2001-11-12 Development Agreement
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CITY OF ALBERTVILLE DEVELOPER'S AGREEMENT
Cedar Creek South Seventh Addition
THIS AGREEMENT, entered into this /tl:tJi day of y~, 2001 by and
between Pilot Land Development Company, Inc., referred to herein as "Developer"; and the
CITY OF ALBERTVILLE, County of Wright, State of Minnesota, hereinafter referred to as
"City";
WITNESSETH:
WHEREAS, Developer is the fee owner and developer of a parcel or parcels of land
described in Exhibit A, attached hereto and incorporated herein by reference, which
parcel(s) of land are proposed to be subdivided and platted for development, and which
subdivision, which is the subject of this Agreement, is intended to bear the name "Cedar
Creek South Seventh Addition" and may sometimes hereinafter be referred to as the
"Subject Property" or "Said Plat"; and
WHEREAS, the City has given preliminary approval of Developer's Development
Stage plan of Cedar Creek South Seventh Addition contingent upon compliance with certain
City requirements including, but not limited to, matters set forth herein; and
WHEREAS, the City requires that certain public improvements including, but not
limited to, grading, sanitary sewer, municipal water, storm sewer (hereafter "Municipal
Improvements") be installed to serve the Subject Property and, further, to be financed by
Developer;
WHEREAS, the City further requires that certain on- and off-site improvements be
installed by the Developer within the Subject Property, which improvements consist of
paved streets, boulevards, top soil and sod, grading control per lot, bituminous or concrete
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driveways, parking lot, drainage swales, berming, street signs, street cleanup during project
development, erosion control, and other site-related items; and
WHEREAS, this Agreement is entered into for the purpose of setting forth and
memorializing for the parties and subsequent owners, the understandings and agreements of
the parties concerning the development of the Subject Property; and
WHEREAS, the City and Developer have previously entered into a Developer's
Agreement titled "City of Albertville Developer's Agreement Cedar Creek Golf Course
Planned Unit Development Concept Plan Master Agreement" ("Master Agreement") under
which the City granted concept plan approval to the plan for the area covered by said Master
Agreement; and
WHEREAS, the City and Developer desire to supplement the Master Agreement
with the site specific details applicable to Cedar Creek South Seventh Addition, as
evidenced by the execution of this Agreement; and
WHEREAS, the City and Developer desire to have this Agreement and the Master
Agreement read together as if the entire Master Agreement were recited herein;
NOW, THEREFORE, IT IS HEREBY AND HEREIN MUTUALLY
AGREED, in consideration of each party's promises and considerations herein set forth, as
follows:
1. Concept Plan Master A2reement.
A. That certain Developer's Agreement entitled "City of Albertville Developer's
Agreement Cedar Creek Golf Course Planned Unit Development Concept
Plan Master Agreement" ("Master Agreement") between Pilot Land
Development Company, Inc. and the City of Albertville, dated February 27,
1998 is hereby incorporated herein the same as if the text of said Agreement
were contained within this document.
B. It is the intent of the parties that this Developer's Agreement ("Developer's
Agreement") supplement the Master Agreement as to the specific
development issues related to Cedar Creek South Seventh Addition, and that
these two documents be read together to determine the rights and obligations
of the parties with respect to the property contained within the Cedar Creek
South Seventh Addition. In the event of a conflict between the terms of the
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Master Agreement and this Developer's Agreement, the terms of this
Developer's Agreement shall control with respect to any conflicting issues
within Cedar Creek South Seventh Addition, but any such conflicts shall not
alter the terms of the Master Agreement as they apply to other plats, now
existing or to be platted in the future, within the remaining land area subject
to the Master Agreement.
2. Construction of Municipal Improvements.
A. The Developer shall construct those Municipal Improvements located on and off
Said Plat as detailed in the Plans and Specifications for Cedar Creek South
Seventh Addition, as prepared by Meyer-Rohlin, Inc. dated September 10, 2001,
with subsequent revisions, as on file with the City Clerk, said improvements to
include installation of water mains, sanitary and storm sewers, storm water
ponding, and site grading. All such improvements shall be constructed according
to the standards adopted by the City, along with all items required by the City
Engineer. Unless the City Engineer specifies a later date, said improvements
shall be installed by October 31, 2002 with the wear course of bituminous
pavement to be installed after May 15,2003 but before July 15,2003.
3. Construction of On- and Off-Site Improvements. Developer shall construct all on-
and off-site improvements including installation of boulevards, paved streets, curb and
gutter, street signs, traffic signs, yard top soil, sod and seed in all yards, grading control
per lot, bituminous or concrete driveways and parking lots, drainage swales, berming,
and like items as necessary, street cleanup during project development, and erosion
control, all as required by City ordinance. Front and side yards shall be sodded.
Backyards may be seeded or sodded. In all cases permanent turf or grass must be
established over all areas of the lot not covered by a hard or impervious surface. The
Developer shall guarantee that all new required plantings shall survive for two full years
from the time the planting has been completed or will be replaced at the expense of the
Developer. Said on- and off-site improvements shall be installed no later than October
31, 2002, with the exception of erosion control, drainage swales and berming, which
shall be installed upon initial grading of Said Plat.
4. Intended Use of Subdivision Lots. Requirements.
A. It is the Developer's and City's intent that twenty five single- family detached
townhouse dwelling units be constructed on the lots in Said Plat, with one unit
per numbered lot, all such units to be built in substantially the same location,
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configuration and layout as shown on the attached Exhibit D. Developer agrees
that it shall not construct any units other than said single-family townhouse
detached dwelling units on the land in Said Plat.
B. Lots located in Said Plat may have vatying lengths of building separatio~
provided that no building separation length may be less than ten (10) feet.
C. Streets shall be private and shall be maintained by the homeowner's association.
The City shall have no responsibility for the maintenance of said private streets.
D. Outlot A shall remain a common area and shall be maintained by the
homeowner's association and shall not be considered a buildable lot.
5. Surety Reauirements.
A. Developer will provide the City with an irrevocable letter of credit (or other
surety as approved by the City Attorney) as security that the obligations of the
Developer under this contract shall be performed. Said letter of credit or
surety shall be in the amount of$182,600.00 representing the sum of 100% of
the estimated cost of the Municipal Improvements ($50,000, including the
private streets) 50% of the on and off-site improvements ($15,000), and 150%
of the estimated cost of the required plantings as shown in Exhibit C
($117,600). Said letter of credit or surety must meet the approval of the City
attorney as to form and issuing bank. If a bond is used for up to 25% of the
surety amount, said bond shall be in an amount at least 1.5 times the
percentage of the required surety which the bond represents.
B. The City may draw on said letter of credit or surety to complete work not
performed by Developer (including but not limited to on- and off-site
improvements, Municipal Improvements described above, erosion control,
and other such measures), to pay liens on property to be dedicated to the City,
to reimburse itself for costs incurred in the drafting, executio~ administration
or enforcement of this Agreement, to repair or correct deficiencies or other
problems which occur to the Municipal Improvements during the warranty
period, or to otherwise fulfill the obligations of Developer under this
agreement.
C. In the event that any cash, irrevocable letter of credit, or other surety referred
to herein is ever utilized and found to be deficient in amount to payor
reimburse the City in total as required here~ the Developer agrees that upon
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being billed by the City, Developer will pay within thirty (30) days of the
mailing of said billing, the said deficient amount. If there should be an
overage in the amount of utilized security, the City will, upon making said
determination, refund to the Developer any monies which the City has in its
possession which are in excess of the actual costs of the project as paid by the
City.
D. Developer hereby agrees to allow the City to specially assess Developer's
property for any and all costs incurred by the City in enforcing any of the
terms ofthis agreement should Developer's letter of credit or surety prove
insufficient or should Developer fail to maintain said letter of credit or surety
in the amount required above within 30 days of mailing of written request by
the City. Should the City assess Developer's property for said costs,
Developer agrees not to contest or appeal such assessment and waives all
statutory rights of appeal under Minnesota Statutes, including Minnesota
Statute 429.081.
E. That portion of said cash, irrevocable letter of credit or other surety with
respect to the performance of Site Improvements shall be released upon
certification of the City Engineer and approval of the City Council that all
such items are satisfactorily completed pursuant to this Agreement.
F. In the event a surety referred to herein is in the form of an irrevocable letter of
credit, which by its terms may become null and void prior to the time at
which all monetary or other obligations of the Developer are paid or satisfied,
it is agreed that the Developer shall provide the City with a new letter of
credit or other surety, acceptable to the City, at least forty- five (45) days prior
to the expiration of the original letter of credit. If a new letter of credit is not
received as required above, the City may without notice to Developer declare
a default in the terms of this Agreement and thence draw in part or in total, at
the City's discretion, upon the expiring letter of credit to avoid the loss of
surety for the continued obligation. The form of any irrevocable letter of
credit or other surety must be approved by the City Attorney prior to its
Issuance.
6. Surety Release.
A. Periodically, as payments are made by the Developer for the completion of
portions of the Municipal Improvements and/or On- and Off-site
Improvements, and when it is reasonably prudent, the Developer may request
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of the City that the surety be proportionately reduced for that portion of the
Municipal Improvements which have been fully completed and payment
made therefor. All such decisions shall be at the discretion ofthe City
Council. The City's cost for processing reduction request(s) shall be billed to
the Developer. Such cost shall be paid to the City within thirty (30) days of
the date of mailing of the billing.
B. The Developer may request of the City a reduction or release of any surety as
follows:
1. When another acceptable letter of credit or surety is furnished to the
City to replace a prior letter of credit or surety.
11. When all or a portion of the Municipal Improvements or the on- and
off-site improvements have been installed, the letter of credit or surety
may be reduced by the dollar amount attributable to that portion of
improvements so installed, except that the City shall retain the letter of
credit or surety in the amount of 10% of the estimated construction
price of the Municipal Improvements during the first year of the
warranty period and 5% of the estimated construction price of the
Municipal Improvements during the second year of the warranty
period.
111. As to all requests brought under this paragraph B, the City Council
shall have complete discretion whether to reduce or not to reduce said
letter of credit or surety.
B. The costs incurred by the City in processing any reduction request shall be billed
to the Developer and paid to the City within thirty (30) days of billing.
7. Sanitary Sewer and Water Trunk Line Fees.
A. Developer agrees that the City's Sanitary Sewer Trunk Line Fee Ordinance
requires the Developer to pay $1,400.00 per acre in sanitary sewer trunk line fees.
There are 5.4 acres in Said Plat. Therefore, the Sanitary Sewer Trunk Line Fees
for this plat would be $7,560.00 ($1,400.00 x 5.4 acres). However, per the
agreement outlined in Parkside 3rd Addition Developer's Agreement, paragraph
2, pages 2-5, the developer will be credited $900.00 per acre for the installation
of a sanitary sewer trunk line. Therefore, the Developer owes the City $2,700.00
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($500.00 x 5.4 acres) in Sanitary Sewer Trunk Line Fees as a result of this
development.
B. Developer shall be required to pay trunk water line fees of$I,100 per acre.
There are 5.4 acres in Said Plat. Therefore the Developer owes the City
$5,940.00 ($1,100 x 5.4 acres) in Water Trunk Line Fees as a result of this
development.
C. The City has installed a Water Trunk line on Said Plat which Developer intends
to use as a lateral water line by connecting dwelling units directly to said Trunk
Line. Developer agrees that it owes the City $28,264.00 in reimbursable
expenses as a result of installing said Water Trunk Line for use as a lateral.
D. Developer has installed, at City request, a Sanitary Sewer Trunk Line which will
benefit properties other than Said Plat. Accordingly, Developer is entitled to a
credit of$8,660.00 for the extra costs Developer incurred in installing said Trunk
Line in such a manner that it could serve other properties.
E. The net Sanitary Sewer and Water Trunk Line Charges due to the City from
Developer to the City as detailed in subparagraphs 7 (A-E) above is $28,244.00.
Developer shall pay said $28,244.00 to the City prior to the release of the final
plat.
8. Erosion and Siltation Control. Before any grading is started on any site, all erosion
control measures as shown on the approved erosion control plan shall be strictly
complied with as set forth in the attached Exhibit B. Developer shall also install all
erosion control measures deemed necessary by the City Engineer should the erosion
control plan prove inadequate in any respect.
9. Ditch Cleanin2:. Developer shall comply with all requirements set forth for drainage
into any county ditch or other ditch through which water from Subject Property may
drain, and shall make any necessary improvements or go through any necessary
procedures to ensure compliance with any legally enforceable federal, state, county or
city requirements, all at Developer's expense. The City may elect to (but shall not be
required to) refund to the Developer expenses incurred by Developer for machine
operator time spent cleaning the ditch beyond the boundaries of Said Plat.
10. Miscellaneous.
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A. This Contract shall run with the land and shall be recorded against the title to the
property (or shall be recorded via a short-form companion document referencing
this Agreement). Upon the Developer's request the City will execute and deliver
to the Developer a release discharging Developer's obligations under this
Agreement, provided the Developer has completed all work and met all
obligations required under this Contract, and after expiration of the warranty
period.
B. The Developer represents to the City that Said Plat complies with all City,
county, state and federal laws and regulations, including but not limited to,
subdivision ordinances, zoning ordinances, and environmental regulations. If the
City determines that the plat does not comply, the City may, at its option, refuse
to allow construction or development work in Said Plat until the Developer so
complies. Upon the City's demand, the Developer shall cease work until there is
compliance.
C. Prior to the execution of this Agreement and prior to the start of any construction
on the Subject Property, Developer shall provide the City with evidence of good
and marketable title to all of Subject Property. Evidence of good and marketable
title shall consist of a Title Insurance Policy or Commitment from a national title
insurance company, or an abstract of title updated by an abstract company
registered under the laws of the State of Minnesota.
D. Developer shall not place any structure at an elevation such that the lowest grade
opening is less than two feet above the highest known surface water level or
ordinary high water level or less than one foot above the 100-year flood level of
any adjacent water body or wetland. If sufficient data on high water levels is not
available, the elevation of the line of permanent aquatic vegetation shall be used
as the estimated high water elevation. When fill is required to meet this
elevation, the fill shall be allowed to stabilize and construction shall not begin
until the property has been approved by the Building Inspector or a professional
soils engineer.
E. The Developer shall establish a homeowner's association via a recorded covenant
for this development. Said homeowner's association shall provide for
maintenance of all common areas (including the area of the platted lots that are
not covered with structures), streets and the exterior of all town home structures
in perpetuity. Said association agreements/covenants shall be in a form and
content acceptable to the City Attorney.
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F. If a subdivision sign is desired by the Developer to identify the Cedar Creek
South Seventh Addition development, a sign plan shall be submitted for the
review and approval of the City Planner. Deed restrictions or other appropriate
documentation shall be provided to identify that the private homeowners
association shall be responsible for the maintenance of the grounds as well as the
subdivision sign in perpetuity. Said documents shall also provide a clause
allowing the City to remove the sign in the event that it is not maintained. The
written documentation shall be subject to review and approval of the City
Attorney and filed with the Wright County Recorder's Office.
G. Developer shall guarantee that all new plantings as required by Exhibit C shall
survive for two full'years from the time the planting has been completed or will
be replaced at the expense of the Developer.
H. Developer shall install street lights at Developer's expense of the type and in the
locations as approved by the City Engineer.
11. Dedications to the City.
A. The Developer, upon presentation to the City of evidence of good and marketable
title to Subject Property, and upon completion of all construction work and
certification of completion by the City Engineer, shall dedicate all sewers and
water mains to the City. Upon acceptance of dedication, Developer shall provide
to the City "As-Builts" of all sewers, water mains, and roads. Acceptance by
City of any dedication shall occur upon passage of a resolution to such effect by
the City Council.
B. Developer acknowledges that a total of .54 acres of park land (5.4 acres ofland x
.10) are needed under the City's current park dedication ordinance. The
Developer is not dedicating any park land with this plat. Developer shall meet its
park dedication requirements through the payment of$I,500 per residential unit
in this plat ($37,500, consisting of25 residential units times $1,500 per unit),
subject to offsets in favor of the Developer for excess park land dedicated in prior
plats and the cost of construction of trails built by Developer at the City's
direction. Developer shall make any payments due to the City under this
paragraph at such time as the City directs.
12. Indemnity. Developer shall hold the City and its officers, employees and agents
harmless from claims made by Developer and Third Parties for damages sustained or
costs incurred resulting from Said Plat approval and development. The Developer
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shall indemnify the City and its officers, employees and agents for all costs, damages
or expenses which the City may payor incur in consequence of such claims,
including attorney's fees. Third parties shall have no recourse against the City under
this contract.
13. Maintain Public Property Dama2ed or Cluttered Durin2 Construction. Developer
agrees to assume full financial responsibility for any damage which may occur to
public property including but not limited to streets, street sub- base, base, bituminous
surface, curb, utility system including but not limited to watermain, sanitary sewer or
storm sewer when said damage occurs as a result of the activity which takes place
during the development of Said Plat. The Developer further agrees to pay all costs
required to repair the streets and/or utility systems damaged or cluttered with debris
when occurring as a direct or indirect result of the construction that takes place in
Said Plat.
Developer agrees to clean the streets on a daily basis. Developer further agrees that
any damage to public property caused by Developer, its agents or employees, will be
repaired immediately if deemed to be an emergency by the City. Developer further
agrees that any damage to public property caused by Developer, its agents or
employees, will be repaired within 14 days if not deemed to be an emergency by the
City.
If Developer fails to so clean the streets or repair or maintain said public property,
the City may undertake making or causing it to be cleaned up, repaired or
maintained. When the City undertakes such activity, the Developer shall reimburse
the City for all of its expenses within thirty (30) days of its billing to the Developer.
If the Developer fails to pay said bill within thirty (30) days, then the City may
specially assess such costs against the lots within Said Plat and/or take necessary
legal action to recover such costs and the Developer agrees that the City shall be
entitled to attorneys fees incurred by the City as a result of such legal action.
Developer knowingly and voluntarily waives all rights to appeal said special
assessments under Minnesota Statutes section 429.081.
14. Assi2nment of Contract. The obligations of the Developer under this Contract may be
assigned by the Developer. However, the Developer shall not be released from its
obligations under this Contract without the express written consent of the City
Council through Council resolution.
15. A2reement Effect. This agreement shall be binding upon and extend to the
representatives, heirs, successors and assigns of the parties hereto.
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STATE OF MINNESOTA)
) ss.
COUNTY OF WRIGHT )
CITY OF ALBERTVILLE,
BY~~) ~
Its Clerk
PILOT LAND DEVELOPMENT
CO ANY, INe.
i.r~regOing instrument was acknowledged before me this J~ day of
{/-t. , 2001, by John Olson, as Mayor of the City of Albertville, a
Minnesota municipal corporation, on behalf of the city and pursuant to the authority of the
City Council.
~C~_,
Notary Public
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STATE OF MINNESOTA )
) ss.
COUNTY OF WRIGHT )
~regOing instrument was acknowledged before me this 3~ day of
OJ. , 2001, by Linda Goeb; as Clerk of the City of Albertville, a
Minnesota municipal corporation, on behalf of the city and pursuant to the authority of the
City Council. ~ (' ~
Notary Public
STATE OF MINNESOTA)
) ss.
COUNTY OF WRIGHT )
c.zz The foregoing instrument was acknowledged before me this 4 #I day of
~./ , 2001, by Kent Roessler, as President of Pilot Land Development
Company, Inc.
PATRICIA PRATT
NOTARY PUBLIC - MINNESOTA
My Comm. Exp. Jan. 31, 2005
~~~/ '--67~
Notary Public
DRAFTED BY:
Couri & MacArthur Law
Office
P.O. Box 369
705 Central Avenue East
81. Michael, MN 55376
(763 497-1930
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EXHIBIT A TO DEVELOPER'S AGREEMENT
The Real Property subject to the Developer's Agreement is legally described as follows
(after the filing of the Cedar Creek South Seventh Addition Plat):
Lots 1-25, Block 1
Outlot A
All said property in Cedar Creek South Seventh Addition, City of Albertville, County of
Wright, Minnesota.
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