Subdivision 1. Preparation. The county attorney, the engineer, and the attorney for the petitioners shall prepare the contract and bond. The contract and bond must include the provisions required by this chapter and section 574.26 for bonds given by contractors for public works and must be conditioned as provided by section 574.26 for the better security of the contracting counties and parties performing labor and furnishing material in performance of the contract. The prepared contract and bond must be attached and provided to the contractor for execution.
Subd. 2. Contractor's bond. The contractor shall file a bond with the auditor for an amount not less than 75 percent of the contract price of the work. The bond must have adequate surety and be approved by the auditor. The bond must provide that the surety for the bond is liable for all damages resulting from a failure to perform work under the contract, whether the work is resold or not, and that any person or political subdivision showing damages from the failure to perform work under the contract may maintain an action against the bond in their own names. Actions may be successive in favor of all persons injured, but the aggregate liability of the surety for all the damages may not exceed the amount of the bond. The surety is liable for the tile work guaranteed by the contractor. The contractor is considered a public officer and the bond an official bond within the meaning of section 574.24 construing the official bonds of public officers as security to all persons and providing for actions on the bonds by a party that is damaged.
Subd. 3. Contract. The contract must contain a specific description of the work to be done, either expressly or by reference to the plans and specifications, and must provide that the work must be done and completed as provided in the plans and specifications and subject to the inspection and approval of the engineer. The contract must provide that time is of the essence of the contract, and that if there is a failure to perform the work according to the terms of the contract within the time given in the original contract or as extended, the contractors shall forfeit and pay the affected counties an amount stated in the contract as liquidated damages. The amount must be fixed by the auditor for each day that the failure of performance continues.
Subd. 4. Contract provisions for changes during construction. The contract must give the engineer the right, with the consent of the drainage authority, to modify the detailed survey report, plans, and specifications as the work proceeds and as circumstances require. The contract must provide that the increased cost resulting from the changes will be paid by the drainage authority to the contractor at a rate not greater than the amount for similar work in the contract. A change may not be made that will substantially impair the usefulness of any part of the drainage project or system, substantially alter its original character, or increase its total cost by more than ten percent of the total original contract price. A change may not be made that will cause the cost to exceed the total estimated benefits found by the drainage authority or that will cause any detrimental effects to the public interest under the environmental, land use, and multipurpose water management criteria in section 103E.015, subdivision 1.
Subd. 5. Contract with federal unit. If any portion of the work is to be done by the United States or an agency of the United States, a bond or contract is not necessary for that portion of the work, except that a contract must be made if the United States or its agencies require a contract with the local governmental units. The contract must contain the terms, conditions, provisions, and guaranties required by the United States or its agencies to proceed with the work.
Subd. 6. Tile work; separate contract; guarantee. If tile is used to construct any part of the drainage project, a majority of the persons affected may file a written request with the auditor to contract the tile work separately. The request must be filed before advertising for the sale of the work has begun. If the request is properly made, the tile work must be contracted separately. The contractor must guarantee the tile work under the contract for three years after its completion against any fault or negligence on the part of the contractor. The advertisement for bids must include this requirement.
Subd. 7. Modifying contract by agreement. This chapter does not prevent the persons with property affected by the construction of a drainage project from uniting in a written agreement with the contractor and the surety of the contractor's bond to modify the contract as to the manner or time when any portion of the drainage project is constructed, if the modification is recommended, in writing, by the engineer and approved by the drainage authority.
1990 c 391 art 5 s 63; 2014 c 164 s 14
Structure Minnesota Statutes
Section 103E.005 — Definitions.
Section 103E.011 — Drainage Authority Powers.
Section 103E.015 — Considerations Before Drainage Work Is Done.
Section 103E.021 — Planting Ditches With Perennial Vegetation.
Section 103E.031 — Connection With Drains In Adjoining States.
Section 103E.035 — Defective Notice.
Section 103E.041 — Personal Service In Lieu Of Other Methods Of Notice.
Section 103E.043 — Informal Meetings.
Section 103E.045 — Failure To Attend Hearings; Drainage Authority.
Section 103E.051 — Defective Proceedings.
Section 103E.055 — Reimbursing Cost Of Former Surveys When Used Later.
Section 103E.061 — Right Of Entry.
Section 103E.065 — Drainage Inspectors.
Section 103E.067 — Ditch Buffer Strip; Annual Reporting.
Section 103E.071 — County Attorney.
Section 103E.075 — Obstructing Drainage System.
Section 103E.081 — Crimes Related To Drainage Systems; Penalties.
Section 103E.085 — Enforcement.
Section 103E.095 — Appeal From Orders Dismissing Or Establishing Drainage Systems.
Section 103E.097 — Attorney Fees On Appeal.
Section 103E.101 — Drainage Proceeding And Construction Records.
Section 103E.105 — Advice About Drainage Questions.
Section 103E.111 — Field Surveys And Investigations By Director.
Section 103E.115 — Hydrological And Drainage Information.
Section 103E.121 — Drain Tile; Manufacturing Studies.
Section 103E.212 — New Drainage System Projects.
Section 103E.215 — Improving Drainage Systems.
Section 103E.221 — Improving Outlets.
Section 103E.227 — Impounding, Rerouting, And Diverting Drainage System Waters.
Section 103E.231 — Dismissing Or Delaying Proceedings; Petitioners.
Section 103E.235 — Drainage System In Two Or More Counties.
Section 103E.238 — County Attorney Review Of Petition And Bond.
Section 103E.245 — Preliminary Survey And Preliminary Survey Report.
Section 103E.251 — Filing Preliminary Survey Report.
Section 103E.255 — Commissioner's Preliminary Advisory Report.
Section 103E.261 — Preliminary Hearing.
Section 103E.265 — Order For Detailed Survey And Survey Report.
Section 103E.271 — Detailed Survey.
Section 103E.275 — Engineer's Variance From Drainage Authority Order.
Section 103E.281 — Soil Survey.
Section 103E.285 — Detailed Survey Report.
Section 103E.291 — Filing Detailed Survey Report.
Section 103E.295 — Revising Engineer's Detailed Survey Report After Acceptance.
Section 103E.301 — Commissioner's Final Advisory Report.
Section 103E.305 — Viewers' Appointment And Qualification.
Section 103E.311 — Viewer Duties.
Section 103E.315 — Assessing Drainage Benefits And Damages.
Section 103E.321 — Viewers' Report.
Section 103E.323 — Property Owners' Report.
Section 103E.325 — Final Hearing Notice.
Section 103E.331 — Jurisdiction Of Property By Drainage Authority.
Section 103E.335 — Proceedings At Final Hearing.
Section 103E.341 — Drainage Authority Final Order.
Section 103E.345 — Apportioning Cost For Joint County Drainage Systems.
Section 103E.351 — Redetermining Benefits And Damages.
Section 103E.401 — Use Of Drainage System As Outlet.
Section 103E.405 — Outlets In Adjoining States.
Section 103E.411 — Drainage System As Outlet For Municipality.
Section 103E.501 — Contract And Bond.
Section 103E.505 — Awarding Construction Contract.
Section 103E.511 — Contract Not Awarded; Excessive Bids Or Costs.
Section 103E.515 — Damages; Payment.
Section 103E.521 — Construction Supervision.
Section 103E.525 — Constructing And Maintaining Bridges And Culverts.
Section 103E.526 — Constructing Road Instead Of Bridge Or Culvert.
Section 103E.53 — Rules To Standardize Forms.
Section 103E.531 — Inspecting Drainage Construction; Partial Payments.
Section 103E.535 — Partial Payment Of Retained Contract Amounts.
Section 103E.541 — Extending Time On Contracts.
Section 103E.545 — Reducing Contractor's Bond.
Section 103E.551 — Contractor Default.
Section 103E.555 — Accepting Contract.
Section 103E.601 — Drainage Lien Statement.
Section 103E.605 — Effect Of Filed Drainage Lien.
Section 103E.611 — Paying Drainage Liens And Interest.
Section 103E.615 — Enforcing Assessments.
Section 103E.621 — Satisfying Liens.
Section 103E.625 — Subdivision By Platting; Liens Apportioned.
Section 103E.631 — Apportioning Liens.
Section 103E.635 — Drainage Bond Issues.
Section 103E.641 — Drainage Funding Bonds.
Section 103E.645 — Allowance And Payment Of Fees And Expenses.
Section 103E.651 — Drainage System Account.
Section 103E.655 — Paying Drainage System Costs.
Section 103E.661 — Examining And Establishing Drainage System Accounts; State Auditor.
Section 103E.705 — Repair Procedure.
Section 103E.711 — Cost Apportionment For Joint County Drainage Systems.
Section 103E.715 — Repair By Petition.
Section 103E.721 — Replacement And Hydraulic Capacity Of Bridges And Culverts.
Section 103E.725 — Cost Of Repair.
Section 103E.728 — Apportioning Repair Costs.
Section 103E.729 — Apportioning Repair Costs; Alternative Option.
Section 103E.731 — Assessment; Bonds.
Section 103E.735 — Drainage Systems; Repair Fund.
Section 103E.741 — Property Not Assessed Benefits; Hearing.
Section 103E.745 — Cost Of Repair Exceeding Benefits In Anoka County.
Section 103E.801 — Consolidating Or Dividing Drainage Systems.
Section 103E.805 — Removing Property From Drainage System.
Section 103E.806 — Partial Abandonment Of Drainage System.
Section 103E.811 — Abandoning Drainage System.
Section 103E.812 — Transfer Of All Or Part Of Drainage System.