disclosure Form to Report
Lobbying," in accordance with its instructions.
(3) The undersigned shall require that the language of this certification be included in the
award documents for all subawards at all tiers (including subcontracts, subgrants, and contracts
under grants, loans, and cooperative agreements) and that all subrecipients shall certify and
disclose accordingly.
This certification is a material representation of fact upon which reliance was placed
when this transaction was made or entered into. Submission of this certification is a prerequisite
for making or entering into this transaction imposed by 31 U.S .C. 1352. Any person who fails to
file the required certification shall be subject to a civil penalty of not less than $10,000 and not
more than $100,000 for each such failure.
PAUL OSTRANDER
CITY MANAGER