Bee Branch Watershed Flood Mitigation, HUD NDR Competition Grant Infrastructure Contract Amendment Copyrighted
September 5, 2017
City of Dubuque Consent Items # 5.
ITEM TITLE: Bee Branch Watershed Flood Mitigation, HUD National
Disaster Resilience Competition Grant, Infrastructure
Contract Amendment
SUMMARY: City Manager recommending authorization to execute
Contract Amendment No. 1 to the Community Development
Block Grant National Disaster Resilience (CDBG-NDR)
Program Contract with the Iowa Economic Development
Authority in order for the City to utilize CDBG-NDR funds for
the Bee Branch Watershed Flood Mitigation Project.
SUGGESTED DISPOSITION: Suggested Disposition: Receive and File; Approve
ATTACHMENTS:
Description Type
Bee Branch National Disaster Resilience Contract City Manager Memo
Amendment-MVM Memo
Staff Memo Staff Memo
Amendment No. 1 Supporting Documentation
THE COF Dubuque
DtUB
E All-America
City
Masterpiece on the Mississippi 1 1 1 1"
2009•2012•2013•2019
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Bee Branch Watershed Flood Mitigation Project, HUD National Disaster
Resilience Competition Grant, Infrastructure Contract Amendment
DATE: August 24, 2017
City Manager Mike Van Milligen recommends City Council authorization to execute
Contract Amendment No. 1 to the Community Development Block Grant National
Disaster Resilience (CDBG-NDR) Program Contract with the Iowa Economic
Development Authority in order for the City to utilize $23,292,253 in CDBG-NDR funds
for the Bee Branch Watershed Flood Mitigation Project.
The amendment includes a change to the overall grant amount to reflect the actual
amount of eligible, pre-award administrative costs versus the estimated costs reflected
in the Contract. This results in a $16,437 reduction in the total amount to be received
for administrative expenses related to the grant. It does not change the amount the City
will receive for designing and constructing the actual infrastructure improvements.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Mic ael C. Van Milligen
MCVM:jh
Attachment
cc: Crenna Brumwell, City Attorney
Teri Goodmann, Assistant City Manager
Gus Psihoyos, City Engineer
Alvin Nash, Housing & Community Development Department Director
Jennifer Larson, Budget Director
THE CITY OF Dubuque
D
UB
� All-AmericaCity
I 1
Masterpiece on the Mississippi •
.11117•':072•rifl3.2017
TO: Michael C Van Milligen, City Manager ---�
FROM: Gus Psihoyos, City Engineer
DATE: August 23, 2017
RE: Bee Branch Watershed Flood Mitigation Project, HUD National Disaster
Resilience Competition Grant, Infrastructure Contract Amendment
INTRODUCTION
The purpose of this memorandum is to seek authorization to amend the contract with
the Iowa Economic Development Authority in order for the City to utilize $23,293,253.00
in Community Development Block Grant Program Disaster Recovery— National
Disaster Resiliency funds for the Bee Branch Watershed Flood Mitigation Project.
BACKGROUND
In March 2015, the City was part of a State of Iowa Phase I application for U. S.
Department of Housing and Urban Development (HUD) funds through the Community
Development Block Grant National Disaster Resilience (CDBG-NDR) competition. The
State was then invited to submit a Phase II application as part of the final round of the
competition. Once again, the City was a key partner in determining the success of the
Phase II application.
In January 2016, the State was awarded $95.7 million in HUD National Disaster
Resiliency Competition grant funds. Per the award, the City of Dubuque is to receive
$8.4 million for a comprehensive "Bee Branch Healthy Homes Resiliency Program" to
help residents address residual impacts from the flooding experienced within the Bee
Branch Watershed. The City is also to receive $23.1 million for storm water
infrastructure improvements associated with the Bee Branch Watershed Flood
Mitigation Project. The infrastructure improvements are as follows:
1. Bee Branch Railroad Culvert Infrastructure Improvements involving the
installation of culverts from the Lower Bee Branch Creek, through Canadian
Pacific Railway property, to the Upper Bee Branch north of Garfield Avenue;
2. 22nd Street/Kaufmann Ave Storm Sewer Improvements involving the installation
of a large diameter storm sewer from 22nd & Elm up Kaufmann Avenue to the
Kaufmann & Kane intersection. The work includes inlets and local sewer
connections to the storm sewer and the complete reconstruction of the street and
other underground utilities along street right-of-way corridor.
3. 17th Street/W. Locust Street Storm Sewer Improvements involving the installation
of a 96-inch diameter pipe from the Lower Bee Branch Creek through the
Canadian Pacific Railway tracks to 17th Street then to the west along 17th Street
and finally west along W. Locust Street towards Angella St. The work includes
inlets and local sewer connections to the storm sewer and the complete
reconstruction of the street and other underground utilities along street right-of-
way corridor.
In October of 2016, the City Council adopted Resolution 362-16, authorizing the
execution of a contract with the Iowa Economic Development Authority as a
requirement for the City's receipt of $23,309,600.00 in CDBG Disaster Recovery—
National Disaster Resiliency funds for the infrastructure improvements associated with
the Bee Branch Watershed Flood Mitigation Project.
DISCUSSION
The Iowa Economic Development Authority (IEDA) has provided the attached Contract
Amendment No. 1 to the Community Development Block Grant National Disaster
Resilience (CDBG-NDR) Program contract (Contract). The proposed changes are the
result of IEDA's visit with the U. S. Department of Housing and Urban Development
(HUD) regarding the agreements between IEDA and sub-recipients such as the City of
Dubuque. HUD asked that specific clauses and agreement terms be incorporated into
the agreement between IEDA and the City of Dubuque, an agreement that had already
been executed.
The proposed amendment includes a change to the overall grant amount to reflect the
actual amount of eligible, pre-award administrative costs versus the estimated costs
reflected in the Contract. This results in a $16,437.00 reduction in the total amount to be
received for administrative expenses related to the grant. It does not change the amount
the City will receive for designing and constructing the actual infrastructure
improvements.
RECOMMENDATION
I recommend executing Contract Amendment No. 1 to the Community Development
Block Grant National Disaster Resilience (CDBG-NDR) Program contract with the Iowa
Economic Development Authority (IEDA) in order for the City to utilize $23,293,253.00
in Community Development Block Grant Program Disaster Recovery— National
Disaster Resiliency funds for the Bee Branch Watershed Flood Mitigation Project.
BUDGET_IMPACT
The original contract outlined that the City would receive $23,309,600.00. This
represented $23,100,000.00 to design and construct the improvements and an
additional $209,600.00 for administrative costs. Per the proposed amendment, the
amount the City will receive to help cover administrative costs is reduced to
$193,253.00. As a result, the total amount the City will receive is reduced to
$23,293,253.00.
2
_REQUESTED ACTION
I respectfully request authorization to execute Contract Amendment No. 1 to the
Community Development Block Grant National Disaster Resilience (CDBG-NDR)
Program contract with the Iowa Economic Development Authority in order for the City to
utilize $23,293,253.00 in CDBG-NDR funds for the Bee Branch Watershed Flood
Mitigation Project.
Attach.
Prepared by Deron Muehring
Cc: Crenna Brumwell, City Attorney
Teri Goodmann, Assistant City Manager
Jenny Larson, Budget Director
Jean Nachtman, Finance Director
John Tharp, Grant Administrator
Sharon Gaul, Grant Coordinator
Deron Muehring, Civil Engineer
3
Iowa Economic Development Authority
Community Development Block Grant National Disaster Resilience (CDBG-NDR) Program
Contract Amendment
Recipient: City of Dubuque
Contract Number: 13-NDRI-011
Contract Amendment Number: 1
Amendment Effective Date: June 1, 2017
The Iowa Economic Development Authority (IEDA) hereby amends the above referenced Community Development Block Grant
National Disaster Resilience (CDBG-NDR) Program contract. The IEDA initiated amendment is a result of recommendations by
HUD CDBG-NDR national staff during their March 2017 technical assistance monitoring.
The contract by and between the Iowa Economic Development Authority ("Department or IEDA") and City of Dubuque
("Recipient") is amended as of the date shown above as follows:
1. AMEND Award Amount by reducing the overall contract by $16,347 from 172-01 — pre -agreement expenses.
"AWARD AMOUNT: $23409T6o0 $23.293,253"
2. AMEND 6.6 CONDITIONS TO DISBURSEMENT FOR A SPECIFIC ACTIVITY, by adding condition (k):
"6.6 CONDITIONS TO DISBURSEMENTFOR A SPECIFIC ACTIVITY. For each activity number listed below, the
Recipient shall comply with the corresponding applicable conditions prior to release of funds for that activity, If no applicable
conditions are identified below, none of the conditions in Article 6.6 shall apply to the activities funded by this Contract.
ACTIVITY NUMBER(S) APPLICABLE CONDITIONS
69 (a) DEPARTMENT OF NATURAL RESOURCES APPROVAL
69 (k' DESIGN
(a) DEPARTMENT OF NATURAL RESOURCES APPROVAL. Construction shall not begin prior to the written
approval of the Iowa Department of Natural Resources.
(b) REVIEW OF HANDICAPPED ACCESSIBILITY. Prior to release of funds for construction, the Authority shall
receive and review a signed statement from the Project architect that proposed construction will meet all handicapped
accessibility and ADA requirements based on approved design plans.
(c) DEPARTMENT OF HEALTH APPROVAL. Construction shall not begin prior to receipt of written approval
from the Iowa Department of Health.
(d) FRANCHISE ORDINANCE/28E AGREEMENT. Prior to the release of funds for construction, the Recipient
shall submit, as appropriate, either an ordinance authorizing the franchise or an executed 28E Agreement for the activity for the
Authority's review.
(e) BULK PURCHASE AGREEMENT. Prior to release of funds for construction, the Recipient shall submit an
executed "Bulk Purchase Agreement" for the Authority's review.
(f) RURAL WATER CONNECTION FEE PROJECTS. Prior to release of funds for payment of a connection fee,
the Authority shall receive and review a copy of the water purchase agreement which outlines the basis for determining the
connection fee; a signed letter with the engineer's seal from the project engineer which certifies that construction is complete
and water service is available to the Recipient; and a formal invoice from the Subrecipient which requests payment of the
connection fee and provides a breakdown of the Federal and local dollar amounts. The Request for Payment/ Activity Status
Report for the connection fee will not be processed until the Authority has received the required documentation listed in this
Article.
(g) STATE BUILDING CODE BUREAU APPROVAL. Bidding for construction shall not be conducted prior to the
written approval of the final plans by the State Building Code Bureau of the Iowa Department of Public Safety.
(h) FACADE EASEMENTS. Prior to release of funds for construction, the Recipient shall submit, as appropriate,
signed copies of all facade easements and construction agreements with property owners when required for downtown
revitalization projects.
(i) STORMWATER DESIGN AND CONSTRUCTION DOCUMENTS. Prior to bidding, the Recipient shall submit
project final design and construction documents for the Authority to review for consistency with "Budget Activity" subsequently
approved by the Authority. Recipient shall also consult with Iowa Department of Agriculture and Land Stewardship (IDALS)
Urban Conservation Program Team on project stormwater management designs at 30, 60, 90 percent, and final design. The
Recipient shall then secure and upload to www.lowaGrants.gov a letter from IDALS confirming stormwater management
designs meet the requirements of the Iowa Green Streets Criteria and the Iowa Stormwater Management Manual (as
applicable).
(j) PERPETUAL RESTRICTIONS. Prior to release of funds for acquisition, the Recipient shall provide the
Authority evidence that appropriate perpetual deed restrictions and agreement for covenants and restrictions as required
pursuant to Sections 5.9 and 5.10 of this Contract.
(k) DESIGN. Prior to the Grantee's Recipient's obligation of funds for construction, the Grantee Recipient will
demonstrate that the engineering design for a Project is feasible, prior to obligation of funds by the Grantee Recipient for
construction. This demonstration is satisfied if a registered professional engineer (or other design professional) certifies that the
design meets the appropriate code or industry design and construction standards (as applicable)."
3. AMEND Article 10.1 DOCUMENTS INCORPORATED BY REFERENCE. by revising date of Attachment C,
"CDBG Program General Provisions," dated February 24, 2016 and adding (f) Attachment D "National Disaster
Resilience Policies and Procedures Manual and the incorporated Program Specific Guidelines"
"(c) Attachment C, "CDBG Program General Provisions," dated Gebn an, 2" 20-16 Mav 1. 2017."
"(f) Attachment D, State of Iowa's Community Development Block Grant National Disaster Resilience Policies and
Procedures Manual and the incorporated Program Specific Guidelines as found on the Authority's website at
https://www.lowaeconomicdevelopment.com/Community/NDR"
4. AMEND Article 10.2 ORDER OF PRIORITY. by revising date of Attachment C, "CDBG Program General
Provisions," dated February 24, 2016 and adding (g) Attachment D "National Disaster Resilience Policies and
Procedures Manual and the incorporated Program Specific Guidelines"
"(b) Attachment C, "CDBG Program General Provisions," dated February 24, 2016 Mav 1.2017."
"(g) Attachment D, State of Iowa's Community Development Block Grant National Disaster Resilience Policies and
Procedures Manual and the incorporated Program Specific Guidelines as found on the Authority's website at
https://www.iowaeconomicdevelopment.com/Community/NDR."
5. AMEND Attachment C, "CDBG Program General Provisions," dated October 4, 2016 by revising date of Attachment C:
"ATTACHMENT C
GENERAL PROVISIONS
COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM
October 4, 2016 Mav 1, 2017"
6. AMEND ATTACHMENT C, GENERAL PROVISIONS, COMMUNITY DEVELOPMENT BLOCK GRANT PROGRAM,
May 1, 2017 by adding a new section 18.0 and renumbering the existing 18.0 IOWA ECONOMIC DEVELOPMENT
AUTHORITY FRAUD AND WASTE POLICY to number 19.0:
"18.0 PROCUREMENT.
For purposes of this agreement Cities and Counties are required to adopt the federal procurement policies and
procedures that align with Federal provisions of 2 CFR 200.318-200.326. The Procurement Policy is found in "Iowa
Community Development Block Grant Management Guide", as found on the Authority's website at
www.iowaeconomicdevelopment.com/Community/CDBG.
"1-84) 19.0 IOWA ECONOMIC DEVELOPMENT AUTHORITY FRAUD AND WASTE POLICY."
7. AMEND Attachment A, "Program Description" by replacing the first paragraph with the following paragraph:
"The follow+gym Description" is incorporated i• : • - _ . - • _ _ _ _ ... _: unt. Cost -projections and
tasks per . - . _ _ .. • .difications to be requested thro_ . _ . _ The
following "Program Description" is incorporated into the recipient's IowaGrants.aov account. Cost proiections and tasks
per quarter are considered a starting point based on an estimate of expenses and deviations are allowable. The IEDA
Proiect Manager will track actual Quarterly spending for each partner and compare this to the proiected auarterly
spending as listed in Attachment A of the prosect contract. The spending tracker worksheet will be stored in the
iowagrants.gov Required Uploads tab, Quarterly Budget and Plan. for each partner and updated quarterly by the
Program Manager. The program guidelines. as found on the Authority's website at
https://www.iowaeconomicdevelopment.com/Community/NDR State of Iowa's Community Develooment Block Grant
National Disaster Resilience Policies and Procedures Manual and the incorporated Program Specific Guidelines.
outline how deviations from the estimated spending will be addressed."
2
8. AMEND Attachment A, "Program Description" by reducing 172-01 — Watershed Planning Pre -agreement expenses
from $52,100 to $35,753:
"172-01 — Watershed Planning Pre -Agreement Expenses $52,100 $35,753."
9. AMEND Attachment A, "Program Description" by replacing the Cost Projections & Activity per Quarter original attached
spreadsheet with a revised attached spreadsheet:
oiecfton
,rte
(See attached Attachment A Updated May 2017 spreadsheet)"
10. AMEND contract by adding Attachment D, National Disaster Resilience Policies and Procedures Manual and the
incorporated Program Specific Guidelines:
"Attachment D, State of Iowa's Community Development Block Grant National Disaster Resilience Policies and
Procedures Manual and the incorporated Program Specific Guidelines as found on the Authority's website at
https://www.iowaeconomicdevelopment.com/Community/NDR.*
*The Recipient shall note that the NDR Policy and Procedures Manual includes Program Specific Guidelines relevant
as follows:
a) Community Development Block Grant — National Disaster Resiliency (CDBG-NDR) Iowa Watershed Approach
Guidelines: Infrastructure
b) Community Development Block Grant — National Disaster Resiliency (CDBG-NDR) Iowa Watershed Approach
Guidelines: Bee Branch Healthy Homes Resiliency Program
c) Community Development Block Grant — National Disaster Resiliency (CDBG-NDR) Iowa Watershed Approach
Guidelines: Watershed Projects
d) Community Development Block Grant — National Disaster Resiliency (CDBG-NDR) Iowa Watershed Approach
Guidelines: Planning Partners
The Authority cannot overemphasize the importance of the Recipient following the respective Program Specific
Guidelines,"
Except as otherwise revised above, the terms, provisions, and conditions of the Contract remain unchanged and are in full force and
effect.
RECIPIENT: CITYX F DUBUQUE
BY:
Mayor
IOWA ECONOMIC DEVELOPMENT AUTHORITY
BY:
Timothy R. Waddell, Division Administrator
3
Dubuque 1 20171 1 2018 2019 1 2020 2021
Updated May 2017
JUN SEP DEC MAR JUN SEP DEC MAR JUN SEP DEC MAR JUN SEP DEC MAR JUN SEP DEC MAR JUN
Bee Branch Creek Railroad Culverts (w/Sanitary)
22nd Street Storm Sewer Improvements
17th St Storm Sewer Improvements
W. Locust Storm Sewer Improvements
EXPENSE $0 $0 $5,500 $183,000 $551,000 $760,000 $192,000 $695,000 $615,000 $90,000 $375,000 $2,170,000 $2,252,000 $1,670,000 $1,260,000 $2,050,000 $1,440,000 $555,000 $228,000 $32,000
HUD DRAWDOWN $0 $0 $5,500 $183,000 $551,000 $760,000 $192,000 $695,000 $615,000 $90,000 $375,000 $2,170,000 $2,252,000
LOCAL LEVERAGE $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $1,670,000 $1,260,000 $2,050,000 $1,440,000 $555,000 $228,000 $32,000
HUD BALANCE $23,100,000 $23,100,000 $23,087,500 $22,793,500 $21,480,500 $19,594,500 $19,004,500 $17,244,500 $15,364,500 $14,288,500 $13,613,500 $7,923,500 $1,131,500 $0 $0 $0 $0 $0 $0 $0
YEAR 1 YEAR 1 YEAR 1 YEAR 1 YEAR 2 YEAR 2 YEAR 2 YEAR 2 YEAR 3 YEAR 3 YEAR 3 YEAR 3 YEAR 4 YEAR 4 YEAR 4 YEAR 4 YEAR 5 YEAR 5 YEAR 5 YEAR 5
QTR 1 QTR 2 QTR 3 QTR 4 QTR 1 QTR 2 QTR 3 QTR 4 QTR 1 QTR 2 QTR 3 QTR 4 QTR 1 QTR 2 QTR 3 QTR 4 QTR 1 QTR 2 QTR 3 QTR 4
EXPENSE $0 $0 $12,500 $294,000 $1,313,000 $1,886,000 $590,000 $1,760,000 $1,880,000 $1,076,000 $675,000 $5,690,000 $6,792,000 $6,010,000 $2,780,000 $5,880,000 $4,944,000 $2,789,000 $785,250 $362,000
HUD DRAW $0 $0 $12,500 1 $294,000 $1,313,000 $1,886,000 $590,000 $1,760,000 11,880,000 $1,076,000 $675,000 $5,690,000 $6,792,000 $1,131,500 $0 $0 $0 $0 $0 $0
LOCAL LEVERAGE $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $4,878,500 $2,780,000 $5,880,000 $4,944,000 $2,789,000 $785,250 $362,000
Engineering/Design 0.00% 0.00% 0.23% 5.71% 23.68% 37.35% 48.34% 59.51% 66.59% 72.27% 75.53% 78.14% 80.65% 83.16% 85.12% 86.80% 87.91% 89.03% 90.15% 91%
ROW 0.00% 0.00% 0.00% 0.000/0 0.00% 100% 100% 100% 100% 100% 100% 100% 1000/0 100% 100% 100% 100% 100% 100% 100%
Construction 0.00% 0.00% 0.00% 0.00% 0.76% 2.28% 2.28% 5.21% 9.00% 10.95% 12.22% 26.06% 42.70% 57.37% 63.94% 78.40% 90.54% 97.38% 99.17% 100%
ADMINISTRATION COSTS 1 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7875 $7,875 $7,875 $7,875
HUD DRAW $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,875 $7,,875 $7,875 $7,8751 $7,875
TOTAL HUD DRAW 1 $7,875 $7,875 $20,3751 $301 875 $1,320,875 $1,893,8751 $697,8751 $1,767,8751 $1,887,875 $1,083,8751 $682,875 $5.697,8751 $6.799,8751 $1.139 VS $7,875 $7 875 $7,875 1 $7,875 $7.8751 $7,875