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RESOLUTION AUTHORIZING APPLICATION TO A PORT INFRASTRUCTURE DEVELOPMENT PROGRAM GRANT WITH THE MARITIME ADMINISTRATION OF THE U.S. DEPARTMENT OF TRANSPORTATION FOR HALLETT DOCK 7 PROJECT IN AN AMOUNT NOT TO EXCEED $18,000,000.
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CITY PROPOSAL:
RESOLVED, that the city of Duluth will act as sponsor and submit a Port Infrastructure Development Program Grant application to the Maritime Administration of the U.S. Department of Transportation (the “Maritime Administration”) for the refurbishment of Hallett Dock No. 7 at a total cost not to exceed $18,000,000.
FURTHER RESOLVED, that the city of Duluth has the legal authority to apply for financial assistance, receive assistance, and the institutional, managerial, and financial capability to ensure adequate project administration.
FURTHER RESOLVED that the sources and amounts of the local match are identified and committed by Hallet Dock 7 LLC pursuant to a memorandum of understanding.
FURTHER RESOLVED, that the city of Duluth has not violated any Federal, State or local laws pertaining to fraud, bribery, graft, kickbacks, collusion, conflict of interest or other unlawful or corrupt practice.
FURTHER RESOLVED, that upon approval of the application by the Maritime Administration, the city of Duluth may enter into an agreement with the Maritime Administration for the above-referenced project, and that the city of Duluth certifies it will comply with all applicable laws and regulations as stated by all contract agreements.
FURTHER RESOLVED, that the proper city officials are hereby authorized to execute such agreements as are necessary to implement the project on behalf of the applicant subject to the foregoing.
Statement of Purpose
STATEMENT OF PURPOSE: The purpose of this resolution is to express the City's willingness to act as sponsor for a federal grant from the federal Maritime Administration for the refurbishment of Hallett Dock No. 7 in the Duluth Harbor.
Hallett Dock No. 7 is an old dock facility owned by Hallett Dock 7 LLC. just upstream of the Bong Bridge, attached as Attachment 1, which is used as a trans-shipping facility for transportation of bulk cargo between marine, rail and truck transportation facilities. The dock walls are presently in deteriorated condition and need replacement and reinforcement through sheet piling to maintain the functionality of the dock as well as to prevent contamination of previous MPCA work addressing contamination in the estuary. This work would also present the opportunity to provide an additional dredge spoils disposal site for the benefit of the U.S. Army Corps of Engineers' harbor maintenance dredging work.
Grants have become available under the Port Infrastructure Development Program which could potentially fund 80% of the cost of this work, however a local governmental sponsor is required to apply for and implement the grant for the project. Pursuant to the resolution, the City would agree to act as the sponsor of the project for the application process. If the grant were to be awarded, the City would administer the grant funds, oversee the design process, let the contract for the project's construction and administer payment to the contractors. Hallett Dock 7 LLC has agreed to fund the local share of the project and pay for the engineering services required for its design and construction. In addition, Hallett Dock 7 LLC agrees that the City would be reimbursed for its costs related to the application and the implementation of the Project per a memorandum of understanding, attached as Attachment 2.