HomeMy WebLinkAboutX-E-01 Drop Box Grant Acceptance Discussion
City Council Memorandum
To: Mayor Fasbender & City Councilmembers
From: Assistant City Administrator Kelly Murtaugh
Date: July 5, 2022
Item: Drop Box Grant Acceptance Discussion
Council Actions Requested:
Determine acceptance of the 2022 Drop Box Grant Program and installation of a Ballot Drop
Box outside City Hall by authorizing signature on the grant program agreement.
Background Information:
During its 2021 1st Special Session, the Minnesota Legislature, via Chapter 12, Article 1,
Section 6, appropriated $2 million to the Office of the Minnesota Secretary of State for grants to
local units of government to implement the provisions of Minnesota Statutes, section 203B.082.
Minnesota Statutes, section 203B.082, specified the security requirements and standards to
establish a 24-hour ballot drop box:
• Must be continually recorded during the absentee voting period
• Must be designed to prevent unauthorized person from moving, removing, or tampering with the
drop box
• If placed in an outdoor location must be fastened to a building, bolted to a concrete pad, or
otherwise attached to a similarly secure structure
• Ballots deposited in a drop box must be secured against access by an unauthorized person or
damage due to weather
Via the Consent Agenda, Council approved submission of the grant application at the May 16,
2022 meeting. We were recently notified that we were eligible to receive the grant.
If the City accepts the grant, as of last week, the availability of the drop box and associated
security equipment could be installed prior to the November general election. If availability
changes by more than a few weeks, installation for the general election may not be feasible.
Notice of the intent to use a ballot drop box would need to be provided to the State 40 days prior
to the general election.
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Dakota County and several cities within the county have decided not to offer ballot drop boxes
for the 2022 election season. Several reasons have been cited: staffing levels, Clerk/Deputy
Clerk new to the elections process, ballots submitted from other jurisdictions requiring staff time
to deliver, difficulty in monitoring, and concerns about challenges to the election process.
Financial Impact:
The Ballot Drop Box Grant Program does not require municipalities to match any amount of
funding to be eligible to receive a grant award amount, but instead provides for reimbursement of
actual costs for up to $15,000 per drop box. Our request, based on estimated costs, was for
$7400.00
Committee Discussion:
NA
Attachments:
• May 16, 2022 Resolution Authorizing Submission of a Drop Box Grant application.
• Draft Drop Box Grant agreement.
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STATE OF MINNESOTA
2022 DROP BOX GRANT PROGRAM AGREEMENT
This Agreement (hereinafter “Agreement”) is made between the State of Minnesota, (hereinafter, “State”, or
“Grantor”) acting through its Secretary of State, 180 State Office Building, 100 Rev. Dr. Martin Luther King Jr.
Boulevard, Saint Paul, MN 55155-1299 ("State") and City of Hastings – Dakota County, 101 4th Street East,
Hastings, MN 55033 ("Grantee").
Recitals
1 Under Minnesota Laws 2021, First Special Session, Chapter 12, article 1, section 6, Grantor is authorized to
distribute funds to political subdivisions for activities authorized by the provisions of Minnesota Statutes,
section 203B.082.hereinafter the “state purposes”). Grantee is a political subdivision of the State and thus
empowered to apply for the funds requested in this Agreement. Grantee submitted a grant application and
State is empowered to enter into this grant.
2 Grantee represents that it is duly qualified and agrees to perform all services described in this Agreement to
the satisfaction of State and in accordance with all federal and state laws authorizing this grant. Pursuant to
Minn.Stat.§16B.98, Subd.1, Grantee agrees to minimize administrative costs as a condition of this grant.
3 Grantee is responsible for the administration of elections in the area under their jurisdiction.
Agreement
1 Effectiveness of Agreement
1.1 Effective date: June 3, 2022, or the date all required signatures, including those required by Minnesota
Statutes, § 16B.98, Subd. 5, have been affixed to the agreement by Grantee and State, whichever is later.
Grantee agrees to use the funds provided under this agreement only for the authorized state purposes.
Grantee submitted, and State approved, a Grant Application, incorporated herein. Per Minnesota Statutes
§16B.98 Subd. 7, no payments will be made to Grantee until this Agreement is fully approved and
executed, and Grantee has been notified by State’s Authorized Representative that they are in compliance
with the terms of this Agreement.
1.2 Expiration date: June 30, 2023, or when all funds have been expended, whichever is later.
1.3 Survival of Terms. The following clauses survive the fulfillment of this Agreement: 2.5. Reporting
Requirements; 4. Consideration and Payment; 8. Liability; 9. Audits and Reports; 10. Government Data
Practices; 12. Property and Casualty Insurance; 13. Governing Law, Jurisdiction, and Venue; and 14. Data
Disclosure.
2 Grantee’s Duties
2.1 Activities. Grantee, who is not a state employee, will comply with required grants management policies
and procedures set forth through Minn.Stat.§16B.97,Subd. 4 (a) (1) and will use all funds provided as a
result of this Agreement for the authorized state purposes, which are set forth in Recital 1 of this
Agreement, and as further set forth in the Grant Application submitted by Grantee, incorporated herein,
and attached hereto. The Chief Election Official of Grantee is responsible for fulfilling all requirements of
Grantee under this agreement.
2.2 Award. Grantee is hereby awarded $7,400.00 for the state purposes.
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2.3 Expenditures. Grantee will expend the funds only for the state purposes.
2.4 This paragraph is intentionally omitted.
2.5 Reporting Requirements. Grantee shall report to the State as specified in this Agreement.
2.5.1 Progress Reporting. Grantee shall submit, each year, a financial reporting form to State utilizing
the format identified by State, stating the amount spent from this grant by Grantee. Grantee shall
also list all interest earned on these funds.
2.5.2 Other Requirements. Grantee must maintain financial records for each grant
sufficient to satisfy audit standards or other reporting requirements and must transmit those
records to the secretary of state upon request of the secretary of state. Grantee must also retain
and hold for expenditures only on the state purposes, all interest earned on these funds. Grantee
agrees to hold State harmless and to pay any fines or penalties, should the expenditures of
Grantee be found to be improper in an audit of any kind.
2.5.3 Evaluation. State shall have the authority to conduct an evaluation of the performance of Grantee.
2.5.4 Requirement Changes. State may modify or change all reporting forms at their discretion.
2.5.5 Special Requirements. The State reserves the right to append to the Agreement terms, at any time
before all grant funds have been expended, special administrative requirements deemed necessary
to assure Grantee’s successful implementation. The State will notify the Grantee in writing of
any special administrative requirements.
2.6 Accounting Requirements - Fiscal Control and Accounting Procedures
Grantee’s fiscal control and accounting procedures must be sufficient to:
(a) Permit preparation of reports required by this Agreement,
(b) Permit the tracing of funds to a level of expenditures adequate to determine that funds have not been
used in violation of this agreement, and
(c) Support accounting records through source documents, such as: cancelled checks, invoices and paid
bills, agreement and sub award documents, and records sufficient to detail history of procurements.
3 Time
Grantee must comply with all the time requirements described in this Agreement.
4 Consideration and Payment
4.1 Consideration. The State will make an award to Grantee under this Agreement as follows:
(1) Grant Award. Grantee will be awarded the amount listed in paragraph 2.2 of this Agreement.
(2) Total Obligation. The total obligation of State to Grantee under this Agreement will not exceed the
amount listed in paragraph 2.2 of this Agreement.
4.2 Fiscal Requirements. Grantee shall report to the State as provided by paragraph 2.5
of this Agreement.
4.2.1 Financial Guidelines. Grantee’s eligible expenditures under this Agreement must be specifically
incurred by Grantee. Grantee will report on all expenditures pertaining to this Agreement as provided
in paragraph 2.5.
4.2.2 Records. Grantee must retain all financial records for a minimum of six (6) years after all funds
have been expended, or until completion of an audit which has commenced before the expiration of
this six-year period, or until any audit findings and/or recommendations from prior audit(s) have been
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resolved between the Grantee and State, whichever is later, and comply with all other retention and
access requirements for records provided in the jurisdiction’s retention schedules. In addition,
Grantee must maintain records sufficient to report expenditures made during the term of this
Agreement upon request of the State.
4.3 Payment Invoices. State will pay the grant amount to an account of Grantee within 30 days after the
effective date of this Agreement.
4.4 Conditions. Grantee is responsible for compliance with all requirements imposed on these funds and accepts full
financial responsibility for any requirements imposed by Grantee’s failure to comply with statutory or Agreement
requirements.
5 Satisfaction
All duties required of and agreements or assurances provided by Grantee in this Agreement must be
performed to State’s satisfaction, as determined at the sole discretion of State’s Authorized Representative
and in accordance with all applicable federal, state, and local laws, ordinances, rules, and regulations.
6 Authorized Representative
State's Authorized Representative is David Maeda, Director of Elections, 180 State Office Building, 100 Rev.
Dr. Martin Luther King Jr. Boulevard, Saint Paul, MN 55155-1299, 651-556-0612, or his successor, and has
the responsibility to monitor Grantee’s performance and compliance with this Agreement.
Grantee’s Authorized Representative: Kelly Murtaugh
Mailing Address: 101 4th Street East, Hastings, MN 55033
Telephone Number: 651-480-2355
Email Address: kmurtaugh@hastingsmn.gov
Grant payment will be made to: City of Hastings – Dakota County
Federal ID Number: 41-6005220
Grantee must be registered as a vendor in the SWIFT system, or must provide a W-9 form with this executed
agreement, in order for State to register Grantee in the SWIFT system.
If Grantee’s Authorized Representative changes at any time before the funds provided for in this Agreement
are fully expended, Grantee must immediately notify the State.
7 Assignment Amendments, Waiver, and Agreement Complete
7.1 Assignment. Grantee shall neither assign nor transfer any rights or obligations under this Agreement
without the prior written consent of State, approved by the same parties who executed and approved this
Agreement, or their successors in office.
7.2 Amendments. Any amendments to this Agreement must be in writing and will not be effective until it has
been executed and approved by the same parties who executed and approved the original Agreement, or their
successors in office.
7.3 Waiver. If State fails to enforce any provision of this Agreement, that failure does not waive the provision
or State’s right to enforce it.
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7.4 Agreement Complete. This Agreement contains all negotiations and agreements between State and
Grantee. No other understanding regarding this Agreement, whether written or oral, may be used to bind
either party.
8 Liability
Grantee must indemnify, save, and hold State, its agents, and employees harmless from any claims or causes
of action, including attorney’s fees incurred by State, arising from the expenditures of the funds provided by
this Agreement by Grantee or Grantee’s agents or employees. Grantee agrees to hold State harmless and to
pay any fines or penalties, should the expenditures of Grantee be found to be improper in an audit of any kind.
9 Audits and Reports
Under Minnesota Statutes, § 16C.05, subd. 5, and 16B.98, subd. 8, Grantee’s books, records, documents, and
accounting procedures and practices relevant to this Agreement are subject to examination by the State and/or
the State Auditor or Legislative Auditor, as appropriate, for a minimum of six years from the expenditure of
all funds provided under this Agreement, receipt and approval of all final reports, or the required period of
time to satisfy all state and program retention requirements, whichever is later. In addition, Grantee must
report expenditures made during the term of this Agreement upon request of the State, and must make the
reports described in this agreement stating expenditures during the current or most recently ended periods as
directed by State.
10 Government Data Practices
Grantee and State must comply with the Minnesota Government Data Practices Act, Minnesota Statutes, Ch.
13, as it applies to all data provided by the State under this Agreement, and as it applies to all data created,
collected, received, stored, used, maintained, or disseminated by Grantee under this Agreement. The civil
remedies of Minnesota Statutes, § 13.08 apply to the release of the data referred to in this clause by either
Grantee or State.
11 Workers’ Compensation
Grantee certifies that it is in compliance with Minnesota Statutes, § 176.181, subd. 2, pertaining to workers’
compensation insurance coverage. Grantee’s employees and agents will not be considered State employees.
Any claims that may arise under the Minnesota Workers’ Compensation Act on behalf of these employees
and any claims made by any third party as a consequence of any act or omission on the part of these
employees are in no way the State’s obligation or responsibility.
12 Property and Casualty Insurance
Grantee is required to maintain a property and casualty insurance policy covering "All Risk" (or equivalent)
of direct physical loss or damage, including, but not limited to, the perils of transit (if applicable), theft, and
flood for devices or systems acquired using funds granted under the Agreement. The insurance limit shall be
equal to the replacement cost of any equipment purchased with funds from this grant. Any deductible shall be
the sole responsibility of Grantee.
13 Governing Law, Jurisdiction, and Venue
Minnesota law, without regard to its choice-of-law provisions, governs this Agreement. Venue for all legal
proceedings out of this Agreement, or its breach, must be in the appropriate state or federal court with
competent jurisdiction in Ramsey County, Minnesota.
14 Data Disclosure
Under Minnesota Statutes, § 270.66, and other applicable law, Grantee consents to disclosure of its social
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security number, federal employer tax identification number, and/or Minnesota tax identification number,
already provided to the State, to federal and state tax agencies and state personnel involved in the payment of
state obligations. These identification numbers may be used in the enforcement of federal and state tax laws
which could result in action requiring Grantee to file state tax returns and pay delinquent state tax liabilities, if
any, or pay other state liabilities.
15 Termination
State may immediately terminate this Agreement with or without cause, upon 30 days’ written notice to
Grantee. Grantee may terminate this agreement by returning all unexpended funds to State upon 30 days
written notice to State. Reporting requirements will continue as necessary to complete reporting for the
period in which the funds are returned. No partial return of funds is permitted under this agreement.
16 Grantee Procurement
Grantee certifies that it will use the procurement processes applicable in Grantee’s jurisdiction in purchasing
items or equipment with funds subject to this Agreement.
1. ENCUMBRANCE VERIFICATION 3. STATE (Office of the Secretary of State)
Individual certifies that funds have been encumbered as
required by Minnesota Statutes, §§ 16A.15 and 16C.05. By: ____________________________________________
(with delegated authority)
Signed: _____________________________________________ Title: Director of Elections___________________________
Date: _______________________________________________ Date: _ ___________________________________________
Agreement No. ____________________________
2. GRANTEE (Local Jurisdiction)
Grantee certifies that the appropriate person(s)
have executed the Agreement t on behalf of Grantee as required by applicable resolutions or ordinances.
By: ________________________________________________
Title: ______________________________________________
Date:_______________________________________________
By: ________________________________________________
Title: ______________________________________________
Date: _______________________________________________
Distribution: Grantee
State’s Authorized Representative
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