Agenda - Council Work Session - 06/17/2014

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To order the improvement, in accordance with the powers and duties established in Article VI, Subdivisions 7, 8 and 9, a resolution setting forth the order for a capital improvement project shall require a favorable vote by two- thirds of all eligible votes of the then existing Commissioners. (In all cases other than for a capital improvement project, a majority vote of all eligible Commissioners shall be sufficient to order the work.) The order shall describe the improvement, shall allocate in percentages the cost between the Member Cities, shall designate the engineers to prepare plans and specifications, and shall designate the Member City that will contract for the improvement in accordance with Subdivision 7 of this Article. In determining how costs of a capital improvement shall be allocated among Member Cities, the Board may consider whether the improvement benefits one or more subwatersheds rather than the Lower Rum River Watershed as a whole. After the Board has ordered an improvement it shall forward to all Member Cities an estimated time schedule for the construction of said improvement. The Board shall allow an adequate amount of time, and in no event less than 45 days, for each Member City to conduct hearings, in accordance with the provisions of the aforestated Chapter 429, or the charter requirements of any city, or to ascertain the method of financing that said Member City will utilize to pay its proportionate share of the costs of the improvement. Each Member City shall ascertain within a period of 90 days the method it shall use to pay its proportionate share of the costs. If the LRRWMO proposes to utilize Anoka County's bonding authority as set forth in Minnesota Statutes, Section 103B.251, or if the LRRWMO proposes to certify all or any part of a capital improvement to Anoka County for payment, then and in that event all proceedings shall be carried out in accordance with the provisions set forth in said Section 103B.251. Subdivision 5. Any Member City being aggrieved by the determination of the Board as to the allocation of the costs of said improvement shall have 30 days after the Board resolution ordering the improvement to appeal said determination. Failure of a Member City to appeal the determination of the Board within such 30 -day period shall be deemed to be consent to and agreement with the cost allocation in the Board's resolution. An appeal shall be in writing and shall be addressed to the Board asking for arbitration. The determination of the Member City's appeal shall be referred to a board of arbitration. The board of arbitration shall consist of three persons; one to be appointed by the Board, one to be appointed by the appealing Member City, and the third to be appointed by the two so selected. In the event the two persons so selected do not appoint the third person within 15 days after their appointment, then the Chief Judge of the District Court of Anoka County shall have jurisdiction to appoint, upon application of either or both of the two earlier selected, the third person to the board of arbitration. The third person selected shall not be a resident of any Member City and if appointed by the Chief Judge said person shall be a registered professional engineer. The arbitrators' expenses and fees, together with the other expenses, not including counsel fees, incurred in the conduct of the arbitration shall be divided equally between the LRRWMO and the appealing Member City. Arbitration shall be conducted in accordance with the Uniform Arbitration Act, Minnesota Statutes, Chapter 572B. Arbitration shall be non - binding unless the LRRWMO and the appealing Member City agree to binding arbitration. If the parties agree to binding arbitration the decision of the board of arbitration shall be final and the parties to the arbitration will be deemed to have consented to 438695v4 LW105 -1 10