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Mn/DOT Agreement No. 85163 STATE OF MINNESOTA AGENCY AGREEMENT BETWEEN DEPARTMENT OF TRANSPORTATION AND CITY OF ELK RIVER FOR FEDERAL PARTICIPATION IN ADVANCE CONSTRUCTION FOR S.P. 204-113-12; M.P. STPX 7105(009) This agreement is entered into by and between the City of Elk River ("City") and the State of Minnesota acting through its Commissioner of Transportation ("Mn/DOT"), Agency Agreement No. 84231 has been executed between the City and Mn/DOT, which appoints Mn/DOT as agent for the City with respect to the receipt of transportation related federal funds, and sets forth duties and responsibilities .for letting, payment, and other procedures for a federally funded contract let by the City; and The City is proposing a federal aid project to reconstruct the intersection of Trunk Highway 10 and Main Street, revise the intersection and construct turnlanes, hereinafter referred to as the "Project"; and The Project has been determined to be eligible for the expenditure of federal aid funds and is programmed in the approved STIP for the fiscal year 2005; and the project is identified in Mn/DOT records as State Project 204-113-12, and in Federal Highway Administration records as Minnesota Project STPX 7105(009); and The City desires to proceed with the construction of the project in advance of the year it is programmed for the federal funds; and It is permissible under Federal Highway Administration procedures to perform advance construction of eligible projects with non-federal funds, with the intent to request federal funding for the federally eligible costs in a subsequent federal fiscal year, if sufficient funding and obligation authority are available; and The City desires to temporarily provide City State Aid and/or other local funds in lieu of the federal funds so that the project may proceed. Mn/DOT requires that the terms and conditions of this agency be set forth in an agreement. (Mn/DOT Agreement No. 85 1 {53) Page 1