MOU/Financial Security for RoundaboutMEMORANDUM OF UNDERSTANDING
between:
State of Montana, Department of Natural Resources and Conservation
and
The City of Kalispell, Montana
concerning:
Providing Financial Security for the construction
of a Roundabout on Stillwater Road
I. Pose. The City of Kalispell, Public Works Department and the State of
Montana, DNRC, agree that, as a condition of final plat approval for the
Timberwolf Phase I -A Subdivision, they should enter into an agreement to secure
the financial requirements of constructing a roundabout traffic structure on
Stillwater Road which is to be constructed when Farmstead Parkway is fully
constructed. The parties agree that DNRC should be obligated to pay for one half
of the roundabout structure and that it currently has sufficient funds for such
obligation. However, it does not possess sufficient funds to provide for both
construction of its portion of the roundabout and to post a performance bond for the
construction of the roundabout traffic structure. Consequently, the City of Kalispell
and the Montana DNRC seek by this MOU to come to an understanding whereby
financial guarantees may be given to ensure that the roundabout traffic structure is
constructed.
II. Objective. The purpose of this Memorandum of Understanding (MOU) is to
establish an agreement between the Montana DNRC and the City of Kalispell to
financially guarantee the construction of DNRC's portion of the Stillwater Road
roundabout traffic structure, and to address any responsibility that DNRC may have
for the construction of the roundabout traffic structure.
III. Authority. This memorandum is entered into under the following authorities:
The funds referred to in this MOU were appropriated in the 2007 May Special
Session, House Bill 4, 76-3-501 MCA, and 28-08-06 KMC. DNRC, through the
Department of Administration under Section 17-7-211(b), MCA, has obtained
spending authority for these funds through a budget amendment for $499,696.88
within fund 02450.
IV. Procedure.
A. Montana DNRC Responsibilities
1. DNRC agrees that a roundabout traffic structure will need to be constructed if
Farmstead Parkway is fully constructed. DNRC hereby agrees that it is responsible
for the payment of one half of the total costs of construction of the roundabout
traffic structure. DNRC shall therefore convey its project budget appropriations in
the amount of $499,696.88, as set forth in the Final Cost Estimate set forth in
Exhibit "A", to the City of Kalispell upon receiving written notice from the City
that the Farmstead Parkway/Stillwater Road intersection project has been
committed.
2. DNRC further agrees that it hereby waives all right to protest the creation of a
Special Improvement District as authorized by Title 7, Chapter 12, Part 41 MCA, or
any right it may have to an agency exemption from the obligations of a Special
Improvement District to the extent that the District is created to pay the costs of
constructing one half of the above described roundabout traffic structure not
otherwise secured in Paragraph IV(1) above.
B. City of Kalispell Responsibilities
1. Upon receipt of the appropriation funds described above from the Montana
DNRC, the City of Kalispell shall complete Montana DNRC's construction
responsibilities for the roundabout traffic within one year of receipt of the funding
and DNRC shall be excused from any further responsibility for its construction.
V. Administration.
Modifications to this MOU may be proposed by either party and shall become effective
upon the written approval by both parties. Changes to this MOU must be initialed and
dated on each replacement page by an authorized agent of each party.
This MOU will become effective upon signature of all of its participants.
DATED thi day of September, 2008.
CITY OF KALISPELL
By: '
J es H. Patrick
City Manager
MONTANA DEPARTMENT OF NATURAL
RESOURCES AND CONSERVATION
By:_
Mary Sex on
Director
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