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HomeMy WebLinkAbout2010-073 Terra Technologies RESOLUTION R-2010-073 A RESOLUTION ACCEPTING THE PROPOSAL OF TERRA TECHNOLOGIES RELATED TO MODIFICATION OF US ARMY CORP OF ENGINEERS WETLANDS MITIGATION PERMIT 2007-7625, AUTHORIZING TERRA TECHNOLOGIES TO SUBMIT AN APPLICATION WITH THE US ARMY CORPS OF ENGINEERS TO MODIFY PERMIT 2007-1625 ON BEHALF OF THE CITY, APPROVING A WETLANDS MITIGATION CREDIT AGREEMENT BETWEEN THE CITY AND TERRA TECHNOLOGIES, AND AUTHORIZING EXECUTION OF A CONSERVATION EASEMENT AGREEMENT WITH THE MIDWEST MITIGATION OVERSIGHT ASSOCIATION. WHEREAS, the City received a US Army Corps of Engineers (USACE) permit for wetland mitigation in order to develop certain wetland areas located within the City; and WHEREAS, the City has acquired certain rights to create new wetlands near Farley, Missouri, known as the Horseshoe Lake site; and WHEREAS, since issuance of the USACE permit for wetland mitigation to the City, new mitigation alternatives are available which include the ability to purchase credits from a local mitigation bank; and WHEREAS, the Board of Aldermen find it is in the best interest of the City to purchase 4.45 acres of wetland credRs from the Sni-a-Bar Wetland and Stream Mitigation Bank to satisy the original requirement of 3.30 acres of wetland creation and 2.3 acres of upland buffer creation; and WHEREAS, the Board of Aldermen find it is in the best interest of the City to preserve an additional 3.7 acres of existing emergent wetlands and wooded riparian edge at the Horseshoe Lake wetlands creation site; and WHEREAS, it is necessary to authorize Terra Technologies to seek an amendment to the permit issued by USACE and further enter into a Mitigation Agreement with Terra Technologies and the Midwest Mitigation Oversight Association for such purposes; NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF ALDERMEN OF THE CITY OF RIVERSIDE, MISSOURI, AS FOLLOWS: THAT the proposal of Terra Technologies to submit a request for permit modification to the USACE and the Missouri Department of Natural Resources in the maximum not-to exceed amount of $12,630 is hereby authorized and approved in substantially the same form as attached hereto, marked Exhibit "A" and incorporated herein by reference; FURTHER THAT Terra Technologies is hereby authorized and approved to act as registered agent for the City to communicate with the USACE regarding compliance with Section 401 and 404 requirements and to seek permit modification regarding mitigation requirements for Permit 2007-1625 as set forth in Exhibit "B" attached hereto and incorporated herein by reference; FURTHER THAT the Mitigation Credit Agreement by and between Terra Technologies and the City of Riverside in the amount of $178,000 is hereby authorized and approved in substantially the same form as attached hereto, marked Exhibit "C" and incorporated herein by reference; RESOLUTION R-2010-073 FURTHER THAT execution of a conservation easement with the Midwest Mitigation Oversight Association is hereby authorized and approved; FURTHER THAT execution and delivery of all such documents in connection with the transactions contemplated by this Resolution are hereby ratified and confirmed, Community Development Director Mike Duffy is authorized to execute and deliver such documents on behalf of the City and the City shall, and such other officers, representatives and agents of the City are hereby authorized and directed to take such further action, and execute and deliver such other documents and instruments as may be necessary or desirable to carry out and comply with the intent of this Resolution, and to carry out, comply with and perform the duties of the City with respect to the agreements and easements described herein. PASSED AND ADOPTE �r the Board o A ermen and APPROVED by the Mayor of the City of Riverside, Missouri, the —tiay of , 2010. 1 Ka hleen L. Rose, Mayor ATTEST: �– Robin Littrell, ity Clerk Approv s to Form: �_ a omp n, City Attomey C1TY t�F ����"""'~ �M1SSt}l1Rl Upstrcem {rom oM7nary. 2950 NW Vivion Road Riverside, Missouri 64150 MEMO DATE: October 13, 2010 AGENDA DATE: October 19, 2010 • TO: Mayor and Board of Aldermen FROM: Mike Duffy, Community Development Director RE: Wetland Mitigation BACKGROUND: The City received a Corps of Engineers (USACE) permit for wetland mitigation in October, 2009. At that time, the City was given until 2014 to complete mitigation activities at the City's wetland bank in Farley. During the process of developing a"Request for Proposals" to complete the work, staff had discussions with the USACE about the project and alternatives. At that time Doug Berka, Senior Regulatory Specialist, indicated that the USACE had approved an existing wetland bank in the metro area and would consider allowing the City to purchase credits from the bank rather than construct and monitor iu own project. Conversations with the approved wetland bank owner, Terra Technologies, indicated that the City may be able to complete the project in less time and at less cost by pursuing this alternative. Aker additional discussions with the USACE and the City, Terra Technologies has provided the attached proposal for purchase of wetland credits, modification of the existing permit and purchase of a conservation easement. The cost and time savings of this option, as well as the long term liability of monitoring and maintenance, makes this proposal very attractive for the City. RECOMMENDATION: Approve the Ordinance purchasing wetland credits from Terra Technologies and authorizing Terra Technologies to finalize permitting activities. BUDGETARYIMPACT: Total cost of the agreement is $190,630. The City budgeted $300,000 for wetland mitigation. To date, $55,528 has been spent, leaving $244,472. TERRA TECHNOLOGIES Tuesday, October 12, 2010 Mr. Mike Duffy, Directar Community Development Department 2950 NW Vivion Road Riverside Missouri 64150 Re: Request for Authorization Section 404/401 Permit Modification (2007-1625) Riverside Platte County Missouri Dear Mr. Duffy: This proposal seeks your authorization to submit for modification of the aforementioned Clean Water Act Section 404/401 permit in order to satisfy the requirement for mitigation in a cost effective and expedient manner. Currently, provisional requirements in the pernut require the City of Riverside to create new wetlands at the Horseshoe Lake site, and monitar the success of weUands for a period of 7-]0 yeazs. After the 404/401 permit was issued by the Corps of Engineers and Missouri Department of Natural Resources, new mitigation altematives aze available to applicants including the ability of purchasing credits from a local mitigation bank. The purchase of credits from a mitigation bank is typically more economical than the creation and monitoring of new wetlands. Once credits aze purchased, the applicant has no furtlier liability associated with mitigation. After receipt of a formal submittal by the City of Riverside, Mr. Doug Berka, Senior Regulatory Specialist with the US Army Corps of Engineers has verbally agreed to modify the designated permits as follows; (1) The City of Riverside will purchase 4.45 acres of wetland credits from the Sni-a- Baz Wetland and Stream Mitigation Bank to satisfy the original requirement of 3.30 acres of wetland creation and 23 acres of upland buffer creation. (2) The City of Riverside will preserve 3.7 acres of existing emergent wetlands and wooded riparian edge at the Horseshoe Lake site. Signage will be installed around the boundary in satisfaction of Corps of Engineers requirements. A conservation easement will be granted by the City of Riverside to the Midwest Mitigation Oversight Association for independent oversight of proper[y protection. The easement will be recorded against the deed at the Platte County Courthouse. The Corps of Engineers utilizes a standazd conservation easement format far use by all permit holders. For each specific project, the easement must contain an exhibit showing the boundaries of the easement with accompanying legal description in a format suitable for recording with the Recorder of Deeds at the local courthouse. 1920 W. '143`" St. Suite 140 • Leawood, KS 66224 Phone:913-385-9560 • F�x:913-385-5295 htm://www.rerretechnoloeies.com . e-mail: terralech(a�terretechnoloaies.com TERRA TECHNOLOGIES The conservation easement requires assignment to an independent third parry for perpetual oversight. Our firm works with the Midwest Mitigation Oversight Association Incorporated (MMOA), a local non-profit conservation group of volunteers who accept such easements for a single lump sum or annual fee. Their organization is required to supervise the property annually for a period of 50 yeazs. Their typical lump sum fee for accepting easements is five thousand ($5,000) dollars. Annual fees are usually five hundred ($500) per yeaz in lieu of the lump sum fee. More information about the MMOA can be found at www.midwestmoa.com SCOPE OF WORK Qualified individuals will submit the formal request for permit modification to the Corps of Engineers. We will develop an e�chibit of the mitigation area boundaries and legal description, organize and review the conservation easement with the MMOA, and deliver all documents to the City and MMOA for signature. After the document is signed, we will record the document on your behalf and forward a copy of the easement to the Corps of Engineers and the Missouri DeparGnent of Natural Resources. We will also purchase and install signage azound the boundary of protected property at the Horseshoe Lake site. COST The scope of wark described in this proposal will be performed on an hourly maximum not-to-exceed basis of $12,630 (twelve thousand six hundred and thir[y) dollars with a unit breakout as follows; Task # Item Total Hours CostJHour Total Cost 1 Submit for Pemut Modification 4 $95 $390 2 Conservation Easement Docutnent Develo ment 12 $95 $1,140 3 Pre are Pro e Exhibit with Le al Descri tion 50 $95 $4,750 4 Purchase and Install Si na e 12 Si s $80 $960 5 One Time Easement Fee Payment to Midwest ] Lump $5,000 $5,000 Miti ation Oversi ht Association Sum 6 Recordation at Courthouse 2 $95 $190 7 Reimbursable Ex enses Recordin Fee, Estimated 1 $200 $200 TOTAL $12,630 1920 W. 143'" St. Suite 140 • Leawood, KS 66224 Phone:913-385-9560 . �:913-385-5295 htm�.//wwryv.[erra[echnoloeies.com . e-mail: terralechCdterratechnolooies.com TERRA TECHNOLOGIES I will direct staff to proceed on this project upon receipt of your written authorization. Should you have any questions or require additional information, please do not hesitate to contact me at (913) 652-9210. Sincerely, TERRA TECHNOLOGIES, INC �avid'z. �'h'c�E David L. Flick Principal 1920 W. 143 St. Suite 140 . Leawood, KS 66224 hone:913-385-9560 • Fax:913-385-5295 httn�.Uwwwterra�echnoloeics.com • e-mail:terralechCdterratechnoloaies.com MITIGATION CREDTI' AGREEMENT This MITIGATION CREDI'I' AGREEMENT (Agreement) is made and entered into this 12 day of October, 201Q by and between Terra Technologies ("Seller'� and City of Riverside ("Purchaser"). WITNESSETH: WHEREAS Purchaser has applied to the U. S. tlnny Corps of Engineers ("USACOE") for a permit under Section 404 of the Clean Water Act to allow impacts to wetlands in Platte County, Missouri ("ProjecY'). Project Number assigned by the USACOE is 2007-1625. WHEREAS, as a condition to the issuance of a permit from the USACOE, Purchaser is required to compensate for said impacts, end elects to satisfy part of the requirement through the purchase of mitigation credits in the Sellers' Sni-a-Bar Stream and WeUand MitigaUon Bank located in Jackson County, Missouri ("Mitigafion Bank"). WfIEREAS, the USACOE has determined that Purchaser shall be required to purchase credits due to the proposed impacts resulting from the development of the Project. NOW, THEREFORE, far and in consideration of the mutual covenants herein contained and other good and valuable consideration, the receipt and sufficiency of which are hereby mutually acknowledged, it is agreed as follows: 1) RECTPALS: The recitals aze hereby incorporated by this reference. 1 2) COMPENSATION: Purchaser shall, subject to the terms and conditions hereinafter provided, pay to the Seller the sum of One hundred seventv eteht thousand ($178.000) DOLLARS ("Purchase Price") for 4.45 wetland credits at the Mitigation Bank. The Purchase Price is derived from the unit cost of $40,000 per wetland credi� The Purchase Price is valid until November 30, 2010. Purchase Price is to be paid in the manner following: a) PURCHASE PRICE: Upon signing this Agreement, Purchaser will pay the total balance due, or $178,000. b.) INCREASE OR DECREASE IN REOUIRED AMOUNT OF CREDTI'S: Should the credits required by the USACOE be increased ar decreased from the time of Agreement execution to the lime Purchase Price has been paid in full, the Purchaser shall be required to buy the increased amount of credits from Seller at the same price per credit as originally set out in tivs Agreement, if Seller has such credits available. 3) SELLERS WARRANT'Y: In consideration of the Purchase Price, Seller affinns that it has sufficient credits in the Mitigation Bank to satisfy the credits required by Purchaser and agrees to sell such aedits to Purchaser. It is understood and agreed that Purchaser shall have no obligation to perform any responsibility or incur any liability associated with the creation, development, maintenance and/or management of the Mitigation Bank. 2 4) NOTICES: Any noflces required or pennitted hereunder sha11 be sufficiently given if delivered by overnight courier, by United States mail, return receipt requested to the parties hereto ss follows: If to Seller: Terra Technologies 1920 West 143xd Street, Suite 140 Leawood, KS 6b224 Attn: Mr. David Flick If to Purchaser: City of Riverside 2950 NW Vivion Road Riverside MO 64150 Attn: Mike Duffy Any notice given pursuant hereto by overnight courier shall be effective as of delivery; any notice given pursuant hereto by United States mail, return receipt requested, shall be effective as of the flurd business day following its posting and any notice given pursuant hereto by facsimile shall be effective as of receipt of confirmation by the sending pariy. 5) PRIOR AGREEMENTS: This Agreement shall supersede any and all prior understandings and agreements between the parties hereto, whether written or oral, with , respect to the subject matter hereof and may be amended only by a written instrument executed by or on behalf of both Seller and Purchaser. 6) APPLICABLE LAW: Purchaser shall be contractua(ly bound to this Agreement, which shall be govemed by the laws of the state of Missouri and subject to the requirements of any applicable federal law or regulation. Changes in federal, state or 3 local laws, however, which might have otherwise impacted this Agreement shall not be enforced retroactively after execution of tlus Agreement. 7) ATTORNEY'S FEES: In the event any action, suit, or other proceeding at law or in equity is brought to enforce the covenant and agreements contained in tlus Agreement or to obtain monetary damages for breach thereof, and such action results in an award oF judgment for monetary damages, or the granting of any equitable relief in favor of any patty hereto, all expenses, including reasonable attorney's fees, of the successful party in such action, suit, or other proceeding shall, upon demand of such party, be paid by the other party. 8) CONTRACT ACCEPTANCE: This Agreement is null and void if not executed within twenty days of the effective date of the Ageement, as stated herein. 4 IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed on the day and year first above written. City of Riverside Missouri By. ������ Terra Technologies Incorporated By: �� � David Flick 5 Fp,,, �'� Request for Taxpayer ahro rorn, m �ne "°�� "°°"n identiflcatlon Num6er and Certiftcation �eq�a8e.�. co �a o.�an.ne� aend2othelRS. - im.wxuw++anxa � N NBnN W ffbwn m Y� 41CCma Iez �atum) � $ Bus4Mas nune. tl EIflMMt tran aboW � fr Terra Tachnoiogles Incorporeted �� c�kaaowwa��.ew:❑ � Ydu�"�aa m c«ao�xw, ❑ PaAnenhip p ou�. .................. p w n° `�" a � PO � Mtdreaa Numbar� s�, and eW. a suiia no.) RWueslare reme ud adtliess WM�e9 0 1970 Weet 143rd Street Suite 140 qly, sl�e. eM ZIP catle Leawood Kane� 66224 � lYl eccount m�m6e(e) hse (optlonaq . . Tax Identiftcation Num6er IN Enter yo�r TM In the appropAete hox. The TIN proNded muat malch the nam0 8�'� � Une 1 to evofd �•I �eounb ��mesr � backup wilhhMdU�g. For 6�vitluals, thls ts your soeial seowlry number (SSN). However, for e resldent slien, sole proplator, a d6aregerded entily, see the Part I iretructlons on page 3. Fa other entlties, It Is your employer idmtifxalion nurnber (EIN�. If you do no[ have e number, sae How M ge1 a TIN on page 3. a� - Note.11 tha ecco�nt is tn more then ona neme, aee Ihe chart on page 4(or guid6lines on wlase Emptoyar ldannnntlon numbor . numberroeMer. 4�3�1�8�2�5�4�8�5 - Certifbation Under pena9les of Px(iry. I ceNy Ihat: i. The nwnber slroxm on tt�ls lorm is my correct taxpeyer itlenlificalbn num6a (ar 1 em waking for e number 10 be Issued to ma), e�W 2. I em nol subjxt M backup wlthMlding 6ecause: (a) I em exempt Iran backup wilhhWding, or @) I heve rrot 6een noltfled by tha Internel Revenua Service pfi3)lhet I am suaect to backup withhakNng as e resW[ of a fatlure to report ell interesc or diNdends, or (c) tlre IRS has . notlHed me that I am rro bngar sub�ect l0 6eckup wflhhold'sg, end � 3. 1 am e U.S. pernon (ncM+dlnp a U.9. resident afien). CertHieaUon inetructlons. You must aross out item 2 a6ove i( you have been �ed by Ihe IRS thet you are currenly subject to 6eckup withholtling because yau heve falled to report eA Nte�est and diWdends an your tex retum. For reel estate 4ensaclione, ftem 2 does nol appty. � Fw mongage fMerest peW, acqulsitbn or abaadonment ol sec4retl property, cancella0on ot tle6t, contAbutlons to an Indlvidual retirement arrarqemenl (IRFQ, end generaly, payments olher 2ryan fnterest and drvidends, you ere not requtretl to eipn the Certificatlon, but you must provide your cwrect TIN. (See 1he �InstNCtbns en paga 4.� 5 �8� seMmn a / H8f8 U8. parson ► (yGC// �•� �� Dab ► S' I�� Z U/ (� - Purpose of Form • M Individual who is a ciUzen or resident of the United A person who ie requlred [o flle an Information ieturn with �the States, IRS, must obtain your cortect taxpayer ldenGflcation number • A partnership, corporation, company, or associallon - (fIM to report, for example, income pafd [o yau, real estate craeted a organized in the Uni[ed States or under the laws trensections, mortgage interest you pald, aequisiUOn or of the llnitetl States, or � � ebantlonment of aecured property, cancellation of debt, or • Arry estate (other ihan a forelgn estate) ar truat. See contributlons you made to an IRP« - Regulatlons aections 301.7701-6(aJ and 7(� For atlditiodal U.S. peraon. Use Fortn W-9 only i} you are a U.S. person Informadon. (incluc➢ng a resident elien), to provtde 7rour eorreet TIN the Speeial rulee tor partnerships. Partnerships that conduct a person requestirg It (tha requestar) and, vvhen applicable, W: trade� or business in the UnBed States ere generally required 7. Certity that the TIN you are giving is correct (or you are to pey a withholding tax on arry� farei9n paztners' share of watting far a number ro 6e issued), IncomO from 6udi buslness.�FUMer, in certeln cases where a 2. Certily that you are not subject to backup withholding, or Form W-9 has not been received, a paAnership la requfred to � 3. Gekn exempUon from backup withholding If you ara a p�eaume thet a partner is a forefgn person, �and pay the U.S. exempt payea. wlthholding tax. Theretore, N you ere a U.S. pereon that Is a In 3 aGove, If licable, you are elso certi in that as a p��r in a pertnarship conductlng e irade or businesa In the �P fY� 9 Unftetl States, proWde Fortn W-9 to the pertnerehip to U.S, person, your albcable share of any parinership Income eatablish your U.3. atatus and evoid withholding on your fmm a U.3. Gatle or busirress is not sub�eot to the share of partnership Incoma. - withhoiding taz on (orelgn padners' share of effectively connacted inwme. The person who gives Form W-9 to the partnerahfp for Note. H a requester gives you a fwm other than Form W-9 to P°�oses of establishing its U.S..atatus and avdding wtthholding on its atlocable share of net Income trom the requeat your TIN, you must use [he requester's torm Ii it Is partnership conducting a trade or busk�esa in the UnRetl aubatarrtialy dmllar to thia Fwm W-9. States Is In the foitowing cases: For tetleral tex purposes, you are considered e person if you � 7he U.S. owner of a disregarded entity and not the entity, are: Cat Na 10231% Form - piav: 11@005) TERRA TECHNOLOGIES Tuesday, October 12, 2010 Mr. Doug Berka, Senior Pmject Manager US Army Corps of Engineers Regulatory Division Kansas City District 700 Federal Building 601 East 12�' Street Kansas City Missouri 64106 RE: Permit No 2007-1625 Assignment of Registered Agent City of Riverside Missouri Deaz Mr. Berka, By means of this correspondence and by signatory below, I am retained as the applicanYs registered agent to communicate with your agency regarding compliance with SecHon 40t and 404 requirements. Our firm is preparing the requisite submittals to seek permit modification regarding mitigation requirements for 2007-1625. We expect to complete the endeavor during October 2010. A notarized statement of authority is attached for your records. Please contact me at 913-385-9560 with any questions. Sincerely, Authorized by, TERRA TECHNOLOGIES INC. City of Riverside Missouri �'�.✓� �,� David L. Flick Mike Duffy Principal Authorized Agent 1920 West 143 SaeeC Suite 140 • Leawood, KS 66224 Phone:913-385-9560 . Fax:913-385-5295 htto:l/a,vw.[ertacechnolceies.rnm • e-maiL• terratechCaDterratechnoloaies.com TERRA TECHN4LOGIES STATEMENT OF AUTHORITY City of Rlverside By: Name: Mike Duffy Title: STATE OF ) ) SS. COUNTY OF ) On this day of , 2010, before me appeared Mike Duffy, to me personally known, who being by me duly swom did say that he is a representative of City of Riverside Mlssouri, and that said individual is suthorized to sign on behalf of said enrity. IN WITNESS WHEREOF, I have hereunto set my hand and affixed my official seal in the County and State aforesaid, the day and yeaz first above written. Notary Public My Commission Expires: 1920 West 143 Stree4 Suite I40 • Leawood, KS 66224 Phone:913385-9560 . Fax:913-385-5295 htto:/h�ww.tersatechnobeies.com • e-maiL• terratechC�D.terratechnoloaies.com